Sales and profits soared at Psychemedics Corp. of Acton in the fourth quarter of 2013.
The maker of drug-detection tests reported quarterly net income of $868,000, up from $273,000 last year. Earnings per share was 16 cents, beating both analysts’ expectations of 12 cents and last year’s performance of 5 cents.
Psychemedics also announced revenue of $6.5 million, up from $5.7 million in the same quarter in 2012.
“The extraordinary growth in earnings in the fourth quarter compared to 2012 was driven by several factors, including an increase in revenues … higher-than-normal expenses in 2012 related to transition costs of new technologies … and a benefit due to a change in the calculation of California’s income tax,” said Raymond Kubacki, chairman and CEO, said in a statement.
Kubacki said the company also benefitted from expanded products offerings such as a hair test for alcohol that can look back 90 days and new partnerships in the instant drug and alcohol testing arena.
For the full year, Psychemedics’ sales were up $1.7 million to $26.9 million, while profits were $3.8 million, up from $3 million.
The company also announced its 70th consecutive quarterly dividend of 15 cents per share, which will be paid March 7.
