CHARLOTTE — Strong performance in its fleet vehicle business lifted sales for Spartan Motors Inc. throughout 2016.
The Charlotte-based manufacturer of heavy vehicle chassis generated annual sales of $590.8 million last year, a 7.3-percent increase compared to $550.4 million in 2015. Net income for the year increased 68 percent to $11.1 million from $6.6 million in the previous year.
Overall, sales of Spartan Motors’ (NASDAQ: SPAR) fleet vehicles grew approximately 22 percent, reaching $278.4 million last year, up more than $50 million from the prior before. At the same time, full-year sales in the speciality chassis market, which includes motor homes, remained remained relatively flat at $129 million.
Sales for the company’s emergency response vehicle segment fell 5.3 percent to $183 million.
Spartan Motors closed its fourth quarter by generating sales of $145.9 million, a 3.7-percent increase from the same period a year ago. Net income for the quarter nearly tripled to $1.5 million.
“Our performance in 2016 reflects great progress toward key operational milestones as the positive momentum we sparked and fanned in 2015 started to accelerate and deliver on our turnaround initiatives, some well ahead of schedule,” Daryl Adams, president and CEO of Spartan Motors, said in a statement. “Take a look at 2016, and you are looking at a company whose head is squarely in the game, and it is one we intend to win.”
For this year, the company expects to generate annual revenues of $615 million to $685 million. The company’s 2017 outlook includes the roughly $70 million in revenues added through its acquisition of Snyder, Neb.-based Smeal Fire Apparatus Co., a manufacturer of fire truck components. The deal for Smeal closed in January.