Alternative energy investor and former electronics retailer Rex Stores Corp.’s third quarter was profitable, compared with the third quarter for 2008 when the company lost money.
Dayton-based Rex’s net income for the quarter, which ended Oct. 31, rose to $2.3 million, or 24 cents per diluted share, compared with a $700,000 loss, or drop of 7 cents per diluted share, for the previous year’s quarter.
Rex (NYSE: RSC) essentially ended its retail operations in the second quarter, aside from service contracts. The company gained $2.3 million on sales of real estate.
The company recorded a total of $3.3 million of income from continuing operations, compared with a loss of $2.2 million in the same period last year.
During the third quarter, Rex terminated an agreement with a third party for the lease of 15 Rex-owned retail locations and also terminated a lease and sub-lease for a store location leased by Rex. At the end of the quarter, Rex had lease or sub-lease agreements, as landlord, for all or parts of eight properties, including a portion of a distribution center. Rex owns seven of these properties. The company has 38 properties that were completely vacant as of Oct. 31, which it is marketing to lease or sell.
During the third quarter, Rex purchased 254,042 shares of its common stock in open market transactions for approximately $3 million. In the first nine months of 2009, the company repurchased 535,000 shares of its common stock.
The company’s board of directors authorized the repurchase of up to an additional 500,000 shares of its common stock. Rex is currently authorized to repurchase up to 538,000 shares of common stock and has 8.9 million shares of common stock outstanding.
Rex has interests in four ethanol production entities, Levelland Hockley County Ethanol LLC, Patriot Renewable Fuels LLC, One Earth Energy LLC and Big River Resources.
Rex’s stock was down 30 cents, or 2.1 percent, in mid-day trading Thursday, to $14 per share.
E-mail tdemeropolis@bizjournals.com. Call (937) 528-4427.