Tomahawk, WI 8/07/2013 (Basicsmedia) – PCMI has been serving its customers, primarily in the U.S, by providing them with technological products and services, in addition to solutions designed to resolve or tackle commercially-related problems. It sells these products and services to educational institutions, governments, and individuals mostly in the U.S. The company has been providing these services and products since 1987 when it was founded, and it operates from its headquarters located in El Segundo, California. But is this company profitable enough to warrant or attract more investments?

How Did PCMI Perform in Comparison with other Companies in the Industry?

At times, it may not be sufficient for comparison between one company and the other to be done. It may be nigh impossible for an investor to decide whether his/her investment in a given company is warranted by looking at its financial results without comparing the same with other firms in the same industry. As a player in the specialty retail industry, as well as being part of the services sector, PCMI has been forced to work extra hard to overcome the challenges it faced in order to post the kind of results it recently posted for the Q2 of 2013.

Investors need to understand that PCMI had reported net sales for Q2 2012 of around $351.7 million. When you compare this figure with the Q2 2013 of $366.4 million, it immediately becomes clearer to you that this is growth. There was an increase in the consolidated gross profits which rose from $48.5 million for Q2 2012, to settle at $51.1 million in Q2 2013, thus representing an increase of around 5%. According to the CEO of PCMI, this represented major or significant growth compared to what its competitors posted in the same period.

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This image, courtesy of www.4-traders.com, shows PCMI’s net profits.

The market or environment where PCMI has to operate is one which is quite demanding and faced with many challenges, although it has managed to remain stable thus far. There is reason to believe that the company somehow managed to grow its market share as was demonstrated through the 4% year-over-year growth it witnessed in its sales. The growth of profit margin by 14%, up from 13.8%, is also a good sign and offers further proof of the fact that the company is moving on well. Several aspects of the company’s operations managed to post positive results.

It has become clearer to me, through a close observation of PCMI latest results, that the company’s employees have increased and improved their productivity. Since there is overall and general growth in terms of how the company operates, it is safe to say that it is on safe and solid grounds, thus, should not be a cause of worries for their investors. The company continues to enjoy several businesses from the federal government, as was demonstrated by more than 218% in growth from this one segment. This is a clear demonstration that the company is stable.

My take on PCMI is that the company is quite profitable, thus should be able to continue attracting more business and investments into the foreseeable future. It is a company worth investing in.

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