AMETEK Achieves Record Quarterly Results; Revenues Increase 16%, Net Income up 32%.PAOLI Pa·o·li , Pasquale di 1725-1807. Corsican patriot who led (from 1755) the struggle for independence from Genoa. , Pa. -- AMETEK Inc. (NYSE NYSE See: New York Stock Exchange :AME See AIT. ) today announced third quarter results that established quarterly records for sales, operating income Operating Income The profit realized from a business' own operations. Notes: This would not include income from things such as investments in other firms. Also referred to as operating profit or recurring profit. , net income and diluted earnings per share diluted earnings per share An earnings measure calculated by dividing net income less preferred stock dividends for a period by the average number of shares of common stock that would be outstanding if all convertible securities were converted into shares of . AMETEK's third quarter 2004 sales of $310.7 million were up 16% from the $267.8 million recorded in the third quarter of 2003. Operating income for the third quarter of 2004 was $50.5 million, up 28% from the third quarter of 2003. Net income of $29.0 million was up 32% from last year's third quarter and diluted earnings per share were $.42 per share, up 31% over the same quarter of last year. "AMETEK performed extremely well in the third quarter, establishing quarterly records for sales and earnings. This record performance was driven by strong internal growth, continued operational improvements, and contributions from our strategic acquisitions," commented Frank S. Hermance Hermance is a municipality of the Canton of Geneva, Switzerland. External links
For the first nine months of 2004, AMETEK sales increased 12% to $906.0 million from $812.2 million in the same period of 2003. Operating income totaled $141.4 million, a 23% increase from $114.9 million earned in the first nine months of last year. Net income for the first nine months of 2004 was $81.4 million, up 28% from $63.5 million in the same period of 2003. Diluted earnings per share were up 26% to $1.18 per share for the first nine months of 2004. Electronic Instruments Group (EIG EIG Excellence in Government EIG Engineering Installation Group EIG Evènement Indésirable Grave (French) EIG Erie Insurance Group EIG Ecole Internationale de Genève (French) ) EIG's third quarter 2004 sales were $172.9 million, up 24% from last year's level of $139.0 million. Third quarter group operating income was up 29% to $32.1 million, versus $24.9 million in the same period of 2003. Group operating margins Operating Margin A ratio used to measure a company's pricing strategy and operating efficiency. Calculated by: were 18.6%, up from 17.9% in the third quarter of 2003. "EIG had a tremendous quarter," noted Mr. Hermance. "The revenue increase was driven by 8% internal growth and the contributions from the Taylor Taylor, city (1990 pop. 70,811), Wayne co., SE Mich., a suburb of Detroit adjacent to Dearborn; founded 1847 as a township, inc. as a city 1968. A small rural village until World War II, it developed significantly in the second half of the 20th cent. Hobson Hobson may refer to: People with the surname Hobson:
Electromechanical The use of electricity to run moving parts. Disk drives, printers and motors are examples. Electromechanical systems must be designed for the eventual deterioration of moving components that wear over time. The first TVs were electromechanical systems (see video/TV history). Group (EMG EMG abbr. electromyogram Electromyography (EMG) A diagnostic test that records the electrical activity of muscles. ) EMG's sales of $137.8 million were up 7% from $128.8 million in the third quarter of 2003. Third quarter group operating income of $24.0 million was up 11%, versus $21.6 million reported for the same period of 2003. EMG's operating income margin in the third quarter of 2004 was 17.4%, compared with 16.8% in the third quarter of 2003. "EMG also had an excellent quarter. The revenue growth was driven by strong performance in our differentiated dif·fer·en·ti·ate v. dif·fer·en·ti·at·ed, dif·fer·en·ti·at·ing, dif·fer·en·ti·ates v.tr. 1. To constitute the distinction between: businesses. Operating income was up 11% on the addition of Hughes Treitler and our continued operational improvements across the Group," added Mr. Hermance. Outlook Mr. Hermance commented, "We are again raising our estimates for the year. Full-year revenues are expected to be up low double-digits on the benefits of our acquisition program and continued solid internal growth in each of our two Groups. Earnings are expected to be approximately ap·prox·i·mate adj. 1. Almost exact or correct: the approximate time of the accident. 2. $1.59 to $1.61 per diluted di·lute tr.v. di·lut·ed, di·lut·ing, di·lutes 1. To make thinner or less concentrated by adding a liquid such as water. 2. To lessen the force, strength, purity, or brilliance of, especially by admixture. share, an increase of approximately 22% to 24% over 2003." "Our fourth quarter 2004 sales are expected to be up low double-digits from last year's fourth quarter on internal growth in both segments and the contribution from the Taylor Hobson and Hughes-Treitler acquisitions. We expect our earnings to be approximately $.41 to $.43 per diluted share, an increase of approximately 14% to 19% over last year's fourth quarter," concluded Mr. Hermance. Conference Call AMETEK, Inc. will Web cast its Third Quarter 2004 investor conference call on Wednesday Wednesday: see week. , October October: see month. 20, 2004, beginning at 8:30 AM ET. The live audio Web cast will be available at www.ametek.com/investors and at www.streetevents.com. To access the Web cast from ametek.com, click on the Audio Conference Call link. The call will be archived at www.ametek.com/investors. To access the audio archive (1) A file that contains one or more compressed files. Most archive formats are also capable of storing folders in order to reconstruct the file/folder relationship when decompressed. See archive formats. , click on the Audio Conference Call link in the Investors Section. Corporate Profile AMETEK is a leading global manufacturer of electronic instruments and electric motors with annualized annualized Of or relating to a variable that has been mathematically converted to a yearly rate. Inflation and interest rates are generally annualized since it is on this basis that these two variables are ordinarily stated and compared. sales of more than $1.2 billion. AMETEK's Corporate Growth Plan is based on Four Key Strategies: Operational Excellence, Strategic Acquisitions & Alliances, Global & Market Expansion and New Products. AMETEK's objective is double-digit dou·ble-dig·it adj. Being between 10 and 99 percent: double-digit inflation. percentage growth in earnings per share over the business cycle and a superior return on total capital. The common stock of AMETEK is a component of the S&P MidCap mid·cap adj. 1. Or or relating to corporations whose retained earnings and outstanding shares of common stock have a value between those of small cap companies and large cap corporations. 2. 400 Index and the Russell 1000 Index The Russell 1000 Index is a stock market index of US stocks. The ticker is "RUI" or similar. See Russell Indexes page for main discussion. See also the iShares Russell 1000. External links
Forward-looking for·ward-look·ing adj. Concerned with or making provision for the future: forward-looking educators; a forward-looking corporate plan. Adj. 1. Information Statements in this news release that are not historical are considered "forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. " and are subject to change based on various factors and uncertainties that may cause actual results to differ significantly from expectations. Those factors are contained in AMETEK's Securities and Exchange Commission filings.
AMETEK, Inc.
CONSOLIDATED STATEMENT OF INCOME (Unaudited)
(In thousands, except per share amounts)
Three months ended Nine months ended
September 30, September 30,
------------------- -------------------
2004 2003 2004 2003
--------- --------- --------- ---------
Net sales $310,707 $267,781 $906,047 $812,182
--------- --------- --------- ---------
Expenses:
Cost of sales, excluding
depreciation 216,534 190,049 640,479 586,398
Selling, general and
administrative 35,112 30,130 97,954 85,697
Depreciation 8,608 8,123 26,184 25,191
--------- --------- --------- ---------
Total expenses 260,254 228,302 764,617 697,286
--------- --------- --------- ---------
Operating income 50,453 39,479 141,430 114,896
Other income (expenses):
Interest expense (7,541) (6,459) (20,676) (19,426)
Other, net (659) 160 (696) (939)
--------- --------- --------- ---------
Income before income taxes 42,253 33,180 120,058 94,531
Provision for income taxes 13,233 11,262 38,707 31,079
--------- --------- --------- ---------
Net income $29,020 $21,918 $81,351 $63,452
========= ========= ========= =========
Diluted earnings per share (a) $0.42 $0.32 $1.18 $0.94
========= ========= ========= =========
Basic earnings per share (a) $0.43 $0.33 $1.20 $0.96
========= ========= ========= =========
Average common shares
outstanding (a):
Diluted shares 69,552 67,721 69,039 67,389
========= ========= ========= =========
Basic shares 68,124 66,474 67,657 66,073
========= ========= ========= =========
Dividends per share (a) $0.06 $0.03 $0.18 $0.09
========= ========= ========= =========
(a) Amounts for 2003 have been restated to reflect a two-for-one stock
split effective February 27, 2004.
AMETEK, INC.
INFORMATION BY BUSINESS SEGMENT (Unaudited)
(In thousands)
Three months ended Nine months ended
September 30, September 30,
------------------- -------------------
2004 2003 2004 2003
--------- --------- --------- ---------
Net sales
------------------------------
Electronic Instruments $172,929 $138,978 $483,094 $409,942
Electromechanical 137,778 128,803 422,953 402,240
--------- --------- --------- ---------
Total Consolidated $310,707 $267,781 $906,047 $812,182
========= ========= ========= =========
Operating income
------------------------------
Electronic Instruments $32,083 $24,886 $86,215 $66,753
Electromechanical 24,029 21,640 72,378 65,131
--------- --------- --------- ---------
Total segments 56,112 46,526 158,593 131,884
Corporate and other (5,659) (7,047) (17,163) (16,988)
--------- --------- --------- ---------
Total Consolidated $50,453 $39,479 $141,430 $114,896
========= ========= ========= =========
AMETEK, Inc.
CONDENSED CONSOLIDATED BALANCE SHEET
(In thousands)
September 30, December 31,
2004 2003
-------------- ---------------
(unaudited)
ASSETS
-------
Current assets:
Cash, cash equivalents and
marketable securities $32,410 $22,886
Receivables, net 214,920 189,010
Inventories 167,615 143,359
Other current assets 34,567 26,811
-------------- ---------------
Total current assets 449,512 382,066
Property, plant and equipment, net 203,416 213,622
Goodwill, net 608,735 506,964
Other intangibles, investments and
other assets 129,926 112,195
-------------- ---------------
Total assets $1,391,589 $1,214,847
============== ===============
LIABILITIES AND STOCKHOLDERS' EQUITY
-------------------------------------
Current liabilities:
Short-term borrowings and current
portion of long-term debt $79,454 $106,774
Accounts payable and accruals 204,461 182,457
-------------- ---------------
Total current liabilities 283,915 289,231
Long-term debt 407,964 317,674
Deferred income taxes and other long-
term liabilities 87,899 78,812
Stockholders' equity 611,811 529,130
-------------- ---------------
Total liabilities and
stockholders' equity $1,391,589 $1,214,847
============== ===============
|
|
||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion