Aftermarket Technology Reports First Quarter 1998 Financial Results; 13% Increase in Net Income Before Extraordinary Item.WESTMONT Westmont is the name of some places in the United States:
in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on :ATAC ATAC Arimidex, tamoxifen and combination therapy ) today announced that for the quarter ended March 31, 1998, the company had revenues of $107.0 million and income before extraordinary item of $6.3 million, or 30 cents 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, excluding an extraordinary charge of $0.4 million, or two cents per diluted share, net of tax, related to the restatement Restatement A revision in a company's earlier financial statements. Notes: The need for restating financial figures can result from fraud, misrepresentation, or a simple clerical error. and amendment of its revolving term credit agreement in March 1998. That compares to revenues of $82.7 million and income before extraordinary item of $5.6 million, or 29 cents per diluted share, in the first quarter of 1997, excluding an extraordinary charge of $3.7 million, or 20 cents per diluted share, net of tax, related to the early retirement of debt in February February: see month. 1997. The number of shares used to calculate net income per diluted share was 21.3 million for the first quarter of 1998, compared to 18.9 million for the comparable quarter of 1997. "As expected, it was a challenging quarter," commented Stephen Stephen, 1097?–1154, king of England (1135–54). The son of Stephen, count of Blois and Chartres, and Adela, daughter of William I of England, he was brought up by his uncle, Henry I of England, who presented him with estates in England and France and J. Perkins Per·kins , Frances 1882-1965. American social reformer and public official. As U.S. secretary of labor (1933-1945) she was the first woman to hold a cabinet position. , chairman, president and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of Aftermarket Aftermarket See: Secondary market. aftermarket See secondary market. Technology, "primarily due to softness in sales to our OEM (Original Equipment Manufacturer) The rebranding of equipment and selling it. The term initially referred to the company that made the products (the "original" manufacturer), but eventually became widely used to refer to the organization that buys the products and customers. We believe that, among other factors, the mild winter across much of the nation reduced the need for transmission replacements. Nevertheless, we are pleased that we were able to achieve a modest increase in earnings and successfully complete the Autocraft acquisition during the quarter. Autocraft, with annual sales of approximately $150 million, has significantly enhanced our OEM customer base, added valuable new products and services and expanded the geographic scope of our operations into Europe Europe (y  r`əp), 6th largest continent, c.4,000,000 sq mi (10,360,000 sq km) including adjacent islands (1992 est. pop. 512,000,000). ."We anticipate significant earnings growth in the second half of 1998," Perkins continued, "driven in part by the expected launch of the remanufactured Chrysler Chrys·ler , Walter Percy 1875-1940. American automobile manufacturer who founded the Chrysler Corporation (1925). rear wheel drive transmission program and by Autocraft. Nevertheless, recently available information indicates that reduced transmission replacements during the mild winter have resulted in our OEM customers having excess inventory. Therefore, we expect sales to OEM customers to remain soft during the second quarter as they adjust their inventories accordingly. As a result, we expect that earnings for the quarter will be flat compared to the second quarter of 1997." -0- The preceding paragraph contains 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. that are subject to risks and uncertainties that are described in the company's filings with the Securities and Exchange Commission. There can be no assurance that actual results will not differ materially from those projected or implied by such statements. Aftermarket Technology is a leading remanufacturer and distributor of drive train products used in the repair of vehicles in the automotive aftermarket. Aftermarket Technology's principal products include remanufactured transmissions, torque converters, engines, electronic control modules, instrument display clusters and radios as well as remanufactured and new parts for the repair of automotive drive train assemblies. The company's customers include original equipment manufacturers, independent transmission rebuilders, general repair shops, distributors and retail automotive parts stores. Established in 1994, the company maintains over 50 distribution centers throughout the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. and Canada and also has facilities in Mexico and England. (Table to Follow) -0-
AFTERMARKET TECHNOLOGY CORP.
CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except per share data)
Three Months Ended
March 31, March 31,
1998 1997
(Unaudited)
Net sales $ 107,001 $ 82,688
Cost of sales 69,523 51,113
-------- --------
Gross profit 37,478 31,575
Selling, general and
administrative expense 21,106 17,459
Amortization of intangible assets 1,488 984
-------- --------
Income from operations 14,884 13,132
Interest and other income 651 701
Interest expense 5,185 4,524
-------- --------
Income before income taxes
and extraordinary item 10,350 9,309
Provision for income taxes 4,047 3,742
-------- --------
Income before extraordinary item 6,303 5,567
Extraordinary item -- net of income tax
benefit of $242 and $2,520 for 1998
and 1997 363 3,749
-------- --------
Net income $ 5,940 $ 1,818
======== ========
Basic earnings per common share:
Income before extraordinary item $ 0.32 $ 0.33
Extraordinary item (0.02) (0.22)
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Net income $ 0.30 $ 0.11
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Weighted average number of common shares
outstanding 19,780 16,981
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Diluted earnings per common share:
Income before extraordinary item $ 0.30 0.29
Extraordinary item (0.02) (0.20)
======== ========
Net income $ 0.28 $ 0.09
======== ========
Weighted average number of common and
common equivalent shares outstanding 21,266 18,866
======== ========
CONTACT: Kaufer Miller Communications John Snyder, 425/450-9965 johns@kmrc.com or Aftermarket Technology John Kent, 630/455-6000 JKent@ATC ATC Air Traffic Control ATC Average Total Cost ATC Certified Athletic Trainer ATC At the Center (Hartford, Maine retreat center) ATC Applied Technology Council ATC All Things Considered .atcaff.com |
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