American Buildings Company Reports Increased Sales and Earnings.EUFAULA Eufaula refers to:
Ala alanine. ala (a´lah) pl. a´lae [L.] a winglike process. .--(BUSINESS WIRE)--Feb. 9, 1999--American Buildings Company (NASDAQ NASDAQ 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 :ABCO ABCO Angelo Brothers Company ), today reported sales and earnings gains from continuing operations continuing operations Parts of a business that are expected to be maintained as an ongoing segment of an overall business operation. Income and losses from continuing operations are reported separately if any segments have been discontinued during the over 1997 and a Dec. 31, 1998 backlog Backlog The total value of sales orders waiting to be fulfilled. Notes: This figure is used mainly in the manufacturing industry. Increases or decreases in a company's backlog indicate the future direction of sales and earnings. 9% higher than the prior year. Results from continuing operations for 1998 reflect sales of $440.7 million, 41% higher than in 1997. The compound annual growth rate over the past five years has been 16%. 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. of $33.8 million was up 21%. Interest Expense, primarily associated with the acquisition of Windsor Windsor, British royal family Windsor (wĭn`zər), family name of the royal house of Great Britain. The name Wettin, family name of Albert of Saxe-Coburg-Gotha, consort of Queen Victoria, was changed to Windsor by George V in 1917. Door, was $3.9 million higher in 1998 than in 1997 and Income from Continuing Operations of $17.7 million compared to $16.6 million in 1997. Earnings per share from continuing operations were $3.15 versus $2.94 last year. On Dec. 9, 1998, the company announced that American American, river, 30 mi (48 km) long, rising in N central Calif. in the Sierra Nevada and flowing SW into the Sacramento River at Sacramento. The discovery of gold at Sutter's Mill (see Sutter, John Augustus) along the river in 1848 led to the California gold rush of Modular Technologies ("AMT See vPro. "), located in Liberty, N.C., was being discontinued dis·con·tin·ue v. dis·con·tin·ued, dis·con·tin·u·ing, dis·con·tin·ues v.tr. 1. To stop doing or providing (something); end or abandon: and that a charge of $1,194,000, net of tax benefits, was being taken in the fourth quarter. Since that announcement, it has been determined that an additional charge, net of tax benefit, of $552,000 is necessary to complete contracts in progress, bringing the total charge to $1,746,000 ($0.31 per share). Additionally, AMT operating losses operating loss The excess of operating expenses over revenue. As with operating income, operating losses exclude revenues and expenses from operations that are not considered a regular part of the business. Also called deficit. Compare operating income. , net of tax, for 1998 were $1,404,000 ($0.25 per share) compared to $762,000 ($0.13 per share) in 1997. Net Income for the year, including the discontinued operation discontinued operation A segment of a business that has been abandoned or sold or for which plans for one or another of these actions have been approved. See also continuing operations. , was $14,595,000 or $2.59 per share. Fourth quarter 1998 sales from continuing operations totaled $118 million, an 18% increase over 1997; operating income was $10.5 million, 4% more than in 1997. Interest expense totaled $1.2 million in 1998 versus $.4 million in 1997 and Income from Continuing Operations of $5.7 million compared to $6.0 million a year ago with Earnings per share of $1.03 versus $1.06. Robert T. Ammerman, Chief Executive Officer, indicated that the fourth quarter earnings comparison to 1997 was negatively impacted by higher than anticipated costs to complete several large projects, primarily in the Heavy Fabrication fabrication (fab´rikā´sh  n),n the construction or making of a restoration. Division, an operating loss in the Self-Storage Division due to lower than anticipated volume, and higher interest expense. The Windsor Door Division, acquired in December 1997, positively influenced the quarterly comparisons. Ammerman assessed 1998 performance as gratifying grat·i·fy tr.v. grat·i·fied, grat·i·fy·ing, grat·i·fies 1. To please or satisfy: His achievement gratified his father. See Synonyms at please. 2. in some respects, while disappointing in others. The Windsor Door Division made an excellent contribution in its first full year with American Buildings Company. Sales and earnings were in line with expectations and the anticipated synergistic synergistic /syn·er·gis·tic/ (sin?er-jis´tik) 1. acting together. 2. enhancing the effect of another force or agent. syn·er·gis·tic adj. 1. benefits are materializing. The Polymer Coil Coaters Division had a record year as it moved toward full utilization of the 1997 capacity expansion program. Sales and profit contribution in the Roofing Division were improved. Ammerman indicated that he was disappointed that the Buildings Division had reduced margin percentages for the year while achieving record volume. Higher than normal costs were incurred in manufacturing and engineering as plants struggled to deal with higher production levels and record backlogs. It is believed that these issues have been addressed. The backlog going into 1999 totaled $104.4 million, 9% higher than a year ago, however reduced order levels in the metal building divisions may limit volume in the first half of 1999. The door and coil coating businesses remain strong. During the fourth quarter of 1998 and January 1999, the Company purchased 50,000 shares bringing the total shares purchased under the program to 1,118,500 as of Jan. 31, 1999 of the previously announced 1,300,000 share authorization The right or permission to use a system resource; the process of granting access. See access control. . American Buildings Company is a diversified diversified (di·verˑ·s manufacturer and marketer of construction products and services for nonresidential and residential applications. The Company provides metal building systems for industrial, commercial and institutional nonresidential markets and is a major manufacturer and marketer of metal roofing systems. The Company also provides specialty engineering In systems engineering, Specialty Engineering includes the engineering domains that are not typical of the main engineering effort. Hardware engineering, software engineering, and human factors engineering may be used as major elements in a majority of systems engineering efforts services for large, complex building structures, markets metal building components and paints steel coils. In addition, the Company markets and produces steel sectional sec·tion·al adj. 1. Of, relating to, or characteristic of a particular district. 2. Composed of or divided into component sections. n. upward acting doors for residential and commercial applications, as well as light gauge steel framing systems. The Company markets throughout North America North America, third largest continent (1990 est. pop. 365,000,000), c.9,400,000 sq mi (24,346,000 sq km), the northern of the two continents of the Western Hemisphere. and in selected international countries. Statements in this press release concerning the Company's business outlook or future economic performance; anticipated profitability, revenues, expenses or other financial items; and product line growth, together with other statements that are not historical facts, are "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. " as that term is defined under the Federal Securities Laws. Forward-looking statements are subject to risks, uncertainties and other factors which could cause actual results to differ materially from those stated in such statements. Such risks, uncertainties and factors include, but are not limited to, industry cyclicality, fluctuations in customer demand and order pattern, the seasonal nature of the business, changes in pricing or other actions by competitors, and general economic conditions, as well as other risks detailed in the company's filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. for the year ended December 31, 1997. -0-
American Buildings Company
Quarterly Financial Data
1998
First Second Third Fourth
Quarter Quarter Quarter Quarter Total
Net sales $ 95,853 $107,212 $119,597 $117,998 $440,660
Operating Income 4,413 7,684 11,208 10,529 33,834
Interest expense 1,276 1,234 1,279 1,192 4,981
Income from continuing
operations 1,929 3,968 6,106 5,742 17,745
Loss from operations
of discontinued
business (295) (265) (24) (820) (1,404)
Loss on Disposal of
discontinued
business -- -- -- (1,746) (1,746)
Net Income $ 1,634 $ 3,703 $ 6,082 $ 3,176 $ 14,595
Diluted Earnings
Per Share:
Income from
continuing
operations $ 0.34 $ 0.70 $ 1.08 $ 1.03 $ 3.15
Loss from
Operations of
discontinued
business (0.05) (0.05) (0.00) (0.15) (0.25)
Loss on Disposal
of discontinued
business -- -- -- (0.31) (0.31)
Net Income $ 0.29 $ 0.65 $ 1.08 $ 0.57 $ 2.59
Weighted Average
shares outstanding
- Diluted 5,633 5,695 5,629 5,574 5,629
1997
First Second Third Fourth
Quarter Quarter Quarter Quarter Total
Net Sales $ 55,496 $ 75,660 $ 81,139 $ 99,672 $ 311,967
Operating income 2,566 7,207 8,144 10,158 28,075
Interest expense 225 266 131 439 1,061
Income from continuing
operations 1,439 4,269 4,928 5,977 16,613
Income (loss) from
operations of
discontinued
business 76 88 (119) (807) (762)
Net income $ 1,515 $ 4,357 $ 4,809 $ 5,170 $ 15,851
Diluted Earnings
Per Share:
Income from Continuing
Operations $ 0.26 $ 0.75 $ 0.87 $ 1.06 $ 2.94
Income (loss) from
operations of
discontinued
business 0.01 0.02 (0.02) (0.14) (0.13)
Net Income $ 0.27 $ 0.77 $ 0.85 $ 0.92 $ 2.81
Weighted Average
Shares Outstanding
- Diluted 5,666 5,658 5,648 5,622 5,649
American Buildings Company
Selected Financial Information
(Unaudited)
Dec. 31, 1998
(000's Omitted)
Statements of Operations
Three Months Ended Twelve Months Ended
Dec. 31, Dec. 31,
1998 1997 1998 1997
Net Sales $117,998 $99,672 $440,660 $311,967
Cost of Sales 97,508 81,574 368,941 256,285
Gross Margin $ 20,490 $18,098 $ 71,719 $ 55,682
Selling, general
and administrative 9,961 7,940 37,885 27,607
Operating Income $ 10,529 $10,158 $ 33,834 $ 28,075
Interest Expense $ 1,192 $ 439 $ 4,981 $ 1,061
Income from Continuing
Operations $ 5,742 $ 5,977 $17,745 $ 16,613
Loss from Operations of
Discontinued Business $ (820) $ (807) $(1,404) $ (762)
Loss on Disposal of
Discontinued Business $ (1,746) - $(1,746) -
Net Income $ 3,176 $ 5,170 $14,595 $15,851
Per Share Data - Diluted
Income from Continuing
Operations $ 1.03 $ 1.06 $ 3.15 $ 2.94
Loss from Operations of
Discontinued Business $ (0.15) $ (0.14) $ (0.25) $ (0.13)
Loss on Disposal of
Discontinued Business $ (0.31) - $ (0.31) -
Net Income $ 0.57 $ 0.92 $ 2.59 $ 2.81
Weighted average common
shares - Diluted 5,574 5,622 5,629 5,649
Selected Balance Sheet Data
Dec. 31, Dec. 31,
1998 1997
Cash $ 2,467 $16,560
Working Capital,
excluding Cash $ 43,593 $20,548
Long Term Debt $ 67,774 $71,407
Total Equity (net of
Treasury Stock) $70,745 $55,796
Treasury Stock ($28,688) ($28,451)
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