AptarGroup Reports All-Time High Quarterly Results; Declares Dividend.CRYSTAL LAKE, Ill. -- AptarGroup, Inc. (NYSE NYSE See: New York Stock Exchange :ATR ATR Achilles tendon reflex, see Ankle reflex ) today reported the highest quarterly results in its history. The Company's Board of Directors also declared a quarterly dividend of $.13 per share. Third Quarter 2007 Highlights * Earnings per share climbed 40% to a record $.56 per share * German tax law changes contributed $.03 per share * Sales rose 20% to a record $485.7 million * Pharma and Beauty & Home segments were particularly strong * $19.7 million spent to repurchase 545,000 shares THIRD QUARTER RESULTS For the quarter ended September 30, 2007, sales increased 20% to a record $485.7 million, up from $404.9 million a year ago. Strong dispensing system sales System sales is a business term used in the franchising industry. Franchisors provide supplies, marketing and administration services to franchisees in return for a part of the franchisees' revenues. Some franchisors also operate some outlets directly. accounted for 13% of the growth while changes in exchange rates contributed 6% and acquisitions added 1%. Commenting on the quarter, Carl Siebel, 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. , said, "I'm pleased to report that we had another excellent quarter. Our international presence and dedication to being the innovation leader in our industry enabled us to once again post increased sales and profits across each of our business segments." [TABLE OMITTED] 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. increased to a record $57.4 million, up 29% from $44.6 million a year ago primarily due to the strength of the Pharma and Beauty & Home segments. Beauty & Home segment income (income before interest expense net of interest income, stock option and corporate expenses, income taxes and unusual items) increased 38% to $25.6 million driven by demand from the personal care and fragrance/cosmetic markets. Strong demand for nasal spray pumps and metered dose inhaler inhaler /in·hal·er/ (in-hal´er) 1. an apparatus for administering vapor or volatilized medications by inhalation. 2. ventilator (2). in·hal·er n. valves drove Pharma segment income to $29.4 million or an increase of 35%. Closures segment income rose 6% to $12.5 million primarily due to stronger sales to the food and beverage F&B is a common abbreviation in the United States and Commonwealth countries, including Hong Kong. F&B is typically the widely accepted abbreviation for "Food and Beverage," which is the sector/industry that specializes in the conceptualization, the making of, and delivery of foods. market. 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 increased 40% to a record $.56 per share compared to $.40 per share in the prior year. Included in 2007 earnings per share is a positive tax benefit of approximately $.03 per share related to tax law changes in Germany. Siebel added, "Record earnings were driven by strong demand for our innovative products, particularly in our Pharma and Beauty & Home segments where we also realized improved operating performance. Our Closures segment also posted increased profits primarily due to strong demand from the European and Latin American markets. However, Closures' growth was hampered by softer demand from the U.S. personal care market." YEAR-TO-DATE RESULTS For the year-to-date, sales increased 19% to a record $1.4 billion from approximately $1.2 billion a year ago. Dispensing system sales increased 12% while changes in exchange rates added 6% and acquisitions contributed 1% to AptarGroup's top line. Operating income increased to a record $161.6 million, up 34% from $120.8 million a year ago. Diluted earnings per share, including the $.03 per share positive tax benefit recorded in the third quarter, increased 41% to $1.48 per share compared to $1.05 per share a year ago. OUTLOOK Siebel commented, "Looking to the fourth quarter, we expect each of our business segments to grow over the prior year with notable strength coming from our Pharma and Beauty & Home segments. We estimate that diluted earnings per share for the fourth quarter will be in the range of $.43 to $.46 per share, or an increase of 13% to 21%, compared to $.38 per share reported a year ago." CASH DIVIDEND AND SHARE REPURCHASE Share Repurchase A program by which a company buys back its own shares from the marketplace, reducing the number of outstanding shares. This is usually an indication that the company's management thinks the shares are undervalued. PROGRAM The Board of Directors declared a quarterly dividend of $.13 per share, payable November 21, 2007 to shareholders of record as of October 31, 2007. Also during the quarter, the Company repurchased approximately 545,000 shares of common stock for $19.7 million leaving approximately 2.5 million shares authorized Shares authorized The maximum number of shares of stock of a company allowed in the articles of incorporation, which may be changed only by a shareholder vote. See: Issued and outstanding. shares authorized See authorized capital stock. for repurchase at the end of the third quarter. OPEN CONFERENCE CALL There will be a conference call on Thursday October 18, 2007 at 8:00 a.m. CDT CDT abbr. Central Daylight Time CDT Central Daylight Time CDT n abbr (US) (= Central Daylight Time) → hora de verano del centro; (BRIT to discuss the Company's third quarter results for 2007. The call will last approximately one hour. Interested parties are invited to listen to a live webcast by visiting the Investor Relations Investor relations The process by which the corporation communicates with its investors. page at www.aptargroup.com. Replay of the conference call can also be accessed on the Investor Relations page of the web site. AptarGroup, Inc. is a leading global supplier of a broad range of innovative dispensing systems for the fragrance/cosmetic, personal care, pharmaceutical, household and food/beverage markets. AptarGroup is headquartered in Crystal Lake, Illinois Crystal Lake is a city located in southeastern McHenry County in northeastern Illinois. It is named after Crystal Lake, a 230 acre (1 km²) lake 1.6 miles (2.6 km) west-southwest of downtown. The population was 38,000 at the 2000 census. , with manufacturing facilities in North America, Europe, Asia, and South America. For more information, visit the AptarGroup web site at www.aptargroup.com. This press release contains forward-looking statements. Forward-looking statements are made pursuant to the safe harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. provisions of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 and are based on management's beliefs as well as assumptions made by and information currently available to management. Accordingly, AptarGroup's actual results may differ materially from those expressed or implied in such forward-looking statements due to known or unknown risks and uncertainties that exist including, but not limited to, those related to overall business conditions in the various markets in which AptarGroup operates, the competitive marketplace, fiscal and monetary policy, changes in foreign exchange rates, direct or indirect consequences of acts of war Tom Clancy's Op-Center: Acts of War is a technothriller by Jeff Rovin Plot introduction The mobile Regional Operations Center (ROC) in Turkey investigates a dam blown up by Kurdish terrorists. or terrorism, labor relations and other risks and uncertainties discussed from time to time in AptarGroup's filings with the Securities and Exchange Commission, including its Form 10-K's and 10-Q's. Readers are cautioned not to place undue reliance on forward-looking statements. [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] |
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