Bemis Company Announces a 16% Increase in 4th Quarter EPS.Business Editors MINNEAPOLIS--(BUSINESS WIRE)--Jan. 24, 2002 Bemis Company Bemis Company, Inc. is an American manufacturer of flexible packaging products and pressure-sensitive materials, which are distributed worldwide. Bemis is part of the S&P 500 index. References
See: New York Stock Exchange :BMS BMS abbr. Bachelor of Marine Science ) today reported record quarterly 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. earnings of $0.73 per share for the fourth quarter ended December December: see month. 31, 2001, a 16 percent increase over the prior year level of $0.63 per share. Fourth quarter net sales Net Sales The amount a seller receives from the buyer after costs associated with the sale are deducted. Notes: This amount is calculated by subtracting the following items from gross sales: merchandise returned for credit, allowances for damaged or missing goods, freight decreased 2 percent to $559 million from $572 million in the prior year. Total year diluted earnings of $2.64 per share represents an 8 percent increase over the prior year level of $2.44. Net sales in 2001 were $2.3 billion, a 6 percent increase over net sales in 2000. Flexible packaging, representing nearly 80 percent of total company net sales, reported net sales of $437 million in the fourth quarter, a decrease of 1.6 percent from the prior year's level. Operating profit Operating profit (or loss) Revenue from a firm's regular activities less costs and expenses and before income deductions. operating profit See operating income. for the fourth quarter was $69 million, up 9.5 percent from the fourth quarter of 2000. As a percentage of net sales, operating profit increased to 15.8 percent from 14.2 percent a year ago. This increased profitability reflects the change in plastic packaging sales mix sales mix See product mix. experienced throughout 2001, an ongoing focus on cost control, and performance improvement in the paper packaging division. For the total year, net sales of flexible packaging increased 8.6 percent to $1.8 billion, primarily due to the impact of recent acquisitions. Operating profit as a percent of net sales increased to 15.2 percent compared to 13.3 percent in 2000. Fourth quarter net sales from the pressure sensitive materials business segment were $122 million, a 4.8 percent decrease from the fourth quarter of 2000. The weakened weak·en tr. & intr.v. weak·ened, weak·en·ing, weak·ens To make or become weak or weaker. weak  en·er n. economy and general overcapacity o·ver·ca·pac·i·ty n. Too great a capacity for production of commodities or delivery of services in relation to actual need: the problem of overcapacity in many large industries. in the pressure sensitive materials industry have impacted sales in this business segment throughout 2001. This segment contributed operating profit of $5.6 million or 4.6 percent of net sales for the quarter. While these results are below last year's quarterly profit of almost $7.7 million or 6.1 percent of net sales, they represent the highest quarterly profit levels of 2001 in this business segment. Total year net sales for pressure sensitive materials were $491 million, 2.9 percent less than the net sales of 2000. Operating profit as a percent of net sales was about 2.5 percent in 2001 compared to 7.9 percent in 2000. "Bemis Bemis may refer to:
Imminent peril, for example, is danger that is certain, immediate, and impending, such as the type an individual might be in as a result of a serious illness or accident. , and we have made manufacturing improvements in our pressure sensitive materials business, which we expect to lead to improved results in 2002. This year, Bemis generated a record $318 million in cash flow provided by operating activities and successfully allocated those resources to invest in capacity, make strategic acquisitions, increase the dividend to our shareholders, and pay down debt. Debt to total capitalization Total capitalization The total long-term debt and all types of equity of a company that constitutes its capital structure. total capitalization See capitalization. levels improved this year from 43 percent at the end of last year to 37 percent at December 31, 2001, further strengthening our financial position. The achievements of 2001 have enhanced our ability to deliver quality products and services to our customers, innovation to the marketplace, and value to our shareholders. As we look to the future, I am confident that we will continue to benefit from these improvements in 2002 and beyond." New accounting pronouncement In 2002, Bemis will adopt the reporting requirements of FAS 142, "Goodwill and Other Intangible Assets Intangible Asset An asset that is not physical in nature. Notes: Examples are things like copyrights, patents, intellectual property, and goodwill. These are the opposite of tangible assets. ". Based upon the Company's assessment of recorded goodwill and intangible assets, had the standard been in effect January January: see month. 1, 2001, the full year 2001 impact would have been approximately ap·prox·i·mate adj. 1. Almost exact or correct: the approximate time of the accident. 2. $0.17 of additional 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 . Earnings Outlook Including the effect of the new accounting pronouncement mentioned above, Bemis expects first quarter 2002 results to improve over last year's results to a range from $0.63 to $0.66. For the full year 2002, given the current level of uncertainty in economic forecasts, management expects to deliver diluted earnings per share in the $2.90 to $3.00 range. Bemis Company, Inc. will Webcast an investor telephone conference regarding its fourth quarter 2001 financial results this morning at 10 a.m., Eastern Time. Individuals may listen to the call on the Internet Internet Publicly accessible computer network connecting many smaller networks from around the world. It grew out of a U.S. Defense Department program called ARPANET (Advanced Research Projects Agency Network), established in 1969 with connections between computers at the at www.bemis.com under "Investor Relations Investor relations The process by which the corporation communicates with its investors. ". However, they are urged to check the website ahead of time to ensure their computers are configured con·fig·ure tr.v. con·fig·ured, con·fig·ur·ing, con·fig·ures To design, arrange, set up, or shape with a view to specific applications or uses: for the audio stream. Instructions for obtaining the required, free, downloadable software are available in a pre-event system test on the site. Bemis Company is a major supplier of flexible packaging and pressure sensitive materials used by leading food, consumer products, manufacturing, and other companies worldwide. More information about the company is available at our website, www.bemis.com. Statements in this release that are not historical are considered "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. " and are subject to certain risks and uncertainties. Actual future results and trends may differ materially from historical results or those projected in any such 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. depending on a variety of factors which are detailed in the Company's regular SEC filings including the most recently filed 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, 2000.
BEMIS COMPANY, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(in thousands, except per share amounts)
(unaudited)
----------------------------------------------------------------------
Three Months Ended Twelve Months Ended
December 31, December 31,
---------------------------------------
2001 2000 2001 2000
---------------------------------------
Net sales $558,570 $571,855 $2,293,104 $2,164,583
Costs and expenses:
Cost of products sold 437,989 455,025 1,815,442 1,717,259
Selling, general and
administrative expenses 50,644 47,487 207,158 192,275
Research and development 2,083 2,682 10,313 10,080
Interest expense 4,401 11,325 30,343 31,609
Other costs (income), net 7 440 1,869 1,362
Minority interest in net
income 158 152 554 496
---------------------------------------
Income before income taxes 63,288 54,744 227,425 211,502
Provision for income taxes 24,200 21,300 87,100 80,900
---------------------------------------
Net income $39,088 $33,444 $140,325 $130,602
=======================================
Basic earnings per share
of common stock $.74 $.63 $2.67 $2.46
=======================================
Diluted earnings per share
of common stock $.73 $.63 $2.64 $2.44
=======================================
Cash dividends paid $.25 $.24 $1.00 $.96
=======================================
Weighted average common shares
and common stock equivalents
outstanding 53,403 53,267 53,122 53,553
======================================================================
BEMIS COMPANY, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(dollars in thousands)
(unaudited)
----------------------------------------------------------------------
Dec 31, Dec 31,
ASSETS 2001 2000
------ -----------------------
Cash $35,101 $28,910
Accounts receivable - net 258,397 301,974
Inventories 259,755 274,323
Prepaid expenses 33,644 34,752
-----------------------
Total current assets 586,897 639,959
-----------------------
Property and equipment, net 852,720 825,754
Goodwill 333,275 297,898
Intangible assets, deferred charges, and other
assets 150,082 125,032
-----------------------
Total 483,357 422,930
-----------------------
TOTAL ASSETS $1,922,974 $1,888,643
=======================
LIABILITIES AND STOCKHOLDERS' EQUITY
------------------------------------
Current portion of long-term debt $1,363 $227,459
Short-term borrowings 2,091 7,353
Accounts payable 173,791 207,115
Accrued salaries and wages 45,241 43,661
Accrued income and other taxes 13,512 9,509
-----------------------
Total current liabilities 235,998 495,097
Long-term debt, less current portion 597,416 437,952
Deferred taxes 121,979 103,621
Other liabilities and deferred credits 79,305 51,646
-----------------------
Total liabilities 1,034,698 1,088,316
-----------------------
Minority interest 2,128 1,570
Stockholders' equity:
Common stock (61,270,317 and 60,972,802
shares) 6,127 6,097
Capital in excess of par value 244,978 237,100
Retained income 942,019 854,506
Other comprehensive income (loss) (56,659) (49,855)
Treasury common stock (8,400,388 and
8,370,388 shares) (250,317) (249,091)
-----------------------
Total stockholders' equity 886,148 798,757
-----------------------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $1,922,974 $1,888,643
======================================================================
BEMIS COMPANY, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(in thousands)
(unaudited)
----------------------------------------------------------------------
Twelve Months Ended
December 31,
-------------------
2001 2000
-------------------
Cash flows from operating activities
------------------------------------
Net income $140,325 $130,602
Adjustments to reconcile net income to net cash
provided by operating activities:
Depreciation and amortization 124,149 108,130
Minority interest in net income 554 496
Deferred income taxes, non-current portion 16,499 14,783
Losses of unconsolidated affiliated companies 2,320 2,732
Tax benefits related to stock incentive
programs 2,023 2,725
Loss (gain) on sale of property and equipment 1,219 234
Changes in working capital, net of effects of
acquisitions and dispositions 41,135 (36,231)
Net change in deferred charges and credits (10,243) (13,287)
-------------------
Net cash provided by operating activities 317,981 210,184
-------------------
Cash flows from investing activities
------------------------------------
Additions to property and equipment (117,481) (100,420)
Business acquisitions (72,155) (295,075)
Proceeds from sale of property and equipment 867 1,943
Other 0 (1,082)
-------------------
Net cash used in investing activities (188,769) (394,634)
-------------------
Cash flows from financing activities
------------------------------------
Change in long-term debt excluding debt assumed in
business acquisition 160,873 65,740
Change in short-term debt (231,233) 228,444
Cash dividends paid (52,812) (51,158)
Common stock purchased for the treasury (1,226) (42,752)
Stock incentive programs 687 (2,726)
-------------------
Net cash provided by (used in) financing
activities (123,711) 197,548
-------------------
Effect of exchange rates on cash 690 (2,375)
-------------------
Net increase in cash 6,191 10,723
Cash balance at beginning of year 28,910 18,187
-------------------
Cash balance at end of year $35,101 $28,910
======================================================================
|
|
||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion