Brush Wellman Reports All-Time Record Sales in the Second Quarter 1997.CLEVELAND--(BUSINESS WIRE)--July 21, 1997--Brush Wellman Wellman(n) may refer to:
See: New York Stock Exchange :BW) today reported net income for the second quarter 1997 of $7.5 million, and earnings per share of 45 cents. Net income and earnings per share in the second quarter 1996 were $8.1 million and 51 cents, respectively. Sales for the second quarter 1997 were a record $113 million, a 9% increase over sales of $104 million during the second quarter last year, the previous record. For the first six months of 1997, net income was $14.0 million, a 5% increase over first half 1996 net income of $13.3 million. First half 1997 earnings per share were 84 cents, up 1% compared with earnings per share of 83 cents in the first half 1996. Sales during the first half 1997 were a record $213 million, an 8% increase over first half 1996 sales of $198 million, the previous record. The sales increases and solid earnings have been achieved despite the strong dollar and lower copper prices compared with the first half 1996. The stronger dollar alone reduced earnings by five cents per share Cents per share The amount of a mutual fund's dividend or capital gains distributions that a shareholder will receive for each share owned. in the first quarter and six cents per share in the second quarter 1997, compared with the same periods in 1996. A strong dollar, relative to comparative periods, tends to reduce sales and income from the Company's overseas operations due to currency translation effects. Actual production volumes are generally unaffected by changes in currency exchange rates because overseas sales are typically priced in local currency. Sales of the Company's Williams Advanced Materials Advanced Materials is a leading peer-reviewed materials science journal published every two weeks. Advanced Materials includes Communications, Reviews, and Feature Articles from the cutting edge of materials science, including topics in chemistry, physics, Inc. (WAM WAM - Intermediate language for compiled Prolog, used by the Warren Abstract Machine. "An Abstract Prolog Instruction Set", D.H.D. Warren, TR 309, SRI 1983. ) subsidiary increased dramatically in the second quarter, to an all time record. This performance resulted from the success of the team at WAM in developing new markets and adapting to rapidly changing customer requirements. However, WAM sales, though profitable, tend to contribute lower margins because of their high precious metal content. Sales of Ceramic This article is about ceramic materials. For the fine art, see Ceramic art. The word ceramic is derived from the Greek word κεραμικός (keramikos). Products, International Alloy alloy (ăl`oi, əloi`) [O. Fr.,=combine], substance with metallic properties that consists of a metal fused with one or more metals or nonmetals. , Beryllium beryllium (bərĭl`ēəm) [from beryl ], metallic chemical element; symbol Be; at. no. 4; at. wt. 9.01218; m.p. about 1,278°C;; b.p. 2,970°C; (estimated); sp. gr. 1.85 at 20°C;; valence +2. Products and Technical Materials, Inc. all grew in the second quarter 1997 relative to the second quarter 1996. Domestic sales of Alloy Products declined somewhat, as demand for Alloy bulk products in recreation and leisure applications decreased from an unusually robust level in the second quarter 1996. Increases in Alloy strip sales nearly offset the decline in recreation and leisure applications. The gain in International sales of Alloy Products was achieved despite the translation effects from a stronger dollar. Gross Margins (sales less cost of sales) decreased, to 26%, from 30% in the second quarter 1996. This reduction resulted from dramatic growth in sales of Precious Metal Products, the decline in Alloy bulk product sales to recreation and leisure applications and the stronger dollar. Long-term debt Long-Term Debt Loans and financial obligations lasting over one year. Notes: For example debts obligations such as bonds and notes which have maturities greater than one year would be considered long-term debt. to total capital at the end of the second quarter remained 8%. Return on invested capital increased to 12.9% from 12.5% in the same period last year. Working capital management also continues to improve. The Company's inventory-to-sales ratio at the end of the second quarter was at its lowest level in several years. Commenting on the results, Gordon Gordon, river in W Tasmania, Australia, 125 mi (200 km) long. Flowing from mountains to the W coast, its main tributaries are the Franklin and Denison from the N, and Serpentine and Olga to the S. D. Harnett, Chairman, President and Chief Executive Officer said, "We are very pleased to report the achievement of another sales record, and strong earnings performance in the second quarter and first half 1997. "Looking forward, we are progressing toward our goal of increased earnings and improved returns for our shareholders in 1997. In addition, we continue to invest time, effort and capital to position the Company to achieve significant and sustainable growth in the years ahead. Brush brush a bushy tail in dogs. brush Cytology A disposible with synthetic 'whiskers', used to scrape cells from mucosal surfaces. See Endocervical brush. Wellman's strategy for the future remains focused on improving our base business, expanding alloy and building a microelectronics microelectronics, branch of electronic technology devoted to the design and development of extremely small electronic devices that consume very little electric power. business." Brush Wellman Inc., with headquarters in Cleveland, Ohio "Cleveland" redirects here. For the Cleveland metropolitan area, see . For other uses, see Cleveland (disambiguation). Cleveland is a city in the U.S. state of Ohio and the county seat of Cuyahoga County, the most populous county in the state. , is a manufacturer of engineered materials. The Company and its subsidiaries supply worldwide markets with Beryllium Products, Alloy Products, Ceramic Products, Precious Metal Products and Engineered Material Systems. -0-
Consolidated Statements of Income
(Unaudited)
Second Quarter Ended First Half Ended
June 27, June 28, June 27, June 28,
(Dollars in thousands 1997 1996 1997 1996
except share and per
share amounts)
____________________________________________________________________
Net sales $113,374 $104,349 $213,062 $198,150
Cost of sales 83,587 72,700 157,584 141,708
________ ________ ________ ________
Gross Margin 29,787 31,649 55,478 56,442
Selling,
administrative and
general expenses 17,161 16,968 32,561 32,448
Research and
development expenses 1,982 2,363 3,560 4,161
Other-net 20 (339) (504) (464)
________ ________ ________ ________
Operating Profit 10,624 12,657 19,861 20,297
Interest expense 79 396 364 681
________ ________ ________ ________
Income before income
taxes 10,545 12,261 19,497 19,616
Income taxes 3,056 4,117 5,518 6,316
________ ________ ________ ________
Net Income $ 7,489 $ 8,144 $ 13,979 $ 13,300
________ ________ ________ ________
________ ________ ________ ________
Per Share of
Common Stock: $ 0.45 $ 0.51 $ 0.84 $ 0.83
Cash dividends per
common share $ 0.11 $ 0.10 $ 0.22 $ 0.20
Weighted average
number of common
shares outstanding 16,580,835 16,071,742 16,575,439 16,115,593
See notes to consolidated financial statements.
Consolidated Balance Sheets
(unaudited)
Jun. 27, Dec. 31,
(Dollars in thousands) 1997 1996
__________________________________________________________________
Assets
Current Assets
Cash and cash equivalents $16,161 $31,749
Accounts receivable 72,426 52,211
Inventories 91,987 96,324
Prepaid expenses and deferred
income taxes 17,089 16,949
________ ________
Total Current Assets 197,663 197,233
Other Assets 28,288 28,326
Property, Plant and Equipment 437,524 404,127
Less allowances for depreciation,
depletion and impairment 283,303 273,907
________ ________
154,221 130,220
________ ________
$380,172 $355,779
________ ________
Liabilities and Shareholders' Equity
Current Liabilities
Short-term debt $ 33,050 $ 25,670
Accounts payable 12,461 7,713
Other liabilities and accrued items 26,896 25,694
Dividends payable 1,794 1,789
Income taxes 7,878 8,195
________ ________
Total Current Liabilities 82,079 69,061
Other Long-Term Liabilities 6,810 6,906
Retirement and Post-Employment Benefits 41,019 40,365
Long-Term Debt 18,705 18,860
Deferred Income Taxes 1,583 1,330
Shareholders' Equity 229,976 219,257
________ ________
$380,172 $355,779
________ ________
See notes to consolidated financial statements.
Consolidated Statements of Cash Flows
(unaudited)
First Half Ended
June 27, June 28,
(Dollars in thousands) 1997 1996
__________________________________________________________________
Cash Flows from Operating Activities:
Net Income $ 13,979 $ 13,300
Adjustments to Reconcile Net Income to
Net Cash Provided From Operating
Activities:
Depreciation, depletion and amortization 9,619 9,898
Amortization of mine development 1 3,548
Decrease (increase) in accounts
receivable (20,233) (13,838)
Decrease (increase) in inventory 3,799 309
Decrease (increase) in prepaid and other
current assets (1,011) (356)
Increase (decrease) in accounts payable
and accrued expenses 4,948 2,426
Increase (decrease) in interest and taxes
payable (286) 1,468
Increase (decrease) in deferred income
tax 191 (1,246)
Increase (decrease) in other long-term
liabilities 1,959 718
Other - net (237) (84)
________ ________
Net Cash Provided From Operating
Activities 12,729 16,143
Cash Flows from Investing Activities:
Payments for purchase of property, plant
and equipment (26,159) (11,555)
Payments for mine development (6,932) (277)
Other investments - net 405 700
________ ________
Net Cash Used in Investing
Activities (32,686) (11,132)
Cash Flows from Financing Activities:
Proceeds from issuance of short-term
debt 11,367 1,164
Repayment of short-term debt (93) (1,819)
Proceeds from issuance of long-term debt - -
Repayment of long-term debt (160) (340)
Issuance of Common Stock under
compensation plans 483 1,097
Purchase of treasury stock (508) (6,656)
Payments of dividends (3,562) (4,771)
________ ________
Net Cash Used in Financing Activities 7,527 (11,325)
Effects of Exchange Rate Changes (3,158) (1,103)
________ ________
Net Change in Cash and Cash
Equivalents (15,588) (7,417)
Cash and Cash Equivalents at Beginning
of Period 31,749 29,553
________ ________
Cash and Cash Equivalents at End
of Period $ 16,161 $ 22,136
________ ________
See notes to consolidated financial statements.
Notes to Consolidated Financial Statements
(unaudited)
June 27, 1997
Note A - Accounting Policies
In management's opinion, the accompanying consolidated financial
statements contain all adjustments necessary to present fairly the
financial position as of June 27, 1997, and December 31, 1996 and
the results of operations for the three months ended June 27, 1997
and June 28, 1996.
Note B - Inventories
June 28, Dec. 31,
1997 1996
(Dollars in thousands)
____________________________________________________________________
Principally average cost:
Raw materials and supplies $ 17,962 $ 20,210
In Process 54,398 55,242
Finished 41,541 42,536
_____________ _____________
113,901 117,988
Excess of average cost over
LIFO inventory value 21,914 21,664
_____________ _____________
$91,987 $96,324
_______ _______
_______ _______
CONTACT: Brush Wellman Inc., Cleveland Cleveland, former county, England Cleveland, former county, NE England, created under the Local Government Act of 1972 (effective 1974). It was composed of the county boroughs of Hartlepool and Teeside and parts of the former counties of Durham and Timothy Timothy, epistles in the New Testament Timothy, two letters of the New Testament. With Titus they comprise the Pastoral Epistles, in which St. Paul addresses his coworkers as the guardians and transmitters of his teaching. J. Reid, 216/383-6835 |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion