CITATION ANNOUNCES FISCAL 1997 FIRST QUARTER EARNINGS UP 11%.BIRMINGHAM, Ala ALA aminolevulinic acid. Ala alanine. ala (a´lah) pl. a´lae [L.] a winglike process. .--(BUSINESS WIRE)--Jan. 20, 1997--Citation Corporation (Nasdaq: CAST) announced today that its fiscal 1997 first quarter sales increased 53 per cent to $140.5 million from $91.8 million in its fiscal 1996 first quarter. Net income for the quarter was $3.5 million versus $3.1 million in the 1996 first quarter, an increase of 11 per cent. Earnings per share (EPS (Encapsulated PostScript) A PostScript file format used to transfer a graphic image between applications and platforms. EPS files contain PostScript code as well as an optional preview image in TIFF, WMF, PICT or EPSI, the latter being an ASCII-only format. ) for the fiscal 1997 first quarter were $0.20, an 11 per cent increase over the $0.18 for the first quarter of fiscal 1996. The increase in sales is attributed to four acquisitions which Citation made in the second and third quarters of fiscal 1996 and one in the first quarter of fiscal 1997. Excluding the sales of those acquired divisions and two divisions, one of which was sold and one of which was idled, sales for the "same store" units for the comparable quarters were flat. Tonnage TONNAGE, mar. law. The capacity of a ship or vessel. 2. The act of congress of March 2, 1799, s. 64, 1 Story's L. U. S. 630, directs that to ascertain the tonnage of any ship or vessel, the surveyor, &c. shipped increased 25 per cent to approximately 61,000 tons in the first quarter of fiscal 1997 from 48,600 tons in the comparable quarter of fiscal 1996. On a "same store" basis, tonnage was up about seven per cent in fiscal 1997 from the comparable quarter. In October 1996, Citation Corporation completed the acquisition of Interstate Forging Industries, Inc. of Milwaukee, Wisconsin For other places with the same name, see Milwaukee (disambiguation). Milwaukee is the largest city within the state of Wisconsin and 25th largest (by population) in the United States. and Navasota, Texas Navasota is a city in Grimes County, Texas, United States. The population was 6,789 at the 2000 census. In 2005, the Texas Legislature named the city "The Blues Capital of Texas," in honor of the late Mance Lipscomb, a Navasota native and blues musician. . Interstate produces steel forgings from 50 to 2,500 lbs. for the construction equipment, aircraft, off-road equipment, material handling, outboard Not built in. Outboard devices are external to the main unit. Contrast with inboard. See offboard. motors, and truck and trailer industries. The acquisition is the largest ever for Citation. The purchase price was approximately $47 million plus the assumption by Citation of approximately $23 million of Interstate Forgings debt. Interstate Forging had annual 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 of $83.4 million for calendar year 1995 and approximately $94 million for calendar year 1996. The company has about 500 employees at its two locations. T. Morris Hackney Hackney, inner borough (1991 pop. 164,200) of Greater London, SE England, on the Lea River. Clothing manufacture (in Hackney) and printing and furniture making (in Shoreditch) are the borough's chief industries. London's first theater was built in Shoreditch (c.1575). , Chairman 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, "We are pleased by the earnings improvement in what is normally for us, and was this time, a slow quarter. It was most 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. for us to begin to see some strengthening of our Texas Foundries operations in Lufkin, Texas, which is still undergoing `ramp up' of its expansion. While much more improvement is needed and expected, this is a good start for the employees at that location. We also saw improvement at our Mansfield Foundry operation in Mansfield, Ohio Mansfield is a city in the U.S. state of Ohio and the county seat of Richland CountyGR6. The municipality is located in north-central Ohio in the western foothills of the Alleghenies, approximately 80 miles (129 km) southwest of Cleveland and 66 miles . "Although it is normal for volumes to be somewhat soft in our fiscal first quarter due to holidays and customer shutdowns, we did see some weakness in automotive markets, partially due to the General Motors strikes, and in heavy truck markets. On the other hand, construction equipment markets continue to be strong. "Currently, our outlook for the remainder of the year is a continuation of the slow growth economy. The build rates announced for passenger cars and light trucks in the first quarter look good, although we do not expect heavy truck markets to improve much in the near term. Ordering for parts which go in heavy capital goods Capital Goods Any goods used by an organization to produce other goods. Notes: Examples of capital goods include office buildings, equipment, and machinery. See also: Capital Expenditure, Disinvestment Capital goods and other durable goods durable goods Goods, such as appliances and automobiles, that have a useful life over a number of periods. Firms that produce durable goods are often subject to wide fluctuations in sales and profits. Also called consumer durables. markets appear to be reasonably good. "In addition, we are most pleased to have completed the Interstate Forging acquisition. Not only is Interstate a strong company which should contribute to our earnings this year, but this acquisition makes us, as far as I am aware, the only independent supplier which combines foundries, forge shops and machining under one roof. We believe this is an advantage for Citation and our customers." Citation Corporation is a metal components producer for capital goods and durable goods industries with 16 manufacturing divisions located in eight states. Fiscal 1996 sales were $487.8 million and Citation has approximately 5,600 employees. -0-
CITATION CORPORATION
Earnings Highlights
(All figures except Earnings Per Share and Shares Outstanding in
Thousands)
Three Months Ended
29-Dec 31-Dec
1996 1995
(unaudited) (unaudited)
Sales $140,486 $91,761
Gross Profit 22,126 15,860
S,G&A Expenses 12,805 9,956
Operating Income 9,321 5,904
Interest Expense 3,517 789
Other Income (Expense) 109 (99)
Income before tax 5,695 5,214
Taxes 2,221 2,086
Net Income 3,474 3,128
Earnings per Share $0.20 $0.18
Avg. Number of Shares Outstanding 17,718,491 17,675,540
CONTACT: Citation Corp., Birmingham Stanley B. Atkins, 205/871-5731 |
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