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CONSOLIDATED PRODUCTS, INC. REPORTS RECORD REVENUES AND EARNINGS BEFORE INTEREST AND INCOME TAXES FOR SIXTH CONSECUTIVE YEAR

 INDIANAPOLIS, Nov. 17 ~PRNewswire~ -- Consolidated Products, In c. (NASDAQ: COPIC) reported net earnings increased 28 percent to $4,172,195 for its fiscal year ended Sept. 30, 1992 (includes 53 weeks versus 52 weeks in fiscal 1991). Net earnings for the second, third and fourth quarters combined (represent the first three full quarters since the company completed its recapitalization plan in which net earnings are based upon the same capitalization as the prior year) increased 53 percent over the comparable prior year quarters.
 Revenues and operating earnings (earnings before interest and income taxes) reached record levels in fiscal 1992 for the sixth consecutive year. Revenues increased nine percent to $127,443,684 from $117,119,334 in the prior year while earnings before interest and income taxes increased 16 percent to $12,619,426 as compared to $10,915,556 last year. For the fourth quarter (includes 13 weeks versus 12 weeks in fiscal 1991), revenues increased 17 percent and earnings before interest and income taxes increased 21 percent. This represents the twenty-sixth consecutive quarter in which revenues and operating earnings have increased over the prior year.
 System-wide sales (includes Steak n Shake's franchise sales as reported to the company, as well as sales of company-operated restaurants) increased 12 percent to $141,222,000.
 The outstanding operating earnings were the result of continuing double-digit comparable unit sales gains in the Steak n Shake restaurants. These sales increases resulted from its greatly successful marketing programs, including strong television advertising for the Indianapolis and St. Louis markets. The company's tight management operating controls also contributed to these increased operating earnings. Comparable unit sales (exclusive of the extra week of sales) in the Indianapolis and St. Louis markets increased 15 percent over the prior year. The average unit volume for the Indianapolis and St. Louis markets was $1,102,000, including smaller, older units as compared with the total company average unit volume of $1,008,000. Noteworthy, new units opened during the previous two years, averaged higher sales of $1,295,000 per restaurant. The company expects this greater volume trend for new restaurants to increase even further as our marketing programs are expanded.
 Steak n Shake's expansion plan over the next five years includes the addition of 39 company-operated and 42 franchised restaurants. Eight new company-operated units are planned to be opened by September 1993. The company has two company-operated Steak n Shake units currently under construction plus an additional three locations which will be under construction within 90 days.
 Steak n Shake's franchising program, which provides for the opening of five units by September 1993, continues to gain momentum. The company recently reached an agreement in principle to franchise a Steak n Shake unit in Tifton, Ga. and to enter into an area development agreement for several additional units over a five-year period in the southern Georgia and north central Florida markets. The company has previously announced the execution of area franchise development agreements for the Atlanta and Charlotte, N.C. markets (15 units over the next five years); Louisville and Bowling Green, Ky. markets (four additional units over six years) and Jonesboro and Little Rock, Ark. markets (five units over six years). A single franchise restaurant was opened in November in Branson, Mo., giving Steak n Shake great visibility in a new market area considered to be the second most popular auto vacation destination after Orlando, Fla., where the company operates six successful restaurants.
 With the strong earnings achieved in the fourth quarter, the company meets the listing requirement from which it had been granted an exception by NASDAQ: NMS after the recapitalization plan in November 1990. Importantly, the company's trading symbol will revert to COPI from COPIC after the company's completion of the NASDAQ: NMS filing requirements. Formal approval by the NASDAQ is expected promptly.
 The company's revised registration statement for 500,000 shares of its common stock to be sold through company-directed transactions pursuant to a "shelf" registration was approved effective Nov. 16, 1992.
 CONSOLIDATED PRODUCTS, INC.
 SUMMARY OF CONSOLIDATED STATEMENTS OF EARNINGS
 (UNAUDITED)
 13 Weeks 12 Weeks
 Ended Ended
 09~30~92 09~25~91
 Net sales $32,460,845 $27,534,395
 Total revenues 32,849,786 28,151,759
 Cost of sales 8,364,555 7,342,181
 Other costs and expenses 20,989,081 17,927,875
 Earnings before interest and income
 taxes 3,496,150 2,881,703
 Interest expense 1,303,148 1,364,186
 Earnings before income taxes 2,193,002 1,517,517
 Income taxes 910,000 605,000
 Net earnings $1,283,002 $ 912,517
 Net earnings per common and common
 equivalent share:
 Primary $.25 $.18(A)
 Fully diluted $.17 $.13(A)
 Weighted average shares outstanding:
 Primary 5,186,733 4,993,799(A)
 Fully diluted 8,522,906 8,373,868(A)
 53 Weeks 52 Weeks
 Ended Ended
 09~30~92 09~25~91
 Net sales $126,023,909 $115,436,214
 Total revenues 127,443,684 117,119,334
 Cost of sales 32,519,493 31,842,780
 Other costs and expenses 82,304,765 74,360,998
 Earnings before interest and income
 taxes 12,619,426 10,915,556
 Interest expense 5,597,231 5,476,955
 Earnings before income taxes 7,022,195 5,438,601
 Income taxes 2,850,000 2,175,000
 Net earnings $ 4,172,195 $ 3,263,601
 Net earnings per common and common
 equivalent share:
 Primary $.81 $.67(A)
 Fully diluted $.58 $.50(A)
 Weighted average shares outstanding:
 Primary 5,141,231 4,878,387(A)
 Fully diluted 8,529,565 7,768,773(A)
 (A) -- Net earnings per share and average shares outstanding have been restated to give effect to the 10 percent stock dividend declared on Dec. 3, 1991, payable on Jan. 21, 1992 to shareholders of record on Dec. 31, 1991.
 CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
 09~30~92
 (Unaudited)(B) 09~25~91(B)
 ASSETS
 Current assets $19,359,169 $13,931,765
 Property and equipment-net 35,132,356 38,539,331
 Leased property-net 9,441,307 10,390,303
 Other assets 3,129,077 3,222,931
 Total assets $67,061,909 $66,084,330
 LIABILITIES AND SHAREHOLDERS' EQUITY
 Current liabilities $19,545,458 $17,651,073
 Obligations under capital leases 12,741,519 13,880,186
 Long-term debt 32,996,000 37,369,200
 Shareholders' equity (deficit) 1,778,932 (2,816,129)
 Total liabilities and
 shareholders' equity $67,061,909 $66,084,330
 (B) -- The company adopted the provisions of Statement of Financial Accounting Standards 109 "Accounting for Income Taxes" in its financial statements for the 3rd quarter ending July 1, 1992 and restated all prior year financial statements presented. The adoption of Statement 109 had no effect on net earnings for any periods presented. The cumulative effect of adopting Statement 109 as of Sept. 25, 1991, amounted to $1,616,575 and has been recorded as an increase in retained earnings as previously reported.
 -0- 11~17~92
 ~CONTACT: James W. Bear, senior vice president and treasurer of Consolidated Products, Inc., 317-633-4100~
 (COPIC)


CO: Consolidated Products, Inc. ST: Indiana IN: LEI SU: ERN

BM -- CL007 -- 1787 11~17~92 11:18 EST
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Date:Nov 17, 1992
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