Cameron Ashley reports record second quarter and first half results.DALLAS--(BUSINESS WIRE)--May 22, 1996--Cameron Ashley Building Products Inc. (Nasdaq: CABP CaBP Calcium Binding Protein CABP Coalition Air Battle Planning CABP Certificate of the Arab Board of Pediatrics ) today reported record sales and earnings for its fiscal second quarter and six months ended April 30, 1996. 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 in the second quarter increased by 15.2% to $135.0 million from $117.3 million in the second quarter of fiscal 1995. The increased sales reflected same store sales Same Store Sales A statistic used in retail industry analysis. It compares sales of stores that have been open for a year or more. Notes: This statistic allows investors to determine what portion of new sales has come from sales growth and what portion from the opening of growth of 4.1% together with the contribution of acquisitions added in the second half of fiscal 1995. Net income before a one-time extraordinary charge for early extinguishment The destruction or cancellation of a right, a power, a contract, or an estate. Extinguishment is sometimes confused with merger, though there is a clear distinction between them. of debt in the second quarter was $2.64 million, a 34% increase over fiscal 1995 second quarter net income of $1.97 million. Net income per share before a one-time extraordinary charge was $0.29 compared with $0.23 in the second quarter of last year, on a 7.4% increase in the weighted average shares outstanding due to the company's common stock offering in March of 1995. In the second quarter, the company recorded a one-time extraordinary charge of $245,000, or $0.03 per share, net of tax benefit, in connection with the early retirement of a total of $43.6 million principal amount of debt. Net income per share after the one-time extraordinary charge was $0.26. On April 19, the company announced that it had successfully completed a $50 million private-issue of unsecured Unsecured A loan or equity interest that is given without any guarantee of payment, performance, satisfaction or opportunity for return from the recipient. No property, interest or security is used as collateral in either a guarantee or a pledge. Senior Notes maturing between 2001 and 2006, and a new $75 million five year revolving credit Revolving Credit A line of credit where the customer pays a commitment fee and is then allowed to use the funds when they are needed. It is usually used for operating purposes, fluctuating each month depending on the customers current cash flow needs. facility. The net proceeds Net Proceeds The amount received after all costs are deducted from the sale of a piece of property or security. Notes: In the case of an investor selling a security, net proceeds represent the proceeds from the sale minus any trading costs (i.e. commissions). from the private issue were used to retire the company's then outstanding bank borrowings. The company noted that its gross margin as a percentage of sales improved to 19.7% versus 18.4% with operating expenses Operating expenses The amount paid for asset maintenance or the cost of doing business, excluding depreciation. Earnings are distributed after operating expenses are deducted. also increasing as a percentage of sales from 15.0% to 16.1% in the comparable period of 1995. The increase in gross margin reflects the improved purchasing power Purchasing Power 1. The value of a currency expressed in terms of the amount of goods or services that one unit of money can buy. Purchasing power is important because, all else being equal, inflation decreases the amount of goods or services you'd be able to purchase. 2. resulting from the company's larger operating base while its operating expenses, as a percentage of sales, continue to be impacted by lower than expected demand in the company's Pacific Northwest markets and the higher operating expenses of the high margin Albuquerque Door acquisition which was completed in May 1995. Net sales for the first six months of fiscal 1996 increased by 17.1% to $255.1 million reflecting same store sales growth of 2.5% and fiscal 1996 and late 1995 acquisitions. Net income before the one-time extraordinary charge was $3.6 million compared with $3.6 million in the six month period ended April 30, 1995. Net income per share before the one-time extraordinary charge was $0.40 compared with $0.46, with the 1995 period reflecting a 17.2% increase in the number of weighted average shares outstanding due to the March 1995 stock offering. Net income per share after the one-time extraordinary charge was $0.37. Ronald R. Ross Ross , Sir Ronald 1857-1932. British physician. He won a 1902 Nobel Prize for proving that malaria is transmitted to humans by the bite of the mosquito. , chairman of Cameron Ashley, commented, "We are pleased to report the unexpected 4.1% growth in same store sales; although this is encouraging, we expect same store sales growth to be in a range of 1% - 3% through the end of our fiscal year. In addition, we are benefiting from our larger operating base which has enabled the company to attract new national account relationships, as well as enhancing purchasing efficiencies. We are excited to add the $25 million business of Jett Supply Inc. and the new national account relationships it has established to our network." Ross concluded, "Cameron Ashley has entered into two pending acquisition agreements over the last two months, which if completed, will add an additional $60 million in annualized annualized Of or relating to a variable that has been mathematically converted to a yearly rate. Inflation and interest rates are generally annualized since it is on this basis that these two variables are ordinarily stated and compared. sales. We believe that all three of these acquisitions will significantly enhance our market competitiveness and further build upon our goal to be the first distributor offering building products through a comprehensive national network." Cameron Ashley Building Products Inc., headquartered in Dallas, distributes a broad line of building products to independent building material dealers, professional builders Professional Builder (ISSN-1072-0561) is a trade publication and web site owned by Reed Business Information serving the information needs of the housing and light construction marketplace. , contractors and mass merchandisers through a network of 95 branches throughout the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. . Product lines include roofing, millwork, pool and patio patio In Spanish and Latin American architecture, a courtyard open to the sky within a building. A Spanish development of the Roman atrium, it is comparable to the Italian cortile but provides more seclusion, possibly due to Moorish custom. The patio of the contemporary U.S. enclosure enclosure (inclosure) n. land bounded by a fence, wall, hedge, ditch or other physical evidence of boundary. Unfortunately, too often these creations are not included among the actual legally-described boundaries and cause legal problems. ENCLOSURE. materials, millwork, insulation insulation (ĭn'səlā`shən, ĭn'sy  –), use of materials or devices to inhibit or prevent the conduction of heat or of electricity. , siding, steel, ceiling
products, industrial metals and a variety of other building materials Building materials used in the construction industry to create .These categories of materials and products are used by and construction project managers to specify the materials and methods used for . . -0-
Cameron Ashley Building Products Inc.
Consolidated Statements of Income
(Unaudited)
(Dollars in thousands, except per share amounts)
For the Three Months For the Six Months
Ended Ended
4/30/96 4/30/95 4/30/96 4/30/95
Net sales $135,085 $117,290 $255,127 $217,834 Cost of sales 108,495 95,691 205,390 175,229 Gross profit 26,590 21,599 49,737 42,605 Operating expenses 21,685 17,613 42,522 35,069 Income from operations 4,905 3,986 7,215 7,536 Other (income) expense (32) (33) (41) (61) Interest expense 818 882 1,566 1,831 Income before income taxes 4,119 3,137 5,690 5,766 Provision for income taxes 1,484 1,167 2,069 2,185 Income before extraordinary charge 2,635 1,970 3,621 3,581 Extraordinary charge - early extinguishment of debt, net of income tax 245 0 245 0 Net income $2,390 $1,970 $3,376 $3,581 Net income per share: before extraordinary charge $ 0.29 $ 0.23 $ 0.40 $ 0.46 After extraordinary charge $ 0.26 $ 0.23 $ 0.37 $ 0.46 Weighted average shares and equivalents outstanding 9,117 8,492 9,117 7,778
Balance Sheet Highlights
(In thousands)
April 30, Oct. 31,
1996 1995
(Unaudited)
Current assets $145,763 $133,357 Total assets 190,407 175,067 Current liabilities 51,155 52,778 Total liabilities 104,317 92,081 Shareholders' equity 86,090 82,986 Total liabilities and shareholders' equity $190,407 $175,067 CONTACT: Cameron Ashley Building Products, Inc. Dixon McElwee 214/340-1996 or Morgen-Walke Associates June Filingeri, Robert Weiner, 212/850-5600 Ken Pieper, 214/663-9390 Media contact: Stan STAN Stanchion STAN Stärke- und Ausrüstungsnachweis (German) Stan Standard Man (human patient simulator) STAN SEMCIP Technical Assistance Network STAN System Trace Audit Number STAN Star Trek Area Network Froelich 212/850-5600 |
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