Commercial Metals Company reports record second quarter earnings of $10.3 million.DALLAS--(BUSINESS WIRE)--March 21, 1995--Commercial Metals Company (NYSE NYSE See: New York Stock Exchange :CMC (Common Messaging Calls) A programming interface specified by the XAPIA as the standard messaging API for X.400 and other messaging systems. CMC is intended to provide a common API for applications that want to become mail enabled. 1. ) today reported record net earnings of $10.3 million or 67 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. on sales of $531 million for the second quarter ended February February: see month. 28, 1995. This compares with earnings of $4.3 million or 28 cents per share on sales of $390 million for the same period last year. Net earnings for the six months ended February 28, 1995 were $16.6 million or $1.11 per share on sales of $942 million. For the same period last year earnings were $10 million or 66 cents per share on sales of $770 million. Cash flow provided from operations for the six month period was $37 million compared with $25 million last year. CMC President and Chief Executive Officer Stanley Stanley, town (1991 pop. 1,557), capital of the Falkland Islands, S Atlantic Ocean, on East Falkland island. It is the main port and trading center of the islands. The name is sometimes written as Port Stanley. A. Rabin Ra·bin , Yitzhak or Itzhak 1922-1995. Israeli military and political leader who commanded Israeli forces in the Six-Day War (1967) and served as prime minister (1974-1977 and 1992-1995). He shared the 1994 Nobel Peace Prize. said, "The Manufacturing segment, led by a record second quarter from the CMC Steel Group, was the largest contributor to earnings. 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 segment was 78 percent above the second quarter last year. Record steel mill tons were melted melt v. melt·ed, melt·ing, melts v.intr. 1. To be changed from a solid to a liquid state especially by the application of heat. 2. , rolled and shipped during the quarter. The 309,000 tons shipped by the three mills The Three Mills are former working mills on the River Lee in the East End of London, one of London’s oldest still-surviving industrial centres. The largest and most powerful of the four remaining tidal mills is possibly the largest tidal mill in the world. , excluding SMI (1) (Storage Management Initiative) The initiative developed by the SNIA in 2003 to create a single standard interface for storage management technologies used by multiple vendors and networking communities. Steel South Carolina South Carolina, state of the SE United States. It is bordered by North Carolina (N), the Atlantic Ocean (SE), and Georgia (SW). Facts and Figures Area, 31,055 sq mi (80,432 sq km). Pop. (2000) 4,012,012, a 15. , were 16 percent higher than last year with a 7 percent increase in the average selling price The average sales price of goods or commodities. Especially used in the retail sector and technology distribution. . Additionally, 62,000 tons were shipped from SMI-Steel South Carolina. Our steel fabrication fabrication (fab´rikā´sh  n),n the construction or making of a restoration. plants also did very well in the quarter. The new SMI-Owen Steel group of companies was close to breakeven breakeven 1. The level of output or sales necessary to cover fixed expenses. Companies in industries that have high fixed costs and, consequently, high breakevens, such as automobile and steel manufacturing, are likely to exhibit large fluctuations for the quarter. Copper tube shipments were 19 percent higher and operating profit improved. The Recycling recycling, the process of recovering and reusing waste products—from household use, manufacturing, agriculture, and business—and thereby reducing their burden on the environment. segment had an outstanding quarter with a substantial increase in operating profit compared to the second quarter last year because of strong demand and higher prices and margins. The Marketing and Trading segment profits were virtually identical to the same period last year despite a decline in global steel shipments and reduced margins on nonferrous non·fer·rous adj. 1. Not composed of or containing iron. 2. Of or relating to metals other than iron. nonferrous Adjective 1. semis." Concerning the outlook, Rabin said, "The near term outlook is favorable fa·vor·a·ble adj. 1. Advantageous; helpful: favorable winds. 2. Encouraging; propitious: a favorable diagnosis. 3. and our business continues at a healthy level. The U.S. construction markets are good and highway construction is firm. The European European emanating from or pertaining to Europe. European bat lyssavirus see lyssavirus. European beech tree fagussylvaticus. European blastomycosis see cryptococcosis. economies are better than expected and Japan continues to improve slowly. Demand has increased in most of the Pacific Rim Pacific Rim, term used to describe the nations bordering the Pacific Ocean and the island countries situated in it. In the post–World War II era, the Pacific Rim has become an increasingly important and interconnected economic region. except for China. Mexico Mexico, city, Mexico Mexico or Mexico City, Span. Ciudad de México (Méjico), city (1990 pop. 8,236,960; 1991 met. area est. 20,899,000), central Mexico, capital and largest city of Mexico. is now in a recession. Overall, global inventories are lower and consumption of steel and nonferrous metals should remain strong and our product prices firm." Commercial Metals Company Commercial Metals Company NYSE: CMC is an United States based steel and metal manufacturer founded in 1915. It owns four steel minimills in Texas, Alabama, South Carolina and Arkansas, one copper minimill (Howell Metal Company) in Virginia, fabricators, and recyclers in the and subsidiaries manufacture, recycle re·cy·cle tr.v. re·cy·cled, re·cy·cling, re·cy·cles 1. To put or pass through a cycle again, as for further treatment. 2. To start a different cycle in. 3. a. and market steel and metal products, related materials and services through a network of over ninety locations including steel minimills, steel fabrication plants, a copper tube mill, recycling facilities and trading offices in 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. and trading and representative offices in strategic overseas markets. -0-
COMMERCIAL METALS COMPANY
CONSOLIDATED STATEMENTS OF EARNINGS
(in thousands except share data)
Three months ended
2/28/95 2/28/94
------------- -------------
Revenues:
Net sales $ 530,907 $ 389,913
Other revenues 2,060 2,311
------------- -------------
532,967 392,224
Costs and Expenses:
Cost of goods sold 472,703 357,083
Selling, general and
administrative expenses 37,280 24,632
Interest expense 4,168 1,976
Employees' retirement plans 2,698 1,836
Litigation accrual -- --
------------- -------------
516,849 385,527
Earnings Before Taxes 16,118 6,697
Income Taxes 5,841 2,425
------------- -------------
Net Earnings $ 10,277 $ 4,272
============= =============
Net earnings per share $ .67 $ .28 Cash dividends per common share $ .12 $ .12 Average shares outstanding 15,451,182 15,129,537
Six months ended
2/28/95 2/28/94
------------- -------------
Revenues:
Net sales $ 942,341 $ 769,929
Other revenues 4,364 4,055
------------- -------------
946,705 773,984
Costs and Expenses:
Cost of goods sold 838,386 700,493
Selling, general and
administrative expenses 64,604 50,041
Interest expense 7,197 3,811
Employees' retirement plans 5,052 3,711
Litigation accrual 6,650 --
------------- -------------
921,889 758,056
Earnings Before Taxes 24,816 15,928
Income Taxes 8,167 5,933
------------- -------------
Net Earnings $ 16,649 $ 9,995
============= =============
Net earnings per share $ 1.11 $ .66 Cash dividends per common share $ 0.24 $ .22 Average shares outstanding 14,994,449 15,191,975
Note: The LIFO method of inventory valuation had the effect of
decreasing net earnings for the quarter $1.3 million
(9 cents per share) compared to a decrease of $915 thousand
(6 cents per share) last year, and for the six months net
earnings were $1.4 million lower (9 cents per share) compared to
a decrease of $1.6 million (10 cents per share) last year.
COMMERCIAL METALS COMPANY
CONSOLIDATED CONDENSED BALANCE SHEETS
(in thousands)
February 28 August 31
1995 1994
------------- -------------
Assets:
Current Assets:
Cash and temporary investments $ 13,853 $ 38,269
Accounts receivable 297,328 228,035
Financial services loans and advances 9,060 19,560
Inventories 191,334 133,748
Other 38,357 26,473
------------- -------------
Total Current Assets 549,932 446,085
Other Assets 3,616 1,984
Net Property, Plant and Equipment 196,466 156,808
------------- -------------
$ 750,014 $ 604,877
============= =============
Liabilities and Stockholders' Equity
Current Liabilities:
Commercial paper $ 10,000 $ 20,000
Notes payable 45,000 21,000
Financial services notes payable 32,276 50,912
Accounts payable 114,133 84,644
Other payables and accrued expenses 107,213 85,220
Income taxes payable 3,782 4,338
Current maturities of long-term debt 14,312 4,852
------------- -------------
Total Current Liabilities 326,716 270,966
Deferred Income Taxes 19,077 19,077 Long-Term Debt 120,249 72,061
Stockholders' Equity 283,972 242,773
------------- -------------
$ 750,014 $ 604,877
============= =============
BUSINESS SEGMENTS
(in thousands)
Three months ended Six months ended
2/28/95 2/28/94 2/28/95 2/28/94
--------- --------- --------- ---------
Revenues:
Manufacturing $ 243,396 $ 131,608 $ 405,134 $ 268,349
Recycling 133,785 73,884 234,606 142,829
Marketing and Trading 167,904 194,175 329,890 377,382
Financial Services 347 833 824 1,545
Corporate and
Eliminations (12,465) (8,276) (23,749) (16,121)
--------- --------- --------- ---------
Total Revenues $ 532,967 $ 392,224 $ 946,705 $ 773,984
========= ========= ========= =========
Operating Profit:
Manufacturing $ 11,247 $ 6,331 $ 25,069 $ 15,713
Recycling 6,351 1,228 8,620 1,642
Marketing and Trading 3,060 2,954 6,085 6,240
Financial Services 297 486 650 885
Corporate and
Eliminations (1,064) (2,786) (9,254) (5,605)
--------- --------- --------- ---------
Total Operating Profit $ 19,891 $ 8,213 $ 31,170 $ 18,875
========= ========= ========= =========
Steel mills tons shipped 371 266 699 567 Steel fabrication plants tons shipped 143 75 248 160 CONTACT: Commercial Metals Company, Dallas Dallas, city (1990 pop. 1,006,877), seat of Dallas co., N Tex., on the Trinity River near the junction of its three forks; inc. 1871. The second largest Texas city, after Houston, and the eighth largest U.S. Bob Davis
KEYWORDS: TEXAS INDUSTRY KEYWORD: MINING EARNINGS REPEATS: New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of 212-575-8822 or 800-221-2462; Boston 617-330-5311 or 80 |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion