Cooper Tire reports first quarter increased sales and earnings.FINDLAY Findlay (fĭn`lē, fĭnd`lē), city (1990 pop. 35,703), seat of Hancock co., NW Ohio, on the Blanchard River; inc. 1887. Petroleum products, tires, washing machines, heavy machinery, and plastic goods are among its many manufactures. , Ohio--(BUSINESS WIRE)--April 18, 1995--Cooper Tire & Rubber Company today announced an 11 percent increase in first quarter sales and a 3 percent increase in net earnings for the period ended March 31, 1995. Record 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 for the quarter amounted to $365.4 million compared with $329.1 million in the first quarter of 1994. Earnings during the period, also a first quarter record, were $27.2 million, or 33 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. , versus $26.5 million, equal to 32 cents per share a year earlier. In a message to stockholders announcing the results, Cooper chairman, Patrick W. Rooney Rooney can refer to:
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. in view of conditions in the domestic tire market and in original equipment automotive manufacturing, where there is some easing of the very rapid pace of 1994. ``In spite of in opposition to all efforts of; in defiance or contempt of; notwithstanding. See also: Spite the sound increase in our sales, earnings in the quarter were affected by the continued escalation es·ca·late v. es·ca·lat·ed, es·ca·lat·ing, es·ca·lates v.tr. To increase, enlarge, or intensify: escalated the hostilities in the Persian Gulf. v.intr. and accumulated ac·cu·mu·late v. ac·cu·mu·lat·ed, ac·cu·mu·lat·ing, ac·cu·mu·lates v.tr. To gather or pile up; amass. See Synonyms at gather. v.intr. To mount up; increase. impact of raw material costs. The result was a marginal increase in net income of 3 percent,'' Rooney said. ``The fact remains that certain raw materials costs are inordinately in·or·di·nate adj. 1. Exceeding reasonable limits; immoderate. See Synonyms at excessive. 2. Not regulated; disorderly. high. Increases, during the first 90 days of this year alone, were more than 15 percent for some synthetic polymers Synthetic polymers are often referred to as "plastics", such as the well-known polyethylene and nylon. However, most of them can be classified in at least three main categories: thermoplastics, thermosets and elastomers. and over 25 percent for carbon black. ``These raw material costs, as well as the cost of natural rubber which is more than double a year ago, will remain very high at least through the second quarter. Raw materials constitute about 50 percent of the manufacturing cost of a tire so the effect of these increases is apparent. ``To provide some relief from the pressures of the increased raw material costs, the company instituted a price increase of approximately ap·prox·i·mate adj. 1. Almost exact or correct: the approximate time of the accident. 2. 3 percent on tires on March 1st. We are also negotiating for price increases on engineered products. The Cooper team is meeting the problem of increased raw material costs head on,'' Rooney stated. ``Throughout the quarter, our operations ran very smoothly. Tire inventories were rebuilt to satisfactory levels in anticipation The performance of an act or obligation before it is legally due. In patent law, the publication of the existence of an invention that has already been patented or has a patent pending, of demand during the remainder of the year which the industry forecasts to be generally good. In addition, our selling, general and administrative expenses were rigidly rig·id adj. 1. Not flexible or pliant; stiff. 2. Not moving; fixed. 3. Marked by a lack of flexibility; rigorous and exacting: "We have watered down a rigid training . . . controlled in balance with overall marketing priorities. The financial position of the company, as indicated in our balance sheet, remains as strong as ever,'' Rooney said. (Statement of income and balance sheet follows ...) -0-
COOPER TIRE & RUBBER COMPANY
STATEMENT OF INCOME
Three Months Ended
(Amounts in thousands; March 31
per share amounts in dollars) 1995 1994
________________________
Revenues:
Net sales $ 365,353 $ 329,132
Other income 1,513 215
_________ _________
366,866 329,347
Costs and expenses:
Cost of products sold 303,931 267,644
Selling, general, administrative 18,238 18,245
Interest and debt expense 570 722
_________ _________
322,739 286,611
_________ _________
Income before income taxes 44,127 42,736
Provision for income taxes 16,910 16,230
_________ _________
Net income $ 27,217 $ 26,506
_________ _________
_________ _________
Net income per share $ .33 $ .32 Weighted average shares outstanding 83,638 83,610 Depreciation $ 15,804 $ 13,794 Capital expenditures $ 29,892 $ 20,970
BALANCE SHEET
March 31
Assets 1995 1994
________________________
Current assets:
Cash, including short-term
investments $ 110,633 $ 17,226
Accounts receivable 228,505 225,187
Inventories 122,386 108,603
Prepaid expenses and deferred
taxes 12,795 12,466
_________ _________
Total current assets 474,319 363,482
Property, plant and equipment
- net 563,651 535,054
Other assets 34,825 29,521
_________ _________
$1,072,795 $ 928,057
_________ _________
_________ _________
Liabilities and Stockholders' Equity
Current liabilities:
Trade payables and accrued
liabilities $ 137,499 $ 119,759
Income taxes 16,509 13,199
Current portion of debt 5,034 5,359
_________ _________
Total current liabilities 159,042 138,316
Long-term debt 33,494 38,533
Postretirement benefits
other than pensions 128,687 120,576
Other long-term liabilities 35,253 36,316
Deferred income taxes 31,956 21,878
Stockholders' equity 684,363 572,437
_________ _________
$1,072,795 $ 928,057
_________ _________
_________ _________
CONTACT: Cooper Tire & Rubber Company, Findlay J. Alec ALEC - A Language with an Extensible Compiler Reinhardt Rein·hardt , Jean Baptiste Known as "Django." 1910-1953. Belgian-born French jazz guitarist noted for his improvisational skills. Despite losing the use of two fingers in an injury to his left hand in 1928, he remained an influential , 419/423-1321 |
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