DOMCO INDUSTRIES LTD ANNOUNCES YEAR-END RESULTS.FARNHAM Farnham (fär`nəm), town (1991 pop. 35,492), Surrey, SE England, on the Wey River. It is a market town but is no longer the important grain and wool center it was in the 17th and early 18th cent. , QUEBEC--(BUSINESS WIRE)--Feb. 24, 1995--DOMCO LTD LTD 1 Laron-type dwarfism 2 Leukotriene D 3 Long-term depression, see there 4. Long-term disability . (ME:DOC See doc file and docs. 1. Doc - Directed Oc 2. doc - /dok/ Common spoken and written shorthand for "documentation". Often used in the plural "docs" and in the construction "doc file" (i.e. documentation available on-line). ) The Board of Directors of Domco Industries Ltd approved today the Company's financial statements for the year ended December December: see month. 31, 1994. Consolidated revenues increased by 48.4% to $279.5 million in 1994, from $188.3 million in 1993. The main factors explaining this growth were: the acquisition of National Floor Products Company (Nafco) effective May 6, 1994; an increase in the sales of both Domco Residential Flooring and Azrock Commercial Flooring; and exchange rate fluctuations between the Canadian Canadian (kənā`dēən), river, 906 mi (1,458 km) long, rising in NE New Mexico. and flowing E across N Texas and central Oklahoma into the Arkansas River in E Oklahoma. and U.S. currencies. Net income increased by 66.5% to $18.5 million from $11.1 million in 1993. On a per-share basis, this amounted to $2.69 per share compared with $1.62 in 1993. In addition to the favourable impact of increased sales, the gross margin improved to 41.5% of sales in 1994, from 39.3% in 1993 mainly due to a higher-end product mix at Domco Residential Flooring and increased volume at Azrock. Nafco also contributed to earnings; however its contribution was partially offset by increased interest expenses related to the financing of this acquisition. "We had a very good year" stated Mr. Robert Robert, Henry Martyn 1837-1923. American army engineer and parliamentary authority. He designed the defenses for Washington, D.C., during the Civil War and later wrote Robert's Rules of Order (1876). Noun 1. Van Buren  is a municipality and a city in the eastern Netherlands and is strongly linked to the Dutch royal family. ,
President 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. . "One of the most encouraging aspects was that
we saw improvements in every area. Our expanded distribution in the
U.S. was a major factor, and also the impact of higher-end products
that we've introduced."
In early 1994, Domco added a new high-end Tensionflex*R product to its residential sheet vinyl vinyl /vi·nyl/ (vi´nil) the univalent group CH2dbondCH—. vinyl chloride a vinyl group to which an atom of chlorine is attached; the monomer which polymerizes to polyvinyl chloride; it is toxic line. New product introductions such as this, combined with the addition of new distributors in the U.S. during 1993, helped boost the sales of Domco sheet vinyl by 21.3% in 1994. Similarly in the commercial sector, Azrock's sales increased by 19.5% in 1994. As previously mentioned, a portion of the Company's sales increases is due to the exchange rate fluctuations between the Canadian and U.S. currencies. The 1994 results compare favourably to the Company's previously announced forecast which called for revenues of $278.3 million; a gross margin of $113.3 million; and net income of $17.1 million or $2.35 per share. The gross margin was approximately one percent higher than forecast due primarily to stronger-than-expected sales of higher-end products. Net income also benefited from a pre-tax gain of $2.2 million during the fourth quarter related to a legal settlement for a patent infringement patent infringement n. the manufacture and/or use of an invention or improvement for which someone else owns a patent issued by the government, without obtaining permission of the owner of the patent by contract, license or waiver. claim. Fourth Quarter Results Domco's fourth quarter revenues of $75.2 million showed a marked improvement over revenues of $48.2 million during the same period in 1993. Most encouraging was the strong sales growth of higher- end products, in particular Domco's new Tensionflex*R line. The resulting shift in the Company's product mix towards these higher margin products, was a major factor behind a sharp increase in the Company's gross margin to $32.0 million, or 42.5% of revenues, from $19.1 million or 39.6% of revenues, during the fourth quarter of 1993. Net earnings for the same quarter amounted to $4.4 million or $0.64 per share, compared with $3.2 million or $0.47 per share in 1993. Outlook A major emphasis in 1995 will be to fully tap the operational and marketing synergies between Domco's three product groups - Domco Residential Flooring, Azrock Commercial Flooring, and Nafco Luxury Vinyl Tile. In February 1995, the Company unveiled a new coordinated market positioning and will soon begin implementation of a cost reduction program. These programs, combined with continuing sales growth and a full year contribution from the Nafco acquisition in 1995, point to another strong year ahead. Domco's Annual Meeting of Shareholders will be held on Monday, May 15 in Montreal. Profile Domco Industries Ltd., headquartered in Farnham, Canada, is North America's oldest manufacturer of resilient See resiliency. flooring. Through its three product groups - Domco Residential Flooring, Azrock Commercial Flooring and Nafco Luxury Vinyl Tile - Domco Industries Ltd. offers one of the most extensive, high quality product lines in the flooring industry. CONTACT: Robert Van Buren President and CEO 514/293-3173 INDUSTRY KEYWORD: MANUFACTURING CHEMICALS/PLASTICS 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 |
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