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DURIRON ANNOUNCES RECORD THIRD QUARTER AND NINE MONTHS SALES WITH IMPROVING EARNINGS

 DAYTON, Ohio, Oct. 21 /PRNewswire/ -- The Duriron Company, Inc. (NASDAQ: DURI) announced record third quarter and nine months sales for the periods ended Sept. 30, 1993. Third quarter net earnings increased, when compared with the same year-ago period, and continued the trend of quarter-to-quarter earnings growth for 1993.
 Third quarter 1993 sales of $76.7 million yielded net earnings of $3.9 million or $.31 per share. Net earnings, however, were restrained by an increase in the effective tax rate due to lower than anticipated profit from foreign operations. In 1992's third quarter, sales were $73.9 million with net earnings of $3.7 million, or $.29 per share.
 For the first nine months of 1993, sales were $229.3 million with net earnings of $10.4 million, or $.82 per share. This compares with sales of $220.4 million and net earnings of $12.7 million, or $1.00 per share for the same year-ago period. Early compliance with SFAS 106 -- non-pension post retirement benefits -- resulted in an adjusted loss of $8.4 million for the first nine months of 1992.
 Incoming business of $73.9 million was below expectations due to weakness in the international marketplace and at the company's Valtek International subsidiary. During the period, backlog declined $5.8 million to $63.3 million at third quarter's end.
 According to Duriron President and Chief Executive Officer, William M. Jordan, "We are pleased that we have been able to leverage a 3.8 percent quarterly sales increase into a 9.2 percent pre-tax gain in profit despite continuing competitive pricing pressures. We've done a good job of improving our gross margin while controlling inventory costs." Jordan explained that, "The company-wide emphasis on world class manufacturing not only keeps our inventory costs in check but improves customer service with on-time delivery." He also pointed out that the reduction in SG&A expenses compared to the second quarter of 1993 was attributable to the decrease in sales commissions as previously anticipated.
 Management announced that between $4 million and $5 million of sales related to the Petronas liquid natural gas complex expansion in Malaysia will be delayed until early 1994. Booked by Valtek International in 1992's third quarter, this order for conventional and critical service control valves is being delayed by engineering changes.
 At its meeting today in Dayton, Ohio, the board of directors declared a regular quarterly dividend of 15 cents per share payable Dec. 3, 1993 to shareholders of record as of Nov. 11, 1993. This will complete 58 years of consecutive quarterly dividend payments.
 THE DURIRON COMPANY, INC.
 Consolidated Financial Summary
 (dollars in thousands except per share data)
 3rd Quarter
 September 30, Increase (Decrease)
 FIN. CONDI. 1993 1992(a) 1993 1992(a)
 Current
 assets (b) $139,041 $138,570 $ 2,821 $ 7,895
 Current
 liabilities 47,794 47,773 1,399 7,063
 Working
 capital $ 91,247 $ 90,797 $ 1,422 $ 832
 Net property
 and other
 assets 109,770 116,454 195 29,179
 Long-term debt
 due after
 one year 38,842 48,200 64 28,133
 Postretirement
 benefits
 and other
 def. items 39,199 36,672 599 586
 Shareholders'
 equity $122,976 $122,379 $ 954 $ 1,292
 Book value per
 share out-
 standing $ 9.74 $ 9.72 $ 0.07 $ 0.09
 Quarter Ended Nine Months Ended
 September 30, September 30,
 OPERATIONS 1993 1992(a) 1993 1992(a)
 Net sales $ 76,685 $ 73,889 $229,257 $220,430
 Gross profit
 margin $ 28,584 $ 26,591 $ 85,349 $ 81,803
 Selling and
 admin. exp. $ 19,133 $ 17,846 $ 58,838 $ 53,187
 Res., engr.
 and devel.
 expense $ 2,534 $ 2,168 $ 6,899 $ 6,646
 Interest exp. $ 970 $ 617 $ 2,911 $ 1,726
 Other deduc-
 tions, net $ (392) $ 157 $ 81 $ 396
 Earn. before
 inc. taxes $ 6,339 $ 5,803 $ 16,620 $ 19,848
 Provision for
 inc. taxes $ 2,430 $ 2,089 $ 6,230 $ 7,145
 Earnings before
 cumul. effect
 of a chg. in
 acctg. prin.$ 3,909 $ 3,714 $ 10,390 $ 12,703
 Cumul. effect
 of chg. in
 method of
 acctg.
 for post-
 retirement
 benefits --- --- --- $(21,063)
 Net earnings
 (loss) $ 3,909 $ 3,714 $ 10,390 $ (8,360)
 Gross inc.
 business $ 73,855 $ 83,021 $230,993 $233,979
 End. backlog --- --- $ 63,256 $ 63,866
 Avg. com. and
 common equiv.
 shares out-
 standing 12,719,162 12,711,404 12,719,162 12,711,404
 Earnings per
 share before
 cumul. effect
 of a chg. in
 acctg. prin. --- --- $ 0.82 $ 1.00
 Net earnings
 (loss) per
 share $ 0.31 $ 0.29 $ 0.82 $ (0.66)
 Dividends pd.
 (on shares
 outstand.) $ 0.15 $ 0.15 $ 0.45 $ 0.45
 (a) -- 1992 results reflect the early adoption of Statement of Financial Accounting Standards (SFAS) 106 covering non-pension, postretirement benefits. The early and immediate recognition of the SFAS 106 cumulative transition obligation decreased pretax net earnings by $32.9 million, or $1.66 per share, and increased ongoing annual pretax expense by approximately $1.5 million, or $.08 per share, and required restatement of previously reported quarterly results of operations for 1992.
 (b) -- Domestic inventories included in current assets as of Sept. 30, 1993 and Sept. 30, 1992, were valued using LIFO. Based on current cost, these inventories would be $28,477,000 and $30,083,000 higher, respectively.
 Interim reports are prepared from company records and are subject to year-end audit by independent certified public accountants.
 -0- 10/21/93
 /CONTACT: The Duriron Company, 513-476-6150/
 (DURI)


CO: The Duriron Company, Inc. ST: Ohio IN: SU: ERN

BM -- CL017 -- 5193 10/21/93 12:07 EDT
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Date:Oct 21, 1993
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