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DURIRON POSTS STRONG 1991 RESULTS

 DURIRON POSTS STRONG 1991 RESULTS
 DAYTON, Ohio, Feb. 12 /PRNewswire/ -- At its meeting today in


Dayton, Ohio, The Duriron Company, Inc.'s (NASDAQ: DURI) Board of Directors announced that 1991 sales were the second highest and earnings the third highest in Company history. These results were achieved despite the weak economy and with record future-oriented expenditures by Duriron in research, engineering and development programs as well as with significant added costs for worldwide marketing personnel.
 For the year ended Dec. 31, 1991 sales of $296.5 million yielded net income of $19.6 million, or $1.55 per share. In 1990, Duriron posted its all-time best operating results with sales of $296.8 million and net earnings of $20.9 million, or $1.67 per share.
 Fourth quarter 1991 sales were $75.6 million with net income of $5.1 million, or $0.41 per share. This compares with 1990's fourth quarter, the best quarterly performance in Company history, when sales of $77.8 million resulted in net earnings of $5.9 million, or 47 cents per share.
 During 1991's fourth quarter, the Company booked $71.3 million of incoming business and finished the year with $54.8 million in backlog. In the previous quarter, incoming business was $70.5 million while backlog was $60.4 million.
 In reviewing 1991 results, Duriron's management pointed to a combination of factors that affected earnings. Lower plant utilization rates led to reduced overhead absorption and a lower gross margin. At the same time, the Company increased its commitment to marketing as the U.S. field sales force was reorganized and sales and service personnel were added in key growth areas including Asia and Europe. In 1991, Duriron spent a record 3.7 percent of its revenues on research, engineering and development to introduce and/or further develop new products such as the BTV-2000 supersafe butterfly valve, Guardian (trademark) hermetically sealed pump and the advanced StarSystem (trademark) control valve program. Substantial investments continued to be made in manufacturing technology improvements with particular emphasis on the implementation of focused factories.
 According to Duriron's Chairman and Chief Executive Officer John S. Haddick, there is reason for optimism in the year ahead. "Our incoming business did increase, albeit only slightly in the fourth quarter, and is showing signs of further strengthening in early 1992. Plus, we expect that our efforts to provide customers with better products and improved service will have a favorable impact during this year and in the years to come."
 THE DURIRON COMPANY, INC.
 Consolidated Financial Summary
 (dollars in thousands except per share data)
 4th Quarter
 December 31, Increase (Decrease)
 --------------------- ----------------------
 FIN. CONDI. 1991 1990 1991 1990
 ---------- ---------- ---------- -----------
 Current
 assets (A) $133,138 $131,540 $3,932 $ 543
 Current
 liabilities 46,291 46,614 4,299 (2,080)
 ---------- ---------- ---------- -----------
 Working
 capital $ 86,847 $ 84,926 $ (367) $2,623
 Net property
 and other
 assets 80,247 74,855 1,946 964
 Long term
 liab. and
 deferrals 30,358 36,098 (1,743) (1,205)
 ---------- ---------- ---------- -----------
 Shareholders'
 equity $136,736 $123,683 $3,322 $4,792
 Book value per
 share out-
 standing $10.89 $9.94 $0.26 $0.39
 ---------- ---------- ---------- -----------
 Quarter Ended Twelve Months Ended
 December 31, December 31,
 --------------------- ----------------------
 OPERATIONS 1991 1990 1991 1990
 ---------- ---------- ---------- -----------
 Net sales $ 75,624 $ 77,835 $296,489 $296,787
 Gross profit
 margin $ 28,772 $ 31,967 $112,491 $114,470
 Selling and
 admin. $ 17,336 $ 17,591 $ 67,370 $ 63,836
 Research, engr.
 and devel.
 expense $ 2,507 $ 2,979 $ 11,025 $ 10,231
 Interest exp. $ 714 $ 802 $ 2,946 $ 3,498
 Other ded.,
 net $ 277 $ 1,486 $ 49 $ 3,525
 Earn. before
 inc. taxes $ 7,938 $ 9,109 $ 31,101 $ 33,380
 Income taxes $ 2,810 $ 3,220 $ 11,500 $ 12,470
 Net earnings $ 5,128 $ 5,889 $ 19,601 $ 20,910
 Inc. business $ 71,326 $ 75,586 $290,746 $307,157
 End. backlog $ 54,817 $ 68,912
 Avg. com. share
 and common
 equiv. out-
 standing 12,669,018 12,535,206 12,669,018 12,535,206
 Net earnings
 per common
 share $0.41 $0.47 $1.55 $1.67
 Dividends paid
 (on shares
 outstanding) $0.140 $0.125 $0.560 $0.500
 Performance ratios (as a percent of net sales)
 Gross profit
 margin 38.0 41.1 37.9 38.6
 Selling and
 admin. 22.9 22.6 22.7 21.5
 Research, engr.
 and devel. 3.3 3.8 3.7 3.5
 Earnings
 before
 inc. taxes 10.5 11.7 10.5 11.2
 Net earnings 6.8 7.6 6.6 7.0
 (A) Domestic inventories included in current assets as of Dec. 31, 1991 and Dec. 31, 1990, were valued using LIFO. Based on current cost, these inventories would be $29,660,000 and $28,815,000 higher, respectively.
 -0- 2/12/92
 /CONTACT: The Duriron Company, Inc., World Headquarters, 513/476-6150/
 (DURI) CO: The Duriron Company, Inc. ST: Ohio IN: MNG SU: ERN


CG -- CL008 -- 9221 02/12/92 11:55 EST
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Date:Feb 12, 1992
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