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GEORGIA GULF REPORTS $0.22 PER SHARE ON NET INCOME OF $9.0 MILLION

 ATLANTA, Jan. 21 /PRNewswire/ -- Georgia Gulf Corp. (NYSE: GGC) today reported earnings per share of $0.22 on net income of $9.0 million and sales of $197.2 million for the 1992 fourth quarter.
 This compares to earnings of $0.35 per share, net income of $12.1 million and sales of $182.3 million for the same 1991 period.
 On a 12-month comparison, 1992 net income was $46.3 million down from $61.5 million the prior year. Earnings per share were $1.18 in 1992 as compared to $1.75 for 1991. Revenues for 1992 were $779.5 million as compared to $838.3 million in 1991.
 The company said, when comparing the 1992 fourth quarter performance to the same period last year, revenues were up 8 percent as higher sales volumes more than offset a decline in unit pricing for most products. Also, the company noted that earnings declined on generally weaker product margins as the drop in sales prices was not sufficiently offset by lower raw material costs.
 For the 12-month comparison, the company said, overall 1992 sales volumes were level with the prior year even though some of its plants experienced unscheduled outages, including those caused by Hurricane Andrew. Margins realized some benefit from lower raw material costs for this period comparison, the company added, but those reductions were not sufficient to offset a substantial decline in overall unit pricing.
 For both the fourth quarter and 12-month comparisons, reduced interest expense had a positive effect on earnings. According to the company, this was the result of an aggressive debt repayment schedule, which included use of funds from a secondary offering, as well as lower interest rates. Total reduction of interest expense from the prior year was $19.6 million with $4.6 million of that attributable to the fourth quarter comparison.
 Commenting on the results, Jerry R. Satrum, president and CEO, said: "We are pleased with the level of sales volume attained in 1992, especially during the fourth quarter. However, from 1992 third quarter through the fourth quarter, we experienced further deterioration in pricing for some products leading to a negative impact on overall margins.
 "As the company enters the first quarter of 1993, we do so with some optimism about business conditions tempered by evidence that some of the markets we serve are lagging the current economic recovery," Satrum said. "This factor could cause further declines in pricing for a couple of our products, but hopefully, any declines will be more than offset by demand and pricing strength for the balance of our product lines where markets appear to be improving."
 Georgia Gulf, headquartered in Atlanta and listed on the NYSE (GGC), is a major manufacturer of several highly integrated lines of commodity chemicals and vinyl polymers including aromatic, natural gas and electrochemical products.
 GEORGIA GULF CORPORATION AND SUBSIDIARIES
 CONSOLIDATED STATEMENTS OF INCOME
 (In thousands, except share data)
 3 months ended Year ended
 12/31/92 12/31/91 12/31/92 12/31/91
 Net sales $ 197,159 $ 182,315 $ 779,455 $ 838,336
 Operating costs and expenses
 Cost of sales (exclusive
 of depreciation) 157,917 129,830 594,074 606,705
 Depreciation 6,119 5,212 22,728 19,967
 Selling and
 administrative 6,147 10,758 33,827 41,129
 Total operating costs
 and expenses 170,183 145,800 650,629 667,801
 Operating income 26,976 36,515 128,826 170,535
 Other income (expense)
 Interest, net (14,110) (18,722) (61,143) (80,280)
 Income before income
 taxes 12,866 17,793 67,683 90,255
 Provision for income
 taxes 3,886 5,649 21,346 28,782
 Net income $ 8,980 $ 12,144 $ 46,337 $ 61,473
 Net income per
 common share $ 0.22 $ 0.35 $ 1.18 $ 1.75
 Weighted average common
 shares and equivalents
 outstanding 41,504,936 35,155,002 39,226,832 35,142,652
 GEORGIA GULF CORPORATION AND SUBSIDIARIES
 CONSOLIDATED BALANCE SHEETS
 (In thousands, except share data)
 At Dec. 31 1992 1991
 ASSETS
 Current assets
 Cash and cash equivalents $ 2,904 $ 2,509
 Receivables 101,868 88,650
 Inventories 77,367 74,779
 Prepaid expenses 11,055 9,730
 Total current assets 193,194 175,668
 Property, plant and equipment, net 211,679 220,644
 Other assets 14,547 19,273
 Total assets $ 419,420 $ 415,585
 LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)
 Current liabilities
 Current portion of long-term debt $ 35,030 $ 51,119
 Accounts payable 67,167 63,530
 Interest payable 9,906 10,605
 Accrued income taxes 177 2,000
 Other accrued liabilities 17,347 21,636
 Total current liabilities 129,627 148,890
 Long-term debt 409,386 588,034
 Deferred income taxes 41,572 36,173
 Stockholders' deficit (161,165) (357,512)
 Total liabilities and
 stockholders' deficit $ 419,420 $ 415,585
 Common stock outstanding 40,293,639 33,710,594
 -0- 1/21/93
 /CONTACT: John Walker of Georgia Gulf, 404-395-4587/
 (GGC)


CO: Georgia Gulf Corporation ST: Georgia IN: CHM SU: ERN

RA-BN -- AT001 -- 7211 01/21/93 08:06 EST
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Date:Jan 21, 1993
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