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GIBSON GREETINGS ANNOUNCES THIRD QUARTER AND NINE MONTHS 1993 RESULTS

 CINCINNATI, Nov. 3 /PRNewswire/ -- Gibson Greetings, Inc. (NASDAQ: GIBG) today announced results for the third quarter and first nine months of 1993.
 For the third quarter ended Sept. 30, 1993, revenues were $142.3 million, up 23.1 percent, with income before income taxes of $6.3 million, compared to a loss before income taxes of $20.1 million for the comparable period last year. Net income was $4.1 million, or $.26 per share compared to a net loss of $12.3 million, or $.75 per share for the like period last year.
 The third quarter of last year reflected the one time pre-tax expenses of $28.8 million associated with the bankruptcy of Phar-Mor, which was the company's largest customer in 1991, and associated restructuring costs.
 For the nine-month period ended Sept. 30, 1993, revenues were $311.2 million, up 13.7 percent, while income before income taxes was $11.8 million, compared to a loss before income taxes of $14.0 million for the comparable period last year. Net income was $7.2 million, or $.45 per share, compared to a net loss of $10.1 million, or $.62 per share, for the like period last year. Results for 1992 included a charge of $1.4 million, or $.09 per share net of taxes, for the adoption of SFAS 106, accounting for post retirement benefits other than pensions, and SFAS 109, accounting for income taxes.
 Benjamin J. Sottile, chairman, president and chief executive officer, stated that gains in revenues for the third quarter and first nine months of 1993 were generated by certain domestic and international greeting card operations and The Paper Factory of Wisconsin, Inc., which was acquired June 1 this year. These gains were partially offset by somewhat lower seasonal gift wrap shipments.
 Sottile added that he was pleased that revenue gains at the recently established U.K.-based subsidiary contributed to reduced operating losses for that unit. Trade acceptance within the U.K. marketplace is encouraging.
 Sottile emphasized that the company's balance sheet remained very strong with its senior term debt rated NAIC I, the highest category, and its commercial paper rated at A2P2, the second highest category.
 At Sept. 30, short-term debt was $38.1 million compared to $29.5 million for the like period last year reflecting increased receivables related to seasonal shipments and goodwill associated with the acquisition of The Paper Factory.
 Inventories increased 3.5 percent to $192.0 million. Long-term debt increased $4.9 million to $74.4 million resulting from debt related to the acquisition of The Paper Factory. Shareholders' equity was $306.6 million, up 6.4 percent from the year ago period, equaling $19.09 per share.
 Sottile added that shipments to the remaining 168 Phar-Mor stores were encouraging and that Phar-Mor's financial position appeared satisfactory. Two smaller retailers have experienced financial difficulties in September and charges related to those accounts were included in third quarter results.
 For the balance of the year, the company expects to maintain its historical highly seasonal quarterly patterns with the fourth quarter generating the largest percent of annual revenues and net income.
 GIBSON GREETINGS, INC.
 SUMMARY CONSOLIDATED INCOME STATEMENT DATA
 (in thousands except per share amounts - unaudited)
 Three Months(A)
 Ended Sept. 30,
 1993 1992
 Revenues $142,296 $115,556
 Income (Loss) Before Income
 Taxes and Cumulative Effect
 of Accounting Changes $ 6,347 $(20,065)
 Income (Loss) Before
 Cumulative Effect of
 Accounting Changes $ 4,145 $(12,329)
 Cumulative Effect of
 Accounting Changes, Net
 of Income Taxes --- ---
 Net Income (Loss) $ 4,145 $(12,329)
 Income (Loss) Per Share Before
 Cumulative Effect of
 Accounting Changes $ .26 $ (.75)
 Cumulative Effect of
 Accounting Changes --- ---
 Net Income (Loss) Per Share $ .26 $ (.75)
 Average Common Shares and
 Equivalents Outstanding 16,121 16,065
 Nine Months(A)
 Ended Sept. 30,
 1993 1992
 Revenues $311,167 $273,720
 Income (Loss) Before Income
 Taxes and Cumulative Effect
 of Accounting Changes $ 11,842 $(14,013)
 Income (Loss) Before
 Cumulative Effect of
 Accounting Changes $ 7,162 $ (8,700)
 Cumulative Effect of
 Accounting Changes, Net
 of Income Taxes --- (1,449)
 Net Income (Loss) $ 7,162 $(10,149)
 Income (Loss) Per Share Before
 Cumulative Effect of
 Accounting Changes $ .45 $ (.53)
 Cumulative Effect of
 Accounting Changes --- (.09)
 Net Income (Loss) Per Share $ .45 $ (.62)
 Average Common Shares and
 Equivalents Outstanding 16,091 16,121
 (A) -- Because the company's business is seasonal in nature, the results of interim periods are not necessarily indicative of yearly results.
 -0- 11/3/93
 /CONTACT: Ward A. Cavanaugh, vice president-finance, of Gibson Greetings, 513-841-6675/
 (GIBG)


CO: Gibson Greetings, Inc. ST: Ohio IN: HOU REA SU: ERN

KL-AR -- CL009 -- 0066 11/03/93 10:47 EST
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Date:Nov 3, 1993
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