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Gehl Company reports third quarter 1995 earnings of $2.2 million, 36 cents per share; nine months 1995 earnings of $7.6 million, $1.22 per share, 91 percent higher than 1994.

WEST BEND, Wis.--(BUSINESS WIRE)--Oct. 18, 1995--Gehl Company, a manufacturer of agricultural and construction equipment, announced today third quarter 1995 net income of $2,236,000 and, for the first nine months of 1995, net income of $7,647,000.

Third quarter 1995 sales of $36.9 million were 2 percent below 1994's third quarter sales of $37.6 million. Net income of $2,236,000, or 36 cents per share, was 11 percent below third quarter 1994 profit of $2,511,000, or 41 cents per share. Sales for the first nine months of 1995 were $117.9 million, 4 percent higher than 1994 nine month sales of $113.8 million. Net income for the first nine months of 1995 was $7,647,000, or $1.22 per share, a 91 percent improvement from 1994's nine months earnings of $4,004,000, or 65 cents per share.

By business segment, sales of agricultural equipment were $19.9 million in the third quarter of 1995, 15 percent below comparable 1994 sales of $23.3 million, and for the nine months of 1995 were $70.6 million, 5 percent lower than 1994's $74.4 million. Overall market demand for pull-behind agricultural implements below 1994's levels and the company's planned reductions of dealer inventories accounted for the lower sales of agricultural equipment. Third quarter 1995 sales of construction equipment were $17.0 million, 19 percent higher than 1994's $14.3 million, and for the nine months of 1995 were $47.3 million, 20 percent greater than 1994's $39.4 million. Continued strong demand for the company's construction equipment products has increased construction equipment's percent of total company nine months 1995 sales to 40 percent from 35 percent in comparable 1994.

William D. Gehl, president and chief executive officer, said, ``We are pleased to report good earnings results for the third quarter of 1995. During the past quarter we continued our program to reduce accounts receivable and debt outstanding, generating $9.1 million of cash flow from operations. As of Sept. 30, 1995, we achieved an objective set several years ago: reducing Gehl's capitalization ratio below 50 percent to 48.7 percent. It is our intent to continue to reduce this important leverage ratio further.''

Gehl Company (NASDAQ:GEHL) produces a line of equipment used worldwide in agricultural and construction markets. Founded in 1859, the company is headquartered in West Bend, with manufacturing facilities in West Bend; Lebanon, Pa; and Madison and Yankton, S.D. -0-

 GEHL COMPANY AND SUBSIDIARIES
 CONDENSED CONSOLIDATED STATEMENTS OF INCOME
 (in thousands, except per share data)


 For the Third For the Nine
 Quarter Ended Months Ended
 (unaudited) (unaudited)
 _____________________ _____________________
 Sept. 30, Oct. 1, Sept. 30, Oct. 1,
 1995 1994 1995 1994
 _________ _______ _________ _______


NET SALES $36,901 $37,592 $117,899 $113,750
 Cost of goods
 sold 26,175 26,335 83,796 79,946
 _________ _______ _________ _______


GROSS PROFIT 10,726 11,257 34,103 33,804
 Selling, general
 & administrative
 expenses 7,346 7,190 22,805 24,267
 _________ _______ _________ _______
INCOME FROM
 OPERATIONS 3,380 4,067 11,298 9,537
 Interest expense (1,404) (1,667) (4,592) (5,310)
 Interest income 462 470 1,409 1,327
 Other (expense)
 income, net (177) (321) (393) (1,437)
 _________ _______ _________ _______
INCOME BEFORE
 INCOME TAXES 2,261 2,549 7,722 4,117
 Income tax
 provision 25 38 75 113
 _________ _______ _________ _______


NET INCOME $2,236 $2,511 $7,647 $4,004
 _________ _______ _________ _______
 _________ _______ _________ _______
EARNINGS PER
 SHARE $ .36 $ .41 $ 1.22 $ .65


Weighted average
number of common
shares and common
stock equivalents 6,298,163 6,170,295 6,252,373 6,170,329




 GEHL COMPANY AND SUBSIDIARIES
 CONDENSED CONSOLIDATED BALANCE SHEETS
 (in thousands - audited)




 Sept. 30, 1995 Oct. 1, 1994
 ______________ ______________


ASSETS


 Cash $ 4,439 $ 4,272
 Accounts receivable - net 72,138 78,441
 Inventories 22,631 19,802
 Other current assets 8,564 6,098
 ________ _________
 Total current assets 107,772 108,613
 Property, plant and
 equipment - net 19,979 20,422
 Other assets 8,222 8,249
 ________ _________


 TOTAL ASSETS $135,973 $ 137,284
 ________ _________
 ________ _________


LIABILITIES AND SHAREHOLDERS'
 EQUITY


 Total current liabilities $ 28,936 $ 30,850
 Long-term debt obligations 51,315 60,205
 Other long-term liabilities 1,424 1,147
 Total shareholders' equity 54,298 45,082
 ________ _________
 TOTAL LIABILITIES AND
 SHAREHOLDERS' EQUITY $135,973 $137,284
 ________ _________
 ________ _________


CONTACT: Gehl Company, West Bend

Ken Kaplan, 414/334-6600
COPYRIGHT 1995 Business Wire
No portion of this article can be reproduced without the express written permission from the copyright holder.
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Publication:Business Wire
Date:Oct 18, 1995
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