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INGERSOLL-RAND REPORTS SECOND-QUARTER IMPROVEMENT

 WOODCLIFF LAKE, N.J., July 21 /PRNewswire/ -- Ingersoll-Rand (NYSE: IR), a New Jersey-based manufacturing company, today reported improved second-quarter results from operations, compared to the same quarter of 1992.
 Sales for the quarter, which include the results of Ingersoll- Dresser Pump Company (IDP), totaled $1 billion. This represents a 9 percent increase over last year's second quarter. Excluding the sales from the pump units contributed by Dresser Industries, Inc. to IDP (a joint venture formed effective Oct. 1, 1992), sales would have been approximately 4 percent below the comparable quarter in the prior year.
 Operating income, before a $5 million restructure of operations charge, totaled $74.3 million for the second quarter and represents a 20 percent improvement over the $62.1 million reported for the three months ended June 30, 1992. The restructure of operations charge relates to the company's decision to sell its underground coal-mining machinery operations.
 Net earnings for the quarter were $36.0 million, or 34 cents per share, as compared to $32.6 million, or 31 cents per share for the second quarter of last year.
 For the first half of the year, the company posted net earnings of $60.6 million, or 58 cents per share. Net earnings for the first half of 1992, before the effect of the retroactive adoption of two accounting changes, totaled $53.2 million, or 51 cents per share. The 1992 accounting changes related to the treatment of postretirement benefits for medical and life insurance programs, and deferred taxes. Their adoption resulted in a one-time cumulative after-tax charge of $350.0 million, or $3.36 per share, effective Jan. 1, 1992.
 In discussing the second-quarter results, Theodore H. Black, chairman and chief executive officer, stated that the effects of the continued European recession were more than offset by improvements in some domestic markets, principally auto and housing, and the continued benefits derived by company-wide cost containment programs.
 Sales in the Standard Machinery Segment were 11 percent below the prior year's second quarter because of the extremely depressed conditions in the European markets, and the elimination of the coal mining operations from the quarter, which more than offset gains from the domestic markets. The decline in volume produced a modest reduction in operating income before the restructure charge of operations of $5 million. The restructuring charge relates to the company's decision to sell its underground coal-mining machinery operations, which have been operating close to the break-even level during the past few years.
 Engineered Equipment Segment's sales totaled $235.6 million, and represent a significant increase over last year's second quarter due to the formation of IDP. The operating results of IDP generated over $3 million of operating income, which is after the effects of a poor business climate in Europe and an ongoing strike at the group's largest manufacturing plant at Phillipsburg, N.J. Process Systems Group's sales and operating income for the quarter were below the comparable period in the prior year due to the cyclical nature of the pulp and paper industry.
 Sales in the Bearings, Locks and Tools Segment were $450.7 million, which approximated last year's second quarter. However, operating income totaled $52.1 million, and represents a 44 percent increase over the amount reported for the three months ended June 30, 1992. Strong demand for the company's door hardware products, an improved product mix, higher production levels for domestic automotive products, and benefits from ongoing cost containment programs were the primary reasons for the segment's operating income improvements.
 According to Black, "Incoming orders for the second quarter of the year totaled $1 billion, an increase of 15 percent over last year's second quarter. Domestic bookings continue to reflect strength while our international markets, particularly in Europe, remain weak. Excluding Dresser-related pump bookings, the company's second quarter bookings level was approximately 4 percent higher than the prior year's."
 INGERSOLL-RAND COMPANY
 Consolidated Income Statement
 (In thousands, except per share figures)
 Three months ended June 30, 1993 1992
 Net sales $1,006,800 $926,900
 Operating income before restructure 74,300 62,100
 Restructure of operations (5,000) ---
 Operating income after restructure 69,300 62,100
 Other income/(expense) (4,300) (3,400)
 Interest expense 13,600 13,200
 Dresser-Rand income 5,900 5,200
 IDP minority interest (1,100) ---
 Earnings before taxes 56,200 50,700
 Provision for income taxes 20,200 18,100
 Net earnings 36,000 32,600
 Net earnings per common share $.34 $.31
 Average number of common shares 104,900 104,400
 Six months ended June 30, 1993 1992
 Net sales $1,958,900 $1,788,100
 Operating income before restructure 119,500 102,500
 Restructure of operations (5,000) ---
 Operating income after restructure 114,500 102,500
 Other income/(expense) (2,900) (6,900)
 Interest expense 27,500 25,400
 Dresser-Rand income 12,000 12,900
 IDP minority interest (1,400) ---
 Earnings before taxes 94,700 83,100
 provision for income taxes 34,100 29,900
 Earnings for the period, before the
 effect of accounting changes 60,600 53,200
 Effect on prior years for
 accounting changes for:
 Postretirement benefits
 other than pensions --- (332,000)
 Income taxes --- (18,000)
 Net income (loss) 60,600 296,800
 Earnings per common share before the
 effect of accounting changes $.58 $.51
 Effect on prior years for
 accounting changes for:
 Postretirement benefits
 other than pensions --- (3.19)
 Income taxes --- (.17)
 Net income (loss) $.58 $(2.85)
 Average number of common shares 104,800 104,200
 INGERSOLL-RAND COMPANY
 Business Segment Review
 Second Quarter and Six Months
 (In millions of dollars, except percentages)
 Three months Six months
 Periods ended June 30, 1993 1992 1993 1992
 Standard Machinery
 Sales $ 320.5 $358.4 $ 617.3 $ 684.0
 Operating income excluding
 restructure of operations 26.0 26.6 39.8 43.2
 Restructure of operations (5.0) --- (5.0) ---
 Operating income from
 operations 21.0 26.6 34.8 43.2
 and as a percentage of sales 6.6 7.4 5.6 6.3
 Engineered Equipment
 Sales 235.6 122.0 459.6 239.5
 Operating income excluding
 restructure of operations 4.6 6.0 5.4 10.5
 Restructure of operations --- --- --- ---
 Operating income from operations 4.6 6.0 5.4 10.5
 and as a percentage of sales 2.0 4.9 1.2 4.4
 Bearings, Locks and Tools
 Sales 450.7 446.5 882.0 864.6
 Operating income excluding
 restructure of operations 52.1 36.2 90.2 63.2
 Restructure of operations --- --- --- ---
 Operating income from
 operations 52.1 36.2 90.2 63.2
 and as a percentage of sales 11.6 8.1 10.2 7.3
 Total:
 Sales $1,006.8 $926.9 $1,958.9 $1,788.1
 Operating income excluding
 restructure of operations 82.7 68.8 135.4 116.9
 Restructure of operations (5.0) --- (5.0) ---
 Operating income from
 operations 77.7 68.8 130.4 116.9
 and as a percentage of sales 7.7 7.4 6.7 6.5
 Unallocated corporate expense (8.4) (6.7) (15.9) (14.4)
 Consolidated operating income $69.3 $62.1 $114.5 $102.5
 -0- 7/21/93
 /CONTACT: Paul A. Dickard, 201-573-3120 or Richard D. Johnson of Ingersoll-Rand, 201-573-3087/
 (IR)


CO: Ingersoll-Rand Company ST: New Jersey IN: MAC SU: ERN

WB-MS -- NY028 -- 3887 07/21/93 11:04 EDT
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Date:Jul 21, 1993
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