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PECHINEY INTERNATIONAL REPORTS 1992 CONSOLIDATED RESULTS

 PARIS, April 6 /PRNewswire/ -- The following statement is being issued by Pechiney International in Paris, today:
 Consolidated Statements
 As announced last September 1992, net income for continuing operations and before goodwill amortization exceeded FF 1 billion and amounted to FF 1,071 million (an increase of 19 percent over 1991, on a comparable basis). Net income per share gained nearly 6 percent (rising from FF 11.80 to FF 12.50), despite an increase in the number of shares outstanding from 76.5 million to 85.9 million, following the exercise of the warrants issued in 1989.
 Major nonrecurring exceptional items were recorded, further adding to these figures. They consisted, on the one hand, of a net capital gain of FF 1.6 billion on the transfer to Pechiney of aluminum and international trade activities and, on the other hand, of reserves for restructuring and risks totaling about FF 500 million (after taxes). Including exceptional items, net income increased to FF 2,216 million before goodwill amortization, and FF 1,966 million after goodwill amortization.
 The principal consolidated figures for 1992, in millions of French francs except where indicated otherwise, are as follows. They are compared to 1991 results, which are restated to exclude from consolidation those companies sold in 1992.
 PECHINEY INTERNATIONAL
 1992 1991
 U.S. dollar average exchange (Restated)
 rate (in French francs) 5.29 5.64
 Net sales 35,328 37,342
 Erns. from operations bef.
 financial expense 2,898 3,257
 Financial expense, net 1,060 1,777
 Erns. from operations after
 financial expense 1,838 1,480
 Other income and expense 1,072 (22)
 Inc. before goodwill amort. 2,216 842
 Net inc. after goodwill amort. 1,966 582
 Inc. excluding exceptional items
 and before goodwill amortization
 - Total 1,071 901
 - Per share (in French francs) 12.50 11.80
 A 24 percent gain in earnings from operations after financial expense and before taxes masks an 11 percent decrease in operating profit (earnings from operations before financial expense), which was more than offset by a decline in financial expense.
 The reduction in operating profit was due entirely to the Turbine Components activity, whose contribution amounted to FF 344 million (U.S. $65 million), compared with FF 675 million (U.S. $120 million) in 1991. To respond to the persistent difficulties experienced by the aerospace industry, Howmet launched an exceptional restructuring program designed to adapt its manufacturing base and administrative structure to this environment. Howmet also strengthened its leadership position in the industrial gas turbine market.
 The packaging sector's contribution to operating profit remained practically stable when stated in French francs, amounting to FF 2,549 million, compared with FF 2,570 million for 1991 (restated). Stated in U.S. dollars it rose 7 percent, to $482 million from $450 million in 1991. Despite slower market growth in the United States as well as in Europe and some erosion in selling prices, profitability of the sector's principal activity -- beverage cans -- remained satisfactory thanks to higher sales volumes and substantial gains in productivity. The Beverage Glass North America and Personal Care Worldwide departments showed increases in both sales and earnings. In food packaging, conditions have been less favorable in Europe than in the United States where the metal food can activity reaped the first benefits from the restructuring and modernization program implemented in the last years.
 Dividends
 At the annual meeting on June 21, 1993, the Pechiney International board of directors will recommend to keep the net dividend at FF 5 per share; in addition, each share receives a dividend tax credit of FF 0.57. Taking into account a rise in the number of shares, distribution from 1992 results increases about 13 percent over last year.
 Outlook
 The 1993 outlook for the packaging sector is good for beverage glass and personal care activities, and should result in more pronounced gains for metal and plastic food packaging activities in the United States. However, some erosion in earnings could result from the decrease in selling prices for beverage cans noted in the United States at the beginning of the year, unless volume gains are sufficient to offset this situation.
 The turbine components activity continues to be adversely affected by the present situation in the commercial aviation market. However, the restructuring program launched by Howmet should improve that company's profitability.
 -0- 4/6/93
 /CONTACT: Ilse Minkenberg of Pechiney, 203-625-8836/


CO: Pechiney International ST: Connecticut IN: SU: ERN

PS-SH -- NY006 -- 0148 04/06/93 09:33 EDT
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Date:Apr 6, 1993
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