DONALDSON COMPANY INC. ANNOUNCES FIRST QUARTER RESULTS
MINNEAPOLIS, Nov. 15 /PRNewswire/ -- Donaldson Company, Inc. (NYSE: DCI) today reported first quarter results for the period ended Oct. 31, 1991. Sales of $113.1 million were slightly better than prior-year sales of $112.9 million, while net earnings of $6.1 million, or 65 cents per share, were below last year's earnings of $7.2 million, or 73 cents per share.
In commenting on these results, William A. Hodder, chairman and chief executive officer, said, "Last year, we got off to a particularly strong start which contributes to the adverse quarter- to-quarter earnings comparison. In fact, first-quarter results this year are comparable with the company's performance over the last nine months of 1991.
"Compared to the first quarter last year, we reported sales increases in our dust collection, high purity products and defense businesses. Offsetting these gains were declines in traditional diesel engine first fit and aftermarket sales and domestic gas turbine filtration sales.
"Relative to last year's second half performance, gross margins of 28.0 percent improved one percentage point; while operating expenses, as a percent of sales, held steady. Earnings continued to benefit from an improvement in other non-operating income and a lower effective income tax rate."
Total backlogs of $127.2 million were up 4 percent from the same period last year, and 2 percent from the prior year end. Hard order backlogs -- goods scheduled for delivery within 90 days -- of $82.1 million were flat relative to the same period last year and at fiscal 1991 year end.
Donaldson Company, Inc. is a worldwide manufacturer of filtration products. The company's mix includes air and liquid filters and exhaust and emission control products for heavy duty mobile equipment; in-plant air cleaning systems; air intake systems and exhaust products for industrial gas turbines; and specialized filters for such diverse applications as computer disk drives, clean room and personal respirators. Products are produced at nine U.S. plants, eight other plants around the world and two joint ventures. The company's shares are traded on the New York Stock Exchange under the symbol DCI.
DONALDSON COMPANY, INC.
Consolidated Statements of Earnings
Three Months Ended October 31
(Thousands of dollars except per share amounts)
Net Sales $113,089 $112,883
Cost of Sales 81,480 79,989
Gross Earnings 31,609 32,894
Operating Expenses 21,761 20,113
Other (Income) (847) (102)
Interest Expense 651 958
Earnings Before Income Taxes 10,044 11,925
Income Taxes 3,917 4,770
Net Earnings $6,127 $7,155
Net Earnings Per Share $.65 $.73
Weighted Average Number of Shares
and Equivalents Outstanding 9,400,596 9,749,118
/CONTACT: John R. Schweers of the Donaldson Company, 612-887-3014; or John Mackay of Padilla Speer Beardsley, 612-871-8877, for Donaldson Company/
(DCI) CO: Donaldson Company, Inc. ST: Minnesota IN: SU: ERN KH -- MN006 -- 1552 11/15/91 12:27 EST