FARR CO. REPORTS RESULTS
FARR CO. REPORTS RESULTS EL SEGUNDO, Calif., July 24 /PRNewswire/ -- Farr Co.
(NASDAQ: FARC) posted a modest profit for the second quarter compared to a substantial loss in the same period last year. Revenues and earnings both rose for the six months.
For the 13 weeks ended June 27, 1992, net income amounted to $93,000, or 3 cents per share, against a net loss of $2,398,000, or 67 cents per share, in last year's second quarter, which included costs totaling 90 cents per share related to the April 1991 acquisition of Cambridge Filter Corp. Sales for the period were $28,805,000, compared to $31,145,000 in the corresponding quarter a year ago. First half sales increased to $56,582,000, up from $54,044,000 a year earlier. Net income for the first half was $357,000, or 10 cents per share, compared to last year's net loss of $1,544,000, equal to 43 cents per share. Charles Wofford, chairman and president, commented: "While we are not satisfied with the second quarter results, they do represent a turnaround of nearly $2.5 million on the bottom line from last year's second quarter. In addition, the balance sheet has strengthened with a reduction in inventories, receivables and bank debt. "The lower second quarter sales reflect the current softness in the world economies vs. a surge in Cambridge product sales last year following the merger of the distribution networks, as well as the completion of a number of large gas-turbine projects. "Our primary near-term objective is to rebuild margins by improving manufacturing throughout the company, finalizing the Cambridge integration and continuing the installation of our new computer system. "We are making progress toward building a stronger company. However, a return to growing sales and satisfactory profits will depend in large measure on the strength of the economy both here and abroad." Farr Co. is a leading producer of filters for particulate, liquid and gaseous filtration systems. The company has 10 manufacturing facilities in the United States as well as plants in Canada and England. FARR CO. Condensed Consolidated Income Statements (Unaudited) (000's Omitted Except Per Share Data) 13 Weeks Ended 26 Weeks Ended June 27, June 29, June 27, June 29, 1992 1991 1992 1991 Net sales $28,805 $31,145 $56,582 $54,044 Costs and expenses: Cost of sales $22,002 $23,208 $43,526 $39,625 Selling, general and administrative 6,002 6,471 11,122 11,341 Interest expense 673 611 1,247 965 Reorganization 0 4,743 0 4,743 Total costs and expenses $28,677 $35,033 $55,895 $56,674 Income (loss) before income taxes $128 ($3,888) $687 ($2,630) Income taxes $35 ($1,490) $330 ($1,086) Net income (loss) $93 ($2,398) $357 ($1,544) Earnings (loss) per common share(a) $.03 ($.67) $.10 ($.43) (a) Based upon 3,639,802 and 3,601,557 average shares outstanding in 1992 and 1991 respectively. -0- 7/24/92 /CONTACT: Jack Carr, executive VP of Farr Co., 310-536-6300/ (FARC) CO: Farr Co. ST: California IN: SU: ERN
JB-EH -- LA014 -- 2900 07/24/92 08:30 EDT
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|Date:||Jul 24, 1992|
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