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IDEX CORP. REPORTS RECORD RESULTS FOR 1992 WITH A 27 PERCENT RISE IN INCOME BEFORE EXTRAORDINARY ITEMS AND A SALES INCREASE OF 21 PERCENT

 NORTHBROOK, Ill., Jan. 19 /PRNewswire/ -- IDEX Corp. (NYSE: IEX) today reported that sales in 1992 amounted to a historical high of $277.1 million, and increased by 21 percent from the $228.2 million reported in 1991. Income before extraordinary items and the cumulative effect of changes in accounting principles amounted to a record $20.1 million, and rose by 27 percent from the prior year's $15.9 million. Earnings per common share before extraordinary items and the cumulative effect of changes in accounting principles, also a record, amounted to $1.60, and increased by 13 percent from the $1.41 reported in 1991. The increase in income before the unusual items was larger than the increase in per share income because of a 12 percent rise in the weighted average number of common shares outstanding following an additional offering of common stock in September 1991.
 Donald N. Boyce, chairman of the board and president of this manufacturer of proprietary fluid handling and industrial products, said, "Our results for 1992 again demonstrated the company's ability to perform well in a difficult climate for industrial companies. Our base businesses achieved modest growth in sales and profits, while inclusion of acquired companies and reductions in interest expense gave us a nice boost that enabled us to report significant improvements on both the top and bottom lines of the income statement."
 Boyce noted that profit before tax and interest was a very healthy 15.6 percent of sales, but that this percentage had declined from 16.9 percent last year. He said that margins in the company's base businesses remained very strong and were essentially unchanged from the prior year. He added that margins in businesses recently acquired, while good, were somewhat lower than in IDEX's base businesses and were further affected by purchase accounting adjustments. He also noted that the acquired businesses were performing very much as expected, and that IDEX's growth in 1992 was largely attributable to the contributions of those new businesses. Boyce said that both the Fluid Handling and Industrial Products Groups recorded higher sales and profits in 1992, but that the Fluid Handling Group, which accounted for 67 percent of 1992 revenues, had significantly more growth because of acquisitions.
 As previously reported, IDEX issued $75 million in new 10-year senior subordinated notes at an interest rate of 9-3/4 percent during the third quarter of 1992, and arranged for the in-substance defeasance of its former $50 million issue of 15-3/8 percent senior subordinated debentures. As expected, the redemption of the $50 million issue of debentures was completed on Jan. 15, 1993. This transaction resulted in a one-time extraordinary charge of $5.0 million, or 39 cents per common share. This extraordinary charge was partially offset by the net favorable cumulative effect of adopting two new accounting standards which added $1.5 million, or 12 cents per share to net income. The newly adopted standards relate to accounting for post-retirement benefits and accounting for income taxes. Neither accounting standard is expected to have a material effect on future earnings of the company. After both the extraordinary loss from defeasance of debt and the cumulative effect of the changes in accounting principles, IDEX earned $16.7 million, or $1.33 per common share in 1992.
 FINANCIAL POSITION STRENGTHENED
 IDEX's financial position again showed significant improvement in 1992. At year-end, the company employed working capital of $76.7 million and enjoyed a current ratio of 2.9 to 1. During the year, bank debt was reduced by $20 million from cash flow in the business, and by a further $15 million from the senior subordinated note refinancing mentioned above. Offsetting these reductions, during 1992 the company borrowed a total of $85 million on its bank lines to acquire Viking- Canada, Pulsafeeder and Johnson Pump (U.K.). As a result, bank debt at year-end 1992 stood at $62 million. Senior subordinated indebtedness increased from $50 million to $75 million as a result of the previously mentioned transactions.
 At year-end 1992, the company's reported net worth was $59 million, up from $37 million at the end of 1991. Because IDEX was not permitted to use purchase accounting principles when it was formed in January 1988, it began operations with a negative net worth of $95 million. In the five years of its existence, IDEX's net worth has risen by $154 million and its total debt, after investing approximately $102 million in five acquisitions, has declined by approximately $28 million.
 FOURTH QUARTER RESULTS
 In the fourth quarter of 1992, IDEX reported sales of $74.9 million, up 31 percent from the prior year's $57.1 million, income before extraordinary items of $5.0 million, up 11 percent from the $4.5 million reported in the fourth quarter of 1991, and earnings per share before extraordinary items of 39 cents versus the 36 cents reported in the final quarter of 1991. The adoption of the two new accounting standards resulted in a restatement of earnings before the extraordinary charge for defeasance of debt for the first three quarters of 1992, from the previously reported $1.16 per common share to a revised $1.21 per common share.
 OUTLOOK
 Boyce said that the company continues to perform very well despite the very slow economic recovery in the United States and the continuing recession in Europe and Canada. He said that the company expects another record year in 1993 with modest growth in its core businesses, inclusion of recently acquired businesses for a full year and lower interest expense. He added that the company is very well positioned in its markets, serves diverse industries, sells in most areas of the world, and has strength because of this diversity.
 IDEX Corp. is a manufacturer of proprietary fluid handling and industrial products with leading positions in niche markets. Its engineered products are sold to a wide range of industries. IDEX shares are traded on the New York Stock Exchange under the symbol IEX.
 Receive the latest information about IDEX via FAX, no cost.
 1-800-PRO-INFO, code 087.
 IDEX CORP. AND SUBSIDIARIES
 Condensed Statements of Consolidated Operations
 (In thousands, except per share amounts)
 FOR THE THREE AND TWELVE MONTH PERIODS ENDED DEC. 31, 1992
 Fourth Quarter Ended Year Ended
 Dec. 31, Dec. 31,
 1992 1991 1992 1991
 (unaudited)
 Net Sales $74,938 $57,137 $277,129 $228,181
 Cost of Sales 46,468 35,928 171,152 143,092
 Gross Profit 28,470 21,209 105,977 85,089
 Selling, General
 and Administrative
 Expenses 17,690 11,414 63,123 47,014
 Income from
 Operations 10,780 9,795 42,854 38,075
 Other Income
 (Expense) - Net 222 196 308 398
 Interest Expense 3,317 2,819 12,178 12,730
 Provision for
 Income Taxes 2,684 2,658 10,838 9,826
 Income before Extra-
 ordinary Items and
 Cumulative Effect of
 Changes in Accounting
 Principles 5,001 4,514 20,146 15,917
 Extraordinary Items:
 Utilization of Net
 Operating Loss
 Carryforwards 325 1,214
 Loss from Defeasance
 of Debt, Net of Tax (4,958)
 Cumulative Effect of Changes
 in Accounting Principles:
 Postretirement Benefits,
 Net of Tax (3,879)
 Income Taxes 5,396
 Net Income $5,001 $4,839 $16,705 $17,131
 Earnings Per Common Share:
 Income before Extra-
 ordinary Items and
 Cumulative Effect of
 Changes in Accounting
 Principles $0.39 $0.36 $1.60 $1.41
 Extraordinary Items:
 Utilization of Net Operating
 Loss Carryforwards 0.03 0.11
 Loss from Defeasance of Debt,
 Net of Tax (0.39) 0.00
 Cumulative Effect of Changes
 in Accounting Principles:
 Postretirement Benefits,
 Net of Tax (0.31)
 Income Taxes 0.43
 Net Income $0.39 $0.39 $1.33 $1.52
 Weighted Average Common
 Shares Outstanding 12,742 12,526 12,617 11,274
 CONDENSED CONSOLIDATED BALANCE SHEETS
 (in thousands)
 DEC. 31, DEC. 31,
 1992 1991
 Assets
 Current Assets
 Cash and Cash Equivalents $2,370 $1,486
 Receivables - Net 39,253 29,893
 Inventories 63,814 42,390
 Prepaid Expenses and Other 11,286 695
 Total Current Assets 116,723 74,464
 Property, Plant and
 Equipment - Net 52,266 35,473
 Intangible Assets - Net 78,009 27,807
 Other Assets 6,302 5,398
 Total $253,300 $143,142
 Liabilities and Shareholders' Equity
 Current Liabilities $40,041 $31,733
 Long-Term Debt 139,827 65,788
 Other Noncurrent Liabilities 14,701 8,509
 Total Liabilities 194,569 106,030
 Shareholders' Equity 58,731 37,112
 Total $253,300 $143,142
 -0- 1/19/93
 /CONTACT: Wayne P. Sayatovic, VP-Finance of IDEX, 708-498-7070, or at the Financial Relations Board, Nick Farina or Audrey Lowe, 312-266-7800, or Lillian Armstrong, 415-986-1591/
 (IEX)


CO: IDEX Corp. ST: Illinois IN: SU: ERN

LR -- NY041 -- 6255 01/19/93 11:03 EST
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Date:Jan 19, 1993
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