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JOHNSON CONTROLS REPORTS RECORD FIRST-QUARTER RESULTS

 MILWAUKEE, Jan. 18 /PRNewswire/ -- Johnson Controls, Inc. (NYSE: JCI) (JCI) reported record sales and earnings for the three months ended Dec. 31, 1992.
 Sales for the first quarter of fiscal 1993 increased 24 percent to $1,511.3 million from $1,215.4 million for the prior year. Operating income also rose 24 percent, reaching $78.4 million versus $63.2 million a year ago. Net income for the current quarter was $34.6 million, up 21 percent from $28.4 million. Primary and fully diluted earnings per share were $.80 and $.76 respectively, up from $.66 and $.63 for the first quarter of fiscal 1992.
 According to James H. Keyes, president and chief executive officer, the higher results were primarily due to sales and earnings increases achieved by its automotive seating business, while its controls and battery businesses also recorded earnings improvements.
 Sales and operating income from automotive seating systems were both more than 50 percent higher than the levels a year ago. In North America, a sales increase was largely due to the company's participation in new, successful vehicle programs such as Chrysler's Jeep Grand Cherokee and its LH sedans, Ford's Villager minivan, and Nissan's Quest minivan and Altima sedan. Production increases at Saturn and Toyota were also contributing factors. The company said that its automotive seating sales in Europe were boosted, by approximately $100 million, as a result of the consolidation of revenues associated with certain European operations beginning in the fourth quarter of fiscal 1992. These operations involve Naue KG, in which Johnson Controls has acquired 100 percent ownership. Excluding the effect of this consolidation, sales in Europe were modestly higher than in the year-ago quarter.
 Sales of facility services and control systems increased by approximately 5 percent with even higher gains in operating income. In the commercial buildings market, revenues were stronger in North America because higher installation, service and operations activity in existing buildings more than offset a lower level of new construction work. European activity was also higher than in the prior year. In the government market, facility operations sales were relatively unchanged from a year ago. Worldwide orders from the commercial market in the 1993 fiscal quarter were higher due to strength in U.S. demand for system retrofits, services and building operations. The company said that demand for its Metasys facilities management system remained strong, which has contributed to higher than expected growth in system retrofit orders.
 Battery sales were approximately 5 percent lower than in the 1992 quarter due to reduced shipments of automotive replacement batteries. The company said that U.S. demand was negatively affected by relatively warm temperatures during the current period. Operating income, however, increased over last year due to operating efficiencies.
 Plastics sales rose by nearly 15 percent reflecting higher shipments of plastic containers in both the United States and Europe while machinery sales were down slightly from the prior year period. The company explained that in the U.S., it had increased container sales to both the soft drink and custom markets. As anticipated, operating income from plastics operations declined slightly from the record first- quarter level of 1992.
 Keyes said that he remained positive about the outlook for continued year-to-year earnings improvements during 1993. He commented that although European demand for vehicles and new buildings is softening, this weakness should be offset by the modest strengthening in the U.S. economy.
 CONSOLIDATED STATEMENT OF INCOME
 (in millions, except per share; unaudited)
 Three Months
 Ended December 31,
 1992 1991
 Net sales $1,511.3 $1,215.4
 Cost of sales 1,288.3 1,032.7
 Gross profit 223.0 182.7
 Selling, general and
 administrative expenses 144.6 119.5
 Operating income 78.4 63.2
 Interest income 1.8 2.5
 Interest expense (13.4) (13.5)
 Miscellaneous - net (2.8) 0.5
 Other income (expense) (14.4) (10.5)
 Income before income taxes 64.0 52.7
 Provision for income taxes 29.4 24.3
 Net income $34.6 $28.4
 Earnings available for
 common shareholders $32.6 $26.4
 Earnings per share
 Primary $0.80 $0.66
 Fully diluted $0.76 $0.63


The accompaning note is an integral part of the financial statement.
 NOTE TO THE CONSOLIDATED STATEMENT OF INCOME
 Earnings per Share - Primary earnings per share are computed by dividing net income, after deducting dividend requirements on the Series D Convertible Preferred Stock, by the weighted average number of common shares and common stock equivalents which would arise from the exercise of stock options. Fully diluted earnings per share assume the conversion of the Company's Series D Convertible Preferred Stock, if dilutive, plus the dilutive effect of the stock options.
 Three Months Ended
 December 31,
 Weighted Average Shares 1992 1991
 (in millions)
 Primary 40.5 39.8
 Fully diluted 44.2 43.5
 -0- 1/18/93
 /CONTACT: Denise M. Zutz of Johnson Controls, Inc., 414-228-3155/
 (JCI)


CO: Johnson Controls, Inc. ST: Wisconsin IN: AUT SU: ERN

KK -- CL010 -- 5967 01/18/93 15:21 EST
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Date:Jan 18, 1993
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