JONES PLUMBING SYSTEMS REPORTS RESULTS
JONES PLUMBING SYSTEMS REPORTS RESULTS BIRMINGHAM, Ala., Nov. 13 /PRNewswire/ -- Kenneth R. Wells,
president and chief executive officer of Jones Plumbing Systems, Inc. (AMEX: JPS), announced today the company's third quarter operating results.
Consolidated net sales of the company for the three months and nine months ended Sept. 30 were $10,337,101 and $27,907,320, respectively, a decline of 2.4 percent and 7.1 percent, as compared with the same periods in 1990. The company reported a net loss for the three months and nine months ended Sept. 30 of $1,304,655, or $.23 a share, and $2,432,648, or $.42 a share, respectively, as compared with net income of $121,363, or $.02 a share, and $896,785, or $.16 a share, for the year-earlier periods. The results included a loss from discontinued operations of $802,808, or $.14 a share, and $1,325,745, or $.23 a share, for each of the periods, respectively (including a provision of $264,000 for expected future losses), and a loss on the disposition of the company's screw machine division of $770,362, or $.13 a share. For each of the year-earlier periods, losses were $354,898, or $.06 a share, and $522,573, or $.09 a share, respectively. Income from continuing operations was $268,515, or $.04 a share, during the third quarter, as compared with $476,261, or $.08 a share, in the same period in 1990. For the nine months ended Sept. 30, the company reported a loss from continuing operations of $336,541, or $.06 a share, as compared with income of $1,419,358, or $.25 a share, for the same period last year. The company attributed the drop in net sales primarily to a depressed residential and commercial construction market. However, Wells said, "While the downturn in the economy continues to have an adverse effect on sales, the impact is being offset by the introduction of new products, improved distribution and new business segments of the company." The company made a decision in the third quarter to dispose of its screw machine division located in Hartsville, S.C., which operated under the name of Lane Manufacturing Company, and the transaction was completed on Nov. 12. Lane was acquired in 1989 for the purpose of expanding the company's manufacturing capabilities. Wells said, "The disposition of the Lane operation will have a positive impact on the future financial results of the company as it clears the way for the company to concentrate on its primary markets." He further stated, "While the economy continues to be depressed, the company is optimistic about its abilities to develop and grow through added products and penetration of new markets." CONSOLIDATED STATEMENTS OF INCOME (Unaudited) (Dollars in thousands, except per share data) 3 mos. ended Sept. 30 1991 1990 Net sales $ 10,337 $ 10,593 Cost of sales 7,119 7,146 Operating cost and expenses 2,554 2,458 Interest expense 255 250 Other expense 2 --- Income (loss) before income taxes 407 739 Prov. (credit) for income taxes 138 262 Income from continuing operations 269 476 Discontinued operations: Loss on screw machine division sold (net of income taxes) (803) (355) Loss on disposition of screw machine division (net of income taxes) (770) --- Total (1,573) (355) Net income (loss) $ (1,305) $ 121 Net income (loss) per common share: From continuing operations $ 0.05 $ 0.08 From discontinued operations (0.14) (0.06) Loss on disposal of screw machine division (0.13) 0.00 Total $ (0.22) $ 0.02 Weighted average number of common shares 5,749,275 5,749,275 9 mos. ended Sept. 30 1991 1990 Net sales $ 27,907 $ 30,034 Cost of sales 19,667 20,048 Operating cost and expenses 7,418 6,907 Interest expense 832 862 Other expense 528 --- Income (loss) before income taxes (539) 2,218 Prov. (credit) for income taxes (202) 798 Income from continuing operations (337) 1,419 Discontinued operations: Loss on screw machine division sold (net of income taxes) (1,326) (523) Loss on disposition of screw machine division (net of income taxes) (770) --- Total (2,096) (523) Net income (loss) $ (2,433) $ 897 Net income (loss) per common share: From continuing operations $ (0.06) $ 0.25 From discontinued operations (0.23) (0.09) Loss on disposal of screw machine division (0.13) 0.00 Total $ (0.42) $ 0.16 Weighted average number of common shares 5,749,275 5,749,275 CONDENSED CONSOLIDATED BALANCE SHEET (Unaudited) (Dollars in thousands) 9/30/91 12/31/90 Current assets $ 15,498 $ 16,104 Property, plant and equipment (net) 6,888 8,933 Other assets 2,621 3,368 Total $ 25,007 $ 28,404 Current liabilities $ 7,815 $ 7,591 Deferred income taxes 796 839 Long-term debt, less current maturities 10,454 11,600 Shareholders' equity 5,943 8,375 Total $ 25,007 $ 28,404 -0- 11/13/91 /CONTACT: Kenneth R. Wells, president and chief executive officer of Jones Plumbing Systems, 205-956-5511/ (JPS) CO: Jones Plumbing Systems, Inc. ST: Alabama IN: SU: ERN BN-BR -- AT017 -- 4135 11/13/91 17:09 EST
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|Date:||Nov 13, 1991|
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