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LARIZZA INDUSTRIES, INC. REPORTS SECOND-QUARTER EARNINGS

 LARIZZA INDUSTRIES, INC. REPORTS SECOND-QUARTER EARNINGS
 TROY, Mich., July 21 /PRNewswire/ -- Larizza Industries, Inc.


(AMEX: LII), an original equipment supplier to the automotive industry, today announced net income for the second quarter ended June 30, 1992, of $501,000 ($0.04 per share) on sales of $28,669,000 compared to a net loss of $5,038,000 ($0.36 per share) on sales of $23,009,000 for the previous year's second quarter. The prior year's second quarter net loss included a loss on disposal of discontinued operations of $3,900,000 ($0.28 per share).
 For the first six months of 1992, the company reported net income of $665,000 ($0.05 per share) on sales of $52,937,000 compared to a net loss of $7,712,000 ($0.56 per share) on sales of $39,851,000 for the first half of 1991.
 The net earnings for the first and second quarters of 1992 were reduced by approximately $1 million per quarter of interest expense on the company's U.S. loan, which loan, including interest, is not payable for seven years. The company's banks have the option to convert the U.S. loan of $47.0 million, along with accrued interest, into a minority position in the company.
 Sales for the quarter and six months increased over the prior year as a result of increased car builds as well as the launching of new programs. During the first quarter of 1992, the company launched a program to manufacture all the interior door panels for Chrysler's new Jeep Grand Cherokee as well as interior trim for the Ford Crown Victoria, Mercury Grand Marquis and the Ford F-Truck Supercab. During the fourth quarter of 1991, the company launched its first program with Honda to manufacture door panels for the Honda Civic manufactured in Alliston, Ontario.
 During the second half of 1992, the company will be launching its second program with Honda to produce interior door panels for the Honda Civic manufactured in Marysville, Ohio. In addition, the company will be launching programs to produce interior trim for the new Ford Villager and Nissan Quest minivans as well as interior trim for the Lincoln Mark VIII.
 Ronald T. Larizza, president and chief executive officer of Larizza Industries, Inc., expressed satisfaction with the company's progress and indicated that sales for the second quarter of 1992 increased $4,401,000 over the first quarter of 1992 and operating profit was up by $1,351,000 over the first quarter of 1992.
 LARIZZA INDUSTRIES, INC. AND SUBSIDIARIES
 CONSOLIDATED CONDENSED BALANCE SHEETS
 (Dollars in thousands; unaudited)
 June 30, Dec. 31,
 ,099
 Receivables 16,180 10,789
 Inventories 6,623 6,660
 Net current assets of discontinued operations 1,946 1,953
 Other current assets 683 1,903
 Total current assets 26,261 25,404
 Net property, plant and equipment 28,185 29,472
 Goodwill and other intangibles 3,195 3,296
 Net noncurrent assets of
 discontinued operations 459 419
 Other assets 1,836 1,755
 $59,936 $60,346
 LIABILITIES AND SHAREHOLDERS' DEFICIT:
 Current installments of long-term debt $500 $201
 Accounts payable and accrued expenses 21,482 21,154
 Accrual for loss on sale of
 discontinued operations 2,029 2,126
 Total current liabilities 24,011 23,481
 Long-term debt, excluding
 current installments 97,600 99,205
 Deferred gain on debt restructure 8,144 8,821
 Accrued interest 2,184 103
 Other noncurrent liabilities 3,347 3,352
 Shareholders' deficit (75,350) (74,616)
 $59,936 $60,346
 LARIZZA INDUSTRIES, INC. AND SUBSIDIARIES
 CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS
 (Amounts in thousands, except per-share amounts; unaudited)
 Three Months Ended
 June 30,
 1992 1991
 Net sales $28,669 $23,009
 Cost of goods sold 23,557 19,534
 Gross profit 5,112 3,475
 Selling, general and administrative expenses 2,720 2,021
 Nonrecurring operating expenses --- 75
 Amortization of intangibles 18 30
 Operating income 2,374 1,349
 Other income (expense):
 Interest expense, net (1,785) (2,489)
 Other, net (88) 2
 (1,873) (2,487)
 Income (loss) from continuing operations
 before income tax provision 501 (1,138)
 Income tax provision --- ---
 Income (loss) from continuing operations 501 (1,138)
 Discontinued operations:
 Loss on disposal of discontinued operations --- (3,900)
 Net income (loss) $501 ($5,038)
 Income (loss) per common share:
 Income (loss) from continuing operations $.04 ($.08)
 Loss from discontinued operations --- ($.28)
 Net income (loss) $.04 ($.36)
 Weighted average number of shares
 of common stock outstanding 13,805 13,805
 LARIZZA INDUSTRIES, INC. AND SUBSIDIARIES
 CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS
 (Amounts in thousands, except per-share amounts; unaudited)
 Six Months Ended
 June 30,
 1992 1991
 Net sales $52,937 $39,851
 Cost of goods sold 44,213 34,549
 Gross profit 8,724 5,302
 Selling, general and administrative expenses 5,291 3,730
 Nonrecurring operating expenses --- 75
 Amortization of intangibles 36 60
 Operating income 3,397 1,437
 Other income (expense):
 Interest expense, net (3,493) (5,070)
 Other, net 50 (179)
 (3,443) (5,249)
 Income (loss) from continuing operations
 before income tax provision & extraordinary gain (46) (3,812)
 Income tax provision --- ---
 Income (loss) from continuing operations
 before extraordinary gain (46) (3,812)
 Discontinued operations:
 Loss on disposal of discontinued operations --- (3,900)
 Income (loss) before extraordinary gain (46) (7,712)
 Extraordinary gain on extinguishment of debt 711 ---
 Net income (loss) $665 ($7,712)
 Income (loss) per common share:
 Income (loss) from continuing operations
 before extraordinary gain --- ($.28)
 Loss from discontinued operations
 before extraordinary gain --- ($.28)
 Extraordinary gain $.05 ---
 Net income (loss) $.05 ($.56)
 Weighted average number of shares
 of common stock outstanding 13,805 13,805
 -0- 7/21/92
 /CONTACT: Terence C. Seikel, chief financial officer, Larizza Industries, Inc., 313-689-5800/
 (LII) CO: Larizza Industries, Inc. ST: Michigan IN: AUT SU: ERN


KR-JG -- DE011 -- 1447 07/21/92 15:05 EDT
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Date:Jul 21, 1992
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