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MAYTAG REPORTS THIRD QUARTER OPERATING INCOME

 NEWTON, Iowa, Oct. 20 /PRNewswire/ -- Maytag Corporation's (NYSE: MYG) third quarter operating income and net income were up significantly from the comparable period of 1992, according to an announcement today by Leonard A. Hadley, chairman and CEO.
 "Our North American Appliance business continued to be strong in the quarter, and improvements in income were principally related to that group's increased volume, especially in premium brands, greater production efficiencies and some selective price increases that were implemented earlier this year," Hadley said.
 Maytag's consolidated sales in the quarter ended Sept. 30 were $770.2 million, up from $735.5 million in the third quarter of 1992.
 Operating income in the most recent quarter rose 72 percent to $57.8 million and net income was $23 million, or 22 cents a share. Excluding special charges in the third quarter of 1992 for comparative purposes, Maytag's operating income was $33.6 million and net income was $10.6 million, or 10 cents a share.
 In the third quarter of last year, the corporation took a one-time pretax charge of $95 million for a reorganization of its U.S. and European operations. Additionally, third quarter figures were restated at year-end to reflect a $13 million adjustment to deferred taxes relating to the European reorganization. Consequently, the reported results for the third quarter of 1992, including the charges, showed an operating loss of $61.4 million and a net loss of $63.2 million, or 60 cents a share.
 Discussing significant business components, Hadley said Maytag's North American Appliance Group had sales of $611.2 million in the third quarter, up 9.7 percent from $557 million a year ago. Operating income for the group totaled $66.4 million, an increase of 61.4 percent from $41.1 million in the third quarter of 1992.
 The corporation's Hoover Europe Group posted third quarter sales of $85.4 million, compared to $109.7 million last year. An operating loss of $7.8 million was reported in the recent quarter, versus a loss of $7 million in last year's period.
 Hadley said most of the decrease in sales was attributable to less favorable currency conversion in this year's quarter. He added that operating margins continue to be pressured in major European markets, and Hoover Europe's business in France has suffered because vacuum cleaner manufacturing operations there are being moved to Scotland. Also, Hoover Europe continues to incur costs as it further streamlines its operations for the future.
 Maytag's vending equipment segment, Dixie-Narco, experienced slower business in the first part of the year but third quarter sales rebounded to $39.8 million and operating income rose 22.9 percent to $4.4 million. In the third quarter of 1992, Dixie-Narco had sales of $36.9 million and operating income of $3.6 million.
 For the first nine months of this year, Maytag's consolidated sales were $2.24 billion, compared with last year's nine-month total of $2.26 billion. Hadley attributed the slight decrease in this year's sales to less favorable currency conversions and the absence of sales from the microwave oven operation that Maytag sold in June of 1992. Sales would have been ahead of last year excluding the effect of these factors.
 In the first quarter of this year, the corporation took a one-time, after-tax charge of $30 million to cover anticipated additional costs associated with promotional programs in the United Kingdom. Last year, in addition to the reorganization charge, Maytag incurred $307 million, or $2.89 per share, in after-tax charges associated with the adoption of two accounting changes, which were retroactive to the first quarter of 1992.
 Excluding these special charges from both years for comparative purposes, Maytag's operating income for the first nine months of 1993 was $161.4 million, up 20 percent from $134.8 million in the first nine months of 1992. Net income, also excluding the special charges, rose to $63.8 million, or 60 cents a share in this year's first nine months, versus $54.2 million, or 51 cents a share in last year's comparable period.
 Including the promotional related special charge this year and the reorganization charge last year, Maytag's reported operating income for the first nine months of 1993 was $111.4 million, versus an operating income of $39.8 million a year ago. The reported net income, including all charges and the cumulative effect of accounting changes in 1992, was $33.8 million, or 32 cents a share in the first nine months of 1993, compared to a net loss of $326.6 million, or $3.08 a share last year.
 Nine month sales for Maytag's North American Appliance Group were $1.73 billion, compared to $1.68 billion in the first nine months of 1992. Operating income rose 20.5 percent to $170.4 million from $141.5 million in the first nine months of 1992.
 Hoover Europe's sales in the first nine months of 1993 were $289.8 million, compared to $346.9 million in the same period of last year. This year's nine-month operating loss for the group amounted to $15.5 million, excluding the promotional related special charge, compared to $16.2 million a year ago. Poor economic conditions in France and Italy continue to impact results in Europe.
 Dixie-Narco's sales in the first three quarters of this year amounted to $125.1 million, down from $131.6 million in the first nine months of 1992.
 Operating income amounted to $14.5 million, compared to $15.2 million a year ago.
 Maytag Corporation is a leading appliance enterprise focused on five principal areas of home management: laundry, cooking, dishwashing, refrigeration and floor care. Vending equipment is an additional corporate business.
 Headquartered in Newton, Iowa, Maytag has about 21,000 employees worldwide. Its appliance brands include Maytag, Hoover, Jenn-Air, Magic Chef and Admiral. Dixie-Narco is the corporation's vending equipment manufacturer.
 MAYTAG CORPORATION
 Condensed Statements Of Consolidated Income (Loss)
 (In thousands, except per share data)
 Periods Ended Third Quarter Nine Months
 Sept. 30 1993 1992 1993 1992
 Net sales $ 770,222 $ 735,540 $ 2,240,331 $ 2,258,777
 Cost of sales 581,721 573,669 1,695,285 1,730,455
 Gross profit 188,501 161,871 545,046 528,322
 Selling, general
 and administrative
 expenses 130,688 128,260 433,683 393,549
 Reorganization
 expenses -- 95,000 -- 95,000
 Operating income
 (loss) 57,813 (61,389) 111,363 39,773
 Interest expense (19,072) (18,980) (56,904) (56,182)
 Other - net 1,682 1,879 4,842 6,109
 Income (loss)
 before income
 taxes and
 cumulative
 effect of
 accounting
 changes 40,423 (78,490) 59,301 (10,300)
 Income taxes 17,383 (15,256) 25,500 9,292
 Income (loss)
 before cumulative
 effect of
 accounting
 changes 23,040 (63,234) 33,801 (19,592)
 Cumulative effect
 of accounting
 changes (307,000)
 Net income
 (loss) $ 23,040 $ (63,234) $ 33,801 $(326,592)
 Income (loss)
 per average
 share of
 common stock:
 Income (loss)
 before cumulative
 effect of
 accounting
 changes $ 0.22 $ (0.60) $ 0.32 $ (0.18)
 Cumulative
 effect of
 accounting
 changes (2.89)
 Net income
 (loss) $ 0.22 $ (0.60) $ 0.32 $ (3.08)
 Average shares
 outstanding 106,286 106,048 106,201 106,086
 The above statements are subject to year-end audit by independent auditors.
 MAYTAG CORPORATION
 Condensed Statements Of Consolidated Financial Condition
 (In thousands)
 9/30/93 12/31/92
 ASSETS
 Current assets
 Cash and cash equivalents $ 40,518 $ 57,032
 Accounts receivable - net 587,301 476,850
 Inventories 434,324 401,083
 Deferred income taxes 68,730 52,261
 Other current assets 49,550 28,309
 Total current assets 1,180,423 1,015,535
 Other assets 605,575 651,844
 Property, plant and equipment 821,178 834,111
 Total assets $ 2,607,176 $ 2,501,490
 LIABILITIES AND SHAREOWNERS' EQUITY
 Current liabilities
 Accounts payable and accrued expenses $533,047 $ 499,604
 Notes payable and current maturities
 of long-term debt 214,186 63,305
 Total current liabilities 747,233 562,909
 Deferred income taxes 74,120 89,011
 Long-term debt 739,649 789,232
 Postretirement benefits other
 than pensions 389,580 380,376
 Other noncurrent liabilities 72,015 80,737
 Shareowners' equity 584,579 599,225
 Total liabilities and
 shareowners' equity $ 2,607,176 $ 2,501,490
 The above statements are subject to year-end audit by independent auditors.
 -0- 10/20/93
 /CONTACT: James G. Powell of Maytag, 515-791-8392/
 (MYG)


CO: Maytag Corporation ST: Iowa IN: HOU SU: ERN

TS -- NY054 -- 4559 10/20/93 12:11 EDT
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Date:Oct 20, 1993
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