Printer Friendly

MORTON INTERNATIONAL REPORTS EARNINGS PER SHARE OF $2.95, UP 4 PERCENT, FOR FISCAL 1992

 MORTON INTERNATIONAL REPORTS EARNINGS PER SHARE
 OF $2.95, UP 4 PERCENT, FOR FISCAL 1992
 CHICAGO, July 30 /PRNewswire/ -- Morton International (NYSE: MII) today reported net income of $144.5 million, or $2.95 per share, for the fiscal year ended June 30, 1992, up 4 percent compared to $138.3 million, or $2.85 per share, last year. Net sales were $2.044 billion, an increase of 7 percent over fiscal 1991 sales of $1.906 billion.
 For the fourth quarter of fiscal 1992, earnings per share were $.70, the same as the prior year's fourth quarter, while net sales were up 9 percent to $505.5 million from $465.5 million last year.
 "I am pleased with the company's results in light of the continuing economic conditions affecting the chemical businesses," Morton's Chairman and Chief Executive Officer Charles S. Locke said. "In spite of the weak business environment, most of our chemical businesses did well except for those products sold into the electronics and defense industries. A mild winter in the United States this year also negatively impacted Morton's salt business. The airbag business had another year of significant and profitable growth."
 Specialty chemical sales in fiscal year 1992 increased 2 percent to $1,234.3 million in spite of a $24.3 million decrease due to the sale of the food and cosmetic colors product lines in August 1991. Chemical operating profits were up 8 percent to $165.3 million as significantly lower sales and operating profits of electronic materials and advanced materials were more than offset by favorable performances in nearly all other product lines. Especially good results were reported by packaging adhesives, performance chemicals and plastic additives, automotive coatings, powder coatings and industrial coatings.
 Fourth quarter specialty chemical sales improved 5 percent to $332.0 million with operating profits increasing 23 percent to $52.1 million. Last year's quarter included $7.0 million in sales of food and cosmetic colors. In addition to the product lines mentioned above, polymer systems, dyes and thermoplastic olyurethanes showed improvement in the fourth quarter over the same quarter last year.
 Salt sales of $480.7 million were up 3 percent in the current fiscal year while operating profits of $92.9 million increased 2 percent. While several product categories were up, the major improvement came from water conditioning, bag evaporated and table salt products. Although ice control tonnage for the year was down, favorable pricing more than offset the lower volume. Current year results also included a $3.2 million gain relating to an exchange of certain salt production properties in Utah.
 Salt fourth quarter sales increased 5 percent to $86.3 million, but
operating profits were down 24 percent to $10.7 million. The largest sales gains in the fourth quarter were in water conditioning and specialty products. The lower quarterly operating profits were largely due to favorable inventory and other adjustments included in the fourth quarter of 1991.
 Automotive safety products' sales for fiscal 1992 were $328.9 million, 46 percent above prior year while operating profits rose 52 percent to $48.1 million. Substantial increases in inflator shipments to Honda, Toyota, Nissan and Mercedes, as well as increased module shipments to Chrysler, accounted for most of the sales and profit gains. (An airbag module consists of an inflator, bag and cover.) Additional Mercedes, General Motors and Honda passenger inflator business also contributed to the favorable performance this year.
 In the fourth quarter, automotive safety products' sales were up 27 percent to $87.2 million. Driver and passenger inflator deliveries to European and Japanese customers accounted for most of the improvement in sales. Operating profits for the fourth quarter were $10.2 million, down 13 percent compared to last year's fourth quarter, largely due to higher research and development expenses and ramp up costs associated with expanded production capabilities.
 Morton's net income in the fiscal year and fourth quarter was also negatively affected by a higher effective tax rate of 37.5 percent versus 35.5 percent last year.
 Included in the fourth quarter was $12.0 million of non-operating, before-tax income resulting from a subtenant's default under a sublease of Morton's former corporate headquarters building. Morton expects the loss of future rental income from the sublease to have some short-term earnings impact until the company determines how it will use this valuable property located in downtown Chicago.
 Also in the fourth quarter, the company recorded charges of $10.5 million for anticipated future environmental expenditures and $1.3 million related to previous years' dispositions. The environmental accruals were recorded as a result of Morton's continuing assessment of potential cleanup obligations.
 Morton International is a Chicago-based manufacturer and marketer of specialty chemicals, automotive inflatable restraint systems and salt.
 MORTON INTERNATIONAL
 Comparative results through June 30
 (in millions, except per share data)
 Period ended June 30 Three Months Ended Fiscal Year Ended
 1992 1991 1992 1991
 Net sales $ 505.5 $ 465.5 $ 2,043.9 $ 1,905.9
 Interest, royalties
 and sundry income 20.2 7.3 34.5 23.5
 Total 525.7 472.8 2,078.4 1,929.4
 Deductions from income:
 Cost of products sold 344.6 318.9 1,399.6 1,319.7
 Selling, administrative
 and general expense 98.6 72.9 341.7 289.7
 Research & development
 expense 16.4 14.8 61.3 58.6
 Interest expense 8.3 10.4 33.8 36.4
 Amortization of goodwill 2.8 2.8 10.8 10.6
 Income taxes 20.6 18.8 86.7 76.1
 Total deductions from
 income 491.3 438.6 1,933.9 1,791.1
 Net income $ 34.4 $ 34.2 $ 144.5 $ 138.3
 Net Income per share $ 0.70 $ 0.70 $ 2.95 $ 2.85
 Average shares
 outstanding
 (in thousands) -- -- 49,047 48,528
 Business Segment Information
 Three Months Ended Fiscal Year Ended
 Period ended June 30 1992 1991 1992 1991
 Sales
 Specialty Chemicals $ 332.0 $ 314.8 $ 1,234.3 $ 1,214.8
 Salt 86.3 82.1 480.7 465.9
 Inflatable Restraint
 Systems 87.2 68.6 328.9 225.2
 Total Sales $ 505.5 $ 465.5 $ 2,043.9 $ 1,905.9
 Profit(A)
 Specialty Chemicals $ 52.1 $ 42.3 $ 165.3 $ 153.0
 Salt 10.7 13.9 92.9 91.1
 Inflatable Restraint
 Systems 10.2 11.7 48.1 31.5
 Total $ 73.0 $ 67.9 $ 306.3 $ 275.6
 (A) Business segment profit is before income taxes, interest income, interest expense and allocation of corporate administrative expenses.
 -0- 7/30/92
 /Contact: Nancy Hobor of Morton International, 312-807-2424/
 (MII) CO: Morton International ST: Illinois IN: CHM SU: ERN


LD -- NY114 -- 5357 07/30/92 17:59 EDT
COPYRIGHT 1992 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1992 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Jul 30, 1992
Words:1122
Previous Article:IBM AND PACIFICCORP CAPITAL ACHIEVE SETTLEMENT
Next Article:CHASE MORTGAGE FINANCE CORP. SERIES 1992H CLASS A 'AAA' BY FITCH -- FITCH FINANCIAL WIRE --
Topics:


Related Articles
MORTON INTERNATIONAL SECOND QUARTER EPS UP 15 PERCENT TO 71 CENTS
CONAGRA REPORTS RECORD FISCAL 1992 EARNINGS
MORTON INTERNATIONAL REPORTS 74 CENTS FOR FIRST QUARTER FISCAL 1993 EARNINGS PER SHARE
MORTON INTERNATIONAL REPORTS EARNINGS PER SHARE OF 72 CENTS FOR SECOND QUARTER FISCAL 1993
MORTON INTERNATIONAL REPORTS RECORD THIRD QUARTER
IMCERA COMPLETES RESTRUCTURING PROGRAM; EXPECTS FOURTH QUARTER PRETAX RESTRUCTURING CHARGE; ADOPTS FASB STANDARDS 106, 109 AND 112
MORTON REPORTS RECORD FY93 OPERATING EARNINGS OF $3.25 VERSUS $2.95, UP 10 PERCENT, BEFORE SPECIAL CHARGES
MORTON INTERNATIONAL REPORTS RECORD FIRST QUARTER
MORTON REPORTS EARNINGS PER SHARE OF $1.96 FOR FISCAL YEAR 1995; RECORD FOURTH QUARTER AND TOTAL YEAR RESULTS
Morton Reports 61 Cents For Fiscal 1997's Second Quarter

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters