Printer Friendly

OAK INDUSTRIES REPORTS OPERATING EARNINGS TRIPLE; SALES UP 65 PERCENT

 WALTHAM, Mass., April 20 /PRNewswire/ -- Oak Industries Inc. (NYSE: OAK), today reported that operating income of $10.1 million during the quarter ended March 31, 1993 tripled from $3.5 million for the same period in 1992. Sales for the quarter climbed to $59.2 million, an increase of 65 percent over the first quarter of 1992 while gross margins as a percentage of sales increased to 32 percent from 25 percent. Income from continuing operations was $5.0


million, or 6 cents per share, for the quarter ended March 31, 1993, compared with income from continuing operations of $2.5 million, or 3 cents per share, for the same period in 1992.
 March 1992 net income of $6.0 million also included a one-time benefit of $3.5 million, or 4 cents per share, reflecting the adoption by the company of FAS 109 -- "Accounting for Income Taxes."
 "This quarter's results reflect our continued progress in growing Oak. Our strategy has been and will continue to be to grow the sales and earnings of our businesses while also acquiring businesses that serve industries with strong underlying growth and margins," said William S. Antle III, president and chief executive officer.
 Antle continued, "We are pleased with our progress to date and believe we are building momentum for the future. During the past six months, we have made three acquisitions -- H.E.S. International, Gilbert Engineering and Spectrum Technology. These acquisitions, along with the actions taken by our other businesses, are beginning to be reflected in our results. The H.E.S. consolidation with Houston Electronics was completed this quarter; Gilbert Engineering results were included in our operation results for the first full quarter; and Spectrum Technology's business should be fully consolidated into our Frequency Control Group early in the second quarter."
 Commenting the the results, Antle added, "This quarter represents the thirteenth consecutive quarter of earnings before non-recurring items and is the highest quarter for these profits since the December 1981 quarter. In addition, this quarter's results would have been higher by approximately $600,000 except for the one-time effect of accounting for inventory flow-through at Gilbert. These additional costs resulted from necessary accounting valuations associated with the acquisition and are now complete.
 "In addition, this quarter marked an increase in orders received. This was particularly encouraging and is reflected in our backlog which grew 11 percent," added Antle.
 "At this point, we are optimistic about the remainder of 1993. Momentum is building in each of the divisions as a result of the new- product pipeline, continued investment in marketing and new-product development and the full impact of our recent acquisitions of related companies. The March quarter results are an indication of our progress. In addition, we have the financial strength to continue our aggressive acquisition and growth strategies. Finally, as we announced last month, we are optimistic that the shareholders will approve a one-for-five reverse stock split at their May 6, 1993 meeting. This is an important component of our long-term growth objectives and should improve the attractiveness of our stock to larger financial institutions."
 Oak Industries Inc., is a provider of components and controls for leading manufacturers in a range of industries, including cable television, consumer appliances, test and measurement equipment, military, telecommunications and transportation. The company is pursuing a strategy for growth through new-product introductions, ongoing productivity enhancements and acquisitions.
 OAK INDUSTRIES, INC.
 Consolidated Statements of Operations
 For the Three Months Ended March 31, 1993 and 1992
 (unaudited)
 (In thousands, except per share data)
 For the three months
 ended March 31,
 1993 1992
 Net sales $59,223 $35,983
 Cost of sales (40,092) (26,960)
 Gross margin 19,131 9,023
 Operating expenses (9,051) (5,548)
 Operating income 10,080 3,475
 Corporate and other (1,102) (714)
 Interest expense, net (1,874) 12
 Income taxes (558) (288)
 Minority interest (1,531) ---
 Income from continuing
 operations 5,015 2,485
 Effect of a change in
 accounting principle --- 3,500
 Net income $5,015 $5,985
 Net income per common
 share (primary and fully
 diluted)
 Continuing operations 6 cents 3 cents
 Effect of change in
 accounting --- 4 cents
 82,529
 -0- 4/20/93
 /CONTACT: William C. Weaver, chief financial officer of Oak Industries Inc., 617-890-0400; Jean M. Devine, account executive of Sharon Merrill Associates, Inc., 617-262-1800, for Oak Industries/
 (OAK)


CO: Oak Industries, Inc. ST: Massachusetts IN: CPR SU: ERN

DH -- NE006 -- 7838 04/20/93 09:21 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Apr 20, 1993
Words:743
Previous Article:GTECH TOPS $500 MILLION FOR FISCAL YEAR; COMPANY REPORTS FOURTH-QUARTER AND YEAR-END OPERATING RESULTS
Next Article:TRIBUNE REPORTS IMPROVED FIRST QUARTER EARNINGS
Topics:


Related Articles
OAK INDUSTRIES REPORTS FOURTH-QUARTER AND YEAR-END RESULTS, YEAR-TO-YEAR OPERATING RESULTS IMPROVE FOR EIGHTH CONSECUTIVE QUARTER
OAK INDUSTRIES ANNOUNCES SECOND-QUARTER RESULTS; SALES GROW 22 PERCENT -- OPERATING PROFITS INCREASE 193 PERCENT
OAK INDUSTRIES ANNOUNCES THIRD-QUARTER RESULTS
OAK INDUSTRIES REPORTS FOURTH-QUARTER AND YEAR-END RESULTS; 12TH CONSECUTIVE QUARTER OF OPERATING PROFITS
PIONEER-STANDARD REPORTS RECORD $1.41 PER PRIMARY SHARE; NET INCOME UP 142 PERCENT
OAK INDUSTRIES REPORTS OPERATING EARNINGS INCREASE 279 PERCENT; SALES UP 52 PERCENT
OAK INDUSTRIES REPORTS INCREASED SALES AND EARNINGS
OAK INDUSTRIES REPORTS RECORD SALES AND EARNINGS
Oak Industries Reports Increased First Quarter Sales and Earnings
Oak Industries Reports Increased Third Quarter Sales and Earnings.

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