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 CHICAGO, Sept. 23 -- Oil-Dri Corporation of America (NASDAQ-NMS: OILC) today reported record sales of $134,760,000 for the year ended July 31, 1993, an increase of 13 percent over the $118,750,000 reported last year. Net income for the year was $9,420,000 or $1.34 per share, up 33 percent from the $7,100,000 or $1.01 per share earned in fiscal 1992.
 Fourth quarter sales were $32,100,000, an 8 percent increase over the $29,460,000 reported in the same period a year ago. Earnings for the quarter were $1,780,000 or $0.26 per share, a 2 percent improvement over last year's $1,736,000 or $0.25 per share.
 Earnings for the quarter reflect charges related to the refinancing and extension of maturities on a portion of the company's long-term debt. This nonrecurring adjustment reduced earnings by $0.03 per share. Before these charges, earnings for the quarter were $0.29 per share, an increase of 16 percent over last year's fourth quarter earnings.
 In addition, adoption of Financial Accounting Standard 109, "Accounting for Income Taxes," increased fiscal 1993's previously reported nine month's earnings by $0.03 per share and the fourth quarter by $0.01 per share. In applying FAS 109, the company restated fiscal years 1989 through 1992.
 Richard M. Jaffee, president and chief executive officer, had the following comments on the year: "During the last three years, Oil-Dri has invested heavily in developing new products, product improvements and marketing programs. I am pleased to report that these investments have generated record sales and earnings and prepared us for continued growth. Fiscal year 1993 has been the corporation's best ever.
 "The Consumer Division contributed significantly to the increased sales and profitability. Lasting Pride(tm) and Cat's Pride(R) cat litters, in both scoopable and granular forms, had particularly strong growth in mass merchandisers and wholesale clubs. In addition, our new Pet Shop Pride(tm) line of Advance cat litters was introduced to mass retailers of pet supplies. Total cat litter business was 13 percent ahead of last year and represented 51 percent of net sales.
 "The Agrisorbents Product Group had marked increases in Agsorb(R) sales and introduced ConditionAde, an animal feed pellet conditioner. Sales of Oil-Dri's agriculturally related products increased 23 percent, representing 14 percent of net sales.
 "The introduction of the Pure-Flo(R) Supreme line of products, an innovation in edible oils and fats purification, contributed to the dramatic performance of the Pura-Flo Products Group. Sales for the group were up 46 percent from a year ago and represented 4 percent of net sales.
 "Foreign subsidiary and export sales were very strong during the year. Net Pure-Flo(R) markets have been established in Europe, South America, Central America and Asia. Also, Favorite Products, Ltd. in Laval, Quebec, expanded distribution of Saular(R) cat litters. Overall, foreign sales were up 32 percent from last year and represented 12 percent of net sales.
 "In spite of the tough industrial economy, domestic sales of Oil-Dri Lite(tm) Sorbents showed modest increases during the year, offsetting the decline of traditional floor absorbent business. The division, representing 14 percent of net sales, finished the year slightly behind fiscal 1992.
 "It was particularly gratifying to expand our profit margin in a year in which price increases were virtually impossible and natural gas prices, a significant part of our manufacturing costs, increased dramatically.
 "Continued focus on Research & Development has proven to be the best investment in our future. The Nick Jaffee Sorbent Technology Laboratory consistently produces innovative new products and performance improvements. As Oil-Dri continues to grow, our challenge will be to maintain technical, operational, logistical and informational superiority in an increasingly competitive marketplace."
 Oil-Dri Corporation of America is the leader in developing, manufacturing and marketing sorbent products and related services for consumer, industrial, environmental, agricultural and specialty markets.
 Year Ended July 31 1993 Pct. of 1992 Pct. of
 Sales Sales
 Net sales $134,759,583 100.0 $118,750,370 100.0
 Cost of sales 97,396,563 72.3 85,116,335 71.7
 Gross profit 37,363,020 27.7 33,634,035 28.3
 Operating expenses 23,314,304 17.3 23,001,545 19.7
 Operating income 14,048,716 10.4 10,632,490 9.0
 Other income (expense) (1,795,237) -1.3 (1,421,820) -1.2
 Income before income
 taxes 12,253,479 9.1 9,210,670 7.8
 Income taxes 2,833,837 2.1 2,110,262 1.8
 Net income $ 9,419,642 7.0 $7,100,408 6.0
 Net income per share $1.34 $1.01
 Average number of
 shares outstanding 7,031,116 7,026,300
 Consolidated Statement of Income (Unaudited)
 Quarter Ended July 31 1993 Pct. of 1992 Pct. of
 Sales Sales
 Net sales $32,120,284 100.0 $29,457,883 100.0
 Cost of sales 23,893,942 74.4 21,545,895 73.1
 Gross profit 8,226,342 25.6 7,911,988 26.9
 Operating expenses 5,395,961 16.8 5,361,781 18.2
 Operating income 2,830,381 8.8 2,550,207 8.7
 Other income (expense) (515,437) -1.6 (359,064) -1.2
 Income before income
 taxes 2,314,944 7.2 2,191,143 7.4
 Income taxes 535,362 1.7 454,724 1.5
 Net income $ 1,779,582 5.5 $1,736,419 5.9
 Net income per share $0.26 $0.25
 Average number of
 shares outstanding 7,034,003 7,015,297
 Condensed Consolidated Balance Sheet (Unaudited)
 Periods ended July 31 1993 1992
 Current assets $ 41,026,996 $ 37,631,205
 Property, plant and equipment 53,283,093 50,326,973
 Other assets 7,806,443 7,059,395
 Total Assets $102,116,532 $ 95,017,573
 Current liabilities $ 15,259,899 $ 13,272,436
 Long-term liabilities 19,145,887 20,011,205
 Deferred investment credits and
 income taxes 1,268,334 2,078,674
 Stockholders' equity 66,442,412 59,655,258
 Total Liabilities and
 Stockholders' Equity $102,116,532 $ 95,017,573
 -0- 9/23/93
 /CONTACT: Kelly McGrail of Oil-Dri Corporation of America, 312-321-1515/

CO: Oil-Dri Corporation of America ST: Illinois IN: CHM SU: ERN

TM -- NY094 -- 0586 09/23/93 18:02 EDT
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Publication:PR Newswire
Date:Sep 23, 1993

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