PREMARK REPORTS RECORD EARNINGS WITH CONTINUED IMPROVEMENT AT TUPPERWARE U.S.
DEERFIELD, Ill., Oct. 19 /PRNewswire/ -- Premark International, Inc. (NYSE: PMI) today reported record earnings for the third quarter, as a result of sharply higher results at Tupperware, especially in the United States. Net income was $32.9 million or $0.98 per share, compared to 1992's reported net loss of $94.7 million or $2.89 per share. Net income nearly doubled last year's results of $16.7 million, or $0.51 per share, excluding 1992's $111.4 million after-tax restructuring charge at Tupperware. Sales increased 4.5 percent to $744.8 million. For the first nine months of 1993, Premark's net income was a record $97.9 million, or $2.93 per share, compared with last year's net loss of $46.2 million or $1.40 per share, before the cumulative effect of accounting changes. Year-to-date net income increased 50 percent over last year's $65.2 million, or $1.98 per share, excluding the restructuring charge. Sales increased 4.3 percent to $2.2 billion. "Our solid performance reflects the substantial improvement that we have made at Tupperware U.S. and excellent results for Tupperware International, with all areas showing increases," said Warren L. Batts, chairman and chief executive officer. "In addition, most of our other units performed well, benefiting from on-going efforts to develop new products and control costs. We are optimistic about a significant improvement in the fourth quarter given the momentum in our businesses. This is the case despite the continuing impact of the adhesive warranty costs on an otherwise strong performance at Ralph Wilson Plastics and the effect of the European recession on the Food Equipment Group." Included in quarterly and year-to-date results are adhesive warranty expenses at Ralph Wilson Plastics, the effect of depressed European commercial food equipment markets and unfavorable foreign exchange. More than offsetting these factors are higher volume throughout Tupperware worldwide, including Asia Pacific, a return to profitability at Tupperware U.S., based on a lower cost structure and higher sales, as well as a lower corporate tax rate. Premark International, Inc., a $2.9 billion multinational company, markets premium products in more than 100 countries under leading brand names such as Tupperware, Hobart, Wilsonart, West Bend, Vulcan, Florida Tile, Precor and Hartco. Premark stock is listed on the New York, Pacific and London Stock Exchanges. PREMARK INTERNATIONAL, INC. Condensed Consolidated Statement Of Operations (Unaudited, in millions except per share) 13 Weeks Ended Sept. 25, Sept. 26, Pct. incr. 1993 1992 (decr.) Sales Tupperware $275.9 $ 241.9 14.1 Food Equipment 256.6 273.4 (6.2) Consumer and Decorative Products 212.3 197.6 7.5 Total $744.8 $ 712.9 4.5 Segment Profit Tupperware $ 27.8 $(128.6) + Food Equipment 12.6 10.8 16.3 Consumer and Decorative Products 14.4 17.1 (15.6) Total 54.8 (100.7) + Unallocated Expenses (6.0) (4.6) 29.5 Interest Expense, Net (7.3) (7.0) 3.9 Income (Loss) Before Income Taxes 41.5 (112.3) + Provision (Benefit) for Income Taxes 8.6 (17.6) + Net Income (Loss) $ 32.9 $ (94.7) + Net Income (Loss) Per Common Share $ 0.98 $ (2.89) + Average Number of Common Shares 33.7 32.8 39 Weeks Ended Sept. 25, Sept. 26, Pct. incr. 1993 1992 (Decr.) Sales Tupperware $ 867.4 $ 779.6 11.3 Food Equipment 742.1 787.6 (5.8) Consumer and Decorative Products 604.6 555.6 8.8 Total $2,214.1 $2,122.8 4.3 Segment Profit Tupperware $ 99.2 $ (76.6) + Food Equipment 30.0 32.5 (7.7) Consumer and Decorative Products 37.4 39.7 (5.9) Total 166.6 (4.4) + Unallocated Expenses (16.6) (14.0) 19.0 Interest Expense, Net (19.5) (19.8) (1.5) Income (Loss) Before Income Taxes and Cumulative Effect of Accounting Changes 130.5 (38.2) + Provision for Income Taxes 32.6 8.0 + Income (Loss) Before Cumulative Effect of Accounting Changes $ 97.9 $ (46.2) + Cumulative Effect of Change in Accounting for: Income Taxes 0.0 15.0 (-) Postretirement Benefits (net of tax effect of $41.1) 0.0 (98.9) + Net Income (Loss) $ 97.9 $ (130.1) + Net Income (Loss) Per Common Share: Before Cumulative Effect of Accounting Changes $ 2.93 $ (1.40) + Cumulative Effect of Change in Accounting for: Income Taxes 0.00 0.45 (-) Postretirement Benefits 0.00 (3.00) + Net Income (Loss) Per Common Share $ 2.93 $ (3.95) + Average Number of Common Shares 33.5 32.9 -0- 10/19/93 /CONTACT: Isabelle Goossen, 708-405-6218; or (investors) Christine Hanneman, 708-405-6254, both of Premark/ (PMI)
CO: Premark International, Inc. ST: Illinois IN: HOU SU: ERN
TS -- NY024 -- 3868 10/19/93 10:40 EDT
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|Date:||Oct 19, 1993|
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