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RAYTHEON'S FIRST QUARTER EARNINGS PER SHARE INCREASE 4.9 PERCENT

 RAYTHEON'S FIRST QUARTER EARNINGS PER SHARE INCREASE 4.9 PERCENT
 LEXINGTON, Mass., April 8 /PRNewswire/ -- Raytheon Company (NYSE: RTN) earned $143.4 million, or $1.07 per share, on sales of $2.128 billion during the first quarter of 1992. In the same period last year, net income was $133.7 million, or $1.02 per share, on sales of $2.253 billion. Earnings per share for 1991 are restated for Raytheon's recent two-for-one stock split.
 "Raytheon achieved increased earnings in the first quarter due to improved profitability in all of our commercial segments, as well as improved operating performance in government electronics," said Dennis J. Picard, Raytheon's chairman and CEO.
 Total backlog at the end of the quarter was $8.180 billion, including funded U.S. government orders of $6.001 billion. Total backlog at the end of last year's first quarter was $8.262 billion, including a government backlog of $6.115 billion. A contract is expected in the spring for the sale of 14 Patriot fire units and 758 Patriot missiles to the Kingdom of Saudi Arabia.
 Raytheon's total debt at the end of the first quarter was $1.125 billion, compared with $1.144 billion at year end 1991. Debt as a percentage of equity improved from 34.4 percent at the end of 1991 to 32.6 percent at the end of the first quarter 1992. Electronics
 Electronics, the company's largest business area, continued its strong operating performance, led by improved margins in its government systems business. Lower sales in the quarter reflect the timing of key production orders, principally the pending Patriot order for the Kingdom of Saudi Arabia.
 During the first quarter of 1992, Raytheon received a number of continuing funding increments under the Patriot growth program, and on April 7, the U.S. Army, Raytheon and independent experts presented testimony to the Congress supporting Patriot's successful performance against tactical ballistic missiles in Saudi Arabia and Israel during Desert Storm.
 During the quarter, the Electronics segment received important contract awards. The company was awarded $255 million to produce 490 Advanced Medium Range Air-to-Air Missiles (AMRAAMs) -- 55 percent of the total U.S. government competitive award. The U.S. Air Force exercised a $167 million option for AN/ALQ-184 electronic countermeasures pods.
 The U.S. Navy exercised a $73 million option for a third-year production lot of terminals for the Navy's Extremely High Frequency (EHF) Satellite Communications Program (NESP). In addition, the company was awarded a contract modification with a total value of up to $71 million for the production of six AN/SQQ-32 variable-depth minehunting sonar systems. Energy and Environmental
 Each of the companies in the Energy and Environmental segment reported significant improvements in quarterly operating income.
 During the quarter, Raytheon's United Engineers & Constructors (UE&C) subsidiary won a five-year engineering and construction services contract valued at approximately $200 million for revitalization of the Salem Nuclear Generating Station in Salem County, N.J. UE&C announced during the quarter an architect/engineering services contract estimated at $32 million over five years for the waste receiving and processing facility at the
Department of Energy's Hanford site in Washington state. UE&C also announced engineering, modification and maintenance services contracts with a potential total value of $140 million from the Philadelphia Electric Company.
 Mobil Corp. and Raytheon's The Badger Company, Inc. subsidiary have announced that they are offering for license a novel technology to reduce benzene content for reformulated gasoline, the Mobil Benzene Reduction Process. This process provides the refiner with an important option in planning to meet Clean Air Act requirements for reformulated gasoline. Aircraft Products
 Beech Aircraft continued to grow, with sales higher than those reported a year ago. In January, Beech began deliveries of the Jayhawk T-1A Trainer, a military version of the Beechjet 400A business jet. During the quarter, Beech delivered its 50,000th aircraft since its founding 60 years ago. Major Appliances
 The Appliance Group reported increased sales and improved profitability compared to a year ago. The segment benefited from strong refrigerator and room air conditioner sales at Amana and a significant improvement in operating performance at Caloric. In addition, Amana became the first major appliance manufacturer to be recognized by the American Dairy Association for its exclusive refrigerator Chiller compartment -- designed to benefit storage of dairy products such as milk.
 Provisions for federal and foreign income taxes in the first quarter were $69.6 million in 1992 and $63.2 million in 1991. The effective tax rate was 32.7 percent in 1992 versus 32.1 percent in 1991. The effective rate for 1992 is higher than 1991 due to lower foreign tax credits.
 Earnings per share are based on the average number of shares outstanding during the quarter. In this year's first quarter, average shares outstanding were 133.9 million, compared with 131.1 million (pre-split 65.5 million) in the same period last year.
 Total employment at the end of March was 70,700.
 RAYTHEON COMPANY
 Selected Financial DAta
 1st Quarter 1992
 Three Months Ended
 Mar. 29 Mar. 31
 1992 1991
Net Sales (In billions) $2.128 $2.253
Federal and foreign $69.6 $63.2


income taxes (In millions)
Net Income (In millions) $143.4 $133.7
*Earnings per common share $1.07 $1.02
*Average number of common 133.9 131.1


shares outstanding during

period (In millions)
Total backlog (In billions) $8.180 $8.262
Government-funded backlog $6.001 $6.115


(In billions)
Total employees 70,700 75,500 *1991 restated for recent two-for-one stock split.
 -0- 4/8/92
 /CONTACT: Ed Powers of Raytheon, 617-860-2415/
 (RTN) CO: Raytheon Company ST: Massachusetts IN: ARO SU: ERN


EG -- NE014 -- 6249 04/08/92 12:19 EDT
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Date:Apr 8, 1992
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