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SPS TECHNOLOGIES REPORTS IMPROVED FIRST QUARTER EARNINGS

 SPS TECHNOLOGIES REPORTS IMPROVED FIRST QUARTER EARNINGS
 NEWTOWN, Pa., April 30 /PRNewswire/ -- SPS Technologies (NYSE: ST)


today reported first quarter 1992 net earnings of $1.6 million, or $.31 per share, compared to $1.1 million, or $.21 per share, reported for the same period a year ago.
 Net sales for continuing businesses in the first quarter were $80.5 million, compared to $113.6 million reported for all businesses in the first quarter of 1991. Sales for continuing businesses in the first quarter of 1991 were $94.3 million.
 The increased earnings on lower sales resulted from cost reductions and productivity improvements, a 43 percent reduction in interest expense, improved performance by the company's Brazilian affiliate and a lower effective income tax rate.
 The 1992 first quarter results do not include sales and earnings of businesses to be divested under the company's restructuring plan announced May 3, 1991, and subsequently modified. Under the plan, the company said it intends to divest certain real estate assets and all of its industrial fastener operations in Europe and the Far East.
 Incoming orders for the first quarter, after adjustment to exclude orders for the businesses to be divested, were $79.9 million compared to the prior year's level of $96.5 million. The backlog for continuing businesses at March 31, 1992, was $92.8 million compared to $119 million a year ago.
 The decline in orders and backlog affected both segments of the company's business.
 The company's fastener segment had decreased sales and earnings for the first quarter compared to the same period a year ago, with sales declining in all fastener markets.
 Aerospace fastener sales declined due to reduced production of commercial aircraft, particularly cutbacks in build schedules for the Boeing 737, and continued weakness in the military aircraft market.
 Sales of fasteners, computerized tightening systems and assembly equipment to the transportation and industrial sectors were down due to continued depressed economic conditions in both sectors. However, signs of recovery in the automotive fastener market appeared during the first quarter with increased order activity.
 The company's materials segment had increased sales and earnings for the first quarter compared to the same period a year ago.
 Cannon-Muskegon Corporation's superalloy sales and earnings improved due to strong demand for air-melt alloys, including stainless steel alloys for general industrial use and cobalt-based alloys sold for medical prostheses, and for proprietary vacuum-melt alloys used in aerospace applications.
 The Arnold Engineering Co. reported a decrease in sales of magnetic materials, in part due to the sale last September of its iron powder core production business. Earnings increased, however, primarily because of productivity improvements.
 According to John R. Selby, chairman and chief executive officer, "The first quarter results, which were achieved despite poor economic conditions affecting most of our major markets, reflect the success of our continuing programs to reduce costs, increase working capital turnover and improve productivity. We will continue to pursue opportunities to strengthen our performance during this period of reduced demand."
 SPS TECHNOLOGIES, INC.
 (Thousands of dollars except per-share data)
 Three months ended March 31 1992 1991
 Net sales $80,523 $113,552
 Earnings before income taxes 2,577 2,128
 Provision for income taxes 1,005 1,060
 Net earnings 1,572 1,068
 Net earnings per share $.31 $.21
 Dividends per share $.32 $.32
 Average shares outstanding 5,087,327 5,053,524
 The net sales and net loss of the businesses to be divested which are included in the Summary of Sales and Operations through May 3, 1991, are as follows:
 Three months ended March 31 1992 1991
 Sales --- $19,282,000
 Net loss --- (110,000)
 /delval/
 -0- 4/30/92
 /CONTACT: Peter Lawton of SPS Technologies, 215-860-3038/
 (ST) CO: SPS Technologies ST: Pennsylvania IN: SU: ERN


CC-MK -- PH017 -- 4875 04/30/92 11:24 EDT
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Date:Apr 30, 1992
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