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 EXETER, N.H., Aug. 11 /PRNewswire/ -- Tyco Laboratories, Inc. (NYSE: TYC) announced today that earnings for the fiscal year ended June 30, 1993 were $105.9 million or $2.31 per share excluding restructuring charges and the impact of adopting new accounting standards for post retirement medical benefits (FAS 106) and income taxes (FAS 109). After the restructuring charges and adoption of the new accounting standards, the company reported earnings of $1.3 million or 3 cents per share.
 In the fiscal year ended June 30, 1992, the company reported earnings of $95.3 million or $2.06 per share.
 "Our ability to increase profits (before net special charges) this past year, particularly in view of weakness in a number of the world's economies, resulted from our continuing focus on controlling costs and taking advantage of our leadership position in each of our businesses," said L. Dennis Kozlowski, Tyco's chairman and chief executive officer.
 "We reported higher sales and earnings at our Flow Control, Electrical and Electronic Components, and Packaging Materials segments. However these increases were partially offset by lower levels of earnings at our Fire Protection units, primarily in Europe and Australia.
 "Looking forward to our 1994 fiscal year, our goal is to improve on the past year's results. We have taken a number of steps, which are reflected in the restructuring charges, which should help us to achieve this goal," said Kozlowski. "We are downsizing and reducing costs in our European and Australian Fire Protection units to reflect current and expected economic circumstances.
 "We are also restructuring our Flow Control distribution system in North America, by creating three Regional Distribution Centers (RDC's) which will provide better and more efficient service to over forty North American locations and their customers as well as to reduce inventory levels and operating costs."
 Kozlowski also said, "The recent acquisition of Hindle Cockburns and Charles Winn (Valves), two U.K. based manufacturers of high performance valves and the introduction of several other new valve offerings should aid our performance. We expect that our Allied Pipe unit will enjoy another strong year and that sales of Mueller's waterworks and gas utility products will benefit from an increased level of new housing starts. Simplex will again set a new record for delivery of undersea fiber optic cables, and our Packaging Group should achieve higher sales and earnings as they continue to expand their markets."
 Reviewing the 1993 fiscal year, sales at the Flow Control segment were $744.9 million compared to $721.3 million last year. Profits, before restructuring charges, rose to $57.3 million, a 24 percent increase over the $46.3 million reported a year earlier. This improvement primarily resulted from a very strong performance at the Allied unit where sales of pipe and tubular products increased. The introduction of a number of new valve products for the process/industrial markets also enhanced results.
 The Fire Protection segment reported worldwide sales of $1.6 billion, slightly less than the sales reported a year earlier. Profits excluding restructuring charges were $63.2 million vs. $94.5 million last year. Results in this unit were adversely affected by the weakness in the Australian and European economies and construction markets, and the slow recovery in the U.S. economy.
 Sales at the Electrical and Electronic Components group grew to $413.3 million vs. the $392.3 million reported a year ago. Profits were $67.4 million compared to last year's $52.8 million, as each of the three units, Simplex Wire and Cable Company, Tyco Printed Circuit Group, and Allied Conduit Products recorded strong results. Simplex again reached an all-time high for delivery of its undersea fiber optics cable systems.
 At the company's Packaging Materials group sales rose to $368.2 million compared to $337.1 recorded in the prior fiscal year. Earnings increased 10 percent to $44.6 million over the $40.6 million a year ago. Each of Ludlow's units, Technical Products, Laminating and Coating, Twitchell, and Accurate Forming, reported improvements over the prior year's results. Armin also recorded a strong performance as increased sales of its polyethylene products resulted in higher profits.
 Sales for the fourth quarter ended June 30, 1993 were $796.4 million and earnings excluding restructuring charges and the effects of accounting changes were $28.8 million or 63 cents per share.
 Tyco is a worldwide manufacturer of fire protection systems, flow control products, electrical and electronic components and packaging materials.
 Results of Operations
 (In thousands except per share data)
 Three Months Ended Twelve Months Ended
 6/30/93(a) 6/30/92(b) 6/30/93(c) 6/30/92
 Sales $796,421 $805,425 $3,114,500 $3,066,485
 Income before
 income taxes $4,022 $19,927 $128,912 $131,488
 Income taxes (8,356) 7,421 (56,532) (36,222)
 Income before
 cumulative effect
 of accounting
 changes (4,334) 27,348 72,380 95,266
 Cumulative effect
 of changes in
 accounting for
 post retirement
 medical benefits
 and income taxes --- --- (71,040) ---
 Net income $(4,334) $27,348 $1,340 $95,266
 Earnings per share:
 Income before
 cumulative effect
 of accounting
 changes (9 cents) 59 cents $1.58 $2.06
 Cumulative effect
 of accounting
 changes --- --- $(1.55) ---
 Net income per
 share (9 cents) 59 cents 3 cents $2.06
 Common equivalent
 shares 45,750 46,275 45,750 46,290
 (a) The results for the fourth quarter of fiscal 1993 include restructuring and severance charges of $28.5 million or 62 cents per share ($41.3 million pre-tax). Additionally, the fourth quarter includes $4.7 million or 10 cents per share of non-recurring tax expense.
 (b) The results for the fourth quarter of fiscal 1992 included restructuring and severance charges of $14.9 million or 32 cents per share ($25.6 million pre-tax). Additionally, the fourth quarter included $16.4 million or 35 cents per share of non-recurring tax benefits.
 (c) During the fourth quarter, the company adopted new accounting pronouncements for income taxes and post-retirement medical benefits effective July 1, 1992 which resulted in an after-tax cumulative effect of $71.0 million or $1.55 per share. Additionally, the current year effect of adopting these pronouncements reduced earnings $5.1 million after-tax or 11 cents per share.
 -0- 8/11/93
 /CONTACT: Irving Gutin, senior vice president, Tyco Laboratories, Inc., 603-778-9700/

CO: Tyco Laboratories, Inc. ST: New Hampshire IN: CPR SU: ERN

JL-DJ -- NE004 -- 1590 08/11/93 10:34 EDT
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Publication:PR Newswire
Date:Aug 11, 1993

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