TYCO REPORTS SALES AND EARNINGS FOR FISCAL 1992
TYCO REPORTS SALES AND EARNINGS FOR FISCAL 1992 EXETER, N.H., Aug. 6 /PRNewswire/ -- Tyco Laboratories, Inc.
(NYSE: TYC) today announced its sales and earnings results for the fiscal year ended June 30, 1992. Net income for the year was $95.3 million or $2.06 per share, while sales were $3.1 billion. Debt levels, net of cash were reduced by $78.6 million from the end of the 1991 fiscal year.
The company expects that income for the new fiscal year which began on July 1, will be higher than for the year just ended. While Tyco has not detected any significant improvement in the economy, a number of the company's operating units are now experiencing positive business signs. At the Flow Control segment, sales of valves into the industrial process markets and to the mechanical contracting industry have increased as two recent acquisitions are being integrated and new products are being introduced. Also, the higher levels of new housing starts will increase the sales of Mueller's water and gas distribution products. In the Fire Protection area the company is expanding its operations in the fast growing Asia pacific Region as it broadens its presence in areas as Singapore, Hong Kong, Kuala Lumpur, Jakarta and Bangkok. The company's Simplex Wire and Cable unit is continuing to experience dramatic growth in the market for its undersea fiber optic telecommunications cable. Also, there are a number of other factors which will have a positive impact on the company's performance throughout the coming fiscal year. These include the positive effects of cost reduction programs instituted early in the last fiscal year and the restructurings recorded in the fourth quarter; the reduced cost of debt as repayments continue; the current low levels of interest rates; and further synergies to be derived from the acquisition of Wormald's Worldwide Fire Protection operations. During the 1992 fiscal year earnings at the company's Electrical and Electronic Components group increased 7 percent over the year earlier on 3 percent higher sales as Simplex Wire and Cable Company set an all-time high for deliveries of its fiber optic telecommunications cable system. Tyco's Printed Circuit Group reported somewhat lower sales and earnings levels reflecting the weak demand for its products in the computer industry, offset by increased sales to the telecommunications and military markets. At the company's Packaging Materials group profits rose by 5 percent, although sales were slightly lower than last year. Ludlow's Technical Products, Industrial Packaging and Woven Fabrics divisions reported somewhat higher sales and improved levels of profitability. Armin also had increased profit margins, although its sales were somewhat less than last year due to lower selling prices resulting from reduced raw material costs. Sales at the company's Worldwide Fire Protection operations were slightly lower than reported for the last fiscal year, and earnings (before the effect of restructuring charges recorded in the fourth quarter) were 22 percent lower. Results at this unit were affected by the weakness in the North American and Australian construction markets and the overall economy. These same factors affected the performance at the Flow Control segment where profits (also before the effect of restructuring charges) declined by 29 percent, although sales declined by only 3 percent, compared to last year's results. Sales during the 1992 fourth quarter, ended June 30, were $805.4 million, up from the $792.3 million recorded for the same period a year earlier. The company's Flow Control, Electrical and Electronic components and Packaging Materials segments each reported moderate increases in sales, partially offset by slightly lower sales at the Fire Protection segment. Net income was $27.3 million compared to $28.3 million earned in the fourth quarter last year. Fiscal 1992's fourth-quarter earnings include the impact of after-tax restructuring and severance charges of $14.9 million as well as $14.4 million of non-recurring tax benefits. After excluding these items, net income for the period would have been $27.8 million. Tyco is a worldwide manufacturer of fire protection systems, flow control products, electrical and electronic components and packaging materials. TYCO LABORATORIES Financial Results (In Thousands Except Per Share Data) 12 Months Ended June 30, 1992-(a) June 30, 1991-(b) Sales $3,066,485 $3,107,891 Income before income taxes $131,488 $189,065 Income taxes (36,222) (71,580) Net income $95,266 $117,485 Net income per share $2.06 $2.57 Common equivalent shares 46,290 45,760 ---- NOTE: (a) The results for fiscal 1992 include restructuring and severance charges of $25.6 million ($14.9 million after-tax) which were accounted for in the 1992 fourth quarter. Additionally, the results include $14.4 million of non-recurring tax benefits also recorded during the fourth quarter. (b) The results of Wormald's fire protection operations have been included since the date of acquisition on Aug. 2, 1990. -0- 8/6/92 /CONTACT: Irving Gutin, senior vice president of Tyco Laboratories, 603-778-9700/ (TYC) CO: Tyco Laboratories, Inc. ST: New Hampshire IN: SU: ERN
DD -- NE004 -- 7499 08/06/92 10:16 EDT
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|Date:||Aug 6, 1992|
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