Printer Friendly

UNIVERSAL FOODS REPORTS INCREASED EARNINGS

 MILWAUKEE, April 15 /PRNewswire/ -- Universal Foods Corporation (NYSE: UFC) reported a 13 percent increase in second quarter earnings to $.53 per share, compared with $.47 per share in the second quarter of fiscal year 1992. Net earnings for the quarter were $13,931,000 up 10 percent compared to net earnings of $12,661,000 during the same period last year. Revenue decreased 3 percent to $216,663,000.
 Earnings per share for the first six months were $1.08, up 6 percent compared with last year's $1.02 per share. Net earnings increased 4 percent, to $28,459,000 from $27,246,000. Revenue for the six months was $426,037,000, down 1 percent.
 Commenting on the quarterly results, Guy Osborn, chairman and chief executive officer, stated, "I am pleased with the performance of the Company. Although revenue was less than anticipated, overall earnings targets were met due to good controls over costs and continued emphasis on improving margins.
 "A great deal of the improvement is due to the better operating performance of our Frozen Foods Division, which continues to recover from very difficult industry conditions experienced during most of fiscal 1992. Although volume and revenue comparisons in this division are down compared with last year, the quality of earnings is up significantly since almost 50 percent of this division's volume now comes from value-added, specialty potato products. This is well above the industry average. If revenue from the Minnesota plant, which lease was terminated late last year, was excluded from last year's second quarter results, total revenue of the company for the quarter would have increased by approximately 1 percent.
 "Volumes in the second quarter increased less than expected in the Color Division, although revenues advanced 11 percent. Volumes in the Flavor Division, reflected through revenues, were down slightly, and below expectations. Much of this decrease in both divisions is due to the current economic slowdown in Europe.
 "Our other divisions continue to perform about as expected. In both the Red Star Yeast & Products and the Dehydrated Products Divisions operating earnings were somewhat below last year, as we had anticipated, but slightly ahead of plan. In the Red Star Specialty Products Division, profitability was slightly below plan but well ahead of last year.
 "In general, we are satisfied with our progress so far this year. We expect better growth in volumes, revenues and operating earnings during the remainder of the year and anticipate continued positive earnings comparisons in the third and fourth quarters."
 Universal Foods Corporation is an international manufacturer and marketer of value-added food products. These include food flavors and colors, dehydrated vegetables, a broad line of frozen potato products and the world's most diversified line of yeast products.
 UNIVERSAL FOODS EARNINGS
 Second Quarter Ended Pct.
 3/31/93 3/31/92 Change
 Total Revenue $216,663,000 $223,224,000 (2.9)
 Operating Costs and Expenses:
 Cost of products sold 144,388,000 151,070,000 (4.4)
 Selling and administrative
 expense 45,982,000 47,968,000 (4.1)
 Total 190,370,000 199,038,000 (4.4)
 Operating Income 26,293,000 24,186,000 8.7
 Interest Expense 3,913,000 3,942,000 (0.7)
 Earnings Before Income Taxes 22,380,000 20,244,000 10.6
 Income Taxes 8,449,000 7,583,000 11.4
 Net Earnings 13,931,000 12,661,000 10.0
 Net Earnings Per Common Share .53 .47 12.8
 Average Shares Outstanding 26,350,000 26,768,000 (1.6)
 Six Months Ended Pct.
 3/31/93 3/31/92 Change
 Total Revenue $426,037,000 $429,492,000 (0.8)
 Operating Costs and Expenses:
 Cost of products sold 280,761,000 287,061,000 (2.2)
 Selling and administrative
 expense 91,751,000 90,985,000 0.8
 Total 372,512,000 378,046,000 (1.5)
 Operating Income 53,525,000 51,446,000 4.0
 Interest Expense 7,807,000 7,677,000 1.7
 Earnings Before Income Taxes 45,718,000 43,769,000 4.5
 Income Taxes 17,259,000 16,523,000 4.5
 Net Earnings 28,459,000 27,246,000 4.5
 Net Earnings Per Common Share 1.08 1.02 5.9
 Average Shares Outstanding 26,337,000 26,752,000 (1.6)
 Second Quarter Pct.
 3/31/93 3/31/92 Change
 Revenue By Division
 Flavors $58,697,000 $59,192,000 (0.8)
 Colors 31,886,000 28,741,000 10.9
 Frozen Foods 64,628,000 76,573,000 (15.6)
 Red Star(R) Yeast & Products 38,102,000 35,241,000 8.1
 Dehydrated Products 18,543,000 18,530,000 0.1
 Red Star Specialty Products &
 Universal Bioventures 4,807,000 4,947,000 (2.8)
 Total $216,663,000 $223,224,000 (2.9)
 -0- 4/15/93
 /CONTACT: Geoff Hibner, vice president-finance, Universal Foods Corporation, 414-347-4784/
 (UFC)


CO: Universal Foods Corporation ST: Wisconsin IN: FOD SU: ERN

KL -- CL017 -- 6175 04/15/93 11:10 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Apr 15, 1993
Words:838
Previous Article:SONOCO PRODUCTS REPORTS INCREASED EARNINGS
Next Article:KIMBALL SALES INCREASE EIGHTH STRAIGHT QUARTER AS DOMESTIC OPERATIONS PERFORM STRONGLY
Topics:


Related Articles
UNIVERSAL FOODS REPORTS EARNINGS GAINS
UNIVERSAL FOODS REPORTS EARNINGS GAINS
UNIVERSAL FOODS REPORTS EARNINGS
UNIVERSAL FOODS ANNOUNCES THIRD QUARTER EARNINGS
UNIVERSAL FOODS INCREASES DIVIDEND
UNIVERSAL FOODS ANNOUNCES YEAR-END RESULTS Company Achieves Second-Best Year
UNIVERSAL FOODS REPORTS FIRST-QUARTER RESULTS
NORTH STAR UNIVERSAL, INC. ANNOUNCES FIRST-QUARTER 1993 RESULTS
UNIVERSAL FOODS CORPORATION THIRD QUARTER EARNINGS PER SHARE INCREASE 17 PERCENT
NORTH STAR UNIVERSAL, INC. ANNOUNCES SECOND QUARTER AND SIX MONTH 1993 RESULTS

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters