March 10, 2003 – Finance Digest
March 10, 2003
Filed under Features
Edelbrock Reports Improved Sales
Edelbrock Corporation (Nasdaq:EDEL), Torrance, Calif., reported improved sales but reduced earnings for the second quarter of its 2003 fiscal year and for the six months ended Dec. 25, 2002.
For the three months ended Dec. 25, 2002, revenues increased to $31.0 million from $30.6 million in the same period of fiscal 2002. Net income for the second quarter of fiscal 2003 totaled $1.2 million, or 22 cents per basic and diluted share, down from net income of $1.3 million, or 23 cents per basic and diluted share, for the comparable period a year ago.
For the six months ended Dec. 25, 2002, revenues improved to $56.9 million from $56.1 million in the comparable period a year ago. Net income for the first six months of fiscal 2003 increased to $2.1 million, or 38 cents per basic and diluted share, from net income of $2.0 million, or 36 cents per basic and diluted share, in the same period of fiscal 2002.
Carlisle Declares Regular Dividend
Carlisle Companies Incorporated (NYSE:CSL) declared a regular quarterly dividend of 21.5 cents per share, payable on March 1, 2003, to shareowners of record at the close of business on Feb. 18, 2003.
Oakley has 2002 income decline
Oakley, Inc. (NYSE:OO), Foothill Ranch, Calif., reported increased sales for the fourth quarter and full year ended Dec. 31, 2002, but earnings for the year were off sharply.
Full year 2002 net sales reached a record $489.6 million, up 14.0% from $429.3 million in 2001. Net income, excluding a $1.8 million charge for the restructuring of Oakley’s European operations, was $42.4 million, or 61 cents per diluted share. In 2001 the company reported net income of $46.1 million, or 66 cents per diluted share, excluding a tax rate benefit of 6 cents per diluted share.
Fourth quarter net sales increased 14.1%, to $102.9 million, compared with $90.2 million in the fourth quarter of 2001. Net income for the fourth quarter totaled $2.3 million, or 3 cents per diluted share, excluding the after-tax restructuring charge of $1.8 million, or 2 cents per diluted share. Net income for the comparable period of 2001 totaled $2.4 million, or 3 cents per diluted share, excluding a tax rate benefit of 2 cents per diluted share.
U.S. net sales, excluding the company’s retail store operations, decreased 7.4% in the fourth quarter, to $36.1 million, compared with $39.0 million last year. Sales to the company's diverse specialty account base and other domestic sales excluding Sunglass Hut decreased 7.0% to $30.2 million. U.S. net sales to Sunglass Hut, the company's largest customer, decreased 9.4%, to $5.9 million, during the quarter.
On Sept. 10, 2002, the company authorized a $20 million stock repurchase program to occur from time to time as market conditions warrant. Since the time of this authorization, the company has repurchased 657,200 shares for $6.8 million at an average share price of approximately $10.30. The company intends to remain active with the share repurchase program should the right market conditions exist.
Carlisle earnings, sales increase
Carlisle Companies Incorporated (NYSE:CSL), Charlotte, N.C., reported a 96% increase in fourth quarter net income of $14.9 million or 48 cents per share (diluted) on record fourth quarter sales of $464 million.
These results included a $500,000 or 2 cents per share (diluted) net loss on the sale of the company’s European power transmission business. This compares to the 2001 fourth quarter net earnings of $7.6 million or 25 cents per share (diluted) on sales of $433 million.
For the full year 2002, earnings were $72.4 million, or $2.37 per share (diluted), before a change in accounting principles, on record sales of $1.971 billion. This compares to 2001 net earnings of $24.8 million, or 82 cents per share (diluted) on sales of $1.849 billion.
Excluding acquisitions, sales in 2002 were slightly above 2001 sales.
The Industrial Components segment reported fourth quarter sales of $133 million, or 12% above sales of $119 million realized in the fourth quarter of 2001. Fourth quarter earnings (“EBIT”) of $7.4 million were 111% higher than $3.5 million realized in the fourth quarter of 2001.
Segment earnings of $54.2 million in 2002 were 86% above 2001 segment earnings of $29.2 million and were primarily the result of higher sales and significant internal operating improvements at Carlisle Tire & Wheel Company. The fourth quarter and full year earnings include an $800,000 loss on the sale of Carlisle Power Transmission’s European belt business.
ProQuest posts gains
ProQuest Company (NYSE:PQE), a provider of information solutions and content to the powersports, library, education and automotive markets based in Ann Arbor, Mich., reported gains in revenue and earnings for the fourth quarter and year ended Dec. 28, 2002.
All 2001 results include continuing operations that have been adjusted to consider the impact of accounting changes, which took effect on Dec. 30, 2001, the first day of ProQuest’s 2002 fiscal year.
“In 2002, we strengthened our balance sheet and lowered expenses,” said Alan Aldworth, ProQuest president and chief executive officer. “We expect this growth to continue in 2003.”
For the year ended Dec. 28, 2002, revenues were $428.3 million compared with $401.6 million one year ago — an increase of 7%. Earnings before interest, income taxes, depreciation and amortization (EBITDA) for the year were $137.2 million, an increase of 13% over EBITDA of $121.7 million in 2001. Earnings before interest and income taxes (EBIT) were $89.6 million for the year, an increase of 17% over pro forma EBIT of $76.8 million in 2001. Pro forma net earnings for the year increased 37% to $43.9 million, or $1.65 per fully diluted share compared with pro forma net earnings of $32.1 million or $1.34 per fully diluted share one year ago. Pro forma net earnings and pro forma fully diluted earnings per share (EPS) for the full year exclude extraordinary items.
Fourth quarter revenues increased 4% to $110.2 million, compared with $106.4 million for the fourth quarter of 2001. EBITDA was $36.4 million in the fourth quarter, up 3% from the prior year. EBIT was $23.9 million in the fourth quarter of 2002 as compared with pro forma EBIT from continuing operations of $24.2 million a year ago, a decline of 1% resulting from lower backfile microfilm sales and corporate reseller sales. Pro forma net earnings totaled $14.4 million for the fourth quarter of 2002, an increase of 31% compared with pro forma net earnings of $11.0 million from continuing operations in the same period a year ago. EPS increased 13% to 51 cents, compared with 45 cents for the same period last year. Pro forma net earnings and EPS in the fourth quarter exclude extraordinary items.