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|Standex Reports Third Quarter Earnings|
SALEM, N.H.--(BUSINESS WIRE)--APRIL 20, 2000--Standex International Corporation (NYSE:SXI) reported for the third quarter ended March 31, 2000 earnings of 51 cents per share (diluted) compared to 51 cents per share in the prior year. The prior year's third quarter earnings included a net of tax credit of $406 thousand, or 3 cents per share for the adjustment of a portion of the restructuring charge provided in the fourth quarter of fiscal year 1998.
Net income totaled $6.5 million on third quarter sales of $158.2 million. This compared with net income of $6.6 million (including the $.4 million restructuring credit) generated on sales of $152.2 million in the prior year, which included $1.2 million of sales from divisions that were disposed in the prior year. Per share earnings were based on 12.7 million average shares outstanding in the current year and 13.0 million in the prior year.
For the nine months ended March 31, 2000, sales totaled $479.0 million compared to $480.8 million for the previous fiscal year, which included $10.5 million from disposed divisions. Net income was $23.6 million and diluted earnings per share were $1.84 compared with net income of $24.0 million and diluted earnings per share of $1.84 in the prior year, including the 3 cents per share restructuring credit. The current year's nine months earnings include an unusual gain of $1.7 million, after tax, or 13 cents per share, resulting from the receipt of marketable stock of an insurance company, in which Standex owned life policies, that "demutualized" by converting from a mutual company to a stock company.
In announcing the results, Edward J. Trainor, President and CEO said, "Our third quarter results rebounded somewhat from our disappointing second quarter results. On a comparable basis (excluding the 3 cents per share restructuring credit) we showed 51 cents per share (diluted) this year versus 48 cents per share in the previous year. Our Food Service segment continues to be negatively impacted by supermarket consolidations and delays in healthcare projects and our European texturizing operations showed some improvement. Several of our Industrial and Consumer divisions reported solid gains in sales and earnings, helping to offset the softness in Food Service. Our backlogs remain high across most divisions and, although we will not reach our original earnings expectations, we continue to expect that the full fiscal year 2000 will be a solid year for Standex." The immediately preceding statements are "forward-looking" and are necessarily dependent upon uncertainties in the economy, competitive pricing pressures and market demand.
Standex International Corporation, with sales for the fiscal year ended June 30, 1999 of $641.4 million and operations in the United States, Western Europe, Canada, Australia, Singapore and Mexico, is a multi-industry manufacturer in three broad business segments: Food Service, Industrial and Consumer. -0-
CONSOLIDATED SUMMARY OF INCOME (In thousands except per share data) THREE MONTHS NINE MONTHS ENDED MARCH 31 ENDED MARCH 31 2000 1999 2000 1999 NET SALES $ 158,158 $ 152,247 $ 479,011 $ 480,795 INCOME BEFORE TAXES $ 11,349 $ 11,472 $ 38,957 $ 39,856 PROVISION FOR TAXES 4,889 4,841 15,367 15,864 NET INCOME $ 6,460 $ 6,631(b) $ 23,590(a) $ 23,992(b) EARNINGS PER SHARE Basic $ 0.52 $ 0.52(b) $ 1.85(a) $ 1.85(b) Diluted $ 0.51 $ 0.51(b) $ 1.84(a) $ 1.84(b) AVERAGE SHARES OUTSTANDING Basic 12,649 12,946 12,779 12,999 Diluted 12,721 13,005 12,853 13,064 SEGMENT DATA NET SALES Food Service $ 35,730 $ 34,276 $ 107,571 $ 110,514 Consumer 53,564 51,244 168,956 166,154 Industrial 68,864 66,727 202,484 204,127 TOTAL $ 158,158 $ 152,247 $ 479,011 $ 480,795 OPERATING INCOME Food Service $ 3,169 $ 4,052 $ 8,997 $ 12,453 Consumer 5,929 5,675 20,723 19,372 Industrial 7,688 7,156 22,282 22,948 Corporate (2,700) (2,768) (7,795) (6,698) TOTAL $ 14,086 $ 14,115 $ 44,207 $ 48,075
(a) Includes an unusual gain, after taxes of $1.7 million, equal to 13 cents per share realized in the first quarter relating to the demutualization of an insurance company.
(b) Includes a net of tax credit of $406 thousand, or 3 cents per share for the adjustment of a portion of the restructuring charge provided in the fourth quarter of fiscal year 1998. *T
CONTACT: Standex International Corporation
Edward F. Paquette