Preformed Line Products Announces Second Quarter And First Half 2017 Results
Freitag, 04.08.2017 14:00 von PR Newswire
PR Newswire
MAYFIELD VILLAGE, Ohio, Aug. 4, 2017
MAYFIELD VILLAGE, Ohio, Aug. 4, 2017 /PRNewswire/ -- Preformed Line Products Company (Nasdaq: PLPC) today reported financial results for its second quarter and first six months of 2017.
Net income for the quarter ended June 30, 2017 was $4.2 million, or $.81 per diluted share, compared to $2.8 million, or $.53 per diluted share, for the comparable period in 2016.
Net sales in the second quarter of 2017 increased 17% to $97.5 million, compared to $83.2 million in the second quarter of 2016.
Net income for the six months ended June 30, 2017 was $5.7 million, or $1.11 per diluted share, compared to $5.4 million, or $1.04 per diluted share, for the comparable period in 2016.
Net sales increased 12% to $182.1 million for the first six months of 2017 compared to $161.9 million in the first six months of 2016.
Currency translation rates favorably impacted net sales by $1.4 million for the first six months and less than $.1 million for the quarter ended June 30, 2017. Currency had a negative impact on net income for each of the same periods of less than $.1 million.
Rob Ruhlman, Chairman and Chief Executive Officer, said, "Our sales momentum from the first quarter continued to strengthen as we achieved year-over-year, double-digit sales growth across each of our segments in the second quarter. While raw material costs have remained higher, we also expanded our gross profit nearly eleven percent. We have leveraged our cost structure to deliver our strongest bottom line results for this period in the last three years."
Founded in 1947, Preformed Line Products is an international designer and manufacturer of products and systems employed in the construction and maintenance of overhead and underground networks for energy, communications and broadband network companies.
Preformed's world headquarters are in Cleveland, Ohio, and the Company operates two domestic manufacturing centers located in Rogers, Arkansas, and Albemarle, North Carolina. The Company serves its worldwide market through international operations in Argentina, Australia, Brazil, Canada, China, Colombia, England, France, Indonesia, Malaysia, Mexico, New Zealand, Poland, Russia, South Africa, Spain and Thailand.
This news release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 regarding the Company, including those statements regarding the Company's and management's beliefs and expectations concerning the Company's future performance or anticipated financial results, among others. Except for historical information, the matters discussed in this release are forward-looking statements that involve risks and uncertainties which may cause results to differ materially from those set forth in those statements. Among other things, factors that could cause actual results to differ materially from those expressed in such forward-looking statements include the strength of the economy and demand for the Company's products and the mix of products sold, the Company's ability to continue to develop proprietary technology and maintain high quality products and customer service to meet or exceed new industry performance standards and individual customer expectations, the Company's ability to strengthen and retain relationships with the Company's customers and expanding geographically, the Company's ability to identify, complete and integrate acquisitions for profitable growth, and other factors described under the headings "Forward-Looking Statements" and "Risk Factors" in the Company's 2016 Annual Report on Form 10-K filed with the SEC on March 10, 2017 and subsequent filings with the SEC. The Annual Report on Form 10-K and the Company's other filings with the SEC can be found on the SEC's website at http://www.sec.gov. The Company assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.
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PREFORMED LINE PRODUCTS COMPANY | |||||||||||
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STATEMENTS OF CONSOLIDATED OPERATIONS | |||||||||||
|
(UNAUDITED) | |||||||||||
|
(In thousands, except per share data) |
Three Months June 30 |
Six Months June 30 | |||||||||
|
2017 |
2016 |
2017 |
2016 | ||||||||
|
Net sales |
$ 97,512 |
$ 83,220 |
$ 182,081 |
$ 161,903 | |||||||
|
Cost of products sold |
67,839 |
56,414 |
127,743 |
110,807 | |||||||
|
GROSS PROFIT |
29,673 |
26,806 |
54,338 |
51,096 | |||||||
|
Costs and expenses |
|||||||||||
|
Selling |
8,626 |
8,183 |
16,910 |
15,814 | |||||||
|
General and administrative |
10,772 |
10,962 |
21,101 |
21,049 | |||||||
|
Research and engineering |
3,612 |
3,609 |
7,301 |
7,347 | |||||||
|
Other operating expense (income) - net |
369 |
(27) |
474 |
(880) | |||||||
|
23,379 |
22,727 |
45,786 |
43,330 | ||||||||
|
OPERATING INCOME |
6,294 |
4,079 |
8,552 |
7,766 | |||||||
|
Other income (expense) |
|||||||||||
|
Interest income |
160 |
68 |
264 |
143 | |||||||
|
Interest expense |
(277) |
(166) |
(577) |
(324) | |||||||
|
Other income (expense) - net |
81 |
(208) |
137 |
(156) | |||||||
|
(36) |
(306) |
(176) |
(337) | ||||||||
|
INCOME BEFORE INCOME TAXES |
6,258 |
3,773 |
8,376 |
7,429 | |||||||
|
Income taxes |
2,102 |
1,018 |
2,702 |
2,016 | |||||||
|
NET INCOME |
$ 4,156 |
$ 2,755 |
$ 5,674 |
$ 5,413 | |||||||
|
BASIC EARNINGS PER SHARE |
|||||||||||
|
Net Income |
$ 0.81 |
$ 0.53 |
$ 1.11 |
$ 1.04 | |||||||
|
DILUTED EARNINGS PER SHARE |
|||||||||||
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Net Income |
$ 0.81 |
$ 0.53 |
$ 1.11 |
$ 1.04 | |||||||
|
Cash dividends declared per share |
$ 0.20 |
$ 0.20 |
$ 0.40 |
$ 0.40 | |||||||
|
Weighted-average number of shares outstanding - basic |
5,116 |
5,186 |
5,117 |
5,198 | |||||||
|
Weighted-average number of shares outstanding - diluted |
5,127 |
5,208 |
5,132 |
5,218 | |||||||
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PREFORMED LINE PRODUCTS COMPANY | ||||||||||
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CONSOLIDATED BALANCE SHEETS | ||||||||||
|
June 30, |
December 31, | |||||||||
|
(Thousands of dollars, except share and per share data) |
2017 |
2016 | ||||||||
|
(Unaudited) |
||||||||||
|
ASSETS |
||||||||||
|
Cash and cash equivalents |
$ 28,002 |
$ 30,737 | ||||||||
|
Accounts receivable, less allowances of $3,221 ($3,210 in 2016) |
79,686 |
63,415 | ||||||||
|
Inventories - net |
75,498 |
74,484 | ||||||||
|
Prepaids |
4,040 |
12,035 | ||||||||
|
Other current assets |
8,290 |
8,436 | ||||||||
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TOTAL CURRENT ASSETS |
195,516 |
189,107 | ||||||||
|
Property, plant and equipment - net |
107,234 |
105,104 | ||||||||
|
Other intangibles - net |
10,468 |
10,475 | ||||||||
|
Goodwill |
16,478 |
15,769 | ||||||||
|
Deferred income taxes |
10,897 |
10,208 | ||||||||
|
Other assets |
10,978 |
10,274 | ||||||||
|
TOTAL ASSETS |
$ 351,571 |
$ 340,937 | ||||||||
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LIABILITIES AND SHAREHOLDERS' EQUITY |
||||||||||
|
Trade accounts payable |
$ 24,145 |
$ 21,978 | ||||||||
|
Notes payable to banks |
1,379 |
1,315 | ||||||||
|
Current portion of long-term debt |
1,448 |
1,448 | ||||||||
|
Accrued compensation and amounts withheld from employees |
12,355 |
10,040 | ||||||||
|
Accrued expenses and other liabilities |
19,753 |
20,674 | ||||||||
|
TOTAL CURRENT LIABILITIES |
59,080 |
55,455 | ||||||||
|
Long-term debt, less current portion |
36,570 |
42,943 | ||||||||
|
Other noncurrent liabilities and deferred income taxes |
19,324 |
18,996 | ||||||||
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SHAREHOLDERS' EQUITY |
||||||||||
|
Shareholders' equity: |
||||||||||
|
Common shares - $2 par value, 15,000,000 shares authorized, 5,115,981 and |
||||||||||
|
5,117,753 issued and outstanding, as of June 30, 2017 and December 31, 2016 |
12,514 |
12,508 | ||||||||
|
Common shares issued to rabbi trust, 297,840 and 297,281 shares at |
||||||||||
|
June 30, 2017 and December 31, 2016, respectively |
(12,089) |
(12,054) | ||||||||
|
Deferred Compensation Liability |
12,089 |
12,054 | ||||||||
|
Paid-in capital |
25,916 |
24,629 | ||||||||
|
Retained earnings |
306,979 |
303,415 | ||||||||
|
Treasury shares, at cost, 1,140,816 and 1,136,443 shares at |
||||||||||
|
June 30, 2017 and December 31, 2016, respectively |
(59,880) |
(59,640) | ||||||||
|
Accumulated other comprehensive loss |
(48,932) |
(57,369) | ||||||||
|
TOTAL SHAREHOLDERS' EQUITY |
236,597 |
223,543 | ||||||||
|
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY |
$ 351,571 |
$ 340,937 | ||||||||
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SOURCE Preformed Line Products Company