CUQ recently announced year end results as follows
The Churchill Corporation reports revenues for the year ended December 31, 1997 of $195 million, a 56% improvement over revenues of $125 million in 1996. Record net earnings of $3.6 million, or $0.24 per common share fully diluted, were achieved. This compares to net earnings in 1996 of $1.4 million, or $0.08 per common share. Book value per common share ended 1997 at $0.76 an improvement of $1.05 during the year.
Fourth-quarter revenues recorded by the Corporation were $46 million, an increase of 19% over revenues of $39 million for the same three-month period ended December 31, 1996. Net earnings for the quarter were $709,000 compared to $1.8 million the previous year but which included a $1.7 million unusual gain from a debt settlement.
Churchill's over-all results for 1997 reflect a healthy year-end cash position of $12.6 million, a 53% increase over year-end 1996. Working capital is $9.4 million, double that at the end of 1996 and the current ratio has improved from 1.12 to 1.25. Cash generated from operations and from the sale of non-core assets throughout the year was utilized to reduce the Corporation's bank debt by $4.1 million and to increase cash reserves by $4.4 million.
The Corporation is well positioned for 1998 with a total backlog of work at year end 1997 of $130 million.
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THE COMPANY APPEARS UNDERVALUED.
The comany is involved in construction and appears to have had a restructuring last year. Current no. of shares is about 10M and with earnings of 3.6 Million last year, actual EPS at year end is .36.
Cyclical companies (in construction) usually do not appeal to me but this one appears to offer a great reward / risk .
It's 52 week hi/lo .12 / 1.31, yet there appears to be further potential to move up even more. |
