hi Jim, here the release quarterly earnings..gordon
Tuesday April 21, 11:01 am Eastern Time
Company Press Release
Scott's Liquid Gold-Inc. Reports First Quarter Operating Results
DENVER--(BUSINESS WIRE)--April 21, 1998--Scott's Liquid Gold-Inc. (NYSE:SGD - news), which develops,
manufactures and markets household and skin care products, today reported operating results for the first quarter of its 1998
fiscal year.
Net sales for the quarter ended March 31, 1998 approximated $12.6 million, compared to net sales of about $14.3 million in
the first quarter of the previous fiscal year. The Company reported a net loss of $1,011,400 ($0.10 per share) in the most
recent quarter, versus net income of $816,400 ($0.08 per share) in the prior-year period.
A preponderance of the sales decline resulted from reduced average selling prices, primarily attributable to promotions, while
unit sales remained substantially unchanged. Lower average selling prices primarily affected sales of the Touch of Scent and
Alpha Hydrox product lines.
''It is important to recognize that sales of our skin care products were exceptionally strong in last year's first quarter,''
commented Mark E. Goldstein, President and Chief Executive Officer of Scott's Liquid Gold-Inc. ''Thus, we do not consider
lower skin care product sales in the most recent quarter an indication of what might be expected for the balance of the year.''
Regarding the lack of profitability in the first quarter, Goldstein noted that a loss in the Company's first quarter has occurred in
the past and in no way precludes a profitable year. ''On the contrary,'' he observed, ''we are hoping for good things in 1998.
The Company has a group of exciting new products scheduled for introduction later this year. While it remains to be seen how
closely their sales will meet our goals, we have high expectations for their success.''
Scott's Liquid Gold-Inc. develops, manufactures and markets high quality household products, including Scott's Liquid Gold for
wood and Touch of Scent air fresheners, and Alpha Hydrox skin care products. The Company is headquartered in Denver,
Colorado and its common stock is listed on the New York Stock Exchange under the ticker symbol ''SGD''.
This release includes statements that may constitute ''forward-looking'' statements that are made pursuant to the safe harbor
provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements inherently involve risks and
uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors that would cause
or contribute to such differences include, but are not limited to, continued acceptance of the Company's products in the
marketplace, competitive factors, the need for effective advertising of the Company's products, limited resources available for
such advertising, new products and technological changes, dependence upon third-party vendors and upon sales to major
customers, changes in the regulation of the Company's products, including applicable environmental regulations; adverse
developments in pending litigation, the loss of any executive officer, and other matters discussed in the Company's periodic
report filings with the Securities and Exchange Commission. By making these forward-looking statements, the Company
undertakes no obligation to update these statements for revisions or changes after the date of this release.
Figures for the quarters ended March 31, 1998 and 1997 follow:
Three Months Ended
March 31,
1998 1997
REVENUES $12,751,300 $14,434,400
INCOME (LOSS) FROM OPERATIONS (1,605,600) 1,316,700
PROVISION (BENEFIT) FOR
INCOME TAXES (594,200) 500,300
NET (LOSS) INCOME (1,011,400) $ 816,400
NET (LOSS) INCOME PER COMMON SHARE $(0.10) $0.08
WEIGHTED AVERAGE NUMBER OF COMMON
SHARES OUTSTANDING 10,092,400 10,030,900
Contact:
Scott's Liquid Gold-Inc., Denver
Barry Shepard or Carolyn Anderson, 303/373-4860
e-mail:Shep01@aol.com
or
R. Jerry Falkner, CFA, Investor Relations Counsel
at 800/377-9893 |
