More past info. for insight to the future.
Friday August 9 4:41 PM EDT
Alpha Pro Tech Ltd. reports continued sales growth for
second quarter and six month periods
Net sales rise 22.7% & 11.1%, respectively; Apparel division climbs 72.6%
SALT LAKE CITY--(BUSINESS WIRE)--Aug. 9, 1996--Alpha Pro Tech Ltd. (OTC: APTD),
today announced its results for the second quarter and six months ended June 30, 1996.
For the three months ended June 30, 1996, consolidated net sales rose to $3,873,000 compared to
$3,157,000 for the same period last year, an increase of $716,000 or 22.7%. Net sales for the
apparel division, the key growth area, represented $1,893,000 versus $1,097,000 in the same
period last year, an increase of $796,000 or 72.6%. Mask and eye shield sales were relatively
constant at $1,404,000, while the Unreal Lamb's Wool product line decreased by $124,000 or
17.7%. Net income for the second quarter increased to $24,000 versus $6,000 for the 1995
second quarter.
For the six months ended June 30, 1996, consolidated net sales rose to $7,459,000 compared to
$6,716,000 for the same period last year, an 11.1% increase. Net sales for the apparel division, the
key growth area, rose 60.4% over the equivalent period last year. This was offset by a 4.8%
decrease in mask and eye shield sales and a 25.7% decrease in Unreal Lamb's wool product line
sales. Net income for the first six months of 1996 increased to $70,000 versus $15,000 for the first
six months of 1995.
The earnings results for both the three month and six month periods were significantly impacted by
the costs of ramping up for growth in the apparel division in both the food service and clean room
markets. During these periods, the company incurred significant costs in opening a new
manufacturing facility in Nogales, Mexico. As productivity increases in this new facility, gross profit
should improve as well. Similarly, selling, general and administrative expenses increased during these
periods, primarily in the apparel division. Mask and eye shield sales are expected to continue to be
relatively flat through this year. The company's Unreal Lamb's Wool line of products has been
updated with an expectation of increased future sales. Also noteworthy, is the interest expense
decrease of 49.1% and 55.7% for the three month and six month periods, respectively, compared
to the equivalent prior year periods. This decrease is due to the company obtaining asset based
financing at lower interest rates, as well as due to $830,000 of notes payable being converted to
common stock during the second quarter of 1995. Al Millar, president of Alpha Pro Tech Ltd.,
commented, "We are encouraged by the continued revenues and earnings growth, especially in our
rapidly expanding apparel division. Alpha expects continued growth in the core business areas of
healthcare, dental and, especially, clean room products. The food service product line, launched by
Chicopee nationwide on August 1st, is expected to contribute somewhat to our third quarter,
significantly to our fourth quarter and especially to our coming year."
Alpha Pro Tech develops, manufactures and markets innovative disposable protective apparel
products for the medical, dental, food service and clean room markets. The company has
manufacturing facilities in Salt Lake City; Nogales, Arizona; Janesville, Wisconsin; Valdosta,
Georgia; and Benjamin Hill and Nogales, Mexico.
Alpha Pro Tech Ltd.
Financial Summary
($ in 000, except per share data)
For the Three For the Six
Months Ended Months Ended
June 30, June 30,
(Unaudited) (Unaudited)
1996 1995 1996 1995
Sales $ 3,873 $ 3,157 $ 7,459 $ 6,716
Net income 24 6 70 15
Earnings per share 0.00 0.00 0.00 0.00
Weighted average
number of shares
outstanding 20,280,186 19,512,092 20,068,527 18,328,858
Selected Balance Sheet Items
June 30, 1996 June 30, 1995
(Unaudited)
Cash $ 824 $ 344
Current assets 5,511 4,860
Current liabilities 3,409 3,166
Stockholders equity 3,657 3,004
CONTACT: Alpha Pro Tech Ltd.
Al Millar, 905/479-0654
or
KCSA
Paul Holm/Adam I. Friedman
212/682-6300 ext. 201/205
Just another puzzle piece.
KD |
