Jenna,
You included CHS Electronics (CHSE) in your April 30 watch list-did you buy it? (sorry if you already mentioned it- getting to be just too many posts for my slow mind to folow).
Anyway, CHSE announced earnings ATB today-4 cents better. Here's an excerpt:
CHS Electronics Announces Strong Net Income and Sales Gains in
First Quarter of 1998 * Net Income Is Triple the Year-Earlier Total * Sales Rise by 100% * Net and Operating Margins Improve by 207% and 167% Respectively
MIAMI, May 5 /PRNewswire/ -- CHS Electronics, Inc. (Nasdaq: CHSE - news), a leading international distributor of microcomputer products, today reported that its net income for the first quarter of 1998 was three times the year- earlier total, and that net sales doubled.
Net income for this year's first quarter was $20.6 million, or $0.38 per diluted share, on net sales of $1.8 billion. This compares with net income of $6.7 million, or $0.29 per diluted share, and net sales of $877.1 million in the first quarter of 1997.
Operating income was $36.9 million in the first quarter of this year, up 152 percent from $14.6 million a year earlier. Gross profit increased by 96 percent, from $62.5 million in the first quarter of 1997 to $122.6 million in this year's comparable period.
Claudio Osorio, chairman and chief executive officer of CHS Electronics, said these newest results reflect continued strength
in all major parts of the company's business. He noted that during the first quarter of 1998, excluding first quarter acquisitions, CHS increased by at least two to four percentage points its share of the European sales of each of the major vendors whose products its distributes.
CHS Electronics' first quarter 1998 net, operating (before goodwill amortization) and gross margins -- 1.2, 2.4 and 7.0 percent respectively -- compare with 0.8, 1.8 and 7.1 percent a year earlier.
For the company as a whole, same-store sales -- those from continuing operations -- were 30 percent higher on a constant currency basis in this year's first quarter compared to a year earlier.
''Our performance in this year's first quarter shows once again that CHS is continuing to get excellent results in the area of asset management while growing rapidly and absorbing numerous acquisitions around the world,'' Mr. Osorio said. ''This is most notably true in such important areas as accounts receivable, where our day's sales outstanding are 34 days, and our inventory turns of 12X, which we believe is the best performance in our industry.''
Looks good to me. What do you think?
Doug |
