1Q-WOW
Abatix Environmental Corp. Announces First Quarter 1998 Results
Net Earnings Increase 62% Abatix Environmental Corp. Announces
First Quarter 1998 Results Net Earnings Increase 62% May 6, 1998
4:57 PM EDT
DALLAS, May 6 /PRNewswire/ -- Abatix Environmental Corp. (Nasdaq:
ABIX) today announced net earnings of $187,000 or $.10 per share on a
diluted basis. The net earnings for the first quarter of 1998
increased 62% from 1997 first quarter net earnings of $116,000 or
$.06 per share on a diluted basis. This increase primarily resulted
from increased sales volume, improved pricing and lower interest
expense. The lower interest expense is a result of continued
improvement in accounts receivable and inventory management. Revenues
for the first quarter of 1998 of $8,675,000 increased 2% from
revenues in the first quarter of 1997 of $8,470,000.
Mr. Terry W. Shaver, President, stated "The earnings increase is a
result of efforts from all Abatix personnel. The continued focus of
our sales force on pricing, while increasing our customer base, and
the efforts to better manage assets and control costs have been the
major factors in our improved results. Continued efforts on these
items should provide quarterly and annual results that exceed 1997
results. As previously stated, our primary focus for 1998 was to
increase revenues. Several marketing programs were implemented late
in the first quarter of 1998 and are expected to increase Abatix's
visibility and name recognition in the industrial safety market.
These new marketing programs will provide additional tools to improve
our sales force's efficiency and success, while broadening the
geographic area covered by Abatix. We are currently designing a new
and improved internet site which will also increase Abatix's
visibility. In addition to product information for current and
potential customers, our internet site will also provide more
effective means of communicating financial information with
stockholders and the investment community."
Mr. Shaver concluded, "Banc One Capital Corporation is in the final
stage of their evaluation of strategic alternatives for Abatix. With
the help of Banc One, the next step is to validate the assumptions
used in the evaluation process and determine the probability of
success for each strategic alternative presented."
Except for the historical information contained herein, the matters
set forth in this release are forward looking and involve a number of
risks and uncertainties. Among the factors that could cause actual
results to differ materially are the following: federal funding of
environmental related projects, general economic and commercial real
estate conditions in our local markets, changes in interest rates,
inability to pass on price increases to customers, unavailability of
products, strong competition and loss of key personnel. In addition,
many of the Company's products are petroleum based. Increases in oil
prices or shortages in supply could significantly impact the
Company's business and its ability to supply customers with certain
products at a reasonable price.
Abatix Environmental Corp. is a full line supplier to the asbestos
abatement, hazardous materials, industrial safety and construction
tool industries. The Company has eight distribution centers in Dallas
and Houston, Texas, in Hayward and Santa Fe Springs, California, in
Phoenix, Arizona, in Denver, Colorado, in Kent, Washington and in Las
Vegas, Nevada. These distribution centers serve customers throughout
the Southwest, Midwest, Pacific Coast, Alaska and Hawaii.
ABATIX ENVIRONMENTAL CORP.
SELECTED FINANCIAL INFORMATION
(Unaudited)
Three Months Ended
March 31,
1998 1997
Net sales $8,674,755 $8,469,872
Cost of sales 6,264,687 6,155,014
Gross profit 2,410,068 2,314,858
Selling, general and
administrative expenses 2,038,195 2,017,560
Operating profit 371,873 297,298
Other expense, net 49,741 103,879
Earnings from continuing
operations before
income taxes 322,132 193,419
Income tax expense 134,667 77,585
Net earnings $ 187,465 $ 115,834
Basic earnings per share $ .10 $ .06
Diluted earnings per share $ .10 $ .06
Weighted average shares outstanding:
Basic 1,937,564 1,986,508
Diluted 1,937,564 1,991,255
As of
March 31, December 31,
1998 1997
Current assets $ 9,652,000 $9,003,000
Total assets $10,467,000 $9,854,000
Current liabilities $ 5,102,000 $4,676,000
Total stockholders' equity $ 5,365,000 $5,178,000 SOURCE Abatix
Environmental Corp.
c PR Newswire. All rights reserved.
Additional sources of information
Tell Me More - From Infoseek
Company Profile - From E*TRADE: ABIX
Stock Charts - From Quote.Com: ABIX
SEC Filings - From EDGAR Online: ABIX
Company Capsule - From Hoover's Online: ABIX
Quick Facts - From Market Guide: ABIX
|
