Walter Industries Reports Improved Fiscal 1999 Second Quarter, Six Month Results
TAMPA, Fla.--(BUSINESS WIRE)--Jan. 5, 1999--
Second Quarter EPS Reaches $0.25 Before Non-Recurring Gain,
$0.38 With Gain
Walter Industries, Inc. (NYSE: WLT) today reported results for
its fiscal 1999 second quarter and six months ended November 30, 1998.
Net sales and revenues for the current second quarter totaled
$515.0 million compared with $448.1 million in the prior year second
quarter, a 15% increase.
Operating income for the current quarter rose 20% to $51.8
million compared with $43.3 million last year. Earnings Before
Interest, Taxes, Depreciation and Amortization (EBITDA) totaled $80.1
million versus $69.3 million in the year ago period, a 16% increase.
Net income in the current quarter totaled $19.7 million, or $0.38
per basic and diluted share including an after-tax gain of $6.7
million, or $0.13 per share, from the previously announced sale of the
Company's window components operations. This compared to net income of
$10.0 million, or $0.19 per basic share ($0.18 diluted) in the prior
year second quarter, which included a $2.7 million, or $0.05 per share
charge from the write-off of unamortized debt expense related to the
refinancing of bank credit facilities in conjunction with the
Company's October 1997 acquisition of Applied Industrial Materials
Corporation (AIMCOR).
Adjusted for the non-recurring items in both periods, earnings
were $13.1 million, or $0.25 per share versus $12.6 million, or $0.24
per basic share ($0.23 diluted) for the current and prior year
quarters, respectively.
Commenting on the Company's strong operating performance, Kenneth
E. Hyatt, Chairman and Chief Executive Officer, said: "This quarter
demonstrated the growing earnings power of our Water Transmission and
Industrial Products segments, coupled with another solid comparison
from our Homebuilding and Financing business. We were also pleased to
see renewed progress at our coal mining operations, as well as a
rebound in earnings from our Energy Services Group which was adversely
impacted by falling energy prices earlier in the year."
Hyatt noted that the current quarter results were also after
$10.6 million, or $0.19 per share (net of income tax benefit) in
goodwill amortization expense which is deducted from both operating
and net income. The bulk of this goodwill expense is a carryover from
the Company's 1987 leveraged buyout. Goodwill in last year's second
quarter totaled $9.8 million, or $0.17 per share. |
