Dura Automotive Systems, Inc. Announces Q2 Results
17 July 1997
Dura Automotive Systems, Inc. Announces Increased Second-Quarter and Year-to-Date Operating ResultsMINNEAPOLIS, July 17 -- Dura Automotive Systems, Inc. , today announced increased operating results for the quarter and six months ended June 30, 1997. For the second quarter of 1997, revenues increased 69 percent to $115.4 million from $68.1 million in the second quarter of 1996. Operating income increased 59 percent to $10.8 million in 1997 from $6.8 million in 1996. Net income for second quarter of 1997 was $5.1 million, or 58 cents per share, compared to $3.6 million, or 72 cents per share, in 1996. Net income per share in 1996 on a pro forma basis was 57 cents per share, reflecting the issuance of 3,795,000 shares by the Company in its initial public offering in August 1996. For the six-month period, revenues increased 75 percent to $222.7 million in 1997 from $127.4 million in 1996. Operating income increased $8.4 million to $18.6 million in 1997. Net income was $8.6 million, or 98 cents per share, in 1997 versus $5.0 million, or 99 cents per share, in 1996 (85 cents per share on a pro forma basis). Karl Storrie, president and chief executive officer of Dura Automotive said, "Our second-quarter 1997 operating results reflect the positive contribution of our two most recent acquisitions -- KPI and VOFA -- as well as benefits from our ongoing efforts to generate operating efficiencies and enhance productivity. In addition, we are continuing to pursue strategic acquisitions that will further develop our customer base, geographical presence, technological capabilities and product offerings." Dura Automotive Systems, Inc., is a leading designer and manufacturer of driver control mechanisms and cable related systems for the global automotive industry. The Company's products include parking brake systems, automotive cables, latches, transmission shifter mechanisms and systems, underbody tire carriers, brake and accelerator pedals, and other mechanical assemblies. The Company's products are sold to major North American original equipment manufacturers (OEMs), including Ford, General Motors and Chrysler, as well as Japanese OEMs, such as Toyota. The Company's European and South American facilities support Ford, GM, VW, BMW, PSA (Peugeot) and various other OEMs. Dura Automotive's operating headquarters is in Rochester Hills, Mich., and its corporate office is in Minneapolis, Minn. DURA AUTOMOTIVE SYSTEMS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Amounts in thousands except per share amounts -- unaudited) Three Months Ended June 30, 1996 1997 Actual Pro Forma (a) Revenues $115,350 $68,054 $116,699 Cost of sales 97,089 57,300 98,393 Gross profit 18,261 10,754 18,306 Selling, general and administrative expenses 6,601 3,722 7,102 Amortization expense 891 210 777 Operating income 10,769 6,822 10,427 Interest expense, net 1,957 811 1,829 Income before provision for income taxes 8,812 6,011 8,598 Provision for income taxes 3,712 2,404 3,611 Net income $5,100 $3,607 $4,987 Net income per common and common equivalent share $0.58 $0.72 $0.57 Weighted average common and common equivalent shares outstanding (b) 8,863 5,029 8,824 (a) Gives effect to the initial public offering and the acquisitions of KPI and VOFA as if they had occurred at the beginning of the periods presented. (b) Weighted average number of shares outstanding on a pro forma basis was computed as if the initial public offering had been completed at the beginning of the first quarter of 1996. DURA AUTOMOTIVE SYSTEMS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Amounts in thousands except per share amounts -- unaudited) Six Months Ended June 30, 1996 1997 Actual Pro Forma (a) Revenues $222,717 $127,357 $217,470 Cost of sales 188,542 109,141 185,145 Gross profit 34,175 18,216 32,325 Selling, general and administrative expenses 13,829 7,586 13,835 Amortization expense 1,774 472 1,605 Operating income 18,572 10,158 16,885 Interest expense, net 3,853 1,900 3,949 Income before provision for income taxes 14,719 8,258 12,936 Provision for income taxes 6,075 3,304 5,433 Net income $8,644 $4,954 $7,503 Net income per common and common equivalent share $0.98 $0.99 $0.85 Weighted average common and common equivalent shares outstanding (b) 8,860 5,026 8,818 (a) Gives effect to the initial public offering and the acquisitions of KPI and VOFA as if they had occurred at the beginning of the periods presented. (b) Weighted average number of shares outstanding on a pro forma basis was computed as if the initial public offering had been completed at the beginning of the first quarter of 1996. CONDENSED CONSOLIDATED BALANCE SHEETS (Amounts in thousands) June 30, December 31, Assets 1997 1996 (unaudited) Current assets: Cash and cash equivalents $10,779 $1,667 Accounts receivable, net 67,913 49,490 Inventories 24,910 18,093 Other current assets 17,651 14,678 Total current assets 121,253 83,928 Property, plant and equipment, net 62,510 47,347 Goodwill and other assets, net 135,499 114,854 $319,262 $246,129 Liabilities and Stockholders' Investment Current liabilities: Current maturities of long-term debt $2,512 $80 Accounts payable 34,782 30,230 Accrued liabilities 42,689 26,090 Total current liabilities 79,983 56,400 Long-term debt, net of current maturities 119,629 77,376 Other noncurrent liabilities 25,399 24,986 Stockholders' investment: Preferred stock -- -- Common stock - Class A 38 38 Common stock - Class B 50 50 Additional paid-in capital 63,282 63,061 Retained earnings 33,030 24,386 Cumulative translation adjustment (2,002) -- Subscriptions receivable (147) (168) Total stockholders' investment 94,251 87,367 $319,262 $246,129 SOURCE Dura Automotive Systems, Inc.