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8-K - FORM 8-K - LADISH CO INCc03624e8vk.htm
Exhibit 99(a)
NEWS
     
For:
  From:
 
   
Ladish Co., Inc.
  Libby Communications
5481 South Packard Avenue
  1414 East Harbour Towne Circle
Cudahy, WI 53110
  Muskegon, MI 49441
Contact: Wayne E. Larsen
  Contact: William J. Libby
               414-747-2935
                 231-755-4111
               414-747-2602 Fax
                 231-755-4144 Fax
Release date: 19 July 2010
Ladish Reports Net Sales of $99 Million for 2nd Quarter 2010
Cudahy, WI—Ladish Co., Inc. (www.ladishco.com) (Nasdaq: LDSH) today reported 2010 second quarter sales of $99.4 million in comparison to $84.7 million of sales in the second quarter of 2009. The Company reported net income of $7.5 million, resulting in diluted earnings per share of $0.48 for the second quarter of 2010, versus a net income of $0.65 million, or $0.04 per share, in the same period of 2009.
Ladish will host a conference call on Tuesday, July 20, 2010 at 9:00 a.m. EDT to discuss the second
quarter performance for 2010. To access the conference call, dial (866) 439-4712 and enter the PIN Code 917034# when prompted.
                                 
    For the Three Months     For the Six Months  
    Ended June 30     Ended June 30  
(Dollars in thousands, except per share data)   2010     2009     2010     2009  
 
                               
Net sales
  $ 99,407     $ 84,686     $ 198,355     $ 190,425  
Cost of goods sold
    82,709       78,349       167,994       176,764  
 
                       
Gross profit
    16,698       6,337       30,361       13,661  
SG&A expense
    4,032       4,273       8,232       8,315  
 
                       
Operating income
    12,666       2,064       22,129       5,346  
Interest expense
    (1,419 )     (1,321 )     (2,894 )     (2,166 )
Other, net
    404       101       654       (333 )
 
                       
Pretax income
    11,651       844       19,889       2,847  
Income tax provision
    4,092       205       6,978       1,008  
Noncontrolling interest in subsidiary earnings
    21       (11 )     25       (11 )
 
                       
Net income
  $ 7,538     $ 650     $ 12,886     $ 1,850  
 
                       
 
                               
Basic earnings per share
  $ 0.48     $ 0.04     $ 0.82     $ 0.12  
Basic weighted average shares outstanding
    15,703,004       15,901,216       15,780,352       15,901,216  
Diluted earnings per share
  $ 0.48     $ 0.04     $ 0.82     $ 0.12  
Diluted weighted average shares outstanding
    15,704,594       15,901,539       15,781,692       15,901,393  
more

 

 


 

NEWS
                 
    June 30     December 31  
(Dollars in thousands)   2010     2009  
 
               
Cash and cash equivalents
  $ 22,984     $ 19,917  
Accounts receivable, net
    75,074       59,382  
Inventory
    91,956       92,697  
Net PP&E
    192,133       198,436  
Other
    91,914       99,082  
 
           
Total assets
  $ 474,061     $ 469,514  
 
           
 
               
Accounts payable
  $ 30,315     $ 23,613  
Accrued liabilities
    20,832       16,758  
Senior notes
    84,285       90,000  
Pensions
    75,417       79,343  
Postretirement benefits
    33,131       33,679  
Equity
    230,081       226,121  
 
           
Total liabilities & equity
  $ 474,061     $ 469,514  
 
           
“Ladish delivered solid second quarter and first half results driven by our employees’ continued focus on cost control coupled with improved operating performance,” said Gary J. Vroman, Ladish President & CEO. “All of our business units contributed positively in the second quarter, and year-to-date 2010 earnings increased by $11.0 million over 2009 on sales revenues which grew a modest $7.9 million, or 4.2%. Our stand-alone second quarter EPS of $0.48 exceeds last year’s $0.04 EPS by a factor of twelve. We are proud of the earnings rebound we have put together so far this year. And the balance sheet story is just as positive. Ladish generated $18.2 million of operating cash flow in the first half of 2010. We used $5.7 million of that cash to pay down long term debt, $3.2 million to buy back Ladish stock, $5.9 million on capital improvements, and increased our cash holdings by $3.1 million.”
“We see the second half of 2010 as a period of transition and preparation,” noted Vroman. “Customer demand looks flat for the next few months, but we know we must continue to prepare for more growth in 2011 and beyond. Our general industrial and aerospace markets have been solid, but jet engine demand has been inconsistent this year. We remain bullish on our long-term opportunities but cautious about predicting the precise rate of recovery. When commercial aerospace markets improve, jet engine requirements will firm up, and we will be ready. Our $520 million of contract backlog at the end of June positions us well for the growth expected in our served markets.”
Ladish Co., Inc. is a leading producer of highly engineered, technically advanced metal components for the jet engine, aerospace and general industrial markets. Ladish is headquartered in Cudahy, Wisconsin with operations in Wisconsin, California, Connecticut, Oregon and Poland. Ladish common stock trades on Nasdaq under the symbol LDSH.
This release includes forward-looking statements that are made pursuant to the safe harbor provisions of the Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those projected in them. These risks and uncertainties include, but are not limited to, uncertainties in the company’s major markets, the impact of competition, the effectiveness of operational changes expected to increase efficiency and productivity, worldwide economic and political conditions and the effect of foreign currency fluctuations.
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