Hayes Lemmerz Announces First Quarter Results
NORTHVILLE, Mich., June 7 Hayes Lemmerz International,
Inc. today announced results for the first quarter ended April 30,
2001. First quarter sales were $541 million compared to $595 million in first
quarter 2000. First quarter sales also represent an increase from $475
million in fourth quarter 2000. First quarter EBITDA was $73 million compared
to $104 million in the first quarter last year, but up from $56 million in
fourth quarter 2000. Diluted earnings per share was a loss of $(.27), versus
earnings of $.51 in the first quarter last year. This compares to a loss of
$(.58) for fourth quarter 2000.
Hayes Lemmerz' first quarter 2001 sales were lower than the record levels
experienced in first quarter 2000 due to the decline in the euro, and the
decline in North American heavy truck and light vehicle sales. However, first
quarter 2001 sales increased by 14% when compared to fourth quarter 2000
because the fourth quarter experienced significant production shutdowns by the
domestic automakers in response to a slowing U.S. economy resulting in excess
inventories of light vehicles. The increase in first quarter 2001 sales over
fourth quarter 2000 also resulted in a 29% increase in EBITDA to $73 million
and a significant reduction in the diluted loss per share from $(.58) to
$(.27) per share.
"We have seen an improvement in our first quarter results in line with the
outlook we communicated during our fourth quarter earnings release," said Ron
Cucuz, Chairman and CEO. "Light vehicle production in North America has
stabilized compared to the fourth quarter and volumes have strengthened slowly
through the first three months of our current fiscal year. Our operations in
Europe and outside of North America also continue to perform very well in
spite of a weak euro. Our first quarter was negatively impacted by higher
energy prices, which affected the company's operating profit by close to $4
million or $.08 per share."
"We continue to project further improvement in the second half of this
year," continued Ron Cucuz. "As we outlined last quarter, we expect to
deliver over $20 million of cost savings in 2001 from our restructuring
programs, including manufacturing rationalizations and reductions in marketing
general and administrative costs in North America, Germany and Brazil. We
have reduced capital spending significantly and our first quarter capital
spending was down 29% compared to last year. We also expect to benefit from
the launch of significant net incremental new business in 2001, including the
launch of our new aluminum components foundry in Michigan and continued
expansion of aluminum wheel volumes globally. With the combination of new
business and cost reductions coupled with strong results in Europe, we remain
confident that we will maintain strong operating margins and cash flow in
2001."
Hayes Lemmerz International
First Quarter Results
Fiscal Quarters *
$ Millions 2001 2000
(Unaudited)
Sales $541.4 $594.8
EBITDA ** $72.5 $104.1
Depreciation and Amortization (38.8) (36.6)
Earnings from Operations $33.7 $67.5
Net Income (Loss) $(7.6) $15.7
Per Share Data:
Basic earnings (loss) per share $(0.27) $0.52
Diluted earnings (loss) per share $(0.27) $0.51
Basic average common shares (000's) 28,455 30,356
Diluted weighted average common shares (000's) 28,455 30,876
* Fiscal quarters ended April 30, 2001 and 2000
** Earnings before interest, taxes, depreciation and amortization
HAYES LEMMERZ INTERNATIONAL, INC. AND SUBSIDIARIES
Consolidated Statements Of Operations
(Millions of dollars, except share amounts)
(Unaudited)
Three Months Ended
April 30,
2001 2000
Net sales $541.4 $594.8
Cost of goods sold 469.5 492.9
Gross profit 71.9 101.9
Marketing, general and administration 25.1 24.5
Engineering and product development 5.9 6.2
Amortization of intangibles 7.0 7.2
Other income (0.2) (2.4)
Equity in losses (earnings) of
unconsolidated subsidiaries 0.4 (1.1)
Earnings from operations 33.7 67.5
Interest expense, net (45.6) (38.8)
Earnings (loss) before taxes on
income and minority interest (11.9) 28.7
Income tax (benefit) provision (5.1) 12.1
Earnings (loss) before minority
interest (6.8) 16.6
Minority interest 0.8 0.9
Net income (loss) $(7.6) $15.7
Per share information:
Basic net income (loss) per share $(0.27) $0.52
Basic average shares outstanding (in
thousands) 28,455 30,356
Diluted net income (loss) per share $(0.27) $0.51
Diluted average shares outstanding
(in thousands) 28,455 30,876
HAYES LEMMERZ INTERNATIONAL, INC. AND SUBSIDIARIES
Consolidated Balance Sheets
(Millions of dollars, except share amounts)
Apr. 30 Jan. 31
2001 2001
(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents $28.9 $-
Receivables net of allowance of $7.6
million at April 30, 2001 and
$8.5 million January 31, 2001 266.3 270.1
Inventory 191.9 201.2
Deferred tax assets 42.4 43.8
Prepaid expenses and other 21.2 18.3
Total current assets 550.7 533.4
Net property, plant and equipment 1,115.1 1,139.0
Goodwill and other assets 1,135.7 1,138.7
Total assets $2,801.5 $2,811.1
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Bank borrowings $81.9 $79.6
Current portion of long-term debt 91.4 87.3
Accounts payable and accrued
liabilities 437.6 476.7
Total current liabilities 610.9 643.6
Long-term debt 1,671.2 1,621.0
Pension and other long-term
liabilities 266.9 278.3
Deferred income taxes 100.2 102.2
Minority interest 10.6 10.6
Total liabilities 2,659.8 2,655.7
Commitments and Contingencies:
Stockholders' equity:
Preferred stock, 25,000,000 shares
authorized, none issued or
outstanding - -
Common stock, par value $0.01 per
share:
Voting - authorized 99,000,000
shares; issued and outstanding
25,806,469 at April 30, 2001 and
January 31, 2001 0.3 0.3
Nonvoting - authorized 5,000,000
shares; issued and outstanding,
2,649,026 at April 30, 2001 and
January 31, 2001 - -
Additional paid in capital 237.1 237.1
Retained earnings 8.6 16.2
Common stock in treasury at cost,
1,901,450 shares (26.3) (26.3)
Accumulated other comprehensive loss (78.0) (71.9)
Total stockholders' equity 141.7 155.4
Total liabilities and
stockholders' equity $2,801.5 $2,811.1
