Champion Parts Reports Higher Q2 Net Earnings on Slightly
Lower Sales
HOPE, Ark., Aug. 23 Champion Parts, Inc. (OTC Bulletin Board: CREB) reported higher second quarter
net income for the period ended July 1, 2001 of $175,000, or $0.05 per share,
compared to $129,000, or $0.03 per share for the same period in 2000. Net
sales were $5,269,000, against $5,541,000 for the comparable period in 2000.
For the six months of 2001, the company reported net sales of $11,365,000,
compared to $12,970,000 for the same period last year. Net income was
$242,000, or $0.07 per share for the six months, compared to $731,000, or
$0.20 per share for the same period in 2000.
"Although operations remained profitable, the overall soft market for
replacement parts and a declining demand for carburetors has adversely
effected the company's performance," said Jerry A. Bragiel, president and
chief executive officer. "We have completed the assessment of our
manufacturing facilities and will be announcing very soon our plans for
consolidation."
Champion's pursuit of new products and markets recently resulted in the
acquisition of B & T Rebuilders, Inc., which remanufactures air-conditioning
compressors for the passenger car, light truck and agricultural aftermarket.
"Our entrance into the growing automotive air conditioning market," Bragiel
continued, "is expected to positively impact Champion's future revenues, and
may provide opportunities to move Champion's other products into foreign
markets where B & T Rebuilders has established a presence." The company
indicated that it intends to expand the air conditioning product line as well
as focus on additional new product and market development, and other
acquisition possibilities.
CHAMPION PARTS, INC.
CONSOLIDATED RESULTS
(Unaudited)
Second Quarter Ended Six Months Ended
July 1, July 2, July 1, July 2,
2001 2000 2001 2000
Net Sales $5,269,000 $5,541,000 $11,365,000 $12,970,000
Costs and Expenses:
Cost of products sold 4,528,000 4,734,000 9,708,000 10,726,000
Selling, distribution
& administrative 608,000 575,000 1,221,000 1,274,000
Total costs and
expenses 5,136,000 5,309,000 10,929,000 12,000,000
Operating income 133,000 232,000 437,000 970,000
Non-operating
(income)/expense:
Interest expense 98,000 121,000 231,000 272,000
Other non-operating
(income) (140,000) (38,000) (160,000) (77,000)
Total non-operating
expense/(income) (42,000) 83,000 71,000 195,000
Earnings before
income taxes and
extraordinary loss 175,000 149,000 366,000 775,000
Income taxes -- 20,000 -- 44,000
Earnings before
extraordinary loss 175,000 129,000 366,000 731,000
Extraordinary loss -- -- 124,000 --
Net Income $175,000 $129,000 $242,000 $731,000
Weighted Average Common
Shares Outstanding
at July 1, 2001:
Basic 3,655,266 3,655,266 3,655,266 3,655,266
Diluted 3,674,154 3,709,063 3,670,814 3,709,063
Earnings Per Common
Share - Basic:
Earnings before
extraordinary loss
per common share $ 0.05 $ 0.04 $ 0.10 $ 0.20
Extraordinary loss
per common share 0.00 0.00 0.03 0.00
Net income per
common share $ 0.05 $ 0.04 $ 0.07 $ 0.20
Earnings Per Common
Share - Diluted:
Earnings before
extraordinary
loss per common share $ 0.05 $ 0.03 $ 0.10 $ 0.20
Extraordinary loss
per common share 0.00 0.00 0.03 0.00
Net income per
common share $ 0.05 $ 0.03 $ 0.07 $ 0.20
