Superior Industries Sets New Third Quarter Records for Revenue, Net Income and Unit Wheel Shipments; Net Income Exceeds Analysts' Estimates
VAN NUYS, Calif.--Oct. 17, 2002--Superior Industries International, Inc. announced today that revenue, net income and unit wheel shipments all rose to new third quarter records. "Superior's strong top line performance for the third quarter was driven by high production of cars and light trucks by our OEM customers and continued growth in Superior's share of the aluminum wheel market. Capacity utilization was strong, and productivity was spurred by our ongoing investments in plant expansion and modernization. The result was rapid growth on the bottom line that exceeded analysts' expectations," said Chairman and President Louis L. Borick.Third Quarter Results
For the three months ended September 30, 2002, revenue increased 28% to $187,364,000 from $146,417,000 for the third quarter of 2001. Net income increased 65% to $17,693,000, or $0.65 per diluted share, compared to $10,708,000, or $0.41 per diluted share, a year earlier. Unit wheel shipments increased 29%.
This year's third quarter results included the write-off of non-recurring start-up costs of $2,196,000 related to the launch of Superior's new aluminum suspension components business. Profits from the Company's joint venture aluminum wheel manufacturing operation in Hungary were included in miscellaneous income.
At September 30, 2002, Superior had working capital of $265,467,000, including cash and short-term investments of $139,721,000, and no debt.
Nine Month Results
For the nine months ended September 30, 2002, revenue increased 23% to $585,864,000 from $474,417,000 for the same period last year. Net income increased 39% to $55,819,000, or $2.08 per diluted share, from $40,021,000, or $1.52 per diluted share, a year earlier.
New Contracts
Executive Vice President Steven J. Borick noted that Superior won several large new and replacement aluminum wheel supply contracts from major OEM customers during the third quarter, including the 2003 model year Dodge Dakota light truck and Dodge Durango SUV aluminum wheel programs from DaimlerChrysler, as well as significant awards from GM. "Our aggressive expansion program and the gains in productivity we've achieved through employee training and plant modernization are allowing us to reach new heights for product quality, customer service and price. Our customers are rewarding us with new business that keeps our plants at high capacity levels and enhances our optimism about Superior's future," he said.
Stock Repurchase Update
Superior has repurchased 4,468,000 shares of its common stock since 1995, including 52,000 shares repurchased during the third quarter of 2002. 3,533,000 shares could still be repurchased under the March 2000 Board of Directors' authorization.
About Superior Industries
Superior supplies aluminum wheels and other aluminum automotive components to Ford, General Motors, DaimlerChrysler, BMW, Volkswagen, Audi, Land Rover, MG Rover, Toyota, Mazda, Mitsubishi, Nissan, Subaru and Isuzu. For additional information, visit Superior's Web site at www.supind.com.
Forward-Looking Statements
This press release contains statements that are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on current expectations, estimates and projections about the company's business based, in part, on assumptions made by management. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in such forward-looking statements due to numerous factors and risks discussed from time to time in the company's Securities and Exchange Commission filings and reports. In addition, such statements could be affected by general industry and market conditions and growth rates, and general domestic and international economic conditions. Such forward-looking statements speak only as of the date on which they are made and the company does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of this release.
SUPERIOR INDUSTRIES INTERNATIONAL, INC.
Consolidated Statements of Income (Unaudited)
(Dollars in Thousands, Except Per Share Amounts)
Three Months Ended Nine Months Ended
September 30 September 30
2002 2001 2002 2001
-------- -------- -------- --------
NET SALES $187,364 $146,417 $585,864 $474,417
Costs and Expenses
Cost of Sales 155,319 123,998 484,738 397,276
Selling and Administrative
Expenses 5,637 4,804 17,170 14,547
Start-up and Pre-
production Costs 2,196 2,435 5,970 7,929
INCOME FROM OPERATIONS 24,212 15,180 77,986 54,665
Interest Income, net 947 774 2,386 3,545
Miscellaneous Income, net 2,061 331 5,503 2,659
INCOME BEFORE TAXES 27,220 16,285 85,875 60,869
Income Tax Expense 9,527 5,577 30,056 20,848
NET INCOME $17,693 $10,708 $55,819 $40,021
DILUTED EARNINGS
PER SHARE $0.65 $0.41 $2.08 $1.52
WEIGHTED AVERAGE AND
EQUIVALENT SHARES
OUTSTANDING 27,050,000 26,418,000 26,874,000 26,336,000
SUPERIOR INDUSTRIES INTERNATIONAL, INC.
Consolidated Balance Sheets (Unaudited)
(Dollars in Thousands)
As of September 30,
2002 2001
--------- ---------
CURRENT ASSETS $ 368,098 $ 280,651
PROPERTY, PLANT AND EQUIPMENT, net 227,993 224,860
OTHER ASSETS 35,700 30,264
--------- ---------
$ 631,791 $ 535,775
CURRENT LIABILITIES $ 102,631 $ 85,894
LONG-TERM LIABILITIES 17,990 17,404
SHAREHOLDERS' EQUITY 511,170 432,477
--------- ---------
$ 631,791 $ 535,775