Keystone Automotive Industries Reports Increased Sales and Net Income in First Quarter; Acquires Reddish Professional Auto Paint Supply, Inc.
6 August 1997
Keystone Automotive Industries Reports Increased Sales and Net Income in First Quarter; Acquires Reddish Professional Auto Paint Supply, Inc.
POMONA, Calif., Aug. 6 -- Keystone Automotive Industries,
Inc. today reported first quarter net income of $1,810,000, or
$0.19 per share, on net sales of $53,481,000 for the first fiscal quarter
ended June 27, 1997, up from $1,519,000, or $0.18 per share, on net sales of
$45,561,000 reported in the comparable period a year ago. The results include
a one time charge of $705,000 relating to severance costs paid to the
company's former chairman and chief executive officer.
Weighted average shares outstanding in the first quarter ended June 27,
1997 were 9,779,000, compared with 8,400,000 a year earlier. On July 2, 1997
the company completed a secondary offering of 5.22 million shares common
stock.
Charles Hogarty, President and Chief Executive Officer said, "We are
pleased with the performance of all segments of Keystone during the quarter.
Every product line showed a significant increase. Bumpers were up 15.4 percent
to $19,368,000 in the quarter from a year ago; Paint rose 14.7 percent to
$9,912,000; Body Parts sales were up 14 percent to $19,825,000 and
Remanufactured Wheels were up 397 percent to $1,495,000. In short, the year is
off to a strong start."
Mr. Hogarty also announced the acquisition of Reddish Professional Auto
Paint Supply, Inc., a Salt Lake City, Utah based distributor of paint and
related supplies. Terms of the transaction were not disclosed.
He said "This acquisition provides Keystone with access to one of the
fastest growing cities in the United States. Geographically, it fits well with
our recent acquisition of All Makes Body Parts. We will use the existing
Reddish operations as a platform to introduce aftermarket collision
replacement parts in the Salt Lake City area."
Keystone Automotive Industries, Inc. distributes its products in the
United States primarily to collision repair shops through its 78 service
centers, of which 12 serve as regional hubs. Its product lines consist of
automotive body parts, bumpers, autoglass and remanufactured alloy wheels, as
well as paint and other materials used in repairing a damaged vehicle. These
products comprise more than 19,000 stock keeping units that are sold to more
than 24,000 repair shops throughout the nation.
KEYSTONE AUTOMOTIVE INDUSTRIES, INC.
Statements of Income
(in thousands, except per share and share amounts)
Three Months Ended
June 27, 1997 June 29, 1996
Net sales $53,481 $45,561
Cost of Sales 31,942 27,265
Gross profit 21,539 18,296
Operating expenses:
Selling and distribution expenses 14,298 12,771
General and administrative 3,246 2,508
Severance costs 705 0
Operating income 3,290 3,017
Interest expenses 273 420
Income before income taxes 3,017 2,597
Income taxes 1,207 1,078
Net income 1,810 1,519
Income per share $0.19 $0.18
Weighted average shares outstanding 9,779 8,400
SOURCE Keystone Automotive Industries, Inc.