TBC Reports Second Quarter Results
28 July 1998
TBC Reports Second Quarter Results
MEMPHIS, Tenn.--July 28, 1998--TBC Corporation today reported results for the second quarter ended June 30, 1998.Net sales for the second quarter totaled $161.9 million compared with $163.8 million in the year-earlier period. Net income for the quarter totaled $3.7 million, or $0.16 per share, compared with $4.8 million, or $0.20 per share, in the second quarter of last year.
Net sales for the first half amounted to $302.7 million compared with $308.2 million in the year-earlier period. Net income for the period totaled $6.9 million, or $0.30 per share, compared with $8.0 million, or $0.34 per share, a year ago.
Louis S. DiPasqua, President and Chief Executive Officer remarked, "The results for the second quarter are in line with the announcement we made last month regarding the impact on TBC of the extremely competitive environment that persists in the automotive tire aftermarket. We have implemented significant changes in our marketing programs to address the current industrywide conditions. Our focus is to reinforce TBC's leadership as the largest independent tire marketing organization. We are encouraged by the initial response to this initiative and believe it will help us regain positive momentum in our core business."
TBC Corporation is one of the nation's largest marketers and distributors of tires for the automotive replacement market.
This release may contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to certain risks, uncertainties and other factors which could cause actual results to differ materially, including but not limited to, the degree of competition in the replacement tire industry, changes in consumer spending on automobiles and replacement automotive products and the Company's ability to continue to obtain products in sufficient quantity and at competitive prices. Additional information on factors that could potentially affect the Company or its financial results may be found in the Company's filings with the Securities and Exchange Commission.
TBC CORPORATION
Condensed Consolidated Financial Results
(Unaudited)
Three Months Ended
June 30,
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1998 1997
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Net sales $161,923,000 $163,785,000
Income before income taxes 6,159,000 7,894,000
Income taxes 2,440,000 3,110,000
Net earnings $ 3,719,000 $ 4,784,000
Earnings per share
(basic and diluted) $ 0.16 $ 0.20
Average number of shares
outstanding 23,082,000 23,501,000
Six Months Ended
June 30,
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1998 1997
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Net sales $302,658,000 $308,152,000
Income before income taxes 11,276,000 13,229,000
Income taxes 4,407,000 5,214,000
Net earnings $ 6,869,000 $ 8,015,000
Earnings per share
(basic and diluted) $ 0.30 $ 0.34
Average number of shares
outstanding 23,095,000 23,563,000