Arnold Industries Announces Q2 Results
6 August 1998
Arnold Industries Announces Second Quarter Results and Dividend Action
LEBANON, Pa.--Aug. 6, 1998--E. H. Arnold, Board Chairman and President of Arnold Industries, Inc. , Lebanon, Pennsylvania, the subsidiaries of which include New Penn Motor Express, Inc., and Arnold Transportation Services, Inc., announced today Operating Revenues, Operating Income and Earnings Per Share for the second quarter of 1998.
Compared to the second quarter of 1997, Operating Revenues for the second quarter increased 5%, Operating Income decreased 6% and Basic Earnings Per Share decreased 8%.
President Arnold also announced Operating Revenues, Operating Income and Earnings Per Share for the first six months of 1998. Operating Revenues during the first six months of 1998 were 6% above Operating Revenues generated during the same period in 1997. Operating Income decreased 3%, and Basic Earnings Per Share decreased 3%.
Unaudited Consolidated Income Statements are set forth below:
Second Quarter Ended June 30,
1998 1997
------------ ------------
Operating Revenues $102,264,377 $ 97,340,744
Operating Income 14,155,033 15,050,981
Income Before Taxes 13,997,840 15,060,047
Net Income 8,888,429 9,510,249
Share Earnings:
Net income per share - Basic .34 .37
Ave. shares outstanding-Basic 25,995,769 26,277,369
Net income per share - Diluted .34 .36
Ave. shares outstanding-Diluted 26,153,901 26,848,273
Six Months Ended June 30,
1998 1997
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Operating Revenues $198,266,340 $187,879,966
Operating Income 25,687,060 26,598,934
Income Before Taxes 25,359,624 26,492,063
Net Income 16,114,826 16,831,405
Share Earnings:
Net income per share - Basic .62 .64
Ave. shares outstanding-Basic 25,976,888 26,471,650
Net income per share - Diluted .62 .63
Ave. shares outstanding-Diluted 26,168,354 26,695,407
Also set forth below is a schedule of the Unaudited Operating
Revenues, Expenses and Operating Income of the LTL and TL companies:
(Dollars in Thousands)
Second Quarter Ended June 30,
1998 1997
------- -------
Amount % Amount %
NEW PENN MOTOR EXPRESS
AND RELATED COMPANIES (LTL)
Operating Revenues 51,328 100.0 51,834 100.0
Operating Expenses 40,818 79.5 40,248 77.6
------- ------- ------- ------
Operating Income 10,510 20.5 11,586 22.4
(Dollars in Thousands)
Second Quarter Ended June 30,
1998 1997
----- ------
Amount % Amount %
ARNOLD TRANSPORTATION
SERVICES (TL)
Operating Revenues 50,937 100.0 45,507 100.0
Operating Expenses 47,292 92.8 42,042 92.4
-------- ----- ------ -------
Operating Income 3,645 7.2 3,465 7.6
(Dollars in Thousands)
Six Month Period Ended June 30,
1998 1997
------- ------
Amount % Amount %
NEW PENN MOTOR EXPRESS
AND RELATED COMPANIES (LTL)
Operating Revenues 100,590 100.0 100,309 100.0
Operating Expenses 79,924 79.5 79,222 79.0
-------- ----- ------ -------
Operating Income 20,666 20.5 21,087 21.0
(Dollars in Thousands)
Six Month Period Ended June 30,
1998 1997
------ -------
Amount % Amount %
ARNOLD TRANSPORTATION
SERVICES (TL)
Operating Revenues 97,676 100.0 87,571 100.0
Operating Expenses 92,655 94.9 82,059 93.7
-------- ----- ------ -------
Operating Income 5,021 5.1 5,512 6.3
Mr. Arnold commented that, although New Penn's second quarter Operating Revenues fell by $500,000, and its Operating Expenses grew by almost $600,000, its Operating Ratio had remained below 80. The 1998 second quarter had one less operating day than in 1997.
Mr. Arnold also pointed out that the contribution of Arnold Transportation Services to the Company's bottom line in the second quarter was modestly greater than in the second quarter of 1997. Michael S. Walters has assumed the position of President of Arnold Transportation Services as of Monday, August 3, 1998, and will be located in Jacksonville, Florida.
Mr. Arnold announced that the Board of Directors declared the regular quarterly dividend of eleven cents per share, payable September 4, 1998, to stockholders of record on August 19, 1998.
Mr. Arnold commented that Arnold Industries remains a highly profitable less-than-truckload, truckload and warehousing company.
He expressed appreciation to the employees whose effective efforts enabled Arnold Industries, Inc. to achieve Operating Income in excess of $14,000,000 in the second quarter, and in excess of $25,500,000 for the first six months of 1998.