InMold Corp. Reports Strong 1999 Q3 Results In Initial Reporting Period
5 May 1999
InMold Corp. Reports Strong 1999 Third Quarter Results In Initial Reporting Period
TROY, Mich., May 5 -- InMold Corp. (OTC Bulletin Board: MOLD)
today reported strong fiscal 1999 third quarter earnings in its initial
reporting period. Sales for the third quarter of $3.6 million generated
operating earnings of $344,500. Net income was $150,000, or $.03 per share.
John F. Horner, InMold's chief financial officer, said: "Our sales growth
for the quarter was primarily driven by InMold's introduction of the world's
first thermoplastic steering column support bracket. The revolutionary new
component provides OEMs a number of distinct advantages, including: a 30
percent reduction in cost, a 10 percent savings in weight (compared to its
magnesium predecessor), increased durability and simplified installation."
For the nine months ended February 28, 1999, InMold reported net earnings
of $443,000, or $.09 per share, on sales of $10.4 million. Operating earnings
for the period were $999,500.
InMold Corp. has been pursuing growth initiatives to further strengthen
its position in the automotive original equipment segment. In March 1999,
InMold Corp. and a principal of Bingham Farms, Mich.-based Design Engineering
Services (DES) established a minority joint venture company to design and
engineer plastic injection molded structural components for car and light-
truck manufacturers.
The joint venture -- InMold Lukmani Design Technologies, Inc. (ILD) --
provides InMold Corp. with comprehensive engineering services from concept to
production at a systems level.
Outlook
"We expect InMold to add to its revenues in fiscal 2000 from the addition
of new products, before considering the impact of planned acquisitions,"
Horner said. "This strategy reflects the company's business plan which is
based on the design, engineering and production contributions it can make to
the global automotive industry."
Headquartered in Troy, Mich., InMold Corp. provides highly engineered
components and systems design solutions to the automotive industry, with
injection molding and engineering facilities in southeastern Michigan. InMold
was formed in 1997 as a public corporation for the purpose of acquiring a
family of injection molding companies. Later that year, it acquired and
physically consolidated two long-time industry suppliers -- GP Plastics, Inc.
and A.E.P. Technologies, Inc., both of Rochester Hills, Mich.
This news release contains statements relating to future results that are
"forward-looking statements" as defined in the Private Securities Litigation
Reform Act of 1995. Actual results may differ materially from those projected
as a result of certain risks and uncertainties, including but not limited to
those detailed from time to time in the Company's Securities and Exchange
Commission filings.
INMOLD CORP.
CONSOLIDATED SALES AND EARNINGS INFORMATION
(Unaudited)
THREE MONTH NINE MONTH
PERIOD PERIOD
ENDED ENDED
Feb. 28, 1999 Feb. 28, 1999
SALES 3,634,957 10,422,602
COST OF SALES 2,722,356 7,831,510
GROSS PROFIT 912,601 2,591,092
ADMINISTRATIVE & SELLING EXPENSE 568,085 1,591,559
OPERATING INCOME 344,516 999,533
NET INCOME BEFORE PROVISION
FOR INCOME TAXES 149,846 442,918
INCOME TAX PROVISION 0 0
NET INCOME 149,846 442,918
INMOLD CORP.
CONSOLIDATED BALANCE SHEET
February 28, 1999
(Selected items)
TOTAL ASSETS 10,274,081
TOTAL LIABILITIES 9,303,897
STOCKHOLDERS' EQUITY 970,184