Myers Industries Reports Third Quarter and Nine Month Results
19 October 1999
Myers Industries Reports Third Quarter and Nine Month Results
AKRON, Ohio--Oct. 19, 1999--Myers Industries, Inc. (AMEX:MYE) today announced financial results for the third quarter and nine months ended September 30, 1999.For the three months ended September 30, 1999, net sales of $139,768,838 were 52 percent greater than the $92,196,199 reported in 1998. Net income was $3,966,769, a 19 percent decrease from the $4,917,730 in last year's third quarter. Net income per share, adjusted for the 10 percent stock dividend paid in August, was down 17 percent, finishing at $.20 compared with $.24 in the third quarter a year ago.
For the nine months ended September 30, 1999, net sales of $414,158,294 were up 47 percent over the $281,501,941 reported for the same period in 1998. Net income was $21,401,751, a 10 percent increase from net income of $19,505,667 a year ago. Net income per share was $1.06, a 9 percent increase from the $.97 reported for the comparable period last year.
Commenting on the company's performance, Myers Industries President and Chief Executive Officer Stephen E. Myers said, "We continued to experience strong growth in sales for our manufacturing segment while our distribution segment was down slightly. Excluding contributions from acquisitions, total net sales would have increased 3 percent for the quarter and 4 percent for the nine months.
"While our recently acquired companies will be accretive to earnings over a 12-month period, the seasonal nature of their businesses has accentuated our own third quarter slowdown. We are also feeling pressure from plastic resin prices, which have risen substantially during the year."
In the Company's manufacturing segment, sales increased 92 percent over last year's third quarter results and 76 percent over the comparable nine months. Excluding acquisitions, sales in the manufacturing segment increased 6 percent for the quarter and 7 percent for the nine months.
Sales in the distribution segment were down 2 percent compared with 1998 third quarter results. Margins on sales, however, increased due to a favorable product mix. For the nine-month period, sales in the distribution segment increased 1 percent compared with 1998.
Myers Industries, Inc., headquartered in Akron, Ohio, is an international manufacturer of polymer and metal products for industrial, agricultural, automotive, commercial, and consumer markets. The Company is also the largest wholesale distributor of tools, equipment, and supplies for the tire service and automotive underbody repair industry in the United States.
Myers Industries, Inc.
CONDENSED STATEMENT OF INCOME
Quarter Ended Nine Months Ended
September 30, September 30,
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1999 1998 1999 1998
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Net Sales $139,768,838 $92,196,199 $414,158,294 $281,501,941
Cost of Sale 91,513,996 61,714,821 264,524,814 185,577,303
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Gross Profit 48,254,842 30,481,378 149,633,480 95,924,638
Operating Expenses 36,113,558 21,681,702 101,338,599 62,146,677
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Operating Income 12,141,284 8,799,676 48,294,881 33,777,961
Interest Expense 4,482,515 437,946 10,239,130 732,294
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Income Before Income
Taxes 7,658,769 8,361,730 38,055,751 33,045,667
Income Taxes 3,692,000 3,444,000 16,654,000 13,540,000
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Net Income $3,966,769 $4,917,730 $21,401,751 $19,505,667
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Net Income Per Share(a) $.20 $.24 $1.06 $.97
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Average Shares
Outstanding(a) 20,242,996 20,142,365 20,217,527 20,127,063
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CONDENSED STATEMENT OF FINANCIAL POSITION
As of September 30, 1999 and 1998
1999 1998
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Assets
Current Assets $208,524,492 $113,225,618
Other Assets 215,767,240 37,390,442
Property, Plant,
and Equipment 182,511,365 105,703,665
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$606,803,097 $256,319,725
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Liabilities and
Shareholders' Equity
Current Liabilities $88,608,657 $41,554,726
Long Term Debt 293,444,295 16,880,644
Deferred Income Taxes 4,494,521 3,947,992
Shareholders' Equity 220,255,624 193,936,363
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$606,803,097 $256,319,725
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(a) Adjusted for a ten percent stock dividend paid in August, 1999.