United Capital Corp. Reports Second Quarter and Six Months Results

9 August 2000

United Capital Corp. Reports Second Quarter and Six Months Results

    GREAT NECK, NY - United Capital Corp. today reported results for the three months ended June 30, 2000. Total revenues for the period were $16,070,000 versus $14,713,000 during the three months ended June 30, 1999. Operating income during this period was $3,724,000 versus $3,018,000 for the comparable period in 1999, an increase of $706,000 or 23%. Net income was $3,821,000 or $.81 per basic share for the second quarter of 2000 versus $2,576,000 or $.51 per basic share for the same period in 1999, representing a 59% increase in earnings per basic share over the prior year.

    Total revenues for the first six months of 2000 were $31,168,000 resulting in operating income of $6,873,000 versus revenues of $28,888,000 and operating income of $5,026,000 during the comparable 1999 period. Net income for the six month period was $7,502,000 or $1.58 per basic share in 2000 versus, $6,162,000 or $1.22 per basic share in 1999, an increase in basic earnings per share of approximately 30%.

    In commenting on these results, A.F. Petrocelli, Chairman of United Capital Corp., noted that the Company's real estate operations have continued to perform well. Operating income from real estate operations increased $511,000 or 17% and $1,255,000 or 23% respectively, for the three and six month periods ended June 30, 2000 versus the comparable 1999 periods. The increases in operating income for the three and six month periods are primarily due to increased rental revenues, reduced interest expense resulting from continued mortgage amortization and a reduction in real estate operating expenses. Lower depreciation expense associated with properties sold in 2000 and 1999 also contributed favorably to this segments' operating results.

    Operating profit from the engineered products segment increased approximately 21% and 31% respectively, for the three and six month periods ended June 30, 2000 compared to the corresponding 1999 periods. These increases are primarily the result of increased sales from this segment which rose 15% and 11% respectively during the three and six month periods ended June 30, 2000, as compared to the same periods in 1999.

    United Capital Corp. owns and manages real estate and through subsidiaries, provides engineered products to industrial and automotive markets worldwide.


                UNITED CAPITAL CORP. AND SUBSIDIARIES
                  CONSOLIDATED FINANCIAL HIGHLIGHTS
                              UNAUDITED

(000's omitted except per share data)                              

                       Three Months Ended Six Months Ended
                        6/30/00  6/30/99  6/30/00  6/30/99

Revenues                $16,070  $14,713  $31,168  $28,888

Operating Income         $3,724   $3,018   $6,873   $5,026

Other Income             $2,932   $1,473   $6,019   $5,621

Provision for
 Income Taxes            $2,835   $1,915   $5,390   $4,485

Net Income               $3,821   $2,576   $7,502   $6,162


Earnings Per Share:

Basic                      $.81     $.51    $1.58    $1.22

Diluted                    $.81     $.51    $1.58    $1.22

Weighted Average Shares:

Basic                     4,731    5,011    4,734    5,053

Diluted                   4,744    5,031    4,752    5,076