Robbins & Myers Announces First Quarter Results

Dayton, Ohio (PROTEXT) - Robbins & Myers, Inc. (NYSE: RBN) today reported financial results for the first quarter ended November 30, 1999 in line with expectations. Sales were $93.5 million for the first quarter of fiscal 2000 versus $98.3 million reported for the same period of fiscal 1999. First quarter IBIT was $8.5 million compared to $9.7 million for the first quarter fiscal 1999. First quarter net income was $3.1 million and $4.0 million for fiscal 2000 and fiscal 1999, respectively. Earnings per share on a diluted basis were $.27 compared to $.34 for last fiscal year. Gerald L. Connelly, President and Chief Executive Officer, of Robbins & Myers, Inc., said, "Results for the quarter, while lower than last year, were in line with expectations. We anticipated a weak first quarter due to the extreme softness in order activity experienced in our primary end markets during the second half of last fiscal year and continuing one-time costs associated with last year's plant closure in our Energy Systems segment. " Connelly continued, "On the positive side during the quarter, we saw orders increase approximately 20% to $107.5 million over the fourth quarter level. Backlog grew from $74.3 million to approximately $88 million. The price of oil and natural gas continues to remain strong thus signaling a potential pick up in capital spending for this sector during calendar 2000. Improving capacity utilization rates in the chemical process industries is another encouraging indicator. The strengthened order activity this quarter was across all major product platforms; Reactor Systems, Energy Systems, Industrial Mixing and Industrial Pumps. We remain optimistic that the Company will see improving results in the second half of the fiscal year." The Company also announced the following organizational changes: Stephen R. Ley, Vice President, Finance, and Chief Financial Officer has been appointed President, Chemineer, Inc. a wholly owned subsidiary of Robbins & Myers, Inc. effective January 1, 2000; Kevin J. Brown has been elected Vice President and Chief Financial Officer by the Board of Directors succeeding Mr. Ley and Daniel W. Duval, Vice Chairman, will retire December 31, 1999 following 13 years of service with the Company. Mr. Duval will also resign as a member of the Robbins & Myers Board of Directors. Robbins & Myers, Inc. is an international manufacturer and marketer of superior quality fluid management products and systems serving the process industries including: specialty chemicals, pharmaceuticals, oil and gas exploration, production and pipeline, water treatment, food and beverage, pulp and paper, and mining. Headquartered in Dayton, Ohio, the Company has facilities in the United States, Canada, Europe, Brazil, Mexico, Singapore and joint ventures in China, India, and Taiwan. In addition to historical information, this release contains forward- looking statements and performance trends which are subject to certain risks and uncertainties that could cause actual results to differ materially from these statements and trends. Such factors include, but are not limited to, a significant decline in capital expenditures in specialty chemicals and pharmaceutical industries, a major decline in oil and natural gas prices, foreign exchange rate fluctuations, continued availability of acceptable acquisition candidates and general economic conditions that can affect demand in the process industries. The Company's common stock trades on the New York Stock Exchange under the symbol RBN. ROBBINS & MYERS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED INCOME STATEMENT (Unaudited) Three Months Ended November 30, November 30, (in thousands, except per share data) 1999 1998 Sales $93,499 $98,266 Cost of sales 62,047 64,764 Gross profit 31,452 33,502 Operating expenses 20,844 22,318 Total 10,608 11,184 Amortization expense 1,982 1,860 Other 161 (351) Income before interest and income taxes 8,465 9,675 Interest expense 3,247 3,540 Income before income taxes and minority interest 5,218 6,135 Income tax expense 1,879 2,086 Minority interest 273 - Net income $3,066 $4,049 Net Income Per Share: Basic $0.28 $0.37 Diluted $0.27 $0.34 Weighted Average Common Shares Outstanding: Basic 10,934 10,935 Diluted 13,520 13,593 Backlog $88,333 $99,032 Orders $107,489 $102,510 Note: All known adjustments have been reflected in this report, but the information is subject to annual audit and year- end adjustments which are estimated to be insignificant. ROBBINS & MYERS, INC. AND SUBSIDIARIES CONDENSED BUSINESS SEGMENT INFORMATION (Unaudited) Three Months Ended November 30, November 30, (in thousands) 1999 1998 Sales Process Systems $75,878 $81,320 Energy Sytems 17,621 16,946 Total $93,499 $98,266 IBIT Before Amortization and Other Process Systems $10,125 $11,037 Energy Sytems 2,803 2,277 Corporate and Eliminations (2,320) (2,130) Total $10,608 $11,184 IBIT Process Systems $8,811 $10,103 Energy Sytems 2,151 1,785 Corporate and Eliminations (2,497) (2,213) Total $8,465 $9,675 ROBBINS & MYERS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEET (Unaudited) (in thousands) November 30, 1999 August 31, 1999 ASSETS Current Assets: Cash and cash equivalents $8,372 $8,901 Accounts receivable 77,426 74,900 Inventories 55,572 53,747 Other current assets 11,337 12,824 Deferred taxes 5,433 5,470 Total Current Assets 158,140 155,842 Goodwill & Other Intangible Assets, Net 212,841 214,100 Other Assets 7,886 6,641 Property, Plant & Equipment, Net 113,926 117,269 Total $492,793 $493,852 LIABILITIES AND SHAREHOLDERS' EQUITY Current Liabilities: Accounts payable $25,745 $27,949 Accrued expenses 50,630 54,935 Current portion of long-term debt 618 121 Total Current Liabilities 76,993 83,005 Long-Term Debt - Less Current Portion 193,823 191,151 Other Long-Term Liabilities 66,220 65,470 Shareholders' Equity 155,757 154,226 Total $492,793 $493,852 ots Original Text Service: Robbins & Myers, Inc. Internet: http://www.newsaktuell.de Contact: Hugh E. Becker, Vice President, Investor Relations of Robbins & Myers Tel.: (USA) 937-225-3335 Web site: http://www.robn.com Subscribers please note that material bearing the slug "PROTEXT" is not part of CTK's news service and is not to be published under the "CTK" slug. Protext is a commercial service providing distribution of press releases from clients, who are identified in the text of Protext reports and who bear full responsibility for their contents.