Franklin announces first quarter results

April 1997

Pump Industry Analyst

FRANKLIN ANNOUNCES QUARTER

FIRST

RESULTS

Franklin Electric Co Inc has reported first quarter net income of US$3.2 million, an increase of 6 per cent from US$3.0 million reported for the same period a year ago. During the first quarter, the company also completed a 500 000 share repurchase plan. First quarter net income was US$0 49 per share, a 9 per cent increase over US$0.45 per share in the first quarter of 1996. Sales for the first quarter of 1997 were US$64.2 million, a 2 per cent increase over 1996 sales of US$62.8 million. William H Lawson, chairman and chief executive officer, stated, 'I am pleased with our first quarter results. Our positive earnings momentum continues. It is noteworthy that earnings increased at a faster pace than sales. This is the result of the growing strength of our worldwide operations. I remain prudently optimistic about 1997. At the end of the first quarter we are on track with our 1997 Business Plan, but recognize that success is never guaranteed.' IDP FORMS

GLOBAL

ALLIANCE

WITH

KODAK Ingersoll-Dresser Pump C o m p a n y has formed a global alliance with Eastman K o d a k Company, under which IDP will supply Rochester, N e w York-based Kodak with new equipment, parts, repairs, resident engineering support and training for IDP C o m p a n y products. These include end suction water pumps, chemical, paperstock and API process pumps as well as single and

multistage axially split and vertical wet-pit pumps. The three year agreement covers existing Eastman Kodak Company plants in the USA, Canada, Mexico, Brazil, the UK, France and Australia. Any new plants that may open within the time frame will also be covered. The Rochester facility will be supplied by a local IDP distributor. The value of the deal was not disclosed. DRESSER

CREATES

INTEGRATED SERVICES

AND

from the 3000 000 authorized in April 1996 and July 1996. The balance available for repurchase from these two authorizations is 319 800 shares, which will be completed before authorization

this current commences.

The company currently has approximately 27.0 million shares outstanding. Watts Industries lnc designs, manufactures and sells a broad line of valves for the plumbing and heating, water quality, industrial, steam and oil and gas markets.

SOLUTIONS COMPANY

EG&G ANNOUNCES FIRST QUARTER

Dresser Industries Inc has formed a new worldwide integrated services and solutions company. Dresser Kellogg Energy Services will have operating offices in the UK, the USA, the Far East and Latin America and will employ approximately 1000 people. The new company will provide a single Dresser interface for energy companies looking for integrated services and solutions to the entire hydrocarbon recovery process. DKES will manage and facilitate the participation of all Dresser divisions on an integrated basis in upstream markets from well construction to the refining gate.

RESULTS E G & G Inc has reported first quarter earnings from continuing operations of US$0.21 per share, compared with US$0.25 per share for the same period in 1996. Operating income from continuing operations was US$16.6 million in the first quarter,

compared

with

US$19.9 million in the first quarter of 1996.

TIMKEN ANNOUNCES QUARTER

crease is attributed to sales

quarter

US$41.1 million, a 22 per cent gain over the year earlier net

net

income

CE FRANKLIN ACQUIRES

TWO

VALVE COMPANIES

was

income of US$33.6 million. Earnings per share in the first quarter were US$1.32 compared with US$1.07 in 1996. SULZER

The board of directors of Watts Industries Inc has authorized the company to repurchase up to an additional 500 000 shares of its class A c o m m o n stock from time-to-time through open market and private purchases during the next twelve months. The company had previously repurchased 2680 200 shares

Z

ended 31 M a r c h 1997 show that net sales grew to US$640.6 million, up from the record US$596 million reported a year earlier. A significant part of the in-

increased income for the Me-

programs.

<

The Timken C o ' s first quarter results for the period

chanical Components segment, with sales increasing by 5 per cent. The income in-

PROGRAMME

Z

FIRST

RESULTS

from businesses acquired during the past 12 months. First

REPURCHASE

EXTENDS

wholly-owned subsidiary of Hoyle Industries Ltd of North Vancouver, British Columbia, is a value-added distributor of valves, serving the energy, pulp and paper, mining and municipal industries. CE Franklin is a Canadian distributor of supplies to the oil and gas drilling and production industries. Through 37 locations in Western Canada, the company sells pipes, valves, pumps, fittings and maintenance supplies primarily to oil and gas producers.

Continuing demand for aerospace products contributed to

crease was partially offset by continuing cost overruns on certain development

WATTS

C$10 million. Domino Machine Company Limited of Edmonton, Alberta specializes in valves and well-heads while Hoyle Ennotek Ltd, a

QUARTER

FIRST ORDER

INTAKE

UP

F i r s t q u a r t e r 1997 consoli-

C E Franklin of Calgary, Al-

dated order intake by the

berta, Canada has signed

Sulzer Technology

two letters of intent to ac-

ration increased to SFr1642

quire two valve companies

million, up 10 per cent on

Corpo-

for cash.

1996's level or 14 per cent if

The combined annual sales of the companies is in excess of

adjusted

for

divestitures

and acquisitions.

11