Cleveland PR Newswire

Press releases from Ohio companies

Preformed Line Products Announces Financial Results for the Third Quarter and First Nine Months of 2009

    MAYFIELD VILLAGE, Ohio, Nov. 2 /PRNewswire-FirstCall/ -- Preformed Line
Products Company (Nasdaq: PLPC) today reported financial results for the
third quarter and the first nine months of 2009.

    Net income for the quarter ended September 30, 2009 was $6,320,000, or
$1.19 per diluted share, compared to $6,423,000, or $1.22 per diluted
share, for the comparable period in 2008. Currency exchange rates had a
negative impact on net income of $359,000.

    Net sales in the third quarter of 2009 were $69,132,000, a decrease of
7% from sales of $73,952,000 in the third quarter of 2008. Net sales
decreased only 1% excluding the negative impact of currency exchange rates
of $3,965,000.

    Net income for the nine months ended September 30, 2009 decreased 15%
to $12,626,000, or $2.38 per diluted share, compared to $14,862,000, or
$2.78 per diluted share for the comparable period in 2008. Currency
exchange rates negatively impacted net income for the first nine months of
2009 by $1,205,000. Net income in 2008 included a net gain of $461,000, or
$.09 per diluted share, on the sale of Superior Modular Products Company
("SMP"), a former wholly owned domestic subsidiary.

    Net sales decreased 10% to $187,394,000 for the first nine months of
2009 compared to $209,179,000 in the first nine months of 2008. Net sales
decreased 2% for the first nine months excluding the negative impact of
currency exchanges rates of $18,639,000.

    Rob Ruhlman, Chairman and Chief Executive Officer, said, "I believe our
results are admirable considering the state of the world economy during
this past year. Excluding the impact of currency when foreign statements
are translated into U.S. dollars, net income was up 4% for the quarter.
When the currency impact and discontinued operations are excluded from the
first nine months, net income was down only 2%."

    Founded in 1947, Preformed Line Products is an international designer
and manufacturer of products and systems employed in the construction and
maintenance of overhead and underground networks for energy, communications
and broadband network companies.

    Preformed's world headquarters are in Cleveland, Ohio, and the Company
operates three domestic manufacturing centers located in Rogers, Arkansas,
Albuquerque, New Mexico, and Albemarle, North Carolina. The Company serves
its worldwide market through international operations in Australia, Brazil,
Canada, China, England, Mexico, New Zealand, Poland, South Africa, Spain
and Thailand.

    This news release contains "forward-looking statements" within the
meaning of Section 27A of the Securities Act of 1933 and Section 21E of the
Securities Exchange Act of 1934 regarding the Company, including those
statements regarding the Company's and management's beliefs and
expectations concerning the Company's future performance or anticipated
financial results, among others. Except for historical information, the
matters discussed in this release are forward-looking statements that
involve risks and uncertainties which may cause results to differ
materially from those set forth in those statements. Among other things,
factors that could cause actual results to differ materially from those
expressed in such forward-looking statements include the strength of the
economy and demand for the Company's products, increases in raw material
prices, the Company's ability to identify, complete and integrate
acquisitions for profitable growth, and other factors described under the
headings "Risk Factors" and "Forward-Looking Statements" in the Company's
2008 Annual Report on Form 10-K filed with the SEC on March 13, 2009. The
Annual Report on Form 10-K and the Company's other filings with the SEC can
be found on the SEC's website at http://www.sec.gov. The Company assumes no
obligation to update or supplement forward-looking statements that become
untrue because of subsequent events.





                     PREFORMED LINE PRODUCTS COMPANY
                   STATEMENTS OF CONSOLIDATED OPERATIONS
                               (UNAUDITED)

                                          Three month        Nine month
                                         periods ended      periods ended
      Thousands, except per share data   September 30,      September 30,
                                         --------------     --------------
                                         2009     2008      2009      2008
                                         ----     ----      ----      ----

      Net sales                        $69,132  $73,952  $187,394  $209,179
      Cost of products sold             44,518   48,489   124,352   141,034
                                        ------   ------   -------   -------
          GROSS PROFIT                  24,614   25,463    63,042    68,145

      Costs and expenses
        Selling                          5,750    6,119    16,640    17,879
        General and administrative       8,609    7,506    23,032    22,553
        Research and engineering         2,411    2,218     6,631     6,545
        Other operating (income)
         expenses - net                   (337)     462      (359)      605
                                          ----      ---      ----       ---
                                        16,433   16,305    45,944    47,582
                                         -----    -----    ------    ------
          OPERATING INCOME               8,181    9,158    17,098    20,563

      Other income (expense)
        Interest income                     95      225       307       655
        Interest expense                  (153)    (138)     (369)     (415)
        Other income (expense)             326      176       983       196
                                           ---      ---       ---       ---
                                           268      263       921       436
                                           ---      ---       ---       ---

          INCOME BEFORE INCOME TAXES
           AND DISCONTINUED OPERATIONS   8,449    9,421    18,019    20,999

      Income taxes                       2,190    2,807     5,501     6,604
                                         -----    -----     -----     -----

          INCOME FROM CONTINUING
           OPERATIONS, NET OF TAX        6,259    6,614    12,518    14,395

      Income from discontinued
       operations, net of tax                -      (34)        -       735

          NET INCOME                     6,259    6,580    12,518    15,130

          Less net income (loss)
           attributable to
           noncontrolling interests,
           net of tax                      (61)     157      (108)      268
                                           ---      ---      ----       ---

          NET INCOME ATTRIBUTABLE TO
           PLPC                         $6,320   $6,423   $12,626   $14,862
                                        ======   ======   =======   =======

      BASIC EARNINGS PER SHARE
      Income per share from continuing
       operations attributable to
       PLPC common shareholders          $1.21    $1.24     $2.41     $2.67
                                         =====    =====     =====     =====
      Discontinued operations
       attributable to PLPC common
       shareholders                         $-   $(0.01)       $-     $0.14
                                            ==   ======        ==     =====
      Net income attributable to PLPC
       common shareholders               $1.21    $1.23     $2.41     $2.81
                                         =====    =====     =====     =====
      DILUTED EARNINGS PER SHARE
      Income per share from continuing
       operations attributable to
       PLPC common shareholders          $1.19    $1.23     $2.38     $2.64
                                         =====    =====     =====     =====
      Discontinued operations
       attributable to PLPC common
       shareholders                         $-   $(0.01)       $-     $0.14
                                            ==   ======        ==     =====
      Net income attributable to PLPC
       common shareholders               $1.19    $1.22     $2.38     $2.78
                                         =====    =====     =====     =====

      Cash dividends declared per share  $0.20    $0.20     $0.60     $0.60
                                         =====    =====     =====     =====

      Weighted-average number of shares
       outstanding - basic               5,235    5,218     5,231     5,298
                                         =====    =====     =====     =====

      Weighted-average number of shares
       outstanding - diluted             5,316    5,269     5,309     5,345
                                         =====    =====     =====     =====

      Amount attributable to PLPC common
       shareholders:
        Income from continuing
         operations, net of tax         $6,320   $6,457   $12,626   $14,127
        Discontinued operations, net
         of tax                              -      (34)        -       735
                                            --      ---        --       ---
        Net Income                      $6,320   $6,423   $12,626   $14,862
                                        ======   ======   =======   =======



                     PREFORMED LINE PRODUCTS COMPANY
                       CONSOLIDATED BALANCE SHEETS
                               (UNAUDITED)

                                           September 30,  December 31,
    Thousands of dollars, except share          2009          2008
     and per share data                         ----          ----

    ASSETS
    Cash and cash equivalents                 $35,520       $19,869
    Accounts receivable, less allowances
     of $920 ($972 in 2008)                    45,937        36,899
    Inventories - net                          48,439        48,412
    Deferred income taxes                       2,184         2,786
    Prepaids and other                          5,242         4,704
                                                -----         -----
        TOTAL CURRENT ASSETS                  137,322       112,670

    Property and equipment - net               61,124        55,940
    Patents and other intangibles - net         3,505         3,858
    Goodwill                                    6,436         5,520
    Deferred income taxes                       5,885         6,943
    Other assets                                7,072         5,944
                                                -----         -----

        TOTAL ASSETS                         $221,344      $190,875
                                             ========      ========

    LIABILITIES AND SHAREHOLDERS' EQUITY

    Notes payable to banks                     $3,301        $3,101
    Current portion of long-term debt             967           494
    Trade accounts payable                     17,188        14,632
    Accrued compensation and amounts withheld
     from employees                            10,221         6,606
    Accrued expenses and other liabilities     13,222        10,415
                                               ------        ------
        TOTAL CURRENT LIABILITIES              44,899        35,248

    Long-term debt, less current portion        3,441         2,653
    Other noncurrent liabilities and deferred
     income taxes                              14,206        15,973

    SHAREHOLDERS' EQUITY
    PLPC shareholders' equity:
      Common shares - $2 par value, 15,000,000
       shares authorized, 5,234,039 and
       5,223,830 issued and outstanding, net
       of 554,059 and 551,059 treasury shares
       at par, respectively                    10,468        10,448
      Paid in capital                           5,369         3,704
      Retained earnings                       156,086       146,624
      Accumulated other comprehensive loss    (13,549)      (24,511)
                                              -------       -------
        TOTAL PLPC SHAREHOLDERS' EQUITY       158,374       136,265
                                              -------       -------
    Noncontrolling interest                       424           736
                                                  ---           ---
        TOTAL SHAREHOLDERS' EQUITY            158,798       137,001
                                              -------       -------

        TOTAL LIABILITIES AND SHAREHOLDERS'
         EQUITY                              $221,344      $190,875
                                             ========      ========