OCTOBER 21, 2003 PRESS RELEASE
Published on October 21, 2003
NEWS RELEASE
OCTOBER 21, 2003
FOR IMMEDIATE RELEASE
CONTACT: ANDY L. NEMETH
PATRICK INDUSTRIES, INC.
REPORTS THIRD QUARTER AND NINE-MONTHS RESULTS
Elkhart, Indiana - - - - - Keith V. Kankel, President and
Chief Executive Officer, announced increased earnings for the third quarter
2003. The Company reported net income for the three months ended September 30,
2003 of $228,000, or $.05 per share, compared to net income of $153,000, or $.03
per share, in the same period in 2002. Year to date for 2003 the net loss was
reduced to $647,000, or $.14 per share, compared to net income of $1,059,000, or
$.23 per share, in 2002. Net sales for the quarter ending September 30, 2003
were $70,267,000, or 13.1% less than the $80,848,000 reported in the same period
in 2002. For the nine months ended September 30, 2003, net sales were
$208,502,000, or 12.6% less than the $238,658,000 reported in the same period in
2002. Included in the 2003 operating results is a charge for restructuring of
$235,000, or $.03 per share net of tax, related to the closing of one of the
Company's underperforming cabinet door operating units, as well as a gain on
sale of fixed assets of approximately $158,000, or $.02 per share net of tax,
related to the sale of one of the Company's idle manufacturing facilities.
The Manufactured Housing Industry, which represents 41% of the
Company's sales through September, continued its decline as August shipments for
both the month and year to date were down almost 25% from the 2002 levels.
Alternatively, the Recreational Vehicle Industry, which represents another 32%
of the Company's sales through September, continued its robust pace as shipments
were up almost 2% from the previous year through August. The Company experienced
increased penetration into the industrial and other customer markets, which
represents approximately 27% of the 2003 sales.
Mr. Kankel said, "While shipment levels in the Manufacturing
Housing Industry continue their negative trend, we are pleased to report
improved operating results for the quarter. Our gross profit percentages have
continued to increase on a quarterly basis in 2003 and we have remained diligent
in our efforts to keep operating costs aligned with revenues. As we brace for
the anticipated seasonal decline in sales volume in the fourth quarter, we
continue to focus on strategic growth opportunities and diversification efforts,
as well as new product introductions and capital improvements. This Company is
well positioned to take advantage of any upturn in the markets to which we
serve."
Patrick Industries is a major component products manufacturer
and supplier of building products serving the Manufactured Housing, Recreational
Vehicle, Furniture, Marine, Architectural and Automotive aftermarkets, and
operates coast to coast in 13 states.
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