SANTA ANA, Calif., July 29 /PRNewswire/ -- Ingram Micro Inc. (NYSE:IM)
today announced its financial results for the second quarter ended July 4, 1998.
Net income for the quarter was $55.6 million, or $0.37 earnings per share, exceeding net income in the previous year's quarter by 39 percent. Ingram Micro's results include a noncash compensation charge related to the vested portion of previously granted stock options converted to Ingram Micro stock options. These charges were $0.9 million and $1.4 million, net of tax, in the second quarters of 1998 and 1997, respectively. Excluding these charges, net income for the second quarter of 1998 grew 37 percent to $56.5 million or $0.38 per share.
The company's net sales for the second quarter of 1998 were $4.96 billion, growing 33 percent over the $3.72 billion recorded in the same quarter last year.
For the first six months of 1998, net income was $112.2 million, or $0.75 per share, exceeding net income for the same period in 1997 by 40 percent. For the first six months of 1998 and 1997, the total noncash compensation charges related to stock options were $1.8 million and $2.9 million, net of tax, respectively. Excluding these charges, net income for the first half of 1998 grew 37 percent to $114.0 million or $0.77 per share. The company's net sales in the first half of 1998 grew 37 percent to $10.11 billion.
About Ingram Micro Inc.
Ingram Micro Inc. (NYSE:IM)
, headquartered in Santa Ana, Calif., is the world's leading wholesale distributor of technology products and services, and a leading provider of assembly and integration services, with sales of $19.3 billion for the last four quarters. The company and its affiliates operate in 31 countries, distributing more than 145,000 products to more than 100,000 resellers in 120 countries. Ingram Micro can be found at http://www.ingrammicro.com/.
Ingram Micro is a trademark used under license by Ingram Micro Inc. All other logos, brand names and product names are trademarks of their respective companies.
INGRAM MICRO INC.
CONSOLIDATED BALANCE SHEET
(Dollars in 000s, except per share data)
July 4, January 3,
1998 1998
(Unaudited)
ASSETS
Current assets:
Cash $113,401 $92,212
Trade accounts receivable
(less allowances of
$54,643 in 1998 and
$48,541 in 1997) 1,842,512 1,635,728
Inventories 1,965,551 2,492,646
Other current assets 215,173 225,408
Total current assets 4,136,637 4,445,994
Property and equipment, net 256,617 215,148
Goodwill, net 139,610 142,478
Other 139,586 128,531
Total assets $4,672,450 $4,932,151
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable $2,141,369 $2,415,001
Accrued expenses 257,138 292,515
Current maturities of
long-term debt 14,825 21,869
Total current
liabilities 2,413,332 2,729,385
Long-term debt 1,018,498 1,119,262
Other 29,082 23,843
Total liabilities 3,460,912 3,872,490
Minority interest 5,234 4,862
Commitments and contingencies
Redeemable Class B Common
Stock 8,129 16,593
Stockholders' equity:
Preferred Stock, $0.01 par
value, 1,000,000 shares
authorized; no shares issued
and outstanding -- --
Class A Common Stock, $0.01
par value, 265,000,000 shares
authorized; 40,331,321 and
37,366,389 shares issued and
outstanding in 1998 and 1997,
respectively 403 374
Class B Common Stock, $0.01 par
value, 135,000,000 shares
authorized; 99,281,252 and
99,714,672 shares issued and
outstanding in 1998 and 1997
(including redeemable shares of
1,161,250 and 2,370,400 in 1998
and 1997, respectively) 981 973
Additional paid in capital 534,884 484,912
Retained earnings 678,602 566,441
Cumulative translation
adjustment (16,522) (14,236)
Unearned compensation (173) (258)
Total stockholders'
equity 1,198,175 1,038,206
Total liabilities and
stockholders' equity $4,672,450 $4,932,151
Fiscal 1997 ended on January 3, 1998.
INGRAM MICRO INC.
CONSOLIDATED STATEMENT OF INCOME
(Dollars in 000s, except per share data)
(Unaudited)
Thirteen Weeks Ended Twenty-six Weeks Ended
July 4, June 28, July 4, June 28,
1998 1997 1998 1997
Net sales $4,956,121 $3,716,827 $10,106,209 $7,366,805
Cost of sales 4,640,639 3,474,702 9,460,817 6,889,972
Gross profit 315,482 242,125 645,392 476,833
Operating expenses
excluding noncash
compensation
charge (a) 203,533 161,221 416,144 315,366
Income from operations
before noncash
compensation charge 111,949 80,904 229,248 161,467
Interest and other
expense 17,981 11,215 40,095 20,920
Income before income
taxes, minority
interest and noncash
compensation charge 93,968 69,689 189,153 140,547
Provision for income
taxes 37,219 27,861 74,921 56,683
Income before minority
interest and noncash
compensation charge 56,749 41,828 114,232 83,864
Minority interest 205 412 232 627
Net income before
noncash compensation
charge 56,544 41,416 114,000 83,237
Noncash compensation
charge, net of tax 919 1,448 1,839 2,892
Net income $55,625 $39,968 $112,161 $80,345
Diluted earnings per share:
Before noncash
compensation charge (b) $0.38 $0.28 $0.77 $0.57
After noncash
compensation charge $0.37 $0.27 $0.75 $0.55
Diluted weighted
average shares
outstanding 149,920,808 145,713,553 149,056,866 145,506,701
(a) Operating expenses exclude noncash compensation charges of $1,146 and
$1,734 for the thirteen weeks ended July 4, 1998 and June 28, 1997,
respectively, and $2,294 and $3,547 for the twenty-six weeks ended
July 4, 1998 and June 28, 1997, respectively.
(b) Pro forma diluted earnings per share excludes noncash compensation
charges of $919 and $1,448, net of tax, for the thirteen weeks ended
July4, 1998 and June 28, 1997, respectively, and $1,839 and $2,892 for
the twenty-six weeks ended July 4, 1998 and June 28, 1997, respectively.
Source: Ingram Micro Inc.
Contact: Kimmerly W. Strohm, Investor Relations, 714-382-4400, or
Kirsten Frosh, Media Relations, 714-382-2727, both of Ingram Micro Inc.
Website: http://www.ingrammicro.com/