For further information, contact: | Don Pearson |
Vice President & CFO | |
847.394.8730 |
AMCOL INTERNATIONAL CORPORATION (NYSE:ACO)
REPORTS THIRD QUARTER EARNINGS
ARLINGTON HEIGHTS, IL., OCTOBER 17, 2008—AMCOL International Corporation (NYSE:ACO) today reported 2008 third-quarter income from continuing operations of $18.6 million or $0.60 per diluted share, compared with $20.1 million or $0.65 per diluted share in the same prior-year period. Operating profit in the 2007 quarter benefited from a $2.4 million gain on the sales of vacant land in the U.S., or $.06 per diluted share. Hurricanes in the Gulf of Mexico negatively impacted 2008 third quarter earnings by an estimated $.03 per diluted share.
Net sales from continuing operations rose 24.3% to $253.0 million for the quarter ended September 30, 2008, compared with $203.6 million for the 2007 period. Acquisitions and favorable foreign currency translation represented approximately $9.1 million and $3.2 million, respectively, of the third-quarter sales growth. Operating profit increased by 5.2% over the 2007 period to $27.4 million. Acquisitions and foreign currency translation each contributed $0.7 million to current-period operating profit.
For the nine-month period ended September 30, 2008, income from continuing operations was $45.1 million, or $1.45 per diluted share, compared with $46.2 million, or $1.49 per diluted share in the prior-year period. Net income for the nine-month period ended September 30, 2008, was $45.1 million, or $1.45 per diluted share compared with $46.0 million, or $1.48 per diluted share in the prior-year period, which includes a $.01 charge for discontinued operations.
Net sales from continuing operations for the nine-month period ended September 30, 2008, rose 23.4 % to $678.3 million, compared with $549.8 million for the 2007 period. Acquisitions and favorable foreign currency translation represented approximately $23.6 million and $12.8 million, respectively, of the sales growth. Operating profit improved by 6.2% over the 2007 period to $63.5 million. Current-year operating profit includes earnings from acquisitions and favorable foreign currency translation of $2.1 million and $2.0 million, respectively.
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AMCOL Q3 2008 EARNINGS
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This release should be read in conjunction with the attached unaudited condensed consolidated financial statements. Further discussion of items and events impacting earnings are included later in this press release.
“We are pleased to report another quarter of solid sales growth across the company,” says Larry Washow, AMCOL President and Chief Executive Officer. “However we did see significant margin erosion in the Oilfield Services segment where hurricanes and product mix combined to reduce our margins.”
“Environmental segment gross margins were down slightly as well due to product mix but operating margins reflected the strong seasonal results,” Washow added.
“Minerals segment gross margins still require improvement but increased compared to the second quarter 2008 results and we did report an increase in operating margins this quarter as well. We expect continuing improvement in this segment,” Washow stated.
“Corporate and overhead expenses were up but at a lower rate than previous quarters. The majority of the increase is related to IT costs and increased benefits expenses,” Washow concluded.
STATEMENT OF OPERATIONS HIGHLIGHTS:
Net sales: The following details the consolidated sales growth components for each operating segment over the 2007 third quarter:
Minerals: Approximately one-third of the revenue increase in the Minerals segment is due to price increases, principally in the U.S., and to a lesser extent in Asia-Pacific. Base business growth was driven by increased volume from our South African chrome operations, increased demand for Asia-Pacific metalcasting and specialty products and increased sales of products used in the U.S. petroleum industry.
Environmental: Increased demand for lining technology product lines in the U.S. and Asian markets and installation services in Poland were the largest contributors to base business growth in the quarter.
Oilfield Services: Base business growth was driven by both the expansion of domestic land-based well testing services and increased demand for nitrogen services in pipeline applications. The hurricanes in the Gulf of Mexico impacted the demand and product mix resulting in a higher percentage of land based services in the quarter. Sales from acquisitions were from Premium Reeled Tubing (“PRT”).
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AMCOL Q3 2008 EARNINGS
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Transportation: Traffic levels increased over the prior-year quarter due to higher demand from consumer products shippers.
Gross profit: Sales growth provided the increase in gross profit; however, gross margin was 25.1%, a 160 basis point decline from the 2007 quarter, principally due to a decline in the Oilfield Services segment gross margins.
Minerals: Gross margin of 17.7% declined 130 basis points compared to the prior-year quarter is primarily attributed to rising energy and raw material costs in addition to lower margins at new business initiatives in China and South Africa, offset by pricing initiatives. Gross margins improved 60 basis points over the 2008 second quarter.
Environmental: Gross margin of 33.0% was comparable to the prior-year quarter.
Oilfield Services: Gross margin of 32.8% declined 500 basis points compared to the prior-year quarter. Product mix in the U.S., and the effect of two hurricanes in September in the Gulf of Mexico negatively impacted gross margins and were partially offset by improved gross margins in overseas markets. Gross margins declined from the second quarter 2008 by 900 basis points due to the impact of the hurricanes as previously described.
Transportation: Gross margin of 10.5% was comparable to the prior-year quarter.
General, selling and administrative expenses (GS&A): GS&A expenses increased $7.9 million, a 28.0% increase over the 2007 third quarter. The 2007 third quarter includes the benefit of a $2.4 million gain on the sale of vacant land. Excluding this benefit, GS&A would have increased by $5.5 million, or 18.0%.
Environmental: GS&A increased $3.2 million, a 31% increase over the 2007 quarter. The 2007 third quarter includes the benefit of a $2.4 million gain on the sale of vacant land, as described earlier. Excluding this benefit, GS&A would have increased by $.8 million, or 6.5%.
Oilfield Services: GS&A increased $1.9 million over the prior-year quarter due to the PRT acquisition in the second quarter and increases in employee costs.
Corporate: GS&A increased $1.2 million due to increasing benefit costs and IT expenses resulting from infrastructure investments.
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AMCOL Q3 2008 EARNINGS
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Operating profit: Operating profit increased $1.4 million, a 5.2% increase. Excluding the 2007 third quarter gain on the sale of vacant land, previously mentioned in the release, operating profit would have increased $3.8 million, or 15.9%.
Interest expense: Net interest expense increased by approximately $1.0 million over the prior-year quarter due to higher average debt levels.
Other, net: Other, net increased $.9 million, principally due to foreign currency transactions, impacted by the substantial strengthening of the U.S. dollar in the current period.
Income taxes: The effective tax rate for the third quarter of 2008 was 25.1% compared to 20.7% for the same period in 2007. Favorable adjustments to contingency reserves reduced the effective tax rate in both the 2008 and 2007 quarters. These adjustments benefited quarterly income by approximately $1.0 million each year. Excluding these adjustments, the effective tax rate would have been 30.1% and 24.9% in the 2008 and 2007 third quarter, respectively, which reflects a greater percentage of income generated in our U.S. based businesses.
Income from joint ventures: Income from our joint ventures, primarily our India-based investments, remained relatively consistent versus the prior period.
Share count: Weighted average common and common equivalent shares outstanding were 31.1 million and 30.9 million for the quarters ended September 30, 2008 and 2007, respectively.
FINANCIAL POSITION AND CASH FLOW HIGHLIGHTS:
Long-term debt increased to $287.6 million at September 30, 2008 compared to $164.2 million at December 31, 2007. The increase was primarily due to funding acquisitions, increased working capital levels and capital expenditures. Total long-term debt represented 42.9% of capitalization at September 30, 2008, compared with 31.8% at December 31, 2007. Cash and cash equivalents were $33.6 million at September 30, 2008 compared with $25.3 million at December 31, 2007.
Working capital increased to $280.1 million at September 30, 2008 from $202.5 million at December 31, 2007. The current ratio was 3.3-to-1 and 3.0-to-1 at September 30, 2008, and December 31, 2007, respectively.
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AMCOL Q3 2008 EARNINGS
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Cash flow provided from operating activities was $2.6 million year-to-date as of September 30, 2008 compared to $42.0 million in cash generated in the prior-year period. The increase in working capital caused the decline in operating cash flows compared with the prior-year period, principally due to an increase in accounts receivables and inventories.
Excluding the construction of the new corporate building, acquisitions were the primary investing activity in the 2008 nine month period amounting to $42.5 million, largely due to the PRT acquisition compared with $38.8 million in the prior-year period. Capital expenditures in the 2008 period amounted to $29.7 million compared with $36.3 million in the prior-year period.
Approximately $2.0 million has been expended on share repurchases thru September 30, 2008, with $6.6 million remaining under the previously announced share repurchase program. Eighty thousand shares were repurchased at an average price of $25.45 per share. Dividends declared year-to-date through September 30, 2008, increased by 14.8% over the prior-year period to $15.1 million.
This release contains certain forward-looking statements regarding AMCOL’s expected performance for future periods and actual results for such periods might materially differ. Such forward-looking statements are subject to uncertainties, which include, but are not limited to, actual growth in AMCOL’s various markets, utilization of AMCOL’s plants, currency exchange rates, currency devaluation, delays in development, production and marketing of new products, integration of acquired businesses, and other factors detailed from time to time in AMCOL’s annual report and other reports filed with the Securities and Exchange Commission. AMCOL undertakes no duty to update any forward-looking statement to conform the statement to actual results or changes in AMCOL’s expectations.
AMCOL International, headquartered in Arlington Heights, IL, produces and markets a wide range of specialty mineral products used for industrial, environmental and consumer-related applications. AMCOL is the parent of American Colloid Co., CETCO (Colloid Environmental Technologies Company), CETCO Oilfield Services Company and the transportation operations, Ameri-co Carriers, Inc. and Ameri-co Logistics, Inc. AMCOL’s common stock is traded on the New York Stock Exchange under the symbol ACO. AMCOL’s web address is www.amcol.com. AMCOL’s third quarter conference call will be available live today at 11 a.m. EDT on the AMCOL website or by dialing (877) 718-5095.
Financial tables follow.
AMCOL INTERNATIONAL CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited)
(In thousands, except per share data)
Nine Months Ended September 30, | Three Months Ended September 30, | ||||||||||||
2008 | 2007 | 2008 | 2007 | ||||||||||
Net sales | $ | 678,304 | $ | 549,780 | $ | 253,048 | $ | 203,598 | |||||
Cost of sales | 505,727 | 402,190 | 189,481 | 149,298 | |||||||||
Gross profit | 172,577 | 147,590 | 63,567 | 54,300 | |||||||||
General, selling and administrative expenses | 109,061 | 87,756 | 36,214 | 28,297 | |||||||||
Operating profit | 63,516 | 59,834 | 27,353 | 26,003 | |||||||||
Other income (expense): | |||||||||||||
Interest expense, net | (8,642 | ) | (6,506 | ) | (3,404 | ) | (2,409 | ) | |||||
Other, net | (1,475 | ) | (1,000 | ) | (1,763 | ) | (830 | ) | |||||
(10,117 | ) | (7,506 | ) | (5,167 | ) | (3,239 | ) | ||||||
Income before income taxes and income from affiliates and joint ventures | 53,399 | 52,328 | 22,186 | 22,764 | |||||||||
Income tax expense | 13,950 | 12,205 | 5,567 | 4,704 | |||||||||
Income before income from affiliates and joint ventures | 39,449 | 40,123 | 16,619 | 18,060 | |||||||||
Income from affiliates and joint ventures | 5,614 | 6,118 | 1,971 | 2,086 | |||||||||
Income from continuing operations | 45,063 | 46,241 | 18,590 | 20,146 | |||||||||
(Loss) Income from discontinued operations | - | (286 | ) | - | - | ||||||||
Net income | $ | 45,063 | $ | 45,955 | $ | 18,590 | $ | 20,146 | |||||
Weighted average common shares outstanding | 30,405 | 30,146 | 30,540 | 30,130 | |||||||||
Weighted average common and common equivalent shares outstanding | 30,993 | 30,934 | 31,129 | 30,887 | |||||||||
Basic earnings per share: | |||||||||||||
Continuing operations | $ | 1.48 | $ | 1.53 | $ | 0.61 | $ | 0.67 | |||||
Discontinued operations | - | (0.01 | ) | - | - | ||||||||
Basic earnings per share | $ | 1.48 | $ | 1.52 | $ | 0.61 | $ | 0.67 | |||||
Diluted earnings per share: | |||||||||||||
Continuing operations | $ | 1.45 | $ | 1.49 | $ | 0.60 | $ | 0.65 | |||||
Discontinued operations | - | (0.01 | ) | - | - | ||||||||
Diluted earnings per share | $ | 1.45 | $ | 1.48 | $ | 0.60 | $ | 0.65 | |||||
Dividends declared per share | $ | 0.50 | $ | 0.44 | $ | 0.18 | $ | 0.16 |
AMCOL INTERNATIONAL CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
September 30, 2008 (unaudited) | December 31, 2007 * | ||||||
ASSETS | |||||||
Current assets: | |||||||
Cash and equivalents | $ | 33,646 | $ | 25,282 | |||
Accounts receivable, net | 224,854 | 166,835 | |||||
Inventories | 116,898 | 91,367 | |||||
Prepaid expenses | 15,088 | 13,529 | |||||
Deferred income taxes | 5,589 | 4,374 | |||||
Income tax receivable | - | 2,768 | |||||
Other | 7,345 | 475 | |||||
Total current assets | 403,420 | 304,630 | |||||
Investments in and advances to affiliates and joint ventures | 63,668 | 49,309 | |||||
Property, plant, equipment, mineral rights and reserves: | |||||||
Land and mineral rights | 20,807 | 21,394 | |||||
Depreciable assets | 406,707 | 352,100 | |||||
427,514 | 373,494 | ||||||
Less: accumulated depreciation and depletion | 212,436 | 196,904 | |||||
215,078 | 176,590 | ||||||
Other assets: | |||||||
Goodwill | 73,700 | 59,840 | |||||
Intangible assets, net | 53,456 | 41,257 | |||||
Deferred income taxes | 4,527 | 5,513 | |||||
Other assets | 15,093 | 15,007 | |||||
146,776 | 121,617 | ||||||
$ | 828,942 | $ | 652,146 | ||||
LIABILITIES AND STOCKHOLDERS' EQUITY | |||||||
Current liabilities: | |||||||
Accounts payable | $ | 55,779 | $ | 44,274 | |||
Accrued liabilities | 67,537 | 57,833 | |||||
Total current liabilities | 123,316 | 102,107 | |||||
Long-term debt | 266,926 | 164,232 | |||||
Long-term debt - corporate building | 20,692 | - | |||||
Total long-term debt | 287,618 | 164,232 | |||||
Minority interests in subsidiaries | 1,513 | 327 | |||||
Pension liabilities | 9,649 | 9,576 | |||||
Deferred compensation | 7,640 | 7,559 | |||||
Other liabilities | 17,087 | 16,022 | |||||
35,889 | 33,484 | ||||||
Stockholders’ equity: | |||||||
Common stock | 320 | 320 | |||||
Additional paid in capital | 85,672 | 81,599 | |||||
Retained earnings | 288,084 | 258,164 | |||||
Accumulated other comprehensive income | 26,518 | 33,248 | |||||
400,594 | 373,331 | ||||||
Less: | |||||||
Treasury stock | 18,475 | 21,008 | |||||
382,119 | 352,323 | ||||||
$ | 828,942 | $ | 652,146 |
* Condensed from audited financial statements.
AMCOL INTERNATIONAL CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited)
(In thousands)
Nine Months Ended September 30, | |||||||
2008 | 2007 | ||||||
Cash flow from operating activities: | |||||||
Net income | $ | 45,063 | $ | 45,955 | |||
Adjustments to reconcile net income to net cash | |||||||
provided by (used in) operating activities: | |||||||
Depreciation, depletion, and amortization | 24,872 | 21,688 | |||||
Other non - cash charges | (2,469 | ) | (9,102 | ) | |||
Changes in assets and liabilities, net of effects of acquisitions: | |||||||
Decrease (Increase) in current assets | (86,237 | ) | (44,716 | ) | |||
Decrease (Increase) in noncurrent assets | 496 | (1,620 | ) | ||||
Increase (decrease) in current liabilities | 20,116 | 23,435 | |||||
Increase (decrease) in noncurrent liabilities | 788 | 6,382 | |||||
Net cash provided by (used in) operating activities | 2,629 | 42,022 | |||||
Cash flow from investing activities: | |||||||
Capital expenditures | (29,686 | ) | (36,319 | ) | |||
Capital expenditures - corporate building | (14,273 | ) | (1,258 | ) | |||
Acquisitions, net of cash | (42,549 | ) | (38,783 | ) | |||
Investments in and advances to affiliates and joint ventures | (10,993 | ) | (7,369 | ) | |||
Advances to non - affiliates | (6,000 | ) | - | ||||
Proceeds from sale of land and depreciable assets | 772 | 6,636 | |||||
Investments in restricted cash | (1,796 | ) | (856 | ) | |||
Other | (1,169 | ) | (173 | ) | |||
Net cash used in investing activities | (105,694 | ) | (78,122 | ) | |||
Cash flow from financing activities: | |||||||
Net change in outstanding debt | 105,495 | 50,368 | |||||
Net change in outstanding debt - corporate building | 20,692 | - | |||||
Proceeds from sales of treasury stock | 1,550 | 2,574 | |||||
Purchases of treasury stock | (2,062 | ) | (6,115 | ) | |||
Dividends | (15,143 | ) | (13,194 | ) | |||
Excess tax benefits from stock-based compensation | 1,087 | 1,463 | |||||
Net cash provided by financing activities | 111,619 | 35,096 | |||||
Effect of foreign currency rate changes on cash | (190 | ) | 3,972 | ||||
Net increase (decrease) in cash and cash equivalents | 8,364 | 2,968 | |||||
Cash and cash equivalents at beginning of period | 25,282 | 17,805 | |||||
Cash and cash equivalents at end of period | $ | 33,646 | $ | 20,773 |
AMCOL INTERNATIONAL CORPORATION
SEGMENT RESULTS (unaudited)
QUARTER-TO-DATE
Three Months Ended September 30, | |||||||||||||||||||
Minerals | 2008 | 2007 | 2008 vs 2007 | ||||||||||||||||
(Dollars in Thousands) | |||||||||||||||||||
Net sales | $ | 116,881 | 100.0 | % | $ | 90,906 | 100.0 | % | $ | 25,975 | 28.6 | % | |||||||
Cost of sales | 96,206 | 82.3 | % | 73,610 | 81.0 | % | 22,596 | 30.7 | % | ||||||||||
Gross profit | 20,675 | 17.7 | % | 17,296 | 19.0 | % | 3,379 | 19.5 | % | ||||||||||
General, selling and administrative expenses | 9,565 | 8.2 | % | 8,161 | 9.0 | % | 1,404 | 17.2 | % | ||||||||||
Operating profit | 11,110 | 9.5 | % | 9,135 | 10.0 | % | 1,975 | 21.6 | % |
Three Months Ended September 30, | |||||||||||||||||||
Environmental | 2008 | 2007 | 2008 vs 2007 | ||||||||||||||||
(Dollars in Thousands) | |||||||||||||||||||
Net sales | $ | 86,133 | 100.0 | % | $ | 76,121 | 100.0 | % | $ | 10,012 | 13.2 | % | |||||||
Cost of sales | 57,731 | 67.0 | % | 50,839 | 66.8 | % | 6,892 | 13.6 | % | ||||||||||
Gross profit | 28,402 | 33.0 | % | 25,282 | 33.2 | % | 3,120 | 12.3 | % | ||||||||||
General, selling and administrative expenses | 13,683 | 15.9 | % | 10,444 | 13.7 | % | 3,239 | 31.0 | % | ||||||||||
Operating profit | 14,719 | 17.1 | % | 14,838 | 19.5 | % | (119 | ) | -0.8 | % |
Three Months Ended September 30, | |||||||||||||||||||
Oilfield Services | 2008 | 2007 | 2008 vs 2007 | ||||||||||||||||
(Dollars in Thousands) | |||||||||||||||||||
Net sales | $ | 38,379 | 100.0 | % | $ | 27,143 | 100.0 | % | $ | 11,236 | 41.4 | % | |||||||
Cost of sales | 25,785 | 67.2 | % | 16,896 | 62.2 | % | 8,889 | 52.6 | % | ||||||||||
Gross profit | 12,594 | 32.8 | % | 10,247 | 37.8 | % | 2,347 | 22.9 | % | ||||||||||
General, selling and administrative expenses | 6,400 | 16.7 | % | 4,494 | 16.6 | % | 1,906 | 42.4 | % | ||||||||||
Operating profit | 6,194 | 16.1 | % | 5,753 | 21.2 | % | 441 | 7.7 | % |
Three Months Ended September 30, | |||||||||||||||||||
Transportation | 2008 | 2007 | 2008 vs 2007 | ||||||||||||||||
(Dollars in Thousands) | |||||||||||||||||||
Net sales | $ | 17,983 | 100.0 | % | $ | 14,381 | 100.0 | % | $ | 3,602 | 25.0 | % | |||||||
Cost of sales | 16,087 | 89.5 | % | 12,906 | 89.7 | % | 3,181 | 24.6 | % | ||||||||||
Gross profit | 1,896 | 10.5 | % | 1,475 | 10.3 | % | 421 | 28.5 | % | ||||||||||
General, selling and administrative expenses | 938 | 5.2 | % | 745 | 5.2 | % | 193 | 25.9 | % | ||||||||||
Operating profit | 958 | 5.3 | % | 730 | 5.1 | % | 228 | 31.2 | % |
Three Months Ended September 30, | |||||||||||||
Corporate | 2008 | 2007 | 2008 vs 2007 | ||||||||||
(Dollars in Thousands) | |||||||||||||
Intersegment shipping sales | $ | (6,328 | ) | $ | (4,953 | ) | $ | (1,375 | ) | ||||
Intersegment shipping costs | (6,328 | ) | (4,953 | ) | $ | (1,375 | ) | ||||||
Gross profit | - | - | |||||||||||
General, selling and administrative expenses | 5,628 | 4,453 | 1,175 | 26.4 | % | ||||||||
Operating loss | 5,628 | 4,453 | 1,175 | 26.4 | % |
AMCOL INTERNATIONAL CORPORATION
SEGMENT RESULTS (unaudited)
YEAR-TO-DATE
Nine Months Ended September 30, | |||||||||||||||||||
Minerals | 2008 | 2007 | 2008 vs 2007 | ||||||||||||||||
(Dollars in Thousands) | |||||||||||||||||||
Net sales | $ | 323,228 | 100.0 | % | $ | 262,432 | 100.0 | % | $ | 60,796 | 23.2 | % | |||||||
Cost of sales | 267,532 | 82.8 | % | 212,005 | 80.8 | % | 55,527 | 26.2 | % | ||||||||||
Gross profit | 55,696 | 17.2 | % | 50,427 | 19.2 | % | 5,269 | 10.4 | % | ||||||||||
General, selling and administrative expenses | 28,379 | 8.8 | % | 23,721 | 9.0 | % | 4,658 | 19.6 | % | ||||||||||
Operating profit | 27,317 | 8.4 | % | 26,706 | 10.2 | % | 611 | 2.3 | % |
Nine Months Ended September 30, | |||||||||||||||||||
Environmental | 2008 | 2007 | 2008 vs 2007 | ||||||||||||||||
(Dollars in Thousands) | |||||||||||||||||||
Net sales | $ | 222,393 | 100.0 | % | $ | 189,927 | 100.0 | % | $ | 32,466 | 17.1 | % | |||||||
Cost of sales | 147,694 | 66.4 | % | 124,523 | 65.6 | % | 23,171 | 18.6 | % | ||||||||||
Gross profit | 74,699 | 33.6 | % | 65,404 | 34.4 | % | 9,295 | 14.2 | % | ||||||||||
General, selling and administrative expenses | 41,754 | 18.8 | % | 34,388 | 18.1 | % | 7,366 | 21.4 | % | ||||||||||
Operating profit | 32,945 | 14.8 | % | 31,016 | 16.3 | % | 1,929 | 6.2 | % |
Nine Months Ended September 30, | |||||||||||||||||||
Oilfield Services | 2008 | 2007 | 2008 vs 2007 | ||||||||||||||||
(Dollars in Thousands) | |||||||||||||||||||
Net sales | $ | 100,177 | 100.0 | % | $ | 72,137 | 100.0 | % | $ | 28,040 | 38.9 | % | |||||||
Cost of sales | 63,130 | 63.0 | % | 44,633 | 61.9 | % | 18,497 | 41.4 | % | ||||||||||
Gross profit | 37,047 | 37.0 | % | 27,504 | 38.1 | % | 9,543 | 34.7 | % | ||||||||||
General, selling and administrative expenses | 18,156 | 18.1 | % | 13,661 | 18.9 | % | 4,495 | 32.9 | % | ||||||||||
Operating profit | 18,891 | 18.9 | % | 13,843 | 19.2 | % | 5,048 | 36.5 | % |
Nine Months Ended September 30, | |||||||||||||||||||
Transportation | 2008 | 2007 | 2008 vs 2007 | ||||||||||||||||
(Dollars in Thousands) | |||||||||||||||||||
Net sales | $ | 49,216 | 100.0 | % | $ | 38,654 | 100.0 | % | $ | 10,562 | 27.3 | % | |||||||
Cost of sales | 44,081 | 89.6 | % | 34,399 | 89.0 | % | 9,682 | 28.1 | % | ||||||||||
Gross profit | 5,135 | 10.4 | % | 4,255 | 11.0 | % | 880 | 20.7 | % | ||||||||||
General, selling and administrative expenses | 2,564 | 5.2 | % | 2,253 | 5.8 | % | 311 | 13.8 | % | ||||||||||
Operating profit | 2,571 | 5.2 | % | 2,002 | 5.2 | % | 569 | 28.4 | % |
Nine Months Ended September 30, | |||||||||||||
Corporate | 2008 | 2007 | 2008 vs 2007 | ||||||||||
(Dollars in Thousands) | |||||||||||||
Intersegment shipping sales | $ | (16,710 | ) | $ | (13,370 | ) | $ | (3,340 | ) | ||||
Intersegment shipping costs | (16,710 | ) | (13,370 | ) | $ | (3,340 | ) | ||||||
Gross profit | - | - | |||||||||||
General, selling and administrative expenses | 18,208 | 13,733 | 4,475 | 32.6 | % | ||||||||
Operating loss | 18,208 | 13,733 | 4,475 | 32.6 | % |
AMCOL INTERNATIONAL CORPORATION
SUPPLEMENTARY INFORMATION (unaudited)
QUARTER-TO-DATE
Three Months Ended September 30, 2008 | |||||||||||||
Composition of Sales by Geographic Region | Americas | EMEA | Asia Pacific | Total | |||||||||
Minerals | 31.1 | % | 8.4 | % | 6.7 | % | 46.2 | % | |||||
Environmental | 17.9 | % | 14.0 | % | 2.2 | % | 34.1 | % | |||||
Oilfield services | 13.3 | % | 1.0 | % | 0.8 | % | 15.1 | % | |||||
Transportation | 4.6 | % | 0.0 | % | 0.0 | % | 4.6 | % | |||||
Total - current year's period | 66.9 | % | 23.4 | % | 9.7 | % | 100.0 | % | |||||
Total from prior year's comparable period | 67.8 | % | 25.4 | % | 6.9 | % | 100.0 | % |
Percentage of Revenue Growth by Component | Three Months Ended September 30, 2008 vs. Three Months Ended September 30, 2007 | ||||||||||||
Base Business | Acquisitions | Foreign Exchange | Total | ||||||||||
Minerals | 11.8 | % | 0.9 | % | 0.1 | % | 12.8 | % | |||||
Environmental | 2.5 | % | 0.8 | % | 1.6 | % | 4.9 | % | |||||
Oilfield services | 2.9 | % | 2.7 | % | -0.1 | % | 5.5 | % | |||||
Transportation | 1.1 | % | 0.0 | % | 0.0 | % | 1.1 | % | |||||
Total | 18.3 | % | 4.4 | % | 1.6 | % | 24.3 | % | |||||
% of growth | 75.2 | % | 18.4 | % | 6.4 | % | 100.0 | % |
Three Months Ended September 30, | ||||||||||
Minerals Product Line Sales | 2008 | 2007 | % change | |||||||
(Dollars in Thousands) | ||||||||||
Metalcasting | $ | 46,392 | $ | 40,232 | 15.3 | % | ||||
Specialty materials | 26,587 | 22,893 | 16.1 | % | ||||||
Pet products | 19,559 | 15,826 | 23.6 | % | ||||||
Basic minerals | 21,917 | 11,140 | 96.7 | % | ||||||
Other product lines | 2,426 | 815 | * | |||||||
Total | 116,881 | 90,906 |
* Not meaningful.
Three Months Ended September 30, | ||||||||||
Environmental Product Line Sales | 2008 | 2007 | % change | |||||||
(Dollars in Thousands) | ||||||||||
Lining technologies | $ | 57,320 | $ | 48,914 | 17.2 | % | ||||
Building materials | 22,237 | 20,638 | 7.7 | % | ||||||
Other product lines | 6,576 | 6,569 | * | |||||||
Total | 86,133 | 76,121 |
* Not meaningful.
AMCOL INTERNATIONAL CORPORATION
SUPPLEMENTARY INFORMATION (unaudited)
YEAR-TO-DATE
Nine Months Ended September 30, 2008 | |||||||||||||
Composition of Sales by Geographic Region | Americas | EMEA | Asia Pacific | Total | |||||||||
Minerals | 33.2 | % | 7.6 | % | 6.9 | % | 47.7 | % | |||||
Environmental | 16.8 | % | 13.9 | % | 2.1 | % | 32.8 | % | |||||
Oilfield services | 12.5 | % | 1.6 | % | 0.6 | % | 14.7 | % | |||||
Transportation | 4.8 | % | 0.0 | % | 0.0 | % | 4.8 | % | |||||
Total - current year's period | 67.3 | % | 23.1 | % | 9.6 | % | 100.0 | % | |||||
Total from prior year's comparable period | 68.8 | % | 23.7 | % | 7.5 | % | 100.0 | % |
Nine Months Ended September 30, 2008 vs. Nine Months Ended September 30, 2007 | |||||||||||||
Percentage of Revenue Growth by Component | Base Business | Acquisitions | Foreign Exchange | Total | |||||||||
Minerals | 8.8 | % | 1.8 | % | 0.5 | % | 11.1 | % | |||||
Environmental | 3.2 | % | 0.9 | % | 1.8 | % | 5.9 | % | |||||
Oilfield services | 3.5 | % | 1.6 | % | 0.0 | % | 5.1 | % | |||||
Transportation | 1.3 | % | 0.0 | % | 0.0 | % | 1.3 | % | |||||
Total | 16.8 | % | 4.3 | % | 2.3 | % | 23.4 | % | |||||
% of growth | 71.6 | % | 18.4 | % | 10.0 | % | 100.0 | % |
Nine Months Ended September 30, | ||||||||||
Minerals Product Line Sales | 2008 | 2007 | % change | |||||||
(Dollars in Thousands) | ||||||||||
Metalcasting | $ | 134,118 | $ | 114,101 | 17.5 | % | ||||
Specialty materials | 77,239 | 62,992 | 22.6 | % | ||||||
Pet products | 58,261 | 47,907 | 21.6 | % | ||||||
Basic minerals | 47,275 | 33,703 | 40.3 | % | ||||||
Other product lines | 6,335 | 3,729 | * | |||||||
Total | 323,228 | 262,432 |
* Not meaningful.
Nine Months Ended September 30, | ||||||||||
Environmental Product Line Sales | 2008 | 2007 | % change | |||||||
(Dollars in Thousands) | ||||||||||
Lining technologies | $ | 138,267 | $ | 112,659 | 22.7 | % | ||||
Building materials | 65,090 | 60,083 | 8.3 | % | ||||||
Other product lines | 19,036 | 17,185 | * | |||||||
Total | 222,393 | 189,927 |
* Not meaningful.