Worthington Industries, Inc. (WOR) has reported a 3.47 percent fall in profit for the quarter ended May 31, 2017. The company has earned $56.49 million, or $0.87 a share in the quarter, compared with $58.52 million, or $0.92 a share for the same period last year. Revenue during the quarter grew 18.28 percent to $845.34 million from $714.67 million in the previous year period. Gross margin for the quarter contracted 50 basis points over the previous year period to 18.32 percent. Total expenses were 91.62 percent of quarterly revenues, down from 92.44 percent for the same period last year. This has led to an improvement of 82 basis points in operating margin to 8.38 percent.
Operating income for the quarter was $70.86 million, compared with $54.01 million in the previous year period.
"We finished our fiscal year with strong results, leading to record annual earnings per share for the Company," said John McConnell, chairman and chief executive officer. "While we benefited from rising steel prices, we also saw increases in volume for Steel Processing with improvements in markets such as agriculture. Pressure Cylinders performance was steady for the year despite headwinds caused by softness in the oil & gas equipment market, which showed signs of improving in the fourth quarter. Engineered Cabs also benefited from better agriculture and construction markets. Our joint venture results were down from a year ago as higher steel prices weighed on WAVE’s results." McConnell added, “I want to congratulate all of our employees for an excellent 2017."
Operating cash flow declines
Worthington Industries, Inc. has generated cash of $335.67 million from operating activities during the year, down 18.80 percent or $77.71 million, when compared with the last year. The company has spent $62.96 million cash to meet investing activities during the year as against cash outgo of $127.04 million in the last year. It has incurred net capital expenditure of $62.96 million on net basis during the year, down 27.83 percent or $24.28 million from year ago.
The company has spent $78.82 million cash to carry out financing activities during the year as against cash outgo of $233.22 million in the last year period.
Cash and cash equivalents stood at $278.08 million as on May 31, 2017, up 230.31 percent or $193.89 million from $84.19 million on May 31, 2016.
Debt remains almost stable
Total debt of Worthington Industries, Inc. remained almost stable for the quarter at $578.61 million, when compared with the last year period. Interest coverage ratio improved to 10.75 for the quarter from 6.64 for the same period last year.
Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
