SPRINGFIELD, Mo., Oct. 20, 2006 (PRIMEZONE) -- Paul Mueller Company (Pink Sheets:MUEL) today released its third quarter report for the period ended September 30, 2006, as follows:
Paul Mueller Company and Subsidiaries ----------------- NINE-MONTH REPORT ----------------- (Unaudited) ------------------------------------ CONSOLIDATED SUMMARIES OF OPERATIONS ------------------------------------ Three Months Ended Nine Months Ended September 30 September 30 ----------- ----------- ----------- ----------- 2006 2005 2006 2005 ----------- ----------- ----------- ----------- Net Sales $36,698,000 $31,322,000 $96,289,000 $98,621,000 Cost of Sales 30,860,000 25,854,000 79,723,000 78,978,000 ----------- ----------- ----------- ----------- Gross Profit $ 5,838,000 $ 5,468,000 $16,566,000 $19,643,000 Selling, General and Admin. Expenses 5,601,000 5,032,000 15,656,000 15,961,000 ----------- ----------- ----------- ----------- Operating Income $ 237,000 $ 436,000 $ 910,000 $ 3,682,000 Other Income 213,000 100,000 667,000 303,000 ----------- ----------- ----------- ----------- Income before Provision (Benefit) for Income Taxes $ 450,000 $ 536,000 $ 1,577,000 $ 3,985,000 Provision (Benefit) for Income Taxes 252,000 118,000 550,000 1,197,000 ----------- ----------- ----------- ----------- Net Income $ 198,000 $ 418,000 $ 1,027,000 $ 2,788,000 =========== =========== =========== =========== Earnings per Common Share - Basic $ 0.17 $ 0.36 $ 0.89 $ 2.38 Diluted $ 0.17 $ 0.36 $ 0.89 $ 2.37 Twelve Months Ended September 30 ---------------------------- 2006 2005 ------------ ------------ Net Sales $135,801,000 $133,900,000 Cost of Sales 110,728,000 109,039,000 ------------ ------------ Gross Profit $ 25,073,000 $ 24,861,000 Selling, General and Admin. Expenses 20,999,000 20,541,000 ------------ ------------ Operating Income $ 4,074,000 $ 4,320,000 Other Income 655,000 391,000 ------------ ------------ Income before Provision (Benefit) for Income Taxes $ 4,729,000 $ 4,711,000 Provision (Benefit) for Income Taxes (127,000) 1,108,000 ------------ ------------ Net Income $ 4,856,000 $ 3,603,000 ============ ============ Earnings per Common Share - Basic $ 4.22 $ 3.08 Diluted $ 4.19 $ 3.06 -------------------- FINANCIAL HIGHLIGHTS -------------------- September 30 December 31 2006 2005 ------------- ------------- Total Assets $ 79,482,000 $ 55,171,000 Working Capital $ 5,160,000 $ 7,705,000 Current Ratio 1.10 : 1 1.28 : 1 Net Worth $ 20,429,000 $ 21,449,000 Book Value Per Share $ 17.41 $ 18.46 Backlog $ 101,090,000 $ 37,027,000 1) The effective tax rates for the periods presented vary from the statutory rate (34%) due to the effect of a valuation allowance that is recorded for virtually all of the Company's deferred tax assets and the effect of the alternative minimum tax. 2) Due to significantly higher stainless steel prices during 2006 compared to 2005, operating income was reduced by LIFO provisions of $2,000,000 and $3,043,000 for the three months and nine months ended September 30, 2006, respectively, versus $250,000 and $1,043,000 for the three months and nine months ended September 30, 2005, respectively.