SPRINGFIELD, Mo., July 20, 2007 (PRIME NEWSWIRE) -- Paul Mueller Company (Pink Sheets:MUEL) today released its second quarter report for the period ended June 30, 2007, as follows:
Paul Mueller Company and Subsidiaries ------------------------------------- SIXTH-MONTH REPORT ------------------------------------- (Unaudited) ------------------------------------------------------ CONSOLIDATED SUMMARIES OF OPERATIONS ------------------------------------------------------ Three Months Ended Six Months Ended June 30 June 30 ------------------------- -------------------------- 2007 2006 2007 2006 ----------- ----------- ------------ ----------- Net Sales $53,740,000 $34,115,000 $103,279,000 $59,591,000 Cost of Sales 44,574,000 28,305,000 85,593,000 48,863,000 ----------- ----------- ------------ ----------- Gross Profit $ 9,166,000 $ 5,810,000 $ 17,686,000 $10,728,000 Selling, General and Admin. Expenses 6,666,000 5,092,000 12,420,000 10,055,000 ----------- ----------- ------------ ----------- Operating Income $ 2,500,000 $ 718,000 $ 5,266,000 $ 673,000 Other Income 308,000 228,000 499,000 454,000 ----------- ----------- ------------ ----------- Income before Provision for Income Taxes $ 2,808,000 $ 946,000 $ 5,765,000 $ 1,127,000 Provision (Benefit) for Income Taxes 1,022,000 264,000 2,095,000 298,000 ----------- ----------- ------------ ----------- Net Income $ 1,786,000 $ 682,000 $ 3,670,000 $ 829,000 =========== =========== ============ =========== Earnings per Common Share - Basic $ 1.55 $ 0.59 $ 3.18 $ 0.72 Diluted $ 1.52 $ 0.59 $ 3.13 $ 0.71 Twelve Months Ended June 30 ----------------------------- 2007 2006 ------------- ------------- Net Sales $ 196,575,000 $ 130,425,000 Cost of Sales 162,172,000 105,722,000 ------------- ------------- Gross Profit $ 34,403,000 $ 24,703,000 Selling, General and Admin. Expenses 24,511,000 20,430,000 ------------- ------------- Operating Income $ 9,892,000 $ 4,273,000 Other Income 539,000 542,000 ------------- ------------- Income before Provision for Income Taxes $ 10,431,000 $ 4,815,000 Provision (Benefit) for Income Taxes 568,000 (261,000) ------------- ------------- Net Income $ 9,863,000 $ 5,076,000 ============= ============= Earnings per Common Share Basic $ 8.56 $ 4.40 Diluted $ 8.43 $ 4.36 NOTES: (1) Net income for the second quarter of 2007 was adversely affected by an increase in the LIFO reserve of $1,538,000, after tax, while net income for the second quarter of 2006 was adversely affected by an increase in the LIFO reserve of $536,000, after tax. Net income for the six months ended June 30, 2007, was adversely affected by an increase in the LIFO reserve of $2,122,000, after tax, while net income for the first six months of 2006 was adversely affected by an increase in the LIFO reserve of $657,000, after tax. (2) The effective tax rate for the three months and six months ended June 30, 2006, varied from the statutory rate (34%) due to the effect of the alternative minimum tax (3) The effective tax rate for the twelve months ended June 30, 2007, varied from the statutory rate (34%) due to a noncash credit of $3,157,000 recorded during the fourth quarter of 2006 to reduce the remaining balance of the valuation allowance established during 2004 for all of the Company's net deferred tax assets. The effective tax rate for the twelve months ended June 30, 2006, varied from the statutory rate (34%) due to the benefit of the net operating loss carryforward, tax credits, and a noncash credit of $1,200,000 that was a partial reduction of the valuation allowance established during 2004 for all the Company's net deferred tax assets. ------------------------------ FINANCIAL HIGHLIGHTS ------------------------------ June 30 December 31 2007 2006 ------------- ------------- Total Assets $115,988,000 $ 92,816,000 Working Capital $ 9,747,000 $ 10,678,000 Current Ratio 1.13 : 1 1.19 : 1 Net Worth $ 22,987,000 $ 20,569,000 Book Value Per Share $ 19.20 $ 17.36 Backlog $139,341,000 $116,913,000