Sybron Dental Specialties, Inc. Announces Second Quarter Results

Apr 30, 2001, 01:00 ET from Sybron Dental Specialties, Inc.

    ORANGE, Calif., April 30 /PRNewswire/ -- Sybron Dental Specialties, Inc.
 (NYSE:   SYD) announced today its financial results for the second quarter of
 fiscal 2001, the quarter ended March 31st, 2001.
     (Photo:  http://www.newscom.com/cgi-bin/prnh/20001204/SDSLOGO )
 
     SECOND QUARTER AND FIRST HALF FINANCIAL RESULTS
     Net sales for the second quarter of 2001 totaled $111.7 million, compared
 to $108.3 million for the second quarter of fiscal year 2000, an increase of
 3.1%.  Net sales were negatively impacted by the strength of the U.S. dollar
 by approximately $2.1 million.  Without the negative foreign currency impact,
 net sales would have increased by 5.1% over the corresponding second quarter
 of 2000.  Sybron Dental Specialties' internal growth rate for the second
 quarter was 5.8%.  On a year-to-date basis, internal sales growth was 6.4%.
 For the first half of this fiscal year, net sales at actual currency rates
 were $209.2 million, an increase of 3.7% over prior year.
     Sybron Dental Specialties had net income of $11.2 million for the second
 quarter of 2001 and diluted earnings per share for the quarter were $0.31.
 Cash earnings per diluted share were $0.40, which is determined by excluding
 tax effected depreciation and amortization of intangibles.
     Cash flow from operations was very strong during the second quarter, as
 earnings before interest, taxes, depreciation and amortization (EBITDA) for
 the quarter were $33.1 million, allowing for SDS to again pay-down $8 million
 in debt as we did last quarter.  EBITDA for the quarter, as a percentage of
 sales, was 29.6%.
     Trade receivables were $82.6 million and inventory was $79.1 at the end of
 the quarter.  Days Sales Outstanding were 62 days compared with 67 days at the
 end of December.  Inventory turnover was 2.4 times as compared to 2.5 times at
 the end of December.
     Average bank debt for the quarter was approximately $361.4 million and the
 Company's average interest rate on its debt was 9.67%.
     Gross margins in the second quarter of 2001 were 56.3% compared with 58.8%
 in the second quarter of last year.  The decrease in gross margins was
 primarily due to an increase in the value of the U.S. dollar versus the Euro,
 Japanese yen and Australian dollar as compared to the same quarter of the
 prior year. Operating income for the second quarter of 2001 was $28.0 million.
 Without foreign currency effects, operating income would have been $28.7
 million.  A comparison of operating income to the prior year is not meaningful
 because the financial information below the gross profit line for the prior
 year is not reflective of the Company on a stand-alone basis as a result of
 the spin-off of Sybron Dental Specialties, Inc. from Apogent Technologies Inc.
 (formerly known as Sybron International Company) on December 11, 2000.
     Floyd W. Pickrell, Jr., Chief Executive Officer of Sybron Dental
 Specialties said, "I am very pleased with Sybron Dental Specialties'
 performance in the second quarter, the Company's second reporting period as an
 independent company, as it closely matched the Company's expectations.  It was
 a very solid quarter for us especially considering the tough comparison with
 the prior year's second quarter in which internal sales growth was an
 exceptionally high 11 percent."
     Mr. Pickrell commented further, "As discussed in the January 29th, 2001
 press release of Sybron Dental Specialties, we continue to expect diluted
 earnings per share to be approximately as follows:
 
                  Quarter 3    $.26
                  Quarter 4    $.33
                  Year         $1.13"
 
     CONFERENCE CALL
     The Company will host a conference call on Tuesday, May 1st at 10:00 a.m.
 Pacific Standard Time to review the information in this press release and
 respond to questions.  The dial-in number for the call will be (800) 450-0788,
 access code 583525, for domestic callers and (612) 332-0932, access code
 583525 for international callers.
     A recorded replay of the conference call will be offered beginning at
 1:30 p.m. Pacific Standard Time on Tuesday, May 1st via both the Company's
 website and a telephone dial-in number.  The telephone dial-in number for the
 recorded replay is (800) 475-6701, access code 583525, for domestic callers
 and (320) 365-3844, access code 583525, for international callers.
     The website replay may be accessed in the Investor Relations section of
 Sybron Dental's website at http://www.sybrondental.com.  The replays will be
 available until May 3rd, 2001 at 12:00 p.m. Pacific Standard Time.
 
     CAUTION REGARDING FORWARD-LOOKING STATEMENTS
     Statements made in this press release regarding future matters are
 forward-looking statements within the meaning of the Private Securities
 Litigation Reform Act of 1995.  Forward-looking statements, including those
 dealing with the Company's financial goals and expected earnings for the
 future are based on the Company's current expectations.  Our actual results
 may differ materially from those currently expected or desired because of a
 number of risks and uncertainties, including the level of demand for the
 Company's products; interest rates; currency fluctuations; distributor
 inventory adjustments; the intensity of competition; the availability, cost
 and timing of acquisitions; and other factors affecting the Company's business
 and prospects discussed in the Company's filings with the SEC, from time to
 time, including the factors discussed in the "Cautionary Factors" section in
 Item 2 of the Company's most recent report on Form 10-Q.  We undertake no
 obligation to publicly update any forward-looking statement, whether as a
 result of new information, future events or otherwise.
 
     BUSINESS DESCRIPTION
     The subsidiaries of Sybron Dental Specialties are leading manufacturers of
 value-added products for the dental, and orthodontic professions and products
 for use in infection control.  The primary subsidiaries of Sybron Dental are
 Kerr, Ormco and Metrex.  Kerr Corporation develops, manufactures, markets and
 distributes a comprehensive line of consumable products to the dental industry
 worldwide.  Ormco engineers, manufactures, markets and distributes an array of
 consumable orthodontic and endodontic products worldwide.  Metrex Research
 Corporation develops, manufactures, markets and distributes consumable
 infection prevention products to the dental and medical markets.
     The Company's financial results are summarized below: (all amounts stated
 in millions except per share data in cents)
 
                            Actual     Historical       Pro       Historical
                                             (**)    forma (*)         (**)
                        2nd Quarter   2nd Quarter      YTD           YTD
                         03/31/2001    03/31/2000   03/31/2001    03/31/2000
                        (unaudited)   (unaudited)  (unaudited)   (unaudited)
     Net sales               $111.7        $108.3       $209.2        $201.7
 
     Gross profit              62.9          63.7        117.9         117.8
     Selling, general
       & administrative
       expense                 34.9          34.9         68.5          66.4
     Operating income          28.0          28.8         49.4          51.4
     Income before
       income taxes            18.8          22.8         32.4          39.6
     Income taxes               7.6           9.2         13.1          16.0
 
     Net Income              $ 11.2        $ 13.6       $ 19.3        $ 23.6
 
 
     Earnings per share
       Basic                 $ 0.32            NM       $ 0.55            NM
       Diluted               $ 0.31            NM       $ 0.54            NM
 
 
     Average basic shares
       outstanding             35.1            NM         35.1            NM
     Average diluted shares
       outstanding             36.5            NM         35.8            NM
 
     NM: Not Meaningful
 
 
     (*) = The pro forma results exclude 1st quarter fiscal 2001 allocations
     for the write-off of Apogent Technologies deferred financing fees and for
     duplicate corporate overhead from Apogent Technologies, the Company's
     former parent company.These allocations represent charges for the legal,
     tax, treasury, as well as the administrative functions of the Company's
     former parent company.
 
     (**) = Results not reflective of Sybron Dental Specialties as a stand-
     alone entity, but as a subsidiary of Apogent Technologies.
 
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SOURCE Sybron Dental Specialties, Inc.
    ORANGE, Calif., April 30 /PRNewswire/ -- Sybron Dental Specialties, Inc.
 (NYSE:   SYD) announced today its financial results for the second quarter of
 fiscal 2001, the quarter ended March 31st, 2001.
     (Photo:  http://www.newscom.com/cgi-bin/prnh/20001204/SDSLOGO )
 
     SECOND QUARTER AND FIRST HALF FINANCIAL RESULTS
     Net sales for the second quarter of 2001 totaled $111.7 million, compared
 to $108.3 million for the second quarter of fiscal year 2000, an increase of
 3.1%.  Net sales were negatively impacted by the strength of the U.S. dollar
 by approximately $2.1 million.  Without the negative foreign currency impact,
 net sales would have increased by 5.1% over the corresponding second quarter
 of 2000.  Sybron Dental Specialties' internal growth rate for the second
 quarter was 5.8%.  On a year-to-date basis, internal sales growth was 6.4%.
 For the first half of this fiscal year, net sales at actual currency rates
 were $209.2 million, an increase of 3.7% over prior year.
     Sybron Dental Specialties had net income of $11.2 million for the second
 quarter of 2001 and diluted earnings per share for the quarter were $0.31.
 Cash earnings per diluted share were $0.40, which is determined by excluding
 tax effected depreciation and amortization of intangibles.
     Cash flow from operations was very strong during the second quarter, as
 earnings before interest, taxes, depreciation and amortization (EBITDA) for
 the quarter were $33.1 million, allowing for SDS to again pay-down $8 million
 in debt as we did last quarter.  EBITDA for the quarter, as a percentage of
 sales, was 29.6%.
     Trade receivables were $82.6 million and inventory was $79.1 at the end of
 the quarter.  Days Sales Outstanding were 62 days compared with 67 days at the
 end of December.  Inventory turnover was 2.4 times as compared to 2.5 times at
 the end of December.
     Average bank debt for the quarter was approximately $361.4 million and the
 Company's average interest rate on its debt was 9.67%.
     Gross margins in the second quarter of 2001 were 56.3% compared with 58.8%
 in the second quarter of last year.  The decrease in gross margins was
 primarily due to an increase in the value of the U.S. dollar versus the Euro,
 Japanese yen and Australian dollar as compared to the same quarter of the
 prior year. Operating income for the second quarter of 2001 was $28.0 million.
 Without foreign currency effects, operating income would have been $28.7
 million.  A comparison of operating income to the prior year is not meaningful
 because the financial information below the gross profit line for the prior
 year is not reflective of the Company on a stand-alone basis as a result of
 the spin-off of Sybron Dental Specialties, Inc. from Apogent Technologies Inc.
 (formerly known as Sybron International Company) on December 11, 2000.
     Floyd W. Pickrell, Jr., Chief Executive Officer of Sybron Dental
 Specialties said, "I am very pleased with Sybron Dental Specialties'
 performance in the second quarter, the Company's second reporting period as an
 independent company, as it closely matched the Company's expectations.  It was
 a very solid quarter for us especially considering the tough comparison with
 the prior year's second quarter in which internal sales growth was an
 exceptionally high 11 percent."
     Mr. Pickrell commented further, "As discussed in the January 29th, 2001
 press release of Sybron Dental Specialties, we continue to expect diluted
 earnings per share to be approximately as follows:
 
                  Quarter 3    $.26
                  Quarter 4    $.33
                  Year         $1.13"
 
     CONFERENCE CALL
     The Company will host a conference call on Tuesday, May 1st at 10:00 a.m.
 Pacific Standard Time to review the information in this press release and
 respond to questions.  The dial-in number for the call will be (800) 450-0788,
 access code 583525, for domestic callers and (612) 332-0932, access code
 583525 for international callers.
     A recorded replay of the conference call will be offered beginning at
 1:30 p.m. Pacific Standard Time on Tuesday, May 1st via both the Company's
 website and a telephone dial-in number.  The telephone dial-in number for the
 recorded replay is (800) 475-6701, access code 583525, for domestic callers
 and (320) 365-3844, access code 583525, for international callers.
     The website replay may be accessed in the Investor Relations section of
 Sybron Dental's website at http://www.sybrondental.com.  The replays will be
 available until May 3rd, 2001 at 12:00 p.m. Pacific Standard Time.
 
     CAUTION REGARDING FORWARD-LOOKING STATEMENTS
     Statements made in this press release regarding future matters are
 forward-looking statements within the meaning of the Private Securities
 Litigation Reform Act of 1995.  Forward-looking statements, including those
 dealing with the Company's financial goals and expected earnings for the
 future are based on the Company's current expectations.  Our actual results
 may differ materially from those currently expected or desired because of a
 number of risks and uncertainties, including the level of demand for the
 Company's products; interest rates; currency fluctuations; distributor
 inventory adjustments; the intensity of competition; the availability, cost
 and timing of acquisitions; and other factors affecting the Company's business
 and prospects discussed in the Company's filings with the SEC, from time to
 time, including the factors discussed in the "Cautionary Factors" section in
 Item 2 of the Company's most recent report on Form 10-Q.  We undertake no
 obligation to publicly update any forward-looking statement, whether as a
 result of new information, future events or otherwise.
 
     BUSINESS DESCRIPTION
     The subsidiaries of Sybron Dental Specialties are leading manufacturers of
 value-added products for the dental, and orthodontic professions and products
 for use in infection control.  The primary subsidiaries of Sybron Dental are
 Kerr, Ormco and Metrex.  Kerr Corporation develops, manufactures, markets and
 distributes a comprehensive line of consumable products to the dental industry
 worldwide.  Ormco engineers, manufactures, markets and distributes an array of
 consumable orthodontic and endodontic products worldwide.  Metrex Research
 Corporation develops, manufactures, markets and distributes consumable
 infection prevention products to the dental and medical markets.
     The Company's financial results are summarized below: (all amounts stated
 in millions except per share data in cents)
 
                            Actual     Historical       Pro       Historical
                                             (**)    forma (*)         (**)
                        2nd Quarter   2nd Quarter      YTD           YTD
                         03/31/2001    03/31/2000   03/31/2001    03/31/2000
                        (unaudited)   (unaudited)  (unaudited)   (unaudited)
     Net sales               $111.7        $108.3       $209.2        $201.7
 
     Gross profit              62.9          63.7        117.9         117.8
     Selling, general
       & administrative
       expense                 34.9          34.9         68.5          66.4
     Operating income          28.0          28.8         49.4          51.4
     Income before
       income taxes            18.8          22.8         32.4          39.6
     Income taxes               7.6           9.2         13.1          16.0
 
     Net Income              $ 11.2        $ 13.6       $ 19.3        $ 23.6
 
 
     Earnings per share
       Basic                 $ 0.32            NM       $ 0.55            NM
       Diluted               $ 0.31            NM       $ 0.54            NM
 
 
     Average basic shares
       outstanding             35.1            NM         35.1            NM
     Average diluted shares
       outstanding             36.5            NM         35.8            NM
 
     NM: Not Meaningful
 
 
     (*) = The pro forma results exclude 1st quarter fiscal 2001 allocations
     for the write-off of Apogent Technologies deferred financing fees and for
     duplicate corporate overhead from Apogent Technologies, the Company's
     former parent company.These allocations represent charges for the legal,
     tax, treasury, as well as the administrative functions of the Company's
     former parent company.
 
     (**) = Results not reflective of Sybron Dental Specialties as a stand-
     alone entity, but as a subsidiary of Apogent Technologies.
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X67746845
 
 SOURCE  Sybron Dental Specialties, Inc.