JPS EARNS $3.5 MILLION IN QUARTER
NEW YORK — Continuing its year of restructuring, JPS Industries Inc. posted third-quarter net income of $3.5 million, or 35 cents a share.
The figure was boosted by $3.8 million, or 38 cents a share, in income related to the disposal of discontinued operations. In the prior-year quarter, the company posted net earnings of $939,000, or 9 cents.
Operating income for the quarter ended July 31 was $2.5 million, down 27.1 percent from $3.5 million. Sales were $69.5 million, off 7 percent from $74.7 million.
Michael Fulbright, who joined the company as president and chief executive officer in March, has made a number of changes at JPS, reorganizing it into three divisions — elastomerics, glass fiber and apparel — and closing businesses that represented about $100 million in annual revenue.
In a telephone interview, chief financial officer John Sanders Jr. said the company has now finished shedding operations and “we can now focus on the three remaining businesses.”
The company reported that the apparel segment posted a $204,000 operating loss for the quarter, compared with operating income of $139,000 the year-ago quarter. Segment sales were $30.5 million, down 18.1 percent from $37.3 million.
For the nine months, the company took a $22.9 million net loss, after an $18.6 million charge for the disposal of discontinued operations. In the prior-year period, JPS posted net income of $5.5 million, or 55 cents a share.
Sales for the nine months were $212.1 million, down 14.8 percent from $249.1 million.
The apparel segment in the nine months posted a $1.4 million operating loss, compared with operating profit of $6.2 million a year earlier. Sales were $98.7 million, off 28.6 percent from $138.2 million.