EX-99.3 7 dex993.htm CRANE CO. QUARTERLY FINANCIAL DATA SUPPLEMENT FOR THE QUARTER ENDED 09/30/2004 Crane Co. Quarterly Financial Data Supplement for the quarter ended 09/30/2004

Exhibit 99.3

 

CRANE CO.

Consolidated Income Statement Data

(in thousands, except per share data)

 

     Three Months Ended
Sept 30,
     Nine Months Ended
Sept 30,
  
     2004
     2003
     2004
     2003
  

Net Sales:

                                 

Aerospace & Electronics

    $ 127,144     $ 110,778     $ 372,857     $ 302,224  

Engineered Materials

      69,913       64,317       213,244       185,481  

Merchandising Systems

      44,078       40,396       126,119       117,872  

Fluid Handling

      217,652       194,101       639,430       555,381  

Controls

      18,737       15,766       53,435       46,991  

Intersegment Elimination

      (204 )     (67 )     (353 )     (215 )
    
 
 
 

Total Net Sales

    $ 477,320     $ 425,291     $ 1,404,732     $ 1,207,734  
    
 
 
 

Operating Profit:

                                 

Aerospace & Electronics

    $ 23,574     $ 22,655     $ 67,722     $ 62,804  

Engineered Materials

      13,283       13,295       44,596       37,933  

Merchandising Systems

      4,170       2,064       7,765       1,269  

Fluid Handling

      15,844       11,444       39,493       32,566  

Controls

      1,688       1,136       3,815       2,519  

Corporate

      (7,928 )     (5,824 )     (23,328 )     (21,232 )
    
 
 
 

Operating Profit before Charge

      50,631       44,770       140,063       115,859  

Asbestos and Environmental Charge

      (361,813 )     —         (361,813 )     —    
    
 
 
 

Total Operating (Loss) Profit

      (311,182 )     44,770       (221,750 )     115,859  

Interest Income

      855       226       1,244       725  

Interest Expense

      (5,819 )     (4,916 )     (18,047 )     (13,000 )

Miscellaneous - Net

      118       (212 )     (63 )     (1,210 )
    
 
 
 

(Loss) Income Before Income Taxes

      (316,028 )     39,868       (238,616 )     102,374  

(Benefit) Provision for Income Taxes

      (110,822 )     11,734       (86,824 )     31,736  
    
 
 
 

Net (Loss) Income

    $ (205,206 )   $ 28,134     $ (151,792 )   $ 70,638  
    
 
 
 

Basic & Diluted Share Data:

                                 

Net (Loss) Income

    $ (3.48 )   $ 0.47     $ (2.56 )   $ 1.19  
    
 
 
 

Average Diluted Shares Outstanding

      59,004       59,723       59,279       59,542  

Average Basic Shares Outstanding

      59,004       59,305       59,279       59,338  

Supplemental Data:

                                 

Cost of Sales

    $ 687,863     $ 288,949     $ 1,318,137     $ 820,580  

Selling, General & Administrative

      100,639       91,572       308,345       271,295  

Depreciation and Amortization *

      13,355       13,485       41,984       38,697  

 

* Amount included within cost of sales and selling, general & administrative costs.

CRANE CO.

Condensed Consolidated Balance Sheets

(in thousands)

 

     Sept 30,
2004
    December 31,
2003

ASSETS

              

Current Assets

              

Cash and Cash Equivalents

    $ 32,199    $ 142,518

Accounts Receivable

      293,678      248,492

Inventories

      278,682      235,431

Other Current Assets

      150,195      35,335
    
  

Total Current Assets

      754,754      661,776

Property, Plant and Equipment

      287,340      302,638

Other Assets

      426,275      311,123

Goodwill

      569,559      536,239
    
  

Total Assets

    $ 2,037,928    $ 1,811,776
    
  

LIABILITIES AND SHAREHOLDERS’ EQUITY

              

Current Liabilities

              

Current Maturities of Long-Term Debt

    $ 8    $ 100,275

Loans Payable

      44,100      —  

Accounts Payable

      146,606      116,885

Accrued Liabilities

      509,757      171,438

Income Taxes

      48,814      29,976
    
  

Total Current Liabilities

      749,285      418,574

Long-Term Debt

      296,400      295,861

Deferred Income Taxes

      58,952      57,738

Postretirement, Pension and Other Liabilities

      347,910      253,352

Common Shareholders’ Equity

      585,381      786,251
    
  

Total Liabilities and Shareholders’ Equity

    $ 2,037,928    $ 1,811,776
    
  

CRANE CO.

Condensed Consolidated Statements of Cash Flows

(in thousands)

 

     Three Months Ended
Sept 30,
     Nine Months Ended
Sept 30,
  
     2004
     2003
     2004
     2003
  

Operating Activities:

                                 

Net (loss) income

    $ (205,206 )   $ 28,134     ($ 151,792 )   $ 70,638  

Charge for asbestos and environmental - net of tax

      238,384       —         238,384       —    

Income from joint venture

      (1,060 )     (783 )     (2,728 )     (2,318 )

Depreciation and amortization

      13,355       13,485       41,984       38,697  

Cash (used for) provided by operating working capital

      (1,943 )     402       (39,049 )     (5,819 )

Other

      (2,792 )     (1,108 )     (4,090 )     (3,518 )
    
 
 
 

Subtotal

      40,738       40,130       82,709       97,680  

Payments for asbestos-related fees and costs

      (6,730 )     (2,275 )     (18,336 )     (6,247 )
    
 
 
 

Total provided from operating activities

      34,008       37,855       64,373       91,433  
    
 
 
 

Investing Activities:

                                 

Capital expenditures

      (4,750 )     (7,383 )     (15,652 )     (20,473 )

Proceeds from disposition of capital assets

      111       2,765       906       3,676  

Payments for acquisitions, net

      673       —         (49,957 )     (168,818 )

Proceeds from divestitures

      —         —         —         1,600  
    
 
 
 

Total used for investing activities

      (3,966 )     (4,618 )     (64,703 )     (184,015 )
    
 
 
 

Financing Activities:

                                 

Dividends paid

      (5,900 )     (5,930 )     (17,768 )     (17,804 )

Settlement of treasury shares acquired on the open market

      —         —         (42,748 )     (6,641 )

Stock options exercised - net of shares reacquired

      456       1,019       9,636       1,566  

(Repayment) issuance of debt, net

      (31,233 )     9,575       (58,987 )     147,287  
    
 
 
 

Total (used for) provided from financing activities

      (36,677 )     4,664       (109,867 )     124,408  
    
 
 
 

Effect of exchange rate on cash and cash equivalents

      491       495       (122 )     2,039  
    
 
 
 

(Decrease) increase in cash and cash equivalents

      (6,144 )     38,396       (110,319 )     33,865  

Cash and cash equivalents at beginning of period

      38,343       32,058       142,518       36,589  
    
 
 
 

Cash and cash equivalents at end of period

    $ 32,199     $ 70,454     $ 32,199     $ 70,454  
    
 
 
 

CRANE CO.

Order Backlog

(in thousands)

 

     Sept 30,
2004
    June 30,
2004
    March 31,
2004
    December 31,
2003
    Sept 30,
2003

Aerospace & Electronics

    $ 355,564    $ 353,087    $ 319,954    $ 277,173    $ 286,539

Engineered Materials

      15,677      16,197      17,564      11,787      10,927

Merchandising Systems

      10,877      11,024      11,176      10,330      10,399

Fluid Handling

      176,650      172,120      163,955      140,192      139,179

Controls

      13,586      13,451      13,029      12,169      12,496
    
  
  
  
  

Total Backlog

    $ 572,354    $ 565,879    $ 525,678    $ 451,651    $ 459,540
    
  
  
  
  

CRANE CO.

Non-GAAP Financial Measures

(in thousands)

 

     Three Months Ended
Sept 30,
     Nine Months Ended
Sept 30,
     Year Ended
Dec 31, 2003
     Year Ended
Dec 31, 2004
  
     2004
     2003
     2004
     2003
      
                                   (Estimated)  

Operating (loss) profit

    ($ 311,182 )   $ 44,770     ($ 221,750 )   $ 115,859                  

Asbestos and environmental charge - pre-tax

      361,813       —         361,813       —                    
    
 
 
 
               

Operating profit before charge

    $ 50,631     $ 44,770     $ 140,063     $ 115,859                  
    
 
 
 
               

Net (loss) income

    ($ 205,206 )   $ 28,134     ($ 151,792 )   $ 70,638                  

Asbestos and environmental charge - net of tax

      238,384       —         238,384       —                    
    
 
 
 
               

Net income before charge

    $ 33,178     $ 28,134     $ 86,592     $ 70,638                  
    
 
 
 
               

(Loss) earnings per share

      ($3.48 )   $ 0.47       ($2.56 )   $ 1.19                  

Asbestos and environmental charge - net of tax

      4.04       —         4.02       —                    
    
 
 
 
               

Earnings per share before charge

    $ 0.56     $ 0.47     $ 1.46     $ 1.19                  
    
 
 
 
               

Cash provided from operating activities before asbestos-related payments

    $ 40,738     $ 40,130     $ 82,709     $ 97,680     $ 170,666     $ 159,000  

Asbestos-related payments

      6,730       2,275       18,336       6,247       7,938       30,000  
    
 
 
 
 
 

Cash provided from operating activities

    $ 34,008     $ 37,855     $ 64,373     $ 91,433     $ 162,728     $ 129,000  

Less: Capital expenditures

      (4,750 )     (7,383 )     (15,652 )     (20,473 )     (28,128 )     (20,000 )

         Dividends

      (5,900 )     (5,930 )     (17,768 )     (17,804 )     (23,768 )     (24,000 )
    
 
 
 
 
 

Free cash flow

    $ 23,358     $ 24,542     $ 30,953     $ 53,156     $ 110,832     $ 85,000  
    
 
 
 
 
 

 

Certain non-GAAP measures have been provided to facilitate comparison with the prior year.

 

Free cash flow provides supplemental information to assist management and certain investors in analyzing the Company’s ability to generate positive cash flow.

 

Free cash flow is considered a measure of cash generation and should be considered in addition to, but not as a substitute for, other measures reported in accordance with generally accepted accounting principles and may be inconsistent with similar measures presented by other companies.