Interface reports second quarter 2003 results
Sales in the second quarter 2003 were $234.0 million, compared with $233.8 million in the second quarter 2002. The company recorded a pre-tax restructuring charge of $2.5 million during the second quarter 2003 in connection with the completion of its previously announced initiative designed to rationalize manufacturing operations in its fabrics division and further reduce workforce worldwide.
Operating income was $3.7 million in the second quarter 2003, versus $13.1 million in the second quarter 2002. Loss from continuing operations, excluding the restructuring charge, was $2.3 million, or $0.05 per diluted share, in the second quarter 2003, compared with income from continuing operations of $1.4 million, or $0.03 per diluted share, in the second quarter 2002. Net loss for the second quarter 2003 was $5.4 million, or $0.11 per diluted share, compared with second quarter 2002 net income of $0.8 million, or $0.02 per diluted share.
For the first six months of 2003, sales were $444.2 million, compared with $460.4 million for the same period a year ago. Operating income for the 2003 six-month period was $0.3 million (which includes $4.6 million of restructuring charges), versus operating income of $23.7 million for the comparable 2002 six-month period. During the 2003 six-month period, loss from continuing operations was $13.0 million, or $0.26 per diluted share, compared with income from continuing operations of $1.4 million in the same period a year ago.
Net loss for the six month period was $15.8 million, or $0.31 per diluted share, compared with net loss of $54.7 million, or $1.09 per diluted share, for the first six months of 2002. During the first six months of 2002, the company's implementation of SFAS No. 142 resulted in an after-tax write-down of $55.4 million, or $1.11 per diluted share, primarily related to the impairment of goodwill.