CALHOUN, Ga. -- Mohawk Industries, Inc. announced record net earnings and diluted earnings per share (EPS) for the second quarter of 2002 -- with $75,518,000 in net earnings (63 percent above last year) and $1.10 EPS (25 percent above last year).
The improvement was the result of increased sales, improved operating income and the Dal-Tile merger on March 20. Dal-Tile results were included for the full quarter.
Dal-Tile increased EPS by approximately $0.03 per share. Net sales for the quarter increased 42 percent to $1,227,747,000.
Mohawk net sales grew 8 percent to $938,446,000 from its growth in home and residential products. Dal-Tile net sales grew 9 percent to $289,301,000 primarily from residential products.
EPS for the first half of 2002 read $1.91 -- or $118,728,000 in net earnings; compared to $1.39 EPS -- or $73,672,000 in net earnings -- for the first half of 2001.
Net sales for the first half of 2002 went up 28 percent from 2001 sales to $2,094,457,000.
The company's debt to total capitalization ratio improved to 35.3 percent at the end of the second quarter compared to a 39.2 percent ratio at the end of the first quarter. The new ratio reflects a reduction of approximately $130 million in debt during the quarter.
Operating income as a percentage of sales increased from 9.7 to 11.3 percent for the second quarter, attributable to the merger, increased sales and reduced costs.