CUDAHY, Wis., July 28 /PRNewswire-FirstCall/ -- Ladish Co., Inc.
(http://www.ladishco.com) (Nasdaq: LDSH) today reported 2008 second quarter sales
of $119.0 million, a 5% improvement over $113.6 million of sales in the
second quarter of 2007. The Company had a net income of $6.2 million,
resulting in diluted earnings per share of $0.43 for the second quarter of
2008 versus net income of $10.8 million and $0.74 per share in the same
period of 2007. First half 2008 sales of $236.2 million reflect a 12%
growth over 2007, with $12.2 million of net income, $0.84 diluted earnings
per share in 2008, in contrast to $16.5 million of net income, $1.14
diluted earnings per share, in 2007.

    Ladish will host a conference call on Tuesday, July 29, 2008 at 9:00
a.m. EDT to discuss the second quarter performance for 2008. The telephone
number to call to participate in the conference call is (800) 344-6491.




                           For the Three Months        For the Six Months
                              Ended June 30              Ended June 30
    (Dollars in thousands,
     except earnings per
     share)                   2008         2007         2008         2007

    Net sales             $118,959     $113,594     $236,156     $211,260
    Cost of goods sold     103,452       91,649      205,828      175,625
    Gross profit            15,507       21,945       30,328       35,635
    SG&A expense             4,841        4,106        9,244        8,048
    Operating income        10,666       17,839       21,084       27,587
    Interest expense
     & other                   716          630        1,564        1,236
    Pretax income            9,950       17,209       19,520       26,351
    Income tax provision     3,711        6,438        7,281        9,802
    Minority interest in
     net earnings of
     subsidiary                 20           10           37           20
    Net income              $6,219      $10,761      $12,202      $16,529
    Basic earnings
     per share               $0.43        $0.74        $0.84        $1.14
    Basic weighted
     average shares
     outstanding        14,559,467   14,508,242   14,551,912   14,502,785
    Diluted earnings
     per share               $0.43        $0.74        $0.84        $1.14
    Diluted weighted
     average shares
     outstanding        14,562,338   14,552,210   14,554,954   14,546,843



                                                     June 30     December 31
     (Dollars in thousands)                            2008         2007

    Cash                                              $4,713         $5,952
    Accounts receivable                               84,190         75,226
    Inventory                                        115,950        118,187
    Net PP&E                                         164,945        144,110
    Other                                             41,408         37,976
    Total assets                                    $411,206       $381,451
    Accounts payable                                 $48,034        $42,116
    Accrued liabilities                               18,252         18,343
    Senior bank debt                                  13,900          7,500
    Senior notes                                      46,000         46,000
    Pensions                                          30,406         30,484
    Postretirement benefits                           34,594         35,454
    Stockholders' equity                             220,020        201,554
    Total liabilities and equity                    $411,206       $381,451


    "With revenue of $119.0 million, the second quarter of 2008 was another
example of period over period and year over year sales growth for Ladish,"
said Kerry L. Woody, Ladish President and CEO. "While we are encouraged by
the continued sales growth, we are not satisfied with the level of
earnings. In the second quarter, we continued to experience margin pressure
from higher raw material prices, higher energy costs and reduced credit
from by-product sales. Those challenges along with higher depreciation
expense and less than optimal product mix prevented us from duplicating
2007's record earnings."

    "The results for the first six months of 2008 were similar to the
second quarter. A positive 12% sales increase over the same period in 2007,
but a fall off in earnings due to many of the same factors which negatively
impacted the second quarter. Looking out at the remainder of 2008 and
beyond, we remain optimistic. Our backlog at $619 million and product
demand remain strong. The organic expansion programs we have undertaken are
nearing completion and will soon bear fruit. The new isothermal press is
being assembled and will operate in the third quarter. Pacific Cast's new
furnace and expansion are well under way. Due diligence issues on the
potential expansion in Mexico continue at a determined pace. In addition,
our recent acquisition of Aerex Manufacturing in July of 2008 will be
accretive in 2008 as we further focus on the military helicopter sector."

    Ladish Co., Inc. is a leading producer of highly engineered,
technically advanced metal components for the jet engine, aerospace and
general industrial markets. Ladish is headquartered in Cudahy, Wisconsin
with operations in Wisconsin, Oregon, Connecticut and Poland. Ladish common
stock trades on Nasdaq under the symbol LDSH.

    This release includes forward-looking statements that are made pursuant
to the safe harbor provisions of the Securities Litigation Reform Act of
1995. Such forward-looking statements are subject to certain risks and
uncertainties that could cause actual results to differ materially from
those projected in them. These risks and uncertainties include, but are not
limited to, uncertainties in the company's major markets, the impact of
competition, the effectiveness of operational changes expected to increase
efficiency and productivity, worldwide economic and political conditions
and the effect of foreign currency fluctuations.

Link to this page: