Alpha Pro Tech Reports Third Quarter Results

November 14, 2001 — NOGALES, AZ — Alpha Pro Tech, a developer, manufacturer and marketer of disposable protective apparel for the medical, dental, industrial safety, cleanroom and food service markets, announced 6.9 percent lower sales for the three months ended September 30.

“Sales for July and August were 3.4 percent ahead of the same two months a year ago,” said Al Millar, Alpha Pro Tech’s president. “Sales for the month of September 2001 were 28.3 percent lower than sales for the same period in 2000 resulting in the lower sales for the third quarter. We attribute this to the events of September 11th, which disrupted normal business and caused an economic downturn in most all industries for the balance of the month. September 2001 was the company’s weakest sales month since December 1996. In October 2001, business returned to normal levels with orders booked at a level consistent with prior months.”

For the third quarter, revenues were $5,069,000 compared to $5,444,000 for the same quarter in 2000. Pre-tax income decreased to$145,000, or one cent a diluted share, compared to $419,000, or two cents a diluted share last year. Net income for the quarter was$101,000, or nil cents a diluted share, compared to $419,000, or two cents a diluted share, a year ago.

The third quarter, was also adversely affected by severance payouts of approximately $134,000 in connection with the closing of one facility in Mexico and a reduction of employees in a second Mexican facility. The company decided in the first half of 2001 to downsize its Mexican operations in order to shift some of its manufacturing to China. The current quarter also reflected a $44,000 provision for income taxes compared to no provision for the same quarter in 2000. There were 24,345,712 diluted weighted average shares outstanding for the three months ended September 30, 2001 compared to 25,345,334 diluted weighted average shares outstanding during the same period in 2000.

For the nine month period ending September 30, 2001, sales rose 6.4% to $16,508,000 compared to $15,515,000 during the same period in 2000.Pre-tax income decreased to $1,020,000, or four cents a diluted share, compared to $1,173,000, or five cents a diluted share last year. Net income decreased to $667,000, or three cents a diluted share, compared to $1,173,000, or five cents a diluted share, in the year ago period.

The nine month period of 2001 reflected a $353,000 provision for income taxes compared to no provision during the same nine month period a year ago. There were 24,512,032 diluted weighted average shares outstanding for the nine months ended September 30, 2001 compared to 25,774,125 diluted weighted average hares outstanding during the same period in 2000.

POST A COMMENT

Easily post a comment below using your Linkedin, Twitter, Google or Facebook account. Comments won't automatically be posted to your social media accounts unless you select to share.