Television digest with electronics reports (Jan-Dec 1953)

15 Financial & Trade Holes: Sylvania reports record sales of $235,023,437 in 1952, up 16% from 1951’s $202,806,387— but net income declined to $6,960,625 ($3.04 a share) or 16% under record $8,253,973 ($4.18) in 1951. Decline in earnings was attributed to “higher manufacturing costs, heavy starting-up charges on new plants, accelerated depreciation for new facilities and low prices on some products.” Annual report predicts earnings will improve in 1953 on basis of anticipated costs and “progress of Sylvania’s sales in 1952.” Fourth quarter sales exceeded $72,000,000, greatest quarter in company’s history. TV sales were said to be “strong in the fall after an accentuated seasonal dip in the spring” and demand for picture tubes was so great late in year that allocations were put into effect. National defense billings totaled $67,000,000, about 28.5% of all billings, reaching peak in spring and then leveling off to $6,000,000 per month. Unfilled defense orders at year’s end amounted to $75,000,000. Total assets increased to $176,418,658 from $150,968,617 at end of 1951, and floor space increased to 4,135,000 sq. ft. from 3,372,000, marking greatest period of physical expansion in firm’s history. * * * * Allen B. DuMont Laboratories Inc. enjoyed record gross income of $76,367,000 during 1952, up 50% from $50,742,000 in 1951 and slightly higher than previous peak of $76,363,000 in 1950. Earnings after Federal taxes were $1,425,000 (55<f per share) in 1952 as against loss of $583,000 (30d per share) in 1951 and peak earnings of $6,901,000 ($2.87) in 1950. Federal taxes were $1,473,000 in 1952, none in 1951 and $6,300,000 in 1950. At year’s end, current assets totaled $31,710,000, working capital $18,277,000, or up $4,158,000 from preceding year. All divisions were up, including DuMont Network, for which no separate figures are given — and particularly the TV transmitter div., which doubled 1951 output, and CR tube div., now working on 3-shift, 6-day basis with doubled number of employes. New products developed during year included continuous motion-picture film scanner, MobilMount Dolly and new uhf transmitters which “are expected to add materially to increased shipments next year.” Hazeltine consolidated report shows net income of $2,006,790 ($2.86 a share on 700,000 shares outstanding) on gross revenues of $9,237,190 for 1952, compared with $1,459,490 ($2.08 on 350,000 shares) on gross of $6,957,344 for 1951. Defense production was “almost entirely responsible for the increase in net earnings.” Proxy statement for annual stockholders meeting April 14 shows that chairman Jack Binns, holding 4000 shares, received total remuneration of $62,985.16 in 1952; W. A. MacDonald, pres., Hazeltine Corp., 2000 shares, $62,960; L. B. Dodds, pres., Hazeltine Research, $45,795; J. B. Dow, exec, v.p., Hazeltine Corp., 600 shares, $35,719; Fielding Robinson, pres., Hazeltine Electronics Corp., 1400 shares, $41,692. Sprague Electric Co. reports sales of $44,449,891 for 1952, net earnings $3,136,853 ($4.18 a share) vs. $38,491,215 sales and $2,720,334 ($3.63) profit in 1951. Expresident Robert C. Sprague, who was to have been Undersecretary of the Air Force but declined to sell stock in the company he founded (Vol. 9:7), has returned as chairman. His brother Julian K. Sprague is president; Ernest L. Ward, exec, v.p.; William J. Nolan, v.p. & secy. International Resistance Co., in uniquely put-together annual report released this week, shows net income of $577,877 (44^ a share on 1,325,163 shares) on sales of $11,778,836 for 1952, compared with $754,675 (714 on 1,067,163 shares) on sales of $12,973,170 in 1951. Defense business accounted for approximately 30% of total sales. Trav-Ler reports 1952 net income of $291,565 (654 a share) on sales of $11,860,387, compared with net loss of $577,950 on sales of $8,015,622 in 1951. ABC ended 1952 with net loss of $141,725 on gross income of $56,803,508, according to annual report released this week, compared with net profit of $368,943 (224 a share) on gross revenues of $58,983,129 in 1951 and of $84,605 (54) on revenues of $45,470,876 in 1950. Network goes into American Broadcasting-Paramount Theatres merger (Vol. 9:7) with earned surplus of $3,986,215. United Paramount Theatres 1952 report, also just out, shows net earnings of $6,961,113 ($2.11 a share) on gross revenues of $121,570,000 for 1952, compared with $10,705,011 ($3.24) on revenues of $121,080,000 in 1951. Strong financial position of new AB-PT is shown by cash and govt, securities of $32,573,000, working capital of $27,644,000, and total assets of $141,101,000, as disclosed in UPT’s 1952 report. Term debt amounts to $42,881,000. Figures reflect retirement of ABC’s term debt of $7,662,000 and proceeds from $6,000,000 sale of WBKB to CBS. Oak Mfg. Co. reports 1952 sales of $15,925,959, net income of $1,103,109 ($2.10 a share). Sales in 1951 were $13,680,629, earnings $2.08 a share. Dollar earning figure for 1951 is not available since company last year changed fiscal year from May 31 to calendar year. Financial statement gives net worth on Dec. 31, 1952 as $6,683,106, compared with $6,209,754 a year earlier. Notice of April 23 stockholders meeting disclosed these 1952 remunerations and officer stockholdings: Elof Sandstrom, chairman, $61,228 (5511 shares out of 524,715 outstanding as of Dec. 31) ; Robert A. O’Reilly, president, $61,228 (1955 shares); Edward J. Mastney, v.p., $30,668 (1755); Harry J. Veitch, v.p., $28,693 (150); John A. Rovelstad, treas., $25,768 (2555) ; Irwin N. Walker, v.p. & gen. counsel, $7500. Packard-Bell has filed SEC registration statement to sell 100,000 shares of common stock, thru Paine, Webber, Jackson & Curtis and Shearson, Hammill & Co., funds to be used for new cabinet plant facilities, equipment and working capital. Expansion program, costing $750,000, will be completed this summer. Top Zenith officer-director salaries and bonuses for 1952, as disclosed in call for stockholders meeting April 28: E. F. McDonald Jr., president, $60,000 salary & $135,249 bonus; Hugh Robertson, exec. v.p. & treas., $50,000 & $135,249; H. C. Bonfig, sales v.p., $40,000 & $58,459. Clevite Corp. reports 1953 sales of $53,307,874, net income of $3,444,240 ($3.94 on 799,826 shares) compared with 1951 sales of $49,463,559, net income of $2,887,826 ($4.05 on 666,711). I-T-E Circuit Breaker had net earnings of $2,620,429 ($8.44 a share on 298,364 shares) on sales of $65,033,122 for 1952, compared with $1,921,565 ($7.12 on 265,922 shares) on sales of $48,988,686 for 1951. Collins Radio reports net income of $893,198 ($2.25 a share) on sales of $36,718,471 for 6 months ended Jan. 31, compared with $847,326 ($2.13) on sales of $28,481,163 same period preceding year. P. R. Mallory & Co. reports net income of $1,897,773 ($2.12 a share) on sales of $53,443,117 for 1952, compared with $1,923,314 ($3.98) on sales of $45,438,000 in 1951. Electronic Associates Inc., Long Branch, N. J., reports net profit of $96,758 (98d a share) on sales of $1,070,000 in 1952 compared with $75,700 ( 77c4 ) on $989,500 in 1951. Jackson Industries, Chicago, subject of petition of involuntary bankruptcy (Vol. 9:12), listed assets of $1,066,477, liabilities of $839,615 ($337,655 in taxes) in Chapter XI proceedings in Chicago Federal District Court March 25. Assets were put at $563,838 accounts receivable, $438,696 stock, $41,309 machinery, fixtures & tools. Total of 73 creditors was listed. Though David Krechman is president of both Jackson and National Electronics Mfg. Co., Los Angeles, latter firm is not affected.