FABRIC
FILTER       NEWSLETTER 

 

October, 2012
No. 444

CLARCOR Reports Higher Sales for Industrial, Environmental Filtration Segment

 CLARCOR Inc. reported its financial results for the 3^rd quarter of 2012. Diluted earnings per share declined 5 percent to $0.60 from $0.63 in the 3^rd quarter of 2011. Lower diluted earnings per share were driven by a 1 percent reduction in operating profit and a 3.0 percentage point increase in the effective income tax rate compared with last year’s 3^rd quarter. Net sales increased 1 percent based upon 5 percent high sales at the company’s Industrial/Environmental Filtration segment — which also increased operating profit by 15 percent from the 3^rd quarter of 2011. Higher sales at this reporting segment were offset by lower sales in the Engine/Mobile Filtration and Packaging segments. Lower net sales in the Engine/Mobile Filtration segment were driven by lower domestic heavy-duty engine filter aftermarket sales and unfavorable changes in foreign currency exchange rates.

 Net sales at the Industrial/Environmental Filtration segment increased 5 percent from the 3^rd quarter of 2011. These higher net sales included 2 percent sales growth domestically and 11 percent sales growth outside the U.S. This increase in foreign sales, which was 20 percent when adjusted for changes in foreign currency exchange rates, was due to an increase in natural gas vessel and aftermarket filter sales based upon sales growth in several international markets including Asia and Canada. This increase excludes the impact of their 2^nd quarter acquisition of Modular Engineering.

 Operating profit at their Industrial/Environmental Filtration segment grew 15 percent from the 3^rd quarter of 2011. Their 11.4 percent 3^rd quarter operating margin increased 1.1 percentage points from last year’s 3^rd quarter as they were able to leverage fixed manufacturing and administrative costs with higher net sales.