 |
 |
||||||
[August 2004]
Continued Growth at Dal-Tile Parent Co
Mohawk Industries Inc (Calhoun, GA, USA), the parent company of the massive Dal-Tile ceramic tile concern, reported net earnings for the second quarter of 2004 of US$87.158 million, up 16% over the second quarter of 2003. The earnings were on net sales for Q2 2004 of US$1.4869 billion, up 19% from the US$1.2472 billion recorded in Q2 2003. The Dal-Tile segment net sales of US$380.404 million in Q2 2004 grew 19% from US$320.436 million, primarily from internal growth.
Commenting on ceramic tile performance, Mohawk's Chairman and CEO, Jeffrey Lorberbaum, said: "The Dal-Tile segment sales momentum continues in all product categories with floor tile and stone products leading the others. Dal-Tile has become the largest distributor of stone flooring and counter tops in the highly fragmented U.S. market.
"We have recently completed another small acquisition in the latter part of the second quarter. The new Muskogee, Oklahoma porcelain tile facility is running well at approximately 85% capacity. In the future we will continue increasing the production of higher value porcelain tile in the plant."
Mr Lorberbaum said that the company expected the economy to continue to expand throughout the year and it also expected its revenue growth to moderate as comparisons with the prior year become more difficult in the second half. He added that future cost changes to natural gas, oil and commodity chemicals could impact Mohawk's margins either positively or negatively in the second half.
ENDS