The booking of the cost of stock options amounting to $185 million resulted in profit at Lasco Manufacturing falling in the December quarter, from $289 million to $203 million and the full-year results to March slipping from $1 billion in 2019 to $982 million.
Lasco Manufacturing products
Revenues in the March quarter rose 4.5 percent to $2 billion. For the full year to March, revenues grew 4.2 percent to $7.9 billion.
Gross profit margin ended at 38 percent for the fourth quarter, down slightly from 38.1 percent in 2019 but better than the 37 percent for the fiscal year and 35.4 percent in 2019.
Other income for the fiscal year climbed to $30 million, from $1.8 million in 2019, but was nearly flat at $130 million for the year to March.
Administrative expenses increased by 20 percent to $1.36 billion, while selling and promotion expenses rose 1.8 percent to $291 million for the year. The expensing of the value of stock options granted to staff amounting to $185 million, resulted in the big increase in Administrative expenses for the year.
Earnings per share ended at 23.67 cents. IC Insider.com projects earnings of 30 cents per share for the 2021 fiscal year, with the stock now trading at a PE ratio at 13 at the last traded price of $3.96.
Cash flow from operations generated $1.7 billion before working capital changes. Loans consumed $350 million in net repayment, while the company spent $196 million on the acquisition of fixed assets. Current assets stood at $4.6 billion, including cash and equivalents of $1.35 billion at the end of March and investments totaled $268 million. Current liabilities closed the year at $1.8 billion. Shareholders’ equity ended the year at $6.75 billion, with borrowed funds being just $1.05 million, of which $496 million is due for repayment during the current year and will help to cut interest costs in half.
The company paid $250 million in dividends during the fiscal year.
