SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934
July 21, 1997
(Date of Report, date of earliest event reported)
TITANIUM METALS CORPORATION
(Exact name of Registrant as specified in its charter)
Delaware 0-28538 13-5630895
(State or other (Commission (IRS Employer
jurisdiction of File Number) Identification
incorporation) Number)
1999 Broadway, Suite 4300, Denver, CO 80202
(Address of principal executive offices) (Zip Code)
(303) 296-5600
(Registrant's telephone number, including area code)
Not Applicable
(Former name or address, if changed since last report)
Item 5: Other Events
On July 21, 1997, the Registrant issued the press release attached
hereto as Exhibit 99.1, which is incorporated herein by reference. The press
release relates to the Registrant's second quarter earnings for 1997.
Item 7: Financial Statements, Pro Forma Financial Information and Exhibits
(c) Exhibits
Item No. Exhibit List
99.1 Press release dated July 21, 1997 issued by Registrant.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
TITANIUM METALS CORPORATION
(Registrant)
By: /s/ Robert E. Musgraves
Robert E. Musgraves
Vice President, General Counsel
and Secretary
Date: July 21, 1997
PRESS RELEASE
FOR IMMEDIATE RELEASE: CONTACT:
Titanium Metals Corporation J. Thomas Montgomery, Jr.
1999 Broadway, Suite 4300 Vice President - Finance
Denver, Colorado 80202 (303) 296-5617
TIMET REPORTS HIGHER SECOND QUARTER EARNINGS
DENVER, COLORADO . . . July 21, 1997 . . . Titanium Metals Corporation
("TIMET") (NASDAQ: TIMT) reported second quarter net income of $20.3 million, or
$.61 per fully diluted share, compared to net income of $8.1 million, or $.30
per share, in the second quarter of 1996. For the first half of 1997, the
Company reported net income of $36.1 million, or $1.10 per fully diluted share,
compared to $10.2 million, or $.43 per share, for the same period in 1996.
Operating income for the second quarter of 1997 was $32.9 million, up 139% from
the second quarter of 1996 (up 24% from the first quarter of 1997). The
significant improvement in TIMET's sales and earnings was driven by price
increases and a 30% increase in mill product volume compared to the second
quarter of 1996.
Sales were $181.4 million in the 1997 quarter, up 29% from last year (percentage
comparison proforma for the effect of an October 1996 acquisition). Mill
product shipments in the second quarter of 1997 were 8.2 million pounds at an
average price per pound of $16.18. The significant overall improvement in the
Company's 1997 results was achieved despite current weakness in TIMET's
non-aerospace castings operations. The Company's backlog of firm orders as of
the end of the second quarter was $ 486 million.
The statements in this release relating to matters that are not historical
facts are forward looking statements that involve risks and uncertainties,
including, but not limited to, the cyclicality of the commercial aerospace
industry, future global economic conditions, global productive capacity,
competitive products, and other risks and uncertainties included in the
Company's filings with the Securities and Exchange Commission.
TIMET, headquartered in Denver, Colorado, is a leading worldwide
integrated producer of titanium metal products.
TITANIUM METALS CORPORATION
SUMMARY OF CONSOLIDATED OPERATIONS
(In millions, except per share data)
(Unaudited)
Quarter Ended Six Months Ended
June 30, June 30,
1996 1997 1996 1997
Net Sales $ 118.8 $ 181.4 $ 226.4 $ 348.4
Cost of Sales 100.8 138.1 193.3 268.4
Selling, administrative
and development costs 6.5 10.7 12.0 20.8
Other income (expense) 2.3 .3 (.5) .2
Operating income 13.8 32.9 20.6 59.4
General corporate income .5 1.4 .4 2.4
Interest expense 3.4 3.9 6.9 7.9
Pretax income 10.9 30.4 14.1 53.9
Income tax expense 2.8 9.4 3.5 16.6
Minority interest - .7 .4 1.2
Net income $ 8.1 $ 20.3 $ 10.2 $ 36.1
Fully diluted net income $ 8.1 $ 22.5 $ 10.2 $ 40.5
Earnings per common share $ .30 $ .65 $ .43 $ 1.15
Fully diluted earnings
per share $ .30 $ .61 $ .43 $ 1.10
Average common shares
outstanding 27.1 31.5 23.8 31.5
Average fully diluted
shares outstanding 27.1 37.0 23.8 36.9
