38 39
H O N  I N D U S T R I E S  I n c .  a n d  S U B S I D I A R I E S
(Amounts in thousands, except for per share data) For the Years 2003                                 2002                                 2001
Net sales  $ 1,755,728 $ 1,692,622 $ 1,792,438
Cost of products sold  1,116,513  1,092,743  1,181,140
 Gross Profit  639,215  599,879  611,298
Selling and administrative expenses  480,744  454,189  464,206
Restructuring related charges  8,510  3,000  24,000
 Operating Income  149,961  142,690  123,092
Interest income  3,940  2,578  1,717
Interest expense  2,970  4,714  8,548
 Income Before Income Taxes  150,931  140,554  116,261
 Income taxes  52,826  49,194  41,854
 Net Income $ 98,105 $ 91,360 $ 74,407
 Net Income Per Common Share – Basic  $ 1.69 $ 1.55 $ 1.26
 Weighted Average Shares Outstanding – Basic  58,178,739  58,789,851  59,087,963
 Net Income Per Common Share – Diluted $ 1.68 $ 1.55   $ 1.26
 Weighted Average Shares Outstanding – Diluted  58,545,353  59,021,071  59,210,049
The accompanying notes are an integral part of the consolidated financial statements.
C O N S O L I D A T E D  S T A T E M E N T S  O F I N C O M E