56 57
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
 2003 2002(a)                         2001 2000
P E R  C O M M O N  S H A R E  D A T A  ( B A S I C  A N D  D I L U T I V E )
Income before Cumulative Effect of Accounting Changes - basic $ 1.69 $ 1.55 $ 1.26  $ 1.77
Cumulative Effect of Accounting Changes - basic  –  –  –   –
Net Income – basic  1.69   1.55  1.26   1.77
Net Income – diluted  1.68  1.55  1.26  1.77
Cash Dividends  .52  .50  .48   .44
Book Value – basic  12.19  11.08  10.10   9.59
Net Working Capital – basic  3.71  1.82  1.52   1.09
O P E R A T I N G  R E S U L T S  ( T H O U S A N D S  O F  D O L L A R S )
Net Sales  $ 1,755,728 $ 1,692,622 $ 1,792,438 $ 2,046,286
Cost of Products Sold  1,116,513  1,092,743  1,181,140   1,380,404
Gross Profit  639,215  599,879  611,298   665,882
Interest Expense  2,970  4,714  8,548   14,015
Income Before Income Taxes  150,931  140,554  116,261   165,964
Income Before Income Taxes as a % of Net Sales  8.60%  8.30%  6.49%   8.11%
Federal and State Income Taxes $ 52,826 $ 49,194 $ 41,854 $ 59,747
Effective Tax Rate  35.0%  35.0%  36.0%   36.0%
Income before Cumulative Effect of Accounting Changes $ 98,105 $ 91,360 $ 74,407 $ 106,217
Net Income  98,105  91,360  74,407  106,217
Net Income as a % of Net Sales  5.59%  5.40%  4.15%   5.19%
Cash Dividends and Share Purchase Rights Redeemed $ 30,299 $ 29,386 $ 28,373 $ 26,455
Addition to (Reduction of) Retained Earnings  54,001  55,176  36,759  79,762
Net Income Applicable to Common Stock  98,105  91,360  74,407  106,217
% Return on Average Shareholders’ Equity  14.46%  14.74%  12.76%  19.77%
Depreciation and Amortization $ 72,772 $ 68,755 $ 81,385 $ 79,046
D I S T R I B U T I O N  O F  N E T  I N C O M E
% Paid to Shareholders  30.88%  32.16%  38.13%   24.91%
% Reinvested in Business  69.12%  67.84%  61.87%  75.09%
F I N A N C I A L  P O S I T I O N  ( T H O U S A N D S  O F  D O L L A R S )
Current Assets $ 462,122 $ 405,054 $ 319,657 $ 330,441
Current Liabilities  245,816  298,680  230,443   264,868
Working Capital  216,306  106,374  89,214   65,273
Net Property, Plant, and Equipment  312,368  353,270  404,971   454,312
Total Assets  1,021,826  1,020,552  961,891   1,022,470
% Return on Beginning Assets Employed  14.69%  14.83%  12.04%   19.63%
Long-Term Debt and Capital Lease Obligations $ 4,126 $ 9,837 $ 80,830 $ 128,285
Shareholders’ Equity  709,889  646,893  592,680   573,342
Retained Earnings  641,732  587,731  532,555   495,796
Current Ratio  1.88  1.36  1.39   1.25
C U R R E N T  S H A R E  D A T A
Number of Shares Outstanding at Year-End  58,238,519  58,373,607  58,672,933   59,796,891
Weighted-Average Shares Outstanding During Year – basic  58,178,739  58,789,851  59,087,963   60,140,302
Number of Shareholders of Record at Year-End  6,416  6,777  6,694   6,563
O T H E R  O P E R A T I O N A L  D A T A
Capital Expenditures (Thousands of Dollars) $ 34,842 $ 25,885 $ 36,851 $  59,840
Members (Employees) at Year-End  8,926  8,828  9,029(b)   11,543(b)
(a)Per SFAS No. 142, “Goodwill and Other Intangible Assets,” the Company has ceased recording of goodwill and indefinite-lived Intangible amortization.
(b)Includes acquisitions completed during year.
S E L E C T E D  F I N A N C I A L  D A T A  
E L E V E N - Y E A R  S U M M A R Y