NCI BUILDING SYSTEMS REVISES OUTLOOK FOR THIRD QUARTER GAINS
HOUSTON, TEXAS --(July 6, 1999) -- NCI Building Systems, Inc. (NYSE: NCS)
today indicated that while it expects to report higher net sales and net income for the third
fiscal quarter ending July 31, 1999 versus a year ago, the gains will be less than earlier
expected. In the year-earlier quarter, the Company reported net sales of $229.5 million
and net income of $11.1 million, or $0.58 per share diluted.
Johnie Schulte, Jr., chief executive officer, remarked, "Although the quarter has not
ended, our projections indicate that we will achieve an approximate 20% increase in
earnings per share compared with a year ago. This is the first year-to-year quarterly
comparison that will include the operations of Metal Buildings Components, Inc. fully in
each period. The expected gain marks continuing operating progress for NCI that is
consistent with our longer term objectives but is less than we had targeted for this quarter.
We are addressing the issues that are restricting our gains and do not expect them to have
as significant an impact on our anticipated growth in subsequent periods."
Schulte said, "Incoming business has remained strong thus far this quarter in most
sectors of our building and components divisions. We are experiencing some cost
pressure, however, in certain portions of our components operations. We are also not
realizing the planned level of efficiency in our overall manufacturing operations. We are
encouraged by the generally favorable momentum in demand and are taking firm steps
that should mitigate these issues."
NCI Building Systems, Inc. is one of North America’s largest integrated manufacturers
of metal products for the non-residential building industry. The Company operates 39
manufacturing and distribution facilities located in 17 states and Mexico.
Some statements contained in this release are "forward-looking" statements, as defined in the Private Securities
Litigation Reform Act of 1995. Actual performance of the Company may differ from that projected in such statements
as a result of factors such as industry cyclicality and seasonality, adverse weather conditions, fluctations in customer
demand and order patterns, raw material pricing, competitive activity and pricing pressure and general economic
conditions affecting the construction industry. Investors should refer to statements regularly filed by the Company in its
annual report to the Securities and Exchange Commission on Form 10-K, its Quarterly Reports to the SEC on Form
10-Q and its current reports to the SEC on Form 8-K and other filings with the SEC for a discussion of factors which
could affect the Company’s operations and forward-looking statements made in this communication. The Company
expressly disclaims any obligation to release publicly any updates or revisions to these forward-looking statements to
reflect any changes in expectations.