YOU ARE HERE: LAT HomeCollections


Rockwell's Net Declines; Martin-Marietta Has Gain

January 23, 1986

Rockwell International reported a drop in its first-quarter net earnings, citing lower sales in its automotive products division and costs associated with its acquisition of Allen Bradley Co.

Separately, Martin-Marietta Corp. said it increased its fourth-quarter net income to $49.9 million from $33.3 million in the same period of 1984.

Both are major defense contractors.

Pittsburgh-based Rockwell, a diversified technology company, said that, in the quarter ended Dec. 31, it had net earnings of $125.8 million. That compared to net earnings of $140.5 million a year earlier.

First-quarter revenue was $2.8 billion, compared to $2.4 billion in the first quarter of 1985.

"The strengthened performance we expect later in the year should permit us to achieve somewhat improved earnings for the full 1986 year," Chairman Robert Anderson said.

The company said its aerospace earnings increased to $123.4 million in the period, compared to $97.8 million a year earlier, primarily because of continued growth in the B-1B bomber program.

Earnings for the electronics division and automotive products unit decreased during the quarter, while general industries net rose.

Rockwell said that financing costs and other charges associated with the February, 1985, acquisition of Allen Bradley Co. also cut into earnings.

Martin-Marietta reported revenue of $1.21 billion in the fourth quarter, compared to $1.12 billion in the same quarter of 1984.

The company, a leading designer and manufacturer of aerospace, defense, electronics and data management systems, said that, for the full year, it posted a profit of $249.4 million, compared to a profit of $176 million reported for all of 1984.

Revenue for 1985 increased to a record $4.41 billion, compared to $3.92 billion a year earlier.

Martin-Marietta said the full-year earnings included a gain of $73 million on the sale of its Master Builders division and an $11-million gain from the sale of assets in 1984.

Los Angeles Times Articles