Litton’s Net for Year Soars to $174.4 Million

Litton Industries Inc. said that net earnings for the year ended July 31 more than doubled from fiscal 1991.

For the fourth quarter, Litton reported net income of $45 million, or $1.08 a share, contrasted with a loss of $58.4 million, or $1.43 a share, for the same quarter last year.

For the full fiscal year, the Beverly Hills-based electronics company posted net earnings of $174.4 million, or $4.22 a share, compared to net earnings of $63.5 million, or $1.45 a share, a year earlier. Sales for the year increased to $5.69 billion from $5.22 billion.

The 1991 figures reflected a $110.1-million after-tax charge.

The results were slightly higher than the $4.08 a share predicted by most analysts, but fell short of some estimates, which ran as high as $4.29 a share.

Litton’s stock rose 62.5 cents per share to close at $46.125 on the New York Stock Exchange.

Revenue for the fourth quarter was $1.44 billion, up from $1.37 billion a year ago, the company said.

In discussing the results, Litton Chairman Orion Hoch said the company’s operating profit from ongoing businesses increased by 11% over the previous year.

The growth was fueled by Litton’s continued investment in expanding its commercial business, Hoch said, as Pentagon spending cuts take their toll on defense operations. The company also decreased its debt by redeeming its 11.5% subordinated notes, he said.

Operating profit for Litton’s seismic division, which manufactures geological equipment for the oil industry, rose 29%, Hoch said, while marine operations also reported improved sales and operating profit.