HARRISBURG, Pa., April 24, 2007 (PRIME NEWSWIRE) -- Addressing stockholders at the Company's 52nd Annual Meeting, Harsco Corporation Chairman and CEO Derek C. Hathaway today reaffirmed the Company's improving outlook as a leading worldwide industrial services organization, saying that Harsco (NYSE:HSC) is "well-positioned in each of our three global growth business platforms to gain further market share, expand our global footprint and take advantage of the buoyant conditions in a number of the markets we serve."
The Annual Meeting follows one day after Harsco's announcement of record results for the first quarter of 2007, in which the Company posted sales of $840 million, up 23 percent over the prior year, and a 39 percent increase in diluted earnings per share from continuing operations. The strong results mark Harsco's 14th consecutive quarter of year-over-year increases in both sales and diluted earnings per share.
In view of its first quarter results and continuing outlook, the Company yesterday raised its full year 2007 guidance for diluted earnings per share from continuing operations from the previous range of $2.52 - $2.57 per diluted share to a new range of $2.69 - $2.74 per diluted share. Note that per share amounts reflect the Company's 2-for-1 stock split which was effective March 27, 2007.
Addressing stockholders on the Company's ongoing growth strategies and its first quarter performance, Harsco's President, Chief Financial Officer and Treasurer Salvatore D. Fazzolari highlighted the Company's increasing global balance. "With the anticipated sale of our Gas Technologies business by the third quarter this year, over 70 percent of our sales from continuing operations are expected to be generated outside the United States, and 85 percent are expected to come from our offerings of higher-value industrial services," Mr. Fazzolari noted. "We particularly see significant opportunities in the growing economies within Latin America, Eastern Europe, Asia/Pacific and the Middle East/Africa, and we believe our Access Services, Mill Services, and Minerals and Rail Technologies businesses are well-positioned to take advantage of further penetration into these geographies, both organically and through bolt-on acquisitions."
Mr. Fazzolari also reviewed the Company's value creation model for sustaining its growth momentum over the long term. Harsco's value creation model includes continued expansion of the Company's geographic footprint into selected growth economies together with a strong strategic focus on industrial services business platforms that are scalable on a global basis. Both factors support Harsco's potential for creating higher levels of Economic Value Added (EVA(r)). These factors will be augmented by the Company's business optimization initiatives, which include its six-sigma process improvement programs and technology infusion investments, which are designed to better enable Harsco's businesses to maximize their growth potential and operating efficiency, as well as the monetizing of product lines and business assets that do not have the requisite value creation characteristics. The Company's Annual Meeting presentation slides are posted on the Harsco website at www.harsco.com, in the Investor Relations section.
In other actions, stockholders approved the election of all current 11 members of the Board, and ratified the Audit Committee's appointment of PricewaterhouseCoopers LLP as Independent Auditors for the year ending December 31, 2007.
Harsco Corporation is one of the world's leading diversified industrial services companies, serving major customers in the non-residential construction, steel and metals, energy and railway industries. The Company posted 2006 revenues of $3.4 billion and employs approximately 21,500 people worldwide. Harsco's common stock is a component of the S&P MidCap 400 Index and the Russell 1000 Index. Additional information can be found at www.harsco.com.
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