Standard Oil Co. of Indiana, the fifth-largest U.S. oil company, yesterday reported its third-quarter profits dropped 8 percent, while Aluminum Company of America, the nation's No. 1 aluminum maker, posted a significant third-quarter loss.
Standard of Indiana was the first major oil firm to announce its results for the July-September period, and it blamed the decline in earnings primarily on charges for refinery closings. The company markets gasoline under the Amoco name.
In the third quarter, it earned $559 million ($1.92 per share), down from $608 million ($2.08) in the same period last year. Revenues decreased 3.7 percent to $7.7 billion vs. $8 billion.
Indiana Standard Chairman John Swearingen said third-quarter profits were reduced by nonrecurring refinery closing charges of $49 million and bolstered by $60 million from the drawdown of inventories valued under the last-in, first-out (LIFO) accounting method. The 1981 third-quarter earnings included an $80 million gain on the sale of Cyprus Anvil Mining Corp. and a $29 million LIFO benefit. Excluding these nonoperating items, Swearingen said Indiana Standard's profits in the latest quarter were 10 percent higher than a year ago.
In the first nine months of 1982 Indiana Standard's earnings were off 8 percent to $1.41 billion ($4.83), from $1.53 billion ($5.27) in the year-earlier period. Revenues totaled $22.4 billion vs. $23.9 billion.
Swearingen attributed the lower nine-month results to reduced crude oil prices and production and depressed chemical and mineral markets.
Alcoa reported a third-quarter net loss of $14.4 million (20 cents), compared with earnings of $81.3 million ($1.09) during the same period in 1981.
Alcoa officials cited the weak economy in explaining the loss, which included a one-time charge of $2.8 million from the sale and liquidation of properties and from employe early retirement incentives.
Third-quarter 1981 net income totaled $81.3 million ($1.09), including a nonrecurring gain of $9.5 million from a real estate sale. Net income for the first nine months of 1982 was $44.5 million (56 cents), which includes an extraordinary gain of $19.9 million, compared with net income of $263.9 million ($3.55) in 1981.
Sales and operating revenue totaled $1.15 billion for the 1982 third quarter compared with $1.28 billion in 1981. Sales for the first nine months of 1982 were $3.59 billion, down from $3.89 billion.
Alcoa shipped 392,000 metric tons of aluminum products in the third quarter, compared with 390,000 tons during the same period of 1981. For the first nine months of 1982, Alcoa shipped 1.18 million metric tons of aluminum products, compared with 1.21 million tons in the same period in 1981.
The company's directors declared a quarterly dividend of 30 cents a share, down from 45 cents a share paid since the first quarter of 1981.
Goodyear Tire and Rubber Co. yesterday reported record profits in the third quarter and first nine months of 1982 despite a decline in sales during the recession.
Goodyear, the 38th-largest U.S. industrial corporation based on 1981 sales, said net income rose by 29.2 percent in the quarter to $89 million ($1.20), from $68.8 million (90 cents). Sales of $2.16 billion were down 6.4 percent from $2.31 billion in the 1981 period.
Net profits in the first nine months increased to $215.1 million from $214.3 million a year ago. However, per share earnings slipped to $2.92 from $2.96 as the 1982 figure included an extraordinary gain of $17.2 million exchanged for stock. Sales in the nine-month period declined 4.3 percent to $6.6 billion from $6.9 billion.
Chairman Charles L. Pilliod Jr. said demand for replacement tires and servicing rose because people are keeping their cars longer.
R. J. Reynolds Industries Inc. reported yesterday that net sales and revenues for the third quarter were up 16 percent, setting sales and earnings records for the third quarter and nine months ended Sept. 30.
Consolidated earnings from operations were up 12 percent, from $385 million in 1981 to $433 million. Net sales and revenues for the third quarter were $3.3 billion.
J. Paul Sticht, chairman and chief executive officer, said all lines of business reported higher sales and that the company was pleased with the third-quarter results, "particularly in view of the economic pressures being exerted on industry as a whole and taking into account that our 1981 third quarter was the strongest of all last year."
U.S. Home Corp., the largest on-site manufacturer of single-family houses, reported earnings of $3.47 million (22 cents) in the quarter ended Sept. 30, a 59.5 percent increase over the 1981 third-quarter earnings of $2.17 million (15 cents). The upturn reflected increased deliveries of houses in the quarter and lowered cost of providing customer financing, the company said. For the nine months ended Sept. 30, earnings were $6.2 million (40 cents), a 67 percent decline compared with earnings of $18.9 million ($1.30) in the period ended Sept. 30, 1981.