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The "Street has TZOO coming in at .41 for the quarter that should be reported on or about April 17, 2014! All post's welcome! The "Good Dr's In"!
It was also handled by a member firm as a packaged product with certain caveat's that must be met before it's conversion!
The 'Good Dr's In's.
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Wireless Telecom Group Announces Stock Repurchase and Director Resignations
Business Wire Wireless Telecom Group, Inc.
April 10, 2014 4:10 PM
PARSIPPANY, N.J.--(BUSINESS WIRE)--
Wireless Telecom Group, Inc. (NYSE MKT:WTT) announced today that the Company has repurchased 4,815,110 shares of its common stock, representing approximately 20% of its total shares outstanding (prior to the repurchase), from its largest shareholder, Investcorp Technology Ventures L.P. and its affiliates (“Investcorp”), for an aggregate purchase price of approximately $9.6 million, or $2.00 per share. The repurchased shares will be returned to the Company’s treasury.
Separately, Horton Capital Partners Fund, L.P. and related entities have acquired 1,657,556 shares representing approximately 8.6% of the total shares outstanding (after the repurchase of shares returned to the treasury), of common stock of the Company held by Investcorp. As a result of the Company’s repurchase and such additional transactions, Investcorp no longer holds any securities of the Company.
“We are excited to have completed the transaction and look forward to the growth opportunities ahead. We believe the stock repurchase represents an attractive use of our capital and reflects our commitment to the enhancement of long-term shareholder value,” stated Paul Genova, Chief Executive Officer of Wireless Telecom Group, Inc.
The Company funded the transaction from available cash.
Wireless Telecom Group, Inc. has received and accepted the resignations of Glenn Luk and Anand Radhakrishnan as directors of the Company, effective April 9, 2014. Mr. Luk, an advisor to Investcorp Technology Partners, served as a director of the Company since May 2010. Mr. Radhakrishnan, a principal at Investcorp Technology Partners, served as a director of the Company since September 2011. The Board of Directors wishes to thank Messrs. Luk and Radhakrishnan for their services.
Alan Bazaar has been elected to serve as the Chairman of the Board of the Company until the 2014 Annual Meeting of Stockholders. Mr. Bazaar, a Partner and Chief Executive Officer of Hollow Brook Wealth Management LLC, has served on the Board of Directors of the Company since June 2013. Mr. Bazaar also serves as the Chairman of the Company’s Nominating and Corporate Governance Committee, which will lead the Board’s search for new directors.
Forward-Looking Statements
Except for historical information, the matters discussed in this news release may be considered "forward-looking" statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such statements include declarations regarding the intent, belief or current expectations of the Company and its management. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve a number of risks and uncertainties that could materially affect actual results. Specifically, no assurances can be made with respect to: the Company’s future growth opportunities, enhancement of long-term shareholder value and the Board’s search for new directors. Further information regarding risks and uncertainties that could affect the Company’s results are identified in the Company's reports and registration statements filed with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2013.
About Wireless Telecom Group, Inc.
Wireless Telecom Group designs and manufactures radio frequency (RF) and microwave-based products for wireless and advanced communications industries and markets its products and services worldwide under the Boonton, Microlab and Noisecom brands. Its complementary suite of high performance components and instruments includes RF combiners and broadband combiner boxes for in-building distributed antenna systems deployments (DAS), RF power splitters and diplexers, hybrid couplers, peak power meters, signal analyzers, noise modules, precision noise generators. The Company serves both commercial and government markets including, WiFi, WiMAX, satellite, cable, radar, avionics and medical technologies and industries. Wireless Telecom Group is headquartered in Parsippany, New Jersey, in the New York City metropolitan area, and maintains a global network of Sales and Service offices for excellent product service and support. Wireless Telecom Group’s website address is http://www.wtcom.com.
Contact:
Wireless Telecom Group, Inc.
Robert Censullo, 973-386-9696
Diamondhead Casino Corporation Closes On First $1 Million Of $3 Million Convertible Debenture Offering And Appoints Ted Arneault As Chairman Of The Board Of Directors
PR Newswire Diamondhead Casino Corporation
April 2, 2014 8:00 AM
DIAMONDHEAD, Miss., April 2, 2014 /PRNewswire/ -- Diamondhead Casino Corporation ("DHCC"), which intends to build a casino resort on its 404-acre property in Diamondhead, Mississippi, announced today that it has appointed Ted Arneault, formerly Chairman, President & CEO of MTR Gaming Group, Inc., as Chairman of the Board of the Company and President & CEO of Casino World, Inc., a wholly-owned subsidiary of the Company and proposed developer of the Diamondhead casino site. The Company also announced today that it accepted subscriptions in Escrow in the amount of $3 million for the purchase of collateralized debentures, convertible to common stock, subject to certain events, and $1 million of that amount had been released from Escrow to the Company at the first of three intended closings. The two remaining closings are contingent upon certain events. Henley & Company, LLC acted as sole placement agent in connection with the offering.
The Company owns, through a wholly-owned subsidiary, approximately 404 acres of land in Diamondhead, Mississippi. The property fronts Interstate 10 for approximately two miles and fronts the Bay of St. Louis for approximately two miles. Approximately 18 million vehicles pass the site yearly. The property, which is located entirely within the recently-incorporated City of Diamondhead, is already zoned for a casino.
In commenting on his appointment, Mr. Arneault stated: "I believe the Diamondhead site remains one of the last, great gaming opportunities in the country. The site is recognized in the casino industry as one that is expected to grow the entire Gulf Coast market because of its sheer size and the numerous amenities it could support. I am looking forward to working with the State of Mississippi and the City of Diamondhead to create a destination resort that will bring economic benefits to the entire State as well as the City. This is a unique opportunity to be associated with a project that has the potential to become a major tourist attraction on the Gulf Coast and one of the premier resort locations in the casino industry."
Ms. Vitale, who is stepping down as Chairman of the Board of the Company, stated: "Mr. Arneault's addition to the Board and his extensive background, experience and expertise in the gaming industry will allow us to move this project forward. Mr. Arneault knows the casino industry, knows the Gulf Coast market, recognizes the potential of this project and, of utmost importance, has successfully taken casinos from the ground up before. I have every confidence in Mr. Arneault, who has a proven track record in the industry, to spearhead the development of this particular project. In addition, Mr. Arneault brings extensive, unrelated business experience, as well as his background as a CPA, to the Board. I am honored to have Mr. Arneault on our team and the Board and I look forward to working with him in the future."
Cautionary Statement Regarding Forward-Looking Statements
The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for forward-looking statements so long as those statements are identified as forward-looking and are accompanied by meaningful cautionary statements identifying important factors that could cause actual results to differ materially from those projected in such statements.
All statements, trend analysis and other information contained in this release relative to performance, trends in operations or financial results, plans, expectations, estimates and beliefs, as well as other statements including words such as "anticipate," "believe," "plan," "estimate," "expect," "intend," "will," "could" and other similar expressions, constitute forward-looking statements under the Private Securities Litigation Reform Act of 1995. In connection with certain forward-looking statements contained in this release and those that may be made in the future, there are various factors that could cause actual results to differ materially from those set forth in any such forward-looking statements. The forward-looking statements contained in this release were prepared by management and are qualified by, and subject to, permitting, significant business, economic, financial, competitive, environmental, regulatory and other uncertainties and contingencies, all of which are difficult or impossible to predict and many of which are beyond the control of the Company. Accordingly, there can be no assurance that the forward-looking statements contained in this release will be realized. The forward-looking statements in this release reflect the opinion of the management as of the date of this release. Readers are hereby advised that developments subsequent to this release are likely to cause these statements to become outdated with the passage of time or other factors beyond the control of the Company. The Company does not intend, however, to update the guidance provided herein prior to its next release or unless otherwise required to do so. Readers of this release should consider these facts in evaluating the information contained herein. In addition, the business and potential operations of the Company are subject to substantial risks, including but not limited to risks relating to liquidity and cash flows, including the Company's need for additional funds to develop the Diamondhead property, which increase the uncertainty inherent in the forward-looking statements contained in this release. The inclusion of the forward-looking statements contained in this release should not be regarded as a representation that the forward-looking statements contained in the release will be achieved. In light of the foregoing, readers of this release are cautioned not to place undue reliance on the forward-looking statements contained herein.
For further information, contact:
Deborah Vitale, President
Diamondhead Casino Corporation
Office: (703) 683-6800
KKR & Co. L.P. to Announce First Quarter 2014 Results
Business Wire KKR & Co. L.P.
April 10, 2014 8:10 AM
NEW YORK--(BUSINESS WIRE)--
KKR & Co. L.P. (KKR) announced today that it plans to release its financial results for the first quarter 2014 on Thursday, April 24, 2014, before the opening of trading on the New York Stock Exchange.
A conference call to discuss KKR’s financial results will be held on Thursday, April 24, 2014 at 10:00 a.m. EDT. The conference call may be accessed by dialing (877) 303-2917 (U.S. callers) or +1 (253) 237-1135 (non-U.S. callers); a pass code is not required. Additionally, the conference call will be broadcast live over the Internet and may be accessed through the Investor Center section of KKR’s website at http://ir.kkr.com/kkr_ir/kkr_events.cfm.
A replay of the live broadcast will be available on KKR’s website or by dialing (855) 859-2056 (U.S. callers) or +1 (404) 537-3406 (non-U.S. callers), pass code 26683527, beginning approximately two hours after the broadcast.
ABOUT KKR
Founded in 1976 and led by Henry Kravis and George Roberts, KKR is a leading global investment firm with $94.3 billion in assets under management as of December 31, 2013. With offices around the world, KKR manages assets through a variety of investment funds and accounts covering multiple asset classes. KKR seeks to create value by bringing operational expertise to its portfolio companies and through active oversight and monitoring of its investments. KKR complements its investment expertise and strengthens interactions with fund investors through its client relationships and capital markets platform. KKR & Co. L.P. is publicly traded on the New York Stock Exchange (KKR) and "KKR", as used in this release, includes its subsidiaries, their managed investment funds and accounts, and/or their affiliated investment vehicles, as appropriate. For additional information, please visit KKR's website at www.kkr.com.
Contact:
Kohlberg Kravis Roberts & Co. L.P.
Investor Relations:
Craig Larson
+1 877-610-4910 (U.S.) / +1 212-230-9410
investor-relations@kkr.com
or
Media:
Kristi Huller
+1 212-750-8300
media@kkr.com
4:04 pm WD-40 misses by $0.01, beats on revs; reaffirms FY14 EPS guidance, revs guidanceBriefing.com(Wed, Apr 9)
4:04 pm WD-40 misses by $0.01, beats on revs; reaffirms FY14 EPS guidance, revs guidanceBriefing.com(Wed, Apr 9)
Jewett-Cameron Announces 2nd Quarter Financial Results
PR Newswire Jewett-Cameron Trading Company Ltd.
19 hours ago
NORTH PLAINS, Ore., April 9, 2014 /PRNewswire/ -- Jewett-Cameron Trading Company Ltd. (JCTCF) today reported financial results for the second quarter and six month periods of fiscal 2014 ended February 28, 2014.
Sales for the second quarter of fiscal 2014 totaled $9.7 million compared to sales of $14.2 million for the second quarter of fiscal 2013. Income from operations was $408,818 compared to income of $979,059 for the quarter ended February 28, 2013. Second quarter 2013 income included the one-time gain of $353,852 related to the sale of property. Net income after other items and income taxes for the current quarter was $237,398, or $0.08 per share, compared to net income of $790,631, or $0.25 per share, in the year-ago quarter.
For the six months ended February 28, 2014, Jewett-Cameron reported sales of $17.7 million compared to sales of $23.5 million for the six months ended February 28, 2013. Net income was $569,977, or $0.18 per share, compared to net income of $1,271,377, or $0.41 per share, in the first six months of fiscal 2013. The year ago period was positively affected by the one-time gain on the sale of property.
"The second quarter and six month results were negatively affected by a delay in our orders from our suppliers caused by manufacturing constraints around Chinese New Year," said CEO Don Boone. "Due to these constraints, shipments to our customers were delayed and also pushed back the rollout of several new products. We do not expect these constraints to continue in the remainder of fiscal 2014."
As of February 28, 2014, the Company's cash position was $5.8 million, and there was no borrowing against its $5.0 million line of credit. In the second quarter of fiscal 2014, the Company repurchased and cancelled 58,180 common shares at a cost of $569,019, which represents an average price of $9.78 per share. Subsequent to the end of the second quarter, the Company re-purchased and is in the process of cancelling a total of 255,313 additional shares of its common stock at a total cost of $2,486,571 at an average price of $9.74 per share. These purchases were pursuant to the Company's share re-purchase plan first announced on January 13, 2014 which has now been completed and terminated. Today the Company's Board of Directors authorized the implementation of a new share repurchase plan under Rule 10b-18. Under the new plan, the Company may purchase for cancellation up to 300,000 common shares, which represents approximately 10.6% of the 2,821,443 common shares currently outstanding. The Company has historically utilized its cash position by implementing share repurchase programs as an effective method of enhancing shareholder value.
About Jewett-Cameron Trading Company Ltd.
Jewett-Cameron Trading Company Ltd. was incorporated in British Columbia on July 8, 1987 as a holding company for Jewett-Cameron Lumber Corporation ("JCLC"), incorporated September 1953. Jewett-Cameron Trading Company, Ltd. acquired all the shares of JCLC through a stock-for-stock exchange on July 13, 1987, and at that time JCLC became a wholly owned subsidiary. Effective September 1, 2013, Jewett-Cameron reorganized certain of its subsidiaries. JCLC's name was changed to JC USA Inc. ("JC USA"), and a new subsidiary, Jewett-Cameron Company ("JCC"), was incorporated. JC USA has the following wholly owned subsidiaries: MSI-PRO Co. ("MSI"), incorporated April 1996, Jewett-Cameron Seed Company, ("JCSC"), incorporated October 2000, Greenwood Products, Inc. ("Greenwood"), incorporated February 2002, and Jewett-Cameron Company ("JCC"), incorporated September 2013. Jewett-Cameron Trading Company, Ltd. and its subsidiaries (the "Company") have no significant assets in Canada.
The Company, through its subsidiaries, operates out of facilities located in North Plains, Oregon. JCC's business consists of the manufacturing and distribution of specialty metal products and wholesale distribution of wood products to home centers and other retailers located primarily in the United States. Greenwood is a processor and distributor of industrial wood products used in a variety of markets and applications, including the marine and transportation markets. MSI is an importer and distributor of pneumatic air tools and industrial clamps in the United States. JCSC is a processor and distributor of agricultural seeds in the United States. JC USA provides professional and administrative services, including accounting and credit services, to its subsidiary companies.
Forward-looking Statements
The information in this release contains certain forward-looking statements that anticipate future trends and events. These statements are based on certain assumptions that may prove to be erroneous and are subject to certain risks, including but not limited to, the uncertainties of the Company's new product introductions, the risks of increased competition and technological change in the Company's industry, and other factors detailed in the Company's SEC filings. Accordingly, actual results may differ, possibly materially, from predictions contained herein.
JEWETT-CAMERON TRADING COMPANY LTD.
CONSOLIDATED BALANCE SHEETS
(Expressed in U.S. Dollars)
(Prepared by Management)
(Unaudited)
February 28,
2014
August 31,
2013
ASSETS
Current assets
Cash
$ 5,816,854
$ 8,308,445
Accounts receivable, net of allowance of $Nil (August 31, 2013 - $Nil)
4,256,286
3,344,777
Inventory, net of allowance of $134,259 (August 31, 2013 - $134,259) (note 3)
7,528,726
8,520,991
Note receivable
-
15,000
Prepaid expenses
2,088,834
587,609
Prepaid income taxes
492,032
270,423
Total current assets
20,182,732
21,047,245
Property, plant and equipment, net (note 4)
2,213,436
2,241,950
Intangible assets, net (note 5)
332,310
368,662
Total assets
$ 22,728,478
$ 23,657,857
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities
Accounts payable
$ 1,190,980
$ 1,715,458
Litigation reserve (note 13(a))
130,854
144,103
Accrued liabilities
765,638
1,149,882
Total current liabilities
2,087,472
3,009,443
Deferred tax liability (note 6)
42,027
50,393
Total liabilities
2,129,499
3,059,836
Contingent liabilities and commitments (note 13)
Stockholders' equity
Capital stock (note 8)
Authorized
21,567,564 common shares, without par value
10,000,000 preferred shares, without par value
Issued
3,076,756 common shares (August 31, 2013 - 3,134,936)
1,451,791
1,479,246
Additional paid-in capital
600,804
600,804
Retained earnings
18,546,384
18,517,971
Total stockholders' equity
20,598,979
20,598,021
Total liabilities and stockholders' equity
$ 22,728,478
$ 23,657,857
JEWETT-CAMERON TRADING COMPANY LTD.
CONSOLIDATED STATEMENTS OF OPERATIONS
(Expressed in U.S. Dollars)
(Prepared by Management)
(Unaudited)
Three Month Period
Ended February 28,
Six Month Period
Ended February 28,
2014
2013
2014
2013
SALES
$ 9,732,649
$ 14,227,824
$ 17,738,930
$ 23,524,229
COST OF SALES
7,974,979
11,788,155
14,131,481
19,093,554
GROSS PROFIT
1,757,670
2,439,669
3,607,449
4,430,675
OPERATING EXPENSES
Selling, general and administrative expenses
446,900
468,162
838,786
803,982
Depreciation and amortization
69,531
64,202
139,550
121,696
Wages and employee benefits
832,421
928,246
1,676,371
1,753,553
1,348,852
1,460,610
2,654,707
2,679,231
Income from operations
408,818
979,059
952,742
1,751,444
OTHER ITEMS
Gain on sale of property, plant and equipment
-
353,852
4,109
353,852
Interest and other income
6,612
6,605
13,273
23,315
Interest expense
-
(400)
-
(400)
6,612
360,057
17,382
376,767
Income before income taxes
415,430
1,339,116
970,124
2,128,211
Income tax expense
(178,032)
(548,485)
(400,147)
(856,834)
Net income
$ 237,398
$ 790,631
$ 569,977
$ 1,271,377
Basic earnings per common share
$ 0.08
$ 0.25
$ 0.18
$ 0.41
Diluted earnings per common share
$ 0.08
$ 0.25
$ 0.18
$ 0.41
Weighted average number of common shares outstanding:
Basic
3,129,764
3,135,860
3,132,365
3,135,902
Diluted
3,129,764
3,135,860
3,132,365
3,135,902
JEWETT-CAMERON TRADING COMPANY LTD.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Expressed in U.S. Dollars)
(Prepared by Management)
(Unaudited)
Three Month Period
Ended February 28,
Six Month Period
Ended February 28,
2014
2013
2014
2013
CASH FLOWS FROM OPERATING ACTIVITIES
Net income
$ 237,398
$ 790,631
$ 569,977
$ 1,271,377
Items not involving an outlay of cash:
Depreciation and amortization
69,531
64,202
139,550
121,696
Gain on sale of property, plant and equipment
-
(353,852)
(4,109)
(353,852)
Deferred income taxes
(3,802)
137,100
(8,366)
151,423
Interest income on litigation
(6,588)
(6,588)
(13,249)
(13,249)
Changes in non-cash working capital items:
Increase in accounts receivable
(2,018,552)
(4,628,402)
(911,509)
(4,202,382)
Decrease in inventory
846,025
68,731
992,265
1,393,096
Decrease in note receivable
-
-
15,000
20,000
(Increase) decrease in prepaid expenses
(1,205,662)
537,657
(1,501,225)
(1,041,955)
Increase in prepaid income taxes
(448,288)
(253,952)
(221,609)
(253,952)
Increase (decrease) in accounts payable and accrued liabilities
837,196
675,104
(908,722)
(296,125)
Decrease in accrued income taxes
-
(330,957)
-
(37,203)
Net cash used in operating activities
(1,692,742)
(3,300,326)
(1,851,997)
(3,241,126)
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of property, plant and equipment
(17,457)
(18,657)
(75,375)
(130,790)
Proceeds from sale of property, plant and equipment
-
410,000
4,800
410,000
Net cash provided by (used in) investing activities
(17,457)
391,343
(70,575)
279,210
CASH FLOWS FROM FINANCING ACTIVITIES
Redemption of common stock
(569,019)
(4,884)
(569,019)
(4,884)
Net cash used in financing activities
(569,019)
(4,884)
(569,019)
(4,884)
Net decrease in cash
(2,279,218)
(2,913,867)
(2,491,591)
(2,966,800)
Cash, beginning of period
8,096,072
7,256,455
8,308,445
7,309,388
Cash, end of period
$ 5,816,854
$ 4,342,588
$ 5,816,854
$ 4,342,588
Contact: Don Boone, President & CEO, (503) 647-0110
Labor SMART, Inc. Opens 20th Branch Location
Denver Office Opening Adds to Growing Footprint
Marketwired Labor SMART, Inc.
April 7, 2014 8:50 AM
HIRAM, GA--(Marketwired - Apr 7, 2014) - Labor SMART, Inc. (OTCQB: LTNC) (the "Company"), an emerging provider of on-demand blue collar staffing primarily in the southeastern United States, today announced the opening of its new branch location in Denver, CO. The company announced the addition of Denver to its planned locations earlier this year.
Ryan Schadel, Labor SMART's CEO, stated, "The Denver offices marks a move for us to the Western US, where we believe there is a significant need for on-demand blue collar staffing. We look forward to serving customers in the Denver area through this new presence." Schadel added that the company intends to continue to expand nationwide and Denver provides the initial footprint for this area of the country. Prior to the Denver office, Labor SMART's presence was primarily regional with a strong concentration in the southeastern US.
About Labor SMART, Inc.
Labor SMART, Inc. provides On-Demand temporary labor to a variety of industries. The Company's clients range from small businesses to Fortune 100 companies. Labor SMART was founded to provide reliable, dependable and flexible resources for on-demand personnel to small and large businesses in areas that include construction, manufacturing, hospitality, event-staffing, restoration, warehousing, retailing, disaster relief and cleanup, demolition and landscaping. Labor SMART believes it can make a positive contribution each and every day for the benefit of its clients and temporary employees. The Company's mission is to be the provider of choice to its growing portfolio of customers with a service-focused approach that enables Labor SMART to be seen as a resource and partner to its clients.
Safe Harbor Statement
This release contains statements that constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements appear in a number of places in this release and include all statements that are not statements of historical fact regarding the intent, belief or current expectations of Labor SMART, Inc., its directors or its officers with respect to, among other things: (i) financing plans; (ii) trends affecting its financial condition or results of operations; (iii) growth strategy and operating strategy. The words "may," "would," "will," "expect," "estimate," "can," "believe," "potential," and similar expressions and variations thereof are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond Labor SMART, Inc.'s ability to control, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors. More information about the potential factors that could affect the business and financial results is and will be included in Labor SMART, Inc.'s filings with the U.S. Securities and Exchange Commission.
Contact:
Beverly Jedynak
Martin E. Janis & Company, Inc.
312-943-1123
bjedynak@janispr.com
Second Quarter Fiscal Year 2014 Earnings Conference Call to be Held on April 8, 2014
GlobeNewswire WD-40 Company
April 1, 2014 4:05 PM
SAN DIEGO, April 1, 2014 (GLOBE NEWSWIRE) -- WD-40 Company (WDFC) has scheduled its quarterly earnings conference call to discuss second quarter financial results and business highlights for fiscal year 2014. The call is scheduled for Tuesday, April 8, 2014 at 2:00pm PDT.
In addition, the company may answer one or more questions concerning business and financial developments and trends and other business and financial matters affecting the company, some of the responses to which may contain information that has not been previously disclosed.
This call is being webcast by Thomson Reuters and can be accessed at WD-40 Company's web site at www.wd40company.com in the Investor Relations section. The quarterly earnings press release for the second quarter will cross the wire at 1:00pm PDT on April 8, 2014.
The webcast is also being distributed through the Thomson StreetEvents Network to both institutional and individual investors. Individual investors can listen to the call at www.earnings.com, Thomson's individual investor portal, powered by StreetEvents. Institutional investors can access the call via Thomson's password-protected event management site, StreetEvents (www.streetevents.com).
WD-40 Company, with headquarters in San Diego, is a global consumer products company dedicated to delivering unique, high-value and easy-to-use solutions for a wide variety of maintenance needs of "doer" and "on-the-job" users by leveraging and building the brand fortress of the company. The company markets multi-purpose maintenance products -- under the WD-40(R) and 3-IN-ONE(R) brand names. The company also markets homecare and cleaning brands: X-14(R) mildew stain remover and automatic toilet bowl cleaners, 2000 Flushes(R) automatic toilet bowl cleaners, Carpet Fresh(R) and No Vac(R) rug and room deodorizers, Spot Shot(R) aerosol and liquid carpet stain removers, 1001(R) household cleaners and rug and room deodorizers, and Lava(R) and Solvol(R) heavy-duty hand cleaners.
WD-40 Company currently markets its products in 188 countries worldwide and recorded sales of $368.5 million in fiscal year 2013.
Contact:
To reserve a spot in our live conference call,
please contact:
Investor Relations
Phone: 1-800-448-9340 Ext 1215
Labor SMART, Inc. Continues to See Sales Increases Year Over Year
Weather Issues Delayed New Branch Openings
Marketwired Labor SMART, Inc.
April 2, 2014 10:00 AM
HIRAM, GA--(Marketwired - Apr 2, 2014) - Labor SMART, Inc. (OTCQB: LTNC) (the "Company"), an emerging provider of on-demand blue collar staffing primarily in the southeastern United States, today announced continued record revenue achievements for March 2014. Revenue overall for March 2014 was $1.438 million, a 25.7 percent increase over the $1.144 million achieved in March 2013. It should be noted that March 2013 was a five week month verses the four-weeks that made up March 2014. For those offices that have been open for a year, revenue for 2014 was $1,005,282.16, an eight percent increase over revenue achieved during the last four weeks of March 2013.
Ryan Schadel, Labor SMART's CEO, stated, "Although we were impacted this month with significant weather related issues in areas of the country where we focus our efforts, we are very pleased with these results. Without the weather issues I believe we would have achieved revenues of approximately $1.6-1.7 million for the month."
Schadel noted that while weather impacted revenues, it had more of an effect on the company's pace of new branch openings. "I expect that we will make up the time lost in this area," said Schadel. He said the company is not adjusting its revenue projections for the year and remains committed to achieving revenue of $30 million for 2014.
Labor SMART's growth strategy of organic growth, new offices and acquisitions continues to be reflected in record revenues for the past 18 months. "The recent strengthening of our sales and business development team as well as our planned new branch openings and potential acquisitions in the coming months lead us to remain very bullish about the coming year," said Schadel.
About Labor SMART, Inc.
Labor SMART, Inc. provides On-Demand temporary labor to a variety of industries. The Company's clients range from small businesses to Fortune 100 companies. Labor SMART was founded to provide reliable, dependable and flexible resources for on-demand personnel to small and large businesses in areas that include construction, manufacturing, hospitality, event-staffing, restoration, warehousing, retailing, disaster relief and cleanup, demolition and landscaping. Labor SMART believes it can make a positive contribution each and every day for the benefit of its clients and temporary employees. The Company's mission is to be the provider of choice to its growing portfolio of customers with a service-focused approach that enables Labor SMART to be seen as a resource and partner to its clients.
Safe Harbor Statement
This release contains statements that constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements appear in a number of places in this release and include all statements that are not statements of historical fact regarding the intent, belief or current expectations of Labor SMART, Inc., its directors or its officers with respect to, among other things: (i) financing plans; (ii) trends affecting its financial condition or results of operations; (iii) growth strategy and operating strategy. The words "may", "would", "will", "expect", "estimate", "can", "believe", "potential", and similar expressions and variations thereof are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond Labor SMART, Inc.'s ability to control, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors. More information about the potential factors that could affect the business and financial results is and will be included in Labor SMART, Inc.'s filings with the U.S. Securities and Exchange Commission.
Contact:
Beverly Jedynak
Martin E. Janis & Company, Inc.
312-943-1123
bjedynak@janispr.com
AZZ incorporated Reports Financial Results for the Fourth Quarter and Year-To-Date of Fiscal Year 2014
Reports Fourth Quarter & Full Year 2014 EPS of $0.40 and $2.32, respectively
Annual sales of $751.7 million, up $181 million or 31.7% over 2013
Fourth Quarter sales of $181.0 million, up $41 million or 28.9% over 2013
Annual Net Cash Flow Provided By Operations of $107.3 million, up $14.5 million or 15.7% compared to prior year
Company declares quarterly dividend of $0.14 per share
Company reaffirms FY 2015 EPS target range of $2.40 to $2.80 per share and target sales range of $850 million to $900 million
PR Newswire AZZ incorporated
6 hours ago
FORT WORTH, Texas, April 4, 2014 /PRNewswire/ -- AZZ incorporated (AZZ), a global provider of electrical products and services and a provider of galvanizing services, today announced unaudited financial results for the three and twelve-month periods ended February 28, 2014. Revenues for the fourth quarter were $181.0 million compared to $140.4 million for the same quarter last year, an increase of 28.9 percent. Net income for the fourth quarter was $10.2 million, or $0.40 per diluted share, compared to net income of $13.2 million, or $0.52 per diluted share, in last year's fourth fiscal quarter.
For the twelve-month period, the Company reported revenues of $751.7 million compared to $570.6 million for the comparable period last year, an increase of 31.7 percent. Net income for the twelve months was $59.6 million, or $2.32 per diluted share, compared to $60.5 million, or $2.37 per diluted share in the comparable period of last year.
Our products backlog at the end of our fourth quarter was $229.9 million. Backlog at the end of the fourth quarter of fiscal year 2013 was $221.7 million. Incoming orders for the fourth quarter were $199.1 million while shipments for the quarter totaled $181.0 million, resulting in a book to ship ratio of 110 percent. Of the backlog of $229.9 million, 33.0 percent is to be delivered outside of the U.S.
Revenues for the Electrical and Industrial Products and Services Segment for the fourth quarter of fiscal 2014 were $103.5 million as compared to $61.9 million for the same quarter last year, an increase of 67.1 percent. Operating income for the segment increased 11.7 percent to $10.2 million compared to $9.2 million in the same period last year. Operating margins for the fourth quarter were 10.0 percent for the quarter as compared to 14.8 percent in the prior year period. AZZ WSI LLC (together with its subsidiaries, "WSI"), acquired March 29, 2013, contributed $53.8 million in revenues and $5.0 million in operating income for the quarter. Excluding WSI, margins for the quarter would have been 10.6 percent. For fiscal 2014, revenues increased 78.2 percent to $416.1 million and operating income increased 34.0 percent to $45.9 million compared to $233.6 million and $34.2 million respectively, in the prior year period. Operating margin for the 2014 fiscal year was 11.0 percent as compared to 14.7 percent in the prior year period. Excluding WSI, FY2014 year to date margins would have been 13.9 percent.
Revenues for the Company's Galvanizing Service Segment for the fourth quarter were $77.5 million, compared to the $78.5 million in the same period last year, a decrease of 1.2 percent. Operating income was $18.7 million as compared to $17.2 million in the prior period, an increase of 9 percent. Operating margins for the fourth quarter were 24.1 percent, compared to 21.9 percent in the same period last year. For fiscal 2014, revenues were $335.6 million and operating income increased 4.8 percent to $92.0 million compared to $337.0 million and $87.8 million respectively, for the twelve months of the prior fiscal year. Year to date operating margins were 27.4 percent compared to 26.1 percent for fiscal 2013.
Non-recurring expenses and income items recorded during the fourth quarter are related to the fire at our Joliet facility as well as expenses related to acquisitions. The rebuilt Joliet facility began a soft start in mid-November, and this facility is now in full production. While we expect to receive additional insurance proceeds under our insurance policy in the future related to the fire at our Joliet facility, the ultimate amount that we collect has not yet been determined. Any future recoveries under this policy will be recognized in the period in which proceeds are approved by our insurance carrier. A reconciliation of these non-recurring items for the compared period is included with the financial tables.
Based upon the evaluation of information currently available to management, we continue to anticipate our fiscal year 2015 gross revenues to be in the range of $850 to $900 million. Our earnings are anticipated to be in the range of $2.40 and $2.80 per diluted share.
Tom Ferguson, president and chief executive officer of AZZ Incorporated, commented, "As I noted on the last call, our markets during the fourth quarter did remain sluggish and our businesses were impacted by more weather delays than expected. We were able to pull in some projects at WSI and to catch up on some of the lost days within Galvanizing. We are seeing some improvement in our quoting activity and look forward to improvement in our core markets during FY2015. We are focused on leveraging our sales teams across all Electrical & Industrial businesses in North America; aggressively expanding internationally; driving operational excellence and growing our galvanizing business, both organically and with targeted acquisitions. I am appreciative of the hard work and dedication I have witnessed from our employees and committed to providing them better systems and tools to perform their roles even more effectively. We have a good portfolio of products and technologies; a respected position within our core markets; and customers that remain loyal due to our service and quality. I am quite optimistic about FY2015 and beyond and believe our guidance for FY2015 is achievable."
Additionally, the Company announced that the Board of Directors, at its regularly scheduled quarterly meeting, declared a $0.14 per share cash dividend on the Company's common stock outstanding. The dividend will be paid at the close of business on May 5, 2014, to shareholders of record on April 21, 2014.
AZZ incorporated will conduct a conference call to discuss financial results for the fourth quarter of fiscal year 2014 at 11:00 A.M. ET on Friday, April 4, 2014. Interested parties can access the conference call by dialing (877) 317-6789 or (412) 317-6789 (international). The call will be web cast via the Internet at http://www.azz.com/investor-relations. A replay of the call will be available for three days at (877) 344-7529 or (412) 317-0088 (international), confirmation #10042828 or for 30 days at http://www.azz.com/investor-relations.
AZZ incorporated is a global provider of specialty electrical equipment and highly engineered services to the power generation, transmission, distributions, and industrial markets as well as a leading provider of hot dip galvanizing services to the North American steel fabrication market.
Certain statements herein about our expectations of future events or results constitute forward-looking statements for purposes of the safe harbor provisions of The Private Securities Litigation Reform Act of 1995. You can identify forward-looking statements by terminology such as, "may," "should," "expects," "plans," "anticipates," "believes," "estimates," "predicts," "potential," "continue," or the negative of these terms or other comparable terminology. Such forward-looking statements are based on currently available competitive, financial and economic data and management's views and assumptions regarding future events. Such forward-looking statements are inherently uncertain, and investors must recognize that actual results may differ from those expressed or implied in the forward-looking statements. This release may contain forward-looking statements that involve risks and uncertainties including, but not limited to, changes in customer demand and response to products and services offered by AZZ, including demand by the power generation markets, electrical transmission and distribution markets, the industrial markets, and the hot dip galvanizing markets; prices and raw material cost, including zinc and natural gas which are used in the hot dip galvanizing process; changes in the economic conditions of the various markets that AZZ serves, foreign and domestic, customer request delays of shipments, acquisition opportunities, currency exchange rates, adequacy of financing, and availability of experienced management employees to implement AZZ's growth strategy. AZZ has provided additional information regarding risks associated with the business in AZZ's Annual Report on Form 10-K for the fiscal year ended February 28, 2013 and other filings with the SEC, available for viewing on AZZ's website at www.azz.com and on the SEC's website at www.sec.gov. You are urged to consider these factors carefully in evaluating the forward-looking statements herein and are cautioned not to place undue reliance on such forward-looking statements, which are qualified in their entirety by this cautionary statement. These statements are based on information as of the date hereof and AZZ assumes no obligation to update any forward-looking statements, whether as a result of new information, future events, or otherwise.
Contact:
Dana Perry, Senior Vice President – Finance and CFO
AZZ incorporated 817-810-0095
Internet: www.azz.com
Lytham Partners 602-889-9700
Joe Dorame or Robert Blum
Internet: www.lythampartners.com
AZZ incorporated
Condensed Consolidated Statement of Income
(in thousands except per share amounts)
Three Months Ended
Twelve Months Ended
February 28, 2014
February 28, 2013
February 28, 2014
February 28, 2013
(unaudited)
(unaudited)
(unaudited)
(unaudited)
Net sales
$181,011
$140,391
$751,723
$570,594
Costs and Expenses:
Cost of Sales
135,287
102,399
546,018
406,422
Selling, General and Administrative
24,613
17,170
105,591
66,189
Interest Expense
4,663
3,270
18,407
13,073
Net (Gain) Loss on Sales or Insurance
Settlement of Property, Plant and
Equipment
217
(2,508)
(8,039)
(8,303)
Other (Income)
(549)
(455)
(4,165)
(1,155)
$164,231
$119,876
$657,812
$476,225
Income before income taxes
$16,780
$20,515
$93,911
$94,369
Income Tax Expense
6,538
7,281
34,314
33,913
Net income
$10,242
$13,234
$59,597
$60,456
Net income per share
Basic
$0.40
$0.52
$2.34
$2.39
Diluted
$0.40
$0.52
$2.32
$2.37
Diluted Average Shares Outstanding
25,721
25,635
25,693
25,561
Segment Reporting
(in thousands)
Three Months Ended
Twelve Months Ended
February 28, 2014
February 28, 2013
February 28, 2014
February 28, 2013
(unaudited)
(unaudited)
(unaudited)
(unaudited)
Net Sales:
Electrical and Industrial Products
$103,470
$61,921
$416,105
$233,555
Galvanizing Services
77,541
78,470
335,618
337,039
$181,011
$140,391
$751,723
$570,594
Segment Operating Income:
Electrical and Industrial Products
$10,232
$9,157
$45,866
$34,228
Galvanizing Services
18,723
17,176
91,983
87,807
Total Segment Operating Income
$28,955
$26,333
$137,849
$122,035
Condensed Consolidated Balance Sheet
(in thousands)
February 28, 2014
February 28, 2013
(unaudited)
(unaudited)
Assets:
Current assets
$296,181
$262,432
Net property, plant and equipment
197,639
154,476
Other assets, net
459,433
277,297
Total assets
$953,253
$694,205
Liabilities and shareholders' equity:
Current liabilities
$144,016
$118,900
Long term debt due after one year
384,768
196,429
Long term liabilities due after one year
9,121
8,539
Other liabilities
39,435
36,403
Shareholders' equity
375,913
333,934
Total liabilities and shareholders' equity
$953,253
$694,205
Condensed Consolidated Statement of Cash Flows
(in thousands)
Twelve Months Ended
February 28, 2014
February 28, 2013
(unaudited)
(unaudited)
Net cash provided by (used in) operating activities
$107,275
$92,738
Net cash provided by (used in) investing activities
($310,968)
($150,142)
Net cash provided by (used in) financing activities
176,333
($30,360)
Effect of exchange rate changes on cash
($673)
$59
Net increase (decrease) in cash and cash equivalents
($28,033)
($87,705)
Cash and cash equivalents at beginning of period
$55,598
$143,303
Cash and cash equivalents at end of period
$27,565
$55,598
AZZ incorporated
Non-GAAP Disclosure
Adjusted Earning and Adjusted Earnings Per Share
Adjusted Earnings and Adjusted Earnings Per Share
In addition to reporting financial results in accordance with GAAP, the Company has provided adjusted earnings and adjusted earnings per share, which are non-GAAP measures. Management believes that the presentation of these measures provides investors with greater transparency comparison of operating results across a broad spectrum of companies , which provides a more complete understanding of the Company's financial performance, competitive position and prospects for the future. Management also believes that investors regularly rely on non-GAAP financial measures, such as adjusted earnings and adjusted earnings per share, to assess operating performance and that such measures may highlight trends in the Company's business that may not otherwise be apparent when relying on financial measures calculated in accordance with GAAP.
The following table provides a reconciliation for the three and twelve months ended February 28, 2014 and 2013 between net income and diluted earnings per share calculated in accordance with GAAP to adjusted earnings and adjusted per share, respectively, which are shown net of tax (dollars in thousands, except per share data):
Three Months Ended February 28,
2014
2013
(in thousands)
Per Diluted Share
Per Diluted Share
Net income and diluted earnings per share
$10,242
$0.40
$13,234
$0.52
Adjustments (net of tax)
Joliet Facility Fire Operating Loss
126
0.0
637
0.03
Joliet Facility Fire-Business Interruption Insurance Proceeds
-
-
-
-
Joliet Facility Fire-Gain from Property Insurance Proceeds
(92)
-
-
-
Law Suit Settlement
-
-
-
-
Acquisition Integration Related Expenditures
476
0.02
197
0.0
Acquisition Related Expense
-
-
415
0.02
Adjusted earnings and adjusted earnings per share
$10,752
$0.42
$14,483
$0.57
Twelve Months Ended February 28,
2014
2013
(in thousands)
Per Diluted Share
Per Diluted Share
Net income and diluted earnings per share
$59,597
$2.32
$60,456
$2.37
Adjustments (net of tax)
Joliet Facility Fire Operating Loss
2,014
0.08
2,371
0.09
Joliet Facility Fire-Business Interruption Insurance Proceeds
(1,796)
(0.07)
-
-
Joliet Facility Fire-Gain from Property Insurance Proceeds
(5,098)
(0.20)
(5,827)
(0.23)
Law Suit Settlement
(2,665)
(0.10)
-
-
Acquisition Integration Related Expenditures
1,223
0.05
182
0.0
Acquisition Related Expense
2,193
0.08
1,090
0.05
Adjusted earnings and adjusted earnings per share
$55,468
$2.16
$58,272
$2.28
Wireless Telecom Group Announces Fourth Quarter and Year-End 2013 Financial Results Including an Annual Increase in Net Sales of 14.3%
Business Wire Wireless Telecom Group, Inc.
March 31, 2014 8:00 AM
PARSIPPANY, N.J.--(BUSINESS WIRE)--
Wireless Telecom Group, Inc. (NYSE MKT:WTT) announced today results for the fourth quarter and twelve months ended December 31, 2013.
For the quarter ended December 31, 2013, the Company reported net sales of $9,532,000, compared to $8,216,000 for the same period in 2012, an increase of 16.0%. Net sales in the Network Solutions segment were $6,012,000, compared to $4,700,000 for the same period in 2012, an increase of 28%. Net sales in the Test and Measurement segment were $3,520,000, compared to $3,516,000 for the same period in 2012.
For the twelve months ended December 31, 2013, the Company reported net sales of $33,825,000, compared to $29,595,000 for the same period in 2012, an increase of 14.3%. Net sales in the Network Solutions segment were $22,032,000, compared to $14,334,000 for the same period in 2012, an increase of 54%. Net sales in the Test and Measurement segment were $11,794,000, compared to $15,260,000 for the same period in 2012, a decrease of 23%.
Net Income for the three and twelve month periods ended December 31 was $1,348,000 and $3,842,000 or $.05 and $.16 per diluted share for 2013 and $1,005,000 and $3,171,000 or $.04 and $.13 per diluted share for 2012, respectively.
Non-GAAP normalized EBITDA for the three and twelve month periods ended December 31 was $1,280,000 and $4,564,000 for 2013 and $1,157,000 and $3,707,000 for 2012, respectively. Our non-GAAP normalized EBITDA results do not include the Company’s tax benefit, depreciation and amortization, interest expense, and certain other costs. A reconciliation of Net Income to non-GAAP normalized EBITDA results is included in an attachment to this press release.
Paul Genova, CEO of Wireless Telecom Group, Inc., commented, “We continue to achieve strong revenue and income growth in the Network Solutions segment. Revenues increased by 54%, driven by our strong position in the North American DAS market and we continued to gain traction globally. Segment income increased by 59% to $5.6M. The primary driver of our growth is the implementation of LTE and DAS to satisfy increasing users’ demand for bandwidth that outpaces existing supply. We believe our Network Solutions segment is well-positioned to continue to take advantage of this market growth.”
“Our Test and Measurement segment showed softness in 2013 in large part due to the US Government sequester, which had a negative effect on order flow during the year. However, we are encouraged by the recent large order of $1.1M received from the FAA, which will be fulfilled in 2014, coupled with the release of our new Boonton USB Peak Power Meter product in the first quarter of 2014.”
Genova continued, “In 2013, we increased our cash position to $16.6M driven by strong operating performance and the sale of a long-term real estate holding. Operations for the year ended December 2013 were impacted slightly by reduced gross margins primarily due to revenue softness in our Test and Measurement segment, non-cash charges related to our stock compensation plans and professional fees related to our strategic business review. In order to supplement the GAAP operating results, we have included within this release certain non-GAAP financial measures to enhance the evaluation of our operating results in 2013. We look forward to ongoing improvements in our operations and cash flows as we continue to execute our strategic plan and pursue opportunities that will increase shareholder value.”
Use of Non-GAAP Financial Measures
This press release includes non-GAAP financial measures that are not in accordance with, nor an alternate to, generally accepted accounting principles and may be different from non-GAAP measures used by other companies. In addition, these non-GAAP measures are not based on any comprehensive set of accounting rules or principles.
Non-GAAP financial measures should not be considered as a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP. They are limited in value because they exclude charges that have a material effect on our reported results and, therefore, should not be relied upon as the sole financial measures to evaluate our financial results. The non-GAAP financial measures are meant to supplement, and to be viewed in conjunction with, GAAP financial results. A reconciliation of our non-GAAP measures is included in an attachment to this press release.
Forward-Looking Statements
Except for historical information, the matters discussed in this news release may be considered "forward-looking" statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such statements include declarations regarding the intent, belief or current expectations of the Company and its management. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve a number of risks and uncertainties that could materially affect actual results. Specifically, no assurances can be made with respect to: the contract awarded by the FAA or the Company’s ability to: gain traction globally regarding the Company’s Network Solutions segment, grow profitability in the Company’s Network Solutions business segment, improve revenue growth in our Test and Measurement segment as a result of the release of our new Boonton USB Peak Power Meter product, continue execution on the Company’s strategic plan, including continued revenue, earnings and cash flow improvements, and increase value to the Company’s shareholders. Further information regarding risks and uncertainties that could affect the Company’s results are identified in the Company's reports and registration statements filed with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2013.
About Wireless Telecom Group, Inc.
Wireless Telecom Group designs and manufactures radio frequency (RF) and microwave-based products for wireless and advanced communications industries and markets its products and services worldwide under the Boonton, Microlab and Noisecom brands. Its complementary suite of high performance components and instruments includes RF combiners and broadband combiner boxes for in-building distributed antenna systems deployments (DAS), RF power splitters and diplexers, hybrid couplers, peak power meters, signal analyzers, noise modules, precision noise and generators. The Company serves both commercial and government markets with workflow-oriented, WiFi, WiMAX, satellite, cable, radar, avionics, medical, and computing applications. Wireless Telecom Group is headquartered in Parsippany, New Jersey, in the New York City metropolitan area, and maintains a global network of Sales and Service offices for excellent product service and support. Wireless Telecom Group’s website address is http://www.wtcom.com.
See following Selected Financial Results
SELECTED FINANCIAL RESULTS
(In thousands, except per share amounts)
Three months ended Twelve months ended
December 31,
December 31,
2013
2012
2013
2012
Statement of Operations Data:
Net sales $9,532 $8,216 $33,825 $29,595
Gross profit 4,493 4,132 16,128 14,777
Operating expenses
Research and development 686 633 2,645 2,524
Sales and marketing 1,335 1,255 4,858 4,603
General and administrative 1,809 1,420 6,429 4,892
Total operating expenses 3,830 3,308 13,932 12,019
Operating income 663 824 2,196 2,758
Interest and other (income) expense 5 (40) (371) (23)
Income before income taxes 658 864 2,567 2,781
Net income $1,348 $1,005 $3,842 $3,171
Net income per common share:
Basic $0.05 $0.04 $0.16 $0.13
Diluted $0.05 $0.04 $0.16 $0.13
Weighted average shares outstanding:
Basic 24,033 24,069 23,935 24,259
Diluted 24,945 24,439 24,534 24,633
Three months ended Twelve months ended
December 31,
December 31,
2013
2012
2013
2012
Reconciliation of GAAP Net Income
to Non-GAAP Normalized EBITDA:
GAAP net income $1,348 $1,005 $3,842 $3,171
Tax benefit (691) (140) (1,275) (390)
Depreciation 97 93 345 351
Stock compensation expense 267 91 746 309
Interest - 49 114 201
Non-recurring costs (1) 259 59 793 65
Non-GAAP normalized EBITDA $1,280 $1,157 $4,565 $3,707
(1) Includes professional fees related to our strategic business review
December 31, December 31,
2013
2012
Balance Sheet Data:
Cash & cash equivalents $16,599 $12,970
Working capital $29,205 $26,516
Total assets $43,437 $41,230
Total liabilities $3,163 $5,315
Shareholders’ equity $40,274 $35,915
Contact:
Wireless Telecom Group, Inc.
Robert Censullo, 973-386-9696
The "Street has AZZ coming in at .45 for the quarter that should be reported on or about April 04, 2014!
All post's welcome!
The "Good Dr's In"!
The "Street has AZZ coming in at .45 for the quarter that should be reported on or about April 04, 2014!
All post's welcome!
The "Good Dr's In"!
AZZ incorporated to Review Fourth Quarter and Fiscal Year 2014 Financial Results on Friday, April 4, 2014
PR Newswire AZZ incorporated
3 hours ago
FORT WORTH, Texas, March 31, 2014 /PRNewswire/ -- AZZ incorporated (AZZ), a global provider of electrical products and services and a provider of galvanizing services, will conduct a conference call to review the financial results for the fourth quarter and fiscal year 2014 at 11:00 a.m. ET on Friday, April 4, 2014. The Company will report fourth quarter and fiscal year 2014 financial results before the market opens on Friday, April 4, 2014.
Interested parties can access the conference call by dialing (877) 317-6789 or (412) 317-6789 (international). The call will be web cast via the Internet at http://www.azz.com/investor-relations.
A replay of the call will be available for three days at (877) 344-7529 or (412) 317-0088 (international), confirmation #10042828, or for 30 days at http://www.azz.com/investor-relations.
AZZ incorporated is a global provider of specialty electrical equipment and highly engineered services to the power generation, transmission, distributions, and industrial markets as well as a leading provider of hot dip galvanizing services to the North American steel fabrication market.
Contact:
Tom Ferguson, Chief Executive Officer
Dana Perry, Senior Vice President – Finance and CFO
AZZ incorporated (817) 810-0095
Internet: www.azz.com
Lytham Partners (602) 889-9700
Joe Dorame or Robert Blum
Sonic Reports Strong Second Fiscal Quarter Results
Same-Store Sales Grow In Spite of Difficult Weather
Business Wire Sonic Corp.
March 24, 2014 4:05 PM
OKLAHOMA CITY--(BUSINESS WIRE)--
Sonic Corp. (SONC), the nation's largest chain of drive-in restaurants, today announced results for the second fiscal quarter ended February 28, 2014.
Key highlights of the company's second fiscal quarter included:
Net income per diluted share was $0.07 compared with reported net income per diluted share of $0.06 in the second fiscal quarter of 2013; excluding certain adjustments in the second fiscal quarter of 2013 as outlined below, net income per diluted share increased 40% in the second fiscal quarter of 2014;
System-wide same-store sales increased 1.4%, consisting of an increase of 1.5% at franchise drive-ins and an increase of 1.3% at company drive-ins;
Company drive-in margins improved 80 basis points; and
The company repurchased approximately $51 million of stock representing almost 5% of its stock outstanding as of the beginning of the quarter.
“We are very pleased with our second quarter results, especially in light of the difficult weather that impacted many of our markets. Our solid sales and financial performance resulted from multiple system-wide initiatives such as increased media efficiency, innovative products and layered day-part promotions. These initiatives complement our focus on service, products and pricing,” said Cliff Hudson, Chairman, Chief Executive Officer and President. “During the quarter we also began to roll out our technology initiatives, as well as signed new franchise development agreements for the development of 26 new drive-ins.
“In addition to great operating results, we used existing cash and free cash flow1 to repurchase $51 million in shares at an average price of $19.14 per share, representing nearly 5% of our outstanding shares. Since our current repurchase program began in fiscal 2012, we have repurchased more than $125 million of stock representing 17% of our outstanding shares. We have completed these repurchases while improving our balance sheet, which reflects the strength of our franchise business model.
“We will continue to focus on our multi-layered growth strategy, which incorporates same-store sales growth, leverage from higher sales, deployment of free cash flow, increasing royalty revenues and new drive-in development to build shareholder value. We believe all of these initiatives will enable us to continue to achieve double-digit earnings per share growth in the near and long term,” concluded Mr. Hudson.
Same-Store Sales
For the second fiscal quarter ended February 28, 2014, system-wide same-store sales increased 1.4%, which was comprised of a 1.5% same-store sales increase at franchise drive-ins and an increase of 1.3% at company drive-ins.
Financial Overview
For the second fiscal quarter of 2014, the company's net income totaled $4.1 million or $0.07 per diluted share, compared with net income of $3.6 million or $0.06 per diluted share in the same period in the prior year. Net income per diluted share was $0.05 for the second quarter of fiscal year 2013, excluding a $0.9 million tax benefit that included the retroactive reinstatement of the Work Opportunity Tax Credit (“WOTC”) and resolution of certain tax matters, as well as a $0.5 million ($0.3 million after-tax) charge from the write-off of debt origination costs associated with the $20.0 million early extinguishment of debt. Excluding the items outlined below, net income and net income per diluted share increased 35% and 40%, respectively.
The following non-GAAP adjustments are intended to supplement the presentation of the company's financial results in accordance with GAAP. The company believes that the presentation of these items provides useful information to investors and management regarding the underlying business trends and the performance of the company's ongoing operations and is helpful for period-to-period and company-to-company comparisons, which management believes will assist investors in analyzing the financial results of the company and predicting future performance.
Three months ended Three months ended
February 28, 2014 February 28, 2013
Net Diluted Net Diluted Net Income Diluted EPS
Income EPS Income EPS $ Change % Change $ Change % Change
Reported – GAAP $ 4,107 $ 0.07 $ 3,577 $ 0.06 $ 530 15 % $ 0.01 17 %
After-tax loss from early extinguishment of debt - - 315 0.01
Retroactive tax benefit of WOTC and resolution of tax matters - - (857 ) (0.02 )
Adjusted - Non-GAAP $ 4,107 $ 0.07 $ 3,035 $ 0.05 $ 1,072 35 % $ 0.02 40 %
For the first six months of fiscal 2014, net income totaled $12.3 million or $0.21 per diluted share compared with net income of $9.7 million or $0.17 per diluted share for the same period in 2013. Excluding the items outlined below, net income and net income per diluted share increased 27% and 25%, respectively.
Six months ended Six months ended
February 28, 2014 February 28, 2013
Net Diluted Net Diluted Net Income Diluted EPS
Income EPS Income EPS $ Change % Change $ Change % Change
Reported – GAAP $ 12,315 $ 0.21 $ 9,710 $ 0.17 $ 2,605 27 % $ 0.04 24 %
Tax benefit from the IRS' acceptance of a federal tax method change (484 ) (0.01 ) - -
After-tax loss from early extinguishment of debt - - 315 0.01
Retroactive tax benefit of WOTC and resolution of tax matters - - (743 ) (0.02 )
Adjusted - Non-GAAP $ 11,831 $ 0.20 $ 9,282 $ 0.16 $ 2,549 27 % $ 0.04 25 %
Company drive-in sales for the second quarter and first six months of fiscal 2014 decreased by $1.9 million and $1.8 million, respectively, compared to the same period in the prior year primarily as a result of the closure of 12 company drive-ins during the fourth fiscal quarter of 2013 and the refranchising of seven company drive-ins during the first fiscal quarter of 2014, partially offset by an increase in same-store sales.
Development
During the second fiscal quarter, six new franchise drive-ins were opened versus three new franchise drive-in openings during the second quarter of fiscal 2013. Fiscal year-to-date, 13 new franchise drive-ins have opened versus four drive-ins in the first half of fiscal 2013.
Fiscal Year 2014 Outlook
The company expects its initiatives to drive 14% to 15% earnings per share growth in fiscal 2014 as compared to the adjusted non-GAAP earnings per share for fiscal 2013. The macroeconomic environment and its impact on consumer confidence, in addition to the pacing of capital investments, may impact results. The outlook for fiscal 2014 anticipates the following elements:
Positive same-store sales in the low single digit range for the system;
Company drive-ins expected to perform above the system average in the latter half of the fiscal year as new digital point-of-purchase technology and a new point-of-sale system are implemented;
40 to 50 new franchise drive-in openings and fewer drive-in closings than in fiscal 2013;
Drive-in-level margins improving between 50 to 100 basis points, depending upon the degree of same-store sales growth at company drive-ins and the level of commodity cost inflation over the spring and summer months;
Selling, general and administrative expenses of $68.5 million to $69.5 million;
Depreciation and amortization expense of $42 million to $42.5 million;
Net interest expense of approximately $25 million;
An income tax rate between 36% to 37% over the second half of the fiscal year;
Capital expenditures of $70 million to $75 million, which assumes the implementation of a new point-of-sale system and digital point-of-purchase technology in company drive-ins during fiscal 2014 and construction of new and relocated drive-ins;
Free cash flow of approximately $15 million to $25 million; and
The repurchase of $80 million of stock across the fiscal year utilizing existing cash on hand and free cash flow.
Earnings Conference Call
The company will host a conference call and online web simulcast this afternoon beginning at 5:00 p.m. ET. The conference call can be accessed live by dialing (866) 454-4208 or (913) 312-0867 for international callers. A replay will be available one hour after the call and can be accessed by dialing (877) 870-5176 or (858) 384-5517 for international callers; the conference ID is 6821037. The replay will be available until Monday, March 31, 2014. An online replay of the conference call will be available approximately two hours after the conclusion of the live broadcast. A link to this event may be found on the company's investor relations website at http://ir.sonicdrivein.com/.
About Sonic
SONIC®, America's Drive-In®, is the nation's largest chain of drive-in restaurants with more than 3,500 drive-ins serving approximately 3 million customers every day. Over the past 60 years, SONIC has delighted guests with signature menu items, more than 1 million drink combinations, friendly service by iconic Carhops and ongoing support of education through its award-winning Limeades for Learning® program. SONIC received top honors as America's “#1 burger quick service restaurant,” ranking in the top 5 of all brands in the 2014 Temkin Experience Ratings report. For more information about Sonic Corp. (NASDAQ/NM:SONC) and its subsidiaries, please visit sonicdrivein.com. Customers can also connect with SONIC at facebook.com/sonicdrivein or on Twitter @sonicdrive_in.
This press release contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements reflect management's expectations regarding future events and operating performance and speak only as of the date hereof. These forward-looking statements involve a number of risks and uncertainties. Factors that could cause actual results to differ materially from those expressed in, or underlying, these forward-looking statements are detailed in the company's annual and quarterly report filings with the Securities and Exchange Commission. The company undertakes no obligation to publicly release revisions to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unforeseen events, except as required to be reported under the rules and regulations of the Securities and Exchange Commission.
The tables that follow provide information regarding the number of company drive-ins, franchise drive-ins and system drive-ins in operation as of the end of the periods indicated. In addition, these tables provide information regarding franchise sales, system growth in sales, and both franchise and system average drive-in sales and change in same-store sales. System information includes both company and franchise drive-in information, which we believe is useful in analyzing the growth of our brand. While we do not record franchise drive-in sales as revenues, we believe this information is important in understanding our financial performance since we calculate and record franchise royalties based on a percentage of franchise sales. This information also is indicative of the financial health of our franchisees.
1 Free cash flow is defined as net income plus depreciation, amortization and stock compensation expenses, less capital expenditures.
SONC-F
SONIC CORP.
UNAUDITED CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except per share amounts)
Three months ended Six months ended
February 28, February 28,
2014 2013 2014 2013
Revenues:
Company Drive-In sales $ 81,848 $ 83,706 $ 175,347 $ 177,162
Franchise Drive-Ins:
Franchise royalties and fees 26,582 25,996 57,803 55,916
Lease revenue 715 949 1,601 2,435
Other 596 490 1,642 1,636
Total revenues 109,741 111,141 236,393 237,149
Costs and expenses:
Company Drive-Ins:
Food and packaging 23,043 23,546 49,279 50,178
Payroll and other employee benefits 30,031 31,448 63,371 64,913
Other operating expenses, exclusive of
depreciation and amortization included below 18,437 18,811 40,244 40,787
Total cost of Company Drive-In sales 71,511 73,805 152,894 155,878
Selling, general and administrative 15,886 15,467 32,891 31,597
Depreciation and amortization 10,031 10,069 20,065 20,664
Other operating income, net (36 ) (218 ) (165 ) (211 )
Total costs and expenses 97,392 99,123 205,685 207,928
Income from operations 12,349 12,018 30,708 29,221
Interest expense 6,384 7,448 12,767 15,123
Interest income (144 ) (168 ) (261 ) (309 )
Loss from early extinguishment of debt - 492 - 492
Net interest expense 6,240 7,772 12,506 15,306
Income before income taxes 6,109 4,246 18,202 13,915
Provision for income taxes 2,002 669 5,887 4,205
Net income $ 4,107 $ 3,577 $ 12,315 $ 9,710
Basic income per share $ 0.07 $ 0.06 $ 0.22 $ 0.17
Diluted income per share $ 0.07 $ 0.06 $ 0.21 $ 0.17
Weighted average basic shares 55,958 55,798 56,125 56,735
Weighted average diluted shares 57,408 56,423 57,653 57,254
SONIC CORP.
Unaudited Supplemental Information
Three months ended Six months ended
February 28, February 28,
2014 2013 2014 2013
Drive-Ins in Operation
Company:
Total at beginning of period 388 409 396 409
Opened - - - -
Sold to franchisees - - (7 ) -
Closed (net of re-openings) - (4 ) (1 ) (4 )
Total at end of period 388 405 388 405
Franchise:
Total at beginning of period 3,129 3,140 3,126 3,147
Opened 6 3 13 4
Acquired from the company - - 7 -
Closed (net of re-openings) (16 ) (22 ) (27 ) (30 )
Total at end of period 3,119 3,121 3,119 3,121
System-wide:
Total at beginning of period 3,517 3,549 3,522 3,556
Opened 6 3 13 4
Closed (net of re-openings) (16 ) (26 ) (28 ) (34 )
Total at end of period 3,507 3,526 3,507 3,526
Three months ended Six months ended
February 28, February 28,
2014 2013 2014 2013
($ in thousands) ($ in thousands)
Sales Analysis
Company Drive-Ins:
Total sales $ 81,848 $ 83,706 $ 175,347 $ 177,162
Average drive-in sales 213 207 452 437
Change in same-store sales 1.3 % 1.9 % 1.6 % 3.1 %
Franchised Drive-Ins:
Total sales $ 725,270 $ 712,934 $ 1,559,540 $ 1,527,736
Average drive-in sales 235 232 502 494
Change in same-store sales 1.5 % (0.3 ) % 1.8 % 1.3 %
System-wide:
Change in total sales 0.8 % (0.5 ) % 1.5 % 1.6 %
Average drive-in sales $ 234 $ 229 $ 499 $ 487
Change in same-store sales 1.4 % - % 1.8 % 1.5 %
Note: Change in same-store sales based on restaurants open for a minimum of 15 months.
SONIC CORP.
Unaudited Supplemental Information
Three months ended Six months ended
February 28, February 28,
2014 2013 2014 2013
Revenues (in thousands)
Company Drive-In sales $ 81,848 $ 83,706 $ 175,347 $ 177,162
Franchise Drive-Ins:
Franchise royalties 26,376 25,821 57,288 55,736
Franchise fees 206 175 515 180
Lease revenue 715 949 1,601 2,435
Other 596 490 1,642 1,636
Total revenues $ 109,741 $ 111,141 $ 236,393 $ 237,149
Three months ended Six months ended
February 28, February 28,
2014 2013 2014 2013
Margin Analysis (percentage of Company Drive-In sales)
Company Drive-Ins:
Food and packaging 28.2 % 28.1 % 28.1 % 28.3 %
Payroll and employee benefits 36.7 37.6 36.1 36.6
Other operating expenses 22.5 22.5 23.0 23.1
Cost of Company Drive-In sales 87.4 % 88.2 % 87.2 % 88.0 %
February 28, August 31,
2014 2013
Selected Balance Sheet Data (In thousands)
Cash and cash equivalents $ 35,117 $ 77,896
Current assets 87,784 140,722
Property, equipment and capital leases, net 415,334 399,661
Total assets $ 618,623 $ 660,794
Current liabilities, including capital lease obligations and
long-term debt due within one year $ 61,105 $ 72,930
Obligations under capital leases due after one year 25,020 22,458
Long-term debt due after one year 432,485 437,380
Total liabilities 572,353 583,330
Stockholders' equity $ 46,270 $ 77,464
Contact:
Claudia San Pedro
Vice President of Investor Relations, Communications and Treasurer
405-225-4846
Labor SMART, Inc. Names New Director of Business Development
Company to Aggressively Ramp Up Growth
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Marketwired
Labor SMART, Inc.
2 hours ago
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HIRAM, GA--(Marketwired - Mar 26, 2014) - Labor SMART, Inc. (OTCQB: LTNC) (the "Company"), an emerging provider of on-demand blue collar staffing primarily in the southeastern United States, today announced the addition of Jay Reynolds as its new Director of Business Development. In this position Mr. Reynolds will join the company's Corporate Accounts Team as Labor SMART continues to aggressively ramp up its growth.
Ryan Schadel, Labor SMART's CEO, stated, "Jay brings with him a tremendous amount of experience and a strong belief in what we are doing at Labor SMART. I believe his addition to the team will greatly enhance our sales culture and help us continue to execute our business plan expeditiously."
Mr. Reynolds brings with him over 15 years of staffing experience and most recently held the position of District Manager at TrueBlue, Inc. In addition to a Business Management Degree from Shenandoah University with a minor in Safety from Tidewater College, Mr. Reynolds is also a certified sales trainer.
Labor SMART has seen significant revenue growth in the first two months of 2014. The company previously announced achieving revenue growth of 142% in the first two months of 2014 as compared to the same two months in 2013.
About Labor SMART, Inc.
Labor SMART, Inc. provides On-Demand temporary labor to a variety of industries. The Company's clients range from small businesses to Fortune 100 companies. Labor SMART was founded to provide reliable, dependable and flexible resources for on-demand personnel to small and large businesses in areas that include construction, manufacturing, hospitality, event-staffing, restoration, warehousing, retailing, disaster relief and cleanup, demolition and landscaping. Labor SMART believes it can make a positive contribution each and every day for the benefit of its clients and temporary employees. The Company's mission is to be the provider of choice to its growing portfolio of customers with a service-focused approach that enables Labor SMART to be seen as a resource and partner to its clients.
Safe Harbor Statement
This release contains statements that constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements appear in a number of places in this release and include all statements that are not statements of historical fact regarding the intent, belief or current expectations of Labor SMART, Inc., its directors or its officers with respect to, among other things: (i) financing plans; (ii) trends affecting its financial condition or results of operations; (iii) growth strategy and operating strategy. The words "may", "would", "will", "expect", "estimate", "can", "believe", "potential", and similar expressions and variations thereof are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond Labor SMART, Inc.'s ability to control, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors. More information about the potential factors that could affect the business and financial results is and will be included in Labor SMART, Inc.'s filings with the U.S. Securities and Exchange Commission.
Contact:
Beverly Jedynak
Martin E. Janis & Company, Inc.
312-943-1123
bjedynak@janispr.com
RLJ Entertainment Reports Financial Results for the Fourth Quarter and Full Year Ended December 31, 2013
GlobeNewswire RLJ Entertainment, Inc.
March 19, 2014 4:55 PM
SILVER SPRING, Md., March 19, 2014 (GLOBE NEWSWIRE) -- RLJ Entertainment Inc., ("RLJ Entertainment" or "the Company") (RLJE), today reported results for the fourth quarter and full year ended December 31, 2013. Full details of the financial results as well as Management Discussion and Analysis, or MD&A, can be found in the Company's Form 10-K to be filed with the SEC.
RLJ Entertainment is a leading creator, owner and distributor of media content across digital, broadcast and physical platforms. The Company leverages its branding expertise, access to content and direct to consumer skills to optimize the value of its programs for distinct audiences.
RLJ Entertainment is focused on driving growth through the development of interest-based entertainment services for targeted audiences in niche genres including British drama and mystery, urban, action/thriller, and fitness, by using new technologies to deliver that content to consumers.
Robert L. Johnson, Chairman of RLJ Entertainment stated, "I am pleased with the progress the RLJ Entertainment management team has made right sizing the business and allocating capital to growth areas. As the appetite for unique and genre-specific content continues to grow both domestically and internationally and across multiple platforms, I am confident that RLJ Entertainment is well positioned to capitalize on this demand and drive cash flow generation, especially as it continues to develop new proprietary digital channels."
Basis of Presentation
The financial results for the three and twelve months ended December 31, 2013 and for the period of October 3, 2012 through December 31, 2012, reflect the operating activities of RLJ Entertainment and its subsidiaries (referred to as the "Successor" period). The results for the periods ended October 1, 2012 through October 2, 2012 and January 1, 2012 through October 2, 2012 reflect the operations of only Acorn Media and its subsidiaries (referred to as the "Predecessor" period). The comparative discussion below for these periods is based on Generally Accepted Accounting Principles in the United States (or U.S. GAAP) and the results for the 2012 Predecessor periods are not indicative of, or comparable to, results for the 2013 and 2012 Successor periods.
The Company has included in this release an extensive discussion and presentation of pro forma information in order to assist investors' understanding of the Company's ability to generate cash and grow and meet its financial commitments. This earnings release references non-GAAP measures including Adjusted EBITDA defined as earnings before income tax, depreciation, amortization, cash investment in content, interest expense, transaction and severance costs, warrants and stock-based compensation. The Company will not necessarily present this same level of disclosure on an ongoing basis.
GAAP Financial Results
Based on the Company's consolidated financial statements for the Successor periods three months ended December 31, 2013, compared to the period of October 3, 2012 through December 31, 2012, net revenue decreased $2.0 million to $57.5 million. Net revenue for the twelve months ended December 31, 2013 was $164.8 million compared to the Successor period of October 3, 2012 through December 31, 2012 of $59.5 million and the Predecessor period of January 1, 2012 through October 2, 2012 of $57.8 million.
Net loss for the three months ended December 31, 2013 totaled $2.1 million, compared to a net profit of $1.7 million for the period of October 3, 2012 through December 31, 2012. This decline is mostly attributable to the increase in cost of sales of $3.9 million, which includes $1.6 million of non-cash impairment charges of content rights and inventories for the three months ended December 31, 2013 compared to $143,000 during the period of October 3, 2012 through December 31, 2012.
For the twelve months ended December 31, 2013 (Successor), net loss totaled $31.1 million, compared to net loss of $5.3 million for the period of January 1, 2013 through October 2, 2012 (Predecessor) and net income of $1.7 million (Successor) for the period of October 3, 2012 through December 31, 2012. This decline in earnings is mostly attributed to higher cost of sales and increased selling, general and administrative expenses with the inclusion of Image business for the whole year of 2013 versus less than three months in 2012. In addition, in 2013 there was higher interest expense due to the new credit facility put in place at the formation of the company in 2012. Additionally amortization expense increased due to the purchase price allocation "step up" fair values applied during the accounting of the business combination among RLJ Entertainment, Image Entertainment and Acorn Media in the 4th quarter of 2012.
Miguel Penella, Chief Executive Officer of RLJ Entertainment, commented:
"The Company's 2013 year was a period of significant transition for RLJ Entertainment, and I am pleased with the work that we have done to put in place initiatives that we believe will drive our business forward in 2014 and beyond. During the year, we made critical key hires at the management level, completed the integration of Acorn and Image, strengthened our content investment through capital reallocation and advanced the development of new proprietary subscription video-on-demand ("SVOD") digital channels, most notably through the expansion of programming on Acorn TV, the launch of our new Acacia TV channel and the development of a new urban network.
"In 2014, our focus will be to re-deploy our content capital from deals terminated in 2013 into content acquisitions that will meet or exceed our high return on investment threshold. As a result of this, as well as further progress on our digital distribution initiatives and continued benefit from the repositioning and streamlining of our business, we anticipate strengthened gross margins and improved Adjusted EBITDA in 2014."
Pro Forma Financial Results
The Company is presenting financial information for the three and twelve months ended December 31, 2013, and pro forma financial information for three and twelve months ended December 31, 2012, due to the closing of the business combination among RLJ Entertainment, Image Entertainment and Acorn Media on October 3, 2012. Unaudited pro forma financial information reflects the 2012 operating results of RLJ Entertainment as if Image Entertainment and Acorn Media were acquired as of the beginning of 2012. These combined results are not necessarily indicative of the results that may have been achieved had the combined companies been combined as of such date or period, or of RLJ Entertainment's future operating results.
For the three months ended December 31, 2013, RLJ Entertainment net revenue declined $2.4 million to $57.5 million compared to pro forma net revenue of $59.9 million for the three months ended December 31, 2012. The decline in 4th quarter revenue was driven by (i) a decrease in the Company's Wholesale segment in the U.S. due to a significant reduction in sales return reserves in 2012 for feature films that did not repeat in the current year, and (ii) lower than expected license fees on a few film titles. The decreased revenue in the quarter was partially offset by increases in our Acorn wholesale (10.7%), U.S. Direct to Consumer (2.8%) and U.K. Acorn wholesale (5.6%) lines of business.
For the twelve months ended December 31, 2013, RLJ Entertainment net revenue declined $16.2 million to $164.8 million compared to pro forma net revenue of $181.0 million for the twelve months ended December 31, 2012. The decline in revenue was driven by (i) a significant reduction in rebates and sales return reserves in 2012 in our Wholesale segment, that did not repeat in the current year, (ii) higher than expected sales returns from a terminated distributor, (iii) lower than expected license fees, and (iv) lower than expected customer sales at a key book retailer. These declines were partially offset by $8.0 million in revenue growth from the production and subsequent release of Foyle's War Series 8, solid growth in the Company's Direct-to-Consumer segment, which increased 4.9%, or $1.9 million, for 2013 versus the prior year, and growth in our U.K. wholesale distribution business, which grew 6.7% or $770,000 for 2013 versus prior year.
Adjusted EBITDA in the 4th quarter 2013 increased by $9.8 million or 373.2% to $12.5 million for the three months ended December 31, 2013, compared to the same period in 2012. The increase in Adjusted EBITDA for the three months ended December 31, 2013, is primarily attributable to improved invested content capital and lower cost of goods sold excluding fair value amortization and impairments. Additionally, the Company reduced its SG&A cost by $5.9 million or 26.0% for 2013 compared to the three months ended December 31, 2012.
Adjusted EBITDA increased $4.5 million or 49.4% to $13.7 million for the twelve months ended December 31, 2013, as compared to the prior year period. The increase in Adjusted EBITDA for the twelve months ended December 31, 2013, primarily relates to (i) more effective investment of content during the year and (ii) SG&A cost reduction and post integration cost containment. In 2012, the Company made significant expenditures related to its production of Foyle's War 8, which was released in the first quarter of 2013. The Company is now in preproduction for Foyle's War 9.
Adjusted EBITDA is a non-GAAP financial measure. See below for reconciliation to U.S. GAAP.
RLJ Entertainment, Inc. (RLJE) is a premier independent owner, developer, licensee and distributor of entertainment content and programming in primarily North America, the United Kingdom and Australia with over 5,300 exclusive titles. RLJE is a leader in numerous genres via its owned and distributed brands such as Acorn (British TV), Image (feature films, stand-up comedy), One Village (urban), Acacia (fitness), Athena (documentaries) and Madacy (gift sets). These titles are distributed in multiple formats including broadcast television (including satellite and cable), theatrical and non-theatrical, DVD, Blu-Ray, digital download and digital streaming.
Via its relationship with Agatha Christie Limited, a company that RLJE owns 64% of, RLJE manages the intellectual property and publishing rights to some of the greatest works of mystery fiction, including stories of the iconic sleuths Miss Marple and Poirot. RLJE also owns all rights to the hit U.K. mystery series Foyle's War.
RLJE leverages its management experience to acquire, distribute and monetize existing and original content for its many distribution channels, including its branded digital subscription channels, Acorn TV and Acacia TV, and engages distinct audiences with programming that appeals directly to their unique viewing interests. Through its proprietary e-commerce web sites and print catalogs for the Acorn and Acacia brands, RLJE has direct contacts and billing relationships with millions of consumers.
Forward Looking Statements
This press release may include "forward looking statements" within the meaning of the "safe harbor" provisions of the United Stated Private Securities Litigation Reform Act of 1995. Other than statements of historical fact, all statements made in this press release are forward-looking, including, but not limited to, statements regarding industry prospects, future results of operations or financial position, and statements of our intent, belief and current expectations about our strategic direction, prospective and future results and condition. In some cases, forward-looking statements may be identified by words such as "will," "should," "could," "may," "might," "expect," "plan," "possible," "potential," "predict," "anticipate," "believe," "estimate," "continue," "future," "intend," "project" or similar words.
Forward-looking statements involve risks and uncertainties that are inherently difficult to predict, which could cause actual outcomes and results to differ materially from our expectations, forecasts and assumptions. Factors that might cause such differences include, but are not limited to:
Our financial performance, including our ability to achieve revenue growth and Adjusted EBITDA or realize synergies;
Our ability to make scheduled payments or to refinance our debt obligations;
Our ability to satisfy financial ratios;
Our ability to fund planned capital expenditures and development efforts;
Our inability to gauge and predict the commercial success of our programming;
The ability of our officers and directors to generate a number of potential investment opportunities;
Our ability to maintain relationships with customers, employees, suppliers and lessors;
Delays in the release of new titles or other content;
The effects of disruptions in our supply chain;
The loss of key personnel;
Our public securities' limited liquidity and trading; or
Our ability to continue to meet the NASDAQ Capital Market continuing listing standards.
You should carefully consider and evaluate all of the information in this press release , including the risk factors listed above and in our Form 10-K filed with the Securities Exchange Commission (or SEC), including "Item 1A. Risk Factors." If any of these risks occur, our business, results of operations, and financial condition could be harmed, the price of our common stock could decline and you may lose all or part of your investment, and future events and circumstances could differ significantly from those anticipated in the forward-looking statements contained in this press release. Unless otherwise required by law, we undertake no obligation to release publicly any updates or revisions to any such forward-looking statements that may reflect events or circumstances occurring after the date of this Annual Report.
Readers are referred to the most recent reports filed with the SEC by RLJ Entertainment. Readers are cautioned not to place undue reliance upon any forward-looking statements, which speak only as of the date made, and we undertake no obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise.
RLJ ENTERTAINMENT, INC.
CONSOLIDATED BALANCE SHEETS
As of December 31, 2013 and 2012
Successor
(In thousands, except share data) December 31,
2013 2012
ASSETS
Cash and cash equivalents $7,674 $4,739
Accounts receivable, net 20,324 24,611
Inventories, net 15,589 23,029
Investments in content, net 81,641 89,797
Prepaid expenses and other assets 2,527 1,938
Property, equipment and improvements, net 1,759 1,800
Equity investment in affiliates 25,233 25,449
Other intangible assets 19,651 23,883
Goodwill 47,066 47,382
Total assets $221,464 $242,628
LIABILITIES AND EQUITY
Accounts payable and accrued liabilities $32,331 $30,590
Accrued royalties and distribution fees 43,309 32,658
Deferred revenue 4,402 4,339
Debt, less debt discount 77,558 82,323
Deferred tax liability 1,814 350
Stock warrant liability 4,123 4,324
Total liabilities 163,537 154,584
Equity:
Common stock, $0.001 par value, 250 million shares authorized, 13,700,862 and 13,377,546 shares issued and outstanding at December 31, 2013 and December 31, 2012, respectively 13 13
Additional paid-in capital 86,938 86,133
Retained earnings (deficit) (29,334) 1,743
Accumulated other comprehensive gain 310 155
Total equity 57,927 88,044
Total liabilities and equity $221,464 $242,628
RLJ ENTERTAINMENT, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
Three Months Ended and Year Ended December 31, 2013 and For the Periods Ended December 31, 2012 and October 2, 2012
Successor Predecessor
(In thousands, except per share data)
Three Months
Ended
December 31,
2013 Year
Ended
December 31,
2013 The Period of
October 3, to
December 31,
2012 (1) The Period of
October 1, to
October 2,
2012 The Period of
January 1, to
October 2,
2012
Revenue $57,497 $164,830 $59,529 $383 $57,830
Cost of sales 44,004 132,631 40,096 186 31,819
Gross profit 13,493 32,199 19,433 197 26,011
Selling expenses 8,784 26,830 9,096 86 11,149
General and administrative expenses 5,983 22,810 5,909 5,169 19,776
Depreciation and amortization 1,866 6,174 1,571 2 400
Total selling, general and administrative expenses 16,633 55,814 16,576 5,257 31,325
INCOME (LOSS) FROM OPERATIONS (3,140) (23,615) 2,857 (5,060) (5,314)
Equity earnings of affiliates 372 3,296 695 — 983
Interest expense, net (2,252) (8,279) (2,002) (9) (847)
Other income (expense) 3,473 (278) 852 — 118
Total other income (expense) 1,593 (5,261) (455) (9) 254
INCOME (LOSS) BEFORE PROVISION FOR INCOME TAXES (1,547) (28,876) 2,402 (5,069) (5,060)
Provision (benefit) for income taxes 520 2,201 659 — 203
NET INCOME (LOSS) (2,067) (31,077) 1,743 (5,069) (5,263)
Less net income attributable to noncontrolling interests — — — — (43)
NET INCOME (LOSS) APPLICABLE TO COMMON SHAREHOLDERS $ (2,067) $ (31,077) $ 1,743 $ (5,069) $ (5,306)
RLJ ENTERTAINMENT, INC.
Unaudited pro forma financial information reflects the operating results of RLJE as if Image and Acorn Media were acquired as of the periods indicated. These combined results are not necessarily indicative of the results that may have been achieved had the combined companies been combined as of such dates or periods, or of our future operating results.
Management believes Adjusted EBITDA to be a meaningful indicator of our performance that provides useful information to investors regarding our financial condition and results of operations because it removes material noncash items that allows investors to analyze the operating performance of the business using the same metric management uses. The exclusion of noncash items better reflects our ability to make investments in the business and meet obligations. Presentation of Adjusted EBITDA is a non-GAAP financial measure commonly used in the entertainment industry and by financial analysts and others who follow the industry to measure operating performance. The Company uses this measure to assess operating results and performance of its business, perform analytical comparisons, identify strategies to improve performance and allocate resources to its business segments. While management considers Adjusted EBITDA to be important measures of comparative operating performance, it should be considered in addition to, but not as a substitute for, net income and other measures of financial performance reported in accordance with GAAP. Not all companies calculate Adjusted EBITDA in the same manner and the measure as presented may not be comparable to similarly-titled measures presented by other companies.
The following unaudited pro forma financial information for the three and twelve months ended December 31, 2013 and 2012 reflects the operating results of RLJE as if Image and Acorn Media were acquired as of January 1, 2012. The unaudited pro forma financial information does not include adjustments for Business Combination transaction costs and severance incurred and other one-time expenses, nor does it include adjustments for synergies. These combined results are not necessarily indicative of the results that may have been achieved had the companies been combined as of such historical dates or periods, or of RLJE's future operating results.
PROFORMA INCOME STATEMENT
Three Months Ended December 31, Year Ended December 31,
(In thousands)
2013
Actual 2012
Pro Forma (1), (2) 2013
Actual 2012
Pro Forma (1), (2)
Revenues $57,497 $59,883 $164,830 $181,044
Costs of sales 44,004 41,832 132,631 127,038
Gross profit 13,493 18,051 32,199 54,006
Selling, general and administrative expenses 16,633 22,488 55,814 68,449
Loss from operations (3,140) (4,437) (23,615) (14,443)
Equity earnings of affiliates 372 695 3,296 2,013
Interest expense, net (2,252) (1,938) (8,279) (7,752)
Other income (expense) 3,473 (2,241) (278) 208
Provision for income taxes (520) (659) (2,201) (705)
Net loss $ (2,067) $ (8,580) $ (31,077) $ (20,679)
Adjusted EBITDA (3) $12,477 $2,637 $13,656 $9,140
Notes to the Pro Forma Income Statement Table:
(1) An adjustment for interest expense has been made to the prior year ended December 31, 2012 as if the existing debt was in place throughout the period.
(2) An adjustment has been made to the 2012 pro forma for amortization expense related to increases in the recorded amounts of other intangible assets and investments in content as if purchase accounting had been applied throughout the period.
(3) The components and reconciliation of Adjusted EBITDA to our net loss is below.
The following table includes the reconciliation of our consolidated U.S. GAAP net loss to Adjusted EBITDA:
Three Months Ended December 31, Year Ended December 31,
(In thousands)
2013
Actual 2012
Pro Forma 2013
Actual 2012
Pro Forma
Net loss $ (2,067) $ (8,580) $ (31,077) $ (20,679)
Amortization of content 24,810 14,872 75,345 64,380
Cash investment in content (11,963) (13,021) (50,239) (63,184)
Depreciation and amortization 1,866 1,443 6,174 5,689
Interest expense 2,252 1,938 8,279 7,752
Provision for income tax 520 659 2,201 705
Transactions costs and severance -- 5,774 2,369 13,560
Warrant liability fair value adjustment (3,283) (622) (201) (622)
Stock-based compensation 342 175 805 1,539
Adjusted EBITDA $12,477 $2,638 $13,656 $9,140
Contact:
Sloane & Company
Erica Bartsch, 212-446-1875
ebartsch@sloanepr.com
Traci Otey Blunt, 240-744-7858
The RLJ Companies
press@rljcompanies.com
John Morrell Food Group Begins Partnership with Nathan's Famous
Company Enters Long-Term License Agreement Focused on Marketing Efforts and Retail Growth
PR Newswire John Morrell Food Group
March 20, 2014 12:45 PM
LISLE, Ill., March 20, 2014 /PRNewswire/ -- John Morrell Food Group, a division of Smithfield Foods, announced today the beginning of an exclusive licensing agreement with Nathan's Famous, Inc. (NATH) to manufacture and sell branded hot dog, sausage and corned beef products at retail stores nationally. The agreement commenced in the beginning of March 2014.
John Morrell Food Group Begins Partnership with Nathan's Famous
"We are very excited to launch our new partnership with John Morrell Food Group," said Eric Gatoff, chief executive officer of Nathan's Famous. "It will allow our very successful retail licensing program to finally achieve a truly national sales, marketing and distribution footprint."
The John Morrell Food Group will leverage the new partnership with full-scale marketing efforts, both in store and out highlighted by exciting consumer events including a three race NASCAR Sprint Cup Series sponsorship with Richard Petty Motorsports and driver Aric Almirola and the addition of new settings for Nathan's International Hot Dog Eating Contest Qualifying events.
The new venues that will host Nathan's International Hot Dog Eating Contest Qualifying events include Busch Stadium, home of the St. Louis Cardinals, during "Nathan's Day" at the ballpark on May 17. The Speed Street Festival in Charlotte, N.C. will host the event for the first time on May 24 around the NASCAR races during Memorial Day weekend. Finally, competitions featuring the world's best eaters will take place at NASCAR Sprint Cup events at Pocono Raceway in Pennsylvania and Sonoma Raceway in California in June.
"This is the beginning of a great partnership with the John Morrell Food Group," said Wayne Norbitz, president and chief operating officer of Nathan's. "There are many great events planned for the summer to excite and engage our consumers including new hot dog eating events and the sponsorship of Richard Petty Motorsports. This, along with many other efforts still to come with John Morrell Food Group, will lead to continued awareness and growth for Nathan's."
Nathan's Famous will also be promoted nationally with mobile sampling vehicles and a NASCAR show car tour covering stops coast to coast at local grocers and events. The mobile units will stop at over 350 locations throughout the spring, summer and fall. Consumers will be able to sample the great taste of Nathan's Hot Dogs at the mobile sampling events as well as enjoy the unique experience of Coney Island with carnival games, an interactive photo booth, a Zoltar fortune telling coupon machine and the International Hot Dog Eating Contest Championship Belt which will be on display for consumers to see firsthand.
"We have put many hours of planning into our marketing efforts to support our new relationship with Nathan's Famous," said John Pauley, executive vice president of sales and marketing for John Morrell Food Group. "We want to bring the excitement of the original, authentic hot dog across the country and really bring alive that excitement through our NASCAR partnership, the Nathan's International Hot Dog Eating Contest Qualifying events and our mobile sampling units. It's going to be a great summer for Nathan's."
Later this month, John Morrell Food Group and Nathan's Famous will debut new social media outlets for the Nathan's brand including Facebook, Twitter and Instagram where consumers can learn more about Nathan's products, coupons and future promotions. In addition, a new website will also be unveiled by the end of April as well.
About Nathan's
Nathan's is a Russell 2000 Company that currently distributes its products in 50 states, the District of Columbia, Puerto Rico, the U.S. Virgin Islands, Guam, the Cayman Islands and nine foreign countries through its restaurant system, foodservice sales programs and product licensing activities. The Nathan's restaurant system currently consists of more than 320 units, comprised of over 315 franchised units and five company-owned units (including one seasonal unit). Nathan's first began selling its world famous premium hot dogs in Coney Island, New York, in 1916. For additional information about Nathan's please visit our website at www.nathansfamous.com.
About John Morrell Food Group
With over a century and a half of experience, John Morrell Food Group brands have become respected and well known for providing premium-quality meat products to families across the United States. With products ranging from lunchmeat and franks to smoked sausage, bacon and pepperoni, the John Morrell Food Group is an important part of consumers' mealtimes. The John Morrell Food Group offers several national and regional brands including Armour®, Eckrich®, John Morrell®, Curly's®, Patrick Cudahy®, Carando®, Healthy Ones®, Margherita® Kretschmar® and LunchMakers®.
About Smithfield Foods
Smithfield Foods is a $13 billion global food company and the world's largest pork processor and hog producer. In the United States, the company is also the leader in numerous packaged meats categories with popular brands including Smithfield®, Eckrich®, Farmland®, Armour®, Cook's®, Gwaltney®, John Morrell®, Kretschmar®, Curly's®, Carando®, Margherita®, and Healthy Ones®. Smithfield Foods is committed to providing good food in a responsible way and maintains robust animal care, community involvement, employee safety, environmental, and food safety and quality programs. For more information, visit www.smithfieldfoods.com and www.smithfieldcommitments.com.
Logo - http://photos.prnewswire.com/prnh/20140320/CL87514LOGO
TTI Reports Record Sales And Profit, And Free Cash Flow For 2013
TTI Delivered Another Exceptional Year as Sales Grew 11.6% and Profit Increased 24.5%
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PR Newswire
Techtronic Industries Co. Ltd.
March 19, 2014 11:07 AM
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..
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HONG KONG, March 19, 2014 /PRNewswire-FirstCall/ -- Hong Kong based global power equipment and floor care company, Techtronic Industries Co. Ltd. ("TTI" / The Group) (stock code: 669, ADR symbol: TTNDY) today announced its results for the financial year ended December 31, 2013, delivering record sales, gross margin and profit. Solid operational performance drove shareholders' profits to rise by 24.5% to USD250 million, with earnings per share increasing by 19.8% over 2012 to US13.68 cents. The higher sales and operational efficiency drove positive free cash flow to a record USD332 million.
Sales increased 11.6% over 2012 to USD4.3 billion due to continued investment in new products delivering double digit sales growth in all geographic regions. Sales of TTI's largest business segment, Power Equipment, rose by 9.8% to USD3.1 billion, accounting for 73.1% of total sales, against 74.4% in 2012. Gross profit margin improved for the fifth consecutive year to 34.2% from 33.5% last year on further productivity gains in our operations and sourcing, the introduction of new products, cost improvement programs, and continued investment in automation and lean manufacturing initiatives. 2013 earnings before interest and tax increased by 16.9% to USD304 million, with the margin improving by 30 basis points to 7.1%. The Board is recommending a final dividend of HK13.75 cents (approximately US1.77 cents) per share, which will result in a full-year dividend 35.7% higher than last year.
Mr. Horst Pudwill, Chairman of TTI, said, "I am pleased to announce that TTI delivered another record year for sales, gross margin and profit in 2013. We are excited about our positive momentum and are well positioned to build on our record financial performance through our continued commitment to innovation and superior products."
"2013 was an outstanding year for TTI that validates our relentless focus on innovative product development and global market expansion, supported by disciplined cash management, continuous process improvements, and a deeply committed customer-oriented global team. We are just getting started," said Mr. Joseph Galli, CEO of TTI.
Highlights
2013
USD'
million
2012
USD'
million
Changes
Turnover
4,300
3,852
+11.6%
Gross profit margin
34.2%
33.5%
+70 bpt
EBIT
304
260
+16.9%
Profit attributable to Owners of the Company
250
201
+24.5%
Basic earnings per share (US cents)
13.68
11.42
+19.8%
Dividend per share (approx. US cents)
3.06
2.25
+35.7%
•Sales grew 11.6% to record USD4.3 billion
•All business segments and geographic regions delivered strong growth
•Gross profit expanded 14.2% with a record margin of 34.2%
•Net profit increased to USD250 million, growing 24.5%
•Working capital improved to 13.9% of sales
•Another strong year delivering free cash flow of USD332 million
About TTI
Founded in 1985 and listed on the Stock Exchange of Hong Kong Limited in 1990, TTI is a world-class leader in quality consumer, professional and industrial products marketed to the home improvement, hardware, and construction industries. An unrelenting strategic focus on Powerful Brands, Innovative Products, Exceptional People, and Operational Excellence drives our success. TTI's powerful brand portfolio includes MILWAUKEE®, AEG® and RYOBI® power tools, accessories and hand tools, RYOBI® and HOMELITE® outdoor products, and HOOVER®, DIRT DEVIL®, VAX® and ORECK® Floor Care and Appliances.
TTI is one of the constituent stocks of MSCI AC Asia Pacific Small Cap index under the MSCI Global Small Cap index. The Company is also one of the constituents on the Hang Seng Consumer Goods Index under the Hang Seng Composite Industry Index, the FTSE Multinational Hong Kong Index and the FTSE Hong Kong Mid Cap Index. For more information, please visit www.ttigroup.com.
All trademarks are intellectual property of their respective owners and are protected under trademark law. AEG®is a registered trademark and its use is pursuant to a License granted by AB Electrolux (publ). RYOBI®is a registered trademark and its use is pursuant to a License granted by Ryobi Limited.
For enquiries:
Techtronic Industries Co. Ltd.
Isabella Chan
Tel: +(852) 2402 6495
Email: isabella.chan@tti.com.hk
Website: www.ttigroup.com
Strategic Financial Relations Limited
Veron Ng +(852) 2864 4831 veron.ng@sprg.com.hk
Ming Chan +(852) 2864 4892 ming.chan@sprg.com.hk
Sadie Lam +(852) 2864 4861 sadie.lam@sprg.com.hk
Fax +(852) 2527 1196
Nature's Sunshine Products Reports Fourth Quarter and Full Year 2013 Financial Results
GlobeNewswire Nature's Sunshine Products, Inc.
22 hours ago
Fourth quarter net sales revenue growth of 5.7 percent year-over-year (6.8 percent in local currency)
Significant investment spending, resulting in lower operating income
Board of Directors approved a $0.10 per share quarterly dividend
Repurchased 140,331 shares of common stock during 2013
LEHI, Utah, March 17, 2014 (GLOBE NEWSWIRE) -- Nature's Sunshine Products, Inc. (NATR), a leading natural health and wellness company engaged in the manufacture and direct selling of nutritional and personal care products, today reported its consolidated financial results for the fourth quarter and full year ended December 31, 2013, and declared a quarterly cash dividend of $0.10 per share.
"We're pleased with our fourth quarter results which reflect continued progress across both our NSP and Synergy businesses," commented Gregory L. Probert, Chairman and Chief Executive Officer. "In addition to Synergy's record sales quarter and NSP Russia, Central and Eastern Europe's fifth consecutive quarter of year-over-year sales growth, we experienced double digit growth in NSP Mexico and NSP Central America."
"Our performance is the early result of our incremental investments in sales and marketing personnel, R&D and new product development, Distributor training and sales incentive programs. These investments amounted to $2.2 million of additional SG&A expense in the fourth quarter, the majority of which is recurring and will negatively impact our near-term operating income margin. However, these essential investments position us to drive sales growth in all of our markets to a level that will restore our operating income margin to double digits during 2015."
"In addition, we launched a $40 million Oracle ERP project to provide us with a single integrated software solution and greatly enhance our ability to integrate our people, processes and business systems in all of our markets around the world. This capital expenditure will provide us better data and visibility into our business, facilitate delivering products to market faster and more efficiently, as well as to better serve our Managers, Distributors and customers. We will fund this project from internal cash flow and anticipate its completion by mid-2016."
Mr. Probert continued, "The $0.10 quarterly cash dividend and our ongoing share repurchase program reflects the Company's strong cash flow generation, our confidence in its long-term growth prospects and our commitment to return excess capital to shareholders."
For the Fourth Quarter of 2013:
Net sales revenue increased 5.7 percent to $95.5 million, compared to $90.4 million in the fourth quarter of 2012. In local currencies, net sales revenue increased by 6.8 percent.
Selling, general and administrative expenses increased 21.7 percent to $33.7 million, compared with $27.7 million in the fourth quarter of 2012. The increase was primarily due to a $2.2 million increase in the Company's investment in sales and marketing personnel, R&D and new product development, Distributor training and sales incentive programs, as well as $1.3 million of one-time costs related to a five-year customs audit assessment in our Synergy South Korea market, and $1.1 million of one-time restructuring costs in certain markets.
Operating income decreased 55.5 percent to $2.6 million, compared to $5.8 million in the fourth quarter of 2012. The decrease was primarily due to the increase in selling, general and administrative expenses attributable to investments in growth initiatives and one-time costs as described above.
Adjusted EBITDA, defined here as net income before taxes, depreciation, amortization and other income adjusted to exclude share-based compensation expense, decreased 41.1 percent to $4.6 million, compared to $7.8 million in the fourth quarter of 2012.
Net income was $1.8 million, or $0.11 per diluted common share, compared to $4.5 million, or $0.28 per diluted common share in the fourth quarter of 2012.
Cash and cash equivalents as of December 31, 2013, were $77.2 million, compared to $79.2 million as of December 31, 2012, which reflects $24.0 million paid in a special one-time dividend, $6.4 million paid in regular quarterly dividends, and $2.5 million used to repurchase shares during 2013.
Shareholders' equity as of December 31, 2013, was $105.3 million, compared to $115.6 million as of December 31, 2012. Excluding dividends paid in the year, shareholders' equity increased by 17.3 percent. Shareholder's equity as of December 31, 2013 was $6.51 per share, compared to $7.31 per share as of December 31, 2012. Cash dividends in the amount of $1.90 were paid in 2013, compared to $0.15 in 2012.
Active Managers worldwide were 16,900 and active Distributors and customers worldwide were 334,200 as of December 31, 2013, compared to 16,600 and 333,400, respectively in the fourth quarter of 2012.
For the Full Year of 2013:
Net sales revenue increased 2.9 percent to $378.1 million, compared to $367.5 million in 2012. In local currencies, net sales revenue increased by 3.7 percent.
Selling, general and administrative expenses increased 13.0 percent to $120.7 million, compared with $106.9 million in 2012. The increase was primarily due to a $6.0 million increase in the Company's investment in sales and marketing personnel, R&D and new product development, Distributor training and sales incentive programs, and $2.2 million of increased investments in Distributor conventions, meetings and incentive trips, as well as $1.4 million of one-time severance costs and the acceleration of stock option expense incurred related to the resignation of our former Chief Executive Officer, $1.3 million of one-time costs related to a five-year customs audit assessment in our Synergy South Korea market, and $1.1 million of one-time restructuring costs in certain markets.
Operating income decreased 29.3 percent to $24.1 million, compared to $34.0 million in 2012. The decrease was primarily due to the increase in selling, general and administrative expenses attributable to investments in growth initiatives and one-time costs as described above.
Adjusted EBITDA, defined here as net income before taxes, depreciation, amortization and other income adjusted to exclude share-based compensation expense, decreased 22.1 percent to $31.9 million, compared to $41.0 million in 2012.
Net income was $17.6 million, or $1.07 per diluted common share, compared to $25.4 million, or $1.59 per diluted common share in 2012.
NSP Americas, Asia Pacific and Europe Results for the Fourth Quarter of 2013:
Net sales revenue increased 0.5 percent to $49.9 million, compared to $49.7 million in the fourth quarter of 2012. In local currencies, net sales revenue increased by 2.4 percent compared to the fourth quarter of 2012. Higher net sales in Mexico, Central America and South America were partially offset by lower net sales in the United States and Japan. In Mexico, net sales increased year-over-year for the third consecutive quarter, up 25.1 percent from the fourth quarter of 2012. In Central American and South America net sales increased 5.0 percent and 11.7 percent, respectively, year-over-year. In the United States, net sales declined 1.7 percent year-over-year.
Contribution margin, defined as net sales revenue less cost of sales and volume incentive expense, was $20.0 million, compared to $19.1 million in the fourth quarter of 2012, primarily reflecting higher net sales revenue.
Active Managers within the segment were approximately 7,900 and active Distributors and customers within the segment were approximately 150,600 as of December 31, 2013, as compared to 8,100 and 153,000, respectively, as of December 31, 2012. New Managers were down 2.5 percent, and new Distributors and customers were down 1.6 percent compared to the prior year.
NSP Russia, Central and Eastern Europe Results for the Fourth Quarter of 2013:
Net sales revenue increased 7.5 percent to $17.1 million, compared to $15.9 million in the fourth quarter of 2012. Net sales revenue increased year-over-year for the fifth consecutive quarter as a result of improved recruiting, Distributor leadership engagement, Distributor recognition, promotions and training, and the enhanced focus afforded by the corporate organizational realignment during 2012. In addition, NSP Russia, Central and Eastern Europe launched a new weight management program at its annual regional convention in September.
Contribution margin decreased 4.4 percent to $5.6 million, compared to $5.9 million in the fourth quarter of 2012, primarily due to higher inventory costs associated with product mix.
Active Managers within the segment were approximately 6,000 and active Distributors and customers within the segment were approximately 131,800 as of December 31, 2013, as compared to 5,600 and 125,800, respectively as of December 31, 2012. New Managers were up 7.1 percent, and new Distributors and customers were up 4.8 percent compared to the prior year.
Despite the robust net sales growth experienced in 2013, the Company must caution that near-term growth will undoubtedly be impacted by the political unrest in the Ukraine and Russia. Also, the Company is currently in a contract dispute with its General Dealer that administers the marketing and distribution of the Company's products in the region. Although the Company is negotiating with the General Dealer, failure to resolve the dispute could result in disruption to the Company's business, which could have an adverse effect on the Company's business and results of operations.
Synergy WorldWide Results for the Fourth Quarter of 2013:
Net sales revenue increased 14.8 percent to $28.5 million, compared to $24.8 million in the fourth quarter of 2012. This marks the second consecutive record-setting sales quarter for Synergy. In local currencies, net sales revenue increased by 15.4 percent compared to the fourth quarter of 2012, driven primarily by increased sales in South Korea, Scandinavia and Central Europe and partially offset by declines in North America. The increase in net sales revenue is primarily a result of re-engaged leadership, strong execution, and momentum stemming from Synergy's global summit and pre-launch of the SLMsmart weight management line in South Korea.
Contribution margin increased 24.6 percent to $10.7 million, compared to $8.6 million in the fourth quarter of 2012, primarily as a result of increased net sales revenue.
Active Managers within the segment were approximately 3,000 and active Distributors and customers within the segment were approximately 51,800 as of December 31, 2013, as compared to 2,900 and 54,600, respectively as of December 31, 2012. New Managers were up 3.4 percent, while new Distributors and customers were down 5.4 percent compared to the prior year.
Effective Income Tax Rate
The effective income tax rate for the fourth quarter of 2013 was 30.3 percent compared to 39.8 percent in the fourth quarter of 2012. The current quarter's effective tax rate was below the U.S. federal statutory tax rate of 35.0 percent which was primarily attributable to the favorable U.S. tax impact of foreign operations, offset by adjustments to foreign valuation allowances and an increase in tax liabilities associated with uncertain tax positions.
Quarterly Cash Dividend and Ongoing Share Repurchase Program
The Company's Board of Directors approved a quarterly cash dividend of $0.10 per share, payable on March 31, 2014, to shareholders of record as of the close of business on March 21, 2014.
On August 8, 2013, the Board of Directors authorized a $10 million share repurchase program to be implemented over two years. Such purchases may be made in the open market, through block trades, in privately negotiated transactions or otherwise. The timing and amount of any shares repurchased will be determined based on the Company's evaluation of market conditions and other factors and the program may be discontinued or suspended at any time.
During the three months ended December 31, 2013, the Company repurchased 32,609 shares of its common stock under the share repurchase program for $0.6 million. At December 31, 2013, the remaining balance available for repurchases under the program was $7.5 million.
The quarterly dividend, in addition to the special one-time dividend that was announced and paid in August 2013, and the on-going share repurchase program, are enabled by the Company's strong cash flow, healthy cash balance, the Board's commitment to return capital to shareholders and its confidence in the Company's long-term growth prospects.
Non-GAAP Financial Measures
The Company has included information which has not been prepared in accordance with generally accepted accounting principles (GAAP), such as information concerning adjusted EBITDA because management utilizes this information in the evaluation of its operations and believes that these measures are a useful indicator of the Company's ability to fund its business. These non-GAAP financial measures should not be considered as an alternative to, or more meaningful than, U.S. GAAP net income as an indicator of the Company's operating performance. Moreover, these non-GAAP financial measures, as presented by the Company, may not be comparable to similarly titled measures reported by other companies. Other companies may use the same or similarly named measures, but exclude different items, which may not provide investors with a comparable view of Nature's Sunshine Products' performance in relation to other companies. The Company has included a reconciliation of these non-GAAP measures to reported earnings under GAAP in the attached financial tables.
Conference Call
Nature's Sunshine Products will host a conference call to discuss its fourth quarter and full year 2013 results on March 17, 2014 at 4:30 PM Eastern Time. The toll-free dial-in number for callers in the U.S. and Canada is 1-877-407-0789, conference ID: 13575478. International callers can dial 1-201-689-8562, conference ID: 13575478. A replay will be available from March 18, 2014 at 2:00 PM Eastern Time through April 1, 2014 at 11:59 PM Eastern Time at 1-877-870-5176 (U.S. and Canada) or 1-858-384-5517 (International), replay PIN: 13575478. The call will also be webcast live and will be available on the Investing section of Nature's Sunshine Products' website at www.naturessunshine.com for 90 days.
About Nature's Sunshine Products
Nature's Sunshine Products (NATR), a leading natural health and wellness company, markets and distributes nutritional and personal care products through a global direct sales force of over 330,000 active independent Managers, Distributors and customers in more than 40 countries. Nature's Sunshine manufactures most of its products through its own state-of-the-art facilities to ensure its products continue to set the standard for the highest quality, safety and efficacy on the market today. The Company has three reportable business segments that are divided based on the characteristics of their Distributor base, similarities in compensation plans, as well as the internal organization of NSP's officers and their responsibilities (NSP Americas, Asia Pacific and Europe; NSP Russia, Central and Eastern Europe; and Synergy WorldWide). The Company also supports health and wellness for children around the world through its partnership with the Sunshine Heroes Foundation. Additional information about the Company can be obtained at its website, www.naturessunshine.com.
Cautionary Statement Regarding Forward-Looking Statements
Certain information included or incorporated herein by reference in this release may be deemed to be "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may include, but are not limited to, statements relating to our objectives, plans and strategies. All statements (other than statements of historical fact) that address activities, events or developments that we intend, expect, project, believe or anticipate will or may occur in the future are forward-looking statements. These statements are often characterized by terminology such as "believe," "hope," "may," "anticipate," "should," "intend," "plan," "will," "expect," "estimate," "project," "positioned," "strategy" and similar expressions, and are based on assumptions and assessments made by management in light of their experience and their perception of historical trends, current conditions, expected future developments and other factors they believe to be appropriate. Forward-looking statements are not guarantees of future performance and are subject to risks and uncertainties. Important factors that could cause actual results, developments and business decisions to differ materially from forward-looking statements are more fully described in this release, but include the following:
any negative consequences resulting from the economy, including the availability of liquidity to us, our customers and our suppliers or the willingness of our customers to purchase products;
our relationship with, and our ability to influence the actions of, our Distributors;
improper action by our employees or Distributors;
negative publicity related to our products or direct selling organization;
changing consumer preferences and demands;
our reliance upon, or the loss or departure of any member of, our senior management team which could negatively impact our Distributor relations and operating results;
the competitive nature of our business;
regulatory matters governing our products, our direct selling program, or the direct selling market in which we operate;
legal challenges to our direct selling program;
risks associated with operating internationally and the effect of economic factors, including foreign exchange, inflation, disruptions or conflicts with our third party importers, pricing and currency devaluation risks, especially in countries such as Venezuela and Belarus;
uncertainties relating to the application of transfer pricing, duties, value-added taxes, and other tax regulations, and changes thereto;
our dependence on increased penetration of existing markets;
our reliance on our information technology infrastructure;
the sufficiency of trademarks and other intellectual property rights;
changes in tax laws, treaties or regulations, or their interpretation;
taxation relating to our Distributors;
product liability claims;
share price volatility related to, among other things, speculative trading.
NATURE'S SUNSHINE PRODUCTS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(Amounts in thousands)
(Unaudited)
December 31, December 31,
2013 2012
Assets
Current assets:
Cash and cash equivalents $ 77,247 $ 79,241
Accounts receivable, net of allowance for doubtful accounts of $1,087 and $631, respectively 10,206 9,614
Investments available for sale 2,006 2,071
Inventories 41,910 43,280
Deferred income tax assets 5,711 5,307
Prepaid expenses and other 11,514 5,820
Total current assets 148,594 145,333
Property, plant and equipment, net 32,022 27,950
Investment securities 971 1,276
Intangible assets, net 853 1,002
Deferred income tax assets 9,928 11,516
Other assets 7,244 6,842
$ 199,612 $ 193,919
Liabilities and Shareholders' Equity
Current liabilities:
Accounts payable $ 5,664 $ 6,226
Accrued volume incentives 19,206 18,130
Accrued liabilities 34,893 27,302
Deferred revenue 4,173 4,311
Current installments of long-term debt and revolving credit facility 2,267 3,350
Income taxes payable 2,366 2,071
Total current liabilities 68,569 61,390
Liability related to unrecognized tax benefits 12,402 10,571
Long-term debt and revolving credit facility 10,000 2,270
Deferred compensation payable 971 1,276
Other liabilities 2,411 2,776
Total long-term liabilities 25,784 16,893
Commitments and Contingencies
Shareholders' equity:
Common stock, no par value, 50,000 shares authorized, 16,179 and 15,810 shares issued and outstanding as of December 31, 2013 and December 31, 2012, respectively 83,122 77,292
Retained earnings 36,100 48,910
Accumulated other comprehensive loss (13,963) (10,566)
Total shareholders' equity 105,259 115,636
$ 199,612 $ 193,919
NATURE'S SUNSHINE PRODUCTS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Amounts in thousands, except per share information)
(Unaudited)
Three Months Ended
December 31,
2013 2012
Net sales revenue $ 95,484 $ 90,377
Cost of sales (24,084) (23,841)
Gross profit 71,400 66,536
Operating expenses:
Volume incentives 35,062 32,991
Selling, general and administrative 33,747 27,719
Operating income 2,591 5,826
Other income, net 53 1,639
Income before provision for income taxes 2,644 7,465
Provision for income taxes 801 2,969
Net income $ 1,843 $ 4,496
Basic and diluted net income per common share
Basic:
Net income $ 0.11 $ 0.28
Diluted:
Net income $ 0.11 $ 0.28
Weighted average basic common shares outstanding 16,196 15,781
Weighted average diluted common shares outstanding 16,550 16,064
Dividends declared per common share $ 0.10 $ 0.05
NATURE'S SUNSHINE PRODUCTS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Amounts in thousands, except per share information)
(Unaudited)
Year Ended
December 31,
2013 2012
Net sales revenue $ 378,096 $ 367,468
Cost of sales (94,814) (93,324)
Gross profit 283,282 274,144
Operating expenses:
Volume incentives 138,482 133,267
Selling, general and administrative 120,743 106,861
Operating income 24,057 34,016
Other income, net 1,596 1,480
Income before provision for income taxes 25,653 35,496
Provision for income taxes 8,044 10,116
Net income 17,609 25,380
Basic and diluted net income per common share
Basic:
Net income $ 1.10 $ 1.62
Diluted:
Net income $ 1.07 $ 1.59
Weighted average basic common shares outstanding 15,997 15,648
Weighted average diluted common shares outstanding 16,390 15,987
Dividends declared per common share $ 1.90 $ 0.15
NATURE'S SUNSHINE PRODUCTS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Amounts in thousands)
(Unaudited)
2013 2012
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $ 17,609 $ 25,380
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for doubtful accounts 535 45
Depreciation and amortization 4,466 4,078
Tax benefit from stock option exercise (653) (378)
Share-based compensation expense 3,389 2,878
(Gain) loss on sale of property and equipment (128) 85
Deferred income taxes 1,092 4,270
Amortization of bond discount 1 9
Purchase of trading investment securities (88) (92)
Proceeds from sale of trading investment securities 510 354
Realized and unrealized gains on investments (122) (90)
Foreign exchange gains (1,254) (290)
Changes in assets and liabilities:
Accounts receivable (1,358) 266
Inventories 838 (1,466)
Prepaid expenses and other current assets (5,728) (1,155)
Other assets (303) (193)
Accounts payable (552) 77
Accrued volume incentives 1,286 (1,279)
Accrued liabilities 7,379 (1,289)
Deferred revenue (138) 1,708
Income taxes payable 1,071 (6,259)
Liability related to unrecognized tax benefits 1,831 145
Deferred compensation payable (305) (153)
Net cash provided by operating activities 29,378 26,651
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property, plant and equipment (8,570) (6,629)
Purchase of investments available for sale (442) (174)
Proceeds from maturity and sale of investments available for sale 200 3,789
Proceeds from sale of property, plant and equipment 248 25
Net cash used in investing activities (8,564) (2,989)
CASH FLOWS FROM FINANCING ACTIVITIES:
Dividends paid (30,419) (2,349)
Borrowings on long-term debt and revolving credit facility 10,000 —
Principal payments of long-term debt and revolving credit facility (3,353) (3,570)
Tax benefit from stock option exercise 653 378
Proceeds from the exercise of stock options 4,334 2,408
Repurchase of common stock (2,546) —
Net cash used in financing activities (21,331) (3,133)
Effect of exchange rates on cash and cash equivalents (1,477) (257)
Net increase (decrease) in cash and cash equivalents (1,994) 20,272
Cash and cash equivalents at the beginning of the period 79,241 58,969
Cash and cash equivalents at the end of the period $ 77,247 $ 79,241
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
Cash paid for income taxes $ 10,278 $ 12,960
Cash paid for interest 128 128
NATURE'S SUNSHINE PRODUCTS, INC. AND SUBSIDIARIES
RECONCILIATION OF NET INCOME TO ADJUSTED EBITDA
(Amounts in thousands)
(Unaudited)
Three Months Ended
December 31,
2013 2012
Net income $ 1,843 $ 4,496
Adjustments:
Depreciation and amortization 1,187 1,050
Share-based compensation expense 790 877
Other income, net* (53) (1,639)
Taxes 801 2,969
Adjusted EBITDA $ 4,568 $ 7,753
Year Ended
December 31,
2013 2012
Net income $ 17,609 $ 25,380
Adjustments:
Depreciation and amortization 4,466 4,078
Share-based compensation expense 3,389 2,878
Other income, net* (1,596) (1,480)
Taxes 8,044 10,116
Adjusted EBITDA $ 31,912 $ 40,972
* Other income, net is primarily comprised of foreign exchange gains (losses), interest income, and interest expense.
Distributor Information
Our revenue is highly dependent upon the number and productivity of our Managers, Distributors and customers. Growth in sales volume requires an increase in the productivity and/or growth in the total number of Managers, Distributors and customers.
The following table provides information concerning the number of total Managers, Distributors and customers by segment, as of the dates indicated.
Total Managers, Distributors and Customers by Segment as of December 31,
2013 2012 2011
Distributors & Customers Managers Distributors & Customers Managers Distributors & Customers Managers
NSP Americas, Asia Pacific & Europe 328,200 7,900 350,400 8,100 388,400 8,700
NSP Russia, Central and Eastern Europe 260,200 6,000 252,700 5,600 266,200 5,400
Synergy WorldWide 118,500 3,000 118,200 2,900 112,300 2,700
Total 706,900 16,900 721,300 16,600 766,900 16,800
"Total Managers" includes independent Managers under our various compensation plans that have achieved and maintained specified and personal groups sale volumes as of the date indicated. To maintain Manager status, an individual must continue to meet certain product sales volume levels. As such, all Managers are considered to be active Managers.
"Total Distributors and customers" includes our independent Distributors and customers who have purchased products directly from the Company for resale and/or personal consumption during the previous twelve months ended as of the date indicated. This includes Manager, Distributor and customer accounts that may have become inactive since such respective dates.
The following table provides information concerning the number of active Distributors and customers by segment, as of the dates indicated.
Active Distributors and Customers by Segment as of December 31,
2013 2012 2011
Distributors & Customers Distributors & Customers Distributors & Customers
NSP Americas, Asia Pacific & Europe 150,600 153,000 165,600
NSP Russia, Central and Eastern Europe 131,800 125,800 122,800
Synergy WorldWide 51,800 54,600 51,700
Total 334,200 333,400 340,100
"Active Distributors and customers" includes our independent Distributors and customers who have purchased products directly from the Company for resale and/or personal consumption during the previous three months ended as of the date indicated. All of our Managers are active.
The following tables provide information concerning the number of new Managers, Distributors and customers by segment, as of the dates indicated.
New Managers, Distributors and Customers by Segment for the year ended December 31,
2013 2012 2011
Distributors & Customers Managers Distributors & Customers Managers Distributors & Customers Managers
NSP Americas, Asia Pacific & Europe 148,400 3,800 166,400 4,200 185,600 4,800
NSP Russia, Central and Eastern Europe 89,300 1,600 78,000 1,500 74,700 1,700
Synergy WorldWide 71,800 1,900 73,700 1,700 72,000 1,600
Total 309,500 7,300 318,100 7,400 332,300 8,100
"New Managers" includes independent Managers under our various compensation plans that first achieved the rank of Manager during the previous twelve months ended as of the date indicated.
"New Distributors and Customers" include our independent Distributors and customers who have made their initial product purchase directly from us for resale and/or personal consumption during the previous twelve months ended as of the date indicated.
Contact:
Steve Bunker
Chief Financial Officer
Nature's Sunshine Products, Inc.
Lehi, Utah 84043
(801) 341-7303
PhotoMedex Reports Record Revenues for the 2013 Fourth Quarter and Full Year
Fourth quarter revenues up 16% over prior year, consumer revenues up 16%, XTRAC treatment revenues up 80%
Business Wire PhotoMedex, Inc.
March 13, 2014 6:00 AM
HORSHAM, Pa.--(BUSINESS WIRE)--
PhotoMedex, Inc. (NASDAQ and TASE:PHMD) today announced financial results for the fourth quarter and full year ended December 31, 2013. Financial highlights include:
Fourth Quarter 2013 (all comparisons are with the fourth quarter of 2012):
Revenues of $63.5 million, an increase of 16%
Gross profit of $50.8 million, an increase of 18%
Net income of $3.2 million, compared with net income of $5.9 million
Earnings per diluted share of $0.16, compared with earnings per diluted share of $0.27
Adjusted earnings per diluted share, excluding certain items of $0.28
Consumer revenues of $53.6 million, an increase of 16%
Global Direct-to-consumer channel revenues of $39.4 million, an increase of 31%
Global retail and home shopping channel revenues of $13.6 million, an increase of 10%
Global Distributor consumer channel revenues of $0.6 million, a decrease of 84%
XTRAC® psoriasis and vitiligo treatment recurring revenues of $4.7 million, an increase of 80%
Cash generated from operations of $13.9 million
Repurchase of $12.0 million or 972,770 shares common stock at an average price of $12.35 per share
Cash, cash equivalents and short-term investments as of December 31, 2013 of $59.5 million, or $3.04 per diluted share
Full Year 2013 (all comparisons are with the full year 2012):
Revenues of $224.7 million, an increase of 2% with revenues from all channels; excluding Japan’s consumer revenue in both years, revenues increased 6%
Gross profit of $179.6 million, an increase of 3%
Net income of $18.4 million, compared with net income of $22.5 million
XTRAC franchise installed base of 501 sites compared with 361 sites, an increase of 39%
Earnings per diluted share of $0.89, compared with earnings per diluted share of $1.08
Adjusted earnings per diluted share, excluding certain items of $1.01
Consumer revenues excluding Japan of $177.3 million, compared with $169.1 million, represents an increase of 5%
Optimization of tax planning and management of cash balances between intercompany international subsidiaries via a $10 million line of credit in December 2013, which was repaid after year end
As announced on February 13, 2014, PhotoMedex signed a definitive agreement to acquire all outstanding shares of LCA-Vision Inc. for $5.37 per share in cash, or approximately $106 million. Subject to certain conditions including approval by LCA-Vision shareholders, the transaction is expected to close in the second quarter of 2014. The transaction is expected to be accretive to PhotoMedex’s cash EPS in 2014, excluding transaction-related items.
Management Commentary
Dr. Dolev Rafaeli, PhotoMedex CEO, commented, “We are reporting record revenues for both the quarter and the year, and we achieved these results without any consumer sales from Japan in the second half of the year. Our North American Media Efficiency Ratio was outstanding during the fourth quarter, with MERs as high as 3.86 during certain weeks. In addition, we were successful in cross-selling Neova products to our direct-to-consumer customers, with consumer sales from this skin care product line up 21% over the third quarter of 2013. Our direct-to-consumer revenues were up 34% on a sequential quarter basis and were up 31% over the prior year. Recently, a clinical study by Emanuele, et al. published in the March 2014 edition of Journal of Drugs in Dermatology about indications for prevention of sun damage associated with skin aging and non-melanoma skin cancer reported that Neova DNA Total Repair and DNA Damage Control ACTIVE SPF 44 were shown to be the most efficient repair and protect product combination among the commercially available products compared. Also, we initiated pre-launch activities for our Kyrobak® product for the treatment of lower back pain, with initial media testing that resulted in positive indications that will be further expanded in the first quarter of 2014.”
Dr. Rafaeli continued, “We have made excellent progress in broadening awareness of XTRAC for the treatment of psoriasis and vitiligo as demonstrated by the 12% sequential increase in treatment revenues and the 80% increase year-over-year. XTRAC is a source of recurring revenues to the treating physician and to PhotoMedex once a patient has been acquired. As a recent endorsement for the efficacy of XTRAC, a clinical study published recently in the Journal of Dermatological Treatment by Dr. John Y. M. Koo, M.D. of the Department of Dermatology, Psoriasis and Skin Treatment Center, University of California, San Francisco and a member of our scientific advisory board and others shows that the XTRAC Velocity excimer laser when used in combination with a topical therapy is as effective as biologics, but without the systemic immune suppression or other potentially harmful side effects for the treatment of moderate to severe psoriasis. We are optimistic for continued rapid growth in the physician recurring revenue side of our business, and look forward to gaining revenue from XTRAC treatments and Neova product sales from the underutilized LasikPlus infrastructure and professional staff, upon completion of our acquisition of LCA-Vision.”
“International expansion is a significant component of our growth strategy for our no!no! brand,” he added. “In the fourth quarter we initiated media testing in Brazil with encouraging results. In addition, we continue to build our brand awareness in Germany and Great Britain and are confident we have the pieces in place for a very successful year ahead with each major business segment making significant contributions to our growth in 2014.”
Reported Financial Results
Revenues for the fourth quarter of 2013 were $63.5 million, an increase of 16% over revenues for the fourth quarter of 2012 of $54.8 million.
Gross profit for the fourth quarter of 2013 was $50.8 million, or 80.0% of sales, compared with gross profit of $43.0 million, or 78.5% of sales, in the prior year’s fourth quarter, an increase of 150 basis points.
Net income for the fourth quarter of 2013 was $3.2 million or $0.16 per diluted share, which included $1.2 million in stock-based compensation expense and $1.6 million in depreciation and amortization expenses. This compares with net income for the fourth quarter of 2012 of $5.9 million or $0.27 per diluted share, which included $1.4 million in stock-based compensation expense and $1.4 million in depreciation and amortization expenses.
Revenues for the year ended December 31, 2013 were $224.7 million, an increase of 2% over revenues for the year ended December 31, 2012 of $220.7 million.
Gross profit for 2013 was $179.6 million, or 80.0% of sales, compared with $174.0 million, or 78.9% of sales, for 2012, an increase of 110 basis points. Net income for 2013 was $18.4 million or $0.89 per diluted share, which included $5.0 million in stock-based compensation expense and $6.1 million in depreciation and amortization expenses. This compares with net income for 2012 of $22.5 million or $1.08 per diluted share, which included $6.2 million in stock-based compensation expense and $5.6 million in depreciation and amortization expenses.
As of December 31, 2013, the Company had cash, cash equivalents and short-term investments of $59.5 million. During the 2013 fourth quarter the Company repurchased 972,770 shares of its common stock in the open market at an average price of $12.35 per share, for a total of $12.0 million.
In December 2013 the Company entered into a $15.0 million line of credit with JP Morgan Chase to facilitate repayment of temporary advances from its non-U.S. subsidiaries to comply with certain IRS regulations. The Company took an advance of $10 million against this line at December 31, 2013. The advance was repaid in full after year end.
Non-GAAP Financial Measures
To supplement PhotoMedex’s consolidated financial statements presented in accordance with GAAP, PhotoMedex provides certain non-GAAP measures of financial performance. These non-GAAP measures include non-GAAP adjusted income and non-GAAP adjusted income per share.
PhotoMedex’s reference to these non-GAAP measures should be considered in addition to results prepared under current accounting standards, but are not a substitute for, nor superior to, GAAP measures. These non-GAAP measures are provided to enhance investors' overall understanding of PhotoMedex’s current financial performance and to provide further information for comparative purposes.
Specifically, the Company believes the non-GAAP measures provide useful information to management and investors by isolating certain expenses, gains and losses that may not be indicative of the Company’s core operating results and business outlook. In addition, PhotoMedex believes non-GAAP measures enhance the comparability of results against prior periods. Reconciliation to the most directly comparable GAAP measure of all non-GAAP measures included in this press release is as follows:
(Unaudited)
Three Months Ended Dec. 31,
For the Year Ended Dec. 31
(ooo's) except per share amounts
2013 2012 2013 2012
Net income as reported $ 3,185 $ 5,894 $ 18,377 $ 22,489
Adjustments:
Depreciation and amortization expense
1,609 1,435 6,119 5,611
Interest expense, net
- (3 ) 10 398
Income tax expense
1,298 832 4,370 4,438
EBITDA $ 6,092 $ 8,158 $ 28,876 $ 32,936
Stock-based compensation expense
1,190 1,380 4,985 6,197
Non-GAAP adjusted income $ 7,282 $ 9,538 $ 33,861 $ 39,133
Fully diluted shares outstanding at December 31
19,603 21,357 19,603 21,357
Non-GAAP adjusted income per share
$ 0.37 $ 0.45 $ 1.73 $ 1.83
Excluding certain litigation expenses of $0.8 million, advertising expenses of $1.4 million for product sales not shipped until 2014, expenses associated with the relocation of corporate headquarters of $0.4 million and inventory valuation allowances of $0.6 million, earnings per diluted share were approximately $0.28 for the fourth quarter and $1.01 for the full year.
Conference Call
PhotoMedex will hold an investor conference call to discuss the Company’s 2013 fourth quarter and full year financial results and to answer questions today, March 13, 2014 beginning at 11:00 a.m. EST (5:00 p.m. Israel time).
To participate in the conference call, dial toll free 877-397-0292 or International/toll 719-325-4750 (and confirmation code # 3316100). For the convenience of our Israeli participants, a local/toll free number (1-80-925-8243) has been set up (the confirmation code remains the same # 3316100). If you are unable to participate in the live call, a digital replay will be available from Thursday, March 13, 2014 from 2:00 p.m. ET to Thursday, March 27, 2014 at 2:00 p.m. ET, by dialing toll free 888-203-1112 or International/toll 719-457-0820 (Israeli participants may dial 1-80-924-6038) and using confirmation code # 3316100.
The live webcast of the conference call will be available online by going to www.photomedex.com and clicking on the link to Investor Relations, and at www.streetevents.com. The online replay will be available shortly after the call has been completed.
A separate Form 10-K, including 2013 consolidated financial statements, will be filed with the Securities and Exchange Commission on or by March 17, 2014.
About PhotoMedex
PhotoMedex is a global skin health company providing integrated disease management and aesthetic solutions to dermatologists, professional aestheticians and consumers. The company provides proprietary products and services that address skin diseases and conditions including psoriasis, vitiligo, acne, actinic keratosis (a precursor to certain types of skin cancer) and photo damage. Its experience in the physician market provides the platform to expand its skin health solutions to spa markets, as well as traditional retail, online and infomercial outlets for home-use products. As a result of its December 2011 merger with Radiancy Inc., PhotoMedex has added a range of home-use devices under the no!no!™ brand, for various indications including hair removal, acne treatment and skin rejuvenation. The company also offers a professional product line for acne clearance, skin tightening, psoriasis care and hair removal sold to physician clinics and spas.
SAFE HARBOR STATEMENT
This press release contains forward-looking statements, including, but not limited to, statements relating to PhotoMedex’s future financial performance, strategies, potential sales and earnings growth, and some portions of the conference call, particularly those describing PhotoMedex' strategies, operating expense reductions and business plans will also contain “forward-looking statements”, each within the meaning of the Private Securities Litigation Reform Act of 1995 that are subject to risks, uncertainties and other factors. All statements other than statements of historical fact are statements that could be deemed forward-looking statements, including any statements of the plans, strategies and objectives of management for future operations; any statements regarding product development, product extensions, product integration or product marketing; any statements regarding continued compliance with government regulations, changing legislation or regulatory environments; any statements of expectation or belief and any statements of assumptions underlying any of the foregoing. In addition, there are risks and uncertainties related to successfully integrating the products and employees of the Company and Radiancy, as well as the ability to ensure continued regulatory compliance, performance and/or market growth. These risks, uncertainties and other factors, and the general risks associated with the businesses of the Company described from time-to-time under the caption “Risk Factors” and elsewhere in the Company’s SEC filings and reports and other documents filed with the SEC, could cause actual results to differ materially from those referred to, implied or expressed in the forward-looking statements. The Company cautions readers not to rely on these forward-looking statements. All forward-looking statements are based on information currently available to the Company, inherently involve significant risks and uncertainties and are qualified in their entirety by this cautionary statement. The Company anticipates that subsequent events and developments will cause its views to change. The information contained in this conference call speaks as of the date hereof and the Company has or undertakes no obligation to update or revise these forward-looking statements, whether as a result of new information, future events or otherwise.
-- Financial Statements follow --
PHOTOMEDEX, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
Three Months Ended
Dec. 31,
Year Ended
Dec. 31,
(ooo's) except per share amounts
2013 2012 2013 2012
Revenues $ 63,490 $ 54,791 $ 224,664 $ 220,651
Cost of revenues 12,713 11,772 45,035 46,642
Gross profit 50,777 43,019 179,629 174,009
Operating expenses:
Selling and marketing 36,761 31,299 127,528 116,487
General and administrative 8,851 4,737 26,750 27,330
Research and development and engineering 914 768 3,306 2,914
46,526 36,804 157,584 146,731
Operating income 4,251 6,215 22,045 27,278
Interest and other financing income (expense), net 232 511 702 (351 )
Income before taxes expense 4,483 6,726 22,747 26,927
Income tax expense (benefit) 1,298 832 4,370 4,438
Net income1 $ 3,185 $ 5,894 $ 18,377 $ 22,489
Net income per share:
Basic $ 0.16 $ 0.28 $ 0.90 $ 1.10
Diluted $ 0.16 $ 0.27 $ 0.89 $ 1.08
Shares used in computing net income per share:
Basic 19,400 20,948 20,455 20,356
Diluted 19,603 21,357 20,657 20,764
1 Includes: depreciation and amortization 1,609 1,435 6,119 5,611
Share-based compensation expense 1,190 1,380 4,985 6,197
Three Months ended Dec. 31, Year ended Dec 31,
2013 2012 2013 2012
Consumer:
Direct
$ 39,392 $ 29,998 $ 130,785 $ 125,208
Distributors
595 3,763 15,553 24,851
Retailer and home shopping channels
13,629 12,362 41,921 38,366
sub-total
53,616 46,123 188,259 188,425
Physician Recurring
XTRAC treatments
4,696 2,612 15,489 8,441
Skin care
1,993 1,949 8,243 8,156
Other
1,169 1,255 4,816 4,687
sub-total
7,858 5,816 28,548 21,284
Professional 2,016 2,852 7,857 10,942
Total Revenues
$ 63,490 $ 54,791 $ 224,664 $ 220,651
PHOTOMEDEX, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
Dec. 31, 2013 Dec. 31, 2012
Assets
Cash, cash equivalents and short-term investments $ 59,501 $ 62,348
Accounts receivable, net 27,218 19,064
Inventories 27,547 22,467
Other current assets 25,638 32,294
Property and equipment, net 10,489 6,759
Other non-current assets 70,536 68,958
Total Assets $ 220,929 $ 211,890
Liabilities and Stockholders' Equity
Accounts payable and accrued liabilities $ 40,047 $ 34,618
Other current liabilities 5,961 5,259
Bank and lease notes payable 10,920 619
Other liabilities 3,640 4,067
Stockholders' equity 160,361 167,327
Total Liabilities and Stockholders' Equity $ 220,929 $ 211,890
PHOTOMEDEX, INC.
CONDENSED STATEMENTS OF CASH FLOWS
(UNAUDITED)
For the Three Months ended
Dec. 31,
For the Year Ended
Dec. 31,
2013 2012 2013 2012
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $ 3,185 $ 5,894 $ 18,377 $ 22,489
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization 1,609 1,435 6,119 5,611
Provision for doubtful accounts 2,530 1,225 5,958 4,629
Deferred income taxes (849 ) (2,800 ) 2,589 (2,330 )
Stock-based compensation 1,190 1,380 4,985 6,197
Changes in assets and liabilities:
(Increase) decrease in:
Current assets (6,171 ) 615 (18,068 ) (23,032 )
Current liabilities 12,372 6,285 5,310 11,501
Net cash provided by operating activities 13,866 14,034 25,270 25,065
CASH FLOWS FROM INVESTING ACTIVITIES:
Lasers placed in service (1,046 ) (1,092 ) (5,476 ) (3,221 )
Purchases of PP&E, net (233 ) (296 ) (943 ) (573 )
Other 4,323 (35 ) 3,738 (18,069 )
Net cash provided by (used in) investing activities 3,044 (1,423 ) (2,681 ) (21,863 )
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from exercise of options/issuance (share-purchase) of securities, net (12,047 ) (5,401 ) (31,006 ) 27,057
Proceeds from issuance of debt 10,000 - 10,000 -
Repayments of debt (14 ) (8 ) (666 ) (2,465 )
Net cash (used in) provided by financing activities (2,061 ) (5,409 ) (21,672 ) 24,592
EFFECT OF EXCHANGE RATE CHANGES ON CASH 69 339 123 5
NET INCREASE IN CASH AND CASH EQUIVALENTS 14,918 7,541 1,040 27,799
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD 30,470 36,807 44,348 16,549
CASH AND CASH EQUIVALENTS, END OF PERIOD $ 45,388 $ 44,348 $ 45,388 $ 44,348
Contact:
LHA
Kim Sutton Golodetz, 212-838-3777
Kgolodetz@lhai.com
or
Bruce Voss, 310-691-7100
Bvoss@lhai.com
or
@LHA_IR_PR
or
PhotoMedex, Inc.
Dennis McGrath, 215-619-3287
Chief Financial Officer
info@photomedex.com
PhotoMedex Reports Record Revenues for the 2013 Fourth Quarter and Full Year
Fourth quarter revenues up 16% over prior year, consumer revenues up 16%, XTRAC treatment revenues up 80%
Business Wire PhotoMedex, Inc.
March 13, 2014 6:00 AM
HORSHAM, Pa.--(BUSINESS WIRE)--
PhotoMedex, Inc. (NASDAQ and TASE:PHMD) today announced financial results for the fourth quarter and full year ended December 31, 2013. Financial highlights include:
Fourth Quarter 2013 (all comparisons are with the fourth quarter of 2012):
Revenues of $63.5 million, an increase of 16%
Gross profit of $50.8 million, an increase of 18%
Net income of $3.2 million, compared with net income of $5.9 million
Earnings per diluted share of $0.16, compared with earnings per diluted share of $0.27
Adjusted earnings per diluted share, excluding certain items of $0.28
Consumer revenues of $53.6 million, an increase of 16%
Global Direct-to-consumer channel revenues of $39.4 million, an increase of 31%
Global retail and home shopping channel revenues of $13.6 million, an increase of 10%
Global Distributor consumer channel revenues of $0.6 million, a decrease of 84%
XTRAC® psoriasis and vitiligo treatment recurring revenues of $4.7 million, an increase of 80%
Cash generated from operations of $13.9 million
Repurchase of $12.0 million or 972,770 shares common stock at an average price of $12.35 per share
Cash, cash equivalents and short-term investments as of December 31, 2013 of $59.5 million, or $3.04 per diluted share
Full Year 2013 (all comparisons are with the full year 2012):
Revenues of $224.7 million, an increase of 2% with revenues from all channels; excluding Japan’s consumer revenue in both years, revenues increased 6%
Gross profit of $179.6 million, an increase of 3%
Net income of $18.4 million, compared with net income of $22.5 million
XTRAC franchise installed base of 501 sites compared with 361 sites, an increase of 39%
Earnings per diluted share of $0.89, compared with earnings per diluted share of $1.08
Adjusted earnings per diluted share, excluding certain items of $1.01
Consumer revenues excluding Japan of $177.3 million, compared with $169.1 million, represents an increase of 5%
Optimization of tax planning and management of cash balances between intercompany international subsidiaries via a $10 million line of credit in December 2013, which was repaid after year end
As announced on February 13, 2014, PhotoMedex signed a definitive agreement to acquire all outstanding shares of LCA-Vision Inc. for $5.37 per share in cash, or approximately $106 million. Subject to certain conditions including approval by LCA-Vision shareholders, the transaction is expected to close in the second quarter of 2014. The transaction is expected to be accretive to PhotoMedex’s cash EPS in 2014, excluding transaction-related items.
Management Commentary
Dr. Dolev Rafaeli, PhotoMedex CEO, commented, “We are reporting record revenues for both the quarter and the year, and we achieved these results without any consumer sales from Japan in the second half of the year. Our North American Media Efficiency Ratio was outstanding during the fourth quarter, with MERs as high as 3.86 during certain weeks. In addition, we were successful in cross-selling Neova products to our direct-to-consumer customers, with consumer sales from this skin care product line up 21% over the third quarter of 2013. Our direct-to-consumer revenues were up 34% on a sequential quarter basis and were up 31% over the prior year. Recently, a clinical study by Emanuele, et al. published in the March 2014 edition of Journal of Drugs in Dermatology about indications for prevention of sun damage associated with skin aging and non-melanoma skin cancer reported that Neova DNA Total Repair and DNA Damage Control ACTIVE SPF 44 were shown to be the most efficient repair and protect product combination among the commercially available products compared. Also, we initiated pre-launch activities for our Kyrobak® product for the treatment of lower back pain, with initial media testing that resulted in positive indications that will be further expanded in the first quarter of 2014.”
Dr. Rafaeli continued, “We have made excellent progress in broadening awareness of XTRAC for the treatment of psoriasis and vitiligo as demonstrated by the 12% sequential increase in treatment revenues and the 80% increase year-over-year. XTRAC is a source of recurring revenues to the treating physician and to PhotoMedex once a patient has been acquired. As a recent endorsement for the efficacy of XTRAC, a clinical study published recently in the Journal of Dermatological Treatment by Dr. John Y. M. Koo, M.D. of the Department of Dermatology, Psoriasis and Skin Treatment Center, University of California, San Francisco and a member of our scientific advisory board and others shows that the XTRAC Velocity excimer laser when used in combination with a topical therapy is as effective as biologics, but without the systemic immune suppression or other potentially harmful side effects for the treatment of moderate to severe psoriasis. We are optimistic for continued rapid growth in the physician recurring revenue side of our business, and look forward to gaining revenue from XTRAC treatments and Neova product sales from the underutilized LasikPlus infrastructure and professional staff, upon completion of our acquisition of LCA-Vision.”
“International expansion is a significant component of our growth strategy for our no!no! brand,” he added. “In the fourth quarter we initiated media testing in Brazil with encouraging results. In addition, we continue to build our brand awareness in Germany and Great Britain and are confident we have the pieces in place for a very successful year ahead with each major business segment making significant contributions to our growth in 2014.”
Reported Financial Results
Revenues for the fourth quarter of 2013 were $63.5 million, an increase of 16% over revenues for the fourth quarter of 2012 of $54.8 million.
Gross profit for the fourth quarter of 2013 was $50.8 million, or 80.0% of sales, compared with gross profit of $43.0 million, or 78.5% of sales, in the prior year’s fourth quarter, an increase of 150 basis points.
Net income for the fourth quarter of 2013 was $3.2 million or $0.16 per diluted share, which included $1.2 million in stock-based compensation expense and $1.6 million in depreciation and amortization expenses. This compares with net income for the fourth quarter of 2012 of $5.9 million or $0.27 per diluted share, which included $1.4 million in stock-based compensation expense and $1.4 million in depreciation and amortization expenses.
Revenues for the year ended December 31, 2013 were $224.7 million, an increase of 2% over revenues for the year ended December 31, 2012 of $220.7 million.
Gross profit for 2013 was $179.6 million, or 80.0% of sales, compared with $174.0 million, or 78.9% of sales, for 2012, an increase of 110 basis points. Net income for 2013 was $18.4 million or $0.89 per diluted share, which included $5.0 million in stock-based compensation expense and $6.1 million in depreciation and amortization expenses. This compares with net income for 2012 of $22.5 million or $1.08 per diluted share, which included $6.2 million in stock-based compensation expense and $5.6 million in depreciation and amortization expenses.
As of December 31, 2013, the Company had cash, cash equivalents and short-term investments of $59.5 million. During the 2013 fourth quarter the Company repurchased 972,770 shares of its common stock in the open market at an average price of $12.35 per share, for a total of $12.0 million.
In December 2013 the Company entered into a $15.0 million line of credit with JP Morgan Chase to facilitate repayment of temporary advances from its non-U.S. subsidiaries to comply with certain IRS regulations. The Company took an advance of $10 million against this line at December 31, 2013. The advance was repaid in full after year end.
Non-GAAP Financial Measures
To supplement PhotoMedex’s consolidated financial statements presented in accordance with GAAP, PhotoMedex provides certain non-GAAP measures of financial performance. These non-GAAP measures include non-GAAP adjusted income and non-GAAP adjusted income per share.
PhotoMedex’s reference to these non-GAAP measures should be considered in addition to results prepared under current accounting standards, but are not a substitute for, nor superior to, GAAP measures. These non-GAAP measures are provided to enhance investors' overall understanding of PhotoMedex’s current financial performance and to provide further information for comparative purposes.
Specifically, the Company believes the non-GAAP measures provide useful information to management and investors by isolating certain expenses, gains and losses that may not be indicative of the Company’s core operating results and business outlook. In addition, PhotoMedex believes non-GAAP measures enhance the comparability of results against prior periods. Reconciliation to the most directly comparable GAAP measure of all non-GAAP measures included in this press release is as follows:
(Unaudited)
Three Months Ended Dec. 31,
For the Year Ended Dec. 31
(ooo's) except per share amounts
2013 2012 2013 2012
Net income as reported $ 3,185 $ 5,894 $ 18,377 $ 22,489
Adjustments:
Depreciation and amortization expense
1,609 1,435 6,119 5,611
Interest expense, net
- (3 ) 10 398
Income tax expense
1,298 832 4,370 4,438
EBITDA $ 6,092 $ 8,158 $ 28,876 $ 32,936
Stock-based compensation expense
1,190 1,380 4,985 6,197
Non-GAAP adjusted income $ 7,282 $ 9,538 $ 33,861 $ 39,133
Fully diluted shares outstanding at December 31
19,603 21,357 19,603 21,357
Non-GAAP adjusted income per share
$ 0.37 $ 0.45 $ 1.73 $ 1.83
Excluding certain litigation expenses of $0.8 million, advertising expenses of $1.4 million for product sales not shipped until 2014, expenses associated with the relocation of corporate headquarters of $0.4 million and inventory valuation allowances of $0.6 million, earnings per diluted share were approximately $0.28 for the fourth quarter and $1.01 for the full year.
Conference Call
PhotoMedex will hold an investor conference call to discuss the Company’s 2013 fourth quarter and full year financial results and to answer questions today, March 13, 2014 beginning at 11:00 a.m. EST (5:00 p.m. Israel time).
To participate in the conference call, dial toll free 877-397-0292 or International/toll 719-325-4750 (and confirmation code # 3316100). For the convenience of our Israeli participants, a local/toll free number (1-80-925-8243) has been set up (the confirmation code remains the same # 3316100). If you are unable to participate in the live call, a digital replay will be available from Thursday, March 13, 2014 from 2:00 p.m. ET to Thursday, March 27, 2014 at 2:00 p.m. ET, by dialing toll free 888-203-1112 or International/toll 719-457-0820 (Israeli participants may dial 1-80-924-6038) and using confirmation code # 3316100.
The live webcast of the conference call will be available online by going to www.photomedex.com and clicking on the link to Investor Relations, and at www.streetevents.com. The online replay will be available shortly after the call has been completed.
A separate Form 10-K, including 2013 consolidated financial statements, will be filed with the Securities and Exchange Commission on or by March 17, 2014.
About PhotoMedex
PhotoMedex is a global skin health company providing integrated disease management and aesthetic solutions to dermatologists, professional aestheticians and consumers. The company provides proprietary products and services that address skin diseases and conditions including psoriasis, vitiligo, acne, actinic keratosis (a precursor to certain types of skin cancer) and photo damage. Its experience in the physician market provides the platform to expand its skin health solutions to spa markets, as well as traditional retail, online and infomercial outlets for home-use products. As a result of its December 2011 merger with Radiancy Inc., PhotoMedex has added a range of home-use devices under the no!no!™ brand, for various indications including hair removal, acne treatment and skin rejuvenation. The company also offers a professional product line for acne clearance, skin tightening, psoriasis care and hair removal sold to physician clinics and spas.
SAFE HARBOR STATEMENT
This press release contains forward-looking statements, including, but not limited to, statements relating to PhotoMedex’s future financial performance, strategies, potential sales and earnings growth, and some portions of the conference call, particularly those describing PhotoMedex' strategies, operating expense reductions and business plans will also contain “forward-looking statements”, each within the meaning of the Private Securities Litigation Reform Act of 1995 that are subject to risks, uncertainties and other factors. All statements other than statements of historical fact are statements that could be deemed forward-looking statements, including any statements of the plans, strategies and objectives of management for future operations; any statements regarding product development, product extensions, product integration or product marketing; any statements regarding continued compliance with government regulations, changing legislation or regulatory environments; any statements of expectation or belief and any statements of assumptions underlying any of the foregoing. In addition, there are risks and uncertainties related to successfully integrating the products and employees of the Company and Radiancy, as well as the ability to ensure continued regulatory compliance, performance and/or market growth. These risks, uncertainties and other factors, and the general risks associated with the businesses of the Company described from time-to-time under the caption “Risk Factors” and elsewhere in the Company’s SEC filings and reports and other documents filed with the SEC, could cause actual results to differ materially from those referred to, implied or expressed in the forward-looking statements. The Company cautions readers not to rely on these forward-looking statements. All forward-looking statements are based on information currently available to the Company, inherently involve significant risks and uncertainties and are qualified in their entirety by this cautionary statement. The Company anticipates that subsequent events and developments will cause its views to change. The information contained in this conference call speaks as of the date hereof and the Company has or undertakes no obligation to update or revise these forward-looking statements, whether as a result of new information, future events or otherwise.
-- Financial Statements follow --
PHOTOMEDEX, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
Three Months Ended
Dec. 31,
Year Ended
Dec. 31,
(ooo's) except per share amounts
2013 2012 2013 2012
Revenues $ 63,490 $ 54,791 $ 224,664 $ 220,651
Cost of revenues 12,713 11,772 45,035 46,642
Gross profit 50,777 43,019 179,629 174,009
Operating expenses:
Selling and marketing 36,761 31,299 127,528 116,487
General and administrative 8,851 4,737 26,750 27,330
Research and development and engineering 914 768 3,306 2,914
46,526 36,804 157,584 146,731
Operating income 4,251 6,215 22,045 27,278
Interest and other financing income (expense), net 232 511 702 (351 )
Income before taxes expense 4,483 6,726 22,747 26,927
Income tax expense (benefit) 1,298 832 4,370 4,438
Net income1 $ 3,185 $ 5,894 $ 18,377 $ 22,489
Net income per share:
Basic $ 0.16 $ 0.28 $ 0.90 $ 1.10
Diluted $ 0.16 $ 0.27 $ 0.89 $ 1.08
Shares used in computing net income per share:
Basic 19,400 20,948 20,455 20,356
Diluted 19,603 21,357 20,657 20,764
1 Includes: depreciation and amortization 1,609 1,435 6,119 5,611
Share-based compensation expense 1,190 1,380 4,985 6,197
Three Months ended Dec. 31, Year ended Dec 31,
2013 2012 2013 2012
Consumer:
Direct
$ 39,392 $ 29,998 $ 130,785 $ 125,208
Distributors
595 3,763 15,553 24,851
Retailer and home shopping channels
13,629 12,362 41,921 38,366
sub-total
53,616 46,123 188,259 188,425
Physician Recurring
XTRAC treatments
4,696 2,612 15,489 8,441
Skin care
1,993 1,949 8,243 8,156
Other
1,169 1,255 4,816 4,687
sub-total
7,858 5,816 28,548 21,284
Professional 2,016 2,852 7,857 10,942
Total Revenues
$ 63,490 $ 54,791 $ 224,664 $ 220,651
PHOTOMEDEX, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
Dec. 31, 2013 Dec. 31, 2012
Assets
Cash, cash equivalents and short-term investments $ 59,501 $ 62,348
Accounts receivable, net 27,218 19,064
Inventories 27,547 22,467
Other current assets 25,638 32,294
Property and equipment, net 10,489 6,759
Other non-current assets 70,536 68,958
Total Assets $ 220,929 $ 211,890
Liabilities and Stockholders' Equity
Accounts payable and accrued liabilities $ 40,047 $ 34,618
Other current liabilities 5,961 5,259
Bank and lease notes payable 10,920 619
Other liabilities 3,640 4,067
Stockholders' equity 160,361 167,327
Total Liabilities and Stockholders' Equity $ 220,929 $ 211,890
PHOTOMEDEX, INC.
CONDENSED STATEMENTS OF CASH FLOWS
(UNAUDITED)
For the Three Months ended
Dec. 31,
For the Year Ended
Dec. 31,
2013 2012 2013 2012
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $ 3,185 $ 5,894 $ 18,377 $ 22,489
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization 1,609 1,435 6,119 5,611
Provision for doubtful accounts 2,530 1,225 5,958 4,629
Deferred income taxes (849 ) (2,800 ) 2,589 (2,330 )
Stock-based compensation 1,190 1,380 4,985 6,197
Changes in assets and liabilities:
(Increase) decrease in:
Current assets (6,171 ) 615 (18,068 ) (23,032 )
Current liabilities 12,372 6,285 5,310 11,501
Net cash provided by operating activities 13,866 14,034 25,270 25,065
CASH FLOWS FROM INVESTING ACTIVITIES:
Lasers placed in service (1,046 ) (1,092 ) (5,476 ) (3,221 )
Purchases of PP&E, net (233 ) (296 ) (943 ) (573 )
Other 4,323 (35 ) 3,738 (18,069 )
Net cash provided by (used in) investing activities 3,044 (1,423 ) (2,681 ) (21,863 )
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from exercise of options/issuance (share-purchase) of securities, net (12,047 ) (5,401 ) (31,006 ) 27,057
Proceeds from issuance of debt 10,000 - 10,000 -
Repayments of debt (14 ) (8 ) (666 ) (2,465 )
Net cash (used in) provided by financing activities (2,061 ) (5,409 ) (21,672 ) 24,592
EFFECT OF EXCHANGE RATE CHANGES ON CASH 69 339 123 5
NET INCREASE IN CASH AND CASH EQUIVALENTS 14,918 7,541 1,040 27,799
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD 30,470 36,807 44,348 16,549
CASH AND CASH EQUIVALENTS, END OF PERIOD $ 45,388 $ 44,348 $ 45,388 $ 44,348
Contact:
LHA
Kim Sutton Golodetz, 212-838-3777
Kgolodetz@lhai.com
or
Bruce Voss, 310-691-7100
Bvoss@lhai.com
or
@LHA_IR_PR
or
PhotoMedex, Inc.
Dennis McGrath, 215-619-3287
Chief Financial Officer
info@photomedex.com
Lakes Entertainment Announces Results for Fourth Quarter and Full Year 2013
Business Wire Lakes Entertainment, Inc.
6 hours ago
MINNEAPOLIS--(BUSINESS WIRE)--
Lakes Entertainment, Inc. (LACO) today announced results for the three and twelve months ended December 29, 2013.
Fourth Quarter Results
Net loss for the fourth quarter of 2013 was $0.9 million, compared to net earnings of $2.0 million for the fourth quarter of 2012. Loss from operations was $2.2 million for the fourth quarter of 2013 compared to a loss from operations of $1.9 million for the fourth quarter of 2012. Basic and diluted loss per share was $0.03 for the fourth quarter of 2013 compared to basic and diluted earnings per share of $0.07 for the fourth quarter of 2012.
Lakes Entertainment reported fourth quarter 2013 net revenues of $11.4 million, compared to prior-year fourth quarter net revenues of $2.8 million. Fourth quarter 2013 net revenues were related to the operation of Rocky Gap Casino Resort near Cumberland, Maryland, (“Rocky Gap”). Lakes acquired this property on August 3, 2012 and gaming operations began on May 22, 2013. During the fourth quarter of 2012, net revenues of $1.4 million were related to the operation of Rocky Gap. Also included in prior-year fourth quarter net revenues were $1.4 million in management fees related to the management of the Red Hawk Casino, near Sacramento, California, owned by the Shingle Springs Band of Miwok Indians (the “Tribe”). There were no management fees earned during the fourth quarter of 2013 due to the August 29, 2013 termination of the management agreement for the Red Hawk Casino.
During the fourth quarter of 2013, property operating expenses for Rocky Gap were $7.3 million, and primarily related to gaming operations, rooms, food and beverage and golf. During the fourth quarter of 2012, property operating expenses for Rocky Gap were $0.8 million, and primarily related to rooms, food and beverage and golf. The increase in property operating expenses resulted primarily from the inclusion of gaming-related expenses in the current year quarter. Gaming commenced in May 2013, therefore, there were no such expenses in the prior year fourth quarter.
For the fourth quarter of 2013, selling, general and administrative expenses were $5.6 million compared to $3.1 million for the fourth quarter of 2012. Included in these amounts were Lakes corporate selling, general and administrative expenses of $1.6 million and $1.9 million during the fourth quarters of 2013 and 2012, respectively. The decrease in Lakes corporate selling, general and administrative expenses was due primarily to decreases in professional fees and payroll and related expenses. Rocky Gap selling, general and administrative expenses were $4.0 million and $1.2 million during the fourth quarters of 2013 and 2012, respectively. The increase in Rocky Gap selling, general and administrative expenses was due primarily to increases in marketing and advertising expenses, and payroll and related expenses related to the addition of gaming during May 2013.
Depreciation and amortization was $0.8 million for the three months ended December 29, 2013 compared to $0.3 million for the three months ended December 30, 2012. The increase related to depreciation on Rocky Gap fixed assets.
During the fourth quarter of 2013, Lakes recognized a $1.7 million gain on modification of debt due to a reduction in the interest rate on its outstanding financing facility that was used to fund a portion of the Rocky Gap project.
The Company has existing net operating loss carry forwards of approximately $72 million that are available to offset future taxable income.
Twelve Month Results
Net earnings for the twelve months ended December 29, 2013 were $18.7 million, compared to net earnings of $3.2 million for the twelve months ended December 30, 2012. Earnings from operations were $13.4 million for the twelve months ended December 29, 2013 compared to a loss of $7.1 million for the twelve months ended December 30, 2012. Basic and diluted earnings per share were $0.70 for the twelve months ended December 29, 2013 compared to basic and diluted earnings of $0.12 per share for the twelve months ended December 30, 2012.
Lakes Entertainment reported net revenues of $38.8 million for 2013, compared to net revenues of $11.0 million for the prior year. Included in these amounts were net revenues of $30.9 million and $3.2 million for 2013 and 2012, respectively, related to the operation of Rocky Gap. Also included in net revenues were management fees of $7.8 million and $7.7 million earned during 2013 and 2012, respectively, related to the Red Hawk Casino.
During 2013, property operating expenses for Rocky Gap were $19.5 million, and primarily related to gaming operations, rooms, food and beverage and golf. During 2012, property operating expenses for Rocky Gap were $1.7 million, and primarily related to rooms, food and beverage and golf. The increase in property operating expenses resulted primarily from the inclusion of gaming-related expenses in the current year. Gaming commenced in May 2013, therefore, there were no such expenses in the prior year. In addition, because Rocky Gap was acquired on August 3, 2012, the prior year included operating expenses beginning on the date of acquisition.
For 2013, selling, general and administrative expenses were $19.3 million compared to $10.2 million for 2012. Included in these amounts were Lakes corporate selling, general and administrative expenses of $6.8 million and $7.8 million, for 2013 and 2012, respectively. The decrease in Lakes corporate selling, general and administrative expenses was due primarily to a decrease in payroll and related expenses and travel expenses. Rocky Gap selling, general and administrative expenses were $12.5 million and $2.4 million during 2013 and 2012, respectively. The increase in Rocky Gap selling, general and administrative expenses was due primarily to increases in marketing and advertising expenses, and payroll and related expenses related to the addition of gaming during May 2013.
As previously announced, on July 17, 2013, Lakes entered into a debt termination agreement (the “Debt Termination Agreement”) with the Tribe relating to amounts Lakes had previously advanced to the Tribe under the development and management agreement for the Red Hawk Casino between Lakes and the Tribe (the “Shingle Springs Notes”). The Debt Termination Agreement required certain conditions to be met, including a lump sum payment by the Shingle Springs Tribe to Lakes of $57.1 million (the “Debt Payment”). The Debt Payment was made on August 29, 2013 (the “Payment Date”) and constituted full and final payment of all debt owed to Lakes as of that date. As a result of the receipt of the Debt Payment, during the third quarter of 2013, Lakes recognized approximately $17.4 million in recovery of impairment charges because the Shingle Springs Notes were valued at $39.7 million as of the Payment Date. The management agreement under which Lakes was managing the Red Hawk Casino also terminated on the Payment Date.
During 2013, Lakes also recognized a gain of $3.8 million on extinguishment of liabilities associated with contract acquisition costs related to the project with the Tribe that were no longer owed upon the termination of the management agreement between Lakes and the Tribe.
Lakes recognized impairments and other losses of $3.4 million during 2013 compared to $4.5 million during 2012. Included in the current year impairments were $2.4 million related to the intangible assets associated with the development and management agreement with the Tribe, which were considered fully impaired upon the termination of the management agreement on August 29, 2013 and were written down to zero. In addition, receivables of approximately $1.0 million, that are directly related to the development and opening of Lakes’ Indian casino projects, were determined to be uncollectible and were impaired during 2013. The prior period impairments and other losses included $1.8 million due to the termination of Lakes’ agreement with the Jamul Indian Village for a project near San Diego, California and $1.3 million related to the write-down of land held for sale near Vicksburg, Mississippi to its agreed upon sale price, as well as $1.2 million related to costs associated with development plans for Rocky Gap which were subsequently revised.
During 2013, Lakes recognized preopening expenses of $1.2 million related to the Rocky Gap project. There were no preopening expenses during the prior year period.
Depreciation and amortization was $2.3 million for 2013 compared to $0.7 million for 2012. The increase related to depreciation on Rocky Gap fixed assets.
During 2013, Lakes recognized a $1.7 million gain on modification of debt due to a reduction in the interest rate on its outstanding financing facility that was used to fund a portion of the Rocky Gap project.
During 2012 Lakes recognized other income of $2.2 million related to a favorable legal settlement.
There was no income tax provision for 2013 because the Company released valuation allowance against deferred tax assets available to offset current income. The $2.5 million income tax benefit for the prior year was primarily due to the Company’s ability to carry back its estimated 2012 taxable loss to a prior year and receive a refund of taxes previously paid.
Tim Cope, President and Chief Financial Officer of Lakes stated, "We are pleased that during the fourth quarter, we were able to open the new event center space at our Rocky Gap Casino Resort near Cumberland, Maryland. Now that the event space is open, we look forward to expanding our business with this new amenity. Although inclement weather has impacted our operations to an extent this winter, we are encouraged by this property’s results since the gaming space opened in May of 2013. We plan to invest additional capital in this property during 2014, including the addition of 150 new parking spaces and refurbishing or expanding various existing spaces at the property including the expansion of the fitness center and the addition of new retail space. The gaming facility currently features 558 video lottery terminals, 10 table games, three poker tables, a casino bar and a new lobby food and beverage outlet. The AAA Four Diamond Award® winning property also includes a hotel, event center, restaurants, spa, and the only Jack Nicklaus signature golf course in Maryland.”
Further commenting, Lyle Berman, Chief Executive Officer of Lakes stated, “We continue to maintain a 10% ownership interest in Rock Ohio Ventures, LLC’s 80% ownership in the open and operating Horseshoe Casino Cleveland, the Horseshoe Casino Cincinnati, the Thistledown Racino in North Randall, Ohio and Turfway Park, a racetrack located in Florence, Kentucky. We also effectively own 5% of the company that now owns the Dania Jai Alai fronton in Dania Beach, Florida. That company has a Florida gaming license and recently opened its Dania Casino with 550 slot machines and 12 poker tables in the first phase of its master plan to expand the existing property into a full scale casino operation.” Mr. Berman continued, “With the receipt of the $57.1 million cash payment, from the Shingle Springs Tribe during 2013, we now have in excess of $80 million in available funds on our balance sheet which allows us flexibility as we consider new ventures in order to increase shareholder value.”
About Lakes Entertainment
Lakes Entertainment, Inc. currently owns the Rocky Gap Casino Resort near Cumberland, Maryland. Lakes also has an investment in Rock Ohio Ventures, LLC’s casino and racino developments in Ohio, as well as Turfway Park in Florence, Kentucky; and an investment in Dania Entertainment Center, LLC’s Dania Casino & Jai Alai in Dania Beach, Florida.
The Private Securities Litigation Reform Act of 1995 provides a safe harbor for forward-looking statements. Certain information included in this press release (as well as information included in oral statements or other written statements made or to be made by Lakes Entertainment, Inc.) contains statements that are forward-looking, such as statements relating to plans for future expansion and other business development activities as well as other capital spending, financing sources and the effects of regulation (including gaming and tax regulation) and competition. Such forward-looking information involves important risks and uncertainties that could significantly affect anticipated results in the future and, accordingly, such results may differ from those expressed in any forward-looking statements made by or on behalf of the company. These risks and uncertainties include, but are not limited to, need for potential future financing to meet Lakes’ development needs; Lakes operates in a highly competitive industry; possible changes in regulations; possible need for future financing to meet Lakes' expansion goals; risks of entry into new businesses; reliance on Lakes' management; and litigation costs. For more information, review the company's filings with the Securities and Exchange Commission.
LAKES ENTERTAINMENT, INC. AND SUBSIDIARIES
Condensed Consolidated Balance Sheets
(In thousands)
(Unaudited)
December 29, 2013 December 30, 2012
Assets
Current assets:
Cash and cash equivalents $ 37,897 $ 32,480
Short-term investments 49,099 -
Income taxes receivable 2,155 2,161
Other 1,774 1,255
Total current assets 90,925 35,896
Property and equipment, net 31,659 13,279
Long-term assets related to Indian casino projects:
Notes and interest receivable, net of current portion and allowance - 38,247
Intangible assets - 3,127
Management fees receivable and other - 4,786
Total long-term assets related to Indian casino projects - 46,160
Other assets:
Investment in unconsolidated investee 20,997 20,161
License fee 2,015 2,100
Land held for development 1,130 1,130
Other 535 996
Total other assets 24,677 24,387
Total assets $ 147,261 $ 119,722
Liabilities and shareholders' equity
Current liabilities:
Current portion of contract acquisition costs payable, net $ - $ 1,265
Current portion of long-term debt 1,251 -
Other 3,610 2,978
Total current liabilities 4,861 4,243
Long-term debt, net 10,321 -
Long-term contract acquisition costs payable, net - 3,302
Total long-term liabilities 10,321 3,302
Total liabilities 15,182 7,545
Total shareholders' equity 132,079 112,177
Total liabilities and shareholders' equity $ 147,261 $ 119,722
LAKES ENTERTAINMENT, INC. AND SUBSIDIARIES
Unaudited Condensed Consolidated Statements of Operations
(In thousands, except per share data)
Three months ended Twelve months ended
December 29, 2013 December 30, 2012 December 29, 2013 December 30, 2012
Revenues:
Management fees $ - $ 1,395 $ 7,762 $ 7,726
Gaming 9,040 - 22,673 -
Room 1,368 620 4,096 1,383
Food and beverage 1,209 663 3,775 1,281
Other operating 372 140 1,526 498
License fees and other 28 13 94 64
Gross revenues 12,017 2,831 39,926 10,952
Less promotional allowances 572 - 1,136 -
Net revenues 11,445 2,831 38,790 10,952
Costs and expenses:
Gaming 5,415 - 13,470 -
Room 283 150 863 296
Food and beverage 1,303 484 3,758 955
Other operating 304 199 1,420 415
Selling, general and administrative 5,550 3,137 19,332 10,191
Recovery of impairment on notes receivable - - (17,382 ) -
Gain on extinguishment of liabilities - - (3,752 ) -
Impairments and other losses - 139 3,356 4,453
Preopening expenses 21 - 1,184 -
Amortization of intangible assets related to Indian casino projects - 264 716 1,056
Loss on disposal of property and equipment - 143
Depreciation and amortization 797 340 2,273 675
Total costs and expenses
13,673 4,713 25,381 18,041
Earnings (loss) from operations (2,228 ) (1,882 ) 13,409 (7,089 )
Other income (expense):
Interest income 33 1,667 4,803 6,442
Interest expense (322 ) (218 ) (1,244 ) (940 )
Gain on modification of debt 1,658 - 1,658 -
Legal settlement - 2,160 - 2,160
Other - 10 25 123
Total other income, net 1,369 3,619 5,242 7,785
Earnings (loss) before income taxes (859 ) 1,737 18,651 696
Income tax benefit - (235 ) - (2,464 )
Net earnings (loss) including noncontrolling interest (859 ) 1,972 18,651 3,160
Net loss attributable to noncontrolling interest - - - 61
Net earnings (loss) attributable to Lakes Entertainment, Inc. $ (859 ) $ 1,972 $ 18,651 $ 3,221
Other comprehensive loss 9 - - -
Comprehensive earnings (loss) $ (850 ) $ 1,972 $ 18,651 $ 3,221
Weighted-average common shares outstanding
Basic 26,585 26,441 26,483 26,438
Diluted 26,919 26,480 26,689 26,439
Earnings (loss) per share
Basic $ (0.03 ) $ 0.07 $ 0.70 $ 0.12
Diluted $ (0.03 ) $ 0.07 $ 0.70 $ 0.12
Contact:
Investor Relations Contact:
BPC Financial Marketing
John Baldissera, 800-368-1217
or
For Further Information Contact:
Lakes Entertainment, Inc.
Timothy Cope, 952-449-7030
4:17 pm Newell Rubbermaid to reaffirm FY14 guidance of adjusted EPS of $1.94-2.00 vs $1.99 Capital IQ Consensus Estimate, reaffirms core sales growth of 3-4% (NWL) : Co announced it will reaffirm its fiscal year 2014 outlook, as provided in its fourth quarter 2013 earnings press release dated January 31, 2014, during its presentation at RBC Capital Markets' Consumer & Retail Conference on March 13, 2014. The company will note that its first quarter results will be negatively impacted by the broad weather-driven retailer point of sale challenges in the United States and lost sales and costs associated with last month's announced recall of toddler car seats. The company expects the combined impact of these events to negatively affect the first quarter 2014 global core sales growth rate by approximately 100 to 200 basis points and normalized earnings per share by approximately 3 to 4 cents.
For the full year, the company expects to recover momentum led by its strong brand and innovation plans, extensive savings programs related to Project Renewal, and the natural rebound of point of sale in key US retailers as the seasons finally change.
As a result, the company's full year guidance remains unchanged for 2014:
Core sales growth of 3 to 4 percent
Normalized operating margin improvement of up to 40 basis points
Normalized EPS of $1.94 to $2.00 (vs $1.99 Capital IQ Consensus Estimate)
Operating cash flow between $600 and $650 million
4:17 pm Newell Rubbermaid to reaffirm FY14 guidance of adjusted EPS of $1.94-2.00 vs $1.99 Capital IQ Consensus Estimate, reaffirms core sales growth of 3-4% (NWL) : Co announced it will reaffirm its fiscal year 2014 outlook, as provided in its fourth quarter 2013 earnings press release dated January 31, 2014, during its presentation at RBC Capital Markets' Consumer & Retail Conference on March 13, 2014. The company will note that its first quarter results will be negatively impacted by the broad weather-driven retailer point of sale challenges in the United States and lost sales and costs associated with last month's announced recall of toddler car seats. The company expects the combined impact of these events to negatively affect the first quarter 2014 global core sales growth rate by approximately 100 to 200 basis points and normalized earnings per share by approximately 3 to 4 cents.
For the full year, the company expects to recover momentum led by its strong brand and innovation plans, extensive savings programs related to Project Renewal, and the natural rebound of point of sale in key US retailers as the seasons finally change.
As a result, the company's full year guidance remains unchanged for 2014:
Core sales growth of 3 to 4 percent
Normalized operating margin improvement of up to 40 basis points
Normalized EPS of $1.94 to $2.00 (vs $1.99 Capital IQ Consensus Estimate)
Operating cash flow between $600 and $650 million
The "Street has PHMD coming in at .16 for the quarter that should be reported on or about March 13, 2014! All post's welcome! The "Good Dr's In"!
The "Street has PHMD coming in at .16 for the quarter that should be reported on or about March 13, 2014! All post's welcome! The "Good Dr's In"!
The "Street has PHMD coming in at .16 for the quarter that should be reported on or about March 13, 2014! All post's welcome! The "Good Dr's In"!
ImmuCell Announces Increase in Product Sales and Other Annual Financial Results
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Marketwired
ImmuCell Corporation
February 13, 2014 8:00 AM
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PORTLAND, ME--(Marketwired - Feb 13, 2014) - ImmuCell Corporation (NASDAQ: ICCC) today announced the results of its operations for the three-month and twelve-month periods ended December 31, 2013.
During the three-month period ended December 31, 2013, product sales increased by 9.7%, or $138,000, to $1,559,000 in comparison to $1,421,000 during the same period in 2012. During the twelve-month period ended December 31, 2013, product sales increased by 11.5%, or $617,000, to $6,007,000 in comparison to $5,390,000 during the same period in 2012.
"We have now increased product sales during the last six consecutive quarters and for twelve of the last thirteen quarters. Sales of First Defense® and related product line extensions increased by 16.5% during the fourth quarter and 14.4% during the year ended December 31, 2013," commented Michael F. Brigham, President and CEO.
The net operating (loss) was ($210,000) during the three-month period ended December 31, 2013, in contrast to a net operating income of $12,000 during the same period in 2012. The net (loss) was ($151,000), or ($0.05) per share, during the three-month period ended December 31, 2013, in comparison to a net (loss) of ($17,000), or ($0.01) per share, during the same period in 2012.
Net operating (loss) was ($20,000) during the twelve-month period ended December 31, 2013, in contrast to net operating income of $245,000 during the same period in 2012. Net income was $117,000, or $0.04 per share, during the twelve-month period ended December 31, 2013, in comparison to net income of $90,000, or $0.03 per share, during the same period in 2012.
Regarding the fourth quarter loss, Mr. Brigham added, "During the fourth quarter, we incurred approximately $110,000 in expenses as we initiated our planned investment in a Nisin production plant for Mast Out®. Further, we reduced production output during the last six months of 2013 in order to replace and repair certain pieces of critical process equipment, which resulted in an increase in cost of goods sold. We expect our gross margin percentage to be more in line with our historical norms during 2014."
Cash, cash equivalents and short-term investments increased by 7%, or $342,000, to $5,255,000 as of December 31, 2013, in comparison to $4,914,000 as of December 31, 2012. Stockholders' equity increased by 2%, or $201,000, to $9,396,000 as of December 31, 2013, in comparison to $9,195,000 as of December 31, 2012. The Company had 3,026,000 shares of common stock outstanding as of December 31, 2013.
(Unaudited)
For the Three-Month Periods Ended December 31, For the Twelve-Month Periods Ended December 31,
(In thousands, except per share amounts) 2013 2012 2013 2012
Product sales $ 1,559 $ 1,421 $ 6,007 $ 5,390
Costs of goods sold 951 671 2,947 2,336
Gross margin 608 750 3,060 3,054
Product development expenses 325 234 1,154 918
Selling and administrative expenses 493 503 1,926 1,891
Operating expenses 818 737 3,080 2,809
NET OPERATING (LOSS) INCOME (210 ) 13 (20 ) 245
Other (expenses) revenues, net (43 ) (24 ) 225 (53 )
(LOSS) INCOME BEFORE INCOME TAXES (253 ) (11 ) 205 192
Income tax (benefit) expense (102 ) 6 88 102
NET (LOSS) INCOME $ (151 ) $ (17 ) $ 117 $ 90
Weighted average common shares outstanding:
Basic 3,021 3,019 3,019 3,018
Diluted 3,021 3,019 3,085 3,108
NET (LOSS) INCOME PER SHARE:
Basic $ (0.05 ) $ (0.01 ) $ 0.04 $ 0.03
Diluted $ (0.05 ) $ (0.01 ) $ 0.04 $ 0.03
(In thousands) As of December 31, 2013 As of December 31, 2012
Cash, cash equivalents and short-term investments $ 5,255 $ 4,914
Total assets 10,961 11,030
Net working capital 6,632 6,697
Stockholders' equity $ 9,396 $ 9,195
About ImmuCell: ImmuCell Corporation's (NASDAQ: ICCC) purpose is to create scientifically-proven and practical products that result in a measurable economic impact on animal health and productivity in the dairy and beef industries. Press releases and other information about the Company are available at our web-site, (http://www.immucell.com).
Contact:
Michael F. Brigham
President and CEO
(207) 878-2770 Ext. 3106
Sonic to Release Second Quarter 2014 Financial Results on March 24, 2014
Business Wire Sonic Corp.
2 hours ago
OKLAHOMA CITY--(BUSINESS WIRE)--
Sonic Corp. (SONC), the nation's largest chain of drive-in restaurants, today announced that it will release results for the quarter ended February 28, 2014 after the market close on March 24, 2014. The company will host a conference call to review financial results on Monday, March 24, 2014, at 5:00 PM ET.
The conference call can be accessed live over the phone by dialing (866) 454-4208 or (913) 312-0867 for international callers. A replay will be available one hour after the call and can be accessed by dialing (877) 870-5176 or (858) 384-5517 for international callers; the conference ID is 6821037. The replay will be available until Monday, March 31, 2014. An online replay of the conference call will be available approximately two hours after the conclusion of the live broadcast. A link to this event will be available on the investor section of the company's website, www.sonicdrivein.com.
About Sonic
SONIC®, America's Drive-In®, is the nation's largest chain of drive-in restaurants with more than 3,500 drive-ins serving approximately 3 million customers every day. Over the past 60 years, SONIC has delighted guests with signature menu items, more than 1 million drink combinations, friendly service by iconic Carhops and ongoing support of education through its award-winning Limeades for Learning® program. SONIC received top honors as America’s “#1 burger quick service restaurant,” ranking in the top 5 of all brands in the 2014 Temkin Experience Ratings report. For more information about Sonic Corp. (NASDAQ/NM: SONC) and its subsidiaries, please visit sonicdrivein.com. Customers can also connect with SONIC at facebook.com/sonicdrivein or on Twitter @sonicdrive_in.
SONC-F
Contact:
Sonic Corp.
Claudia San Pedro, 405-225-4846
Vice President of Investor Relations/Communications and Treasurer
Fourth Quarter and 2013 Fiscal Year Results and Provides Market Update
Business Wire Entertainment Gaming Asia Inc.
13 hours ago
HONG KONG--(BUSINESS WIRE)--
Entertainment Gaming Asia Inc. (EGT) (“Entertainment Gaming Asia” or “the Company”), a leading gaming company focused on emerging gaming markets in Pan-Asia, today reported operating results for the fourth quarter and 2013 fiscal year ended December 31, 2013 and reviewed recent corporate progress.
Overview:
Total consolidated revenue of $6.1 million for the fourth quarter of 2013 and $24.3 million for the 2013 fiscal year
Total revenue from gaming operations of $5.4 million for the fourth quarter of 2013 and $20.9 million for the 2013 fiscal year
Adjusted EBITDA (earnings before interest, taxes, depreciation, amortization and non-cash charges) of $704,000 for the fourth quarter of 2013 and $6.2 million for the 2013 fiscal year
Net loss from continuing operations, excluding non-cash impairment charge of $2.6 million primarily related to Dreamworld Pailin, of $1.6 million for the fourth quarter of 2013 and $2.6 million for the 2013 fiscal year
Gaming products sales of $729,000 for the fourth quarter of 2013 and $3.4 million for the 2013 fiscal year
Cash balance of $5.3 million as of December 31, 2013
Zero debt as of December 31, 2013
Dolphin subsidiary is in final negotiations to supply gaming chips and plaques to a new casino resort in the Philippines
Q4 and 2013 Fiscal Year Financial Review
On March 28, 2013, the Company sold the portion of its subsidiary Dolphin Products Pty Limited business dedicated to the manufacture and sale of non-gaming plastic products, mainly automotive parts. All historical revenues and expenses associated with non-gaming plastic products operations for the periods presented have been reclassified as discontinued operations. Revenues of these non-gaming products and gaming chips and plaques were previously consolidated under the reporting segment “Other Products.” After the sale, the Company renamed “Other Products” as “Gaming Products,” which comprises its gaming chips and plaques operations.
Entertainment Gaming Asia’s fourth quarter of 2013 consolidated revenue was $6.1 million, a decrease of 32% compared to $9.0 million in the fourth quarter of 2012. The decrease was due to declines in both the Company’s gaming operations and gaming products divisions. Consolidated revenue was $24.3 million for the 2013 fiscal year, a decrease of 9% compared to $26.8 million in the 2012 fiscal year. The decrease was due primarily to a decline in the Company’s gaming products division.
Revenue from gaming operations, which included slot and casino operations, was $5.4 million for the fourth quarter of 2013, a decrease of 7% compared to $5.8 million in the fourth quarter of 2012. Revenue from gaming operations was $20.9 million for the 2013 fiscal year, an increase of 2% compared to $20.4 million in the 2012 fiscal year.
The Company recorded $5.1 million in slot operations revenue for the fourth quarter of 2013, an increase of 13% compared to $4.5 million in the fourth quarter of 2012. Revenue from slot operations was $18.1 million for the 2013 fiscal year, a decrease of 2% compared to $18.6 million in the 2012 fiscal year. The fourth quarter of 2013 slot operations revenue included $900,000 in service revenue related to the reimbursement of net shared costs from casino operators, which was grossed up for accounting purposes. Given the related expenses have also been grossed up, this adjustment has no impact on net income results.
Excluding the service revenue adjustment, slot operations revenue for the fourth quarter of 2013 decreased 7% compared to the prior year period primarily as a result of organized political and labor protests in Phnom Penh, which negatively impacted player traffic and average net wins for the Company’s operations in NagaWorld. The decrease was also due to lower revenue from the Philippines operations due to higher jackpot payouts and increasing competition in the market. Excluding the aforementioned service revenue adjustment, slot operations revenue for the 2013 fiscal year decreased 8% compared to the prior year primarily as a result of lower average net wins from NagaWorld due to the reasons stated above and the week-long official mourning period for Cambodia’s former king and the strike by NagaWorld workers, both of which occurred in February 2013. The declines for both the fourth quarter of 2013 and the 2013 fiscal year were partially offset by incremental revenue from Dreamworld Poipet, which officially opened in May 2013, and an improvement in average net wins from Thansur Bokor.
Slot Operations
Net Revenue to EGT (in millions)
Q4:13 Q4:12 Y/Y ? FY13 FY12 Y/Y ?
Cambodia $3.4 $3.5 -3% $13.9 $14.7 -5%
Philippines $0.8 $1.0 -20% $3.3 $3.9 -15%
Service revenue(1) $0.9 - NA $0.9 - NA
Consolidated(1) $5.1 $4.5 13% $18.1 $18.6 -2%
WUD(2)
Q4:13 Q4:12 Y/Y ? FY13 FY12 Y/Y ?
Cambodia(3) $127 $189 -33% $144 $203 -29%
Philippines $76 $83 -8% $77 $75 3%
Consolidated $110 $145 -24% $121 $145 -17%
EGM Seats in Operation
12/31/13 12/31/12 Y/Y ?
Cambodia 1,109 824 35%
Philippines 563 581 -3%
Consolidated 1,672 1,405 19%
(1) Consolidated slot operations revenue for the 2013 periods include an accounting re-characterization of service revenue related to the reimbursement of net shared costs from casino operators. Given the related expenses have also been grossed up, this adjustment has no impact on net income results.
(2) Represents WUD for the Company’s slot machine operations. It excludes EGM seats in operation during venue soft launch opening periods and includes cash payments for venues for which revenue is recognized on a cash basis. Had such applicable seats been included and all revenue recognized on an accrual basis for the above periods, it would not have had a material impact on the WUD for these periods.
(3) The decline in Cambodia WUD is due, in part, to the addition of approximately 300 EGM seats at Dreamworld Poipet, which have lower average net wins. Dreamworld Poipet officially opened in May 2013.
Casino operations comprised one property, Dreamworld Pailin, which opened in May 2012. These operations contributed $305,000 to total gaming revenue in the fourth quarter of 2013 compared to $1.3 million in the prior year period. The decline was due to lower player traffic as the Company decreased the use of high-cost tour group promoters during the third quarter of 2013 and operated under a lower-cost leasing model for its table games during the fourth quarter of 2013. Casino operations contributed $2.7 million to total gaming revenue for the 2013 fiscal year compared to $1.8 million in the prior year due to a full year of operation in the 2013 fiscal year compared to approximately eight months in the 2012 fiscal year. Operating expenses for Dreamworld Pailin were $365,000 for the fourth quarter of 2013, down from $703,000 in the third quarter of 2013 and from $1.2 million in the second quarter of 2013 due to cost reduction initiatives under the new operating model and lower player traffic.
Revenue from gaming products was $729,000 in the fourth quarter of 2013, a decrease of 77% compared to $3.2 million in the fourth quarter of 2012. Revenue from gaming products was $3.4 million in the 2013 fiscal year, a decrease of 47% compared to $6.5 million in the 2012 fiscal year. The fourth quarter of 2013 and 2013 fiscal year were comprised solely of reorders from existing customers while the fourth quarter of 2012 and the 2012 fiscal year gaming products revenue included large one-time orders of $1.9 million and $3.5 million, respectively. Operating results during the 2013 fiscal year for the gaming products division were negatively impacted by the plant relocation and set up, which resulted in one-off start-up costs of approximately $300,000, production inefficiencies due to certain machine and tooling issues and further efforts to enhance production capacity and response time for potential large future orders. As a result, the Company does not believe that these results are representative of the potential of these operations. The Company expects to achieve a normalized cost structure for the gaming products business in the 2014 fiscal year.
Entertainment Gaming Asia reported adjusted EBITDA of $704,000 in the fourth quarter of 2013 compared to $2.6 million in the prior year period. Adjusted EBITDA was $6.2 million in the 2013 fiscal year compared to $10.5 million in the 2012 fiscal year.
The Company reported a net loss from continuing operations of $4.2 million, or $0.14 per share, on a weighted average diluted share count of approximately 30.0 million shares in the fourth quarter of 2013. The fourth quarter of 2013 net loss from continuing operations included a $2.6 million non-cash impairment charge associated with the write-down of building infrastructure and certain gaming assets primarily related to the Dreamworld Pailin operations. Excluding the non-cash impairment charge, the net loss from continuing operations was $1.6 million, or $0.05 per share, for the fourth quarter of 2013. This compares to net income from continuing operations of $297,000 for the fourth quarter of 2012, or $0.01 per share, on a weighted average diluted share count of approximately 31.0 million shares in the fourth quarter of 2012. The fourth quarter of 2012 net income from continuing operations included a $226,000 non-cash impairment charge associated with the write-down of certain gaming machines and systems related to the closure of under-performing slot venues during the year. Excluding the non-cash impairment charge, net income from continuing operations was $523,000, or $0.02 per share, for the fourth quarter of 2012.
Entertainment Gaming Asia reported a net loss from continuing operations of $5.2 million, or $0.17 per share, on a weighted average diluted share count of approximately 30.0 million shares in the 2013 fiscal year. Excluding the above-mentioned non-cash impairment charge of $2.6 million, the net loss from continuing operations was $2.6 million, or $0.09 per share, for the 2013 fiscal year. This compares to net income from continuing operations of $1.5 million, or $0.05 per share, on a weighted average diluted share count of approximately 30.8 million shares in the 2012 fiscal year. The 2012 fiscal year net income from continuing operations included $339,000 in non-cash impairment charges primarily associated with the write-down of certain gaming machines and systems, as discussed above. Excluding these non-cash impairment charges, net income from continuing operations was $1.8 million, or $0.06 per share, for the 2012 fiscal year.
The increases in net loss from continuing operations, excluding non-cash impairment charges, were primarily the result of: lower slot operations operating income; lower revenue, one-off factory start-up costs and production inefficiencies for the gaming products division; pre-operating costs for Dreamworld Poipet; higher SG&A expenses primarily due to a one-time accrued tax liability of approximately $480,000 related to the Philippines operations; tax expenses compared to tax benefits resulting from foreign entities in the prior year periods; and foreign currency losses compared to gains in the prior year periods. The negative differentials in foreign exchange of approximately $107,000 and $606,000 for the fourth quarter of 2013 and the 2013 fiscal year compared to the prior year respective periods were due to the strengthening of the U.S. dollar compared to foreign currencies in the markets in which the Company operates. The increases in net loss from continuing operations were partially offset by a higher gross margin for the Philippines slot operations due to an increase in fully depreciated gaming assets and a decreased operating loss for Dreamworld Pailin.
The Company reported a net loss of $4.2 million, or $0.14 per share, for the fourth quarter of 2013. This included a net loss from discontinued operations, net of tax, of $55,000 related to the sale of the Company’s non-gaming products operations in March 2013. This compared to net income of $268,000, or $0.01 per share, for the fourth quarter of 2012, which included a net loss from discontinued operations, net of tax, of $29,000. The Company reported a net loss of $7.3 million, or $0.24 per share, for the 2013 fiscal year. This included a net loss from discontinued operations, net of tax, of $2.1 million. The net loss from discontinued operations included $1.3 million in cash restructuring costs, which included severance, relocation charges and contract termination fees, and approximately $962,000 in non-cash charges for the loss on disposal of assets primarily related to non-gaming equipment and inventory. This compared to net income of $1.8 million, or $0.06 per share, for the 2012 fiscal year, which included net income from discontinued operations, net of tax, of $263,000.
Clarence Chung, Chairman and Chief Executive Officer of Entertainment Gaming Asia, commented, “The 2013 operating results were not satisfactory but we remain steadfast in our efforts to improve performance. We continue proactive marketing strategies at NagaWorld to minimize the impact of political and labor tensions in Phnom Penh. We are focused on continuing to ramp up performance at Dreamworld Poipet, which made a meaningful contribution to revenue for the 2013 fiscal year.
“For the gaming products division, we are optimistic about the future potential. With efforts to improve efficiency and capacity, we are preparing for anticipated large new orders. With the potential for a major gaming chip and plaque order for a new casino resort in the Philippines combined with our typical reorder flow, the expected sales pipeline for 2014 is attractive.
“We are focused on building our resources and deepening our established market presence and relationships in our markets to capitalize on potential growth opportunities. We are exploring new potential gaming projects located in more established gaming markets that can add meaningful scale to our operations and drive long-term growth for the Company.”
Entertainment Gaming Asia is hosting a conference call and simultaneous webcast at 8:30 a.m. ET today, March 6, 2014, both of which are open to the general public. The conference call number is 800/741-3792 or 212/231-2906. Questions and answers will be reserved for call-in analysts and investors. Interested parties may also access the live call on the Internet at www.EGT-Group.com. Please allow 15 minutes to register and download and install any necessary software. Following its completion, a replay of the call can be accessed for thirty days on the Internet at www.EGT-Group.com.
About Entertainment Gaming Asia Inc.
Entertainment Gaming Asia Inc. (EGT) is a leading gaming company in Pan-Asia engaged in the development and operation of casinos and gaming venues in the Indo-China region under its “Dreamworld” brand as well as the leasing of electronic gaming machines on a revenue sharing basis to the gaming industry. The Company also manufactures and sells RFID and traditional gaming chips and plaques to major casinos under its “Dolphin” brand. For more information please visit www.EGT-Group.com.
Forward Looking Statements
This press release contains forward-looking statements concerning Entertainment Gaming Asia within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Those forward-looking statements include statements regarding expectations for the Company’s slot operations business model, the earnings of the Poipet gaming operations, the ability to reduce operating expenses for its casino operations in Pailin and otherwise realize the intended benefits of the strategic refocusing of its operations in Pailin, growth of the gaming industry in Asia, the Company’s ability to secure new casino and gaming projects and fund those projects, expectations for the Company’s gaming products operations, and the expected benefits from the relocation of the gaming products operations to Hong Kong. Such statements are subject to certain risks and uncertainties, and actual circumstances, events or results may differ materially from those projected in such forward-looking statements. Factors that could cause or contribute to differences include, but are not limited to, risks related to the Company’s ability to place gaming machines at significant levels and generate the expected amount of net win from the gaming machines placed, identify and implement successful marketing and promotional strategies at the Company’s casino and gaming projects and identify and successfully develop additional projects in the Indo-China region, acquire additional capital as and when needed, ability to obtain the needed approval by certain customers from local gaming authorities to continue their purchase of gaming chips and plaques from the Hong Kong facility on a timely basis or at all, identify and implement successful marketing and promotional strategies and obtain and fulfill significant purchase orders from the customers for the Company’s gaming products, adapt to potential changes in gaming policies and political stability in the countries in which the Company operates and those other risks set forth in the Company’s annual report on Form 10-K for the year ended December 31, 2012 filed with the SEC on March 28, 2013 and subsequently filed quarterly reports on Form 10-Q. The Company cautions readers not to place undue reliance on any forward-looking statements. The Company does not undertake, and specifically disclaims any obligation to update or revise such statements to reflect new circumstances or unanticipated events as they occur.
Entertainment Gaming Asia Inc.
Consolidated Statements of Comprehensive Income
(Unaudited)
Three-Month Periods
Ended December 31,
Years Ended
December 31,
(amounts in thousands, except per share data) 2013 2012 2013 2012
Revenues:
Gaming operations, gross $ 5,365 $ 5,756 $ 20,870 $ 20,389
Less: promotional allowances — — — —
Gaming operations, net 5,365 5,756 20,870 20,389
Gaming products 729 3,225 3,424 6,454
Total revenues 6,094 8,981 24,294 26,843
Operating costs and expenses:
Cost of gaming operations
Gaming equipment depreciation 1,032 1,219 4,612 4,736
Casino contract amortization 613 619 2,464 2,466
Other gaming related intangibles amortization 63 63 252 252
Other operating costs 1,837 1,678 6,509 4,203
Cost of gaming products 1,023 2,431 4,195 5,187
Selling, general and administrative expenses 2,528 2,274 7,142 6,986
Stock-based compensation expenses 235 164 789 840
Loss/(gain) on dispositions of assets 88 (13) 88 (44)
Impairment of assets 2,567 226 2,567 339
Product development expenses 55 123 261 395
Depreciation and amortization 51 164 179 333
Total operating costs and expenses 10,092 8,948 29,058 25,693
(Loss)/income from continuing operations (3,998) 33 (4,764) 1,150
Other (expense)/income:
Interest expense and finance fees (2) — (7) (108)
Interest income — 12 4 43
Foreign currency (losses)/gains (66) 42 (295) 311
Other income/(expense) (3) 5 8 26
Total other (expense)/income (71) 59 (290) 272
(Loss)/income from continuing operations before income tax expense (4,069) 92 (5,054) 1,422
Income tax (expense)/benefit (103) 205 (141) 81
Net (loss)/income from continuing operations (4,172) 297 (5,195) 1,503
Net (loss)/ income from discontinued operations, net of tax (55) (29) (2,135) 263
Net (loss)/income $ (4,227) $ 268 $ (7,330) $ 1,766
Basic and diluted earnings per share:
(Loss)/earnings from continuing operations $ (0.14) $ 0.01 $ (0.17) $ 0.05
(Loss)/earnings from discontinued operations, net of tax
$
— $ —
$
(0.07) $ 0.01
(Loss)/earnings $ (0.14) $ 0.01 $ (0.24) $ 0.06
Weighted average common shares outstanding
Basic 30,025 29,942 30,024 29,922
Diluted 30,025 31,023 30,024 30,807
Entertainment Gaming Asia Inc.
Consolidated Balance Sheets
December 31, December 31,
2013 2012
(amounts in thousands, except per share data) (Unaudited)
ASSETS
Current assets:
Cash and cash equivalents $ 5,301 $ 10,365
Accounts receivable, net 922 1,841
Amounts due from related company 108 —
Other receivables 453 112
Inventories 1,663 2,047
Prepaid expenses and other current assets 443 387
Total current assets 8,890 14,752
Gaming equipment, net 8,171 9,724
Casino contracts 5,429 7,982
Property and equipment, net 7,857 6,170
Goodwill 353 380
Intangible assets, net 899 1,253
Contract amendment fees 234 342
Deferred tax assets — 201
Prepaids, deposits and other assets 1,797 2,914
Total assets $ 33,630 $ 43,718
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable $ 840 $ 3,636
Amounts due to a related party 19 —
Accrued expenses 2,366 2,619
Customer deposits and other current liabilities 457 656
Total current liabilities 3,682 6,911
Other liabilities 742 1,078
Deferred tax liability 199 137
Total liabilities 4,623 8,126
Stockholders’ equity:
Common stock, $.001 par value, 75,000,000 shares authorized; 30,024,662 and 29,974,662 shares issued and outstanding, respectively 30 30
Additional paid-in-capital 33,156 32,224
Accumulated other comprehensive income 742 929
(Accumulated losses)/retained earnings (4,922) 2,408
Total EGT stockholders’ equity 29,006 35,591
Non-controlling interest 1 1
Total stockholders’ equity 29,007 35,592
Total liabilities and stockholders’ equity $ 33,630 $ 43,718
Entertainment Gaming Asia Inc.
Adjusted EBITDA from Continuing Operations
(Unaudited)
Three-Month Periods Years Ended
Ended December 31, December 31,
(amounts in thousands) 2013 2012 2013 2012
Net (loss)/income from continuing operations – GAAP $ (4,172) $ 297 $ (5,195) $ 1,503
Interest expense and finance fees 2 — 7 108
Interest income — (12) (4) (43)
Income tax expense/(benefit) 103 (205) 141 (81)
Depreciation and amortization 1,881 2,107 7,856 7,892
Stock-based compensation expenses 235 164 789 840
Impairment of assets 2,567 226 2,567 339
Loss/(gain) on dispositions of assets 88 (13) 88 (44)
EBITDA from continuing operations, as adjusted
$
704
$
2,564
$
6,249
$
10,514
Adjusted EBITDA is earnings before interest, taxes, depreciation, amortization, stock-based compensation, and other non-cash operating income and expenses. Adjusted EBITDA is presented exclusively as a supplemental disclosure because management believes that it is widely used to measure the performance, and as a basis for valuation, of gaming companies. Management uses Adjusted EBITDA as a measure of the operating performance of its segments and to compare the operating performance of its operations with those of its competitors. The Company also presents Adjusted EBITDA because it is used by some investors as a way to measure a company’s ability to incur and service debt, make capital expenditures and meet working capital requirements. Gaming companies have historically reported EBITDA as a supplement to financial measures in accordance with generally accepted accounting principles in the United States (“GAAP”). Adjusted EBITDA should not be considered as an alternative to operating income as an indicator of the Company’s performance, as an alternative to cash flows from operating activities as a measure of liquidity, or as an alternative to any other measure determined in accordance with GAAP. Unlike net income/(loss), Adjusted EBITDA does not include depreciation or interest expense and, therefore, does not reflect current or future capital expenditures or the cost of capital. The Company compensates for these limitations by using Adjusted EBITDA as only one of several comparative tools, together with GAAP measurements, to assist in the evaluation of operating performance. Such GAAP measurements include operating income, net income/(loss), cash flows from operations and cash flow data. The Company has significant uses of cash flows, including capital expenditures, interest payments, debt principal repayments, taxes and other non-recurring charges, which are not reflected in Adjusted EBITDA. Entertainment Gaming Asia’s calculation of Adjusted EBITDA may be different from the calculation methods used by other companies and, therefore, comparability may be limited.
Contact:
Entertainment Gaming Asia Inc.
Traci Mangini, 312-867-0848
tracimangini@EGT-Group.com
Lakes Entertainment to Host Conference Call and Webcast on Results for Fourth Quarter and Full Year 2013
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Business Wire
Lakes Entertainment, Inc.
3 hours ago
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MINNEAPOLIS--(BUSINESS WIRE)--
Lakes Entertainment, Inc. (LACO) announced it will host a conference call and webcast to discuss the Company's fourth quarter and full year 2013 financial results on Thursday, March 13, 2014, at 1:00 p.m. Central Time (2:00 p.m. Eastern). The Company will issue financial results prior to the call.
Chairman of the Board and Chief Executive Officer Lyle Berman, and President and Chief Financial Officer Tim Cope, will recap the fourth quarter and full year 2013 results and provide a business update.
WHEN:
Thursday, March 13, 2014
Conference Call: 1:00 p.m. Central Time (2:00 p.m. Eastern Time)
Dial-in Number: 866-515-2907
Passcode: 13976289
WEBCAST: To listen to a live webcast of the conference call, go to Lakes' web site, www.lakesentertainment.com, and click on "Conference Call."
The webcast replay will be available from 5:00 p.m. Central Time, March 13, 2014, until 12:00 p.m. Central Time on March 20, 2014, on the Lakes Entertainment website at www.lakesentertainment.com. Listening to the webcast requires speakers and Windows Media Player. If you do not have Media Player, download the free software at www.windowsmedia.com.
If you do not have Internet access and want to listen to an audio replay, call 888-286-8010 and enter conference call passcode 67273135. The audio replay will be available beginning at 5:00 p.m. Central Time, March 13, 2014, until 12:00 p.m. Central Time, March 20, 2014.
About Lakes Entertainment
Lakes Entertainment, Inc. currently owns the Rocky Gap Casino Resort near Cumberland, Maryland. Lakes also has an investment in Rock Ohio Ventures, LLC’s casino and racino developments in Ohio, as well as Turfway Park in Florence, Kentucky; and an investment in Dania Entertainment Center, LLC’s Dania Casino & Jai Alai in Dania Beach, Florida.
The Private Securities Litigation Reform Act of 1995 provides a safe harbor for forward-looking statements. Certain information included in this press release (as well as information included in oral statements or other written statements made or to be made by Lakes Entertainment, Inc.) contains statements that are forward-looking, such as statements relating to plans for future expansion and other business development activities as well as other capital spending, financing sources and the effects of regulation (including gaming and tax regulation) and competition. Such forward-looking information involves important risks and uncertainties that could significantly affect anticipated results in the future and, accordingly, such results may differ from those expressed in any forward-looking statements made by or on behalf of the company. These risks and uncertainties include, but are not limited to, need for potential future financing to meet Lakes’ development needs; Lakes operates in a highly competitive industry; possible changes in regulations; possible need for future financing to meet Lakes' expansion goals; risks of entry into new businesses; reliance on Lakes' management; and litigation costs. For more information, review the company's filings with the Securities and Exchange Commission.
Contact:
Lakes Entertainment, Inc.
www.lakesentertainment.com
Investor Relations Contact:
John Baldissera, 800-368-1217
BPC Financial Marketing
or
For Further Information Contact:
Timothy Cope, 952-449-7030
Sappi's Annual General Meeting Held
PR Newswire Sappi Limited
February 5, 2014 10:56 AM
JOHANNESBURG, Feb. 5, 2014 /PRNewswire/ -- Sappi's Annual General Meeting was held in Johannesburg this afternoon (05 February 2014) and all resolutions as proposed at the meeting were duly passed by the respective requisite majorities.
(Logo: http://photos.prnewswire.com/prnh/20110728/MM43821LOGO )
Denis O'Connor
Group Secretary
Sappi Limited
Tel +27 (0)11 407 8072
Fax +27 (0)11 339 1881
Denis.OConnor@Sappi.com
Sponsor: UBS South Africa (Pty) Ltd
Sappi Limited
Reg No 1936/008963/06
(Incorporated in the Republic of South Africa)
JSE Code SAP
ISIN code ZAE000006284
("Sappi" or "the Company")
Labor SMART, Inc. Secures New Terms Under Line of Credit
Amended LOC Provides Additional Liquidity to Company During Growth
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Marketwired
Labor SMART, Inc.
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HIRAM, GA--(Marketwired - Mar 5, 2014) - Labor SMART, Inc. (OTCQB: LTNC) (the "Company"), an emerging provider of on-demand blue collar staffing primarily in the southeastern United States, today announced that the company has secured more favorable terms in its agreement with Transfac Capital and as a result has amended the original agreement as disclosed in an 8k filed with the SEC. The amended agreement now provides an advance rate of 85% of receivables as compared to the previous 70% of receivables.
Ryan Schadel, Labor SMART's CEO stated, "This is a very important development for Labor SMART. The additional cash flow that this amendment provides will put our organization in a stronger cash position as we prepare for our busy season and continued expansion. Our revenues have continued to grow at high double and triple digits for well over a year now. As we exit the traditionally slow season for our industry, we expect revenue growth to hasten even further as newer branches mature and expansion branches for 2014 come on line. The more favorable terms from Transfac Capital will also add to our ability to execute potential acquisitions."
In the first two months of 2014, Labor SMART has reported revenue growth of 142%, achieving $3,290,800 in revenue compared to $1,359,304 one year ago. "This growth is primarily organic and among those offices that have been open for a year," stated Mr. Schadel.
About Labor SMART, Inc.
Labor SMART, Inc. provides On-Demand temporary labor to a variety of industries. The Company's clients range from small businesses to Fortune 100 companies. Labor SMART was founded to provide reliable, dependable and flexible resources for on-demand personnel to small and large businesses in areas that include construction, manufacturing, hospitality, event-staffing, restoration, warehousing, retailing, disaster relief and cleanup, demolition and landscaping. Labor SMART believes it can make a positive contribution each and every day for the benefit of its clients and temporary employees. The Company's mission is to be the provider of choice to its growing portfolio of customers with a service-focused approach that enables Labor SMART to be seen as a resource and partner to its clients.
Safe Harbor Statement
This release contains statements that constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements appear in a number of places in this release and include all statements that are not statements of historical fact regarding the intent, belief or current expectations of Labor SMART, Inc., its directors or its officers with respect to, among other things: (i) financing plans; (ii) trends affecting its financial condition or results of operations; (iii) growth strategy and operating strategy. The words "may", "would", "will", "expect", "estimate", "can", "believe", "potential", and similar expressions and variations thereof are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond Labor SMART, Inc.'s ability to control, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors. More information about the potential factors that could affect the business and financial results is and will be included in Labor SMART, Inc.'s filings with the U.S. Securities and Exchange Commission.
Contact:
Beverly Jedynak
Martin E. Janis & Company, Inc.
312-943-1123
bjedynak@janispr.com
Acorn Productions Ltd Announces Two Major New BBC1 Dramas for Agatha Christie's 125th Celebration Year
RLJ Entertainment Oversees Extraordinary Raft of Developments Across Platform, Bringing the Christie Brand to New Audiences
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GlobeNewswire
RLJ Entertainment, Inc.
February 28, 2014 10:58 AM
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SILVER SPRING, Md., Feb. 28, 2014 (GLOBE NEWSWIRE) -- Acorn Productions Ltd today (Friday 28 February) announces that BBC1 has commissioned two significant new drama adaptations to bring Agatha Christie masterpieces to a new generation:
• A new adaptation of And Then There Were None, Christie's most successful work and one of the best-selling crime novels of all time, will be written by Sarah Phelps (Great Expectations, BBC; Oliver Twist, BBC) produced by Mammoth Screen (Parade's End, Blandings, BBC; Endeavour, ITV) in partnership with Acorn Productions and is slated for broadcast at Christmas 2015.
• Meanwhile, crime-fighting duo Tommy and Tuppence will return to our screens in a 1950s-set six-part adventure thriller series called Partners in Crime, starring David Walliams as Tommy. This brand new adaptation will be produced by Endor Productions (The Escape Artist; Restless; State of Play; The Girl in the Cafe, BBC) in partnership with Acorn Productions and the first three episodes (TX autumn 2015) will be written by award-winning author, playwright and director Zinnie Harris.
These two major new BBC1 dramas are just part of an extraordinary raft of developments as RLJ Entertainment, of which Acorn Productions Ltd is a subsidiary company, reinvents the Christie brand across a range of platforms, bringing Christie -- the best-selling novelist of all time -- to a new generation of crime fans.
Initiatives include a recently announced feature film (a star-studded re-make of Murder on the Orient Express from Fox produced by Ridley Scott, Mark Gordon and Simon Kinberg); Hidden Object tablet games, such as the 2013 release of Dead Man's Folly that has seen some 200,000 downloads in the first few weeks of release and an average rating of 4.5 stars; and forthcoming announcements for West End theatre.
Meanwhile, Acorn Productions and Agatha Christie Ltd are investing heavily in keeping the Agatha Christie brand fresh and engaged with its audience. The new Agatha Christie website was launched in September last year as the definitive guide to Christie's stable of world-famous detectives, and a global hub for a fan community across the world. Further phases are to be rolled out throughout 2014. Alongside this the official social media channels converse with a hugely international fan base, achieving an audience of close to 1.6 million and growing, on Facebook alone.
Hilary Strong, MD of Acorn Productions, said: "We are delighted to unveil these two major new dramas for BBC1. They are an integral part of our plans for the Christie brand and demonstrate the scale of our ambition at Acorn Productions Ltd for the portfolio of works that we own. With Christie's 125th anniversary next year, we are developing innovative new content on all platforms -- publishing, digital and theatre -- with new adaptations of her timeless stories.
"In addition to our publishing, digital and theatrical business, RLJ Entertainment is resourcing Acorn Productions to become a major player in British drama production. Our immediate access to RLJ Entertainment's US distribution network and funding means that Acorn Productions is ideally placed to produce or co-produce fresh new content for the UK, US and world markets."
Mathew Prichard, Chairman of Agatha Christie Limited and grandson of Agatha Christie said: "It is fantastic that, in her all-important 125th anniversary year, my grandmother is to be welcomed with such enthusiasm to the BBC: a wonderful new home for her much-loved characters and their stories, and one which she would be delighted with. The commitment to these productions from all those involved is great to see, and I've no doubt will result in compelling new adaptations, to be enjoyed by fans old and new."
Basi Akpabio, Creative Director of Acorn Productions, said: "The Agatha Christie estate has an extraordinarily deep well of stories and characters to work with and offers endless possibilities for creative renewal. And Then There Were None is Christie at her darkest and most frightening -- the ultimate justice meted out for secrets and crimes. This promises to be fast-paced drama at its best and we're thrilled to be working with Mammoth Screen and writer Sarah Phelps. Meanwhile, Christie herself said that the books featuring amateur sleuths Tommy Beresford and Prudence Cowley were the ones she most enjoyed writing, so we are looking forward to collaborating with Endor Productions and Zinnie Harris to bring them to a whole new generation of fans."
Damien Timmer, joint Managing Director of Mammoth Screen, said of And Then There Were None: "We want this to be the definitive adaptation of one of the most strikingly original and influential novels of the 20th Century, and we're so pleased to have the extraordinarily talented Sarah Phelps writing the screenplay. And Then There Were None is arguably Agatha Christie's masterpiece, and it's a privilege to be bringing it to the screen."
Hilary Bevan Jones, co-founder of Endor Productions, said of Partners in Crime: "To reimagine the iconic Christie characters Tommy and Tuppence and their adventures for a new television audience is a fabulous opportunity for all of us at Endor. Our incredible creative team of David Walliams, Zinnie Harris and Claire Wilson are crafting a drama that promises to be both thrilling and fresh."
David Walliams said: "In bringing these thrilling stories to the screen, it is our ambition for Tommy & Tuppence to finally take their rightful place alongside Poirot and Marple as iconic Agatha Christie characters. I was first drawn to the delicious notion of a married couple solving crimes together, and the more I read of the Tommy & Tuppence novels and short stories I realised they are among Christie's very best work."
Acquiring, licensing and distributing iconic brands to new audiences is part a major drive from the US entertainment mega-group, RLJ Entertainment, Inc. (RLJE), owned by Robert L. Johnson, to invest in British drama imports for North America and beyond.
"What we are doing with Christie is, itself, part of a growth strategy for RLJ Entertainment; now a one-stop-shop for development, production, licensing and distribution," explained Hilary Strong.
www.agathachristie.com
Facebook: www.facebook.com/OfficialAgathaChristie Twitter: @QueenOfCrime
Notes to editors
Acorn Productions Ltd is the UK based rights holding production arm of RLJ Entertainment, Inc. (RLJE) a premier independent owner, developer, licensee and distributor of entertainment content and programming in primarily North America, the United Kingdom and Australia with over 5,300 exclusive titles. Acorn Productions Ltd manages the literary and media rights to Agatha Christie's works around the world, on behalf of Agatha Christie Ltd. All licensing arrangements are run through Acorn Production's offices in the UK. Acorn Productions Ltd also manages all rights to period UK detective drama Foyle's War and develops unique drama programming for the UK and US markets.
'And Then There Were None'
First published in 1939, 'And Then There Were None' ('ATTWN') is the world's best-selling mystery ever and one of the best-selling books of all time. It has sold over 100 million copies to date, making it Christie's most successful work, and remains on the curriculum and recommended reading lists in schools around the world.
'ATTWN' has been adapted more often than any other Christie work, including hit stage productions on both the West End and Broadway in the 1940s and a new version of the play written by Kevin Elyot and directed by Steven Pimlott, which opened at the Gielgud Theatre in 2005.
Film adaptations include Rene Clair's iconic 1945 US production, the George Pollock release in 1965 and the Peter Collinson directed 1974 movie set in the Iranian desert. In the UK, the BBC adapted the novel for TV in 1949 and ITV did so again in 1959. It has also inspired several movies and TV iterations including the CBS show 'Harper's Island, Survivor' and an episode of CSI: Crime Scene Investigation. There was even an episode of 'Family Guy' called And Then There Were Fewer that parodied the novel.
Event drama of the highest order, this BBC1 commission is a new telling for a new generation of Agatha Christie's extraordinary and ingenious masterpiece. Featuring an ensemble cast of world class acting talent this is Christie at her darkest and most frightening -- the ultimate justice meted out for secrets and crimes. This promises to be fast-paced drama at its best.
This will be treated as a major TV event with 3 x 60' episodes broadcast on BBC1 over three consecutive nights in 2015. (A 2 x 90' mini series and a 4 x 45' mini series will be produced specifically for international broadcasters).
'Partners in Crime'
First published in 1922 ('The Secret Adversary'), Tommy Beresford & Prudence 'Tuppence' Cowley stumbled into detective work accidentally and soon became full-time sleuths. Agatha Christie cast the couple in four full-length novels as well as a collection of short stories entitled 'Partners in Crime' (1929). Tuppence is a charismatic, excitable and impulsive individual who acts as the perfect partner to the less imaginative, more methodical Tommy. In the original books, Christie developed the relationship between Tommy and Tuppence as well as ageing the couple from "bright young things" of the 1920s ('The Secret Adversary', 1922) to mature sleuths in their 70s ('Postern of Fate', 1973).
Tommy and Tuppence were portrayed by James Warwick and Francesca Annis, first in the feature-length The Secret Adversary (1982), and then in the 10-episode hour-long series Agatha Christie's Partners in Crime (1983). Tuppence was also portrayed by Greta Scacchi in 2006 in an episode from the Miss Marple series (based on 'By The Pricking of My Thumbs'), this time with Tuppence and Miss Marple carrying out the detective work together whilst Tommy (Anthony Andrews) is away on MI6 business.
In 2005 the French director Pascal Thomas adapted the novel 'By The Pricking of My Thumbs' under the title Mon Petit Doigt M'a Dit, starring Andre Dussolier and Catherine Frot and set in France. A follow-up feature film named 'Partners in Crime' (Le Crime est Notre Affaire) was released in 2008 with a storyline based on a Miss Marple story, '4.50 from Paddington'.
This new BBC1 adaptation for 2015, Partners in Crime, sets the amateur duo in 1950s Britain, a country facing up to the looming threat of the Cold War. In search of adventure they stumble into a world of undercover agents, mysterious evil masterminds and diabolical political conspiracy.
RLJ Entertainment, Inc. (RLJE) is a premier independent owner, developer, licensee and distributor of entertainment content and programming in primarily North America, the United Kingdom and Australia with over 5,300 exclusive titles. RLJE is a leader in numerous genres via its owned and distributed brands such as Acorn (British TV), Image (feature films, stand-up comedy), One Village (urban), Acacia (fitness), Athena (documentaries) and Madacy (gift sets). These titles are distributed in multiple formats including broadcast television (including satellite and cable), theatrical and non-theatrical, DVD, Blu-Ray, digital download and digital streaming.
Via its relationship with Agatha Christie Limited, a company that RLJE owns 64% of, RLJE manages the intellectual property and publishing rights to some of the greatest works of mystery fiction, including stories of the iconic sleuths Miss Marple and Poirot. RLJE also owns all rights to the hit UK mystery series Foyle's War.
RLJE leverages its management experience to acquire, distribute and monetize existing and original content for its many distribution channels, including its branded digital subscription channels, Acorn TV and Acacia TV, and engages distinct audiences with programming that appeals directly to their unique viewing interests. Through its proprietary e-commerce web sites and print catalogs for the Acorn and Acacia brands, RLJE has direct contacts and billing relationships with millions of consumers.
Companies interested in taking a license to adapt Agatha Christie's works into films or games, license stage plays, translate and publish new editions of her novels and short stories or quote from her writings should contact Acorn Productions Limited.
Mammoth Screen
Mammoth Screen is one of the UK's leading independent production companies. Recent BBC shows have included Blandings II for BBC One, the award winning Parade's End (HBO/BBC2) and Best Possible Taste -- the Kenny Everett Story for BBC4. Current shows in production include Remember Me and Poldark for BBC One, ALT for E4 and Endeavour II for ITV.
Mammoth Screen's Michele Buck, Karen Thrussell and Damien Timmer executive produced Agatha Christie's Poirot for ITV - the final run of the series tx'd in 2013 to great acclaim.
Endor Productions
Founded by acclaimed Film and TV industry leader Hilary Bevan Jones, Endor has rapidly grown to become one of the most successful and influential independent drama production companies in the UK.
Recent credits include legal thriller THE ESCAPE ARTIST from Spooks creator, David Wolstencroft, starring David Tennant and Toby Kebbell, and William Boyd's RESTLESS for BBC1, starring Hayley Atwell, Charlotte Rampling, Rufus Sewell, Michelle Dockery and Michael Gambon. Upcoming productions include TUBBY AND ENID, a feature length musical for the BBC, written and directed by Victoria Wood, and starring Imelda Staunton and Michael Ball, and ROALD DAHL'S ESIO TROT, adapted by Richard Curtis and Paul Mayhew-Archer, starring Dame Judi Dench and Dustin Hoffman.
An ambitious international TV and film development slate includes deals with major UK and US broadcasters and partnerships with leading creative talent including William Boyd, Neil Gaiman, David Wolstencroft, Fiona Seres, Julian Farino and Kelly Marcel.
Endor is a partner company in the Red Arrow Entertainment Group, which is backed by Germany's Pro7Sat1 Group.
Contact:
For media enquiries, please contact:
Chad Campbell, RLJ Entertainment, Inc.
301.608.2115 *138
ccampbell@RLJEntertainment.com
Labor SMART, Inc. Reports Record Revenue for February 2014
Same Branch Sales Continue to Increase Year-Over-Year
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Marketwired
Labor SMART, Inc.
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HIRAM, GA--(Marketwired - Mar 3, 2014) - Labor SMART, Inc. (OTCQB: LTNC) (the "Company"), an emerging provider of on-demand blue collar staffing primarily in the southeastern United States, today announced record February revenue as well as an increase in same branch sales year over year. For those offices that have been open for at least one year, February 2014 revenue was $959,472 compared to $778,748 one year ago for the same branches. This 23 percent increase was achieved despite negative effects from significant weather-related issues that occurred during the month in the Southeastern US. Overall February 2014 revenue for Labor SMART was $1,413,126 compared to $778,748 for the same month prior year, representing an 81% year over year increase.
Ryan Schadel, Labor SMART's CEO stated, "We were extremely pleased with this revenue growth in February as weather-related events negatively impacted many businesses in the US, particularly in our primary areas of operations during the month. Without these weather-related issues, we believe our revenue would have been much higher than what was achieved. This marks the fifteenth straight month we have recorded a year-over-year increase in revenue at branches that were open at least one year."
Labor SMART reported a significant increase in revenue last month as well and recently reported that its 2013 revenue was 130.7 percent higher than that recorded in 2012. "We are part of a growth industry as more and more companies choose to outsource many jobs rather than deal with new regulatory employment issues," Mr. Schadel said. He added that the company intends to continue to grow organically, to open new stores and explore acquisitions that would be accretive to the company's revenue and earnings.
About Labor SMART, Inc.
Labor SMART, Inc. provides On-Demand temporary labor to a variety of industries. The Company's clients range from small businesses to Fortune 100 companies. Labor SMART was founded to provide reliable, dependable and flexible resources for on-demand personnel to small and large businesses in areas that include construction, manufacturing, hospitality, event-staffing, restoration, warehousing, retailing, disaster relief and cleanup, demolition and landscaping. Labor SMART believes it can make a positive contribution each and every day for the benefit of its clients and temporary employees. The Company's mission is to be the provider of choice to its growing portfolio of customers with a service-focused approach that enables Labor SMART to be seen as a resource and partner to its clients.
Safe Harbor Statement
This release contains statements that constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements appear in a number of places in this release and include all statements that are not statements of historical fact regarding the intent, belief or current expectations of Labor SMART, Inc., its directors or its officers with respect to, among other things: (i) financing plans; (ii) trends affecting its financial condition or results of operations; (iii) growth strategy and operating strategy. The words "may", "would", "will", "expect", "estimate", "can", "believe", "potential", and similar expressions and variations thereof are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond Labor SMART, Inc.'s ability to control, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors. More information about the potential factors that could affect the business and financial results is and will be included in Labor SMART, Inc.'s filings with the U.S. Securities and Exchange Commission.
Contact:
Beverly Jedynak
Martin E. Janis & Company, Inc.
312-943-1123
bjedynak@janispr.com
TheStreet Reports Fourth Quarter & Full Year 2013 Results
FY 2013 Revenue of $54.5M, up 7.4%, with Adjusted EBITDA(1) of $2.1M
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PR Newswire
TheStreet, Inc.
19 hours ago
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NEW YORK, Feb. 27, 2014 /PRNewswire/ -- TheStreet, Inc. (TST), a leading digital financial media company, today reported financial results for the fourth quarter and full year 2013. For the fourth quarter, the Company reported revenue of $14.8 million, net income of $213 thousand and Adjusted EBITDA of $1.6 million. For the full year, the Company reported revenue of $54.5 million, net loss of $3.8 million and Adjusted EBITDA of $2.1 million.
"Two years into our multi-year plan of building a profitable twenty-first century media company, TheStreet's 2013 performance demonstrates that our strategy is working. We are pleased to have exceeded our annual revenue expectations of $53-$54 million," said Elisabeth DeMarse, Chairman, President and Chief Executive Officer. "In 2014, we will continue to focus on growing subscriptions across our institutional and retail platforms, as well as improving user experience on our free site. With financial markets near record highs and M&A activity heating up, we anticipate increased interest from retail and institutional audiences for our 'must-have' actionable insights," concluded DeMarse.
Fourth Quarter Results
Revenue in the fourth quarter of 2013 was $14.8 million, an increase of 7.1% from $13.8 million in the prior year period. Subscription Services revenue in the fourth quarter was $11.4 million, an increase of 9.7% compared to the prior year period. The increase in Subscription Services revenue was primarily due to organic growth in subscription newsletters and The Deal, as well as revenues from the DealFlow acquisition. Media revenue in the fourth quarter was $3.4 million, a decrease of 0.9% compared to the prior year period.
Operating expenses in the fourth quarter were $14.6 million, a decrease of 8.9% compared to the prior year period. Excluding restructuring and other charges and gain on disposition of assets, operating expenses decreased 5.9% compared to the prior year period.
Net income in the fourth quarter was $213 thousand compared to a net loss of $2.2 million in the prior year period. The Company reported basic and diluted net income per share attributable to common stockholders of $0.01 in the fourth quarter of 2013 compared to a net loss per share of $0.07 in the prior year period. Adjusted EBITDA was $1.6 million in the fourth quarter compared to $453 thousand in the prior year period.
Full Year Results
Revenue for the full year 2013 was $54.5 million, an increase of 7.4% from $50.7 million in the prior year. Subscription Services revenue for the full year was $43.5 million, an increase of 17.2% compared to the prior year. The increase in Subscription Services revenue was primarily due to the acquisitions of The Deal and DealFlow. Media revenue for the full year was $10.9 million, a decrease of 19.7% from the prior year.
Operating expenses for the full year were $58.4 million, a decrease of 8.4% compared to the prior year. Excluding restructuring and other charges and gain/loss on disposition of assets, operating expenses increased 0.8% compared to the prior year.
Net loss for the year was $3.8 million compared to a net loss of $12.7 million in the prior year. The Company reported basic and diluted net loss per share attributable to common stockholders of $0.11 for the full year compared to a net loss per share of $0.38 for the prior year. Adjusted EBITDA for the full year was $2.1 million compared to $1.3 million for the prior year.
The company generated $2.5 million in operating cash flow for year ended December 31, 2013, compared to the use of $6.2 million in operating cash flow for the prior year. The Company ended the year with cash and cash equivalents, restricted cash and marketable securities of $59.8 million.
Selected Operating Metrics
•For total Subscription Services: •Bookings were $11.6 million for the fourth quarter, an increase of 6.6% from the prior year period.
•Bookings for the full year were $45.0 million, which includes the impact of acquisitions, compared to $36.6 million in the prior year.
•For Subscription Newsletters(2): •The number of paid subscriptions at the end of the period was 78,400, an increase of 20.9% from the prior year and 5.3% sequentially.
•Average revenue per user for the fourth quarter decreased 10.1% compared to the prior period and 3.2% sequentially.
•Average monthly churn was 2.3% for the fourth quarter, compared to 2.7% in the prior year period and 2.1% in the third quarter(3).
Conference Call Information
TheStreet will discuss its financial results for the fourth quarter today at 4:30 p.m. ET.
To participate in the call, please dial (800) 649-5127 (domestic) or (914) 495-8549 (international). The Conference ID number is 2948072. This call is being webcast and can be accessed in the Investor Relations section of TheStreet website at
http://investor-relations.thestreet.com/events.cfm.
A replay of the webcast will be available approximately two hours after the conclusion of the call and remain available for approximately ninety calendar days.
About TheStreet
TheStreet, Inc. (www.t.st) is the leading independent digital financial media company providing business and financial news, investing ideas and analysis to personal and institutional investors worldwide. The Company's portfolio of business and personal finance brands includes: TheStreet, RealMoney, RealMoney Pro, Stockpickr, Action Alerts PLUS, Options Profits, MainStreet and RateWatch. To learn more, visit www.thestreet.com. The Deal, the Company's institutional business, provides intraday coverage of mergers and acquisitions and all other changes in corporate control. To learn more, visit www.thedeal.com.
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Non-GAAP Financial Information
(1) To supplement the Company's financial statements presented in accordance with generally accepted accounting principles ("GAAP"), the Company uses non-GAAP measures of certain components of financial performance, including "EBITDA," "Adjusted EBITDA" and "free cash flow." EBITDA is adjusted from results based on GAAP to exclude interest, income taxes, depreciation and amortization. This non-GAAP measure is provided to enhance investors' overall understanding of the Company's current financial performance and its prospects for the future. Specifically, the Company believes that the non-GAAP EBITDA results are an important indicator of the operational strength of the Company's business and provide an indication of the Company's ability to service debt and fund acquisitions and capital expenditures. EBITDA eliminates the uneven effect of considerable amounts of non-cash depreciation of tangible assets and amortization of certain intangible assets that were recognized in business combinations. Adjusted EBITDA further eliminates the impact of non-cash stock compensation, restructuring, transaction related costs and other charges affecting comparability. A limitation of these measures, however, is that they do not reflect the periodic costs of certain capitalized tangible and intangible assets used in generating revenues in the Company's businesses. Management evaluates the investments in such tangible and intangible assets through other financial measures, such as capital expenditure budgets and investment spending levels. "Free cash flow" means net loss plus non-cash expenses net of gains/losses on dispositions of assets, less changes in operating assets and liabilities and capital expenditures. The Company believes that this non-GAAP financial measure is an important indicator of the Company's financial results because it gives investors a view of the Company's ability to generate cash.
(2) Subscription newsletters includes investing newsletters and excludes subscriptions from The Deal, DealFlow Media and Rate Watch.
(3) Average monthly churn rate is defined as subscriber terminations/expirations in the quarter divided by the sum of the beginning subscribers and gross subscriber additions for the quarter, then divided by three. Subscriptions that are on a free-trial basis are not regarded as added or terminated unless the subscription is active at the end of the free-trial period.
Notice Regarding Forward-Looking Statements
This press release contains forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements include statements regarding the impact of the Company's restructuring, growth initiatives and expectations for 2014. Such forward-looking statements are subject to risks and uncertainties, including those described in the Company's filings with the Securities and Exchange Commission ("SEC") that could cause actual results to differ materially from those reflected in the forward-looking statements. Factors that might contribute to such differences include, among others, economic downturns and the general state of the economy, including the financial markets and mergers and acquisitions environment, our ability to drive revenue, and increase or retain current subscription revenue, our ability to optimize our free site and generate new subscription revenue; our ability to successfully integrate The Deal and other acquisitions; our ability to develop new products; competition and other factors set forth in our filings with the SEC, which are available on the SEC's website at www.sec.gov. All forward-looking statements contained herein are made as of the date of this press release. Although the Company believes that the expectations reflected in the forward-looking statements are reasonable, the Company cannot guarantee future results or occurrences. The Company disclaims any obligation to update these forward-looking statements, whether as a result of new information, future developments or otherwise.
Contacts:
John Ferrara
Chief Financial Officer
TheStreet, Inc.
212-321-5234
ir@thestreet.com
Erica Mannion
Investor Relations
Sapphire Investor Relations, LLC
415-471-2700
ir@thestreet.com
THESTREET, INC.
CONSOLIDATED BALANCE SHEETS
ASSETS
December 31, 2013
December 31, 2012
Current Assets:
Cash and cash equivalents
$ 45,443,759
$ 23,845,360
Marketable securities
9,426,875
18,096,091
Accounts receivable, net of allowance for doubtful
accounts of $202,207 at December 31, 2013 and $165,294 at
December 31, 2012
4,502,344
5,750,753
Other receivables
299,687
1,134,142
Prepaid expenses and other current assets
1,167,029
1,450,742
Restricted cash
139,750
-
Total current assets
60,979,444
50,277,088
Property and equipment, net of accumulated depreciation
and amortization of $16,035,351 at December 31, 2013
and $14,633,037 at December 31, 2012
4,400,404
5,672,000
Marketable securities
3,670,860
17,298,227
Other assets
21,800
69,957
Goodwill
27,997,286
25,726,239
Other intangibles, net of accumulated amortization of $6,994,772
at December 31, 2013 and $6,699,283 at December 31, 2012
10,662,983
11,190,557
Restricted cash
1,161,250
1,301,000
Total assets
$ 108,894,027
$ 111,535,068
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities:
Accounts payable
$ 2,352,521
$ 3,813,955
Accrued expenses
4,338,423
5,921,152
Deferred revenue
22,122,763
21,080,759
Other current liabilities
957,741
632,618
Total current liabilities
29,771,448
31,448,484
Deferred tax liability
288,000
288,000
Other liabilities
4,671,421
4,340,749
Total liabilities
34,730,869
36,077,233
Stockholders' Equity:
Preferred stock; $0.01 par value; 10,000,000 shares
authorized; 5,500 shares issued and 5,500 shares
outstanding at December 31, 2013 and December 31, 2012;
the aggregate liquidation preference totals $55,000,000 as of
December 31, 2013 and December 31, 2012
55
55
Common stock; $0.01 par value; 100,000,000 shares
authorized; 41,058,246 shares issued and 34,044,339
shares outstanding at December 31, 2013, and 39,855,468
shares issued and 33,027,752 shares outstanding at
December 31, 2012
410,582
398,555
Additional paid-in capital
273,861,536
270,943,151
Accumulated other comprehensive income
(178,183)
(128,994)
Treasury stock at cost; 7,013,907 shares at December 31, 2013
and 6,827,716 shares at December 31, 2012
(12,364,460)
(11,974,261)
Accumulated deficit
(187,566,372)
(183,780,671)
Total stockholders' equity
74,163,158
75,457,835
Total liabilities and stockholders' equity
$ 108,894,027
$ 111,535,068
THESTREET, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
For the Three Months Ended December 31,
For the Year Ended December 31,
2013
2012
2013
2012
Net revenue:
Subscription services
$ 11,369,956
$ 10,364,766
$ 43,549,359
$ 37,149,143
Media
3,431,147
3,461,299
10,901,052
13,571,660
Total net revenue
14,801,103
13,826,065
54,450,411
50,720,803
Operating expense:
Cost of services
6,824,032
7,051,806
27,431,566
24,886,142
Sales and marketing
3,809,192
3,318,426
14,453,465
13,395,328
General and administrative
2,988,348
3,395,043
12,218,964
13,637,895
Depreciation and amortization
1,006,253
1,771,650
3,768,536
5,512,299
Restructuring and other charges
-
549,995
385,610
6,589,792
(Gain) loss on disposition of assets
-
(27,000)
187,434
(232,989)
Total operating expense
14,627,825
16,059,920
58,445,575
63,788,467
Operating income (loss)
173,278
(2,233,855)
(3,995,164)
(13,067,664)
Net interest income
39,579
57,497
209,463
352,713
Net income (loss)
212,857
(2,176,358)
(3,785,701)
(12,714,951)
Preferred stock cash dividends
-
-
-
192,848
Net income (loss) attributable to common stockholders
$ 212,857
$ (2,176,358)
$ (3,785,701)
$ (12,907,799)
Basic net income (loss) per share:
Net income (loss)
$ 0.01
$ (0.07)
$ (0.11)
$ (0.38)
Preferred stock cash dividends
-
-
-
(0.01)
Net income (loss) attributable to common stockholders
$ 0.01
$ (0.07)
$ (0.11)
$ (0.39)
Diluted net income (loss) per share:
Net income (loss)
$ 0.01
$ (0.07)
$ (0.11)
$ (0.38)
Preferred stock cash dividends
-
-
-
(0.01)
Net income (loss) attributable to common stockholders
$ 0.01
$ (0.07)
$ (0.11)
$ (0.39)
Weighted average basic shares outstanding
33,936,814
32,893,274
33,725,317
32,710,018
Weighted average diluted shares outstanding
34,704,620
32,893,274
33,725,317
32,710,018
Net income (loss)
$ 212,857
$ (2,176,358)
$ (3,785,701)
$ (12,714,951)
Net interest income
(39,579)
(57,497)
(209,463)
(352,713)
Depreciation and amortization
1,006,253
1,771,650
3,768,536
5,512,299
EBITDA
1,179,531
(462,205)
(226,628)
(7,555,365)
Restructuring and other charges
-
549,995
385,610
6,589,792
Stock based compensation
465,946
566,308
1,681,988
2,198,713
(Gain) loss on disposition of assets
-
(27,000)
187,434
(232,989)
Transaction related costs
(20,000)
(174,342)
121,118
344,305
Adjusted EBITDA
$ 1,625,477
$ 452,756
$ 2,149,522
$ 1,344,456
THESTREET, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
For the Year Ended December 31,
2013
2012
Cash Flows from Operating Activities:
Net loss
$ (3,785,701)
$ (12,714,951)
Adjustments to reconcile net loss to net cash provided by (used in)
operating activities:
Stock-based compensation expense
1,681,988
2,198,713
Provision for doubtful accounts
81,392
329,870
Depreciation and amortization
3,768,536
5,512,299
Restructuring and other charges
393,195
1,396,695
Deferred rent
(322,533)
(319,958)
Noncash barter activity
20,000
183,270
Loss (gain) on disposition of assets
187,434
(232,989)
Changes in operating assets and liabilities:
Accounts receivable
1,450,605
1,125,158
Other receivables
951,116
(677,601)
Prepaid expenses and other current assets
296,012
(294,567)
Other assets
(6,675)
39,556
Accounts payable
(1,463,684)
1,116,374
Accrued expenses
(1,384,257)
(2,519,154)
Deferred revenue
517,882
(1,100,272)
Other current liabilities
114,950
(240,830)
Other liabilities
(21,908)
24,000
Net cash provided by (used in) operating activities
2,478,352
(6,174,387)
Cash Flows from Investing Activities:
Purchase of marketable securities
-
(41,151,130)
Sale and maturity of marketable securities
22,247,394
34,812,021
Capital expenditures
(1,118,679)
(1,327,746)
Proceeds from the disposition of assets
71,881
249,300
Purchase of assets from DealFlow Media, Inc.
(1,764,716)
-
Purchase of The Deal, LLC
-
(5,430,063)
Net cash provided by (used in) investing activities
19,435,880
(12,847,618)
Cash Flows from Financing Activities:
Cash dividends paid on common stock
-
(1,636,236)
Cash dividends paid on preferred stock
-
(192,848)
Proceeds from the exercise of stock options
74,366
-
Proceeds from the sale of common stock
-
135,000
Restricted cash
-
660,370
Shares withheld on RSU vesting to pay for withholding taxes
(390,199)
(964,112)
Net cash used in financing activities
(315,833)
(1,997,826)
Net increase (decrease) in cash and cash equivalents
21,598,399
(21,019,831)
Cash and cash equivalents, beginning of period
23,845,360
44,865,191
Cash and cash equivalents, end of period
$ 45,443,759
$ 23,845,360
Supplemental disclosures of cash flow information:
Cash payments made for interest
$ -
$ 30,028
Noncash investing and financing activities:
Stock issued for business combination
$ 780,863
$ -
Net loss
$ (3,785,701)
$ (12,714,951)
Noncash expenditures
5,810,012
9,067,900
Changes in operating assets and liabilities
454,041
(2,527,336)
Capital expenditures
(1,118,679)
(1,327,746)
Free cash flow
$ 1,359,673
$ (7,502,133)
Yasheng Group Completes First Industrial Hemp Shipment to the United States
Marketwired Yasheng Group
February 26, 2014 8:00 AM
REDWOOD CITY, CA--(Marketwired - Feb 26, 2014) - Yasheng Group (OTCQB: HERB), a high-growth diversified China-based agricultural conglomerate with U.S. headquarters in Redwood City, California, today announced that it has successfully completed its first shipment of hulled hemp seeds to the United States.
The delivery marks an important step in an agreement made last year between Hemp Inc. of Las Vegas, Nevada and Yasheng to contract farm approximately 600 mu of hemp in China for import to the U.S. Yasheng is currently preparing to ship the remaining output of the crop in the form of fiber, chaff and hulled seeds. The two companies are currently negotiating a new contract for the 2014 planting season.
Yasheng is expanding its industrial hemp production in response to growing worldwide demand for the crop based on the high nutritional value of the seeds and the antimicrobial properties of the plant's fiber. Hemp production is also increasingly attractive due to the lack of need for pesticides or herbicides, and the relatively small amount of water and fertilizer required for cultivation.
According to The Hemp Industries Association, 2012 retail sales for hemp products in the US exceeded $500 million. It is estimated that there are more than 25,000 products on the global market today made from hemp materials.
In February of 2014, Yasheng established Hemp Route Limited, a subsidiary created to manage the international distribution of its hemp products.
Yasheng Group
Yasheng Group, founded over 30 years ago, is a US holding company that conducts primarily agricultural operations in the Northwest of China. Today it is one of China's leading producers and marketers with six major product segments including field crops, vegetables, fruit, specialty crops, hops, hemp, seeds, beef and poultry. Yasheng is a supplier of high-quality agricultural products to world-famous conglomerates such as McDonald's, KFC, Tsingtao Beer, and Pepsi. The company is led by a highly qualified management team and has total assets of approximately $2 billion, over 15,000 employees, and a history of strong sales and earnings growth. Please visit our website www.yashenggroup.com and register to receive future press releases directly.
Safe Harbor Statement
Except for the historical information contained herein, certain matters discussed in this press release are forward-looking statements which involve risks and uncertainties. These forward-looking statements are based on expectations and assumptions as of the date of this press release and are subject to numerous risks and uncertainties, which could cause actual results to differ materially from those described in the forward-looking statements. These risks and uncertainties are discussed in the company's various filings with the Securities and Exchange Commission. The company assumes no obligation to update these forward-looking statements.