DAC Technologies Announces Third Quarter 2009 Results
On 8:30 am EST, Monday November 16, 2009
LITTLE ROCK, AR--(Marketwire - 11/16/09) - DAC Technologies (OTC.BB:DAAT - News) today announced results for the quarter ending September 30, 2009. For the nine months ending September 30, 2009 the Company reported net income of $386,241 on net sales of $9,774,701, as compared to net income of $133,548 and net sales of $9,360,487 for the same period in 2008. This is an increase in net income of $252,693, or 189%. Earnings per share for the nine months ending September 30, 2009 were seven cents per share as compared to two cents per share in 2008, an increase of 250%.
For the three months ending September 30, 2009 the Company reported net income of $73,375 and net sales of $3,098,204 as compared to $83,484 and $3,920,460, respectively, in 2008.
David A. Collins, Chairman and CEO, stated, "As discussed in previous press releases, the Company is not manufacturing the low gross margin items, such as fireplace accessories and game processing equipment. This business was all done in the 3rd and 4th quarters of 2008 and totaled $4,796,387 in revenue during that period. Although we knew this would affect sales in 2009, the Company has chosen to concentrate on its core business of gun cleaning kits and gun accessories and in increasing its gross margins. The Company has increased its core business in 2009 by $1,901,049, or 32%. Gross margins have increased from 25% in 2008 to 30% in 2009. Although sales for the nine months increased only 4%, the Company's net income has increased 189%, in large part due to the increase in gross margins. The Company has introduced a new line of Winchester� gun cleaning kits into Wal-Mart in 2009 and looks forward to expanding its Winchester� products in both Wal-Mart and other retailers in 2010."
About DAC:
DAC Technologies Group International, Inc. is an outsource manufacturer of high quality, reasonably priced security safes, gunlocks, gun cleaning kits, sporting goods, household cleaning products and various hardware items. DAC distributes its products through mass merchandisers such as Wal-Mart and Kmart, and sporting goods retailers and distributors such as Cabela's, Acusport, Jerry's, RSR, Maurice, Academy Sports, Sports Authority and others. DAC also provides gunlocks to OEM gun manufacturers such as Glock, SigArms, Savage, Weatherby, as well as others. Also, DAC's products are distributed through catalog companies.
The Private Securities 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 written statements to be made) contains statements that are forward looking, such as those relating to consummation of the transaction, anticipated future revenue of the Company's and success of current public offerings. Such forward-looking information involves important risks and uncertainties that could significantly affect anticipated results in the future and, accordingly, such results may differ materially from those expressed in any forward-looking statements.
DAC TECHNOLOGIES GROUP INTERNATIONAL, INC.
Condensed Consolidated Balance Sheet
September 30, 2009 and December 31, 2008
Assets
Sept. 30 Dec. 31
2009 2008
----------- -----------
(unaudited)
Current assets
Cash $ 212,325 $ 599,103
Accounts receivable, less allowance for
doubtful accounts of $20,000 in 2009 and 2008 682,479 495,718
Due from factor 4,913 1,542,918
Inventories 6,502,796 2,742,563
Prepaid expenses and deferred charges 73,095 72,068
Current deferred income tax benefit 31,019 31,019
----------- -----------
Total current assets 7,506,627 5,483,389
----------- -----------
Property and equipment, net 266,359 266,011
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Other assets 518,317 430,586
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Total assets $ 8,291,303 $ 6,179,986
=========== ===========
Liabilities and Stockholders' Equity
Current liabilities
Notes payable $ 417,611 $ 104,609
Accounts payable 2,174,836 795,136
Accrued expenses 73,738 118,369
Income taxes payable 195,625 89,700
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Total current liabilities 2,861,810 1,107,814
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Deferred income tax liability 66,574 66,574
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Stockholders' equity
Common stock 6,323 6,323
Additional paid-in capital 1,963,102 1,963,102
Treasury stock, at cost (401,043) (372,124)
Retained earnings 3,794,537 3,408,297
----------- -----------
Total stockholders' equity 5,362,919 5,005,598
----------- -----------
Total liabilities and stockholders' equity $ 8,291,303 $ 6,179,986
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DAC TECHNOLOGIES GROUP INTERNATIONAL, INC.
Condensed Consolidated Statements of Operations
For The Nine Months Ended September 30, 2009 and 2008
Unaudited
Percent
Increase
2009 2008 (Decrease)
---------- ----------
Net sales $9,774,700 $9,360,487 4%
Cost of sales 6,878,764 7,029,159 -2%
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Gross profit 2,895,936 2,331,328 24%
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Operating expenses
Selling 1,253,450 1,061,411 18%
General and administrative 882,198 848,629 4%
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Total operating expenses 2,135,648 1,910,040 12%
---------- ----------
Income from operations 760,288 421,288 80%
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Other income (expense)
Interest expense (129,987) (170,349)
Other income 14 0
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Total other income (expense) (129,973) (170,349) -24%
---------- ----------
Income before income tax provision 630,315 250,939 151%
Provision for income taxes 244,075 117,391 108%
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Net income $ 386,240 $ 133,548 189%
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Basic and diluted earnings per share $ 0.07 $ 0.02 250%
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Weighted average number of common shares:
Basic and diluted 5,814,802 6,033,985
Contact:
For Shareholder Information please call:1-800-920-0098or email at Email Contact
