American Bank Note Holographics Reports Third Quarter Financial Results.ROBBINSVILLE, N.J. -- American American, river, 30 mi (48 km) long, rising in N central Calif. in the Sierra Nevada and flowing SW into the Sacramento River at Sacramento. The discovery of gold at Sutter's Mill (see Sutter, John Augustus) along the river in 1848 led to the California gold rush of Bank Note Holographics, Inc. ("ABNH ABNH American Bank Note Holographics, Inc " or the "Company") (OTC Bulletin Board OTC Bulletin Board An electronic quotation listing of the bid and asked prices of OTC stocks that do not meet the requirements to be listed on the NASDAQ stock-listing system. : ABHH) a world leader in the origination Origination The process through which a mortgage lender creates a mortgage secured by some amount of the mortgagor's real property. Notes: Also known as loan origination, everyone must go through the origination process when securing a mortgage for a piece of real , production and marketing of holograms for security applications, today announced financial results for the third quarter and nine months ended September September: see month. 30, 2005. Sales in the third quarter of 2005 were $9.0 million, compared with $5.8 million in the third quarter of 2004, an increase of $3.2 million or 54%. Sales for the first nine months of 2005 totaled $22.2 million, compared with $15.7 million for the first nine months of 2004, an increase of $6.5 million or 41%. Net income for the third quarter of 2005 was $1.1 million, or $0.06 per fully diluted di·lute tr.v. di·lut·ed, di·lut·ing, di·lutes 1. To make thinner or less concentrated by adding a liquid such as water. 2. To lessen the force, strength, purity, or brilliance of, especially by admixture. share, compared with net income of $0.6 million, or $0.03 per fully diluted share, for the third quarter of 2004. Net income for the first nine months of 2005 was $2.2 million, or $0.11 per fully diluted share, compared with net income of $1.3 million, or $0.07 per fully diluted share for the first nine months of 2004. Kenneth H. Traub, President and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of ABNH, commented, "The dramatic growth in our business reflects our commitment to providing superior solutions to counterfeiting counterfeiting, manufacturing spurious coins, paper money, or evidences of governmental obligation (e.g., bonds) in the semblance of the true. There must be sufficient resemblance to the genuine article to deceive a person using ordinary caution. and fraud for our customers. This year we have made significant investments in our infrastructure, organization, technology and working capital in order to support the increasing global demand for improved product, card and document security solutions. In the card industry, we have expanded our roll-out of HoloMag(TM) which has received broad global acceptance as it transforms magnetic tape from a widely available commodity to a tightly controlled security product. We are also pleased to have launched important new programs for secure identity documents while we have expanded certain product authentication (1) Verifying the integrity of a transmitted message. See message integrity, e-mail authentication and MAC. (2) Verifying the identity of a user logging into a network. programs." Mark J. Bonney Bon·ney , William H. Known as Bil·ly the Kid 1859-1881. American outlaw who murdered 21 men and was shot dead by Sheriff Pat Garrett (1850-1908). Noun 1. , Executive Vice President and CFO See Chief Financial Officer. of the Company noted, "During the third quarter, we substantially completed the move and consolidation of our operations into our new facility in Robbinsville, New Jersey Robbinsville is an unincorporated area located within Washington Township in Mercer County, New Jersey, United States. The area is served as United States Postal Service ZIP Code 08691. . Since the facilities located in Elmsford, New York Elmsford is a village in Westchester County, New York, United States. The population was 4,676 at the 2000 census. As a village, it is located in the Town of Greenburgh. The village is named after a large elm tree that once grew in the community. and Huntingdon Valley, Pennsylvania Huntingdon Valley is a village located in Lower Moreland Township and Abington Township in Montgomery County, Pennsylvania, bordering the Fox Chase section of Philadelphia County, Pennsylvania, United States. were not completely vacated and available for sublease sublease n. the lease of all or a portion of premises by a tenant who has leased the premises from the owner. A sublease may be prohibited by the original lease, or require written permission from the owner. by the end of the third quarter, the costs relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc the abandonment abandonment, in law, voluntary, intentional, and absolute relinquishment of rights or property without conveying them to any other person. Abandonment also means willfully leaving one's spouse or children, intending not to return (see desertion). of those facilities will be recorded in the fourth quarter. We currently anticipate taking a charge in the fourth quarter of approximately ap·prox·i·mate adj. 1. Almost exact or correct: the approximate time of the accident. 2. $2.0 million which will be recorded on the 'Facility consolidation' line of our Statement of Operations See Income statement. . Our strong financial performance this year is particularly noteworthy in light of the disruptions and expense associated with the Company's move and consolidation. In addition to those costs which are separately accounted for in the 'Facility consolidation' line item, we also incurred expenses that are included in cost of goods sold Cost of goods sold The total cost of buying raw materials, and paying for all the factors that go into producing finished goods. cost of goods sold and selling and administrative expenses associated with the consolidation." About American Bank Note Holographics, Inc. American Bank Note Holographics is a world leader in the origination, production, and marketing of holograms. The Company's products are used primarily for security applications such as counterfeiting protection of transaction cards, identity documents, documents of value, pharmaceuticals and other consumer and industrial products. The Company's headquarters is in Robbinsville, NJ. For more information, visit www.abnh.com. ABNH Forward-Looking Statement forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. This news release includes forward-looking statements that involve risks and uncertainties. Although the Company believes such statements are reasonable, it can make no assurance that such statements will prove to be correct. Such statements are subject to certain factors that may cause results to differ materially from the forward-looking statements. Such factors include the risk factors discussed in the Company's filings with the Securities and Exchange Commission, including its most recent Annual Report on Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. , a copy of which may be obtained from the Company without charge. The Company undertakes no obligation to publicly release results of any of these forward-looking statements to reflect events or circumstances CIRCUMSTANCES, evidence. The particulars which accompany a fact. 2. The facts proved are either possible or impossible, ordinary and probable, or extraordinary and improbable, recent or ancient; they may have happened near us, or afar off; they are public or after the date hereof here·of adv. Of this. hereof Adverb Formal or law of or concerning this Adv. 1. hereof - of or concerning this; "the twigs hereof are physic" or to reflect the occurrence of unexpected results. This release and prior releases are available on the ABNH website at www.abnh.com.
AMERICAN BANK NOTE HOLOGRAPHICS, INC.
BALANCE SHEETS
(In thousands, except share data)
September 30, December 31,
2005 2004
-------------- -------------
(Unaudited)
ASSETS
Current Assets:
Cash and cash equivalents $ 9,457 $ 11,357
Short-term investments -- 1,989
Accounts receivable, net of allowance
for doubtful accounts of $250 and $180 6,092 3,889
Inventories, net 6,018 3,394
Deferred income taxes, net 1,120 983
Prepaid expenses 478 317
------------- ------------
Total current assets 23,165 21,929
Machinery, equipment and leasehold
improvements, net of accumulated
depreciation and amortization of $10,585
and $10,062 6,994 3,172
Other assets 89 110
------------- ------------
Total Assets $ 30,248 $ 25,211
============= ============
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities:
Accounts payable $ 3,784 $ 1,519
Accrued expenses 2,233 2,040
Customer advances 68 69
Income taxes payable 915 1,058
------------- ------------
Total current liabilities 7,000 4,686
Other long-term liabilities 1,370 1,211
------------- ------------
Total liabilities 8,370 5,897
------------- ------------
Commitments and contingencies
Stockholders' Equity:
Preferred stock, authorized 5,000,000
shares; no shares issued or outstanding -- --
Common stock, par value $.01 per share,
authorized 40,000,000 shares; issued
and outstanding 18,647,469 shares and
18,515,907 shares 187 185
Additional paid-in capital 24,444 24,058
Accumulated deficit (2,753) (4,929)
------------- ------------
Total Stockholders' Equity 21,878 19,314
------------- ------------
Total Liabilities and Stockholders'
Equity $ 30,248 $ 25,211
============= ============
AMERICAN BANK NOTE HOLOGRAPHICS, INC.
STATEMENTS OF OPERATIONS - UNAUDITED
(In thousands, except per share data)
Three Months Ended Nine Months Ended
September 30, September 30,
-------------------- -------------------
2005 2004 2005 2004
--------- ---------- --------- ---------
Revenue:
Sales $ 8,959 $ 5,808 $ 22,216 $ 15,749
Royalty income -- -- 10 13
-------- --------- -------- --------
8,959 5,808 22,226 15,762
Costs and expenses:
Cost of goods sold
(excluding depreciation and
amortization shown below) 4,227 2,413 10,187 6,943
Selling and administrative 2,239 1,846 6,370 5,280
Research and development 291 319 872 967
Depreciation and
amortization 127 171 755 495
Facility consolidation 278 93 600 93
-------- --------- -------- --------
7,162 4,842 18,784 13,778
-------- --------- -------- --------
Operating income 1,797 966 3,442 1,984
Other income:
Interest income 61 29 183 77
Patent agreement -- -- -- 178
-------- --------- -------- --------
61 29 183 255
-------- --------- -------- --------
Income before provision for
income taxes 1,858 995 3,625 2,239
Provision for income taxes 742 397 1,449 895
-------- --------- -------- --------
Net income $ 1,116 $ 598 $ 2,176 $ 1,344
======== ========= ======== ========
Net income per share:
Basic $ 0.06 $ 0.03 $ 0.12 $ 0.07
======== ========= ======== ========
Diluted $ 0.06 $ 0.03 $ 0.11 $ 0.07
======== ========= ======== ========
Weighted average number of
shares:
Basic 18,618 18,484 18,562 18,484
======== ========= ======== ========
Diluted 19,653 18,808 19,388 18,823
======== ========= ======== ========
|
|
||||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion