Axsys Technologies Announces Fourth Quarter Results.Business Editors/High-Tech Writers ROCKY HILL Rocky Hill, town (1990 pop. 16,554), Hartford co., central Conn., a suburb of Hartford, on the Connecticut River; settled c.1650, inc. 1843. Chemical coatings and synthetic textiles are made there. Rocky Hill was an important river port from 1700 to 1820. , Conn.--(BUSINESS WIRE)--Feb. 13, 2003 Axsys Technologies, Inc. (Nasdaq: AXYS), a global leader in the design, manufacture and distribution of precision components and systems for high-technology markets, today announced results for the fourth quarter of 2002. Sales totaled $20.8 million in the quarter ended December December: see month. 31, 2002, compared to $19.5 million in the fourth quarter of 2001, an increase of $1.3 million, or 6.7 percent. In the fourth quarter of 2002, Axsys reported net income from continuing operations continuing operations Parts of a business that are expected to be maintained as an ongoing segment of an overall business operation. Income and losses from continuing operations are reported separately if any segments have been discontinued during the of $1.4 million, or $0.29 per share, compared to net income from continuing operations of $289,000, or $0.06 per share, in the quarter ended December 31, 2001. Axsys' financial results from continuing operations in the fourth quarter of 2002 included a reversal reversal n. the decision of a court of appeal ruling that the judgment of a lower court was incorrect and is reversed. The result is that the lower court which tried the case is instructed to dismiss the original action, retry the case, or is ordered to change its of a pre-tax pre-tax adj → anterior al impuesto pre-tax adj → avant impôt(s) pre-tax adj → al lordo d'imposta restructuring restructuring - The transformation from one representation form to another at the same relative abstraction level, while preserving the subject system's external behaviour (functionality and semantics). and special charge of $235,000. This reversal primarily related to lower than anticipated spending for the relocation RELOCATION, Scotch law, contracts. To let again to renew a lease, is called a relocation. 2. When a tenant holds over after the expiration of his lease, with the consent of his landlord, this will amount to a relocation. of certain commercial OEM (Original Equipment Manufacturer) The rebranding of equipment and selling it. The term initially referred to the company that made the products (the "original" manufacturer), but eventually became widely used to refer to the organization that buys the products and product lines from Santa Barbara Santa Barbara (săn'tə bär`brə, –bərə), city (1990 pop. 85,571), seat of Santa Barbara co., S Calif., on the Pacific Ocean; inc. 1850. , Calif., to Rochester Rochester (rŏch`ĕstər, –ĭstər). 1 City (1990 pop. 70,745), seat of Olmsted co., SE Minn.; inc. 1858. Hills, Mich., which was estimated and recorded in the second quarter of 2002. This reversal is reflected in the Consolidated con·sol·i·date v. con·sol·i·dat·ed, con·sol·i·dat·ing, con·sol·i·dates v.tr. 1. To unite into one system or whole; combine: Statement of Operations See Income statement. with $221,000 as restructuring and special charges and $14,000 as selling, general and administrative expenses. Additionally, the effective tax rate of 5.6% within the quarter was abnormally ab·nor·mal adj. Not typical, usual, or regular; not normal; deviant. [Alteration (influenced by ab-1) of obsolete anormal, from Medieval Latin low as a result of a change in tax treatment for the note receivable note receivable A debt due from borrowers and evidenced by a written promise of payment. Note receivable, an entry on the asset side of many corporate balance sheets, indicates the dollar amount of loans due to be repaid by borrowers. from the sale of Teletrac, Inc. Excluding pre-tax profits and losses related to restructuring and special charges in both years, while assuming a normalized tax rate of 39%, the adjusted pro-forma net income for the quarter ended December 31, 2002, would have been $733,000, or $0.16 per share, compared to net income, computed on a similar basis, of $301,000, or $0.06 per share, for the quarter ended December 31, 2001 (see Schedule I). In addition, Axsys reported a net loss from discontinued operations Discontinued operations Divisions of a business that have been sold or written off and that no longer are maintained by the business. for the quarter ending December 31, 2002 of $316,000, or ($0.07) per share, compared to a loss of $607,000, or ($0.13) per share in the same period of 2001. These losses are primarily related to the previously announced sale of the Automation Group. Total company bookings were $26.8 million in the fourth quarter of 2002 compared to $16.3 million in the fourth quarter of 2001, an increase of $10.5 million, or 64.4 percent. Year over year bookings improved significantly across all three business segments within the fourth quarter of 2002, with the book-to-bill ratio Book-to-Bill Ratio The technology industry's demand-to-supply ratio for orders on a "firm's book" to number of orders filled. Notes: This ratio tells whether the company has more orders than it can deliver (if greater than 1), has the same amount of orders that it can increasing to 1.29:1 from .84:1 in the same quarter of the prior year. In total, Axsys' backlog Backlog The total value of sales orders waiting to be fulfilled. Notes: This figure is used mainly in the manufacturing industry. Increases or decreases in a company's backlog indicate the future direction of sales and earnings. increased 25.9 percent to $61.5 million in 2002. Shipments within the Aerospace and Defense Group during the quarter totaled $12.3 million, an increase of 11.2 percent from the fourth quarter of 2001. Bookings within the Group were $15.9 million in the fourth quarter of 2002, an increase of 64.7 percent from the fourth quarter of 2001. Total bookings for 2002 were reported at $58.5 million, an increase of $21.0 million, or 56.0 percent higher than the comparable twelve months of 2001. The strong bookings, particularly over the last two quarters, have contributed to a record backlog within the segment of $43.8 million, up from $31.0 million at December 31, 2001. The Distributed Products Group's sales totaled $4.8 million, a 1.7 percent decline from the fourth quarter of 2001, while the segment's bookings of $6.4 million improved by 61.4 percent from the fourth quarter of 2001. Sales in the Commercial Products Group totaled $3.8 million, a 5.9 percent increase from the fourth quarter of 2001, while bookings for the fourth quarter of 2002 were $4.5 million, 65.2 percent higher than the fourth quarter of 2001. For the twelve-month period ended December 31, 2002, sales totaled $79.6 million, compared to $86.1 million in 2001, a decrease of $6.5 million, or 7.5 percent. Axsys reported a pre-tax loss from continuing operations of $45,000 and after-tax af·ter-tax also af·ter·tax adj. Relating to or being that which remains after payment, especially of income taxes: after-tax profits. net income from continuing operations of $1.6 million, or $0.34 per share. Net income from continuing operations included a tax benefit of $1.7 million, which represented a tax benefit resulting from the sale of Teletrac Inc. in the second quarter of 2002. For the twelve months ended December 31, 2001, Axsys reported a net loss of $5.3 million or ($1.12) per share in 2001. Excluding restructuring and non-recurring charges and assuming a normalized tax rate in 2002, income from continuing operations for the twelve months ended December 31, 2002 was $1.4 million or $0.30 per share, compared to income of $0.5 million, or $0.11 per share in the twelve months ended December 31, 2001 (see Schedule I). Stephen Stephen, 1097?–1154, king of England (1135–54). The son of Stephen, count of Blois and Chartres, and Adela, daughter of William I of England, he was brought up by his uncle, Henry I of England, who presented him with estates in England and France and W. Bershad Bershad (Ukrainian: Бершадь, translit., Bershad’), is a small city in the Vinnytsia Oblast (province) of western Ukraine. It is the administrative center of the Bershadsky Raion (district). , Chairman and Chief Executive Officer of Axsys, commented: "Over the course of the year, we have divested three underperforming businesses and focused on improving the operational efficiency of our remaining core businesses. As a result of these activities, we are pleased with the level of profitability we achieved in the fourth quarter of 2002. Our strong fourth quarter of 2002 bookings, particularly in the Aerospace and Defense Group, have enabled us to grow our backlog to $61.5 million. We believe that the changes that we have made, combined with our strong backlog, have positioned us for continued revenue and profit growth in 2003." Axsys' management invites you to listen to our conference call or our live audio web cast on February February: see month. 14, 2003, at 10 a.m. EST EST electroshock therapy. EST abbr. electroshock therapy regarding fourth quarter of 2002 financial results. The domestic dial-in number is (800) 558-9407, the international dial-in number is (212) 896-6115 and the access number is 21117132. This call is being web cast by CCBN CCBN Central Coast Bancorp CCBN Charles County Business Network and can be accessed at Axsys Technologies' Web site at www.axsys.com. A replay of the conference call will begin at noon EST on February 14, 2003, and will be available until February 18, 2003, at noon EST. The replay can be accessed by dialing (800) 633-8284 or, outside the U.S., (402) 977-9140, with an access number of 21117132. The web cast replay will be available until March 14, 2003. Axsys Technologies, Inc. is a vertically integrated supplier of precision optical and motion control components and assemblies for high-technology applications, serving the aerospace, defense, semiconductor and graphic arts graphic arts: see aquatint; drawing; drypoint; engraving; etching; illustration; linoleum block printing; lithography; mezzotint; niello; pastel; poster; silk-screen printing; silhouette; silverpoint; sketch; stencil; woodcut and wood engraving. markets. For more information, contact Axsys Technologies, Inc., at www.axsys.com. This press release contains forward-looking statements 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. within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended a·mend v. a·mend·ed, a·mend·ing, a·mends v.tr. 1. To change for the better; improve: amended the earlier proposal so as to make it more comprehensive. 2. . One can identify these forward-looking statements by the use of the words such as "expect," "anticipate," "plan," "may," "will," "estimate" or other similar expressions. Because such statements apply to future events, they are subject to risks and uncertainties that could cause the actual results to differ materially. Important factors, which could cause actual results to differ materially, are described in Axsys' reports 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. and 10-Q on file with the Securities and Exchange Commission.
AXSYS TECHNOLOGIES, INC.
Consolidated Balance Sheets
(Dollars in thousands, except share data)
Dec. 31, Dec. 31,
2002 2001
(Unaudited)
----------- --------
ASSETS
CURRENT ASSETS:
Cash and cash equivalents $ 9,920 $ 9,899
Accounts receivable - net 10,068 10,662
Inventories - net 22,080 21,247
Income tax - deferred and current 7,398 6,044
Other current assets 1,046 3,310
-------- --------
TOTAL CURRENT ASSETS 50,512 51,162
PROPERTY, PLANT AND EQUIPMENT - net 11,263 12,497
EXCESS OF COST OVER NET ASSETS ACQUIRED - net 3,600 3,065
OTHER ASSETS 318 557
-------- --------
TOTAL ASSETS $65,693 $67,281
======== ========
LIABILITIES AND SHAREHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable $ 3,108 $ 4,451
Accrued expenses and other liabilities 9,285 9,277
Deferred Revenue 3,115 608
Current portion of capital lease obligation 1,055 847
-------- --------
TOTAL CURRENT LIABILITIES 16,563 15,183
CAPITAL LEASES, less current portion 1,191 1,392
OTHER LONG-TERM LIABILITIES 4,215 4,266
SHAREHOLDERS' EQUITY:
Common stock, authorized 30,000,000 shares,
issued 4,792,674 shares at
December 31, 2002 and 2001 47 47
Capital in excess of par 39,581 39,621
Retained Earnings 5,383 7,813
Treasury stock, at cost, 138,988 shares and
96,876 shares at
December 31, 2002 and 2001, respectively (1,287) (1,041)
-------- --------
TOTAL SHAREHOLDERS' EQUITY 43,724 46,440
-------- --------
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $65,693 $67,281
======== ========
AXSYS TECHNOLOGIES, INC.
Consolidated Statements of Operations
(Dollars in thousands, except share data - Unaudited)
For the Three- For the Twelve-
Months Ended Months Ended
----------------- -----------------
Dec. 31, Dec. 31, Dec. 31, Dec. 31,
2002 2001 2002 2001
-------- -------- -------- --------
Net sales $20,822 $19,455 $79,586 $86,131
Cost of goods sold 15,553 14,819 60,500 73,288
-------- -------- -------- --------
Gross margin 5,269 4,636 19,086 12,843
Selling, general and administrative
expenses 3,856 3,967 16,262 18,500
Research and development expenses 274 307 1,003 1,704
Restructuring and special charges (221) -- 1,854 1,360
Amortization of intangible assets -- (1) -- (3)
-------- -------- -------- --------
Operating income (loss) 1,360 363 (33) (8,718)
-------- -------- -------- --------
Interest (expense) income - net (4) 31 (22) 153
Other income (expense) 81 64 10 207
-------- -------- -------- --------
Income/(loss) before tax,
discontinued operations and
cumulative effect of change in
accounting principle 1,437 458 (45) (8,358)
(Provision for) benefit from income
taxes (80) (169) 1,662 3,092
-------- -------- -------- --------
Income (loss) before discontinued
operations and
cumulative effect of change in
accounting principle 1,357 289 1,617 (5,266)
Loss from discontinued operations (316) (607) (4,582) (1,886)
Cumulative effect of change in
accounting principle -- -- 535 --
-------- -------- -------- --------
Net income (loss) $1,041 $(318) $(2,430) $(7,152)
======== ======== ======== ========
BASIC INCOME (LOSS) PER SHARE:
Income (loss) before discontinued
operations and
cumulative effect of change in
accounting principle $0.29 $0.06 $0.34 $(1.12)
Loss from discontinued operations (0.07) (0.13) (0.97) (0.41)
Cumulative effect of change in
accounting principle -- -- 0.11 --
-------- -------- -------- --------
Total $0.22 $(0.07) $(0.52) $(1.53)
======== ======== ======== ========
Weighted average basic common
shares outstanding 4,667 4,695 4,692 4,688
DILUTED INCOME (LOSS) PER SHARE:
Income (loss) before discontinued
operations and
cumulative effect of change in
accounting principle $0.29 $0.06 $0.34 $(1.12)
Loss from discontinued operations (0.07) (0.13) (0.97) (0.41)
Cumulative effect of change in
accounting principle -- -- 0.11 --
-------- -------- -------- --------
Total $0.22 $(0.07) $(0.52) $(1.53)
======== ======== ======== ========
Weighted average dilutive common
shares outstanding 4,680 4,695 4,709 4,688
SCHEDULE I
AXSYS TECHNOLOGIES, INC.
PRO-FORMA FINANCIAL INFORMATION
RECONCILIATION TO GAAP
(Unaudited, in thousands)
For the Three- For the Twelve-
Months Ended Months Ended
December 31, December 31,
-------------- ----------------
2002 2001 2002 2001
------- ------ ------- --------
GAAP Income before tax and cumulative
effect of change in accounting
principle $1,437 $458 $(45) $(8,358)
Add back (1):
Relocation of OEM Product Lines (250) -- 1,053 --
Sale of Teletrac, Inc. (5) -- 1,009 --
Segment Reorganization 20 -- 286 --
2001 Cost Reduction Plan -- 35 -- 9,208
------- ------ ------- --------
Adjusted income before tax and
cumulative effect of change in
accounting principle 1,202 493 2,303 850
------- ------ ------- --------
Provision for income taxes (1) (469) (192) (898) (332)
------- ------ ------- --------
Pro-forma income before discontinued
operations and cumulative effect of
change in accounting principle $733 $301 $1,405 $518
======= ====== ======= ========
Adjusted basic and diluted operating
income per share $0.16 $0.06 $0.30 $0.11
Weighted average basic common shares
outstanding 4,667 4,695 4,692 4,688
(1) The proforma Proforma A financial projection based on assumptions. effective tax rate for 2002 and 2001 is 39.0 %. This rate was calculated based on the 2002 operating loss operating loss The excess of operating expenses over revenue. As with operating income, operating losses exclude revenues and expenses from operations that are not considered a regular part of the business. Also called deficit. Compare operating income. adjusted for: - Relocation of OEM Product Lines - Sale of Teletrac, Inc. - Segment Reorganization costs - 2001 Cost Reduction Plan |
|
||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion