BancTec announces results for second quarter fy 1996.DALLAS--(BUSINESS WIRE)--Oct. 26, 1995--BancTec, Inc. (NASDAQ-BTEC) reported revenues of $78.5 million for the second quarter ended September 24, 1995, compared to $73.2 million for the same period last year. Net income increased to $4.2 million or $.38 per share, compared to $4.1 million or $.36 per share in the second quarter of the prior year. For the six months ended September 24, 1995, revenues totaled $151.7 million, compared to $142.7 million for the same period last year. Net income for the six month period was $8.0 million or $.73 per share, compared to $7.8 million or $.69 per share for the prior year. The increase in revenue for both the second quarter and year-to-date Year-to-date (YTD) The period beginning at the start of the calendar year up to the current date. is due primarily to the continued growth in network services maintenance, higher European European emanating from or pertaining to Europe. European bat lyssavirus see lyssavirus. European beech tree fagussylvaticus. European blastomycosis see cryptococcosis. maintenance revenue and increased hardware sales into the community banking market. The decrease in gross margins is the result of significantly lower software revenues in the international large systems business during the current year due to a major image installation last year not being matched with a similar sale this year. Software revenue in the community banking market was also below year ago levels, further affecting gross margins. Grahame N. Clark, Jr., chairman, president and chief executive officer, commented, "While we are pleased with the second quarter per share earnings which resulted from our on-going efforts to reduce operating expenses Operating expenses The amount paid for asset maintenance or the cost of doing business, excluding depreciation. Earnings are distributed after operating expenses are deducted. , we have closed the Dayton software development and support facility and consolidated those operations into our Birmingham, Alabama Birmingham (pronounced [ˈbɝmɪŋˌhæm]) is the largest city in the U.S. state of Alabama and is the county seat of Jefferson County. facility in an effort to further reduce costs and restore margins. Also during the quarter, significant managerial attention was focused on our preparation for the merger with Recognition International Inc. Now that the merger has been completed, we look forward to focusing totally on consolidating our business operations Business operations are those activities involved in the running of a business for the purpose of producing value for the stakeholders. Compare business processes. The outcome of business operations is the harvesting of value from assets , increasing operational efficiencies and improving product margins." The combined company can now offer a full range of products and services to its customers and prospects, including: o Proven systems solutions for payment processing, sales draft processing, archival & retrieval applications, giro processing, check sorting and clearing, proof of deposit and many other financial document processing Processing text documents, which includes indexing methods for text retrieval based on content. See document imaging. applications. o Excellent workflow The automatic routing of documents to the users responsible for working on them. Workflow is concerned with providing the information required to support each step of the business cycle. and document imaging products. The combination of BancTec's ImageFIRSTr product family with Recognition's Plexusr, FloWarer and other workflow and full page imaging products enables the company to offer the complete "enterprise wide imaging" solutions that are demanded by businesses today. o A full line of financial document transports, ranging from low speed remittance Money sent from one individual to another in the form of cash, check, or some other manner. Financial statements sent by a creditor to a debtor frequently refer to the process of submitting a monthly remittance. REMITTANCE, comm. law. workstations to some of the fastest check reader/sorters in the industry. In addition, the Company produces an excellent line of DocuScanr products for full page scanning applications. o Integrated operational software products designed specifically for the community bank market. Over 1,000 banks currently use BancTec software for loan and deposit processing, general ledger General Ledger A company's accounting records. This formal ledger contains all the financial accounts and statements of a business. Notes: The ledger uses two columns: one records debits, the other has offsetting credits. accounting, database and customer service requirements, report generation and word processing word processing, use of a computer program or a dedicated hardware and software package to write, edit, format, and print a document. Text is most commonly entered using a keyboard similar to a typewriter's, although handwritten input (see pen-based computer) and applications. o Software products for electronic transaction processing Updating the appropriate database records as soon as a transaction (order, payment, etc.) is entered into the computer. It may also imply that confirmations are sent at the same time. Transaction processing systems are the backbone of an organization because they update constantly. applications. The BancTec Payment Systems business unit provides retailers and financial institutions with products for debit A monetary amount that is subtracted from an account balance. A debit from one account is a credit to another. See credit. and credit card authorization The right or permission to use a system resource; the process of granting access. See access control. , check authorization, electronic benefits transfer, and network switching requirements. o Complete maintenance service programs for financial document processing systems, local area networks, personal computers, printers, mail opening equipment and 3890 reader/sorters. With over 1,500 employees dedicated to service and with service locations in virtually every U.S. business center, BancTec has the ability to offer nationwide support services support services Psychology Non-health care-related ancillary services–eg, transportation, financial aid, support groups, homemaker services, respite services, and other services on a wide variety of products. Clark continued, "BancTec will now have annual revenues of approximately $500 million, a strong financial position, over 3,500 employees located throughout the world, approximately 5,000 customers, a reputation as an industry pioneer and an industry leader, a full line of proven products and many exciting new products in various stages of development. We appreciate the continued support of our shareholders, customers and employees during this exciting and important period in our Company's history." A restructuring charge restructuring charge The expense of reorganizing a company's operations. A restructuring charge is an infrequent expense that generally results from asset writedowns or facility closings. of approximately $75 million will be incurred to accommodate the expected costs of consolidating the operations of BancTec, Inc. and Recognition International Inc. The Company anticipates that a majority of these restructuring charges will be incurred in the quarter ending December 31, 1995. BancTec will transition to a January 1 - December 31 fiscal year beginning January 1, 1996. BancTec is a leading provider of electronic and document-based financial transaction processing systems A Transaction Processing System (TPS) is a type of information system. TPSs collect, store, modify, and retrieve the transactions of an organization. A transaction is an event that generates or modifies data that is eventually stored in an information system. , workflow and imaging products, application software and support services. The Company develops solutions for the banking, financial services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. , insurance, health care, government, utility, telecommunications Communicating information, including data, text, pictures, voice and video over long distance. See communications. , grocery and retail industries. BancTec also designs and manufactures document processing equipment for 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 customers and provides network support services for local area networks and personal computers. -0-
BANCTEC, INC
STATEMENT OF OPERATIONS
(In Thousands, except per share data)
3 Months Ended 6 Months Ended
9/24/95 9/25/94 9/24/95 9/25/94
Revenue $78,505 $73,225 $151,657 $142,691 Cost of Sales 56,403 50,120 108,493 98,804 Gross Profit 22,102 23,105 43,164 43,887
Operating Expenses
Product development 2,144 2,754 4,125 5,513
S, G & A 10,158 10,988 20,405 21,842
Goodwill amortization 928 1,084 1,924 2,158
13,230 14,826 26,454 29,513
Income From Operations 8,872 8,279 16,710 14,374
Other Income (expense)
Interest income (expense)-net (1,269) (1,407) (2,679) (2,434)
Sundry - net (285) 142 (118) 701
(1,554) (1,265) (2,797) (1,733)
Income Before Provision
for Income Taxes 7,318 7,014 13,913 12,641
Income Tax Provision (3,073) (2,945) (5,843) (5,309) Minority Interest 0 5 0 444 Net Income $4,245 $4,074 $8,070 $7,776
Earnings Per Share:
Net income $0.38 $0.36 $0.73 $0.69
Fully Diluted Shares 11,161 11,301 11,129 11,328
BALANCE SHEET
(In thousands)
9/24/95 3/26/95
Cash and temporary investments $1,936 $11,091
Receivables - net 84,415 81,790
Inventory - net 51,589 51,491
Other current assets 14,895 11,911
Total Current Assets 152,835 156,283
Goodwill - net 85,433 86,243
Other non-current assets 65,910 64,840
Total Assets $304,178 $307,366
Current liabilities $115,846 $124,270
Non-current liabilities 42,222 45,968
Stockholders' equity 146,110 137,128
Total Liabilities and Equity $304,178 $307,366
CONTACT: BanTec, Inc. John E. Moss John Emerson Moss (April 13, 1915–December 5, 1997) was an American politician of the Democratic party, noted for his championing of the federal Freedom of Information Act through multiple sessions of the United States House of Representatives where he served from 1953 to , 214/450-7941 |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion