BancTec reports third quarter net income of $9.3 million, up from $4.7 million.DALLAS--(BUSINESS WIRE)--Oct. 24, 1996--BancTec, Inc. (NYSE NYSE See: New York Stock Exchange :BTC BTC Baku-Tbilisi-Ceyhan (crude oil pipeline) BTC Belgische Technische Coöperatie (Dutch: Belgian Technical Cooperation) BTC Berlinale Talent Campus BTC Business Travel Coalition ) today reported that 1996 third quarter net income doubled to $9.3 million while earnings per share grew 91% to $.44, versus net income of $4.7 million or $.23 per share in the third quarter of 1995. Revenues for the 1996 third quarter were $136.4 million, compared with $134.3 million for the same period of last year. For the nine months ended September September: see month. 30, 1996, BancTec (BancTec, Inc., Dallas, TX, www.banctec.com) A diversified systems integration and services company founded in 1972 that specializes in automating applications for the banking, financial services, insurance, healthcare, government, utility, telecommunications and retail industries. reported net income of $27.2 million, or $1.29 per share, up sharply from $8.9 million or $.44 per share reported for the comparable nine months of 1995. Revenues for the first nine months of 1996 were $410.5 million, compared with $397.4 million for the year earlier period. Included in the nine months results for 1995 was a charge of $4.3 million taken for the reorganization The process of carrying out, through agreements and legal proceedings, a business plan for winding up the affairs of, or foreclosing a mortgage upon, the property of a corporation that has become insolvent. of the company's North American operations North American operation Surgical oncology Radical surgery of a 'frozen pelvis', consisting of radical en bloc resection of the uterus and urinary bladder. See 'Frozen pelvis.'. Cf 'All-American' and 'South American' operations. and the settlement of a litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute. When a person begins a civil lawsuit, the person enters into a process called litigation. claim. BancTec noted that third quarter results benefited from strong sales of the company's image-based financial 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. solutions, the continued expansion of its network and desktop support business, and the improving profitability of its Plexus Plexus - A modular World-Wide Web server written in Perl by Tony Sanders <sanders@earth.com>. Comes with interfaces to allow many other information services to be served via the Web. Version 3.0m 1994-07-22. 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 imaging software unit. BancTec's operating margin Operating Margin A ratio used to measure a company's pricing strategy and operating efficiency. Calculated by: for the third quarter was 11.9%, up from 7.2% in the same quarter of last year, primarily the result of significantly lower 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. . "As expected, BancTec delivered a solid performance in the third quarter and remains on track to achieve its financial and operating goals for the year," said Grahame Gra·hame , Kenneth 1859-1932. British writer known for his essays and children's books, notably The Wind in the Willows (1908). Noun 1. N. Clark, Jr. chairman, president and chief executive officer. "During the third quarter we continued to see enthusiastic response to our industry-leading image and archival solutions in the U.S. and abroad by customers seeking to improve efficiency. Another highlight of the quarter was the success achieved by our Plexus unit, whose performance outpaced our projections. "Moreover, we are especially encouraged by the expansion of our network and desktop support services support services Psychology Non-health care-related ancillary services–eg, transportation, financial aid, support groups, homemaker services, respite services, and other services business, which has experienced over 20% year-over-year growth for the past several quarters," Clark continued. "As previously reported, Toshiba Toshiba Corporation (株式会社東芝 Kabushiki-gaisha Tōshiba selected BancTec during the third quarter as warranty An assurance, promise, or guaranty by one party that a particular statement of fact is true and may be relied upon by the other party. Warranties are used in a variety of commercial situations. In many instances a business may voluntarily make a warranty. and service provider for its new line of desktop personal computers. The Toshiba partnership highlights BancTec as a premier provider of outsourced services to the rapidly-expanding desktop computing computing - computer industry. "Finally, we completed the move of our Oklahoma City Oklahoma City (1990 pop. 444,719), state capital, and seat of Oklahoma co., central Okla., on the North Canadian River; inc. 1890. The state's largest city, it is an important livestock market, a wholesale, distribution, industrial, and financial center, and a farm manufacturing facility to our Irving Irving, city (1990 pop. 155,037), Dallas co., N Tex., a suburb of Dallas; inc. as a city 1952. Building supplies, chemicals, electronic equipment, and airplane parts are manufactured in Irving. campus on schedule by the end of the third quarter. When these operations are fully up and running in the fourth quarter, BancTec will have successfully achieved all of the major milestones set a year ago when we acquired Recognition International," Clark concluded. As an additional aid to investors BancTec provided the following breakdown of revenues for the third quarter and nine months ended September 30, 1996: -0-
Revenue Breakdown (unaudited) ($000s) Q3 1996 YTD 1996
------------------------------------ ------- --------
Financial Transaction Processing Systems $ 58,441 $173,463
OEM & Support Products 11,674 40,301
Plexus 6,820 18,192
-------- --------
Total Equipment and Software $ 76,935 $231,956
-------- --------
Equipment Maintenance 41,350 128,100
Network Services 18,137 50,413
-------- --------
Total Maintenance and Other Services $ 59,487 $178,513
-------- --------
TOTAL REVENUE $136,422 $410,469
======== ========
BancTec is a worldwide systems integration and services company
specializing in automated applications solutions for the banking,
financial services, insurance, healthcare, government, utility,
telecommunications, and retail industries. The company is also a
leading provider of document workflow and imaging products, as well
as network support services for local area networks and personal
computers. In addition, the company manufactures document processing
equipment for OEM customers.
BANCTEC, INC.
STATEMENT OF OPERATIONS
-----------------------
(In Thousands, except per share data)
(Unaudited)
3 Months Ended 9 Months Ended
----------------- -----------------
9/30/96 9/24/95 9/30/96 9/24/95(A)
------- ------- ------- -------
REVENUE
Equipment and software $76,935 $72,265 $231,956 $212,720
Maintenance and other
services 59,487 62,057 178,513 184,704
------- ------- ------- -------
136,422 134,322 410,469 397,424
------- ------- ------- -------
COST OF SALES
Equipment and software 52,476 49,597 157,077 146,835
Maintenance and other
services 43,521 47,615 132,554 139,456
------- ------- ------- -------
95,997 97,212 289,631 286,291
------- ------- ------- -------
GROSS PROFIT 40,425 37,110 120,838 111,133
------- ------- ------- -------
OPERATING EXPENSES
Product development 4,539 5,054 12,541 14,877
Selling, G & A 18,136 20,552 56,367 69,764
Goodwill amortization 1,502 1,779 4,123 6,322
------- ------- ------- -------
24,177 27,385 73,031 90,963
------- ------- ------- -------
INCOME FROM OPERATIONS 16,248 9,725 47,807 20,170
OTHER INCOME (EXPENSE)
Interest income 276 624 850 2,237
Interest expense (1,913) (2,374) (5,986) (7,648)
Sundry-net (82) (1,035) (101) 124
------- ------- ------- -------
(1,719) (2,785) (5,237) (5,287)
------- ------- ------- -------
INCOME BEFORE INCOME TAXES 14,529 6,940 42,570 14,883
INCOME TAX PROVISION 5,233 2,283 15,326 6,002
------- ------- ------- -------
NET INCOME $9,296 $4,657 $27,244 $8,881
======= ======= ======= =======
Earnings Per Share $0.44 $0.23 $1.29 $0.44
(A) - Includes the Company's results for the six months ended
September 24, 1995 combined with BancTec's results for the
three months ended March 26, 1995 and Recognition's
results for the three months ended October 31, 1994.
BANCTEC, INC.
BALANCE SHEET
-------------
(In thousands)
(Unaudited)
9/30/96 12/31/95
-------- --------
CURRENT ASSETS
Cash and cash equivalents $25,307 $22,010
Short-term investments 4,506 4,864
Accounts receivable 134,675 106,189
Inventories 93,173 76,930
Current deferred tax asset 16,764 16,764
Other current assets 10,412 9,109
-------- --------
TOTAL CURRENT ASSETS 284,837 235,866
NET FIXED ASSETS 82,910 75,557
OTHER LONG-TERM ASSETS 130,081 128,925
-------- --------
$497,828 $440,348
======== ========
CURRENT LIABILITIES
Revolving credit facility $42,651 $21,542
Current maturities
of long-term debt 11,457 13,593
Other current liabilities 172,332 153,645
-------- --------
TOTAL CURRENT LIABILITIES 226,440 188,780
LONG-TERM DEBT 68,612 82,972
OTHER LIABILITIES 10,260 12,395
TOTAL STOCKHOLDERS' EQUITY 192,516 156,201
-------- --------
$497,828 $440,348
CONTACT: BancTec Inc., Dallas Dallas, city (1990 pop. 1,006,877), seat of Dallas co., N Tex., on the Trinity River near the junction of its three forks; inc. 1871. The second largest Texas city, after Houston, and the eighth largest U.S. Raj raj also Raj n. Dominion or rule, especially the British rule over India (1757-1947). [Hindi r Rajaji, 972/450-7753 Susan SUSAN Smallest Univalue Segment Assimilating Nucleus SUSAN Sub Saharan African Network SUSAN Smart Ultrasonic System for Aircraft NDE Seiter, 972/450-7904 |
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