Biscayne Apparel announces second quarter operating results.CLIFTON Clifton, industrial city (1990 pop. 71,742), Passaic co., NE N.J., on the Passaic River; settled 1685, set off from Passaic and inc. 1917. It has steel, textile equipment, chemical, plastics, clothing, and electronics industries. , N.J.--(BUSINESS WIRE)--Aug. 10, 1995--Biscayne Apparel Inc. (ASE (Adaptive Server Enterprise) A relational DBMS from Sybase that runs on Windows NT/2000, Linux and a variety of Unix platforms. ASE is a comprehensive and robust data management product with a long history dating back to the late 1980s. :BHA BHA butylated hydroxyanisole, an antioxidant used in foods, cosmetics, and pharmaceuticals that contain fats or oils. BHA n. A white, waxy phenolic antioxidant used to preserve fats and oils, especially in foods. ) Thursday Thursday: see week. announced its operating results for the second quarter ended June June: see month. 30, 1995. Net sales Net Sales The amount a seller receives from the buyer after costs associated with the sale are deducted. Notes: This amount is calculated by subtracting the following items from gross sales: merchandise returned for credit, allowances for damaged or missing goods, freight in the 1995 second quarter were $14.5 million, compared to $9.4 million in the second quarter of 1994. The net loss in the 1995 second quarter was $1.8 million, or $0.17 per share vs. a net loss of $0.6 million, or $0.06 per share in the second quarter of 1994. Net sales for the first half of 1995 were $29.9 million, compared to $15.9 million in 1994. The 1995 six month net loss was $3.4 million, or $0.31 per share, compared to $1.7 million, or $0.19 per share in 1994. The number of weighted shares outstanding at quarter end, June 30, 1995, was 10,730,000, compared to 8,953,000 on June 30, 1994. The increase in the 1995 net sales and net loss reflected the inclusion of M&L International Inc., which Biscayne Biscayne can refer to:
John E. Pollack pollack: see cod. pollack or pollock Either of two commercially important North Atlantic species of food fish in the cod family (Gadidae). , president and chief executive officer, commented, "Since 75% of our net sales are derived from outerwear products, which are predominantly pre·dom·i·nant adj. 1. Having greatest ascendancy, importance, influence, authority, or force. See Synonyms at dominant. 2. sold in the fall and winter seasons, net sales for the first six months of the fiscal year represent less than 25% of our total annual net sales, and most of our operating income Operating Income The profit realized from a business' own operations. Notes: This would not include income from things such as investments in other firms. Also referred to as operating profit or recurring profit. is earned in the second half of the year." Pollack continued: "Several unusual and temporary factors combined in 1995 to create an unfavorable operating environment In computing, an operating environment is the environment in which users run programs, whether in a command line interface, such as in MS-DOS or the Unix shell, or in a graphical user interface, such as in the Macintosh operating system. for the period ended June 30, 1995. These factors included the effects of one of the warmest winters in recent history, which caused both outerwear retailers and manufacturers to carryover carryover n. in taxation accounting, using a tax year's deductions, business losses or credits to apply to the following year's tax return to reduce the tax liability. (See: carryback) high levels of inventory from the 1994 to the 1995 season. This resulted in delayed ordering of 1995 Fall merchandise. Despite these difficulties, Biscayne 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: sales 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. as of July July: see month. 28, 1995 was $56.2 million vs. $57.1 million as of July 28, 1994." Pollack continued: "Our operating margins Operating Margin A ratio used to measure a company's pricing strategy and operating efficiency. Calculated by: have been affected by increased raw material costs, particularly cotton, which, as a principal component of cotton underwear, is selling at one of the highest levels in history. In addition, increased labor expense from the development of new product offerings and start-up Start-up The earliest stage of a new business venture. costs of our new Honduras Honduras (hŏnd  r`əs, –dyr`–; Span., ōnd manufacturing operations Manufacturing operations concern the operation of a facility, as opposed to maintenance, supply and distribution, health, and safety, emergency response, human resources, security, information technology and other infrastructural support organizations. have also compressed operating margins. As a
result, we have undertaken several steps to improve sales and
profitability, including: redesigning our Fall 1995 outerwear lines,
introducing new branded and private label programs, and continuing our
cost reduction program. We are hopeful that our operating performance
in 1995 will be comparable to results posted in recent years."
Biscayne Apparel Inc. is designer, manufacturer and importer of diversified diversified (di·verˑ·s apparel and has the following operations: Andy Johns Andy Johns, younger brother of famous Olympic Studios engineer Glyn Johns, father of HURT drummer Evan Johns and uncle of Kings of Leon and Ryan Adams producer Ethan Johns (son of Glyn Johns) is a prolific engineer and producer. Fashions International - women's and children's outerwear; M&L International Inc. - infants', toddlers', and children's outerwear, sportswear and swimwear; Mackintosh of New England New England, name applied to the region comprising six states of the NE United States—Maine, New Hampshire, Vermont, Massachusetts, Rhode Island, and Connecticut. The region is thought to have been so named by Capt. Co. - women's woolen wool·en also wool·len adj. 1. Made or consisting of wool. 2. Of or relating to the production or marketing of woolen goods. n. Fabric or clothing made from wool. Often used in the plural. coats and outerwear; and Varon - girls' and boys' underwear and girls' daywear day·wear n. Attire that is appropriate for use during the day. . Biscayne owns a minority interest in Hartwell Sports Inc., which manufactures casual jackets, knit shirts, and activewear. -0-
BISCAYNE APPAREL INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands of dollars, except per share data)
(Unaudited)
THREE MONTHS ENDED SIX MONTHS ENDED
JUNE 30, JUNE 30,
1995 1994 1995 1994
Net sales $14,517 $ 9,367 $29,906 $15,914 Operating costs and expenses: Cost of goods sold 11,194 7,076 22,718 12,227 Selling, general and administrative 5,468 2,981 11,432 6,038 Operating loss (2,145) (690) (4,244) (2,351) Other income and (expenses): Interest and other expenses (806) (295) (1,402) (516) Interest and other income 36 19 68 57 Equity in net income of investees 20 33 83 33 Loss before income tax benefit (2,895) (933) (5,495) (2,777) Income tax benefit (1,108) (363) (2,120) (1,058) Net loss $ (1,787) $ (570) $ (3,375) $ (1,719) Net loss per common share $ (0.17) $ (0.06) $ (0.31) $ (0.19) Shares used in computing loss per common share 10,730,214 8,953,232 10,730,214 8,953,232
PRO FORMA
BISCAYNE APPAREL INC. &
M&L INTERNATIONAL INC.
THREE MONTHS SIX MONTHS
ENDED ENDED
JUNE 30, JUNE 30,
1994 1994
Net sales $18,466 $32,329 Operating costs and expenses: Cost of goods sold 13,117 23,541 Selling, general and administrative 5,760 11,645 Operating loss (411) (2,857) Other income and (expenses): Interest and other expenses (550) (979) Interest and other income 18 61 Equity in net income of investees 27 95 Loss before income tax benefit (916) (3,680) Income tax benefit (378) (1,433) Net loss $ (538) $(2,247) Net loss per common share $ (0.05) $ (0.21) Shares used in computing loss per common share 10,703,579 10,703,579
BISCAYNE APPAREL INC.
CONSOLIDATED BALANCE SHEETS
(Dollars in thousands)
JUNE 31, DEC. 31,
1995 1994
(Unaudited)
ASSETS
Current assets: Cash and cash equivalents $ 955 $ 4,178 Trade accounts receivable, less allowances of $1,269 in 1995 and $1,754 in 1994 11,982 21,009 Inventories 38,224 22,584 Prepaid expenses and other 1,505 833 Total current assets 52,666 48,604
Property, plant and equipment,
less accumulated depreciation
of $1,641 in 1995 and $1,388 in
1994 3,454 2,984
Investment in Hartwell Sports Inc. 1,594 1,505
Goodwill, net 5,115 5,202
Other assets, net 3,830 2,142
$ 66,659 $ 60,437
LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $ 5,421 $ 6,060 Accrued liabilities 4,541 6,973 Notes payable to banks 20,142 8,500 Current portion of long-term debt 1,250 -- Senior subordinated bridge notes -- 4,776 Total current liabilities 31,354 26,309 Subordinated notes 6,444 7,944 Long-term debt 6,250 -- Other liabilities 71 303 Commitments and contingencies -- --
Stockholders' Equity:
Common stock, $0.01 par value;
25,000,000 shares authorized;
10,730,214 issued and outstanding
in 1995 and 10,233,899 in 1994 107 102
Additional paid-in capital 26,295 25,225
Unearned stock award compensation (169) (203)
Retained earnings (deficit) (3,693) 757
Total stockholders' equity 22,540 25,881
$ 66,659 $ 60,437
BISCAYNE APPAREL INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Dollars in thousands)
(Unaudited)
SIX MONTHS ENDED
JUNE 30,
1995 1994
Operating activities:
Net Loss $ (3,375) $ (1,719)
Adjustments to reconcile net
loss to net cash used in
operating activities:
Gain (loss) on sale of assets (3) 2
Equity in net income of
Hartwell Sports Inc. (89) (33)
Amortization of unearned stock
award compensation 34 34
Depreciation expense 250 189
Amortization expense 62 106
Provision for losses and sales
allowances on receivables 597 689
(Increase) decrease in operating assets: Trade accounts receivable 8,430 5,616 Inventories (15,640) (14,304) Prepaid expenses and other (672) (772) Other assets (1,671) (718) Increase (decrease) in operating liabilities: Accounts payable (639) 4,867 Accrued liabilities (2,416) (1,917) Other liabilities (228) (4) Net cash used in operating activities (15,360) (7,964) Investing activities: Net sale of assets 8 1 Capital expenditures (725) (848) Equity investment in Hartwell Sports Inc. -- (1,500) Proceeds of note on net sale of assets -- 50 Net cash used in investing activities (717) (2,297) Financing activities: Payments under notes payable to banks (14,675) (8,600) Borrowings under notes payable to banks 26,317 18,650 Proceeds from term loan 7,500 -- Repayment of subordinated notes (6,276) -- Principal payments of capital leases (12) (23) Net cash provided by financing activities 12,854 10,027 Net decrease in cash and cash equivalents (3,223) (234) Cash and cash equivalents at beginning of year 4,178 1,568 Cash and cash equivalents at end of year $ 955 $ 1,334 Supplemental disclosure information: Interest expense paid $ 1,385 $ 515 Income taxes paid $ 1,253 $ 658 CONTACT: Biscayne Apparel Inc., Clifton Peter Vandenberg Vandenberg is the name of:
& Chief Financial Officer, 201/473-3240 or A. Richard Ri·chard , Joseph Henri Maurice Known as "Rocket." 1921-2000. Canadian hockey player. A right wing for the Montreal Canadiens (1942-1960), he led his team to eight Stanley Cup championships and was the first player to score 50 goals in a Hurwitz Hurwitz is a surname and may refer to:
Communications, 305/858-2200 |
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