CHYRON CORPORATION REPORTS SECOND QUARTER RESULTS; Net Income up 267% on 24% Gain in Sales.MELVILLE, N.Y.--Aug. 7, 1995--(BUSINESS WIRE)--Chyron Corporation (NYSE/MSE:CHY CHY Commission for Hydrology (WMO) CHY Cherry-Burrel Corporation ) today reported unaudited financial results for the second quarter and six months ended June June: see month. 30, 1995. Sales for the quarter ended June 30, 1995 increased to $13.1 million, up 24% from sales of $10.6 million for the same quarter of 1994. Net income for the second quarter of $1.2 million, or $.01 per share, was a substantial 267% increase over net income of $329,000, or nil per share, reported for second quarter 1994. For the six months ended June 30, 1995, sales of $24.5 million and net income of $2.1 million, or $.02 per share, increased 20% and 220%, respectively, compared to sales and net income of $20.4 million and $652,000, or $.01 per share, respectively, for the six months ended June 30, 1994. Management noted that the record sales achieved in both the second quarter and six month periods of 1995 reflect the outstanding performance of the Company's products in the broadcast and post production markets. As a percentage of sales, gross profits increased to 56% from 53% for both the second quarter and six month periods of 1995, principally due to an increase in sales of the Infinit family of graphics products and enhanced manufacturing efficiencies. Selling, general and administrative expenses (SG&A), as a percentage of sales, decreased by 2% for both the second quarter and six month periods of 1995 compared to the same periods of 1994. Research and development expenses increased on both current products and products to be introduced. Increasing amounts of research and development expenditures are being directed into future products for new and expanding emerging markets. 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. for the second quarter and first six months of 1995 rose by 139% and 137% to $1.6 million and $3.2 million, respectively, compared to $668,000 and $1.3 million for the comparable 1994 periods. The increase is directly attributable to the increase in sales volume and respective gross margins, coupled with cost containment cost containment, n the features of a dental benefits program or of the administration of the program designed to reduce or eliminate certain charges to the plan. that decreased SG&A as a percentage of sales. As of June 30, 1995, current assets Current Assets Appearing on a company's balance sheet, it represents cash, accounts receivable, inventory, marketable securities, prepaid expenses, and other assets that can be converted to cash within one year. were $25.3 million and current liabilities Current Liabilities Usually appearing on a company's balance sheet, it represents the amount owed for interest, accounts payable, short-term loans, expenses incurred but unpaid, and other debts due within one year. were $10.2 million, resulting in a current ratio of 2.49 to 1. Working capital of $15.2 million reflects an increase of 12% from March 31, 1995 and 24% from December 31, 1994. The annualized annualized Of or relating to a variable that has been mathematically converted to a yearly rate. Inflation and interest rates are generally annualized since it is on this basis that these two variables are ordinarily stated and compared. return on Shareholders' Equity Shareholders' Equity A firms' total assets minus its total liabilities. Equivalently, it is share capital plus retained earnings minus treasury shares. Shareholders' equity is the amount by which a company is financed through common and preferred shares. for the six months ended June 30, 1995 was 27%. Michael Wellesley-Wesley, Chyron's newly elected Chairman and Chief Executive Officer, commented, "Chyron's operating results continued their favorable fa·vor·a·ble adj. 1. Advantageous; helpful: favorable winds. 2. Encouraging; propitious: a favorable diagnosis. 3. trends in both the second quarter and first half of 1995. While margins showed solid gains, we see continued promise in future periods as our revenues grow from new products and new markets. The continued increasing acceptance of Chyron's present products, combined with the favorable economic climate for film, video, news and entertainment markets bodes well for our second half and full year results." Chyron Corporation Chyron Corporation is a Melville, NY based company founded in 1966. The company develops and manufactures on screen graphics solutions for the broadcast industry. In the United States the graphics (e.g. designs, manufactures and markets "enabling tools," including electronic character and graphic systems, editing systems, software-based video paint and animation systems, and digital compositing software products for the broadcast television, cable, video production, industrial and multimedia markets worldwide. -0-
CHYRON CORPORATION
Condensed Consolidated Statement of Operations
(Unaudited)(In thousands except per share data)
Three Months Ended Six Months Ended
June 30, June 30,
1995 1994 1995 1994
Sales $13,061 $10,568 $24,498 $20,379 Gross Profit 7,306 5,573 13,668 10,883 Operating Income 1,594 668 3,155 1,331 Interest Expense, Net 124 142 277 289 Income Before Taxes 1,470 526 2,878 1,042 Income Taxes/ Equivalent Provision 263 197 791 390 Net Income $ 1,207 $ 329 $ 2,087 $ 652 Earnings Per Common Share(a) $ .01 nil $ .02 $ .01 Weighted Average Number of Common and Common Equivalent Shares Outstanding 90,249 89,596 90,077 89,574 (a) Earnings per share is based on the weighted average number of common shares outstanding during the period plus additional shares issuable upon the assumed exercise of outstanding common stock purchase warrants. Fully diluted earnings per share are not presented since such presentation would not be materially different from primary earnings per share. C0NTACT: Chyron Corporation The Equity Group Inc. Michael Wellesley-Wesley Carolyn Bancone (212) 836-9604 Chairman & 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. Robert Goldstein Gold·stein , Joseph Leonard Born 1940. American biochemist. He shared a 1985 Nobel Prize for discoveries related to cholesterol metabolism. 516-845-2005 (212) 371-8660 Judy Mauro Director of Corporate Communications Corporate communications is the process of facilitating information and knowledge exchanges with internal and key external groups and individuals that have a direct relationship with an enterprise. 516-845-2015 |
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