Collegiate Pacific Reports Record Fourth Quarter and FY04 Earnings.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. -- Collegiate col·le·giate adj. 1. Of, relating to, or held to resemble a college. 2. Of, for, or typical of college students. 3. Of or relating to a collegiate church. Pacific (AMEX AMEX See: American Stock Exchange :BOO): --FY04 and Fourth Quarter EPS (Encapsulated PostScript) A PostScript file format used to transfer a graphic image between applications and platforms. EPS files contain PostScript code as well as an optional preview image in TIFF, WMF, PICT or EPSI, the latter being an ASCII-only format. exceed Company Guidance --FY04 Fully Diluted di·lute tr.v. di·lut·ed, di·lut·ing, di·lutes 1. To make thinner or less concentrated by adding a liquid such as water. 2. To lessen the force, strength, purity, or brilliance of, especially by admixture. EPS $0.25; Q404 Fully Diluted EPS $0.10 --FY05 Outlook for 100% EPS Growth to Approximately $0.50 Collegiate Pacific (AMEX:BOO) today reported record earnings for its fourth quarter and year ended June June: see month. 30, 2004. Michael Michael, archangel Michael (mī`kəl) [Heb.,=who is like God?], archangel prominent in Christian, Jewish, and Muslim traditions. In the Bible and early Jewish literature, Michael is one of the angels of God's presence. J. Blumenfeld Blumenfeld is a surname and may refer to:
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 ($39.6M vs. $38.0M); net income ($1.9M vs. $1.8M); and net income per share ("EPS") ($0.25 vs. $0.24). When comparing FY04 net income and EPS to the previous year, it is important to note that FY04 was fully taxed, whereas FY03 was not only non-taxed, but included a $350,000 tax credit. As we move forward into FY05 (beginning July July: see month. 1,2004), given the dynamic changes in the Company, we encourage investors to use net sales, operating profit Operating profit (or loss) Revenue from a firm's regular activities less costs and expenses and before income deductions. operating profit See operating income. , net income and EPS as the key metrics metrics Managed care A popular term for standards by which the quality of a product, service, or outcome of a particular form of Pt management is evaluated. See TQM. for evaluation. Metrics such as gross margins and SG&A as a percentage of sales will be less meaningful for comparative purposes with Tomark Sports, Kesslers Team Sports and Dixie Dixie popular name for Southern states in U.S. and for song. [Am. Hist.: EB, III: 587] See : Southern States Sporting Goods Noun 1. sporting goods - sports equipment sold as a commodity commodity, trade good, good - articles of commerce sports equipment - equipment needed to participate in a particular sport being included in our results of operations for FY05. "Achieving this level of performance while simultaneously bringing Tomark, Kesslers and now Dixie onto our operating platform is gratifying grat·i·fy tr.v. grat·i·fied, grat·i·fy·ing, grat·i·fies 1. To please or satisfy: His achievement gratified his father. See Synonyms at please. 2. , and a testament to the dedicated and hard working employee base at Collegiate Pacific. Having successfully concluded a national training seminar in late July for each of the acquired sales forces, we enter FY05 with high expectations. In addition to maximizing the performance of these acquisitions and our organic business, we will continue to seek strategic partners on the distribution, and/or and/or conj. Used to indicate that either or both of the items connected by it are involved. Usage Note: And/or is widely used in legal and business writing. manufacturing front as opportunities warrant. In particular, we seek those partners who can influence the geographic reach of our sales force, or those with products and brands that can add to the 'tool kit' of our sales teams and catalogs. "For fiscal 2005, we anticipate net sales to exceed $90.0M, net income of approximately $5.0M or greater, and EPS of approximately $0.50. The Company may incur To become subject to and liable for; to have liabilities imposed by act or operation of law. Expenses are incurred, for example, when the legal obligation to pay them arises. An individual incurs a liability when a money judgment is rendered against him or her by a court. additional non-cash amortization charges in conjunction with the acquisitions of Kesslers Team Sports and Dixie Sporting Goods during FY05, however, these charges have been included in our EPS outlook." A conference call to discuss this earnings release and future plans is scheduled for today at 3:15 p.m. CDT CDT abbr. Central Daylight Time CDT Central Daylight Time CDT n abbr (US) (= Central Daylight Time) → hora de verano del centro; (BRIT . Interested parties may participate on the call by dialing in at least five minutes prior to the start time of 3:15 p.m. CDT. The dial in number is 888-396-2384, participant passcode 28112209.
Highlights for the Quarter
-- Net Sales +170% to $18.2M vs. $6.7M in Q403
-- Operating Profit +456% to $1.56M vs. $280K in Q403
-- Net Income +48% to $923K vs. $623K in Q403
-- Q404 fully taxed; Q403 untaxed and included $350K tax
credit
Highlights for the Year
-- Net Sales +87% to $39.6M vs. $21.1M in FY03
-- Operating Profit +231% to $3.2M vs. $968K in FY03
-- Net Income +50% to $1.9M vs. $1.25M in FY03
-- FY04 fully taxed; FY03 untaxed and included $350K tax
credit
Outlook for Fiscal 2005
-- Net Sales to exceed $90.0M vs. $39.6M
-- Operating Profit of approximately $8.0M or greater vs. $3.2M
-- Net Income of approximately $5.0M or greater vs. $1.9M
-- EPS to approximate $0.50 or greater based on anticipated share
count of 10.0 - 10.3M shares outstanding vs. $0.25 on 7.57M
outstanding in FY04
-- Includes estimated non-cash amortization charges for
Kesslers and Dixie acquisitions
COLLEGIATE PACIFIC INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
FOR THE YEARS ENDED JUNE 30, 2004 AND 2003
2004 2003
------------ ------------
Net sales $39,561,521 $21,075,893
Cost of sales 25,372,325 13,268,532
------------ ------------
Gross profit 14,189,196 7,807,361
Selling, general and administrative expenses 10,866,254 6,780,705
Amortization expense 119,232 58,300
------------ ------------
Operating profit 3,203,710 968,356
------------ ------------
Other income (expense):
Interest income 22,388 3,200
Interest expense (52,415) (84,525)
Other 18,376 17,186
------------ ------------
Total other expense (11,651) (64,139)
------------ ------------
Income before income taxes 3,192,059 904,217
Provision for income tax (benefit) 1,308,367 (349,632)
------------ ------------
Net income $1,883,692 $1,253,849
============ ============
Weighted average number of shares
outstanding:
Basic 6,324,950 4,225,784
============ ============
Diluted 7,571,910 4,669,574
============ ============
Net income per share common stock -- basic $0.30 $0.30
============ ============
Net income per share common stock -- diluted $0.25 $0.27
============ ============
COLLEGIATE PACIFIC INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
JUNE 30, 2004 AND 2003
ASSETS
2004 2003
------------ -----------
Current assets:
Cash and cash equivalents $7,473,145 $365,713
Accounts receivable, net 10,683,860 2,702,551
Inventories 9,214,063 3,691,615
Prepaid expenses and other current
assets 496,912 218,030
Current portion of deferred income taxes -- 102,171
------------ -----------
Total current assets 27,867,980 7,080,080
Property, plant and equipment, net 831,205 541,055
Other assets:
Intangible asset, net 139,833 --
License agreements, net 89,491 116,514
Goodwill 17,308,487 544,375
Deferred income taxes 304,646 304,646
Other assets, net 459,521 238,654
------------ -----------
Total assets $47,001,163 $8,825,324
============ ===========
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable $4,983,603 $1,642,732
Accrued liabilities 1,283,553 205,505
Dividends payable 247,128 107,704
Current portion of long-term debt 124,800 --
Current deferred tax liability 54,420 --
Income taxes payable 700,850 54,789
------------ -----------
Total current liabilities 7,394,354 2,010,730
Redeemable common stock 7,250,000 --
Long-term debt 73,200 800,000
------------ -----------
Total liabilities 14,717,554 2,810,730
Stockholders' equity:
Common stock 98,842 43,082
Additional paid-in capital 31,469,423 6,387,090
Retained earnings 1,372,795 201,065
Treasury shares (657,451) (616,643)
------------ -----------
Total stockholders' equity 32,283,609 6,014,594
------------ -----------
Total liabilities and
stockholders' equity $47,001,163 $8,825,324
============ ===========
Collegiate Pacific is the nation's fastest growing manufacturer and supplier of sports equipment primarily to the institutional markets. The Company offers more than 4,500 products to 65,000 existing customers. Certain of the above statements contained in this press release are 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. that involve a number of risks and uncertainties. Such forward-looking statements are within the meaning of that term in Section 27A of the Securities Act of 1933, 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. , and Section 21E of the Securities Exchange Act of 1934, as amended. The company has based these forward-looking statements on its current expectations and projections about future events, based on the information currently available to it. The forward-looking statements include statements relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc the company's anticipated financial performance, business prospects, new developments, new strategies and similar matters. The following important factors, in addition to those described in the company's filings with the Securities and Exchange Commission, including its Annual Report on Form 10-KSB for the year ended June 30, 2003, especially in the Risk Factors and the Management's Discussion and Analysis Management's discussion and analysis (MD&A) A report from management to shareholders that accompanies the firm's financial statements in the annual report. It explains the period's financial results and enables management to discuss topics that may not be apparent in the financial sections, and its Quarterly Reports on Form 10-QSB and its Current Reports on Form 8-K Form 8-K The form required by the SEC when a publicly held company incurs any event that might affect its financial situation or the share value of its stock. Form 8-K See 8-K. (each of which is available upon request from the company or on the company's website, www.cpacsports.com, under the heading "Investors") may affect the future results of the company and cause those results to differ materially from those expressed in the forward-looking statements, material adverse changes in the economic conditions in the Company's markets, including as a result of terrorist attacks, competition from others. The Company has historically been aggressive in making acquisitions and in some cases it may be required to expense intangible assets Intangible Asset An asset that is not physical in nature. Notes: Examples are things like copyrights, patents, intellectual property, and goodwill. These are the opposite of tangible assets. at the time the acquisitions are completed. Such expenses, although non cash in nature, would have a negative impact on earnings. We disclaim dis·claim v. dis·claimed, dis·claim·ing, dis·claims v.tr. 1. To deny or renounce any claim to or connection with; disown. 2. To deny the validity of; repudiate. 3. any obligation to update these forward-looking statements. For additional information, contact Adam Blumenfeld at 972-243-0879. |
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