Mossimo, Inc. Reports a 33% Increase in Earnings Per Share of $0.20 for First Quarter 2002.Business Editors SANTA MONICA Santa Monica (săn`tə mŏn`ĭkə), city (1990 pop. 86,905), Los Angeles co., S Calif., on Santa Monica Bay; inc. 1886. Tourism and retailing are important, and the city has motion-picture, biotechnology, and software industries. , Calif.--(BUSINESS WIRE)--May 14, 2002 Mossimo Mossimo is a mid-range American apparel company, founded in 1986. Mossimo specializes in youth, teenage, and adult male clothing. It draws from street, urban and sport styles. , Inc. (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on : MOSS Moss, city, Norway Moss (môs), city (1995 pop. 25,253), capital of Østfold co., SE Norway, a port on the Oslofjord. It is a commercial, industrial, and tourist center, with shipyards, sawmills, textile factories, metalworks, and ) today announced financial results for the first quarter ended March 31, 2002. In March 2000, the Company entered into a major, multi-product licensing agreement with Target Corporation (NYSE NYSE See: New York Stock Exchange : TGT TGT Target TGT Ticket Granting Ticket (Windows 2000 Kerberos security) TGT Target Corp (stock symbol) TGT Turbine Gas Temperature TGT TDRSS Ground Terminal TGT Tank Gunnery Trainer TGT Target Tracker ). As a result of the Target Agreement, the Company now operates as a licensor and a design studio, and no longer manufactures, sources or directly markets its products. Accordingly, the Company's revenue base in 2002 and 2001 is comprised of license royalties and design service fees, rather than 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 of apparel products and accessories as in prior years. In the first quarter of 2002, the Company's revenue from license royalties and design service fees increased 11% to approximately $5.6 million compared to approximately $5.0 million for the same period last year. The Company reported first quarter 2002 net income of $3.0 million, compared to $2.3 million for the same period last year. Diluted earnings per share diluted earnings per share An earnings measure calculated by dividing net income less preferred stock dividends for a period by the average number of shares of common stock that would be outstanding if all convertible securities were converted into shares of increased 33% to $0.20 for the first quarter of 2002 compared to $0.15 for the same period last year. Mossimo Giannulli, Chairman and Chief Executive Officer of Mossimo, Inc. commented, "These results represent a solid start in our 2002 year. Our relationship with Target continues to flourish and we remain excited about the growth potential of our business." Mr. Giannulli further stated, "Over the past few months, we announced several events that have improved our organization infrastructure, created additional vehicles for potential growth, and increased the visibility of our stock. We announced the return of Edwin Lewis Edwin Lewis (1881 – 1959) was an American Methodist theologian primarily associated with Drew University in New Jersey. Born in Great Britain, Lewis traveled to Canada as a missionary before continuing his education in the United States. as Vice-Chairman vice-chairman n → vicepresidente m vice-chairman vice irreg n → vice-président(e) vice-chairman vice- n and President, the appointment of Gia Castrogiovanni Castrogiovanni: see Enna, Italy. as Chief Operating Officer Chief Operating Officer (COO) The officer of a firm responsible for day-to-day management, usually the president or an executive vice-president. , the addition of Manny Manny may refer to: In nobility:
TSX Transfer from Stack Pointer to Index TSX True Space Extension : HBC HBC a definition for medical records to denote 'hit by car'. ) in Canada Canada (kăn`ədə), independent nation (2001 pop. 30,007,094), 3,851,787 sq mi (9,976,128 sq km), N North America. Canada occupies all of North America N of the United States (and E of Alaska) except for Greenland and the French islands of demonstrates our ability to expand our brand and business model into new territories, and generate additional sources of revenue and profits. Finally, our listing on the Nasdaq Small Cap market should enhance our trading activity and should broaden our investor base." Mr. Giannulli concluded, "Our management team is focused and our future is bright. We remain committed to fully capitalizing on the many opportunities that we have created." Founded in 1987, Mossimo, Inc. is a designer of men's, women's, boy's and girl's apparel, footwear Footwear consists of garments worn on the feet. It is worn for a variety of reasons, including protection against the environment, hygiene and adornment. Usually, socks and other hosiery are worn between the feet and the footwear, except for sandals and flip flops (thongs). , and other fashion accessories Fashion accessories are items apart from the garment itself, which complement the whole outfit. Fashion accessories include jewelry, gloves, handbags, hats, or scarves. such as jewelry jewelry, personal adornments worn for ornament or utility, to show rank or wealth, or to follow superstitious custom or fashion. The most universal forms of jewelry are the necklace, bracelet, ring, pin, and earring. , watches, handbags, belts and hair care products. The matters discussed in this news release with respect to future operations and growth, liquidity of our stock and the benefits thereof, are forward looking statements that involve risks and uncertainties, including the demand for the Company's products in Target and Hudson's Bay Company stores which have not traditionally sold the Company's products, changes in consumer demands and preferences, shifting trends in the overall retail and apparel market, competition from other lines, changes in consumer spending Consumer demand or consumption is also known as personal consumption expenditure. It is the largest part of aggregate demand or effective demand at the macroeconomic level. patterns and general economic conditions, and uncertainties generally associated with product introductions and apparel retailing. Forward looking statements are not guarantees and involve known and unknown risks and uncertainties, any of which could cause actual results to vary materially from anticipated results. Operating results for this quarter are not necessarily indicative of results that may be expected in future quarters or the entire year. More information on risk factors, which could affect the Company's financial results, is included in the Company's Forms 10-K and 10Q, filed with the S.E.C.
MOSSIMO, INC. AND SUBSIDIARY
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands, except share and per share data)
March 31, December 31,
2002 2001
--------- --------
(unaudited)
ASSETS
CURRENT ASSETS:
Cash $ 1,916 $ 3,182
Accounts receivable 5,045 1,958
Prepaid expenses and other
current assets 413 118
Deferred taxes 1,776 1,776
---------- ------------
Total current assets 9,150 7,034
PROPERTY AND EQUIPMENT, net 228 251
DEFERRED FINANCING COSTS,
net 127 151
DEFERRED TAXES 1,821 1,821
OTHER ASSETS 50 37
----------- ---------
$ 11,376 $ 9,294
========= =======
LIABILITIES AND STOCKHOLDERS'
EQUITY (DEFICIT)
CURRENT LIABILITIES:
Due to factor, net $ 12 $ 12
Line of Credit 3,888 4,000
Accounts payable 2,625 2,755
Accrued liabilities 595 750
Accrued commission 692 246
Accrued bonus 503 613
---------- --------
Total current liabilities 8,315 8,376
LINE OF CREDIT, net of
current portion - 817
LONG-TERM ACCOUNTS PAYABLE,
net of current portion 641 779
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS' EQUITY (DEFICIT):
Preferred stock, par value
$.001; authorized shares
3,000,000; no shares
issued or outstanding - -
Common stock, par value
$.001; authorized shares
30,000,000; issued and
outstanding 15,354,042
- March 31, 2002 and
15,330,042 - December
31, 2001 15 15
Additional paid-in capital 38,360 38,304
Accumulated deficit (35,955) (38,997)
--------- --------
Total stockholders'
equity (deficit) 2,420 (678)
--------- -----------
$ 11,376 $ 9,294
========= ========
MOSSIMO, INC. AND SUBSIDIARY
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)
For the Three Months
Ended March 31,
2002 2001
------ ------
(unaudited)
REVENUE FROM LICENSE ROYALTIES
AND DESIGN SERVICE FEES $ 5,590 $ 5,039
OPERATING EXPENSES:
Selling, general and
administrative 2,427 2,500
----- -----
Operating income 3,163 2,539
OTHER EXPENSE:
Interest expense, net 121 216
---------- --------
Income before income taxes $ 3,042 $ 2,323
Provision for income taxes -- --
--------- ---------
Net income $ 3,042 $ 2,323
========= ========
Earnings per common share:
Basic $ 0.20 $ 0.15
========= =======
Diluted $ 0.20 $ 0.15
========= =======
Weighted average common shares
outstanding:
Basic 15,339 15,150
======== =======
Diluted 15,567 15,189
======== =======
|
|
||||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion