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PRESSTEK ANNOUNCES SECOND QUARTER RESULTS AND NON-CASH CHARGE

 HUDSON, N.H., July 22 /PRNewswire/ -- Presstek, Inc. (NASDAQ: PRST) today reported results of its operations for the second quarter and first half year ended June 30, 1993. Second quarter revenues for 1993 of $2,670,000 compared to $3,281,000 reported for the second quarter of 1992. For the first half of 1993, revenues of $5,959,000 compared to $5,890,000 reported in the first half of 1992. Presstek also announced that second quarter 1993 results included a nonrecurring, non-cash charge of $1,949,000, or 32 cents per share, associated with its conversion from spark discharge technology to its newly developed and patented PEARL(tm) direct imaging laser technology. This special charge produced a net loss of $1,081,000 or 19 cents per share for the quarter. Excluding the charge, second quarter operating earnings would have been $749,000 or 13 cents per share. In the second quarter of 1992, Presstek reported net earnings of $957,000, or 17 cents per share. The first half 1993 loss of $57,000 or 1 cent per share compared to net income of $1,523,000 or 27 cents per share reported in the same period in 1992.
 Presstek indicated that second quarter 1993 operating earnings before the $1.9 million non-cash charge were in line with company expectations. Revenues from Heidelberger Druckmaschinen AG (Heidelberg) were up over the prior year as their development programs continued strongly. As anticipated, revenues from product sales were off sharply from prior periods because spark discharge production ceased and the final units were shipped in the first quarter of 1993. Shipments of units with the new filmless PEARL direct imaging technology are expected to commence later this year. The effect of the one-time special charge will be a reduction of 32 cents per share earnings from the company's 1993 outlook, as well as from the current financial community analysts' earnings estimates for 1993.
 Presstek's President and Chief Executive Officer, James L. Bast, stated that "first half 1993 financial results reflect the impact of the announcement in May 1993 of the company's PEARL technology and its agreement modifications with Heidelberg in April 1993." The full commitment by Heidelberg to the new PEARL technology is being recognized in orders placed for conversion kits to retrofit existing GTO-DI printing presses because performance will be significantly enhanced by the greatly improved print quality and other benefits which are assured with PEARL technology. Bast explained that termination of shipments of the spark discharge units dictated that certain assets associated with the earlier imaging process be written off, and that reserves be established for the transition to PEARL technology. The resulting $1.9 million non-cash charge keeps Presstek's balance sheet conservatively stated and will provide for future savings.
 Presstek improved its cash position over $3 million during the second quarter of 1993. As of June 30, 1993, Presstek had no debt and had cash and short-term investments of $10 million, or nearly $2 per share.
 Presstek, Inc. has developed and patented a proprietary filmless direct imaging technology for the printing industries. Presstek recently announced its revolutionary new PEARL technology, which is capable of producing printed full-color materials of a quality that industry experts consider comparable to the highest printing industry standards. The PEARL direct imaging technology and system uses proprietary laser diodes and unique optics to etch images directly onto Presstek's printing plates which can be used by presses of any make, size, or type for high resolution print quality in shorter time and at lower cost than competitive processes. Presstek is also engaged in the development of additional products and applications that incorporate the use of its proprietary technologies, including stand-alone platemakers used for off-line imaging of printing plates.
 PRESSTEK SUMMARY STATEMENT OF OPERATIONS
 (Unaudited)
 (In thousands, except per share)
 Three Months Ended Six Months Ended
 June 30 June 30
 1993 1992 1993 1992
 Revenues $2,670 $3,281 $5,959 $5,890
 Costs and expenses(a) 3,928 2,437 6,202 4,579
 Net income (loss) (1,081) 957 (57) 1,523
 Net income (loss)
 per share (19 cents) 17 cents (1 cent) 27 cents
 Weighted average
 number of shares
 outstanding of
 common and common
 equivalent shares 5,737 5,648 5,737 5,668
 (a) Costs and expenses include a $1,949,000, or 32 cents per share, nonrecurring non-cash charge for write-off of certain assets and establishment of reserves for transition to PEARL direct imaging technology. Excluding this charge, earnings per share would have been 13 cents for the second quarter of 1993, and 31 cents for the first six months of 1993.
 -0- 7/22/93
 /CONTACT: James L. Bast, president and chief executive officer, or Jennifer McKay Tardif, corporate services manager, both of Presstek, 603-595-7000/
 (PRST)


CO: Presstek, Inc. ST: New Hampshire IN: SU: ERN

DD -- NE011 -- 4549 07/22/93 12:35 EDT
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Date:Jul 22, 1993
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