SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
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(Mark One) |
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QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
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For the quarterly period ending June 29, 2002 |
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OR
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TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
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For the transition period from to |
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Commission File number 1-3834
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CONTINENTAL MATERIALS CORPORATION |
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(Exact name of registrant as specified in its charter) |
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Delaware |
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36-2274391 |
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(State or other
jurisdiction of |
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(I.R.S. Employer |
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225 West Wacker Drive, Suite 1800, Chicago, Illinois 60606 |
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(Address of principal executive office) |
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(Zip Code) |
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(312) 541-7200 |
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(Registrant’s telephone number, including area code) |
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(Former name, former address and former |
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year, if changed since last report) |
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Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.
Yes ý No o
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Number of common shares outstanding at July 31, 2002 |
1,779,625 |
PART I - FINANCIAL INFORMATION
Item 1. Financial Statements
CONTINENTAL MATERIALS CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
JUNE 29, 2002 and DECEMBER 29, 2001
(Unaudited)
(000’s omitted except share data)
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JUNE 29, |
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DECEMBER
29, |
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ASSETS |
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Current assets: |
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Cash and cash equivalents |
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$ |
256 |
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$ |
7,579 |
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Receivables, net |
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23,623 |
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18,291 |
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Inventories: |
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Finished goods |
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8,675 |
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7,710 |
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Work in process |
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1,686 |
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1,587 |
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Raw materials and supplies |
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7,564 |
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6,351 |
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Prepaid expenses |
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3,002 |
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3,067 |
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Total current assets |
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44,806 |
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44,585 |
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Property, plant and equipment, net |
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34,729 |
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32,247 |
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Goodwill |
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7,374 |
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6,474 |
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Other assets |
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2,946 |
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2,757 |
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$ |
89,855 |
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$ |
86,063 |
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LIABILITIES |
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Current liabilities: |
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Bank loan payable |
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$ |
5,000 |
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$ |
— |
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Current portion of long-term debt |
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3,580 |
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3,620 |
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Accounts payable and accrued expenses |
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15,649 |
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16,111 |
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Income taxes |
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597 |
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308 |
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Total current liabilities |
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24,826 |
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20,039 |
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Long-term debt |
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11,810 |
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13,520 |
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Deferred income taxes |
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2,609 |
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2,511 |
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Other long-term liabilities |
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2,001 |
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2,271 |
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SHAREHOLDERS’ EQUITY |
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Common shares, $0.25 par value; authorized 3,000,000; issued 2,574,264 |
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643 |
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643 |
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Capital in excess of par value |
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1,982 |
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1,982 |
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Retained earnings |
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55,684 |
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54,576 |
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Treasury shares, 776,479 and 768,167, at cost |
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(9,700 |
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(9,479 |
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48,609 |
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47,722 |
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$ |
89,855 |
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$ |
86,063 |
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See accompanying notes
2
CONTINENTAL MATERIALS CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS AND RETAINED EARNINGS
FOR THE THREE MONTHS ENDED JUNE 29, 2002 AND JUNE 30, 2001
(Unaudited)
(000’s omitted except per share amounts)
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JUNE 29, |
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JUNE 30, |
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Sales |
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$ |
37,423 |
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$ |
34,487 |
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Freight costs |
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1,434 |
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1,553 |
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Net sales |
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35,989 |
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32,934 |
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Costs and expenses: |
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Cost of sales (exclusive of depreciation, depletion and amortization) |
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27,144 |
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24,792 |
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Depreciation, depletion and amortization |
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1,545 |
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1,631 |
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Selling and administrative |
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4,614 |
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4,438 |
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33,303 |
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30,861 |
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Operating income |
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2,686 |
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2,073 |
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Interest |
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(265 |
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(291 |
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Other income, net |
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247 |
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41 |
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Income before income taxes |
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2,668 |
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1,823 |
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Provision for income taxes |
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953 |
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656 |
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Net income |
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1,715 |
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1,167 |
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Retained earnings, beginning of period |
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53,969 |
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48,057 |
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Retained earnings, end of period |
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$ |
55,684 |
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$ |
49,224 |
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Basic earnings per share |
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$ |
.95 |
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$ |
.64 |
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Average shares outstanding |
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1,799 |
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1,810 |
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Diluted earnings per share |
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$ |
.94 |
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$ |
.63 |
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Average shares outstanding |
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