SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 10-Q
ý QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended September 30, 2003
OR
o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from to
Commission File Number 1-14227
|
AMERICAN BANK NOTE HOLOGRAPHICS, INC. |
||
|
(Exact name of Registrant as specified in its charter) |
||
|
|
|
|
|
Delaware |
|
13-3317668 |
|
(State or other jurisdiction of
incorporation |
|
(I.R.S. Employer |
|
|
||
|
399 Executive Boulevard |
||
|
(Address of principal executive offices, including zip code) |
||
|
|
||
|
(914) 592-2355 |
||
|
(Registrant’s telephone number, including area code) |
||
|
|
||
|
N/A |
||
|
(Former name, former address, and former fiscal year, if changed from last report) |
||
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 for the past 90 days.
ý Yes o No
Indicate by check mark whether the registrant is an accelerated filer (as defined in Rule 12b-2 of the Exchange Act).
o Yes ý No
The aggregate number of shares of common stock, $.01 par value, outstanding on November 7, 2003 was 18,483,720.
AMERICAN BANK NOTE HOLOGRAPHICS, INC.
FORM 10-Q
INDEX
2
PART I – FINANCIAL INFORMATION
ITEM I. FINANCIAL STATEMENTS
AMERICAN BANK NOTE HOLOGRAPHICS, INC.
CONDENSED BALANCE SHEETS
(In thousands, except share data)
|
|
|
September
30, |
|
December
31, |
|
||
|
|
|
(Unaudited) |
|
(Note A) |
|
||
|
ASSETS |
|
|
|
|
|
||
|
Current Assets: |
|
|
|
|
|
||
|
Cash and cash equivalents |
|
$ |
10,531 |
|
$ |
8,659 |
|
|
Accounts receivable, net of allowance for doubtful accounts of $180 and $210 |
|
3,214 |
|
3,661 |
|
||
|
Inventories |
|
2,210 |
|
2,541 |
|
||
|
Deferred income taxes |
|
1,237 |
|
1,347 |
|
||
|
Prepaid expenses |
|
462 |
|
396 |
|
||
|
Other |
|
274 |
|
345 |
|
||
|
Total current assets |
|
17,928 |
|
16,949 |
|
||
|
Machinery, equipment and leasehold improvements, net of accumulated depreciation and amortization of $9,048 and $8,505 |
|
2,440 |
|
2,782 |
|
||
|
Other assets |
|
128 |
|
399 |
|
||
|
|
|
|
|
|
|
||
|
Total Assets |
|
$ |
20,496 |
|
$ |
20,130 |
|
|
|
|
|
|
|
|
||
|
LIABILITIES AND STOCKHOLDERS’ EQUITY |
|
|
|
|
|
||
|
Current Liabilities: |
|
|
|
|
|
||
|
Accounts payable |
|
$ |
569 |
|
$ |
966 |
|
|
Accrued expenses |
|
1,545 |
|
1,803 |
|
||
|
Customer advances |
|
113 |
|
89 |
|
||
|
Total current liabilities |
|
2,227 |
|
2,858 |
|
||
|
Deferred income taxes |
|
1,190 |
|
830 |
|
||
|
Total liabilities |
|
3,417 |
|
3,688 |
|
||
|
|
|
|
|
|
|
||
|
Stockholders’ Equity: |
|
|
|
|
|
||
|
Preferred stock, authorized 5,000,000 shares; no shares issued or outstanding |
|
— |
|
— |
|
||
|
Common stock, par value $.01 per share, authorized 40,000,000 shares; issued and outstanding 18,483,720 shares |
|
185 |
|
185 |
|
||
|
Additional paid-in-capital |
|
23,994 |
|
23,994 |
|
||
|
Accumulated deficit |
|
(7,100 |
) |
(7,737 |
) |
||
|
Total Stockholders’ Equity |
|
17,079 |
|
16,442 |
|
||
|
|
|
|
|
|
|
||
|
Total Liabilities and Stockholders’ Equity |
|
$ |
20,496 |
|
$ |
20,130 |
|
See Notes to Unaudited Condensed Financial Statements.
3
AMERICAN BANK NOTE HOLOGRAPHICS, INC.
CONDENSED STATEMENTS OF OPERATIONS -
UNAUDITED
(In thousands, except per share data)
|
|
|
Three Months
Ended |
|
Nine
Months Ended |
|
||||||||
|
|
|
2003 |
|
2002 |
|
2003 |
|
2002 |
|
||||
|
Revenue: |
|
|
|
|
|
|
|
|
|
||||
|
Sales |
|
$ |
4,629 |
|
$ |
4,712 |
|
$ |
13,442 |
|
$ |
14,168 |
|
|
Royalty income |
|
— |
|
133 |
|
47 |
|
463 |
|
||||
|
|
|
4,629 |
|
4,845 |
|
13,489 |
|
14,631 |
|
||||
|
Costs and expenses: |
|
|
|
|
|
|
|
|
|
||||
|
Cost of goods sold |
|
2,090 |
|
2,032 |
|
6,094 |
|
6,852 |
|
||||
|
Selling and administrative |
|
1,520 |
|
1,759 |
|
4,911 |
|
5,417 |
|
||||
|
Research and development |
|
339 |
|
243 |
|
903 |
|
856 |
|
||||
|
Depreciation and amortization |
|
184 |
|
203 |
|
547 |
|
595 |
|
||||
|
|
|
4,133 |
|
4,237 |
|
12,455 |
|
13,720 |
|
||||
|
|
|
|
|
|
|
|
|
|
|
||||
|
Operating income |
|
496 |
|
608 |
|
1,034 |
|
911 |
|
||||
|
|
|
|
|
|
|
|
|
|
|
||||
|
Other income: |
|
|
|
|
|
|
|
|
|
||||
|
Interest income |
|
22 |
|
29 |
|
73 |
|
76 |
|
||||
|
Patent settlement |
|
— |
|
570 |
|
— |
|
570 |
|
||||
|
|
|
22 |
|
599 |
|
73 |
|
646 |
|
||||
|
|
|
|
|
|
|
|
|
|
|
||||
|
Income before provision for income taxes |
|
518 |
|
1,207 |
|
1,107 |
|
1,557 |
|
||||
|
Provision for income taxes |
|
220 |
|
513 |
|
470 |
|
662 |
|
||||
|
|
|
|
|
|
|
|
|
|
|
||||
|
Net income |
|
$ |
298 |
|
|||||||||