UNITED STATES
SECURITIES
AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
Quarterly Report Pursuant to
Section 13 or 15(d)
of the Securities Exchange Act of 1934
For the quarterly period ended June 30, 2004
Commission file number 1-12997
MAXIMUS, INC.
(Exact name of registrant as specified in its charter)
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Virginia |
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54-1000588 |
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(State
or other jurisdiction of |
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(I.R.S.
Employer |
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11419
Sunset Hills Road |
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20190 |
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(Address of principal executive offices) |
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(Zip Code) |
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(703) 251-8500 |
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(Registrant’s telephone number, including area code) |
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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
Indicate by check mark whether the registrant is an accelerated filer (as defined in Rule 12b-2 of the Exchange Act). Yes ý No o
Indicate the number of shares outstanding of each of the registrant’s classes of common stock, as of the latest practical date.
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Class |
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Outstanding at August 3, 2004 |
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Common stock, no par value |
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21,692,818 |
MAXIMUS, Inc.
Quarterly Report on Form 10-Q
For the Quarter Ended June 30, 2004
INDEX
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PART I. FINANCIAL INFORMATION |
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Item 1. |
Condensed Consolidated Financial Statements. |
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Condensed Consolidated Balance Sheets as of September 30, 2003 and June 30, 2004 (unaudited) |
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Notes to Unaudited Condensed Consolidated Financial Statements |
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Management’s Discussion and Analysis of Financial Condition and Results of Operations. |
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Changes in Securities, Use of Proceeds and Issuer Purchases of Equity Securities. |
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Throughout this Quarterly Report on Form 10-Q, the terms “we,” “us,” “our” and “MAXIMUS” refer to MAXIMUS, Inc. and its subsidiaries.
MAXIMUS, Inc.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Dollars in thousands)
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September
30, |
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June 30, |
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(Note 1) |
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(unaudited) |
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ASSETS |
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Current assets: |
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Cash and cash equivalents |
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$ |
117,372 |
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$ |
131,611 |
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Restricted cash |
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3,653 |
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1,601 |
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Marketable securities |
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140 |
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— |
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Accounts receivable – billed, net |
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114,992 |
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122,659 |
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Accounts receivable – unbilled |
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29,142 |
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40,522 |
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Deferred income taxes |
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3,410 |
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413 |
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Prepaid expenses and other current assets |
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7,063 |
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8,893 |
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Total current assets |
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275,772 |
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305,699 |
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Property and equipment, at cost |
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46,412 |
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51,446 |
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Less accumulated depreciation and amortization |
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(20,195 |
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(25,398 |
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Property and equipment, net |
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26,217 |
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26,048 |
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Capitalized software |
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23,382 |
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29,142 |
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Less accumulated amortization |
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(8,699 |
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(11,528 |
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Capitalized software, net |
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14,683 |
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17,614 |
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Deferred contract costs, net |
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7,283 |
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16,367 |
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Goodwill |
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81,757 |
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84,710 |
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Intangible assets, net |
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7,212 |
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10,289 |
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Other assets, net |
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2,096 |
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6,057 |
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Total assets |
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$ |
415,020 |
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$ |
466,784 |
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LIABILITIES AND SHAREHOLDERS’ EQUITY |
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Current liabilities: |
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Accounts payable |
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$ |
21,578 |
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$ |
25,778 |
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Accrued compensation and benefits |
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23,219 |
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21,514 |
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Deferred revenue |
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22,356 |
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25,341 |
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Income taxes payable |
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2,837 |
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1,866 |
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Current portion of capital lease obligations |
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809 |
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1,631 |
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Other accrued liabilities |
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3,653 |
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1,663 |
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Total current liabilities |
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74,452 |
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77,793 |
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Capital lease obligations, less current portion |
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3,821 |
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5,527 |
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Deferred income taxes |
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2,745 |
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10,899 |
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Other liabilities |
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725 |
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137 |
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Total liabilities |
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81,743 |
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94,356 |
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Shareholders’ equity: |
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Common stock, no par value; 60,000,000 shares authorized; 21,200,197 and 21,650,875 shares issued and outstanding at September 30, 2003 and June 30, 2004, at stated amount, respectively |
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146,219 |
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156,839 |
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Accumulated other comprehensive loss |
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(95 |
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(150 |
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Retained earnings |
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187,153 |
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215,739 |
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Total shareholders’ equity |
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333,277 |
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372,428 |
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Total liabilities and shareholders’ equity |
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$ |
415,020 |
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$ |
466,784 |
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See notes to unaudited condensed consolidated financial statements.
1
MAXIMUS, Inc.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except per share data)
(Unaudited)
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Three
Months |
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Nine
Months |
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2003 |
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2004 |
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2003 |
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2004 |
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Revenue |
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$ |
141,741 |
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$ |
160,158 |
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$ |
405,095 |
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$ |
449,759 |
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Cost of revenue |
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99,321 |
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114,696 |
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281,828 |
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317,083 |
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Gross profit |
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42,420 |
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45,462 |
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123,267 |
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132,676 |
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Selling, general and administrative expenses |
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27,933 |
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29,340 |
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81,674 |
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86,245 |
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Income from operations |
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14,487 |
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