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 December 31, 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) |
(703) 251-8500
(Registrant’s telephone number, including area code)
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 ¨
As of January 31, 2005, there were 21,301,390 shares of the registrant’s common stock (no par value) outstanding.
MAXIMUS, Inc.
Quarterly Report on Form 10-Q
For the Quarter Ended December 31, 2004
INDEX
Throughout this Quarterly Report on Form 10-Q, the terms “we,” “us,” “our” and “MAXIMUS” refer to MAXIMUS, Inc. and its subsidiaries.
Item 1. Condensed Consolidated Financial Statements.
MAXIMUS, Inc.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Dollars in thousands)
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September 30, |
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December 31, |
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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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$ |
91,854 |
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$ |
94,557 |
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Marketable securities |
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47,400 |
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47,750 |
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Restricted cash |
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1,379 |
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1,400 |
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Accounts receivable – billed, net of reserves of $5,567 and $6,331 |
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111,834 |
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119,202 |
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Accounts receivable – unbilled |
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42,280 |
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41,936 |
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Prepaid expenses and other current assets |
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9,673 |
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7,021 |
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Total current assets |
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304,420 |
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311,866 |
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Property and equipment, at cost |
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52,676 |
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54,493 |
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Less accumulated depreciation and amortization |
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(26,983 |
) |
(28,722 |
) |
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Property and equipment, net |
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25,693 |
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25,771 |
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Capitalized software |
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30,918 |
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33,806 |
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Less accumulated amortization |
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(12,667 |
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(13,906 |
) |
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Capitalized software, net |
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18,251 |
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19,900 |
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Deferred contract costs, net |
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15,475 |
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14,867 |
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Goodwill |
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84,886 |
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85,143 |
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Intangible assets, net |
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9,807 |
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9,293 |
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Other assets, net |
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6,215 |
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5,780 |
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Total assets |
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$ |
464,747 |
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$ |
472,620 |
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LIABILITIES AND SHAREHOLDERS’ EQUITY |
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Current liabilities: |
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Accounts payable |
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$ |
27,476 |
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$ |
26,178 |
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Accrued compensation and benefits |
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21,224 |
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19,573 |
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Deferred revenue |
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21,195 |
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21,414 |
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Income taxes payable |
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— |
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3,054 |
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Deferred income taxes |
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1,930 |
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1,517 |
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Current portion of capital lease obligations |
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1,649 |
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1,613 |
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Other accrued liabilities |
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1,432 |
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1,470 |
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Total current liabilities |
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74,906 |
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74,819 |
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Capital lease obligations, less current portion |
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5,108 |
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4,738 |
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Deferred income taxes |
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10,766 |
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11,675 |
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Other liabilities |
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419 |
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298 |
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Total liabilities |
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91,199 |
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91,530 |
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Shareholders’ equity: |
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Common stock, no par value; 60,000,000 shares authorized; 21,319,847 and 21,266,550 shares issued and outstanding at September 30, 2004 and December 31, 2004, at stated amount, respectively |
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147,966 |
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146,164 |
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Accumulated other comprehensive loss |
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(345 |
) |
(50 |
) |
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Retained earnings |
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225,927 |
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234,976 |
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Total shareholders’ equity |
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373,548 |
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381,090 |
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Total liabilities and shareholders’ equity |
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$ |
464,747 |
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$ |
472,620 |
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See notes to unaudited condensed consolidated financial statements.
1
MAXIMUS, Inc.
(In thousands, except per share data)
(Unaudited)
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Three Months |
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2003 |
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2004 |
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Revenue |
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$ |
138,894 |
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$ |
152,495 |
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Cost of revenue |
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96,311 |
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108,090 |
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Gross profit |
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42,583 |
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44,405 |
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Selling, general and administrative expenses |
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27,652 |
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29,549 |
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Income from operations |
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14,931 |
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14,856 |
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Interest and other income, net |
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192 |
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100 |
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Income before income taxes |
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15,123 |
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14,956 |
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Provision for income taxes |
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5,974 |
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5,907 |
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Net income |
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$ |
9,149 |
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$ |
9,049 |
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