UNITED STATES SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
(Mark One)
| x | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the quarterly period ended May 3, 2003
OR
| ¨ | 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 0-13200
| Astro-Med, Inc. |
| (Exact name of registrant as specified in its charter) |
| Rhode Island |
05-0318215 | |
| (State or other jurisdiction of incorporation or organization) |
(I.R.S. Employer Identification No.) |
| 600 East Greenwich Avenue, West Warwick, Rhode Island |
02893 | |
| (Address of principal executive offices) |
(Zip Code) |
| (401) 828-4000 |
| (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 x No ¨.
Indicate by check mark whether the registrant is an accelerated filer (as defined in Rule 12b-2 of the Exchange Act)
Yes ¨ No x.
Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.
Common Stock, $.05 Par Value – 4,203,553 shares
(excluding treasury shares) as of May 30, 2003
ASTRO-MED, INC.
-2-
Part I. FINANCIAL INFORMATION
ASTRO-MED, INC.
| May 3, |
January 31, |
|||||||
| ASSETS |
2003 |
2003 |
||||||
| (Unaudited) |
||||||||
| CURRENT ASSETS |
||||||||
| Cash and Cash Equivalents |
$ |
2,828,059 |
|
$ |
3,217,035 |
| ||
| Securities Available for Sale |
|
4,772,384 |
|
|
4,118,991 |
| ||
| Accounts Receivable, Net |
|
8,747,931 |
|
|
8,347,375 |
| ||
| Inventories |
|
9,090,918 |
|
|
8,900,463 |
| ||
| Prepaid Expenses and Other Current Assets |
|
451,145 |
|
|
370,342 |
| ||
| Total Current Assets |
|
25,890,437 |
|
|
24,954,206 |
| ||
| PROPERTY, PLANT AND EQUIPMENT |
|
24,406,180 |
|
|
24,241,848 |
| ||
| Less Accumulated Depreciation |
|
(17,254,800 |
) |
|
(16,891,169 |
) | ||
|
|
7,151,380 |
|
|
7,350,679 |
| |||
| OTHER ASSETS |
||||||||
| Goodwill |
|
2,310,798 |
|
|
2,310,798 |
| ||
| Amounts Due from Officers |
|
480,314 |
|
|
480,314 |
| ||
| Other |
|
99,505 |
|
|
113,881 |
| ||
|
|
2,890,617 |
|
|
2,904,993 |
| |||
| $ |
35,932,434 |
|
$ |
35,209,878 |
| |||
| LIABILITIES AND SHAREHOLDERS’ EQUITY |
||||||||
| CURRENT LIABILITIES |
||||||||
| Accounts Payable |
$ |
2,663,382 |
|
$ |
2,423,260 |
| ||
| Accrued Compensation |
|
1,768,374 |
|
|
1,768,777 |
| ||
| Accrued Expenses |
|
2,278,673 |
|
|
1,928,834 |
| ||
| Current Maturities of Long-Term Debt |
|
6,065 |
|
|
8,290 |
| ||
| Total Current Liabilities |
|
6,716,494 |
|
|
6,129,161 |
| ||
| SHAREHOLDERS’ EQUITY |
||||||||
| Preferred Stock, $10 Par Value, Authorized 100,000 Shares, None Issued |
|
— |
|
|
— |
| ||
| Common Stock, $.05 Par Value, Authorized 13,000,000 Shares, Issued, 5,169,072 and 5,168,367 Shares, respectively |
|
258,454 |
|
|
258,418 |
| ||
| Additional Paid-In Capital |
|
5,649,712 |
|
|
5,647,568 |
| ||
| Retained Earnings |
|
29,525,243 |
|
|
29,190,013 |
| ||
| Treasury Stock, at Cost, 969,695 and 897,895 Shares, respectively |
|
(6,095,755 |
) |
|
(5,860,609 |
) | ||
| Accumulated Other Comprehensive Loss |
|
(121,714 |
) |
|
(154,673 |
) | ||
|
|
29,215,940 |
|
|
29,080,717 |
| |||
| $ |
35,932,434 |
|
$ |
35,209,878 |
| |||
-3-
ASTRO-MED, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
| Three-Months Ended |
|||||||
| May 3, 2003 |
May 4, 2002 |
||||||
| (Unaudited) |
|||||||
| Net Sales |
$ |
13,214,120 |
$ |
11,437,728 |
| ||
| Cost of Sales |
|
8,164,387 |
|
7,629,303 |
| ||
| Gross Profit |
|
5,049,733 |
|
3,808,425 |
| ||
| Costs and Expenses: |
|||||||
| Selling, General and Administrative |
|
3,692,725 |
|
3,740,254 |
| ||
| Research and Development |
|
869,628 |
|
947,468 |
| ||
|
|
4,562,353 |
|
4,687,722 |
| |||
| Operating Income (Loss) |
|
487,380 |
|
(879,297 |
) | ||
| Other Income: |
|||||||
| Investment Income |
|
47,607 |
|
48,599 |
| ||
| Other, Net |
|
3,079 |
|
24,443 |
| ||
|
|
50,686 |
|
73,042 |
| |||
| Income (Loss) Before Income Taxes |
|
538,066 |
|
(806,255 |
) | ||
| Income Tax Expense (Benefit) |
|
32,007 |
|
(174,000 |
) | ||
| Net Income (Loss) |
$ |
506,059 |
$ |
(632,255 |
) | ||
| Net Income (Loss) Per Common Share - Basic and Diluted |
$ |
0.12 |
($ |
0.15 |
) | ||
| Weighted Average Number of Common and Common Equivalent Shares Outstanding-Basic |
|
4,252,793 |
|
4,267,425 |
| ||
| Weighted Average Number of Common and Common Equivalent Shares Outstanding-Diluted |
|
4,255,943 |
|
4,267,425 |
| ||
| Dividends Declared Per Common Share |
$ |
0.04 |
$ |
0.04 |
| ||
-4-
ASTRO-MED, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
| Three-Months Ended |
||||||||
| May 3, 2003 |
May 4, 2002 |
|||||||
| (Unaudited) |
||||||||
| Cash Flows from Operating Activities: |
||||||||
| Net Income (Loss) |
$ |
506,059 |
|
$ |
(632,255 |
) | ||
| Adjustments to Reconcile Net Income (Loss) to Net Cash Provided by Operating Activities: |
||||||||
| Depreciation and Amortization |
|
347,006 |
|
|
334,950 |
| ||
| Deferred Income Taxes |
|
— |
|
|
72,735 |
| ||
| Changes in Assets and Liabilities: |
||||||||
| Accounts Receivable |
|
(400,556 |
) |
|
1,081,320 |
| ||
| Inventories |
|
(216,994 |
) |
|
452,909 |
| ||
| Other |
|
(42,001 |
) |
|
(259,060 |
) | ||
| Accounts Payable and Accrued Expenses |
|
589,558 |
|
|
(651,330 |
) | ||
| Total Adjustments |
|
277,013 |
|
|
1,031,524 |
| ||
| Net Cash Provided by Operating Activities |
|
783,072 |
|
|
399,269 |
| ||
| Cash Flows from Investing Activities: |
||||||||
| Proceeds from Sales/Maturities of Securities Available for Sale |
|
269,054 |
|
|
87,249 |
| ||
| Purchases of Securities Available of Sale |
|
(919,844 |
) |
|
— |
| ||
| Additions to Property, Plant and Equipment |
|
(115,238 |
) |
|
(150,125 |
) | ||
| Net Cash Used by Investing Activities |
|
(766,028 |
) |
|
(62,876 |
) | ||
| Cash Flows from Financing Activities: |
||||||||
| Principal Payments on Capital Leases |
|
(2,225 |
) |
|
(12,196 |
) | ||
| Proceeds from Common Shares Issued Under Employee Benefit Plans |
|
2,180 |
|
|
2,703 |
| ||
| Shares Repurchased |
|
(235,146 |
) |
|
— |
| ||
| Dividends Paid |
|
(170,829 |
) |
|
(170,694 |
) | ||
| Net Cash Used by Financing Activities |
|
(406,020 |
) |
|
(180,187 |
) | ||
| Net (Decrease) Increase in Cash and Cash Equivalents |
|
(388,976 |
) |
|
156,206 |
| ||
| Cash and Cash Equivalents, Beginning of Period |
|
3,217,035 |
|
|
2,569,721 |
| ||
| Cash and Cash Equivalents, End of Period |
$ |
2,828,059 |
|
$ |
2,725,927 |
| ||