Attached files
TRANS-LUX LOGO
26 Pearl Street Norwalk, CT 06850
FOR IMMEDIATE RELEASE
For Further Information
Contact: Angela D. Toppi
Executive Vice President & CFO
203.642.5903
TRANS-LUX REPORTS YEAR-END, FOURTH QUARTER RESULTS
NORWALK, CT, March 31, 2011 - Trans-Lux Corporation (OTC: TNLX), a leading
supplier of programmable electronic information displays and next generation LED
lighting, today reported financial results for the fourth quarter and year ended
December 31, 2010. Trans-Lux President and Chief Executive Officer J.M. Allain
made the announcement.
Year Ended December 31, 2010
Revenues for 2010 totaled $24.3 million, down from $28.5 million for the year
ended 2009. Net loss from continuing operations for the year-end 2010 was $7.1
million (loss of $2.91 per share), compared with a loss of $8.8 million (loss of
$3.81 per share) in 2009. This year's loss includes the $1.1 million
restructuring charge and the $0.5 million charge to write-off engineering
software. The prior year's loss includes the write-off of a $2.7 million note
receivable related to the former Norwalk, Connecticut facility that the Company
sold in 2004. Total EBITDA for the year ended 2010 is a negative $161,000
compared with a negative $1.1 for the year ended 2009. Without the
restructuring charge and write-offs, EBITDA would have been a positive $1.4
million for 2010, compared with a positive $1.6 million for the same period in
2009.
In addition, the Company's independent registered public accounting firm
included an explanatory paragraph in their opinion in connection with the audit
relating to the uncertainty regarding the Company's ability to continue as a
going concern.
Trans-Lux/2
"We are concentrating on our long-term sales and marketing objectives in the LED
digital signage market and lighting, while continuing our efforts to strengthen
our financial position through on-going restructuring efforts." said Mr. Allain.
"We are taking measures to capitalize on new business opportunities and
have already secured several substantial new orders during the first quarter of
2011. I am proud of our team and our ability to move forward on the
restructuring we started a year ago."
Fourth Quarter 2010
Fourth quarter revenues were $5.6 million in 2010, up from $5.3 million in 2009.
Trans-Lux reported a net loss from continuing operations of $1.8 million ($-0.75
per share) during the fourth quarter of 2010, compared with a net loss of $3.1
million ($-1.31 per share) during the same period the prior year. Last years
fourth quarter loss included $1.0 million charge related to the Company's
pension plan and supplemental retirement plan and a charge for legal fees
relating to the settlement of a lawsuit. The Company had negative cash flow
from continuing operations, as defined by EBITDA, of $120,000 for the fourth
quarter of 2010, compared with a negative $1.3 million during the fourth quarter
of 2009.
About Trans-Lux
Trans-Lux Corporation is a leading designer and manufacturer of digital signage
display solutions for the financial, sports and entertainment, gaming and
leasing markets. With a comprehensive offering of LED Large Screen Systems,
Fair-Play branded Scoreboards, and Trans-Lux Energy LED lighting solutions,
Trans-Lux delivers comprehensive digital signage solutions for any size venue's
indoor and outdoor display needs. For more information, please visit our web
site at www.trans-lux.com.
(Table of Operations attached)
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Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995
The Company may, from time to time, provide estimates as to future performances.
These forward-looking statements will be estimates and may or may not be
realized by the Company. The Company undertakes no duty to update such
forward-looking statements. Many factors could cause actual results to differ
from these forward-looking statements, including loss of market share through
competition, introduction of competing products by others, pressure on prices
from competition or purchasers of the Company's products, interest rate and
foreign exchange fluctuations, terrorist acts and war.
Trans-Lux/3
TRANS-LUX CORPORATION
RESULTS OF OPERATIONS
(Unaudited)
THREE MONTHS ENDED YEAR ENDED
DECEMBER 31 DECEMBER 31
(In thousands, except per share data) 2010 2009 2010 2009
--------------------------------------------------------------------------------------------
Revenues $ 5,569 $ 5,330 $24,307 $28,548
-------------------------------------
Loss from continuing operations $(1,843) $(3,054) $(7,098) $(8,795)
Income from discontinued operations 62 - 62 -
-------------------------------------
Net loss $(1,781) $(3,054) $(7,036) $(8,795)
-------------------------------------
Calculation of EBITDA:
Net loss from continuing operations $(1,843) $(3,054) $(7,098) $(8,795)
Interest expense, net 428 431 1,591 1,693
Income tax (benefit) expense (61) (88) (19) 54
Depreciation and amortization 1,294 1,444 5,303 5,983
-------------------------------------
EBITDA from continuing operations (1) (182) (1,267) (223) (1,065)
Effect of discontinued operations 62 - 62 -
-------------------------------------
Total EBITDA (1) $ (120) $(1,267) $ (161) $(1,065)
=====================================
(Loss) income per share - basic and diluted:
Continuing operations $ (0.75) $ (1.31) $ (2.91) $ (3.81)
Discontinued operations 0.02 - 0.02 -
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Total loss per share $ (0.73) $ (1.31) $ (2.89) $ (3.81)
-------------------------------------
Average common shares outstanding - basic and diluted 2,443 2,324 2,437 2,311
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(1) EBITDA is defined as earnings before effect of interest, income taxes,
depreciation and amortization. EBITDA is presented here because it is a widely
accepted financial indicator of a company's ability to service and/or incur
indebtedness. However, EBITDA should not be considered as an alternative to net
income or cash flow data prepared in accordance with accounting principles
generally accepted in the United States of America or as a measure of a
company's profitability or liquidity. The Company's measure of EBITDA may not
be comparable to similarly titled measures reported by other companies.
