Attached files
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| 8-K - FORM 8-K - TUFCO TECHNOLOGIES INC | d354290d8k.htm |
Exhibit 99.1
NEWS RELEASE
For Immediate Release
TUFCO TECHNOLOGIES, INC. ANNOUNCES
FISCAL YEAR 2012 SECOND QUARTER AND FIRST SIX MONTHS RESULTS
GREEN BAY, WI (May 15, 2012)—Tufco Technologies, Inc. (NASDAQ: TFCO), a leading provider of branded contract wet and dry wipes converting in North America and a provider of specialty printing services and business imaging products, today announced that fiscal year 2012 second quarter sales were $24,139,000, down 16% from 2011 second quarter sales. For the first six months of fiscal 2012, sales were $49,816,000, compared to $52,772,000 for the first six months of fiscal 2011, a decrease of 6%.
Net loss per diluted share for the second quarter of fiscal 2012 was $0.12 per share compared to net income of $0.03 per diluted share for the second quarter of fiscal 2011. For the first six months of fiscal 2012, net loss per diluted share was $0.26 per share compared to a net loss per diluted share of $0.01 for the first six months of fiscal 2011.
In commenting on the results, Jim Robinson, Tufco’s President and CEO said, “Our Newton Business Imaging segment continues to experience increased paper costs, which have resulted in reduced gross profit. However, a recently implemented price increase is expected to improve margins. At Green Bay, reduced sales volume, shifts in product sales mix and operating inefficiencies resulted in reduced gross profit.”
“We continue to focus on increasing sales volume, improving product sales mix, new product development and cost reduction activities. Some of these initiatives and activities have required start-up or one-time expenses,” he concluded.
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Tufco, headquartered in Green Bay, Wisconsin, has manufacturing operations in Wisconsin and North Carolina.
Information about the results reported herein, or copies of the Company’s Quarterly Reports, may be obtained by calling the contact person listed below.
This press release, including the discussion of the Company’s fiscal 2012 results in comparison to fiscal 2011 contains forward-looking statements regarding current expectations, risks and uncertainties for future periods. The actual results could differ materially from those discussed herein due to a variety of factors such as the Company’s ability to increase sales, changes in customer demand for its products, cancellation of production agreements by significant customers including two Contract Manufacturing customers it depends upon for a significant portion of its business, its ability to meet competitors’ prices on products to be sold under these production agreements, the effects of the economy in general, including the slow economic recovery from the recent economic downturn, the Company’s inability to benefit from any general economic improvements, material increases in the cost of raw materials, competition in the Company’s product areas, the ability of management to successfully reduce operating expenses, the Company’s ability to increase sales and earnings as a result of new projects and services, the Company’s ability to successfully install new equipment on a timely basis and to improve productivity through equipment upgrades, the Company’s ability to continue to produce new products, the Company’s ability to comply with the financial covenants in its credit facility, the Company’s ability to extend or refinance its credit facility upon expiration, the Company’s ability to return to profitability and then continue to improve profitability, the Company’s ability to successfully attract new customers through its sales initiatives and strengthening its new business development efforts, and the Company’s ability to improve the run rates for its products. Therefore, the financial data for the periods presented may not be indicative of the Company’s future financial condition or results of operations. The Company assumes no responsibility to update the forward-looking statements contained in this press release.
| Contact: |
Michael B. Wheeler, VP and CFO | |
| Tufco Technologies, Inc. | ||
| P. O. Box 23500 | ||
| Green Bay, WI 54305-3500 | ||
| (920) 336-0054 | ||
| (920) 336-9041 (Fax) |
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TUFCO TECHNOLOGIES, INC.
Condensed Consolidated Balance Sheets
(Amounts in 000’s)
| March 31, 2012 |
September 30, 2011 |
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| ASSETS |
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| Cash |
$ | 9 | $ | 8 | ||||
| Accounts Receivable - Net |
12,085 | 15,363 | ||||||
| Inventories - Net |
17,514 | 14,200 | ||||||
| Other Current Assets |
1,528 | 1,335 | ||||||
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| Total Current Assets |
31,136 | 30,906 | ||||||
| Property, Plant and Equipment - Net |
16,727 | 17,027 | ||||||
| Goodwill - Net |
7,212 | 7,212 | ||||||
| Other Assets |
131 | 136 | ||||||
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| Total |
$ | 55,206 | $ | 55,281 | ||||
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| LIABILITIES AND STOCKHOLDERS’ EQUITY |
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| Revolving Line of Credit |
$ | 7,033 | $ | 6,449 | ||||
| Current Portion of Note Payable |
266 | 259 | ||||||
| Accounts Payable |
10,100 | 8,968 | ||||||
| Accrued Liabilities |
681 | 572 | ||||||
| Other Current Liabilities |
447 | 470 | ||||||
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| Total Current Liabilities |
18,527 | 16,718 | ||||||
| Long-Term Debt |
633 | 768 | ||||||
| Deferred Income Taxes |
1,423 | 2,085 | ||||||
| Common Stock and Paid-in Capital |
25,615 | 25,596 | ||||||
| Retained Earnings |
11,165 | 12,271 | ||||||
| Treasury Stock |
(2,157 | ) | (2,157 | ) | ||||
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| Total Stockholders’ Equity |
34,623 | 35,710 | ||||||
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| Total |
$ | 55,206 | $ | 55,281 | ||||
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TUFCO TECHNOLOGIES, INC.
Condensed Consolidated Statements of Operations
(Amounts in 000’s except share and per share data)
| Three Months Ended March 31, |
Six Months Ended March 31, |
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| 2012 | 2011 | 2012 | 2011 | |||||||||||||
| Net Sales |
$ | 24,139 | $ | 28,611 | $ | 49,816 | $ | 52,772 | ||||||||
| Cost of Sales |
23,416 | 26,886 | 48,659 | 49,944 | ||||||||||||
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| Gross Profit |
723 | 1,725 | 1,157 | 2,828 | ||||||||||||
| SG&A Expense |
1,444 | 1,489 | 2,791 | 2,829 | ||||||||||||
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| Operating (Loss) Income |
(721 | ) | 236 | (1,634 | ) | (1 | ) | |||||||||
| Interest Expense |
70 | 68 | 137 | 132 | ||||||||||||
| Interest Income and Other Income |
— | (31 | ) | (8 | ) | (48 | ) | |||||||||
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| (Loss) Income Before Income Taxes |
(791 | ) | 199 | (1,763 | ) | (85 | ) | |||||||||
| Income Tax (Benefit) Expense |
(295 | ) | 74 | (657 | ) | (32 | ) | |||||||||
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| Net (Loss) Income |
$ | (496 | ) | $ | 125 | $ | (1,106 | ) | $ | (53 | ) | |||||
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| Net (Loss) Income Per Share: |
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| Basic |
$ | (0.12 | ) | $ | 0.03 | $ | (0.26 | ) | $ | (0.01 | ) | |||||
| Diluted |
$ | (0.12 | ) | $ | 0.03 | $ | (0.26 | ) | $ | (0.01 | ) | |||||
| Weighted Average Common Shares Outstanding: |
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| Basic |
4,308,947 | 4,308,947 | 4,308,947 | 4,308,947 | ||||||||||||
| Diluted |
4,308,947 | 4,309,609 | 4,308,947 | 4,308,947 | ||||||||||||
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