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8-K - FORM 8-K - TUFCO TECHNOLOGIES INCd487024d8k.htm

Exhibit 99.1

NEWS RELEASE

For Immediate Release

TUFCO TECHNOLOGIES, INC. ANNOUNCES FISCAL YEAR 2013 FIRST QUARTER

EARNINGS

GREEN BAY, WI (February 13, 2013)—Tufco Technologies, Inc. (NASDAQ: TFCO), a leading provider of contract converting, printing, laminating and business imaging products, today announced that for the first quarter of fiscal year 2013, sales were $28,348,000, an increase of 10% from the first quarter of fiscal year 2012 sales of $25,677,000. Net income was $740,000 or $0.17 per diluted share, for the first quarter of fiscal 2013 compared to a net loss of $609,000 or $0.14 per diluted share, for the first quarter of fiscal 2012, an improvement of $1,350,000 or $0.31 per share.

In commenting on the results, Jim Robinson, Tufco’s CEO and President said, “The Company saw increased sales volumes at Green Bay in the first quarter of fiscal 2013 compared to the first quarter of fiscal 2012, which in combination with our focus on reducing operating costs contributed to increased earnings. While we will not likely see similar sales volumes in the second quarter, we remain focused on increasing sales and reducing costs. Our Newton operation showed profit improvement over the first quarter of fiscal 2012.”

“Additionally, during the fiscal first quarter we reduced our borrowings under our credit facility by almost $2,600,000 down to $4,700,000,” he concluded.

Tufco, headquartered in Green Bay, Wisconsin, has manufacturing and warehousing 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 2013 results in comparison to fiscal 2012 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 continuing economic downturn, the Company’s inability to benefit from any general economic improvements, react to material increases in the cost of raw materials or 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 sustain profitable operations, the Company’s ability to successfully attract new customers through its sales initiatives and strengthening its new business development efforts, the Company’s ability to improve the run rates for its products, and changes to regulations governing its operations or other factors beyond the Company’s control. 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) 338-2711 (Fax)

 

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TUFCO TECHNOLOGIES, INC.

Condensed Consolidated Balance Sheets

(Amounts in 000’s)

 

     December 31,     September 30,  
     2012     2012  

ASSETS

    

Cash

   $ 9      $ 8   

Accounts Receivable—Net

     11,876        16,457   

Inventories—Net

     16,912        17,450   

Other Current Assets

     791        551   
  

 

 

   

 

 

 

Total Current Assets

     29,588        34,466   

Property, Plant and Equipment—Net

     15,868        15,848   

Goodwill

     7,212        7,212   

Other Assets—Net

     132        130   
  

 

 

   

 

 

 

Total

   $ 52,800      $ 57,656   
  

 

 

   

 

 

 

LIABILITIES AND STOCKHOLDERS’ EQUITY

    

Revolving Line of Credit

   $ 4,688      $ 7,280   

Current Portion of Note Payable

     278        274   

Accounts Payable

     7,418        10,618   

Accrued Liabilities

     554        615   

Other Current Liabilities

     547        670   
  

 

 

   

 

 

 

Total Current Liabilities

     13,485        19,457   

Long-Term Debt

     423        494   

Deferred Income Taxes

     2,427        1,989   

Common Stock and Paid-in Capital

     25,664        25,655   

Retained Earnings

     12,958        12,218   

Treasury Stock

     (2,157     (2,157
  

 

 

   

 

 

 

Total Stockholders’ Equity

     36,465        35,716   
  

 

 

   

 

 

 

Total

   $ 52,800      $ 57,656   
  

 

 

   

 

 

 

 

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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  
     December 31,  
     2012     2011  

Net Sales

   $ 28,348      $ 25,677   

Cost of Sales

     25,855        25,242   
  

 

 

   

 

 

 

Gross Profit

     2,493        435   

SG&A Expense

     1,262        1,347   

Gain on Asset Sales

     —          —     
  

 

 

   

 

 

 

Operating Income (Loss)

     1,231        (912

Interest Expense

     60        68   

Interest Income and Other Income

     (9     (8
  

 

 

   

 

 

 

Income (Loss) Before Income Taxes

     1,180        (972

Income Tax Expense (Benefit)

     440        (363
  

 

 

   

 

 

 

Net Income (Loss)

   $ 740      $ (609
  

 

 

   

 

 

 

Net Income (Loss) Per Share:

    

Basic

   $ 0.17      $ (0.14

Diluted

   $ 0.17      $ (0.14

Weighted Average Common Shares Outstanding:

    

Basic

     4,308,947        4,308,947   

Diluted

     4,315,872        4,308,947   

 

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