Dixon Ticonderoga (AMEX:DXT)
Historical Stock Chart
From Jun 2019 to Jun 2024
Dixon Ticonderoga Reports Strong Second Quarter Results
HEATHROW, Fla., May 13 /PRNewswire-FirstCall/ -- Dixon Ticonderoga Company
today announced pro forma net income from continuing operations for its second
quarter ended March 31, 2004 of $542,144 or $0.17 per basic and diluted share,
compared with pro forma net income from continuing operations of $300,936 or
$0.09 per basic and diluted share in the prior year quarter. Including the
fiscal 2004 effects of investment banking and related costs, as well as
valuation allowances for U.S. deferred tax assets, the company reported net
income of $26,433 or $0.01 per share. This compares with a net loss of
($106,316) or ($0.03) per share in the prior year after the fiscal 2003 effects
of restructuring and related costs and discontinued operations. Second quarter
revenues rose slightly to $18,950,950 from $18,892,890 last year. Weighted
average shares outstanding during the quarter were 3,202,149 (basic) and
3,227,176 (diluted) compared with 3,192,832 (basic and diluted) a year ago.
For the first six months of fiscal 2004, the Company reported that its pro
forma net loss from continuing operations decreased to ($193,933), or ($0.06)
per basic and diluted share from ($455,888) or ($0.14) per basic and diluted
share in the prior year period. Including the fiscal 2004 effects of
investment banking and related costs, and valuation allowances for U.S.
deferred tax assets, net loss in the current year was ($853,188) or ($0.27) per
share. This compares with a net loss of ($1,038,846) or ($0.33) per share in
the 2003 period after the effects of debt refinancing costs, restructuring
costs, other income and results of discontinued operations. Revenues in the
first six months of fiscal 2004 were $34,429,570, compared with $34,762,680 a
year ago. Average shares outstanding during the period were 3,202,149,
compared with a 3,192,832 last year.
Commenting on the first six months results, Chairman and Co-Chief Executive
Officer Gino N. Pala said, "We are extremely pleased with the strong continued
improvement of our consumer products business, particularly in the U.S.,
reflecting the benefits of our consolidation and cost reduction efforts over
the past several years. Our company's pro forma net income from continuing
operations in the second fiscal quarter and year-to-date has improved by $1
million over the past two years. As this period traditionally represents our
most difficult quarters, we are encouraged that this trend of improvement will
continue as we head into our back-to-school season."
Dixon Ticonderoga Company, with operations dating back to 1795, is one of the
oldest publicly held companies in the U.S. Its consumer group manufactures and
markets a wide range of writing instruments, art materials and office supplies,
including the well-known Ticonderoga(R), Prang(R) and Dixon(R) brands.
Headquartered in Heathrow, Florida, Dixon Ticonderoga employs approximately
1,600 people at 8 facilities in the U.S., Canada, Mexico and the U.K. The
company has been listed on the American Stock Exchange since 1988 under the
symbol DXT.
Forward-Looking Statements
Any "forward-looking" statements in this press release (including, among
others, management's belief that its operating performance will continue to
improve during the remainder of the fiscal year) involve known and unknown
risks, uncertainties and other factors that could cause the actual results to
differ materially from those expressed or implied by such forward-looking
statements. Such risks include (but are not limited to) difficulties
encountered with the company's plant consolidation and cost reduction programs;
manufacturing inefficiencies; increased competition; reduced revenues; U.S. and
foreign economic factors; interest rate fluctuation risk; and foreign currency
exchange risk, among others.
DIXON TICONDEROGA COMPANY - - - EARNINGS HIGHLIGHTS
Three Months Ended Six Months Ended
March 31, March 31,
2004 2003 2004 2003
Revenues $18,950,950 $18,892,890 $34,429,570 $34,762,680
Operating Income
(Loss) $1,160,920 $863,105 $865,488 $(151,809)
Other Income, Net -- -- -- 440,820
Interest Expense (832,917) (857,847) (1,607,005) (1,662,074)
Income Tax (Expense)
Benefit (285,479) 155,983 (104,740) 592,536
Minority Interest (16,091) (16,119) (6,931) (6,881)
Income (Loss) From
Continuing Operations 26,433 145,122 (853,188) (787,408)
Income (Loss) From
Discontinued
Operations -- (251,438) -- (251,438)
Net Income (Loss) $26,433 $(106,316) $(853,188) $(1,038,846)
Earnings (Loss) Per
Share
(Basic and Diluted):
Continuing
Operations $0.01 $0.05 $(0.27) $(0.25)
Discontinued
Operations -- (0.08) -- (0.08)
Net Income (Loss) $0.01 $(0.03) $(0.27) $(0.33)
Weighted Average
Shares - Basic 3,202,149 3,192,832 3,202,149 3,192,832
Weighted Average
Shares - Diluted 3,227,176 3,192,832 3,202,149 3,192,832
Reconciliation of Income (Loss) From Continuing Operations
To Pro Forma Net Income (Loss) From Continuing Operations
Three Months Ended Six Months Ended
March 31, March 31,
2004 2003 2004 2003
Income (Loss) From
Continuing Operations $26,433 $145,122 $(853,188) $(787,408)
Debt Refinancing
Costs, Net of Income
Taxes -- -- -- 424,770
Restructuring and
Related Costs, Net of
Income Taxes -- 155,814 -- 206,508
Other Income, Net of
Income Taxes (1) -- -- -- (299,758)
Investment Banking and
Related Costs, Net of
Income Taxes 224,605 -- 224,605 --
Valuation Allowances
for U.S. Deferred Tax
Assets (2) 291,106 -- 434,650 --
Pro Forma Net Income
(Loss) from
Continuing Operations $542,144 $300,936 $(193,933) $(455,888)
Pro Forma Net Income
(Loss) Per Share from
Continuing Operations $0.17 $0.09 $(0.06) $(0.14)
(1) Other income in the 2003 period represents certain import duty
rebates.
(2) Beginning in the fourth fiscal quarter of 2003, the Company has
provided full valuation allowances for any tax benefits generated in the
U.S. given the recent history of U.S. losses. In the comparable quarter,
tax benefits were recognized for such U.S. losses.
DATASOURCE: Dixon Ticonderoga Company
CONTACT: Gino N. Pala, Chairman, Dixon Ticonderoga, +1-407-829-9000
Web site: http://www.dixonticonderoga.com/