We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Share Name | Share Symbol | Market | Type |
---|---|---|---|
Methode Electronics Inc | NYSE:MEI | NYSE | Common Stock |
Price Change | % Change | Share Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
---|---|---|---|---|---|---|---|---|
0.07 | 0.57% | 12.34 | 12.66 | 12.17 | 12.48 | 253,334 | 01:00:00 |
Delaware
|
|
36-2090085
|
(State or other jurisdiction of
|
|
(I.R.S. Employer
|
incorporation or organization)
|
|
Identification No.)
|
8750 West Bryn Mawr Avenue,
|
Suite 1000,
|
Chicago,
|
Illinois
|
|
60631-3518
|
(Address of principal executive offices)
|
|
(Zip Code)
|
|
|
Name of each exchange
|
Title of each Class
|
Trading Symbol(s)
|
on which registered
|
Common Stock, $0.50 Par Value
|
MEI
|
New York Stock Exchange
|
Large accelerated filer
|
☒
|
|
Accelerated filer
|
☐
|
Non-accelerated filer
|
☐
|
|
Smaller reporting company
|
☐
|
Emerging Growth Company
|
☐
|
|
|
|
|
|
Page
|
|
|
|
|
||
|
|
|
|
||
|
|
|
|
||
|
|
|
|
||
|
|
|
|
||
|
|
|
|
||
|
|
|
|
||
|
|
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
||
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
||||||
|
|
July 27,
2019 |
|
July 28,
2018 |
||||
Net Sales
|
|
$
|
270.2
|
|
|
$
|
223.4
|
|
|
|
|
|
|
||||
Cost of Products Sold
|
|
194.4
|
|
|
163.3
|
|
||
|
|
|
|
|
||||
Gross Profit
|
|
75.8
|
|
|
60.1
|
|
||
|
|
|
|
|
||||
Selling and Administrative Expenses
|
|
32.4
|
|
|
29.5
|
|
||
Amortization of Intangibles
|
|
4.8
|
|
|
1.9
|
|
||
|
|
|
|
|
||||
Income from Operations
|
|
38.6
|
|
|
28.7
|
|
||
|
|
|
|
|
||||
Interest Expense, Net
|
|
2.9
|
|
|
0.2
|
|
||
Other Expense, Net
|
|
0.1
|
|
|
0.3
|
|
||
|
|
|
|
|
||||
Income before Income Taxes
|
|
35.6
|
|
|
28.2
|
|
||
|
|
|
|
|
||||
Income Tax Expense
|
|
7.3
|
|
|
4.5
|
|
||
|
|
|
|
|
||||
Net Income
|
|
$
|
28.3
|
|
|
$
|
23.7
|
|
|
|
|
|
|
||||
Basic and Diluted Income per Share:
|
|
|
|
|
||||
Basic
|
|
$
|
0.75
|
|
|
$
|
0.63
|
|
Diluted
|
|
$
|
0.75
|
|
|
$
|
0.63
|
|
|
|
|
|
|
||||
Cash Dividends per Share
|
|
$
|
0.11
|
|
|
$
|
0.11
|
|
|
|
Three Months Ended
|
||||||
|
|
July 27,
2019 |
|
July 28,
2018 |
||||
Net Income
|
|
$
|
28.3
|
|
|
$
|
23.7
|
|
|
|
|
|
|
||||
Foreign Currency Translation Adjustments
|
|
(1.6
|
)
|
|
(17.9
|
)
|
||
Total Comprehensive Income
|
|
$
|
26.7
|
|
|
$
|
5.8
|
|
|
Common
Stock
Shares
|
|
Common
Stock
|
|
Additional
Paid-in
Capital
|
|
Accumulated
Other Comprehensive
Loss
|
|
Treasury
Stock
|
|
Retained Earnings
|
|
Total Shareholders Equity
|
|||||||||||||
Balance as of April 27, 2019
|
38,333,576
|
|
|
$
|
19.2
|
|
|
$
|
150.4
|
|
|
$
|
(13.6
|
)
|
|
$
|
(11.5
|
)
|
|
$
|
545.2
|
|
|
$
|
689.7
|
|
Earned Portion of Restricted Stock, Net of Tax Withholding
|
104,535
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(0.4
|
)
|
|
(0.4
|
)
|
||||||
Stock-based Compensation Expense
|
—
|
|
|
—
|
|
|
2.5
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2.5
|
|
||||||
Foreign Currency Translation Adjustments
|
—
|
|
|
—
|
|
|
—
|
|
|
(1.6
|
)
|
|
—
|
|
|
—
|
|
|
(1.6
|
)
|
||||||
Net Income
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
28.3
|
|
|
28.3
|
|
||||||
Dividends on Common Stock
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(4.2
|
)
|
|
(4.2
|
)
|
||||||
Balance as of July 27, 2019
|
38,438,111
|
|
|
$
|
19.2
|
|
|
$
|
152.9
|
|
|
$
|
(15.2
|
)
|
|
$
|
(11.5
|
)
|
|
$
|
568.9
|
|
|
$
|
714.3
|
|
|
Common
Stock
Shares
|
|
Common
Stock
|
|
Additional
Paid-in
Capital
|
|
Accumulated
Other Comprehensive
Income (Loss)
|
|
Treasury
Stock
|
|
Retained Earnings
|
|
Total Shareholders Equity
|
|||||||||||||
Balance as of April 28, 2018
|
38,198,353
|
|
|
$
|
19.1
|
|
|
$
|
136.5
|
|
|
$
|
13.9
|
|
|
$
|
(11.5
|
)
|
|
$
|
472.0
|
|
|
$
|
630.0
|
|
Earned Portion of Restricted Stock, Net of Tax Withholding
|
135,223
|
|
|
0.1
|
|
|
(0.1
|
)
|
|
—
|
|
|
—
|
|
|
(1.7
|
)
|
|
(1.7
|
)
|
||||||
Stock-based Compensation Expense
|
—
|
|
|
—
|
|
|
2.1
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2.1
|
|
||||||
Adoption of ASU 2014-09
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
0.1
|
|
|
0.1
|
|
||||||
Foreign Currency Translation Adjustments
|
—
|
|
|
—
|
|
|
—
|
|
|
(17.9
|
)
|
|
—
|
|
|
—
|
|
|
(17.9
|
)
|
||||||
Net Income
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
23.7
|
|
|
23.7
|
|
||||||
Dividends on Common Stock
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(4.1
|
)
|
|
(4.1
|
)
|
||||||
Balance as of July 28, 2018
|
38,333,576
|
|
|
$
|
19.2
|
|
|
$
|
138.5
|
|
|
$
|
(4.0
|
)
|
|
$
|
(11.5
|
)
|
|
$
|
490.0
|
|
|
$
|
632.2
|
|
|
|
Three Months Ended
|
||||||
|
|
July 27,
2019 |
|
July 28,
2018 |
||||
OPERATING ACTIVITIES
|
|
|
|
|
|
|
||
Net Income
|
|
$
|
28.3
|
|
|
$
|
23.7
|
|
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities:
|
|
|
|
|
|
|
||
Change in Cash Surrender Value of Life Insurance
|
|
(0.3
|
)
|
|
(0.4
|
)
|
||
Amortization of Debt Issuance Costs
|
|
0.2
|
|
|
—
|
|
||
Depreciation
|
|
7.0
|
|
|
6.5
|
|
||
Amortization of Intangible Assets
|
|
4.8
|
|
|
1.9
|
|
||
Stock-based Compensation Expense
|
|
2.5
|
|
|
2.1
|
|
||
Change in Deferred Income Taxes
|
|
—
|
|
|
(0.4
|
)
|
||
Changes in Operating Assets and Liabilities:
|
|
|
|
|
||||
Accounts Receivable
|
|
(12.8
|
)
|
|
6.4
|
|
||
Inventories
|
|
(5.7
|
)
|
|
(6.1
|
)
|
||
Prepaid Expenses and Other Assets
|
|
0.7
|
|
|
(2.9
|
)
|
||
Accounts Payable and Other Liabilities
|
|
(5.6
|
)
|
|
(10.8
|
)
|
||
NET CASH PROVIDED BY OPERATING ACTIVITIES
|
|
19.1
|
|
|
20.0
|
|
||
|
|
|
|
|
||||
INVESTING ACTIVITIES
|
|
|
|
|
|
|
||
Purchases of Property, Plant and Equipment
|
|
(13.2
|
)
|
|
(18.2
|
)
|
||
NET CASH USED IN INVESTING ACTIVITIES
|
|
(13.2
|
)
|
|
(18.2
|
)
|
||
|
|
|
|
|
||||
FINANCING ACTIVITIES
|
|
|
|
|
|
|
||
Taxes Paid Related to Net Share Settlement of Equity Awards
|
|
(0.4
|
)
|
|
(1.7
|
)
|
||
Repayments of Finance Leases
|
|
(0.2
|
)
|
|
—
|
|
||
Cash Dividends
|
|
(4.1
|
)
|
|
(4.1
|
)
|
||
Proceeds from Borrowings
|
|
1.0
|
|
|
—
|
|
||
Repayments of Borrowings
|
|
(10.7
|
)
|
|
(3.6
|
)
|
||
NET CASH USED IN FINANCING ACTIVITIES
|
|
(14.4
|
)
|
|
(9.4
|
)
|
||
Effect of Foreign Currency Exchange Rate Changes on Cash and Cash Equivalents
|
|
(0.9
|
)
|
|
(10.0
|
)
|
||
DECREASE IN CASH AND CASH EQUIVALENTS
|
|
(9.4
|
)
|
|
(17.6
|
)
|
||
Cash and Cash Equivalents at Beginning of the Year
|
|
83.2
|
|
|
246.1
|
|
||
CASH AND CASH EQUIVALENTS AT END OF THE PERIOD
|
|
$
|
73.8
|
|
|
$
|
228.5
|
|
|
|
Three Months Ended July 27, 2019
|
||||||||||||||||||
(Dollars in Millions)
|
|
Auto
|
|
Industrial
|
|
Interface
|
|
Medical
|
|
Total
|
||||||||||
Geographic Net Sales:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
U.S.
|
|
$
|
100.0
|
|
|
$
|
42.5
|
|
|
$
|
12.5
|
|
|
$
|
0.3
|
|
|
$
|
155.3
|
|
Malta
|
|
27.5
|
|
|
7.5
|
|
|
0.1
|
|
|
—
|
|
|
35.1
|
|
|||||
Canada
|
|
21.5
|
|
|
6.4
|
|
|
—
|
|
|
—
|
|
|
27.9
|
|
|||||
China
|
|
15.6
|
|
|
9.5
|
|
|
—
|
|
|
—
|
|
|
25.1
|
|
|||||
Other
|
|
21.6
|
|
|
4.9
|
|
|
0.3
|
|
|
—
|
|
|
26.8
|
|
|||||
Total Net Sales
|
|
$
|
186.2
|
|
|
$
|
70.8
|
|
|
$
|
12.9
|
|
|
$
|
0.3
|
|
|
$
|
270.2
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Timing of Revenue Recognition:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Goods Transferred at a Point in Time
|
|
$
|
179.0
|
|
|
$
|
70.8
|
|
|
$
|
12.9
|
|
|
$
|
0.3
|
|
|
$
|
263.0
|
|
Goods Transferred Over Time
|
|
7.2
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
7.2
|
|
|||||
Total Net Sales
|
|
$
|
186.2
|
|
|
$
|
70.8
|
|
|
$
|
12.9
|
|
|
$
|
0.3
|
|
|
$
|
270.2
|
|
|
|
Three Months Ended July 28, 2018
|
||||||||||||||||||
(Dollars in Millions)
|
|
Auto
|
|
Industrial
|
|
Interface
|
|
Medical
|
|
Total
|
||||||||||
Geographic Net Sales:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
U.S.
|
|
$
|
77.3
|
|
|
$
|
12.1
|
|
|
$
|
15.0
|
|
|
$
|
0.3
|
|
|
$
|
104.7
|
|
Malta
|
|
30.5
|
|
|
8.3
|
|
|
0.1
|
|
|
—
|
|
|
38.9
|
|
|||||
China
|
|
20.0
|
|
|
8.8
|
|
|
—
|
|
|
—
|
|
|
28.8
|
|
|||||
Canada
|
|
20.8
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
20.8
|
|
|||||
Other
|
|
26.7
|
|
|
3.0
|
|
|
0.5
|
|
|
—
|
|
|
30.2
|
|
|||||
Total Net Sales
|
|
$
|
175.3
|
|
|
$
|
32.2
|
|
|
$
|
15.6
|
|
|
$
|
0.3
|
|
|
$
|
223.4
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Timing of Revenue Recognition:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Goods Transferred at a Point in Time
|
|
$
|
165.5
|
|
|
$
|
32.2
|
|
|
$
|
15.6
|
|
|
$
|
0.3
|
|
|
$
|
213.6
|
|
Goods Transferred Over Time
|
|
9.8
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
9.8
|
|
|||||
Total Net Sales
|
|
$
|
175.3
|
|
|
$
|
32.2
|
|
|
$
|
15.6
|
|
|
$
|
0.3
|
|
|
$
|
223.4
|
|
(Dollars in Millions)
|
|
Three Months Ended July 27, 2019
|
||
Lease Cost:
|
|
|
||
Operating Lease Cost
|
|
$
|
2.5
|
|
Variable Lease Cost
|
|
0.2
|
|
|
Total Lease Cost
|
|
$
|
2.7
|
|
(Dollars in Millions)
|
|
Three Months Ended July 27, 2019
|
||
Operating Cash Flows:
|
|
|
||
Cash Paid Related to Operating Lease Obligations
|
|
$
|
2.1
|
|
|
|
|
||
Non-cash Activity:
|
|
|
||
Right-of-use Assets Obtained in Exchange for Lease Obligations
|
|
$
|
0.5
|
|
|
|
|
||
Weighted-average Remaining Lease Term
|
|
6.0 years
|
|
|
Weighted-average Discount Rate
|
|
4.64
|
%
|
(Dollars in Millions)
|
|
Operating Leases
|
||
Fiscal Year:
|
|
|
||
Remainder of 2020
|
|
$
|
5.8
|
|
2021
|
|
5.5
|
|
|
2022
|
|
5.0
|
|
|
2023
|
|
4.3
|
|
|
2024
|
|
3.1
|
|
|
Thereafter
|
|
7.4
|
|
|
Total Lease Payments
|
|
31.1
|
|
|
Less: Imputed Interest
|
|
(4.3
|
)
|
|
Present Value of Lease Liabilities
|
|
$
|
26.8
|
|
(Dollars in Millions)
|
|
Operating Leases
|
||
Fiscal Years:
|
|
|
||
2020
|
|
$
|
7.8
|
|
2021
|
|
5.6
|
|
|
2022
|
|
4.9
|
|
|
2023
|
|
4.2
|
|
|
2024
|
|
3.3
|
|
|
Thereafter
|
|
8.4
|
|
|
Net Minimum Lease Payments
|
|
$
|
34.2
|
|
(Dollars in Millions)
|
|
Fair Value at Date of Acquisition
|
|
Amortization Period
|
||
Customer Relationships and Agreements - Significant Customer
|
|
$
|
57.0
|
|
|
19.5 years
|
Customer Relationships and Agreements - All Other Customers
|
|
125.0
|
|
|
19.5 years
|
|
Technology Licenses
|
|
17.7
|
|
|
11.7 years
|
|
Trade Names
|
|
22.2
|
|
|
8.5 years
|
|
Total
|
|
$
|
221.9
|
|
|
|
|
(Unaudited)
|
|||
(Dollars in Millions)
|
|
Three Months Ended July 28, 2018
|
||
Net Sales
|
|
$
|
270.7
|
|
Net Income
|
|
$
|
29.7
|
|
|
|
Three Months Ended
|
||||||
(Dollars in Millions)
|
|
July 27,
2019 |
|
July 28,
2018 |
||||
Income before Income Taxes
|
|
$
|
35.6
|
|
|
$
|
28.2
|
|
Income Tax Expense
|
|
$
|
7.3
|
|
|
$
|
4.5
|
|
Effective Tax Rate
|
|
20.5
|
%
|
|
16.0
|
%
|
(Dollars in Millions)
|
|
July 27,
2019 |
|
April 27,
2019 |
||||
Raw Materials
|
|
$
|
80.3
|
|
|
$
|
67.1
|
|
Work in Process
|
|
10.0
|
|
|
9.4
|
|
||
Finished Products
|
|
31.7
|
|
|
40.2
|
|
||
Total Inventories
|
|
$
|
122.0
|
|
|
$
|
116.7
|
|
(Dollars in Millions)
|
|
July 27,
2019 |
|
April 27,
2019 |
||||
Land
|
|
$
|
3.7
|
|
|
$
|
3.7
|
|
Buildings and Building Improvements
|
|
82.9
|
|
|
81.2
|
|
||
Machinery and Equipment
|
|
398.0
|
|
|
390.7
|
|
||
Total Property, Plant and Equipment, Gross
|
|
484.6
|
|
|
475.6
|
|
||
Less: Accumulated Depreciation
|
|
288.2
|
|
|
283.7
|
|
||
Property, Plant and Equipment, Net
|
|
$
|
196.4
|
|
|
$
|
191.9
|
|
(Dollars in Millions)
|
|
July 27,
2019 |
|
April 27,
2019 |
||||
Automotive
|
|
$
|
106.3
|
|
|
$
|
106.3
|
|
Industrial
|
|
126.7
|
|
|
127.0
|
|
||
Total
|
|
$
|
233.0
|
|
|
$
|
233.3
|
|
|
July 27, 2019
|
||||||||||||
(Dollars in Millions)
|
Gross
|
|
Accumulated
Amortization
|
|
Net
|
|
Wtd. Avg. Remaining
Amortization
Periods (Years)
|
||||||
Definite-lived Intangible Assets:
|
|
|
|
|
|
|
|
||||||
Customer Relationships and Agreements
|
$
|
244.6
|
|
|
$
|
30.9
|
|
|
$
|
213.7
|
|
|
17.2
|
Trade Names, Patents and Technology Licenses
|
75.6
|
|
|
30.7
|
|
|
44.9
|
|
|
8.1
|
|||
Total Definite-lived Intangible Assets
|
320.2
|
|
|
61.6
|
|
|
258.6
|
|
|
|
|||
Indefinite-lived Intangible Assets:
|
|
|
|
|
|
|
|
||||||
Trade Names, Patents and Technology Licenses
|
1.8
|
|
|
—
|
|
|
1.8
|
|
|
|
|||
Total Indefinite-lived Intangible Assets
|
1.8
|
|
|
—
|
|
|
1.8
|
|
|
|
|||
Total Intangible Assets
|
$
|
322.0
|
|
|
$
|
61.6
|
|
|
$
|
260.4
|
|
|
|
|
April 27, 2019
|
||||||||||||
(Dollars in Millions)
|
Gross
|
|
Accumulated
Amortization
|
|
Net
|
|
Wtd. Avg. Remaining
Amortization
Periods (Years)
|
||||||
Definite-lived Intangible Assets:
|
|
|
|
|
|
|
|
||||||
Customer Relationships and Agreements
|
$
|
244.5
|
|
|
$
|
27.7
|
|
|
$
|
216.8
|
|
|
17.4
|
Trade Names, Patents and Technology Licenses
|
75.5
|
|
|
29.2
|
|
|
46.3
|
|
|
8.4
|
|||
Total Definite-lived Intangible Assets
|
320.0
|
|
|
56.9
|
|
|
263.1
|
|
|
|
|||
Indefinite-lived Intangible Assets:
|
|
|
|
|
|
|
|
||||||
Trade Names, Patents and Technology Licenses
|
1.8
|
|
|
—
|
|
|
1.8
|
|
|
|
|||
Total Indefinite-lived Intangible Assets
|
1.8
|
|
|
—
|
|
|
1.8
|
|
|
|
|||
Total Intangible Assets
|
$
|
321.8
|
|
|
$
|
56.9
|
|
|
$
|
264.9
|
|
|
|
(Dollars in Millions)
|
|
||
Fiscal Year:
|
|
||
Remainder of 2020
|
$
|
14.3
|
|
2021
|
19.0
|
|
|
2022
|
19.0
|
|
|
2023
|
19.0
|
|
|
2024
|
18.6
|
|
|
Thereafter
|
168.7
|
|
|
Total
|
$
|
258.6
|
|
(Dollars in Millions)
|
|
July 27,
2019 |
|
April 27,
2019 |
||||
Revolving Credit Facility
|
|
$
|
29.0
|
|
|
$
|
35.0
|
|
Term Loan
|
|
240.6
|
|
|
243.7
|
|
||
Other Debt
|
|
16.2
|
|
|
16.8
|
|
||
Unamortized Debt Issuance Costs
|
|
(2.7
|
)
|
|
(2.9
|
)
|
||
Total Debt
|
|
283.1
|
|
|
292.6
|
|
||
Less: Current Maturities
|
|
(15.4
|
)
|
|
(15.7
|
)
|
||
Total Long-term Debt
|
|
$
|
267.7
|
|
|
$
|
276.9
|
|
|
RSA Shares
|
|
Wtd. Avg. Grant Date Fair Value
|
|||
Non-vested and Unissued at April 27, 2019
|
1,031,408
|
|
|
$
|
34.09
|
|
Awarded
|
—
|
|
|
$
|
—
|
|
Vested
|
(11,250
|
)
|
|
$
|
33.78
|
|
Forfeited
|
(5,670
|
)
|
|
$
|
33.78
|
|
Non-vested and Unissued at July 27, 2019
|
1,014,488
|
|
|
$
|
34.10
|
|
|
|
RSU Shares
|
|
Wtd. Avg. Grant Date Fair Value
|
|||
Non-vested at April 27, 2019
|
|
187,844
|
|
|
$
|
34.55
|
|
Awarded
|
|
—
|
|
|
$
|
—
|
|
Vested
|
|
(4,500
|
)
|
|
$
|
33.78
|
|
Forfeited
|
|
—
|
|
|
$
|
—
|
|
Non-vested at July 27, 2019
|
|
183,344
|
|
|
$
|
34.57
|
|
|
|
Three Months Ended
|
||||||
(Dollars in Millions)
|
|
July 27, 2019
|
|
July 28, 2018
|
||||
RSAs
|
|
$
|
1.2
|
|
|
$
|
1.1
|
|
RSUs
|
|
0.4
|
|
|
0.1
|
|
||
Director Awards
|
|
0.9
|
|
|
0.9
|
|
||
Total Stock-based Compensation Expense
|
|
$
|
2.5
|
|
|
$
|
2.1
|
|
|
|
Three Months Ended
|
||||||
|
|
July 27,
2019 |
|
July 28,
2018 |
||||
Numerator:
|
|
|
|
|
||||
Net Income (in millions)
|
|
$
|
28.3
|
|
|
$
|
23.7
|
|
Denominator:
|
|
|
|
|
||||
Denominator for Basic Income per Share-Weighted Average Shares Outstanding and Vested/Unissued Restricted Stock Units
|
|
37,534,451
|
|
|
37,350,444
|
|
||
Dilutive Potential Common Shares-Employee Stock Options, Restricted Stock Awards and Restricted Stock Units
|
|
132,603
|
|
|
287,058
|
|
||
Denominator for Diluted Income per Share
|
|
37,667,054
|
|
|
37,637,502
|
|
||
|
|
|
|
|
||||
Basic and Diluted Income per Share:
|
|
|
|
|
||||
Basic Income per Share
|
|
$
|
0.75
|
|
|
$
|
0.63
|
|
Diluted Income per Share
|
|
$
|
0.75
|
|
|
$
|
0.63
|
|
•
|
Grakon's automotive business has been included in the Automotive segment, while Grakon's non-automotive business has been included in the Industrial segment.
|
•
|
The busbar business, previously included in the Power segment, is now part of the Industrial segment.
|
•
|
The radio-remote control business, previously included in the Interface segment, is now part of the Industrial segment.
|
•
|
The medical devices business, previously included in the Other segment, now makes up the Medical segment.
|
|
|
Three Months Ended July 27, 2019
|
||||||||||||||||||||||
(Dollars in Millions)
|
|
Automotive
|
|
Industrial
|
|
Interface
|
|
Medical
|
|
Eliminations/Corporate
|
|
Consolidated
|
||||||||||||
Net Sales
|
|
$
|
187.5
|
|
|
$
|
71.6
|
|
|
$
|
12.9
|
|
|
$
|
0.3
|
|
|
$
|
(2.1
|
)
|
|
$
|
270.2
|
|
Transfers between Segments
|
|
(1.3
|
)
|
|
(0.8
|
)
|
|
—
|
|
|
—
|
|
|
2.1
|
|
|
—
|
|
||||||
Net Sales to Unaffiliated Customers
|
|
$
|
186.2
|
|
|
$
|
70.8
|
|
|
$
|
12.9
|
|
|
$
|
0.3
|
|
|
$
|
—
|
|
|
$
|
270.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Income (Loss) from Operations
|
|
$
|
33.1
|
|
|
$
|
16.5
|
|
|
$
|
0.2
|
|
|
$
|
(1.5
|
)
|
|
$
|
(9.7
|
)
|
|
$
|
38.6
|
|
Interest Expense, Net
|
|
|
|
|
|
|
|
|
|
|
|
2.9
|
|
|||||||||||
Other Expense, Net
|
|
|
|
|
|
|
|
|
|
|
|
0.1
|
|
|||||||||||
Income before Income Taxes
|
|
|
|
|
|
|
|
|
|
|
|
$
|
35.6
|
|
|
|
Three Months Ended July 28, 2018
|
||||||||||||||||||||||
(Dollars in Millions)
|
|
Automotive
|
|
Industrial
|
|
Interface
|
|
Medical
|
|
Eliminations/Corporate
|
|
Consolidated
|
||||||||||||
Net Sales
|
|
$
|
177.5
|
|
|
$
|
33.0
|
|
|
$
|
15.7
|
|
|
$
|
0.3
|
|
|
$
|
(3.1
|
)
|
|
$
|
223.4
|
|
Transfers between Segments
|
|
(2.2
|
)
|
|
(0.8
|
)
|
|
(0.1
|
)
|
|
—
|
|
|
3.1
|
|
|
—
|
|
||||||
Net Sales to Unaffiliated Customers
|
|
$
|
175.3
|
|
|
$
|
32.2
|
|
|
$
|
15.6
|
|
|
$
|
0.3
|
|
|
$
|
—
|
|
|
$
|
223.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Income (Loss) from Operations
|
|
$
|
32.9
|
|
|
$
|
7.1
|
|
|
$
|
0.8
|
|
|
$
|
(2.1
|
)
|
|
$
|
(10.0
|
)
|
|
$
|
28.7
|
|
Interest Expense, Net
|
|
|
|
|
|
|
|
|
|
|
|
0.2
|
|
|||||||||||
Other Expense, Net
|
|
|
|
|
|
|
|
|
|
|
|
0.3
|
|
|||||||||||
Income before Income Taxes
|
|
|
|
|
|
|
|
|
|
|
|
$
|
28.2
|
|
•
|
Our business is dependent on two large automotive customers. If we were to lose either of these customers or experienced a significant decline in the volume or price of products purchased by these customers, or if either of the customers declared bankruptcy, our future results could be adversely affected.
|
•
|
Because we derive a substantial portion of our revenues from customers in the automotive, commercial vehicle, appliance, computer and communications industries, we are susceptible to trends and factors affecting those industries.
|
•
|
International trade disputes could result in tariffs, 'trade wars,' and other protectionist measures that could adversely affect the Company’s business, including its ability to mitigate tariff costs.
|
•
|
Our inability, or our customers' inability, to effectively manage the timing, quality and cost of new program launches could adversely affect our financial performance.
|
•
|
We are subject to continuing pressure to lower our prices.
|
•
|
Our Dabir Surfaces medical device products are emerging technologies. Our ability to successfully market and sell these products will depend on acceptance by the medical community.
|
•
|
A significant fluctuation between the U.S. dollar and other currencies could adversely impact our results of operations and financial condition.
|
•
|
A significant portion of our business activities are conducted in foreign countries, exposing us to additional risks that may not exist in the United States.
|
•
|
Should a catastrophic event or other significant business interruption occur at any of our facilities, we could face significant reconstruction or remediation costs, penalties, third party liability and loss of production capacity, which could adversely affect our business.
|
•
|
Impairment charges relating to our goodwill and long-lived assets could adversely affect our financial statements.
|
•
|
Our inability to capitalize on prior or future acquisitions or any decision to strategically divest one or more current businesses may adversely affect our business.
|
•
|
Our ability to market our automotive and commercial vehicle products is subject to a lengthy sales cycle, which requires significant investment prior to significant sales revenues, and there is no assurance that our products will be implemented in any particular vehicle.
|
•
|
We are dependent on the availability and price of materials.
|
•
|
Our gross profit margins are subject to fluctuations due to many factors.
|
•
|
Disruption of our supply chain could have an adverse effect on our business, financial condition and results of operations.
|
•
|
Changes in our effective tax rate may harm our results of operations.
|
•
|
We may be unable to keep pace with rapid technological changes, which could adversely affect our business.
|
•
|
Our information technology (“IT”) systems could be breached.
|
•
|
Products we manufacture may contain design or manufacturing defects that could result in reduced demand for our products or services and liability claims against us.
|
•
|
Our technology-based businesses and the markets in which we operate are highly competitive. If we are unable to compete effectively, our sales could decline.
|
•
|
If we are unable to protect our intellectual property or we infringe, or are alleged to infringe, on another person’s intellectual property, our business, financial condition and operating results could be materially adversely affected.
|
•
|
We cannot guarantee that the recently acquired Grakon business will be successful or that we can implement and profit from any new applications of the acquired technology.
|
•
|
Our long-term incentive plan could require significant adjustments to compensation expense in our consolidated statements of income if management changes its determinations on the probability of meeting certain performance levels. The adjustments could be material to the financial statements.
|
•
|
We have incurred a significant amount of indebtedness, and our level of indebtedness and restrictions under our indebtedness could adversely affect our operations and liquidity.
|
•
|
Regulations related to the use of conflict-free minerals may increase our costs and expenses, and an inability to certify that our products are conflict-free may adversely affect customer relationships.
|
(Dollars in Millions)
|
|
July 27,
2019 |
|
July 28,
2018 |
|
Net Change ($)
|
|
Net Change (%)
|
|||||||
Net Sales
|
|
$
|
270.2
|
|
|
$
|
223.4
|
|
|
$
|
46.8
|
|
|
20.9
|
%
|
|
|
|
|
|
|
|
|
|
|||||||
Cost of Products Sold
|
|
194.4
|
|
|
163.3
|
|
|
31.1
|
|
|
19.0
|
%
|
|||
|
|
|
|
|
|
|
|
|
|||||||
Gross Profit
|
|
75.8
|
|
|
60.1
|
|
|
15.7
|
|
|
26.1
|
%
|
|||
|
|
|
|
|
|
|
|
|
|||||||
Selling and Administrative Expenses
|
|
32.4
|
|
|
29.5
|
|
|
2.9
|
|
|
9.8
|
%
|
|||
Amortization of Intangibles
|
|
4.8
|
|
|
1.9
|
|
|
2.9
|
|
|
152.6
|
%
|
|||
Interest Expense, Net
|
|
2.9
|
|
|
0.2
|
|
|
2.7
|
|
|
1,350.0
|
%
|
|||
Other Expense, Net
|
|
0.1
|
|
|
0.3
|
|
|
(0.2
|
)
|
|
(66.7
|
)%
|
|||
Income Tax Expense
|
|
7.3
|
|
|
4.5
|
|
|
2.8
|
|
|
62.2
|
%
|
|||
Net Income
|
|
$
|
28.3
|
|
|
$
|
23.7
|
|
|
$
|
4.6
|
|
|
19.4
|
%
|
|
|
|
|
|
|
|
|
|
|||||||
Percent of sales:
|
|
July 27,
2019 |
|
July 28,
2018 |
|
|
|
|
|||||||
Net Sales
|
|
100.0
|
%
|
|
100.0
|
%
|
|
|
|
|
|||||
Cost of Products Sold
|
|
71.9
|
%
|
|
73.1
|
%
|
|
|
|
|
|||||
Gross Profit
|
|
28.1
|
%
|
|
26.9
|
%
|
|
|
|
|
|||||
Selling and Administrative Expenses
|
|
12.0
|
%
|
|
13.2
|
%
|
|
|
|
|
|||||
Amortization of Intangibles
|
|
1.8
|
%
|
|
0.9
|
%
|
|
|
|
|
|||||
Interest Expense, Net
|
|
1.1
|
%
|
|
0.1
|
%
|
|
|
|
|
|||||
Other Expense, Net
|
|
—
|
%
|
|
0.1
|
%
|
|
|
|
|
|||||
Income Tax Expense
|
|
2.7
|
%
|
|
2.0
|
%
|
|
|
|
|
|||||
Net Income
|
|
10.5
|
%
|
|
10.6
|
%
|
|
|
|
|
(Dollars in Millions)
|
|
July 27,
2019 |
|
July 28,
2018 |
|
Net Change ($)
|
|
Net Change (%)
|
|||||||
Net Sales
|
|
$
|
186.2
|
|
|
$
|
175.3
|
|
|
$
|
10.9
|
|
|
6.2
|
%
|
Gross Profit
|
|
$
|
47.4
|
|
|
$
|
47.0
|
|
|
$
|
0.4
|
|
|
0.9
|
%
|
Income from Operations
|
|
$
|
33.1
|
|
|
$
|
32.9
|
|
|
$
|
0.2
|
|
|
0.6
|
%
|
|
|
|
|
|
|
|
|
|
|||||||
Percent of sales:
|
|
July 27,
2019 |
|
July 28,
2018 |
|
|
|
|
|||||||
Net Sales
|
|
100.0
|
%
|
|
100.0
|
%
|
|
|
|
|
|||||
Gross Profit
|
|
25.5
|
%
|
|
26.8
|
%
|
|
|
|
|
|||||
Income from Operations
|
|
17.8
|
%
|
|
18.8
|
%
|
|
|
|
|
(Dollars in Millions)
|
|
July 27,
2019 |
|
July 28,
2018 |
|
Net Change ($)
|
|
Net Change (%)
|
|||||||
Net Sales
|
|
$
|
70.8
|
|
|
$
|
32.2
|
|
|
$
|
38.6
|
|
|
119.9
|
%
|
Gross Profit
|
|
$
|
26.5
|
|
|
$
|
10.4
|
|
|
$
|
16.1
|
|
|
154.8
|
%
|
Income from Operations
|
|
$
|
16.5
|
|
|
$
|
7.1
|
|
|
$
|
9.4
|
|
|
132.4
|
%
|
|
|
|
|
|
|
|
|
|
|||||||
Percent of sales:
|
|
July 27,
2019 |
|
July 28,
2018 |
|
|
|
|
|||||||
Net Sales
|
|
100.0
|
%
|
|
100.0
|
%
|
|
|
|
|
|||||
Gross Profit
|
|
37.4
|
%
|
|
32.3
|
%
|
|
|
|
|
|||||
Income from Operations
|
|
23.3
|
%
|
|
22.0
|
%
|
|
|
|
|
(Dollars in Millions)
|
|
July 27,
2019 |
|
July 28,
2018 |
|
Net Change ($)
|
|
Net Change (%)
|
|||||||
Net Sales
|
|
$
|
12.9
|
|
|
$
|
15.6
|
|
|
$
|
(2.7
|
)
|
|
(17.3
|
)%
|
Gross Profit
|
|
$
|
1.5
|
|
|
$
|
2.9
|
|
|
$
|
(1.4
|
)
|
|
(48.3
|
)%
|
Income from Operations
|
|
$
|
0.2
|
|
|
$
|
0.8
|
|
|
$
|
(0.6
|
)
|
|
(75.0
|
)%
|
|
|
|
|
|
|
|
|
|
|||||||
Percent of sales:
|
|
July 27,
2019 |
|
July 28,
2018 |
|
|
|
|
|||||||
Net Sales
|
|
100.0
|
%
|
|
100.0
|
%
|
|
|
|
|
|||||
Gross Profit
|
|
11.6
|
%
|
|
18.6
|
%
|
|
|
|
|
|||||
Income from Operations
|
|
1.6
|
%
|
|
5.1
|
%
|
|
|
|
|
(Dollars in Millions)
|
|
July 27,
2019 |
|
July 28,
2018 |
|
Net Change ($)
|
|
Net Change (%)
|
|||||||
Net Sales
|
|
$
|
0.3
|
|
|
$
|
0.3
|
|
|
$
|
—
|
|
|
—
|
%
|
Gross Profit
|
|
$
|
(0.4
|
)
|
|
$
|
(0.7
|
)
|
|
$
|
0.3
|
|
|
42.9
|
%
|
Loss from Operations
|
|
$
|
(1.5
|
)
|
|
$
|
(2.1
|
)
|
|
$
|
0.6
|
|
|
28.6
|
%
|
|
|
Three Months Ended
|
||||||
(Dollars in Millions)
|
|
July 27,
2019 |
|
July 28,
2018 |
||||
Operating activities:
|
|
|
|
|
||||
Net Income
|
|
$
|
28.3
|
|
|
$
|
23.7
|
|
Non-cash Items
|
|
14.2
|
|
|
9.7
|
|
||
Changes in Operating Assets and Liabilities
|
|
(23.4
|
)
|
|
(13.4
|
)
|
||
Net Cash Provided by Operating Activities
|
|
19.1
|
|
|
20.0
|
|
||
Net Cash Used in Investing Activities
|
|
(13.2
|
)
|
|
(18.2
|
)
|
||
Net Cash Used in Financing Activities
|
|
(14.4
|
)
|
|
(9.4
|
)
|
||
Effect of Exchange Rate Changes on Cash and Cash Equivalents
|
|
(0.9
|
)
|
|
(10.0
|
)
|
||
Net Decrease in Cash and Cash Equivalents
|
|
(9.4
|
)
|
|
(17.6
|
)
|
||
Cash and Cash Equivalents at Beginning of the Year
|
|
83.2
|
|
|
246.1
|
|
||
Cash and Cash Equivalents at End of the Period
|
|
$
|
73.8
|
|
|
$
|
228.5
|
|
Exhibit
Number
|
|
Description
|
31.1
|
|
|
31.2
|
|
|
32
|
|
|
101.1
|
|
XBRL Instance
|
101.2
|
|
XBRL Taxonomy Extension Schema Document
|
101.3
|
|
XBRL Taxonomy Extension Calculation Linkbase Document
|
101.4
|
|
XBRL Taxonomy Extension Label Linkbase Document
|
101.5
|
|
XBRL Taxonomy Extension Presentation Linkbase Document
|
101.6
|
|
XBRL Taxonomy Extension Definition Linkbase Document
|
|
|
|
METHODE ELECTRONICS, INC.
|
|
|
|
|
|
|
|
|
|
By:
|
/s/ Ronald L.G. Tsoumas
|
|
|
|
|
Ronald L.G. Tsoumas
|
|
|
|
|
Chief Financial Officer
|
|
|
|
|
(principal financial officer)
|
|
|
|
|
|
Dated:
|
August 29, 2019
|
|
|
1 Year Methode Electronics Chart |
1 Month Methode Electronics Chart |
It looks like you are not logged in. Click the button below to log in and keep track of your recent history.
Support: +44 (0) 203 8794 460 | support@advfn.com
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions