Park Electrochemical Corp. Reports First Quarter
Park Electrochemical Corp.Reports First Quarter
MELVILLE, N.Y.--(BUSINESS WIRE)-- Park Electrochemical Corp. (NYS: PKE) reported net sales of $43,438,000 for the first quarter ended June 2, 2013 compared to net sales of $46,046,000 for the first quarter ended May 27, 2012.
Park reported net earnings before special items of $5,129,000 for the first quarter ended June 2, 2013 compared to net earnings before special items of $4,940,000 for the first quarter of last year. During the first quarter ended June 2, 2013, the Company recorded pre-tax restructuring charges of $200,000 in connection with the closure of its Nelco Technology (Zhuhai FTZ) Ltd. facility located in the Free Trade Zone in Zhuhai, China. In the first quarter of last year, the Company recorded pre-tax restructuring charges of $11,000 in connection with the closure of its Park Advanced Composite Materials, Inc. facility located in Waterbury, Connecticut. Accordingly, net earnings for the first quarter ended June 2, 2013 were $4,929,000 compared to $4,933,000 for the first quarter ended May 27, 2012.
Park reported basic and diluted earnings per share before special items of $0.25 for the first quarter ended June 2, 2013 compared to basic and diluted earnings per share before special items of $0.24 for last year's first quarter. Basic and diluted earnings per share were $0.24 for the first quarter ended June 2, 2013 compared to basic and diluted earnings per share of $0.24 for last year's first quarter.
The Company will conduct a conference call to discuss its financial results at 11:00 a.m. EDT today. Forward-looking and other material information may be discussed in this conference call. The conference call dial-in number is (866) 277-1184 in the United States and Canada and (617) 597-5360 in other countries and the required passcode is 64391909.
For those unable to listen to the call live, a conference call replay will be available from approximately 2:00 p.m. EDT today through 11:59 p.m. EDT on Tuesday, July 2, 2013. The conference call replay can be accessed by dialing (888) 286-8010 in the United States and Canada and (617) 801-6888 in other countries and entering passcode 37358727 or on the Company's web site at www.parkelectro.com/investor/investor.html.
Any additional material financial or statistical data disclosed in the conference call will also be available at the time of the conference call on the Company's web site at www.parkelectro.com/investor/investor.html.
Park believes that an evaluation of its ongoing operations would be difficult if the disclosure of its financial results were limited to accounting principles generally accepted in the United States of America ("GAAP") financial measures, which include special items, such as restructuring charges. Accordingly, in addition to disclosing its financial results determined in accordance with GAAP, Park discloses non-GAAP operating results that exclude special items in order to assist its shareholders and other readers in assessing the Company's operating performance, since the Company's on-going, normal business operations do not include such special items. The detailed operating information presented below reconciles the non-GAAP operating results before special items to earnings determined in accordance with GAAP. Such non-GAAP financial measures are provided to supplement the results provided in accordance with GAAP.
Park Electrochemical Corp. is a global advanced materials company which develops and manufactures high-technology digital and RF/microwave printed circuit materials principally for the telecommunications and internet infrastructure and high-end computing markets and advanced composite materials, parts and assemblies for the aerospace markets. Park's core capabilities are in the areas of polymer chemistry formulation and coating technology. The Company's manufacturing facilities are located in Singapore, France, Kansas, Arizona and California. The Company also maintains R&D facilities in Arizona, Kansas and Singapore.
Additional corporate information is available on the Company's web site at www.parkelectro.com.
Performance table, including non-GAAP information (in thousands, except per share amounts -unaudited):
13 Weeks | 13 Weeks | ||||||||||
Sales | $ | 43,438 | $ | 46,046 | |||||||
Net Earnings before Special Items1 | $ | 5,129 | $ | 4,940 | |||||||
Special Items net of Tax | $ | (200 | ) | $ | (7 | ) | |||||
Net Earnings | $ | 4,929 | $ | 4,933 | |||||||
Basic and Diluted Earnings per Share: | |||||||||||
Basic Earnings before Special Items1 | $ | 0.25 | $ | 0.24 | |||||||
Special Items | $ | (0.01 | ) | $ | - | ||||||
Basic Earnings per Share | $ | 0.24 | $ | 0.24 | |||||||
Diluted Earnings before Special Items1 | $ | 0.25 | $ | 0.24 | |||||||
Special Items | $ | (0.01 | ) | $ | - | ||||||
Diluted Earnings per Share | $ | 0.24 | $ | 0.24 | |||||||
Weighted Average Shares Outstanding: | |||||||||||
Basic | 20,828 | 20,796 | |||||||||
Diluted | 20,844 | 20,849 | |||||||||
1Refer to "Detailed operating information" below for information regarding Special Items. | |||||||||||
Comparative balance sheets (in thousands):
6/2/2013 | 3/3/2013 | ||||||||
Assets | |||||||||
Current Assets | |||||||||
Cash and Marketable Securities | $ | 279,318 | $ | 275,216 | |||||
Accounts Receivable, Net | 26,652 | 25,878 | |||||||
Inventories | 14,297 | 12,918 | |||||||
Other Current Assets | 6,797 | 6,662 | |||||||
Total Current Assets | 327,064 | 320,674 | |||||||
Fixed Assets, Net | 31,756 | 32,187 | |||||||
Other Assets | 16,851 | 16,797 | |||||||
Total Assets | $ | 375,671 | $ | 369,658 | |||||
Liabilities and Shareholders' Equity | |||||||||
Current Liabilities | |||||||||
Accounts Payable | $ | 7,419 | $ | 6,485 | |||||
Accrued Liabilities | 6,385 | 6,016 | |||||||
Income Taxes Payable | 5,426 | 4,177 | |||||||
Total Current Liabilities | 19,230 | 16,678 | |||||||
Long-Term Debt | 52,000 | 52,000 | |||||||
Deferred Income Taxes | 761 | 812 | |||||||
Other Liabilities | 246 | 246 | |||||||
Total Liabilities | 72,237 | 69,736 | |||||||
Shareholders' Equity | 303,434 | 299,922 | |||||||
Total Liabilities and Shareholders' Equity | $ | 375,671 | $ | 369,658 | |||||
Equity per Share | $ | 14.57 | $ | 14.40 | |||||
Detailed operating information (in thousands - unaudited):
13 Weeks Ended | 13 Weeks Ended | ||||||||||||||||||||||||||||||
GAAP | Specials | Before | GAAP | Specials | Before | ||||||||||||||||||||||||||
Net Sales | $ | 43,438 | $ | 43,438 | $ | 46,046 | $ | 46,046 | |||||||||||||||||||||||
Cost of Sales | 30,447 | 30,447 | 33,070 | 33,070 | |||||||||||||||||||||||||||
% | 70.1 | % | 70.1 | % | 71.8 | % | 71.8 | % | |||||||||||||||||||||||
Gross Profit | 12,991 | 12,991 | 12,976 | 12,976 | |||||||||||||||||||||||||||
% | 29.9 | % | 29.9 | % | 28.2 | % | 28.2 | % | |||||||||||||||||||||||
Selling, General & Administrative | 6,556 | 6,556 | 7,056 | 7,056 | |||||||||||||||||||||||||||
% | 15.1 | % | 15.1 | % | 15.3 | % | 15.3 | % | |||||||||||||||||||||||
Restructuring Charge | 200 | (200 | ) | - | 11 | (11 | ) | - | |||||||||||||||||||||||
% | 0.5 | % | 0.0 | % | 0.0 | % | 0.0 | % | |||||||||||||||||||||||
Earnings from Operations | 6,235 | 200 | 6,435 | 5,909 | 11 | 5,920 | |||||||||||||||||||||||||
% | 14.4 | % | 14.8 | % | 12.8 | % | 12.9 | % | |||||||||||||||||||||||
Interest Expense | 167 | 167 | - | - | - | ||||||||||||||||||||||||||
% | 0.4 | % | 0.4 | % | 0.0 | % | 0.0 | % | |||||||||||||||||||||||
Other Income, net | 64 | 64 | 198 | 198 | |||||||||||||||||||||||||||
% | 0.1 | % | 0.1 | % | 0.4 | % | 0.4 | % | |||||||||||||||||||||||
Earnings before Income Taxes | 6,132 | 200 | 6,332 | 6,107 | 11 | 6,118 | |||||||||||||||||||||||||
% | 14.1 | % | 14.6 | % | 13.3 | % | 13.3 | % | |||||||||||||||||||||||
Income Tax Provision | 1,203 | - | 1,203 | 1,174 | 4 | 1,178 | |||||||||||||||||||||||||
Effective Tax Rate | 19.6 | % | 19.0 | % | 19.2 | % | 19.3 | % | |||||||||||||||||||||||
Net Earnings | 4,929 | 200 | 5,129 | 4,933 | 7 | 4,940 | |||||||||||||||||||||||||
% | 11.3 | % | 11.8 | % | 10.7 | % | 10.7 | % | |||||||||||||||||||||||
Park Electrochemical Corp.
Martina Bar Kochva, 631-465-3600
KEYWORDS: United States North America New York
INDUSTRY KEYWORDS:
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