0001069533-15-000025.txt : 20151124 0001069533-15-000025.hdr.sgml : 20151124 20151124094917 ACCESSION NUMBER: 0001069533-15-000025 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20151123 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20151124 DATE AS OF CHANGE: 20151124 FILER: COMPANY DATA: COMPANY CONFORMED NAME: RGC RESOURCES INC CENTRAL INDEX KEY: 0001069533 STANDARD INDUSTRIAL CLASSIFICATION: NATURAL GAS TRANSMISSION & DISTRIBUTION [4923] IRS NUMBER: 541909697 STATE OF INCORPORATION: VA FISCAL YEAR END: 0930 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-26591 FILM NUMBER: 151251293 BUSINESS ADDRESS: STREET 1: 519 KIMBALLAVENUE N.E. CITY: ROANOKE STATE: VA ZIP: 24016 BUSINESS PHONE: 5407774427 MAIL ADDRESS: STREET 1: 519 KIMBALL AVENUE N.E. CITY: ROANOKE STATE: VA ZIP: 24016 8-K 1 earningsreleaseq42015.htm 8-K 8-K


SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 
 
FORM 8-K
 
 
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(D) OF
THE SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of Earliest Event Reported): November 23, 2015
 
 
RGC RESOURCES, INC.
(Exact name of Registrant as specified in its charter)
 
 
 
 
 
 
 
 
Virginia
 
000-26591
 
54-1909697
(State or other jurisdiction
of incorporation)
 
(Commission
File Number)
 
(IRS Employer
Identification No.)
 
 
 
 
519 Kimball Ave., N.E. Roanoke, Virginia
 
24016
(Address of principal executive offices)
 
(Zip Code)
Registrant’s telephone number, including area code: 540-777-4427
 
(Former name or former address, if changed since last report)
 
 
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
¨
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 240.425)
¨
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
¨
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
¨
Pre-commencement communications pursuant to Rule 13c-4(c) under the Exchange Act (17 CFR 240.13e-4(c))


 





ITEM 2.02.
RESULTS OF OPERATIONS AND FINANCIAL CONDITION.
On November 23, 2015, RGC Resources, Inc. issued a press release announcing the annual and fourth quarter results for the fiscal year ended September 30, 2015 and the quarterly dividend declaration. A copy of this press release is attached hereto as Exhibit 99.1 and is hereby incorporated by reference.
 
ITEM 9.01.
FINANCIAL STATEMENT AND EXHIBITS.
99.1

  
Press Release dated November 23, 2015.





SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
 
 
 
 
 
 
 
 
 
 
 
 
RGC RESOURCES, INC.
 
 
 
 
Date: November 24, 2015
 
 
 
By:
 
/s/ Paul W. Nester
 
 
 
 
 
 
 
Paul W. Nester
 
 
 
 
Vice President, Treasurer, Secretary and CFO



 EX-99.1 2 exhibit991q42015.htm EXHIBIT 99.1 Exhibit


Exhibit 99.1
NEWS RELEASE
RGC RESOURCES, INC.
 
 
 
 
Release Date:
  
November 23, 2015
Contact:
  
John S. D'Orazio
 
  
President and CEO
Telephone:
  
540-777-3815
RGC RESOURCES, INC.
DECLARES DIVIDEND INCREASE, RELEASES
ANNUAL AND FOURTH QUARTER FINANCIAL RESULTS
ROANOKE, Va. (November 23, 2015)—RGC Resources, Inc. (NASDAQ: RGCO) announced consolidated Company earnings of $5,094,415 or $1.08 per average share outstanding for the fiscal year ended September 30, 2015. This compares to consolidated earnings of $4,708,440 or $1.00 per average share outstanding for the year ended September 30, 2014. CEO John D'Orazio attributed the increase in earnings to improved utility margins, customer growth and lower interest expense. D'Orazio stated further, "The Company also established a new single day natural gas delivery record in February. As a result of the continuing efforts to modernize our system, we did not experience any issues during extremely cold periods."
Earnings for the quarter ended September 30, 2015 were $35,755 or $0.01 per average share outstanding compared to a loss of $0.03 per average share outstanding for the quarter ended September 30, 2014. D'Orazio attributed the higher quarterly earnings primarily to slightly higher utility margins, increased overhead capitalization and lower interest expense.
At its meeting on November 23, 2015, the Board of Directors of RGC Resources, Inc. declared a quarterly dividend of $0.2025 per share on the Company's common stock. The indicated annual dividend is $0.81 per share, a $0.04 or 5.2% per share increase over the prior annual level. The Company has now increased the annual dividend 12 consecutive years. The dividend will be paid on February 1, 2016 to shareholders of record on January 15, 2016. This is the Company's 287th consecutive quarterly cash dividend. D'Orazio stated, "We are pleased to continue delivering shareholder value through steadily increasing dividends."
RGC Resources, Inc. provides energy and related products and services to customers through its operating subsidiaries Roanoke Gas Company, RGC Midstream, LLC and RGC Ventures of Virginia, Inc.
From time to time, the Company may publish forward-looking statements relating to such matters as anticipated financial performance, business prospects, technological developments, new products, research and development activities and similar matters. The Private Securities Litigation Reform Act of 1995 provides a safe harbor for forward-looking statements. In order to comply with the terms of the safe harbor, the Company notes that a variety of factors could cause the Company’s actual results and experience to differ materially from the anticipated results or other expectations expressed in the Company’s forward-looking statements. Past performance is not necessarily a predictor of future results.
Summary financial statements for the fourth quarter and twelve months are as follows:

       





RGC Resources, Inc. and Subsidiaries
Condensed Consolidated Statements of Income
(Unaudited)
 
 
 
Three Months Ended
September 30,
 
Twelve Months Ended
September 30,
 
 
2015
 
2014
 
2015
 
2014
Revenues
 
$
9,733,404

 
$
10,280,158

 
$
68,189,607

 
$
75,016,134

Cost of sales
 
4,324,712

 
5,028,737

 
37,983,174

 
45,679,045

Gross margin
 
5,408,692

 
5,251,421

 
30,206,433

 
29,337,089

Other operating expenses, net
 
4,947,380

 
5,017,865

 
20,429,037

 
19,862,108

Interest expense
 
371,340

 
450,130

 
1,512,419

 
1,827,001

Income (loss) before income taxes
 
89,972

 
(216,574
)
 
8,264,977

 
7,647,980

Income tax expense (benefit)
 
54,217

 
(72,237
)
 
3,170,562

 
2,939,540

Net income (loss)
 
$
35,755

 
$
(144,337
)
 
$
5,094,415

 
$
4,708,440

Net earnings per share of common stock:
 
 
 
 
 
 
 
 
Basic
 
$
0.01

 
$
(0.03
)
 
$
1.08

 
$
1.00

Diluted
 
$
0.01

 
$
(0.03
)
 
$
1.08

 
$
1.00

Cash dividends per common share
 
$
0.1925

 
$
0.185

 
$
0.770

 
$
0.740

Weighted average number of common shares outstanding:
 
 
 
 
 
 
 
 
Basic
 
4,737,307

 
4,719,513

 
4,728,210

 
4,715,478

Diluted
 
4,739,745

 
4,719,513

 
4,731,676

 
4,716,282


Condensed Consolidated Balance Sheets
(Unaudited)
 
 
 
September 30,
Assets
 
2015
 
2014
Current assets
 
$
18,443,358

 
$
21,010,617

Total property, plant and equipment, net
 
118,629,552

 
108,743,577

Other assets
 
11,067,820

 
9,373,447

Total Assets
 
$
148,140,730

 
$
139,127,641

Liabilities and Stockholders’ Equity
 
 
 
 
Current liabilities
 
$
23,202,984

 
$
20,352,634

Long-term debt, net of unamortized debt issuance costs
 
30,316,573

 
30,306,919

Deferred credits and other liabilities
 
41,780,182

 
36,447,241

Total Liabilities
 
95,299,739

 
87,106,794

Stockholders’ Equity
 
52,840,991

 
52,020,847

Total Liabilities and Stockholders’ Equity
 
$
148,140,730

 
$
139,127,641