-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, R76QNkdG4redZHik0dE/SUyaKZAyHfPjIrB3PrCxucQuSon6dURs7v2tDFIUXCpV q7sZIyN2XHqV1egMMKVNlw== 0000315374-03-000025.txt : 20030820 0000315374-03-000025.hdr.sgml : 20030820 20030820164322 ACCESSION NUMBER: 0000315374-03-000025 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20030820 ITEM INFORMATION: FILED AS OF DATE: 20030820 FILER: COMPANY DATA: COMPANY CONFORMED NAME: HURCO COMPANIES INC CENTRAL INDEX KEY: 0000315374 STANDARD INDUSTRIAL CLASSIFICATION: INDUSTRIAL INSTRUMENTS FOR MEASUREMENT, DISPLAY, AND CONTROL [3823] IRS NUMBER: 351150732 STATE OF INCORPORATION: IN FISCAL YEAR END: 1031 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-09143 FILM NUMBER: 03858430 BUSINESS ADDRESS: STREET 1: ONE TECHNOLOGY WAY CITY: INDIANAPOLIS STATE: IN ZIP: 46268 BUSINESS PHONE: 3172935390 MAIL ADDRESS: STREET 1: ONE TECHNOLOGY WAY CITY: INDIANAPOLIS STATE: IN ZIP: 46268 FORMER COMPANY: FORMER CONFORMED NAME: HURCO MANUFACTURING CO INC DATE OF NAME CHANGE: 19850324 8-K 1 q3_earning.txt EARNINGS RELEASE ITEM 12 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): August 20, 2003 HURCO COMPANIES, INC. (Exact name of registrant as specified in its charter) INDIANA 0-9143 35-1150732 (State or other jurisdiction (Commission File No.) (I.R.S. Employer of incorporation or organization) Identification No.) ONE TECHNOLOGY WAY INDIANAPOLIS, INDIANA 46268 (Address of principal executive offices and zip code) (317) 293-5309 (Registrants' telephone number, including area code) NOT APPLICABLE (Former name or former address, if changed since last report) ITEM 12. RESULTS OF OPERATIONS AND FINANCIAL CONDITION On August 20, 2003, Hurco Companies, Inc. (the "Registrant") reported its results of operations for the third quarter ended July 31, 2003. The Registrant's earnings release for the quarter is attached as Exhibit 99(a) and the information set forth therein is incorporated herein by reference and constitutes a part of this report. The attached Exhibit is furnished pursuant to Item 12 of Form 8-K. SIGNATURE 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. Dated: August 20, 2003 HURCO COMPANIES, INC. By: /s/ Roger J. Wolf -------------------------- Roger J. Wolf Senior Vice President and Chief Financial Officer EX-99 3 q3_exhibit99.txt Q3 EARNINGS RELEASE Exhibit 99(a) FOR IMMEDIATE RELEASE Wednesday, August 20, 2003 HURCO REPORTS THIRD QUARTER 2003 RESULTS INDIANAPOLIS, INDIANA, -- August 20, 2003 -- Hurco Companies, Inc. (Nasdaq:HURC) today announced that, for its third fiscal quarter, which ended July 31, 2003, the Company recorded a profit of $331,000, or $.06 per share, compared to a loss of $651,000, or $.12 per share, for the corresponding period a year ago. For the first nine months of fiscal 2003, the Company recorded a loss of $112,000, or $.02 per share, compared to a loss of $6,503,000, or $1.16 per share, for the corresponding 2002 period. Sales and service fees for the third fiscal quarter were $18,354,000, slightly higher than the $18,204,000 recorded in the corresponding 2002 period. Sales and service fees reported in U.S. dollars benefited from significantly stronger European currencies, when translating foreign sales for financial reporting purposes. When measured at constant exchange rates, sales and service fees decreased $1,485,000, or 8.2%, from the prior year period, due primarily to reduced shipments in Europe. For the first nine months of fiscal 2003, sales and service fees were $51,760,000, slightly better than the $51,719,000 recorded a year ago. When measured at constant exchange rates, sales and service fees for the nine months declined approximately $4,800,000, or 9.3%, from the 2002 period, due to reduced shipments in Europe. New order bookings were $18,909,000, an increase of 7.3% from the $17,629,000 recorded in the third quarter of fiscal 2002. Backlog was $7,280,000 at July 31, 2003, compared to $6,760,000 at April 30, 2003, and $5,316,000 at October 31, 2002. Gross margins increased to 27.6% from 24.1% in the comparable prior year period. Selling, general and administrative expenses were $4,332,000, a reduction of $340,000, or 7.3%, from the third quarter of fiscal 2002. Total debt was $10,334,000 at July 31, 2003, as compared to $8,516,000 at April 30, 2003, and constituted 27% of total capitalization. As of July 31, 2003, the Company had unutilized credit facilities of $4,921,000 available for direct borrowing or commercial letters of credit. Michael Doar, Chief Executive Officer stated, "We continue to be encouraged by earning a small profit in the third quarter. We see evidence of the start of an economic recovery in the U.S., but we believe it will take several more quarters before we see a significant improvement in machine tool orders. As the U.S. orders begin to improve, we believe our European orders will also improve, although not as quickly as in the U.S. While we are pleased to post two consecutive profitable quarters, we are not satisfied that year to date we are still showing a loss. We believe a major reason that we have been profitable the last two quarters is our on-going focus on reducing operating expenses. Operating expenses year to date are $1,098,000 less than for the same three quarters last year. We will continue to look for ways to reduce expenses." Hurco Companies, Inc. is an industrial technology company that designs and produces interactive computer controls, software and computerized machine tools for the worldwide metal cutting and metal forming industry. The end market for the Company's products consists primarily of independent job shops and short-run manufacturing operations within large corporations in industries such as the aerospace, defense, medical equipment, energy, transportation and computer equipment. The Company is based in Indianapolis, Indiana, and has sales, application engineering and service subsidiaries in High Wycombe, England; Munich, Germany; Paris, France; Milan, Italy; Shanghai, China and Singapore, along with manufacturing operations in Taiwan. Products are sold primarily through independent agents and distributors in the United States, Europe and Asia. The Company also has direct sales forces in the United Kingdom, Germany, France, Italy, and Asia. Web Site: www.hurco.com This news release contains forward looking statements which involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. These factors include, among others, changes in general economic and business conditions that affect demand for computerized machine systems, computer numerical control systems and software products, changes in manufacturing markets, innovations by competitors, quality and delivery performance by our contract manufacturers and governmental actions and initiatives including import and export restrictions and tariffs. Hurco Companies, Inc. CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS (In thousands, except per-share data) Three Months Ended Nine Months Ended July 31, July 31, 2003 2002 2003 2002 (unaudited) (unaudited) Sales and service fees $ 18,354 $ 18,204 $ 51,760 $ 51,719 Cost of sales and service 13,280 13,823 37,564 40,369 Cost of sales - restructuring - - - 1,083 --------- --------- --------- --------- Gross profit 5,074 4,381 14,196 10,267 Selling, general and administrative expenses 4,332 4,672 13,323 14,421 Restructuring expense (credit) and other - - - 1,751 --------- --------- --------- --------- Operating income (loss) 742 (291) 873 (5,905) License fee income, net - - - 163 Interest expense 167 159 476 469 Other income (expense), net (43) (47) 5 (10) --------- --------- --------- --------- Income (loss) before taxes 532 (497) 402 (6,221) Provision for income taxes 201 154 514 282 --------- --------- --------- --------- Net income (loss) $ 331 $ (651) $ (112) $ (6,503) ========= ========= ========= ========= Earnings (loss) per common share Basic $ 0.06 $ (0.12) $ (0.02) $ (1.16) ========= ========= ========= ========= Diluted $ 0.06 $ (0.12) $ (0.02) $ (1.16) ========= ========= ========= ========= Weighted average common shares outstanding Basic 5,583 5,583 5,583 5,583 ========= ========= ========= ========= Diluted 5,630 5,583 5,583 5,583 ========= ========= ========= =========
OTHER CONSOLIDATED FINANCIAL DATA Three Months Ended Nine Months Ended July 31, July 31, Operating Data: 2003 2002 2003 2002 (unaudited) (unaudited) Gross margin, excluding restructuring charges 27.6% 24.1% 27.4% 21.9% SG&A expense as a percentage of sales 23.6% 25.7% 25.7% 27.9% Operating income (loss) as a percentage of sales 4.0% -1.6% 1.7% -11.4% Pre-tax income (loss) as a percentage of sales 2.9% -2.7% 0.8% -12.0% Depreciation 358 485 1,073 1,475 Capital expenditures 338 612 835 1,513 Balance Sheet Data: 7/31/2003 7/31/2002 Working capital (excluding short term debt) $23,448 $22,476 Days sales outstanding 45 51 Inventory turns 1.9 2.4 Net assets per $ of revenue (trailing twelve months) Working capital, net $ 0.33 $ 0.27 All other 0.21 0.23 ------- ------- Total $ 0.54 $ 0.50 ======= =======
Hurco Companies, Inc. CONDENSED CONSOLIDATED BALANCE SHEET (In thousands, except per-share data) July 31, 2003 October 31, 2002 (unaudited) (audited) ASSETS Current assets: Cash and cash equivalents $ 3,227 $ 4,358 Cash - restricted 521 - Accounts receivable 11,545 13,425 Inventories 26,018 22,548 Other 1,851 1,204 ------- ------- Total current assets 43,162 41,535 Property and equipment: Land 761 761 Building 7,221 7,203 Machinery and equipment 10,469 10,144 Leasehold improvements 503 396 ------- ------- 18,954 18,504 Less accumulated depreciation and amortization (10,494) (9,696) ------- ------- 8,460 8,808 Software development costs, less amortization 1,787 1,604 Investments and other assets 5,071 5,205 ------- ------- $ 58,480 $ 57,152 ======= ======= LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities: Accounts payable $ 11,318 $ 9,856 Accrued expenses 8,396 10,016 Bank debt - current 4,673 - Current portion of long-term debt 981 1,313 ------- ------- Total current liabilities 25,368 21,185 Non-current liabilities: Long-term debt 4,680 7,572 Deferred credits and other obligations 446 378 ------- ------- Total liabilities 30,494 29,135 Shareholders' equity: Preferred stock: no par value per share; 1,000,000 shares authorized; no shares issued - - Common stock: no par value; $.10 stated value per share; 12,500,000 shares authorized; and 5,583,158 and 5,583,158 shares issued, respectively 558 558 Additional paid-in capital 44,717 44,717 Accumulated deficit (10,285) (10,173) Accumulated other comprehensive income (7,004) (7,085) ------- ------- Total shareholders' equity 27,986 28,017 ------- ------- $ 58,480 $ 57,152 ======= =======
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