10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended October 31, 2013

or

¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from                      to                     

Commission file number 0-5286

KEWAUNEE SCIENTIFIC CORPORATION

(Exact name of registrant as specified in its charter)

Delaware	38-0715562
(State or other jurisdiction of incorporation or organization)	(IRS Employer Identification No.)
2700 West Front Street Statesville, North Carolina	28677-2927
(Address of principal executive offices)	(Zip Code)

Registrant’s telephone number, including area code: (704) 873-7202

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes  x    No  ¨

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).    Yes  x    No  ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See definition of “large accelerated filer,” “accelerated filer,” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check one):

Large accelerated filer	¨	Accelerated filer	¨
Non-accelerated filer	¨  (Do not check if a smaller reporting company)	Smaller reporting company	x

Indicate by check mark whether the registrant is a shell company (as defined by Rule 12b-2 of the Exchange Act).    Yes  ¨    No  x

As of December 9, 2013, the registrant had outstanding 2,615,498 shares of Common Stock.

KEWAUNEE SCIENTIFIC CORPORATION

INDEX TO FORM 10-Q

FOR THE QUARTERLY PERIOD ENDED OCTOBER 31, 2013

		Page Number
PART I. FINANCIAL INFORMATION
Item 1.	Financial Statements
	Consolidated Statements of Operations (unaudited) – Three and six months ended October  31, 2013 and 2012		1
	Consolidated Statements of Comprehensive Income (unaudited) – Three and six months ended October  31, 2013 and 2012		2
	Consolidated Statement of Stockholders’ Equity – Six-months ended October 31, 2013 (unaudited)		3
	Consolidated Balance Sheets – October 31, 2013 (unaudited) and April 30, 2013		4
	Consolidated Statements of Cash Flows (unaudited) – Six months ended October 31, 2013 and 2012		5
	Notes to Consolidated Financial Statements		6
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations		9
	Review by Independent Registered Public Accounting Firm		11
	Report of Independent Registered Public Accounting Firm		12
Item 3.	Quantitative and Qualitative Disclosures About Market Risk		13
Item 4.	Controls and Procedures		13
PART II. OTHER INFORMATION
Item 6.	Exhibits		14
SIGNATURE			15

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Part 1. Financial Information

Item 1. Financial Statements

Kewaunee Scientific Corporation

Consolidated Statements of Operations

(Unaudited)

(in thousands, except per share data)

	Three months ended October 31						Six months ended October 31
	2013			2012			2013			2012
Net sales	$	26,098		$	31,185		$	58,101		$	57,868
Costs of products sold		21,205			25,958			46,632			47,398
Gross profit		4,893			5,227			11,469			10,470
Operating expenses		3,759			4,013			7,903			8,151
Operating earnings		1,134			1,214			3,566			2,319
Other income		90			108			170			176
Interest expense		(72	)		(101	)		(160	)		(215	)
Earnings before income taxes		1,152			1,221			3,576			2,280
Income tax expense		406			414			1,213			785
Net earnings		746			807			2,363			1,495
Less: net earnings attributable to the noncontrolling interest		21			158			51			212
Net earnings attributable to Kewaunee Scientific Corporation	$	725		$	649		$	2,312		$	1,283
Net earnings per share attributable to Kewaunee Scientific Corporation stockholders
Basic	$	0.28		$	0.25		$	0.89		$	0.50
Diluted	$	0.28		$	0.25		$	0.89		$	0.50
Weighted average number of common shares outstanding
Basic		2,606			2,587			2,601			2,584
Diluted		2,633			2,601			2,618			2,592

See accompanying notes to consolidated financial statements.

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Kewaunee Scientific Corporation

Consolidated Statements of Comprehensive Income

(Unaudited)

(in thousands)

	Three months ended October 31					Six months ended October 31
	2013			2012		2013			2012
Net earnings	$	746		$	807	$	2,363		$	1,495
Other comprehensive income (loss), net of tax:
Foreign currency translation adjustments		91			111		(433	)		(25	)
Change in fair value of cash flow hedge		(23	)		13		42			1
Other comprehensive income (loss)		68			124		(391	)		(24	)
Comprehensive income, net of tax		814			931		1,972			1,471
Less: comprehensive income attributable to the noncontrolling interest		21			158		51			212
Comprehensive income attributable to Kewaunee Scientific Corporation	$	793		$	773	$	1,921		$	1,259

See accompanying notes to consolidated financial statements.

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Kewaunee Scientific Corporation

Consolidated Statement of Stockholders’ Equity

(Unaudited)

(in thousands)

$ in thousands, except per share amounts	Common Stock		Additional Paid-in Capital			Treasury Stock			Retained Earnings			Accumulated Other Comprehensive Income (Loss)			Total Stockholders’ Equity
Balance at April 30, 2013	$	6,550	$	1,567		$	(305	)	$	31,191		$	(7,327	)	$	31,676
Purchase of noncontrolling interest (Note B)		—		—			—			(1,874	)		—			(1,874	)
Net earnings attributable to Kewaunee Scientific Corporation		—		—			—			2,312			—			2,312
Other comprehensive income (loss)		—		—			—			—			(391	)		(391	)
Cash dividends declared, $0.21 per share		—		—			—			(547	)		—			(547	)
Stock options exercised, 66,200 shares		—		(10	)		(772	)		—			—			(782	)
Stock options granted, 46,600 shares		—		125			—			—			—			125
Purchase of treasury stock, 47,654 shares		—		—			841			—			—			841
Balance at October 31, 2013	$	6,550	$	1,682		$	(236	)	$	31,082		$	(7,718	)	$	31,360

See accompanying notes to consolidated financial statements.

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Kewaunee Scientific Corporation

Consolidated Balance Sheets

(in thousands)

	October 31, 2013			April 30, 2013
	(Unaudited)
Assets
Current Assets:
Cash and cash equivalents	$	5,284		$	5,811
Restricted cash		603			691
Receivables, less allowance		20,450			25,884
Inventories		13,174			13,203
Deferred income taxes		588			654
Prepaid expenses and other current assets		1,275			987
Total Current Assets		41,374			47,230
Property, plant and equipment, at cost		46,259			45,109
Accumulated depreciation		(31,221	)		(30,011	)
Net Property, Plant and Equipment		15,038			15,098
Deferred income taxes		2,349			2,241
Other		4,482			4,173
Total Other Assets		6,831			6,414
Total Assets	$	63,243		$	68,742
Liabilities and Equity
Current Liabilities:
Short-term borrowings and interest rate swap	$	2,719		$	6,997
Current portion of long-term debt		421			200
Accounts payable		8,247			10,406
Employee compensation and amounts withheld		1,963			2,076
Deferred revenue		68			488
Other accrued expenses		2,909			1,948
Total Current Liabilities		16,327			22,115
Long-term debt		4,403			3,267
Accrued pension and deferred compensation costs		10,060			9,667
Other non-current liabilities		888			—
Total Liabilities		31,678			35,049
Commitments and Contingencies
Equity:
Common Stock		6,550			6,550
Additional paid-in-capital		1,682			1,567
Retained earnings		31,082			31,191
Accumulated other comprehensive loss		(7,718	)		(7,327	)
Common stock in treasury, at cost		(236	)		(305	)
Total Kewaunee Scientific Corporation Stockholders’ Equity		31,360			31,676
Noncontrolling interest		205			2,017
Total Equity		31,565			33,693
Total Liabilities and Equity	$	63,243		$	68,742

See accompanying notes to consolidated financial statements.

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Kewaunee Scientific Corporation

Consolidated Statements of Cash Flows

(Unaudited)

(in thousands)

	Six months ended October 31
	2013			2012
Cash flows from operating activities:
Net earnings	$	2,363		$	1,495
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation		1,248			1,317
Bad debt provision		71			23
Non-cash stock option expense		125			121
Provision for deferred income tax expense		(42	)		(96	)
Decrease (increase) in receivables		5,363			(1,337	)
Decrease (increase) in inventories		29			(664	)
(Decrease) increase in accounts payable and other accrued expenses		(2,198	)		3,348
Decrease in deferred revenue		(420	)		(607	)
Other, net		(343	)		(1,346	)
Net cash provided by operating activities		6,196			2,254
Cash flows from investing activities:
Capital expenditures		(1,188	)		(729	)
Decrease in restricted cash		88			65
Net cash used in investing activities		(1,100	)		(664	)
Cash flows from financing activities:
Dividends paid		(547	)		(517	)
Dividends paid to noncontrolling interest in subsidiaries		(38	)		(139	)
Decrease in short-term borrowings and interest rate swap		(4,278	)		(1,122	)
Proceeds from long-term debt		5,000			—
Payments on long-term debt		(3,643	)		(100	)
Payments on capital leases		—			(36	)
Payment toward purchase of noncontrolling interest in subsidiary		(1,780	)		—
Net proceeds from exercise of stock options (including tax benefit)		59			67
Net cash used in financing activities		(5,227	)		(1,847	)
Effect of exchange rate changes on cash		(396	)		(53	)
Decrease in cash and cash equivalents		(527	)		(310	)
Cash and cash equivalents, beginning of period		5,811			6,188
Cash and cash equivalents, end of period	$	5,284		$	5,878
Supplemental Disclosure of Cash Flow Information
Purchase of noncontrolling interest in subsidiary – Other accrued expenses and other non-current liabilities	$	1,775		$	—

See accompanying notes to consolidated financial statements.

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Kewaunee Scientific Corporation

Notes to Consolidated Financial Statements

(unaudited)

A. Financial Information

The unaudited interim consolidated financial statements of Kewaunee Scientific Corporation (the “Company”) have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “Commission”). Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted, although the Company believes that the disclosures are adequate to make the information presented not misleading.

These interim consolidated financial statements include all adjustments (consisting of normal recurring adjustments) necessary for a fair presentation of these financial statements and should be read in conjunction with the consolidated financial statements and notes included in the Company’s 2013 Annual Report to Stockholders. The results of operations for the interim periods are not necessarily indicative of the results of operations to be expected for the full year. The condensed consolidated balance sheet as of April 30, 2013 included in this interim period filing has been derived from the audited financial statements at that date, but does not include all of the information and related notes required by generally accepted accounting principles (GAAP) for complete financial statements.

The preparation of the interim consolidated financial statements requires management to make certain estimates and assumptions that affect reported amounts and disclosures. Actual results could differ from those estimates.

B. Purchase of Noncontrolling Interest

On June 24, 2013, the Company entered into an Agreement (the “Agreement”) whereby it purchased the 49% minority ownership of its subsidiary, Kewaunee Labway Asia Pte. Ltd. (the “Subsidiary”) for a total purchase price of $3,555,000. The purchase was recorded in the equity section of the consolidated balance sheet as a $1,874,000 reduction in retained earnings and a $1,681,000 reduction in noncontrolling interest. Pursuant to the terms of the Agreement, the Company paid cash of $1,780,000 to the minority stockholder and recorded the balance as other current liabilities of $887,500 and other noncurrent liabilities of $887,500. The Subsidiary and its subsidiary in India, Kewanee Labway India Pvt. Ltd., serve as the Company’s principal sales and distribution organization for sales to international customers.

C. Earnings Per Share

Basic earnings per share is based on the weighted average number of common shares outstanding during the three and six month periods. Diluted earnings per share reflects the assumed exercise and conversion of outstanding options under the Company’s stock option plans, except when options have an anti-dilutive effect. Options to purchase 48,050 shares were not included in the computation of diluted earnings per share for the three and six month periods ended October 31, 2013, because the option exercise prices were greater than the average market price of the common shares at that date, and accordingly, such options would have an antidilutive effect. Options to purchase 158,400 shares were not included in the computation of diluted earnings per share for the three and six month periods ended October 31, 2012, because the effect would be anti-dilutive.

D. Inventories

Inventories consisted of the following (in thousands):

	October 31, 2013		April 30, 2013
Finished products	$	3,318	$	4,052
Work in process		1,764		1,678
Raw materials		8,092		7,473
	$	13,174	$	13,203

For interim reporting, LIFO inventories are computed based on year-to-date quantities and interim changes in price levels. Changes in quantities and price levels are reflected in the interim consolidated financial statements in the period in which they occur.

E. Long-Term Debt and Other Credit Arrangements

On May 6, 2013, the Company entered into a new credit and security agreement (the “Loan Agreement”) with a new lender consisting of (1) a $20 million revolving credit facility which matures on May 1, 2016 (“Line of Credit”), (2) a term loan in the amount of $3,450,000 which matures on May 1, 2020 (“Term Loan A”) and (3) a term loan in the amount of $1,550,000 which matures on May 1, 2020 (“Term Loan B” and together with Term Loan A, the “Term Loans”). The Loan Agreement provided funds to refinance

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all existing indebtedness to the Company’s previous lender and for working capital and other general corporate purposes. In addition, it provides for the issuance of up to $4.7 million of letters of credit for our account. Indebtedness under the Line of Credit bears interest at a variable rate per annum equal to Daily One Month LIBOR plus 1.5% per annum. Payments are due under Term Loan A in consecutive equal monthly principal payments in the amount of $17,000 until August 1, 2017, and then in consecutive equal monthly principal payments in the amount of $79,000 each, commencing on September 1, 2017 and continuing on the first business day of each month thereafter until May 1, 2020, and at that time, all principal, accrued unpaid interest and other charges outstanding under Term Loan A shall be due and payable in full. The interest rate on Term Loan A, after consideration of interest rate swap agreements, is a fixed rate per annum equal to 4.875%, and effective August 1, 2017, such rate converts to a fixed rate per annum of 4.37%. Payments are due under Term Loan B in consecutive equal monthly principal payments in the amount of $18,000 until May 1, 2020, and at that time, all principal, accrued unpaid interest and other charges outstanding under Term Loan B shall be due and payable in full. The interest rate on Term Loan B, after consideration of the interest rate swap agreement, is a variable rate per annum equal to Daily One Month LIBOR plus 1.575% per annum, and effective November 3, 2014, such rate converts to a fixed rate per annum of 3.07%.

The credit facility includes financial covenants with respect to certain ratios, including (a) debt-to-net worth, (b) fixed charge coverage, and (c) asset coverage. At October 31, 2013, the Company was in compliance with all of the financial covenants. At October 31, 2013, there were advances of $2,475,000 outstanding under the revolving credit line.

F. Segment Information

The following table provides financial information by business segments for the three and six months ended October 31, 2013 and 2012 (in thousands):

	Domestic Operations		International Operations		Corporate			Total
Three months ended October 31, 2013
Revenues from external customers	$	22,061	$	4,037	$	—		$	26,098
Intersegment revenues		532		762		(1,294	)		—
Earnings (loss) before income taxes		1,382		584		(814	)		1,152
Three months ended October 31, 2012
Revenues from external customers	$	25,683	$	5,502	$	—		$	31,185
Intersegment revenues		688		918		(1,606	)		—
Earnings (loss) before income taxes		1,438		784		(1,001	)		1,221

	Domestic Operations		International Operations		Corporate			Total
Six months ended October 31, 2013
Revenues from external customers	$	49,134	$	8,967	$	—		$	58,101
Intersegment revenues		1,936		1,248		(3,184	)		—
Earnings (loss) before income taxes		4,564		1,141		(2,129	)		3,576
Six months ended October 31, 2012
Revenues from external customers	$	48,312	$	9,556	$	—		$	57,868
Intersegment revenues		1,418		1,422		(2,840	)		—
Earnings (loss) before income taxes		3,322		1,030		(2,072	)		2,280

G. Defined Benefit Pension Plans

The Company has non-contributory defined benefit pension plans covering substantially all salaried and hourly employees. These plans were amended as of April 30, 2005, no further benefits have been, or will be, earned under the plans, subsequent to the amendment date, and no additional participants will be added to the plans. Contributions of $300,000 were paid to the plans during the six months ended October 31, 2013, and the Company does not expect any contributions to be paid to the plans during the remainder of the fiscal year. Contributions of $1,000,000 were made during the six months ended October 31, 2012.

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Pension expense consisted of the following (in thousands):

	Three months ended October 31, 2013			Three months ended October 31, 2012
Service cost	$	-0-		$	-0-
Interest cost		217			226
Expected return on plan assets		(324	)		(305	)
Recognition of net loss		288			276
Net periodic pension expense	$	181		$	197

	Six months ended   October 31, 2013			Six months ended   October 31, 2012
Service cost	$	-0-		$	-0-
Interest cost		429			453
Expected return on plan assets		(641	)		(607	)
Recognition of net loss		571			551
Net periodic pension expense	$	359		$	397

H. Reclassifications

Certain 2012 amounts have been reclassified to conform with the 2013 presentation in the consolidated statements of cash flows. Such reclassifications had no impact on net earnings.

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Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

The Company’s 2013 Annual Report to Stockholders contains management’s discussion and analysis of financial condition and results of operations as of and for the year ended April 30, 2013. The following discussion and analysis describes material changes in the Company’s financial condition since April 30, 2013. The analysis of results of operations compares the three and six months ended October 31, 2013 with the comparable periods of the prior year.

Results of Operations

Sales for the three months ended October 31, 2013 were $26,098,000, a decrease of 16% from sales of $31,185,000 in the comparable period of the prior year. Sales from Domestic Operations were $22,061,000, down from $25,683,000 in the comparable period of the prior year. A substantial portion of the decline in domestic sales was anticipated as part of the previously reported strategy underway by the Company to sell more laboratory projects through its dealer network, with the Company providing the manufactured products and the dealers providing the project management, installation, and other services. Sales from International Operations were $4,037,000, down from $5,502,000 in the comparable period of the prior year. International Operations sales in the comparable quarter of the prior year were increased by the shipments of several large international projects during that quarter.

Sales for the six months ended October 31, 2013 were $58,101,000, up slightly from sales of $57,868,000 in the same period last year. Domestic Operations sales were $49,134,000, up from sales of $48,312,000 in the same period last year. Domestic Operations sales benefited from strong order activity in the first quarter from the Company’s dealer network. International Operation sales were $8,967,000, down from sales of $9,556,000 in the same period last year. The decrease in International Operations sales was primarily due to shipments of several large international projects during the comparable period of the prior year.

The order backlog was $69.5 million at October 31, 2013, as compared to $71.1 million at July 31, 2013 and $90.8 million at October 31, 2012. Fewer laboratory construction projects of all sizes, public and private, were available in the domestic laboratory market during the quarter, as customers appeared hesitant to move forward on projects because of ongoing economic and political uncertainty. A decline in the domestic orders backlog was substantially offset by an increase in the international orders backlog, as the Company continued to see good project opportunities in its international markets.

The gross profit margin for the three months ended October 31, 2013 was 18.7% of sales, as compared to 16.8% of sales in the comparable quarter of the prior year. The gross profit margin for the six months ended October 31, 2013 was 19.7% of sales, as compared to 18.1% of sales in the comparable period of the prior year. The increase in the gross profit margin percentages for the current year periods was primarily due to a more favorable product mix and reduced manufacturing and overhead costs.

Operating expenses for the three months ended October 31, 2013 were $3,759,000, or 14.4% of sales, as compared to $4,013,000, or 12.9% of sales, in the comparable period of the prior year. Operating expenses for the six months ended October 31, 2013 were $7,903,000, or 13.6% of sales, as compared to $8,151,000, or 14.1% of sales in the comparable period of the prior year. Operating expenses in the three and six month periods ended October 31, 2013 were favorably impacted by decreases of $275,000 and $188,000 in salaries, compensation and benefits, respectively.

Interest expense was $72,000 and $160,000 for the three and six months ended October 31, 2013, respectively, as compared to $101,000 and $215,000 for the comparable periods of the prior year. The decreases for the current year periods resulted from lower borrowing levels.

Income tax expense of $406,000 was recorded for the three months ended October 31, 2013, as compared to income tax expense of $414,000 recorded for the comparable period of the prior year. An income tax expense of $1,213,000 was recorded for the six months ended October 31, 2013, as compared to an income tax expense of $785,000 recorded for the comparable period of the prior year. The effective tax rates were 35.2% and 33.9% for the three months ended October 31, 2013 and 2012, respectively. The effective tax rates were 33.9% and 34.4% for the six months ended October 31, 2013 and 2012, respectively. The differences between the effective tax rates in each of these periods resulted primarily from varying ratios of pretax earnings attributable to subsidiaries located in geographic locations with lower income tax rates.

Noncontrolling interests related to the Company’s subsidiaries that are not 100% owned by the Company reduced net earnings by $21,000 for the three months ended October 31, 2013, as compared to $158,000 for the comparable period of the prior year. Net earnings were reduced by $51,000 and $212,000 for the six months ended October 31, 2013 and 2012, respectively. As discussed in Note B, on June 24, 2013, the Company purchased the 49% minority interest of one of its subsidiaries. The purchase of the minority ownership had a favorable impact on net earnings, reducing the noncontrolling interest by $91,000 and $231,000 for the three and six months ended October 31, 2013, respectively.

Net earnings of $725,000, or $0.28 per diluted share, were reported for the three months ended October 31, 2013, compared to a net earnings of $649,000, or $0.25 per diluted share, in the prior year period. Net earnings of $2,312,000, or $0.89 per diluted share, were reported for the six months ended October 31, 2013, compared to net earnings of $1,283,000, or $0.50 per diluted share, for the same period last year.

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Liquidity and Capital Resources

Historically, the Company’s principal sources of liquidity have been funds generated from operations, supplemented as needed by short-term borrowings under the Company’s revolving credit facility. Additionally, certain machinery and equipment are financed by non-cancellable operating leases or capital leases. The Company believes that these sources will be sufficient to support ongoing business requirements in the current year, including capital expenditures.

The Company had working capital of $25,047,000 at October 31, 2013, compared to $25,115,000 at April 30, 2013. The ratio of current assets to current liabilities was 2.5-to-1.0 at October 31, 2013, compared to 2.1-to-1.0 at April 30, 2013. At October 31, 2013, advances of $2,475,000 were outstanding under the Company’s bank revolving credit facility, as compared to advances of $6,653,000 outstanding as of April 30, 2013. Total bank borrowings were $7,543,000 at October 31, 2013, as compared to $10,464,000 at April 30, 2013.

The Company’s operations provided cash of $6,196,000 during the six months ended October 31, 2013, with cash primarily provided from earnings and a decrease in accounts receivable of $5,363,000, partially offset by a decrease in accounts payable and accrued expenses of $2,198,000. The Company’s operations provided cash of $2,254,000 during the six months ended October 31, 2012. Cash was primarily provided from earnings and an increase in accounts payable and other accrued expenses of $3,348,000, which was partially offset by an increase in accounts receivable of $1,337,000.

During the six months ended October 31, 2013, net cash of $1,100,000 was used in investing activities, primarily for capital expenditures. This compares to the use of $664,000 for investing activities in the comparable period of the prior year for capital expenditures of $729,000, offset by a decrease in restricted cash of $65,000.

The Company’s financing activities used cash of $5,227,000 during the six months ended October 31, 2013 for payment of $1,780,000 toward the purchase of the noncontrolling interest in a subsidiary, repayment of short-term borrowings of $4,278,000, cash dividends of $547,000 paid to stockholders, and cash dividends of $38,000 paid to minority interest holders. This was partially offset by a net increase in long-term debt of $1,357,000 in conjunction with the replacement of the Company’s long-term loans with a new lender as discussed in Note E. The Company’s financing activities used cash of $1,847,000 during the six months ended October 31, 2012, primarily for repayment of short-term borrowings of $1,122,000, cash dividends of $517,000 paid to stockholders, and cash dividends of $139,000 paid to minority interest holders.

Outlook

The Company’s ability to predict future demand for its products continues to be limited given its role as subcontractor or supplier to dealers for subcontractors. Demand for the Company’s products is also dependent upon the number of laboratory construction projects planned and/or current progress in projects already under construction. The Company’s earnings are also impacted by increased costs of raw materials, including stainless steel, wood, and epoxy resin, and whether the Company is able to increase product prices to customers in amounts that correspond to such increases without materially and adversely affecting sales. Additionally, since prices are normally quoted on a firm basis in the industry, the Company bears the burden of possible increases in labor and material costs between the quotation of an order and delivery of a product. The Company is also unable to predict the timing and strength of the global economic recovery and its short-term and long-term impact on the Company’s operations and the markets in which it competes. Looking forward to the second half of fiscal year 2014, the Company expects the domestic laboratory furniture marketplace will continue to be challenging due to the uncertainty in the economy and the resulting softening in demand for the Company’s products.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995

This report contains statements that the Company believes to be “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact included in this report, including statements regarding the Company’s future financial condition, results of operations, business operations and business prospects, are forward-looking statements. Words such as “anticipate,” “estimate,” “expect,” “project,” “intend,” “plan,” “predict,” “believe” and similar words, expressions and variations of these words and expressions are intended to identify forward-looking statements. All forward-looking statements are subject to important factors, risks, uncertainties and assumptions, including industry and economic conditions that could cause actual results to differ materially from those described in the forward-looking statements. Such factors, risks, uncertainties and assumptions include, but are not limited to, competitive and general economic conditions, both domestically and internationally; changes in customer demands; dependence on customers’ required delivery schedules; risks related to fluctuations in the Company’s operating results from quarter to quarter; risks related to international operations, including foreign currency fluctuations; changes in the legal and regulatory environment; changes in raw materials and commodity costs; and acts of terrorism, war, governmental action, natural disasters and other Force Majeure events. Many important factors that could cause such a difference are described under the caption, “Risk Factors,” in Item 1A in the Company’s 2013 Annual Report on Form 10-K. These forward-looking statements speak only as of the date of this document. The Company assumes no obligation, and expressly disclaims any obligation, to update any forward-looking statements, whether as a result of new information, future events or otherwise.

10

REVIEW BY INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

A review of the interim consolidated financial information included in this Quarterly Report on Form 10-Q for each of the three and six month periods ended October 31, 2013 and October 31, 2012 has been performed by Cherry Bekaert LLP, the Company’s independent registered public accounting firm. Their report on the interim consolidated financial information follows.

11

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

We have reviewed the accompanying consolidated balance sheet of Kewaunee Scientific Corporation and its subsidiaries (the “Company”) as of October 31, 2013, the related consolidated statements of operations, and comprehensive income for the three-month and six-month periods ended October 31, 2013 and 2012, the related consolidated statement of stockholders’ equity for the six-month period ended October 31, 2013, and the related consolidated statements of cash flows for the six-month periods ended October 31, 2013 and 2012. These interim consolidated financial statements are the responsibility of the Company’s management.

We conducted our reviews in accordance with the standards of the Public Company Accounting Oversight Board (United States). A review of interim financial information consists principally of applying analytical procedures and making inquiries of persons responsible for financial and accounting matters. It is substantially less in scope than an audit conducted in accordance with the standards of the Public Company Accounting Oversight Board (United States), the objective of which is the expression of an opinion regarding the financial statements taken as a whole. Accordingly, we do not express such an opinion.

Based on our reviews, we are not aware of any material modifications that should be made to the interim consolidated financial statements referred to above for them to be in conformity with accounting principles generally accepted in the United States of America.

We previously audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States), the consolidated balance sheet as of April 30, 2013, and the related consolidated statements of operations, comprehensive income and stockholders’ equity, and cash flows for the year then ended (not presented herein) and in our report dated July 18, 2013, we expressed an unqualified opinion on those consolidated financial statements. In our opinion, the information set forth in the accompanying consolidated balance sheet as of April 30, 2013 is fairly stated in all material respects in relation to the consolidated financial statement from which it has been derived.

/s/ Cherry Bekaert LLP

Charlotte, North Carolina

December 12, 2013

12

Item 3. Quantitative and Qualitative Disclosures About Market Risk

There are no material changes to the disclosures made on this matter in the Company’s Annual Report on Form 10-K for the fiscal year ended April 30, 2013.

Item 4. Controls and Procedures

(a) Evaluation of disclosure controls and procedures

An evaluation was performed under the supervision and the participation of the Company’s management, including the Chief Executive Officer (“CEO”) and Chief Financial Officer (“CFO”), of the effectiveness of the design and operation of the Company’s disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as amended) as of October 31, 2013. Based on that evaluation, the Company’s management, including the CEO and CFO, concluded that, as of October 31, 2013, the Company’s disclosure controls and procedures were adequate and effective and designed to ensure that all material information required to be filed in this quarterly report is made known to them by others within the Company and its subsidiaries.

(b) Changes in internal controls

There was no significant change in the Company’s internal control over financial reporting that occurred during the most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the Company’s internal control over financial reporting.

13

PART II. OTHER INFORMATION

Item 6. Exhibits

31.1	Certification of Chief Executive Officer pursuant to Rule 13a-14(a) or Rule 15d-14(a), as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2	Certification of Chief Financial Officer pursuant to Rule 13a-14(a) or Rule 15d-14(a), as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1	Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
32.2	Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
101.INS	XBRL Instance Document
101.SCH	XBRL Taxonomy Extension Schema Document
101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document
101.DEF	XBRL Taxonomy Extension Definition Linkbase Document
101.LAB	XBRL Taxonomy Extension Label Linkbase Document
101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document

14

SIGNATURE

Pursuant to the requirements of the Securities and Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	KEWAUNEE SCIENTIFIC CORPORATION (Registrant)
Date: December 13, 2013	By	/s/ D. Michael Parker
		D. Michael Parker (As duly authorized officer and Senior Vice President, Finance and Chief Financial Officer)

15

EX-31.1

Exhibit 31.1

CERTIFICATIONS

I, David M. Rausch, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Kewaunee Scientific Corporation;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: December 13, 2013

/s/ David M. Rausch

David M. Rausch

Chief Executive Officer

EX-31.2

Exhibit 31.2

CERTIFICATIONS

I, D. Michael Parker, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Kewaunee Scientific Corporation;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: December 13, 2013

/s/ D. Michael Parker

D. Michael Parker

Senior Vice President, Finance and Chief Financial Officer

EX-32.1

Exhibit 32.1

CERTIFICATION OF PRINCIPAL EXECUTIVE OFFICER

PURSUANT TO 18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report on Form 10-Q of Kewaunee Scientific Corporation (the “Company”) for the period ended October 31, 2013, I, David M. Rausch, President and Chief Executive Officer of the Company, hereby certify pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that to my knowledge:

(1) such Form 10-Q of the Company for the period ended October 31, 2013, fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2) the information contained in such Form 10-Q of the Company for the period ended October 31, 2013, fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: December 13, 2013

/s/ David M. Rausch

David M. Rausch

Chief Executive Officer

EX-32.2

Exhibit 32.2

CERTIFICATION OF PRINCIPAL FINANCIAL OFFICER

PURSUANT TO 18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report on Form 10-Q of Kewaunee Scientific Corporation (the “Company”) for the period ended October 31, 2013, I, D. Michael Parker, Senior Vice President, Finance and Chief Financial Officer of the Company, hereby certify pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that to my knowledge:

(1) such Form 10-Q of the Company for the period ended October 31, 2013, fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2) the information contained in such Form 10-Q of the Company for the period ended October 31, 2013, fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: December 13, 2013

/s/ D. Michael Parker

D. Michael Parker

Senior Vice President, Finance and Chief Financial Officer

XML

Segment Information (Tables)

6 Months Ended

Oct. 31, 2013

Segment Reporting [Abstract]

Segment Information

The following table provides financial information by business segments for the three and six months ended October 31, 2013 and 2012 (in thousands):

	Domestic Operations		International Operations		Corporate			Total
Three months ended October 31, 2013
Revenues from external customers	$	22,061	$	4,037	$	—		$	26,098
Intersegment revenues		532		762		(1,294	)		—
Earnings (loss) before income taxes		1,382		584		(814	)		1,152
Three months ended October 31, 2012
Revenues from external customers	$	25,683	$	5,502	$	—		$	31,185
Intersegment revenues		688		918		(1,606	)		—
Earnings (loss) before income taxes		1,438		784		(1,001	)		1,221

	Domestic Operations		International Operations		Corporate			Total
Six months ended October 31, 2013
Revenues from external customers	$	49,134	$	8,967	$	—		$	58,101
Intersegment revenues		1,936		1,248		(3,184	)		—
Earnings (loss) before income taxes		4,564		1,141		(2,129	)		3,576
Six months ended October 31, 2012
Revenues from external customers	$	48,312	$	9,556	$	—		$	57,868
Intersegment revenues		1,418		1,422		(2,840	)		—
Earnings (loss) before income taxes		3,322		1,030		(2,072	)		2,280

XML

Consolidated Statement of Stockholders' Equity (USD $) In Thousands	Total	Common Stock [Member]	Additional Paid-in Capital [Member]	Treasury Stock [Member]	Retained Earnings [Member]	Accumulated Other Comprehensive Income (Loss) [Member]
Beginning Balance at Apr. 30, 2013	$ 31,676	$ 6,550	$ 1,567	$ (305)	$ 31,191	$ (7,327)
Purchase of noncontrolling interest (Note B)	(1,874)				(1,874)
Net earnings attributable to Kewaunee Scientific Corporation	2,312				2,312
Other comprehensive income (loss)	(391)					(391)
Cash dividends declared, $0.21 per share	(547)				(547)
Stock options exercised, 66,200 shares	(782)		(10)	(772)
Stock options granted, 46,600 shares	125		125
Purchase of treasury stock, 47,654 shares	841			841
Ending Balance at Oct. 31, 2013	$ 31,360	$ 6,550	$ 1,682	$ (236)	$ 31,082	$ (7,718)

XML

Earnings Per Share

6 Months Ended

Oct. 31, 2013

Earnings Per Share [Abstract]

Earnings Per Share

C. Earnings Per Share

Basic earnings per share is based on the weighted average number of common shares outstanding during the three and six month periods. Diluted earnings per share reflects the assumed exercise and conversion of outstanding options under the Company’s stock option plans, except when options have an anti-dilutive effect. Options to purchase 48,050 shares were not included in the computation of diluted earnings per share for the three and six month periods ended October 31, 2013, because the option exercise prices were greater than the average market price of the common shares at that date, and accordingly, such options would have an antidilutive effect. Options to purchase 158,400 shares were not included in the computation of diluted earnings per share for the three and six month periods ended October 31, 2012, because the effect would be anti-dilutive.

XML

Defined Benefit Pension Plans - Additional Information (Detail) (USD $)	6 Months Ended
	Oct. 31, 2013	Oct. 31, 2012
Compensation And Retirement Disclosure [Abstract]
Company expected contributions	$ 0
Contributions made by company	$ 300,000	$ 1,000,000

XML

Defined Benefit Pension Plans (Tables)

6 Months Ended

Oct. 31, 2013

Compensation And Retirement Disclosure [Abstract]

Pension Expenses

Pension expense consisted of the following (in thousands):

	Three months ended October 31, 2013			Three months ended October 31, 2012
Service cost	$	-0-		$	-0-
Interest cost		217			226
Expected return on plan assets		(324	)		(305	)
Recognition of net loss		288			276
Net periodic pension expense	$	181		$	197

	Six months ended October 31, 2013			Six months ended October 31, 2012
Service cost	$	-0-		$	-0-
Interest cost		429			453
Expected return on plan assets		(641	)		(607	)
Recognition of net loss		571			551
Net periodic pension expense	$	359		$	397

XML

Defined Benefit Pension Plans - Pension Expenses (Detail) (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended
	Oct. 31, 2013	Oct. 31, 2012	Oct. 31, 2013	Oct. 31, 2012
Compensation And Retirement Disclosure [Abstract]
Service cost	$ 0	$ 0	$ 0	$ 0
Interest cost	217	226	429	453
Expected return on plan assets	(324)	(305)	(641)	(607)
Recognition of net loss	288	276	571	551
Net periodic pension expense	$ 181	$ 197	$ 359	$ 397

XML

Consolidated Balance Sheets (USD $) In Thousands, unless otherwise specified	Oct. 31, 2013	Apr. 30, 2013
Current Assets:
Cash and cash equivalents	$ 5,284	$ 5,811
Restricted cash	603	691
Receivables, less allowance	20,450	25,884
Inventories	13,174	13,203
Deferred income taxes	588	654
Prepaid expenses and other current assets	1,275	987
Total Current Assets	41,374	47,230
Property, plant and equipment, at cost	46,259	45,109
Accumulated depreciation	(31,221)	(30,011)
Net Property, Plant and Equipment	15,038	15,098
Deferred income taxes	2,349	2,241
Other	4,482	4,173
Total Other Assets	6,831	6,414
Total Assets	63,243	68,742
Current Liabilities:
Short-term borrowings and interest rate swap	2,719	6,997
Current portion of long-term debt	421	200
Accounts payable	8,247	10,406
Employee compensation and amounts withheld	1,963	2,076
Deferred revenue	68	488
Other accrued expenses	2,909	1,948
Total Current Liabilities	16,327	22,115
Long-term debt	4,403	3,267
Accrued pension and deferred compensation costs	10,060	9,667
Other non-current liabilities	888
Total Liabilities	31,678	35,049
Commitments and Contingencies
Equity:
Common Stock	6,550	6,550
Additional paid-in-capital	1,682	1,567
Retained earnings	31,082	31,191
Accumulated other comprehensive loss	(7,718)	(7,327)
Common stock in treasury, at cost	(236)	(305)
Total Kewaunee Scientific Corporation Stockholders' Equity	31,360	31,676
Noncontrolling interest	205	2,017
Total Equity	31,565	33,693
Total Liabilities and Equity	$ 63,243	$ 68,742

XML

Financial Information

6 Months Ended

Oct. 31, 2013

Accounting Policies [Abstract]

Financial Information

A. Financial Information

The unaudited interim consolidated financial statements of Kewaunee Scientific Corporation (the “Company”) have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “Commission”). Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted, although the Company believes that the disclosures are adequate to make the information presented not misleading.

These interim consolidated financial statements include all adjustments (consisting of normal recurring adjustments) necessary for a fair presentation of these financial statements and should be read in conjunction with the consolidated financial statements and notes included in the Company’s 2013 Annual Report to Stockholders. The results of operations for the interim periods are not necessarily indicative of the results of operations to be expected for the full year. The condensed consolidated balance sheet as of April 30, 2013 included in this interim period filing has been derived from the audited financial statements at that date, but does not include all of the information and related notes required by generally accepted accounting principles (GAAP) for complete financial statements.

The preparation of the interim consolidated financial statements requires management to make certain estimates and assumptions that affect reported amounts and disclosures. Actual results could differ from those estimates.

XML

Inventories

6 Months Ended

Oct. 31, 2013

Inventory Disclosure [Abstract]

Inventories

D. Inventories

Inventories consisted of the following (in thousands):

	October 31, 2013		April 30, 2013
Finished products	$	3,318	$	4,052
Work in process		1,764		1,678
Raw materials		8,092		7,473
	$	13,174	$	13,203

For interim reporting, LIFO inventories are computed based on year-to-date quantities and interim changes in price levels. Changes in quantities and price levels are reflected in the interim consolidated financial statements in the period in which they occur.

XML

Purchase of Noncontrolling Interest

6 Months Ended

Oct. 31, 2013

Noncontrolling Interest [Abstract]

Purchase of Noncontrolling Interest

B. Purchase of Noncontrolling Interest

On June 24, 2013, the Company entered into an Agreement (the “Agreement”) whereby it purchased the 49% minority ownership of its subsidiary, Kewaunee Labway Asia Pte. Ltd. (the “Subsidiary”) for a total purchase price of $3,555,000. The purchase was recorded in the equity section of the consolidated balance sheet as a $1,874,000 reduction in retained earnings and a $1,681,000 reduction in noncontrolling interest. Pursuant to the terms of the Agreement, the Company paid cash of $1,780,000 to the minority stockholder and recorded the balance as other current liabilities of $887,500 and other noncurrent liabilities of $887,500. The Subsidiary and its subsidiary in India, Kewanee Labway India Pvt. Ltd., serve as the Company’s principal sales and distribution organization for sales to international customers.

XML

Consolidated Statements of Comprehensive Income (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended
	Oct. 31, 2013	Oct. 31, 2012	Oct. 31, 2013	Oct. 31, 2012
Statement Of Income And Comprehensive Income [Abstract]
Net earnings	$ 746	$ 807	$ 2,363	$ 1,495
Other comprehensive income (loss), net of tax:
Foreign currency translation adjustments	91	111	(433)	(25)
Change in fair value of cash flow hedge	(23)	13	42	1
Other comprehensive income (loss)	68	124	(391)	(24)
Comprehensive income, net of tax	814	931	1,972	1,471
Less: comprehensive income attributable to the noncontrolling interest	21	158	51	212
Comprehensive income attributable to Kewaunee Scientific Corporation	$ 793	$ 773	$ 1,921	$ 1,259

XML

Defined Benefit Pension Plans

6 Months Ended

Oct. 31, 2013

Compensation And Retirement Disclosure [Abstract]

Defined Benefit Pension Plans

G. Defined Benefit Pension Plans

The Company has non-contributory defined benefit pension plans covering substantially all salaried and hourly employees. These plans were amended as of April 30, 2005, no further benefits have been, or will be, earned under the plans, subsequent to the amendment date, and no additional participants will be added to the plans. Contributions of $300,000 were paid to the plans during the six months ended October 31, 2013, and the Company does not expect any contributions to be paid to the plans during the remainder of the fiscal year. Contributions of $1,000,000 were made during the six months ended October 31, 2012.

Pension expense consisted of the following (in thousands):

	Three months ended October 31, 2013			Three months ended October 31, 2012
Service cost	$	-0-		$	-0-
Interest cost		217			226
Expected return on plan assets		(324	)		(305	)
Recognition of net loss		288			276
Net periodic pension expense	$	181		$	197

	Six months ended October 31, 2013			Six months ended October 31, 2012
Service cost	$	-0-		$	-0-
Interest cost		429			453
Expected return on plan assets		(641	)		(607	)
Recognition of net loss		571			551
Net periodic pension expense	$	359		$	397

XML

Consolidated Statement of Stockholders' Equity (Parenthetical) (USD $) In Thousands, except Per Share data, unless otherwise specified	6 Months Ended
	Oct. 31, 2013
Cash dividends declared, per share	$ 0.21
Stock options exercised, shares	66,200
Stock options granted, shares	46,600
Treasury stock, shares	47,654
Additional Paid-in Capital [Member]
Stock options exercised, shares	66,200
Stock options granted, shares	46,600
Treasury Stock [Member]
Stock options exercised, shares	66,200
Treasury stock, shares	47,654
Retained Earnings [Member]
Cash dividends declared, per share	$ 0.21

XML

Consolidated Statements of Operations (USD $) In Thousands, except Per Share data, unless otherwise specified	3 Months Ended		6 Months Ended
	Oct. 31, 2013	Oct. 31, 2012	Oct. 31, 2013	Oct. 31, 2012
Income Statement [Abstract]
Net sales	$ 26,098	$ 31,185	$ 58,101	$ 57,868
Costs of products sold	21,205	25,958	46,632	47,398
Gross profit	4,893	5,227	11,469	10,470
Operating expenses	3,759	4,013	7,903	8,151
Operating earnings	1,134	1,214	3,566	2,319
Other income	90	108	170	176
Interest expense	(72)	(101)	(160)	(215)
Earnings before income taxes	1,152	1,221	3,576	2,280
Income tax expense	406	414	1,213	785
Net earnings	746	807	2,363	1,495
Less: net earnings attributable to the noncontrolling interest	21	158	51	212
Net earnings attributable to Kewaunee Scientific Corporation	$ 725	$ 649	$ 2,312	$ 1,283
Net earnings per share attributable to Kewaunee Scientific Corporation stockholders
Basic	$ 0.28	$ 0.25	$ 0.89	$ 0.50
Diluted	$ 0.28	$ 0.25	$ 0.89	$ 0.50
Weighted average number of common shares outstanding
Basic	2,606	2,587	2,601	2,584
Diluted	2,633	2,601	2,618	2,592

XML

Segment Information - Segment Information (Detail) (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended
	Oct. 31, 2013	Oct. 31, 2012	Oct. 31, 2013	Oct. 31, 2012
Segment Reporting Information [Line Items]
Revenues from external customers	$ 26,098	$ 31,185	$ 58,101	$ 57,868
Earnings (loss) before income taxes	1,152	1,221	3,576	2,280
Domestic Operations [Member]
Segment Reporting Information [Line Items]
Revenues from external customers	22,061	25,683	49,134	48,312
Intersegment revenues	532	688	1,936	1,418
Earnings (loss) before income taxes	1,382	1,438	4,564	3,322
International Operations [Member]
Segment Reporting Information [Line Items]
Revenues from external customers	4,037	5,502	8,967	9,556
Intersegment revenues	762	918	1,248	1,422
Earnings (loss) before income taxes	584	784	1,141	1,030
Corporate [Member]
Segment Reporting Information [Line Items]
Intersegment revenues	(1,294)	(1,606)	(3,184)	(2,840)
Earnings (loss) before income taxes	$ (814)	$ (1,001)	$ (2,129)	$ (2,072)

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Segment Information

6 Months Ended

Oct. 31, 2013

Segment Reporting [Abstract]

Segment Information

F. Segment Information

The following table provides financial information by business segments for the three and six months ended October 31, 2013 and 2012 (in thousands):

	Domestic Operations		International Operations		Corporate			Total
Three months ended October 31, 2013
Revenues from external customers	$	22,061	$	4,037	$	—		$	26,098
Intersegment revenues		532		762		(1,294	)		—
Earnings (loss) before income taxes		1,382		584		(814	)		1,152
Three months ended October 31, 2012
Revenues from external customers	$	25,683	$	5,502	$	—		$	31,185
Intersegment revenues		688		918		(1,606	)		—
Earnings (loss) before income taxes		1,438		784		(1,001	)		1,221

	Domestic Operations		International Operations		Corporate			Total
Six months ended October 31, 2013
Revenues from external customers	$	49,134	$	8,967	$	—		$	58,101
Intersegment revenues		1,936		1,248		(3,184	)		—
Earnings (loss) before income taxes		4,564		1,141		(2,129	)		3,576
Six months ended October 31, 2012
Revenues from external customers	$	48,312	$	9,556	$	—		$	57,868
Intersegment revenues		1,418		1,422		(2,840	)		—
Earnings (loss) before income taxes		3,322		1,030		(2,072	)		2,280

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Inventories (Tables)

6 Months Ended

Oct. 31, 2013

Inventory Disclosure [Abstract]

Summary of Inventories

Inventories consisted of the following (in thousands):

	October 31, 2013		April 30, 2013
Finished products	$	3,318	$	4,052
Work in process		1,764		1,678
Raw materials		8,092		7,473
	$	13,174	$	13,203

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Long-Term Debt and Other Credit Arrangements

6 Months Ended

Oct. 31, 2013

Debt Disclosure [Abstract]

Long-Term Debt and Other Credit Arrangements

E. Long-Term Debt and Other Credit Arrangements

On May 6, 2013, the Company entered into a new credit and security agreement (the “Loan Agreement”) with a new lender consisting of (1) a $20 million revolving credit facility which matures on May 1, 2016 (“Line of Credit”), (2) a term loan in the amount of $3,450,000 which matures on May 1, 2020 (“Term Loan A”) and (3) a term loan in the amount of $1,550,000 which matures on May 1, 2020 (“Term Loan B” and together with Term Loan A, the “Term Loans”). The Loan Agreement provided funds to refinance all existing indebtedness to the Company’s previous lender and for working capital and other general corporate purposes. In addition, it provides for the issuance of up to $4.7 million of letters of credit for our account. Indebtedness under the Line of Credit bears interest at a variable rate per annum equal to Daily One Month LIBOR plus 1.5% per annum. Payments are due under Term Loan A in consecutive equal monthly principal payments in the amount of $17,000 until August 1, 2017, and then in consecutive equal monthly principal payments in the amount of $79,000 each, commencing on September 1, 2017 and continuing on the first business day of each month thereafter until May 1, 2020, and at that time, all principal, accrued unpaid interest and other charges outstanding under Term Loan A shall be due and payable in full. The interest rate on Term Loan A, after consideration of interest rate swap agreements, is a fixed rate per annum equal to 4.875%, and effective August 1, 2017, such rate converts to a fixed rate per annum of 4.37%. Payments are due under Term Loan B in consecutive equal monthly principal payments in the amount of $18,000 until May 1, 2020, and at that time, all principal, accrued unpaid interest and other charges outstanding under Term Loan B shall be due and payable in full. The interest rate on Term Loan B, after consideration of the interest rate swap agreement, is a variable rate per annum equal to Daily One Month LIBOR plus 1.575% per annum, and effective November 3, 2014, such rate converts to a fixed rate per annum of 3.07%.

The credit facility includes financial covenants with respect to certain ratios, including (a) debt-to-net worth, (b) fixed charge coverage, and (c) asset coverage. At October 31, 2013, the Company was in compliance with all of the financial covenants. At October 31, 2013, there were advances of $2,475,000 outstanding under the revolving credit line.

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Consolidated Statements of Cash Flows (USD $) In Thousands, unless otherwise specified	6 Months Ended
	Oct. 31, 2013	Oct. 31, 2012
Cash flows from operating activities:
Net earnings	$ 2,363	$ 1,495
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation	1,248	1,317
Bad debt provision	71	23
Non-cash stock option expense	125	121
Provision for deferred income tax expense	(42)	(96)
Decrease (increase) in receivables	5,363	(1,337)
Decrease (increase) in inventories	29	(664)
(Decrease) increase in accounts payable and other accrued expenses	(2,198)	3,348
Decrease in deferred revenue	(420)	(607)
Other, net	(343)	(1,346)
Net cash provided by operating activities	6,196	2,254
Cash flows from investing activities:
Capital expenditures	(1,188)	(729)
Decrease in restricted cash	88	65
Net cash used in investing activities	(1,100)	(664)
Cash flows from financing activities:
Dividends paid	(547)	(517)
Dividends paid to noncontrolling interest in subsidiaries	(38)	(139)
Decrease in short-term borrowings and interest rate swap	(4,278)	(1,122)
Proceeds from long-term debt	5,000
Payments on long-term debt	(3,643)	(100)
Payments on capital leases		(36)
Payment toward purchase of noncontrolling interest in subsidiary	(1,780)
Net proceeds from exercise of stock options (including tax benefit)	59	67
Net cash used in financing activities	(5,227)	(1,847)
Effect of exchange rate changes on cash	(396)	(53)
Decrease in cash and cash equivalents	(527)	(310)
Cash and cash equivalents, beginning of period	5,811	6,188
Cash and cash equivalents, end of period	5,284	5,878
Supplemental Disclosure of Cash Flow Information
Purchase of noncontrolling interest in subsidiary - Other accrued expenses and other non-current liabilities	$ 1,775

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Purchase of Noncontrolling Interest - Additional Information (Detail) (USD $)	6 Months Ended		1 Months Ended		1 Months Ended
	Oct. 31, 2013	Oct. 31, 2013 Retained Earnings [Member]	Jun. 24, 2013 Kewaunee Scientific Corporation India Pvt. Ltd. [Member]	Oct. 31, 2013 Kewaunee Scientific Corporation India Pvt. Ltd. [Member]	Jun. 24, 2013 Kewaunee Scientific Corporation India Pvt. Ltd. [Member] Retained Earnings [Member]	Jun. 24, 2013 Kewaunee Scientific Corporation India Pvt. Ltd. [Member] Noncontrolling Interest [Member]
Noncontrolling Interest [Line Items]
Minority owner ship percentage			49.00%
Total purchase price of minority ownership			$ 3,555,000
Total purchase price of minority ownership	1,874,000	1,874,000			1,874,000
Total purchase price of minority ownership						1,681,000
Cash paid to minority stock holders	1,780,000		1,780,000
Other current liabilities recorded				887,500
Other non current liabilities recorded				$ 887,500

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Reclassifications

6 Months Ended

Oct. 31, 2013

Accounting Policies [Abstract]

Reclassifications

H. Reclassifications

Certain 2012 amounts have been reclassified to conform with the 2013 presentation in the consolidated statements of cash flows. Such reclassifications had no impact on net earnings.

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Long-term Debt and Other Credit Arrangements - Additional Information (Detail) (USD $)	1 Months Ended
	May 06, 2013	May 06, 2013 Term Loan A [Member]	May 06, 2013 Term Loan A [Member] August 1, 2017 [Member]	May 06, 2013 Term Loan A [Member] September 1, 2017 [Member]	May 06, 2013 Term Loan B [Member]	May 06, 2013 Line of Credit [Member]	Oct. 31, 2013 Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Loan agreement	$ 20,000,000
Credit facility outstanding		3,450,000			1,550,000		2,475,000
Letters of credit	4,700,000
Interest rate description	Indebtedness under the Line of Credit bears interest at a variable rate per annum equal to Daily One Month LIBOR plus 1.5% per annum
Percentage of interest over one month LIBOR					1.575%	1.50%
Periodic payments			$ 17,000	$ 79,000	$ 18,000
Term loan, Payment terms		Payments are due under Term Loan A in consecutive equal monthly principal payments in the amount of $17,000 until August 1, 2017, and then in consecutive equal monthly principal payments in the amount of $79,000 each, commencing on September 1, 2017 and continuing on the first business day of each month thereafter until May 1, 2020, and at that time, all principal, accrued unpaid interest and other charges outstanding under Term Loan A shall be due and payable in full.			Payments in the amount of $18,000 until May 1, 2020, and at that time, all principal
Fixed rate percentage		4.875%	4.37%		3.07%
Loan agreement, Maturity date	May 01, 2016	May 01, 2020			May 01, 2020

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Earnings Per Share - Additional Information (Detail) (Stock Options [Member])	3 Months Ended		6 Months Ended
	Oct. 31, 2013	Oct. 31, 2012	Oct. 31, 2013	Oct. 31, 2012
Stock Options [Member]
Earnings Per Share [Line Items]
Antidilutive options exclude from computation of earning per share	48,050	158,400	48,050	158,400

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Document and Entity Information	6 Months Ended
	Oct. 31, 2013	Dec. 09, 2013
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Oct. 31, 2013
Document Fiscal Year Focus	2014
Document Fiscal Period Focus	Q2
Trading Symbol	KEQU
Entity Registrant Name	KEWAUNEE SCIENTIFIC CORP /DE/
Entity Central Index Key	0000055529
Current Fiscal Year End Date	--04-30
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		2,615,498

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Inventories - Summary of Inventories (Detail) (USD $) In Thousands, unless otherwise specified	Oct. 31, 2013	Apr. 30, 2013
Inventory Disclosure [Abstract]
Finished products	$ 3,318	$ 4,052
Work in process	1,764	1,678
Raw materials	8,092	7,473
Total inventories	$ 13,174	$ 13,203