-----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, RmibMdOD/CBw30wjGsC2quIbJKcj3L5xmU3YVf05Rq0GVBgbF1FxRLxvhkByMPG0 m0GITvqnyTjWavMfD/BldQ== 0001047469-98-006899.txt : 19980220 0001047469-98-006899.hdr.sgml : 19980220 ACCESSION NUMBER: 0001047469-98-006899 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19980218 ITEM INFORMATION: ITEM INFORMATION: FILED AS OF DATE: 19980219 SROS: NASD FILER: COMPANY DATA: COMPANY CONFORMED NAME: ADC TELECOMMUNICATIONS INC CENTRAL INDEX KEY: 0000061478 STANDARD INDUSTRIAL CLASSIFICATION: TELEPHONE & TELEGRAPH APPARATUS [3661] IRS NUMBER: 410743912 STATE OF INCORPORATION: MN FISCAL YEAR END: 1031 FILING VALUES: FORM TYPE: 8-K SEC ACT: SEC FILE NUMBER: 000-01424 FILM NUMBER: 98545213 BUSINESS ADDRESS: STREET 1: 12501 WHITEWATER DR CITY: MINNETONKA STATE: MN ZIP: 55343 BUSINESS PHONE: 6129388080 MAIL ADDRESS: STREET 1: 4900 W 78TH ST CITY: MINNEAPOLIS STATE: MN ZIP: 55435 FORMER COMPANY: FORMER CONFORMED NAME: MAGNETIC CONTROLS CO DATE OF NAME CHANGE: 19850605 8-K 1 8-K SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 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): February 18, 1998 ADC TELECOMMUNICATIONS, INC. (Exact name of registrant as specified in its charter) Minnesota 0-1424 41-0743912 (State or other jurisdiction of (Commission File No.) (I.R.S. Employer incorporation or organization) Identification No.) 12501 Whitewater Drive, Minnetonka, Minnesota 55343 (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code (612) 938-8080 Not Applicable (Former name or former address, if changed since last report) Item 5. Other Events The Company is attaching, as Exhibit 99.1 hereto, and incorporating herein by reference, its press release dated February 18, 1998. Item 7. Financial Statements and Exhibits (c) Exhibits 99.1 News release dated February 18, 1998. SIGNATURE Pursuant to the requirements of Section 12 of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. Date: February 18, 1998 ADC TELECOMMUNICATIONS, INC. By: /s/ Robert E. Switz ------------------------- Robert E. Switz Senior Vice President and Chief Financial Officer 2 EXHIBIT INDEX Exhibit Number Description - -------------- ----------- 99.1 News release dated February 18, 1998. 3 EX-99.1 2 EXHIBIT 99.1 Exhibit 99.1 [LOGO] ADC Telecommunications, Inc. Telephone (612) 938-8080 PO Box 1101 Fax (612) 946-3292 Minneapolis, MN 55440-1101 February 18, 1998 Robert E. Switz ADC Telecommunications, Inc. 12501 Whitewater Drive Minnetonka, Minnesota 55343 (612) 946-3555 FOR IMMEDIATE RELEASE NASDAQ SYMBOL: ADCT FIRST FISCAL QUARTER RESULTS ANNOUNCED TODAY BY ADC TELECOMMUNICATIONS, INC. MINNEAPOLIS, MN: ADC Telecommunications, Inc. announced final results today for its first fiscal quarter ended January 31, 1998. The 1998 three-month results, compared to the three-month period ended January 31, 1997 are as follows (dollars in thousands except earnings per share):
Quarters Ended January 31, % Increase -------------------------- 1998 1997 (Decrease) ---- ---- ---------- Net sales $286,396 $256,777 11.5% Operating income before non-recurring charges 37,980 37,584 1.1 Operating income 37,980 14,884 155.2 Income before non-recurring charges 25,409 24,923 2.0 Net income 25,409 10,395 144.4 Basic and diluted earnings per share before non- recurring charges 0.19 .19 - Basic and diluted earnings per share 0.19 .08 137.5%
Net sales increased 11.5% over the same quarter of fiscal year 1997 and, without taking into consideration the non-recurring charges recorded in the first quarter of 1997, net income was essentially flat with the comparable period last year. The Company currently expects continued improvements throughout the remainder of 1998 and anticipates that each of the remaining 1998 fiscal quarters will compare favorably to the same quarters in fiscal 1997. The Company also believes, based on current product mix, orders and shipments in each of its business units, that a goal of 20% growth in overall revenues and earnings during the remainder of fiscal 1998 over the comparable period of fiscal 1997 is achievable. ADC TELECOMMUNICATIONS, INC. designs, manufactures and markets a wide variety of transmission and networking systems and broadband connectivity products for fiber optic, twisted pair copper, coaxial and wireless broadband global networks. The Company's products are used by telephone companies, other public network providers (such as wireless, broadcast and cable TV operators) and private voice, data and video network providers. For the fiscal year ended October 31, 1997, ADC revenues were approximately $1.2 billion. Net sales for the quarters ended January 31, 1998 and 1997 classified by functional product group, detailed statements of income for the quarters ended January 31, 1998 and 1997 and balance sheets as of January 31, 1998 and October 31, 1997 follow. NET SALES BY PRODUCT GROUP (DOLLARS IN THOUSANDS):
Quarters Ended January 31, -------------------------- 1998 1997 ---- ---- PRODUCT GROUP Net Sales % Net Sales % --------- ------- --------- ------ TRANSMISSION $ 135,763 47.4% $ 105,312 41.0% ENTERPRISE NETWORKING 32,196 11.2 39,828 15.5 BROADBAND CONNECTIVITY 118,437 41.4 111,637 43.5 -------- ----- ---------- ----- TOTAL $ 286,396 100.0% $ 256,777 100.0% ---------- ------ ---------- ------ ---------- ------ ---------- ------
Revenue contributions from companies acquired since January 31, 1997 were approximately $14.4 million in the first quarter of fiscal 1998 compared with first quarter 1997 revenue contributions of $40 million from companies acquired since January 31, 1996. "SAFE HARBOR" STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995: Any forward-looking statements contained herein reflect the current expectations or beliefs of ADC's management. The Company cautions readers that actual future results could differ materially from those in forward-looking statements depending on the outcome of certain factors including the risks and uncertainties identified in Exhibit 99-a to the Company's Report on Form 10-K for the fiscal year ended October 31, 1997. ADC TELECOMMUNICATIONS, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME (IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)
FOR THE QUARTERS ENDED JANUARY 31, ------------------------- 1998 1997 ---------- --------- NET SALES $ 286,396 $ 256,777 COST OF PRODUCT SOLD 152,846 139,108 ---------- --------- GROSS PROFIT 133,550 117,669 ---------- --------- Gross profit percentage 46.6% 45.8% ---------- --------- EXPENSES: Development and product engineering 30,938 28,119 Selling and administration 62,094 49,444 Goodwill amortization 2,538 2,522 Non-recurring charges -- 22,700 ---------- --------- Total expenses 95,570 102,785 ---------- --------- OPERATING INCOME 37,980 14,884 OTHER INCOME (EXPENSE), NET: Interest 1,444 1,786 Other (333) (427) ---------- --------- INCOME BEFORE INCOME TAXES 39,091 16,243 PROVISION FOR INCOME TAXES 13,682 5,848 ---------- --------- NET INCOME $ 25,409 $ 10,395 ---------- --------- ---------- --------- WEIGHTED AVERAGE COMMON SHARES OUTSTANDING (DILUTED) 136,914 133,730 ---------- --------- ---------- --------- BASIC AND DILUTED EARNINGS PER SHARE $ 0.19 $ 0.08 ---------- --------- ---------- ---------
ADC TELECOMMUNICATIONS, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (IN THOUSANDS)
ASSETS JANUARY 31, OCTOBER 31, 1998 1997 ---------- ---------- CURRENT ASSETS: Cash and cash equivalents $ 97,310 $ 109,794 Accounts receivable, net 231,976 246,241 Inventories 181,367 168,379 Prepaid income taxes and other assets 28,956 25,053 ---------- ---------- Total current assets 539,609 549,467 PROPERTY AND EQUIPMENT, net 225,707 215,677 OTHER ASSETS, principally goodwill 183,213 171,159 ---------- ---------- $ 948,529 $ 936,303 ---------- ---------- ---------- ---------- LIABILITIES AND STOCKHOLDERS' INVESTMENT CURRENT LIABILITIES: Current maturities of long-term debt $ 564 $ 650 Accounts payable 56,770 62,879 Accrued liabilities 111,047 118,870 ---------- ---------- Total current liabilities 168,381 182,399 LONG-TERM DEBT, less current maturities 2,552 3,109 ---------- ---------- Total liabilities 170,933 185,508 STOCKHOLDERS' INVESTMENT (134,139 and 133,508 shares outstanding) 777,596 750,795 ---------- ---------- $ 948,529 $ 936,303 ---------- ---------- ---------- ----------
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