Minnesota | 0-6365 | 41-0919654 | ||
(State or other jurisdiction of incorporation) | (Commission File Number) | (I.R.S. Employer Identification No.) | ||
4400 West 78th Street, Suite 520, Minneapolis, Minnesota | 55435 | |||
(Address of principal executive offices) | (Zip Code) |
¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
¨ | 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 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
ITEM 2.02 | RESULTS OF OPERATIONS AND FINANCIAL CONDITION |
ITEM 9.01 | FINANCIAL STATEMENTS AND EXHIBITS |
APOGEE ENTERPRISES, INC. | ||
By: | /s/ James S. Porter | |
James S. Porter Chief Financial Officer |
Exhibit Number | Description | |||||
99.1 | Press Release issued by Apogee Enterprises, Inc. dated April 10, 2013. |
• | Full-year revenues up 6 percent, EPS more than tripled |
• | Q4 revenues up 7 percent, operating income more than doubled, EPS up 36 percent |
• | FY14 outlook: EPS of $0.90-$1.00 on high single-digit revenue growth |
▪ | Revenues of $700.2 million were up 6 percent. |
▪ | Operating income was $27.4 million, compared to $3.8 million. |
▪ | Per share earnings from continuing operations were $0.66, compared to $0.17. |
▪ | Net earnings per share were $0.67, compared to $0.17. |
▪ | Architectural segment revenues increased 6 percent, with operating income of $9.2 million compared to an operating loss of $12.1 million. |
▪ | Large-scale optical segment revenues increased 2 percent, with operating income of $21.0 million compared to $19.6 million. |
▪ | Cash and short-term investments totaled $85.6 million, compared to $79.3 million. |
▪ | Revenues of $179.7 million were up 7 percent. |
▪ | Operating income was $6.1 million, up from $2.8 million. |
▪ | Per share earnings from continuing operations were $0.15, compared to $0.11. |
▪ | Architectural segment revenues increased 9 percent, with operating income of $2.2 million compared to an operating loss of $0.5 million. |
• | Backlog was $297.0 million, compared to $300.4 million in the third quarter and $237.0 million in the prior-year period. |
▪ | Revenues of $160.3 million were up 9 percent, with growth led by the installation, window and architectural glass businesses. |
▪ | Operating income was $2.2 million, compared to an operating loss of $0.5 million. |
• | Operating margin was 1.4 percent. |
• | Results improved due to higher architectural glass pricing and strong installation revenues with improving margins. |
▪ | Backlog was $297.0 million, compared to $300.4 million in the third quarter and $237.0 million in the prior-year period. |
• | Approximately $255 million, or 86 percent, of the backlog is expected to be delivered in fiscal 2014, and approximately $42 million, or 14 percent, in fiscal 2015. |
▪ | Revenues of $19.5 million were down $1.8 million, or 9 percent, impacted by one less week in the current year period and the timing of the holidays. |
▪ | Operating income was $4.0 million, equal to the prior-year period. |
• | Operating margin was 20.4 percent, compared to 19.0 percent, as a result of strong operational performance and product mix. |
▪ | Total debt was $30.8 million, compared to $21.0 million at the end of fiscal 2012. |
• | Total debt includes $30.4 million in current and long-term, low-interest industrial revenue and recovery zone facility bonds. |
▪ | Cash and short-term investments totaled $85.6 million, compared to $79.3 million at the end of fiscal 2012. |
▪ | Non-cash working capital was $44.1 million, compared to $44.4 million at the end of fiscal 2012. |
▪ | Fiscal 2013 capital expenditures were $34.7 million, including investments in growth for the storefront and installation businesses, and new product development capabilities and productivity improvements in architectural glass. This compares to $9.7 million in the prior year. |
▪ | Fiscal 2013 depreciation and amortization was $26.5 million. |
▪ | Fiscal 2013 had 52 weeks compared to 53 weeks in fiscal 2012, with the extra week in the fourth quarter. |
▪ | Architectural products and services companies design, engineer, fabricate, install and renovate the walls of glass and windows comprising the outside skin of commercial and institutional buildings. Businesses in this segment are: Viracon, the leading fabricator of coated, high-performance architectural glass for global markets; Harmon, Inc., one of the largest U.S. full-service building glass installation and renovation companies; Wausau Window and Wall Systems, a manufacturer of custom aluminum window systems and curtainwall; Tubelite, a fabricator of aluminum storefront, entrance and curtainwall products; and Linetec, a paint and anodizing finisher of window frames and PVC shutters. |
▪ | Large-scale optical segment consists of Tru Vue, a value-added glass and acrylic manufacturer for the custom picture framing market. |
Apogee Enterprises, Inc. & Subsidiaries | |||||||||||||||||||||
Consolidated Condensed Statement of Income | |||||||||||||||||||||
(Unaudited) | |||||||||||||||||||||
Thirteen | Fourteen | Fifty-two | Fifty-three | ||||||||||||||||||
Weeks Ended | Weeks Ended | % | Weeks Ended | Weeks Ended | % | ||||||||||||||||
Dollar amounts in thousands, except for per share amounts | March 2, 2013 | March 3, 2012 | Change | March 2, 2013 | March 3, 2012 | Change | |||||||||||||||
Net sales | $ | 179,734 | $ | 168,714 | 7 | % | $ | 700,224 | $ | 662,463 | 6 | % | |||||||||
Cost of goods sold | 143,452 | 135,960 | 6 | % | 554,491 | 545,343 | 2 | % | |||||||||||||
Gross profit | 36,282 | 32,754 | 11 | % | 145,733 | 117,120 | 24 | % | |||||||||||||
Selling, general and administrative expenses | 30,144 | 29,989 | 1 | % | 118,314 | 113,304 | 4 | % | |||||||||||||
Operating income | 6,138 | 2,765 | 122 | % | 27,419 | 3,816 | 619 | % | |||||||||||||
Interest income | 189 | 296 | (36 | )% | 758 | 1,066 | (29 | )% | |||||||||||||
Interest expense | 550 | 384 | 43 | % | 1,494 | 1,427 | 5 | % | |||||||||||||
Other (expense) income, net | (479 | ) | 189 | N/M | (109 | ) | 193 | N/M | |||||||||||||
Earnings from continuing operations before income taxes | 5,298 | 2,866 | 85 | % | 26,574 | 3,648 | 628 | % | |||||||||||||
Income tax expense (benefit) | 996 | (149 | ) | N/M | 7,796 | (1,049 | ) | N/M | |||||||||||||
Earnings from continuing operations | 4,302 | 3,015 | 43 | % | 18,778 | 4,697 | 300 | % | |||||||||||||
Earnings (loss) from discontinued operations | 94 | (52 | ) | N/M | 333 | (52 | ) | N/M | |||||||||||||
Net earnings | $ | 4,396 | $ | 2,963 | 48 | % | $ | 19,111 | $ | 4,645 | 311 | % | |||||||||
Earnings per share - basic: | |||||||||||||||||||||
Earnings from continuing operations | $ | 0.15 | $ | 0.11 | 36 | % | $ | 0.67 | $ | 0.17 | 294 | % | |||||||||
Earnings from discontinued operations | — | — | - | 0.01 | — | N/M | |||||||||||||||
Net earnings | $ | 0.15 | $ | 0.11 | 36 | % | $ | 0.68 | $ | 0.17 | 300 | % | |||||||||
Average common shares outstanding | 28,076,220 | 27,642,586 | 2 | % | 27,953,686 | 27,740,750 | 1 | % | |||||||||||||
Earnings per share - diluted: | |||||||||||||||||||||
Earnings from continuing operations | $ | 0.15 | $ | 0.11 | 36 | % | $ | 0.66 | $ | 0.17 | 288 | % | |||||||||
Earnings from discontinued operations | — | — | - | 0.01 | — | N/M | |||||||||||||||
Net earnings | $ | 0.15 | $ | 0.11 | 36 | % | $ | 0.67 | $ | 0.17 | 294 | % | |||||||||
Average common and common | |||||||||||||||||||||
equivalent shares outstanding | 29,072,573 | 28,183,573 | 3 | % | 28,641,050 | 28,048,281 | 2 | % | |||||||||||||
Cash dividends per common share | $ | 0.0900 | $ | 0.0815 | 10 | % | $ | 0.3600 | $ | 0.3260 | 10 | % | |||||||||
Business Segments Information | |||||||||||||||||||||
(Unaudited) | |||||||||||||||||||||
Thirteen | Fourteen | Fifty-two | Fifty-three | ||||||||||||||||||
Weeks Ended | Weeks Ended | % | Weeks Ended | Weeks Ended | % | ||||||||||||||||
March 2, 2013 | March 3, 2012 | Change | March 2, 2013 | March 3, 2012 | Change | ||||||||||||||||
Sales | |||||||||||||||||||||
Architectural | $ | 160,268 | $ | 147,417 | 9 | % | $ | 620,283 | $ | 583,933 | 6 | % | |||||||||
Large-Scale Optical | 19,470 | 21,297 | (9 | )% | 79,947 | 78,532 | 2 | % | |||||||||||||
Eliminations | (4 | ) | — | N/M | (6 | ) | (2 | ) | N/M | ||||||||||||
Total | $ | 179,734 | $ | 168,714 | 7 | % | $ | 700,224 | $ | 662,463 | 6 | % | |||||||||
Operating income (loss) | |||||||||||||||||||||
Architectural | $ | 2,208 | $ | (475 | ) | N/M | $ | 9,185 | $ | (12,072 | ) | N/M | |||||||||
Large-Scale Optical | 3,972 | 4,046 | (2 | )% | 20,993 | 19,605 | 7 | % | |||||||||||||
Corporate and other | (42 | ) | (806 | ) | 95 | % | (2,759 | ) | (3,717 | ) | 26 | % | |||||||||
Total | $ | 6,138 | $ | 2,765 | 122 | % | $ | 27,419 | $ | 3,816 | 619 | % | |||||||||
Consolidated Condensed Balance Sheets | |||||||||||||||||||||
(Unaudited) | |||||||||||||||||||||
March 2, 2013 | March 3, 2012 | ||||||||||||||||||||
Assets | |||||||||||||||||||||
Current assets | $ | 251,841 | $ | 229,439 | |||||||||||||||||
Net property, plant and equipment | 168,948 | 159,547 | |||||||||||||||||||
Other assets | 99,352 | 104,118 | |||||||||||||||||||
Total assets | $ | 520,141 | $ | 493,104 | |||||||||||||||||
Liabilities and shareholders' equity | |||||||||||||||||||||
Current liabilities | $ | 122,167 | $ | 105,771 | |||||||||||||||||
Long-term debt | 20,756 | 20,916 | |||||||||||||||||||
Other liabilities | 43,900 | 45,219 | |||||||||||||||||||
Shareholders' equity | 333,318 | 321,198 | |||||||||||||||||||
Total liabilities and shareholders' equity | $ | 520,141 | $ | 493,104 | |||||||||||||||||
N/M = Not meaningful |
Apogee Enterprises, Inc. & Subsidiaries | |||||||||
Consolidated Condensed Statement of Cash Flows | |||||||||
(Unaudited) | |||||||||
Fifty-two | Fifty-three | ||||||||
Weeks Ended | Weeks Ended | ||||||||
Dollar amounts in thousands | March 2, 2013 | March 3, 2012 | |||||||
Net earnings | $ | 19,111 | $ | 4,645 | |||||
Net (earnings) loss from discontinued operations | (333 | ) | 52 | ||||||
Depreciation and amortization | 26,529 | 27,246 | |||||||
Stock-based compensation | 4,395 | 4,412 | |||||||
Other, net | 2,276 | (1,607 | ) | ||||||
Changes in operating assets and liabilities | (11,262 | ) | (6,767 | ) | |||||
Net cash provided by continuing operating activities | 40,716 | 27,981 | |||||||
Capital expenditures | (34,664 | ) | (9,650 | ) | |||||
Proceeds on sale of property | 1,078 | 10,320 | |||||||
Acquisition of intangibles | (15 | ) | (68 | ) | |||||
Net (purchases) sales of restricted investments | (4,528 | ) | 12,726 | ||||||
Net (purchases) sales of marketable securities | (17,552 | ) | 6,605 | ||||||
Investments in life insurance | (1,451 | ) | (1,435 | ) | |||||
Net cash (used in) provided by investing activities | (57,132 | ) | 18,498 | ||||||
Proceeds from issuance of debt | 10,000 | 121 | |||||||
Payments on debt | (164 | ) | (1,437 | ) | |||||
Stock issued to employees, net of shares withheld | 862 | (188 | ) | ||||||
Repurchase and retirement of common stock | — | (2,392 | ) | ||||||
Dividends paid | (10,316 | ) | (9,153 | ) | |||||
Other, net | (150 | ) | (67 | ) | |||||
Net cash provided by (used in) financing activities | 232 | (13,116 | ) | ||||||
Cash used in discontinued operations | (193 | ) | (3,427 | ) | |||||
(Decrease) increase in cash and cash equivalents | (16,377 | ) | 29,936 | ||||||
Effect of exchange rates on cash | 117 | (211 | ) | ||||||
Cash and cash equivalents at beginning of year | 54,027 | 24,302 | |||||||
Cash and cash equivalents at end of period | $ | 37,767 | $ | 54,027 |
Contact: | Mary Ann Jackson |
Investor Relations | |
952-487-7538 | |
mjackson@apog.com |
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