-----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, VrPq/XNtnkyp7lhaepL9P55wBzEvw2dwUwnpH7hN6dukrOCaEnuJVQlbV6+MXPhi coHZdYmBJiJpMsFwtNrsqw== 0000071023-03-000022.txt : 20030813 0000071023-03-000022.hdr.sgml : 20030813 20030813104458 ACCESSION NUMBER: 0000071023-03-000022 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20030813 ITEM INFORMATION: ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 20030813 FILER: COMPANY DATA: COMPANY CONFORMED NAME: NELSON THOMAS INC CENTRAL INDEX KEY: 0000071023 STANDARD INDUSTRIAL CLASSIFICATION: BOOKS: PUBLISHING OR PUBLISHING AND PRINTING [2731] IRS NUMBER: 620679364 STATE OF INCORPORATION: TN FISCAL YEAR END: 0331 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-13788 FILM NUMBER: 03839388 BUSINESS ADDRESS: STREET 1: 501 NELSON PLACE CITY: NASHVILLE STATE: TN ZIP: 37214-1000 BUSINESS PHONE: 6158899000 MAIL ADDRESS: STREET 1: P O BOX 141000 CITY: NASHVILLE STATE: TN ZIP: 37214-1000 FORMER COMPANY: FORMER CONFORMED NAME: ROYAL PUBLISHERS INC DATE OF NAME CHANGE: 19721019 8-K 1 r8k081303.txt CURRENT REPORT ON 8-K FOR AUGUST 13, 2003 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 13, 2003 (August 13, 2003) Thomas Nelson, Inc. - ------------------------------------------------------------------------------- (Exact Name of Registrant as Specified in Charter) Tennessee 1-13788 62-0679364 - ------------------------------------------------------------------------------- (State or other (Commission File Number) (I.R.S. Employer Jurisdiction of Identification No.) Incorporation) 501 Nelson Place Nashville, Tennessee 37214-1000 - ------------------------------------------------------------------------------- (Address of Principal (Zip Code) Executive Offices) Registrant's telephone number, including area code: 615/889-9000 TABLE OF CONTENTS ----------------- SIGNATURES - ---------- EXHIBIT INDEX - ------------- EX-99.1 PRESS RELEASE 08/13/03 - ------------------------------ TABLE OF CONTENTS - ----------------- Item 7. Financial Statements and Exhibits. The following exhibit is furnished pursuant to Item 12: 99.1 Press Release, August 13, 2003 Item 12. Results of Operations and Financial Condition On August 13, 2003, Thomas Nelson, Inc. issued a press release announcing its financial results for the quarter ended June 30, 2003. A copy of the press release is furnished herewith as Exhibit 99.1. TABLE OF CONTENTS - ----------------- SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. THOMAS NELSON, INC. By: /s/ Joe L. Powers ----------------------------- Name: Joe L. Powers Title: Executive Vice President and Secretary Date: August 13, 2003 EXHIBIT INDEX Exhibit Numbers - ------- 99.1 News Release, August 13, 2003. EX-99 4 ex991081320038k.txt EXHIBIT 99.1 FOR FORM 8-K AUGUST 13, 2003 EXHIBIT 99.1 NEWS RELEASE - ------------ Date: August 13, 2003 Contact: Joe L. Powers Executive Vice President P.O. Box 141000 Nashville, TN 37214-1000 Phone: (615) 902-1300 Fax: (615) 883-6353 Website: www.thomasnelson.com THOMAS NELSON REPORTS INCREASE IN NET INCOME FOR FIRST QUARTER OF FISCAL YEAR 2004 Nashville, TN. August 13, 2003. Thomas Nelson, Inc. (NYSE: TNM) today announced its results for the first quarter of fiscal 2004: Net revenue increased by 1.5%, reaching $41.8 million in the three months through June 30, 2003, compared with $41.2 million in the same period of the prior year. Net income was $1.1 million vs. $0.3 million in the corresponding period a year ago. Income per share, both basic and diluted, was $0.07 in the recent quarter compared with $0.02 in the same quarter of the previous fiscal year. The Company's financial position improved as total debt declined to $7.1 million, compared to $51.3 million a year ago, and $25.9 million as of the end of last fiscal year. The decrease in debt for the quarter primarily relates to an income tax refund of $18.7 million received in April 2003. This refund resulted from losses realized on the disposal of our C.R. Gibson gift operation in October 2001. The funds have been used to pay down debt. Until such time that we conclude that the position taken on our income tax returns will ultimately be sustained by the taxing authorities, the refund will be recorded as a non-current tax liability. If sustained, the Company will record the refund as income from discontinued operations. "Historically, our first fiscal quarter is the weakest in terms of earnings," noted Sam Moore, Chairman and Chief Executive Officer. "It's part of the normal seasonal pattern of our business, and an analysis based on percentage changes year over year in this period may not be very useful. Still, it is extremely gratifying to see that our efforts to work smarter across the board, to widen our profit margins, and to produce solid gains in earnings and in earnings per share continue to pay off." "Our book publishing operations were the quarter's star performers with revenue up 5% for the quarter," Mr. Moore said. We enjoyed strong sales results from several new releases, in particular, "The Traveler's Gift" by Andy Andrews and "Waking the Dead" by John Eldridge. Their strength has persisted into the current quarter, and I am optimistic about some of the titles we have released in recent weeks." Mr. Moore continued, "Although we've been able to achieve satisfactory results with many of our products, my best sense is that the overall market for books - - whether general books or the religious and inspirational works that we publish - remains soft. I know from our own experience that the book-buying public will respond favorably to works that have special appeal. Our ability to select and produce the best works in our markets has given us some ability to resist the downward pressure from the market." "Net revenues for conferences are down $0.9 million from the prior year," said Mr. Moore. "We believe the lower attendance levels are primarily due to the war in Iraq. There was one additional conference this year, compared to the prior year's quarter." "We have continued to bolster our financial posture," Mr. Moore stated. "Our debt has come down significantly - to a point where total debt comprises 7% of our total capital. Our receivables and inventories are each below levels of last year, even though sales have grown. The combination of a sound financial footing, a streamlined operating structure, strong cost disciplines, as well as a catalog featuring the best products in our chosen markets gives me confidence that we will be able to outperform this currently sluggish market, and continue to show profit gains as the fiscal year progresses." This news release includes certain forward-looking statements. Actual results could differ materially from those reflected by the forward-looking statements and a number of factors may affect future results, liquidity and capital resources. These factors include, but are not limited to, softness in the general retail environment, the timing and acceptance of products being introduced to the market, the level of product returns experienced, the level of margins achievable in the marketplace, the collectibility of accounts receivable, the recoupment of royalty advances, the effects of acquisitions or dispositions, the financial condition of our customers and suppliers, the realization of inventory values at carrying amounts, our access to capital and the realization of income tax (including the outcome of any future Internal Revenue Service audits) and intangible assets. Future revenue and margin trends cannot be reliably predicted and may cause the Company to adjust its business strategy during the remaining portion of the 2004 fiscal year. The Company disclaims any intent or obligation to update forward-looking statements. Thomas Nelson, Inc. is a leading publisher, producer and distributor of books emphasizing Christian, inspirational and family value themes, and believes it is the largest publisher of Bibles and inspirational books in the English language. For more information, visit our website www.thomasnelson.com. Thomas Nelson's stock is listed on the New York Stock Exchange (TNM-NYSE). ### THOMAS NELSON, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF INCOME (000's omitted, except per share data, unaudited)
Three Months Ended June 30, 2003 2002 -------- -------- NET REVENUES $ 41,831 $ 41,169 COSTS AND EXPENSES: Cost of goods sold 25,875 24,937 Selling, general and administrative 13,665 14,150 Depreciation and amortization 560 577 -------- -------- Total expenses 40,100 39,664 -------- -------- OPERATING INCOME 1,731 1,505 Other income 191 34 Interest expense 244 995 -------- -------- Income before income taxes 1,678 544 Provision for income taxes 629 199 Minority interest (8) 22 -------- -------- Net income $ 1,057 $ 323 ======== ======== Weighted average number of shares outstanding: Basic 14,382 14,367 ======== ======== Diluted 14,607 14,680 ======== ======== NET INCOME PER SHARE: Basic $ 0.07 $ 0.02 ======== ======== Diluted $ 0.07 $ 0.02 ======== ========
THOMAS NELSON, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (000's omitted, unaudited)
Three Months Ended June 30, 2003 2002 -------- -------- ASSETS Current assets: Cash and cash equivalents $ 8,943 $ 505 Accounts receivable, less allowances of $7,190 and $5,930, respectively 42,999 46,951 Inventories 37,924 40,357 Prepaid expenses 15,567 19,578 Assets held for sale 1,785 2,500 Refundable income taxes - 7,266 Deferred tax assets 5,085 7,966 -------- -------- Total current assets 112,303 125,123 Property, plant and equipment, net 11,444 9,000 Other assets and deferred charges 8,178 9,636 Intangible assets 882 544 Goodwill, net 29,304 29,304 -------- -------- TOTAL ASSETS $162,111 $173,607 ======== ======== LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities: Accounts payable $ 19,910 $ 16,764 Accrued expenses 9,930 12,707 Deferred revenue 12,703 12,800 Income taxes currently payable 3,393 351 Current portion of long-term debt 3,622 3,322 -------- -------- Total current liabilities 49,558 45,944 Long-term debt, less current portion 3,461 47,941 Deferred tax and other liabilities 20,115 1,784 Minority interest 35 22 -------- -------- Shareholders' equity 88,942 77,916 -------- -------- TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $162,111 $173,607 ======== ========
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