-----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, PCQWkgow4r7LMl45MhoZlCPDhsP+C5Tz2YkQC0focaYfxni2CSBjiXXnOX7iD0Z+ McVqzGMmdG/5BVVNcIW11A== 0000071023-04-000014.txt : 20040512 0000071023-04-000014.hdr.sgml : 20040512 20040512095628 ACCESSION NUMBER: 0000071023-04-000014 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20040512 ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 20040512 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: 04797789 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 r8k051204.txt CURRENT REPORT ON FORM 8-K DATED MAY 12, 2004 UNITED STATES 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): May 12, 2004 (May 12, 2004) 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 05/12/04 - ------------------------------ TABLE OF CONTENTS - ----------------- Item 7. Financial Statements and Exhibits. The following exhibit is furnished pursuant to Item 12: 99.1 Press Release, May 12, 2004 Item 12. Results of Operations and Financial Condition On May 12, 2004, Thomas Nelson, Inc. issued a press release announcing its financial results for the quarter and fiscal year ended March 31, 2004. 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: May 12, 2004 EXHIBIT INDEX Exhibit Numbers - ------- 99.1 News Release, May 12, 2004 EX-99.1 2 ex990512048k.txt EXHIBIT 99.1 FOR FORM 8-K DATED MAY 12, 2004 EXHIBIT 99.1 NEWS RELEASE - ------------ Date: May 12, 2004 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 $1.12 Basic Income Per Share For Fiscal 2004, Net Income Up 59% Over the Prior Year Nashville, TN, May 12, 2004 - Thomas Nelson, Inc. (NYSE:TNM) today announced its financial results for the fiscal year and for the fourth quarter ended March 31, 2004: Net revenues increased 2% in fiscal 2004 to $222.6 from last year's $217.2 million. For the quarter, net revenues advanced 1%, reaching $60.9 million, compared to $60.2 million in the same prior year period. Net income grew by 59% for fiscal 2004, reaching $16.2 million, compared to $10.2 million in fiscal 2003. The gains in profit are primarily a reflection of improved operating margins. Net income advanced 39% in the fourth quarter, amounting to $4.5 million, compared to $3.3 million a year ago. Basic income per share for the fiscal year was $1.12, up 58% from fiscal 2003, while diluted income per share was $1.08, an increase of 54%. Basic income per share was $0.31 in the quarter, an advance of 35% from a year ago, whereas diluted income per share was $0.29 in the fourth quarter, a gain of 26%, from fiscal 2003. The Company's financial condition is excellent. Inventories are down 10% from the prior year, and receivables are slightly below prior-year levels, even though sales have increased. Total debt of $5.3 million compares with a cash position at fiscal year end of $22.8 million. "This was our best year ever," stated Sam Moore, Chairman and Chief Executive, "and I expect there will be more good news to report as our new fiscal year progresses. We've spent the past two years concentrating on making the Company as efficient as possible, and we've achieved nine consecutive quarters of year-to-year operating profit margin improvement." "At the same time," Mr. Moore continued, "we have deepened our product lines and placed special emphasis on those segments of our market where we believe the likelihood of sales growth is greatest. This step has helped us achieve revenue gains - albeit modest ones - despite one of the worst slow downs in the modern history of American publishing. We look forward to sales growth as the expected general economic recovery unfolds." "The combination of an improved cost structure - as indicated by our margins; a greatly improved balance sheet - which gives us great flexibility to invest for growth and seize opportunities; and the most encouraging opportunity for sales growth that we've seen in several years, gives me great optimism for our future," Mr. Moore noted. "In addition to strengthening our operations and financial underpinnings, we have also bolstered our management structure by appointing Mike Hyatt as President and Chief Operating Officer," said Mr. Moore. "We are the largest Christian publisher in the world," observed Mr. Hyatt, "and the ninth largest publisher overall. I think we have more opportunities now to grow and improve on our leadership standing than at any time in our history. I am proud of our products, our authors, our employees, our financial strength, and our momentum." "Our markets are undergoing fundamental changes," said Mr. Hyatt. "Religious bookstores, which are our traditional prime market, are facing intense competitive pressure. They've been our biggest supporters, and we continue to be theirs. At the same time, however, customers for our products have shown great willingness to make purchases wherever they find the best value. We have an obligation to listen to the marketplace and find sensible ways to provide our best-in-category products wherever customers expect to see them." Mr. Hyatt continued: "Many great ideas for business expansion have arisen from within our Company. For instance - we have created dedicated operating divisions, our newest of which is WestBow Press, to focus on inspirational fiction. Also, we will be open to making selected strategic investments when they make sense to us from a business logic and financial point of view." "I share Sam Moore's optimistic outlook for our future," said Mr. Hyatt. "I expect us to continue building on the strong base his leadership created and to strive for a worthwhile environment for our employees and superior rewards for our shareholders, while continuing our fundamental mission." This news release includes certain forward-looking statements (all statements other than those made solely with respect to historical fact) and the actual results may turn out differently. Any one or more of several factors could account for differences between the forward-looking statements that are made today and the actual results, including with respect to our sales, profits, liquidity and capital position. These factors include, but are not limited to: softness in the general retail environment or in the markets for our products, 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, the outcome of any future Internal Revenue Service audits, the realization of income tax (including the outcome of any future Internal Revenue Service audits) and intangible assets. These conditions cannot be predicted reliably and the Company may adjust its strategy in light of changed conditions or new information. Thomas Nelson disclaims any obligation to update forward-looking statements. Thomas Nelson, Inc. will host a conference call related to this earnings release at 1:30 p.m. CDT on Wednesday, May 12, 2004. Individuals may listen to the call by dialing (800) 946-0785. The confirmation number for the call is 216484. The live broadcast of Thomas Nelson's quarterly conference call will be available online by going to www.thomasnelson.com/news and at www.streetevents.com. The online replay will be available shortly after the call and continue through May 20, 2004. Thomas Nelson, Inc. is a leading publisher, producer and distributor of products emphasizing Christian, inspirational and family value themes and believes it is the largest publisher of Bibles and inspirational products. For more information, visit our website www.thomasnelson.com. Thomas Nelson's Common stock and Class B Common stock is listed on the New York Stock Exchange (TNM-NYSE). ### THOMAS NELSON, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF INCOME (000's omitted, unaudited)
Three Months Ended Twelve Months Ended March 31, March 31, ------------------ ------------------- 2004 2003 2004 2003 ------- ------- -------- -------- Net revenues $60,912 $60,198 $222,619 $217,217 Costs and expenses: Cost of goods sold 35,281 34,139 129,532 129,378 Selling, general & administrative 17,660 19,820 63,660 66,852 Depreciation & amortization 605 552 2,287 2,061 ------- ------- -------- -------- Total expenses 53,546 54,511 195,479 198,291 ------- ------- -------- -------- Operating income 7,366 5,687 27,140 18,926 Other expense (income) 19 104 (241) 205 Interest expense 166 644 882 3,026 ------- ------- -------- -------- Income from continuing operations before income taxes 7,219 5,147 26,017 16,105 Provision for income taxes 2,708 1,879 9,756 5,878 Minority interest (1) 6 (34) (43) ------- ------- -------- -------- Income from continuing operations 4,512 3,274 16,295 10,184 Discontinued operations: Loss on disposal, net of taxes 26 - (130) - ------- ------- -------- -------- Net income (loss) $ 4,538 $ 3,274 $ 16,165 $10,184 ======= ======= ======== ======== Weighted average number of shares Basic 14,439 14,369 14,404 14,368 ======= ======= ======== ======== Diluted 15,493 14,550 14,999 14,596 ======= ======= ======== ======== Net income (loss) per share, Basic: Income from continuing operations $ 0.31 $ 0.23 $ 1.13 $ 0.71 Loss from discontinued operations - - (0.01) - ------- ------- -------- -------- Net income (loss) per share $ 0.31 $ 0.23 $ 1.12 $ 0.71 ======= ======= ======== ======== Net income (loss) per share, Diluted: Income from continuing operations $ 0.29 $ 0.23 $ 1.09 $ 0.70 Loss from discontinued operations - - (0.01) - ------- ------- -------- -------- Net income (loss) per share $ 0.29 $ 0.23 $ 1.08 $ 0.70 ======= ======= ======== ========
Thomas Nelson, Inc. & Subsidiaries Consolidated Balance Sheets (000's omitted)
March 31 March 31, 2004 2003 ------------- ------------- (unaudited) (unaudited) ASSETS Current assets: Cash and cash equivalents $ 22,780 $ 1,707 Accounts receivable, less allowances of $7,951 and $7,311, respectively 56,275 56,806 Inventories 30,341 33,637 Prepaid expenses 14,018 13,521 Assets held for sale - 1,785 Deferred tax assets 4,923 5,085 ------------- ------------- Total current assets 128,337 112,541 Property, plant and equipment, net 13,039 11,630 Other assets 7,285 7,885 Deferred charges 1,754 1,695 Goodwill 29,304 29,304 ------------- ------------- Total Assets $179,719 $163,055 ============= ============= LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities: Accounts payable $ 19,753 $ 20,218 Accrued expenses 13,278 13,835 Deferred revenue 11,758 11,493 Dividends payable 579 - Income taxes currently payable 1,462 2,379 Current portion of long-term debt 3,022 3,622 ------------- ------------- Total current liabilities 49,852 51,547 Long-term debt 2,308 22,330 Deferred tax liabilities 721 792 Other liabilities 24,568 1,311 Minority interest 9 43 Shareholders' equity 102,982 87,824 ------------- ------------- Total Liabilities and Shareholders' Equity $179,719 $163,055 ============= =============
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