North Carolina
(State or other jurisdiction of
incorporation or organization)
|
56-0674867
(I.R.S. Employer Identification No.)
|
1373 Boggs Drive, Mount Airy, North Carolina
(Address of principal executive offices)
|
27030
(Zip Code)
|
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
|
|
o
|
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
|
o
|
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
|
o
|
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
|
o
|
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
|
Exhibit 99.1
|
Press release dated October 18, 2012 announcing fourth fiscal quarter and fiscal year 2012 financial results of Insteel Industries, Inc.
|
INSTEEL INDUSTRIES, INC.
|
|||
Registrant |
Date: October 18, 2012
|
By:
|
/s/ Michael C. Gazmarian
|
|
Michael C. Gazmarian
|
|||
Vice President, Chief Financial Officer and Treasurer
|
|||
Exhibit
Number
|
Description
|
99.1
|
Press release dated October 18, 2012 announcing fourth fiscal quarter and fiscal year 2012 financial results of Insteel Industries, Inc.
|
FOR IMMEDIATE RELEASE | Contact: |
Michael C. Gazmarian
Vice President, Chief Financial Officer
and Treasurer
Insteel Industries, Inc.
336-786-2141, Ext. 3020
|
Three Months Ended
|
Year Ended
|
|||||||||||||||
(Unaudited)
|
(Unaudited)
|
(Unaudited)
|
||||||||||||||
September 29,
2012 |
October 1,
2011 |
September 29,
2012 |
October 1,
2011 |
|||||||||||||
Net sales
|
$ | 97,865 | $ | 99,091 | $ | 363,303 | $ | 336,909 | ||||||||
Cost of sales
|
91,964 | 91,345 | 340,845 | 305,166 | ||||||||||||
Gross profit
|
5,901 | 7,746 | 22,458 | 31,743 | ||||||||||||
Selling, general and administrative expense
|
4,578 | 5,970 | 18,911 | 19,608 | ||||||||||||
Gain on early extinguishment of debt
|
- | - | (425 | ) | - | |||||||||||
Restructuring charges (recoveries), net
|
- | (255 | ) | 832 | 8,318 | |||||||||||
Acquisition costs
|
- | - | - | 3,518 | ||||||||||||
Bargain purchase gain
|
- | - | - | (500 | ) | |||||||||||
Other income, net
|
26 | (126 | ) | (188 | ) | (222 | ) | |||||||||
Interest expense
|
149 | 294 | 623 | 958 | ||||||||||||
Interest income
|
(1 | ) | (1 | ) | (21 | ) | (38 | ) | ||||||||
Earnings before income taxes
|
1,149 | 1,864 | 2,726 | 101 | ||||||||||||
Income taxes
|
316 | 892 | 917 | 488 | ||||||||||||
Net earnings (loss)
|
$ | 833 | $ | 972 | $ | 1,809 | $ | (387 | ) | |||||||
Net earnings (loss) per share:
|
||||||||||||||||
Basic
|
$ | 0.05 | $ | 0.06 | $ | 0.10 | $ | (0.02 | ) | |||||||
Diluted
|
0.05 | 0.05 | 0.10 | (0.02 | ) | |||||||||||
Weighted average shares outstanding
|
||||||||||||||||
Basic
|
17,705 | 17,598 | 17,664 | 17,562 | ||||||||||||
Diluted
|
17,995 | 17,781 | 17,990 | 17,562 | ||||||||||||
Cash dividends declared per share
|
$ | 0.03 | $ | 0.03 | $ | 0.12 | $ | 0.12 |
(Unaudited)
|
||||||||||||
September 29,
2012 |
June 30,
2012 |
October 1,
2011 |
||||||||||
Assets
|
||||||||||||
Current assets:
|
||||||||||||
Cash and cash equivalents
|
$ | 10 | $ | 10 | $ | 10 | ||||||
Accounts receivable, net
|
42,138 | 40,714 | 41,971 | |||||||||
Inventories, net
|
65,774 | 77,388 | 76,374 | |||||||||
Other current assets
|
7,146 | 5,326 | 4,093 | |||||||||
Total current assets
|
115,068 | 123,438 | 122,448 | |||||||||
Property, plant and equipment, net
|
87,716 | 86,937 | 89,484 | |||||||||
Other assets
|
5,768 | 5,646 | 4,598 | |||||||||
Total assets
|
$ | 208,552 | $ | 216,021 | $ | 216,530 | ||||||
Liabilities and shareholders' equity
|
||||||||||||
Current liabilities:
|
||||||||||||
Accounts payable
|
$ | 30,126 | $ | 32,226 | $ | 38,607 | ||||||
Accrued expenses
|
5,877 | 5,867 | 7,377 | |||||||||
Current portion of long-term debt
|
- | - | 675 | |||||||||
Total current liabilities
|
36,003 | 38,093 | 46,659 | |||||||||
Long-term debt
|
11,475 | 18,615 | 13,481 | |||||||||
Other liabilities
|
11,574 | 10,191 | 7,916 | |||||||||
Commitments and contingencies
|
||||||||||||
Shareholders' equity:
|
||||||||||||
Common stock
|
17,717 | 17,691 | 17,609 | |||||||||
Additional paid-in capital
|
50,379 | 49,903 | 48,723 | |||||||||
Retained earnings
|
83,845 | 83,543 | 84,157 | |||||||||
Accumulated other comprehensive loss
|
(2,441 | ) | (2,015 | ) | (2,015 | ) | ||||||
Total shareholders' equity
|
149,500 | 149,122 | 148,474 | |||||||||
Total liabilities and shareholders' equity
|
$ | 208,552 | $ | 216,021 | $ | 216,530 |
Three Months Ended
|
Year Ended
|
|||||||||||||||
(Unaudited)
|
(Unaudited)
|
(Unaudited)
|
||||||||||||||
September 29,
2012 |
October 1,
2011 |
September 29,
2012 |
October 1,
2011 |
|||||||||||||
Cash Flows From Operating Activities:
|
||||||||||||||||
Net earnings (loss)
|
$ | 833 | $ | 972 | $ | 1,809 | $ | (387 | ) | |||||||
Adjustments to reconcile net earnings (loss) to net cash provided by (used for) operating activities:
|
||||||||||||||||
Depreciation and amortization
|
2,467 | 2,511 | 9,762 | 9,573 | ||||||||||||
Amortization of capitalized financing costs
|
27 | 20 | 97 | 81 | ||||||||||||
Stock-based compensation expense
|
744 | 1,019 | 2,208 | 2,917 | ||||||||||||
Gain on early extinguishment of debt
|
- | - | (425 | ) | - | |||||||||||
Asset impairment charges (recoveries)
|
- | (310 | ) | (11 | ) | 3,825 | ||||||||||
Deferred income taxes
|
270 | 683 | 835 | 209 | ||||||||||||
Excess tax deficiencies (benefits) from stock-based compensation
|
120 | 73 | - | (8 | ) | |||||||||||
Loss (gain) on sale of property, plant and equipment
|
28 | (1,608 | ) | (46 | ) | (1,618 | ) | |||||||||
Gain from life insurance proceeds
|
(505 | ) | - | (505 | ) | (357 | ) | |||||||||
Increase in cash surrender value of life insurance policies over premiums paid
|
(180 | ) | - | (750 | ) | - | ||||||||||
Net changes in assets and liabilities (net of assets and liabilities acquired):
|
||||||||||||||||
Accounts receivable, net
|
(1,424 | ) | 1,720 | (167 | ) | (17,001 | ) | |||||||||
Inventories
|
11,614 | (5,920 | ) | 10,600 | (11,870 | ) | ||||||||||
Accounts payable and accrued expenses
|
(1,655 | ) | (3,148 | ) | (9,562 | ) | 12,439 | |||||||||
Other changes
|
(929 | ) | 819 | (701 | ) | (710 | ) | |||||||||
Total adjustments
|
10,577 | (4,141 | ) | 11,335 | (2,520 | ) | ||||||||||
Net cash provided by (used for) operating activities
|
11,410 | (3,169 | ) | 13,144 | (2,907 | ) | ||||||||||
Cash Flows From Investing Activities:
|
||||||||||||||||
Capital expenditures
|
(3,705 | ) | (1,645 | ) | (8,066 | ) | (7,937 | ) | ||||||||
Decrease (increase) in cash surrender value of life insurance policies
|
(11 | ) | 670 | (467 | ) | (147 | ) | |||||||||
Proceeds from surrender of life insurance policies
|
21 | - | 37 | 19 | ||||||||||||
Proceeds from sale of property, plant and equipment
|
209 | 354 | 305 | 518 | ||||||||||||
Proceeds from sale of assets held for sale
|
- | 2,403 | - | 2,403 | ||||||||||||
Proceeds from life insurance claims
|
- | - | - | 1,063 | ||||||||||||
Acquisition of business
|
- | - | - | (37,308 | ) | |||||||||||
Net cash provided by (used for) investing activities
|
(3,486 | ) | 1,782 | (8,191 | ) | (41,389 | ) | |||||||||
Cash Flows From Financing Activities:
|
||||||||||||||||
Proceeds from long-term debt
|
11,471 | 40,199 | 91,150 | 52,806 | ||||||||||||
Principal payments on long-term debt
|
(18,611 | ) | (39,543 | ) | (93,406 | ) | (52,150 | ) | ||||||||
Financing costs
|
(11 | ) | - | (172 | ) | - | ||||||||||
Excess tax benefits (deficiencies) from stock-based compensation
|
(120 | ) | (73 | ) | - | 8 | ||||||||||
Cash received from exercise of stock options
|
- | - | 2 | 21 | ||||||||||||
Cash dividends paid
|
(531 | ) | (1,057 | ) | (2,121 | ) | (2,112 | ) | ||||||||
Other
|
(122 | ) | (138 | ) | (406 | ) | (202 | ) | ||||||||
Net cash used for financing activities
|
(7,924 | ) | (612 | ) | (4,953 | ) | (1,629 | ) | ||||||||
Net decrease in cash and cash equivalents
|
- | (1,999 | ) | - | (45,925 | ) | ||||||||||
Cash and cash equivalents at beginning of period
|
10 | 2,009 | 10 | 45,935 | ||||||||||||
Cash and cash equivalents at end of period
|
$ | 10 | $ | 10 | $ | 10 | $ | 10 | ||||||||
Supplemental Disclosures of Cash Flow Information:
|
||||||||||||||||
Cash paid during the period for:
|
||||||||||||||||
Interest
|
$ | 66 | $ | (83 | ) | $ | 753 | $ | 356 | |||||||
Income taxes, net
|
5 | (1,057 | ) | 176 | (489 | ) | ||||||||||
Non-cash investing and financing activities:
|
||||||||||||||||
Purchases of property, plant and equipment in accounts payable
|
176 | 384 | 176 | 384 | ||||||||||||
Restricted stock surrendered for withholding taxes payable
|
122 | 57 | 446 | 143 | ||||||||||||
Note payable issued as consideration for business acquired
|
- | - | - | 13,500 | ||||||||||||
Post-closing purchase price adjustment for business acquired
|
- | - | - | 500 |