-----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, J/WH20lvZIOTB00RF+UlZIfBjg0459miG41Mb0gT+yj9uQRtcchxutPMj7b0pi6+ FdvZpygA3zwnuFZeDuBOJA== 0000906344-96-000002.txt : 19960208 0000906344-96-000002.hdr.sgml : 19960208 ACCESSION NUMBER: 0000906344-96-000002 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 19960123 ITEM INFORMATION: Other events ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 19960207 SROS: NASD FILER: COMPANY DATA: COMPANY CONFORMED NAME: GOOD GUYS INC CENTRAL INDEX KEY: 0000785931 STANDARD INDUSTRIAL CLASSIFICATION: RETAIL-RADIO TV & CONSUMER ELECTRONICS STORES [5731] IRS NUMBER: 942366177 STATE OF INCORPORATION: DE FISCAL YEAR END: 0930 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-14134 FILM NUMBER: 96512868 BUSINESS ADDRESS: STREET 1: 7000 MARINA BLVD CITY: BRISBANE STATE: CA ZIP: 94005 BUSINESS PHONE: 4156155000 MAIL ADDRESS: STREET 2: 7000 MARINA BLVD CITY: BRISBANE STATE: CA ZIP: 94005 8-K 1 FORM 8-K 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): January 23, 1996 THE GOOD GUYS, INC. (Exact name of registrant as specified in its charter) Delaware 0-14134 94-2366177 (State or other (Commission (IRS Employer jurisdiction of File Number) Identification No.) incorporation) 7000 Marina Boulevard, Brisbane, California 94005-1830 (Address of principal executive offices) (Zip Code) (Registrant's telephone number, including area code): 415/615-5000 -1- Item 5. Other Events. On January 23, 1996, the Registrant announced that Ronald A. Unkefer, its founder and former Chief Executive Officer, was resigning as Chairman of the Board of Directors and as a Director to enable him to devote his full time and attention to other opportunities. On January 29, 1996, the Registrant announced that its Board of Directors had authorized the purchase of up to 500,000 shares of its common stock in open-market purchases or in private transactions. Item 7. Financial Statements and Exhibits. (c) 99.1 Press Release dated January 23, 1996. 99.2 Press Release dated January 29, 1996. SIGNATURE 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. THE GOOD GUYS, INC. (Registrant) By: /s/ Robert A. Gunst ________________________ Name: Robert A. Gunst Title: Chief Executive Officer Dated: February 7, 1996 -2- Exhibit Index Exhibit No. Description 99.1 Press Release dated January 23, 1996 99.2 Press Release dated January 29, 1996 -3- EX-99.1 2 EXHIBIT 99.1 - PRESS RELEASE 01/23/96 EXHIBIT 99.1 [THE GOOD GUYS! LETTERHEAD] PRESS RELEASE Contact: Robert A. Gunst President and Chief Executive Officer (415) 615-6060 Keith Foxe Public Relations Manager (415) 615-6018 FOR RELEASE AT 8:00 a.m. EASTERN TIME TUESDAY, JANUARY 23, 1996 THE GOOD GUYS! ANNOUNCES FIRST QUARTER RESULTS Brisbane (January 23, 1996)--THE GOOD GUYS! (NASDAQ: GGUY) today announced net earnings for its first fiscal quarter ended December 31, 1995 of $6.7 million, down from $8.6 million a year ago. Earnings per share were $.50 on 13.6 million weighted average shares outstanding, versus $.65 on 13.3 million weighted average shares outstanding during the first quarter of fiscal 1995. As reported earlier, sales for the first quarter of fiscal 1996 were up 9% to a record $306.7 million, with comparable store sales declining 6%. Commenting on the Company's performance, Robert A. Gunst, President and Chief Executive Officer, said "The challenging retail environment during the first quarter of fiscal 1996 resulted in disappointing sales and earnings for the Company. Weak consumer demand and a highly promotional marketplace characterized this key holiday period. Notwithstanding the decline in same store sales, we believe that we were able to maintain market share as a result of THE GOOD GUYS! value- added marketing strategy. "As has been the case for over a year, personal computers represented a larger portion of our sales mix during the quarter, strongly contributing to the 1.4 percentage point drop in our gross profit margin versus last year, to 22.7%. However, despite our same store sales decline, we were able to hold SG&A costs to the same percentage of sales as last year through rigorous cost control. In addition, and importantly, our distribution and purchasing systems enabled us to manage our holiday season inventories in line with the decreased demand. In fact, at the end of the quarter, merchandise inventories were $11 million below last year, notwithstanding our eleven additional stores. "On the expansion front, we added four new stores during the first quarter; one in Las Vegas, one in Seattle, and two in Southern California. During the remainder of fiscal 1996, we plan to open seven to ten additional stores, all located within our existing four-state market area. "As we look forward, we see product trends that should drive the integration of the audio, video, computer, and communications products that we sell into new, exciting, but more complex consumer electronics products. This fall, for example, we expect to see the introduction of the initial new DVD hardware and software. This product evolution will increase the complexity of consumer electronics shopping, reinforcing the need for the value-added, knowledgeable service that store associates at THE GOOD GUYS! provide. We are confident that these trends, along with our strong consumer franchise in each of our markets, positions the Company well for continued growth in the future." The Company also announced that Ronald A. Unkefer, the founder and former Chief Executive Officer of the Company, was resigning as Chairman of the Board and as a Director to enable him to devote his full time and attention to other opportunities. Robert A. Gunst said, "We will miss very much Ron Unkefer's involvement with THE GOOD GUYS!. His contribution to the Company over the years has been invaluable." THE GOOD GUYS! is a leading specialty retailer of consumer electronics, marketing a broad range of high quality, name brand products through its 70 stores; 56 in California, eight in Washington, three in Oregon and three in Nevada. THE GOOD GUYS! SELECTED FINANCIAL DATA (Unaudited) Quarter Ended December 31: 1995 1994 Sales $306,715,000 $281,658,000 Net Income $ 6,728,000 $ 8,601,000 Average Shares 13,581,000 13,286,000 Earnings Per Share $ .50 $ .65 THE GOOD GUYS, INC. Condensed Statement of Income (Unaudited) (Amounts in thousands except per share data) Three Months Ended December 31, 1995 December 31, 1994 % of % of Amount Sales Amount Sales Net Sales $306,715 100.0 $281,658 100.0 Cost of sales 236,955 77.3 213,702 75.9 ________ ________ Gross profit 69,760 22.7 67,956 24.1 Selling, general and administrative expenses 58,439 19.0 53,724 19.1 ________ ________ Income from operations 11,321 3.7 14,232 5.0 Interest income (expense) - net (45) (0.0) (132) (0.0) ________ ________ Income before income taxes 11,276 3.7 14,100 5.0 Income taxes 4,548 1.5 5,499 2.0 ________ ________ Net income $ 6,728 2.2 $ 8,601 3.1 ======== ======== Net income per share $ 0.50 $ 0.65 ======== ======== Shares used in per share computation 13,581 13,286 ======== ======== The GOOD GUYS, INC. Condensed Balance Sheets (Unaudited) December 31 (Amounts in thousands) 1995 1994 ASSETS Current Assets: Cash $ 23,819 $ 20,302 Receivables 42,467 36,526 Inventories 168,825 179,819 Prepaid assets 8,999 4,514 ________ ________ Total Current Assets 244,110 241,161 Property and equipment, net 57,049 52,302 Other assets 2,384 4,132 ________ ________ Total assets $303,543 $297,595 ======== ======== LIABILITIES AND SHAREHOLDERS' EQUITY Current Liabilities: Accounts payable $104,627 $122,169 Accrued expenses 56,166 47,840 ________ ________ Total current liabilities 160,793 170,009 Shareholders' equity 142,750 127,586 ________ ________ Total liabilities and shareholders' equity $303,543 $297,595 ======== ======== EX-99.2 3 EXHIBIT 99.2 - PRESS RELEASE 01/29/96 EXHIBIT 99.2 [THE GOOD GUYS! LETTERHEAD] PRESS RELEASE Contact: Robert A. Gunst President and Chief Executive Officer (415) 615-6060 Keith J. Foxe Public Relations Manager (415) 615-6018 FOR RELEASE AT 8:00 AM Eastern Time MONDAY, JANUARY 29, 1996 THE GOOD GUYS! ANNOUNCES STOCK PURCHASE PROGRAM Brisbane (January 29, 1996) -- THE GOOD GUYS! (NASDAQ: GGUY) today announced that its Board of Directors has authorized the purchase of up to 500,000 shares of its common stock in open-market purchases or in private transactions. The Company said that it expects the share repurchases to take place from time-to-time as market conditions warrant. THE GOOD GUYS! is a leading specialty retailer of consumer electronics, marketing a broad range of high quality, name brand products through its 70 stores; 56 in California, eight in Washington, three in Oregon and three in Nevada. # # # -----END PRIVACY-ENHANCED MESSAGE-----