-----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, Qby8UpFZH7OnstUNVKUHOmwXU90IBNs9Xjzh1v2B9k5YbWjnPa+zSZnuaR1IIOxy pkI97lSq6VChLW+4Z6o93A== 0000096289-04-000269.txt : 20041019 0000096289-04-000269.hdr.sgml : 20041019 20041019083131 ACCESSION NUMBER: 0000096289-04-000269 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20041019 ITEM INFORMATION: Results of Operations and Financial Condition FILED AS OF DATE: 20041019 DATE AS OF CHANGE: 20041019 FILER: COMPANY DATA: COMPANY CONFORMED NAME: RADIOSHACK CORP CENTRAL INDEX KEY: 0000096289 STANDARD INDUSTRIAL CLASSIFICATION: RETAIL-RADIO TV & CONSUMER ELECTRONICS STORES [5731] IRS NUMBER: 751047710 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-05571 FILM NUMBER: 041084226 BUSINESS ADDRESS: STREET 1: 100 THROCKMORTON ST STREET 2: STE 1700 CITY: FORT WORTH STATE: TX ZIP: 76102 BUSINESS PHONE: 8174153700 MAIL ADDRESS: STREET 1: 100 THROCKMORTON SUITE 1700 CITY: FORTH WORTH STATE: TX ZIP: 76102 FORMER COMPANY: FORMER CONFORMED NAME: TANDY CORP /DE/ DATE OF NAME CHANGE: 19920703 FORMER COMPANY: FORMER CONFORMED NAME: TANDY LEATHER CO DATE OF NAME CHANGE: 19681216 FORMER COMPANY: FORMER CONFORMED NAME: AMERICAN HIDE & LEATHER CO DATE OF NAME CHANGE: 19660825 8-K 1 k093004.txt 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): October 19, 2004 RADIOSHACK CORPORATION (Exact name of registrant as specified in its charter) Delaware (State or Other Jurisdiction of Incorporation) 1-05571 75-1047710 (Commission File Number) (IRS Employer Identification No.) 100 Throckmorton Street, Suite 1800 Fort Worth, Texas 76102 (Address of principal executive offices) (Zip Code) (817) 415-3700 (Registrant's Telephone Number, Including Area 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: _ Written communications pursuant to Rule 425 under the Securities Act _ Soliciting material pursuant to Rule 14a-12 under the Exchange Act _ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act _ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act Item 2.02 Results of Operations and Financial Condition. On October 19, 2004, RadioShack Corporation (the "Company") issued a press release containing certain information with respect to its third quarter 2004 financial results. A copy of the press release is attached as Exhibit 99.1. 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 thereunto duly authorized this 19th day of October, 2004. RADIOSHACK CORPORATION /s/ Mark C. Hill ------------------------------------------ Mark C. Hill Senior Vice President - Chief Administrative Officer, Secretary and General Counsel EXHIBIT INDEX Exhibit No. 99.1 Press Release, dated October 19, 2004. Exhibit 99.1 October 19, 2004 RSH-2004-056 For further information contact: James M. Grant, Charles Hodges, Senior Director, Investor Relations Director, Media Relations (817) 415-7833 (817) 415-3300 Or Media.relations@radioshack.com Leah M. King ------------------------------ Director, Investor Relations (817) 415-2909 investor.relations@radioshack.com - --------------------------------- RadioShack Corporation Announces Third Quarter 2004 Financial Results Comparable Store Sales Up 5%, E.P.S. Up 26% Fort Worth, Texas - RadioShack Corporation (NYSE: RSH) today announced net income of $69.7 million or $0.43 per diluted share for the quarter ended September 30, 2004 versus net income of $57.1 million or $0.34 per diluted share for the quarter ended September 30, 2003. This represents a third quarter 2004 growth rate of 22% in net income and 26% in diluted earnings per share. Third quarter 2004 comparable store sales were up 5% compared to the prior year. Total sales in the third quarter of 2004 were up 4% to $1,101.5 million, compared to total sales of $1,063.6 million for the previous year. Third quarter 2004 wireless communications department sales were up 19%. "Strong wireless and computer department sales along with greater cost leverage versus last year positively impacted our bottom line," said Leonard Roberts, chairman and chief executive officer. "Our decisions and execution throughout the organization continue to drive higher profit and better returns for our shareholders." RadioShack leveraged selling, general and administrative (SG&A) expenses as a percent of sales by 193 basis points. SG&A expenses decreased 1% in the third quarter of 2004 versus the prior year. The company remains fully committed to building upon the operational efficiency improvements it has achieved over the last two years. RadioShack delivered its third quarter 2004 earnings in spite of a significantly lower financial contribution this year from line items below operating income. Roberts said, "The quality of our earnings this year along with growth initiatives that are ready for deployment in 2005 suggests a very promising future for RadioShack." RadioShack reaffirms its 2004 earnings per share guidance of $2.07 to $2.09. The company also reaffirms its 2005 earnings per share growth rate guidance of 19% to 21%. Today at 9:00 a.m. ET, management will host a conference call for interested investors followed by a question and answer period. The public is invited to listen to the call live on the Internet at www.radioshackcorporation.com on the Investor Relations page. The call will be replayed on the web site until January 7, 2005 at 11:59 p.m. ET. Statements made in this news release which are forward-looking involve risks and uncertainties and are indicated by words such as "suggest" and other similar words or phrases. These uncertainties include, but are not limited to, economic conditions, product demand, competitive products and pricing, availability of products, the regulatory environment and other risks indicated in filings with the S.E.C. such as RadioShack's most recent Forms 10-K and 10-Q. Fort Worth, Texas-based RadioShack Corporation (NYSE: RSH) is the nation's most trusted consumer electronics specialty retailer of wireless communications, electronic parts, batteries and accessories, as well as other digital technology products and services. With 6,874 RadioShack stores and dealer outlets nationwide at quarter's end, it is estimated that 94 percent of all Americans live or work within five minutes of one of them. The company's knowledgeable sales associates and brand position - "You've got questions. We've got answers.(R)" - support RadioShack's mission to demystify technology in every neighborhood in America. For more information on the company, visit the RadioShack Corporation web site at www.radioshackcorporation.com. For more information on RadioShack products and services, visit its e-commerce web site at www.radioshack.com. RADIOSHACK CORPORATION AND SUBSIDIARIES Consolidated Income Statement (Unaudited) (In millions, except per share amounts)
Three Months Ended Increase/ Nine Months Ended Increase/ September 30, (Decrease) September 30, (Decrease) ----------------------- ------------ ----------------------- ------------ 2004 2003 2004 vs 2003 2004 2003 2004 vs 2003 ---------- ---------- ------------ ---------- ---------- ------------ Net sales and operating revenues $1,101.5 $1,063.6 $ 37.9 $3,247.9 $3,158.9 $ 89.0 Cost of products sold 544.7 530.9 13.8 1,598.5 1,577.6 20.9 ---------- ---------- ------------ ---------- ---------- ------------ Gross profit 556.8 532.7 24.1 1,649.4 1,581.3 68.1 ---------- ---------- ------------ ---------- ---------- ------------ Operating expenses: Selling, general and administrative 415.2 421.4 (6.2) 1,230.3 1,235.8 (5.5) Depreciation and amortization 24.4 23.3 1.1 73.3 68.8 4.5 ---------- ---------- ------------ ---------- ---------- ------------ Total operating expenses 439.6 444.7 (5.1) 1,303.6 1,304.6 (1.0) ---------- ---------- ------------ ---------- ---------- ------------ Operating income 117.2 88.0 29.2 345.8 276.7 69.1 Interest income 1.7 1.9 (0.2) 5.9 11.4 (5.5) Interest expense (6.5) (8.7) 2.2 (21.0) (28.1) 7.1 Other income, net -- 8.9 (8.9) 2.0 12.0 (10.0) ---------- ---------- ------------ ---------- ---------- ------------ Income before income taxes 112.4 90.1 22.3 332.7 272.0 60.7 Provision for income taxes 42.7 33.0 9.7 126.4 100.8 25.6 ---------- ---------- ------------ ---------- ---------- ------------ Net income $ 69.7 $ 57.1 $ 12.6 $ 206.3 $ 171.2 $ 35.1 ========== ========== ============ ========== ========== ============ Net income per share: Basic $ 0.44 $ 0.34 $ 0.10 $ 1.28 $ 1.01 $ 0.27 ========== ========== ============ ========== ========== ============ Diluted $ 0.43 $ 0.34 $ 0.09 $ 1.26 $ 1.01 $ 0.25 ========== ========== ============ ========== ========== ============ Shares used in computing net income per share: Basic 160.0 166.1 (6.1) 161.6 168.8 (7.2) ========== ========== ============ ========== ========== ============ Diluted 161.0 167.6 (6.6) 163.1 169.4 (6.3) ========== ========== ============ ========== ========== ============ Shares outstanding 158.8 164.5 (5.7) ========== ========== ============
RADIOSHACK CORPORATION AND SUBSIDIARIES Consolidated Balance Sheets (Unaudited) (In millions)
Sept. 30, 2004 Dec. 31, 2003 Sept. 30, 2003 ------------- ------------- ------------- Assets Cash and cash equivalents $ 384.8 $ 634.7 $ 558.2 Accounts and notes receivable, net 158.0 182.4 121.4 Inventories, net 1,032.0 766.5 914.6 Other current assets 92.0 83.0 91.3 ------------- ------------- ------------- Total current assets 1,666.8 1,666.6 1,685.5 Property, plant and equipment, net 599.0 513.1 438.3 Other assets, net 75.0 64.2 95.5 ------------- ------------- ------------- Total assets $2,340.8 $2,243.9 $2,219.3 ============= ============= ============= Liabilities and Stockholders' Equity Short-term debt, including current maturities of long-term debt $ 85.3 $ 77.4 $ 39.5 Accounts payable 426.9 300.2 409.8 Accrued expenses 270.1 343.0 265.3 Income taxes payable 115.9 137.5 150.2 ------------- ------------- ------------- Total current liabilities 898.2 858.1 864.8 Long-term debt, excluding current maturities 508.9 541.3 546.5 Other non-current liabilities 80.9 75.2 81.3 ------------- ------------- ------------- Total liabilities 1,488.0 1,474.6 1,492.6 ------------- ------------- ------------- Stockholders' equity 852.8 769.3 726.7 ------------- ------------- ------------- Total liabilities and stockholders' equity $2,340.8 $2,243.9 $2,219.3 ============= ============= =============
RADIOSHACK CORPORATION AND SUBSIDIARIES Consolidated Statements of Cash Flows (Unaudited) (In millions) Nine Months Ended September 30, 2004 2003 ---------- ---------- Cash flows from operating activities: Net income $ 206.3 $ 171.2 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 73.3 68.8 Other items 11.3 15.9 Changes in operating assets and liabilities: Receivables 24.7 77.6 Inventories (265.5) 54.2 Other current assets (9.7) (11.7) Accounts payable, accrued expenses and income taxes payable 43.6 33.7 ---------- ---------- Net cash provided by operating activities 84.0 409.7 ---------- ---------- Cash flows from investing activities: Additions to property, plant and equipment (164.1) (88.6) Proceeds from sale of property, plant and equipment 2.4 0.3 Proceeds from sale of installation subsidiary - 4.7 Other investing activities (11.4) (2.5) ---------- ---------- Net cash used in investing activities (173.1) (86.1) ---------- ---------- Cash flows from financing activities: Purchases of treasury stock (206.3) (209.4) Sales of treasury stock to employee stock plans 27.3 27.1 Proceeds from exercise of stock options 41.7 6.4 Changes in short-term borrowings, net 16.1 (16.0) Repayments of long-term borrowings (39.6) (20.0) ---------- ---------- Net cash used in investing activities (160.8) (211.9) ---------- ---------- Net (decrease) / increase in cash and cash equivalents (249.9) 111.7 Cash and cash equivalents, beginning of period 634.7 446.5 ---------- ---------- Cash and cash equivalents, end of period $ 384.8 $ 558.2 ========== ========== -----END PRIVACY-ENHANCED MESSAGE-----