Acme United Reports Second Quarter Results; Reaffirms Guidance for 2017
Net income for the quarter ended
Chairman and CEO
“Accordingly, we are reaffirming the Company’s guidance for 2017 of
In the U.S. segment, net sales for the quarter ended
Net sales in
Net sales in
Gross margin was 37% in the three months ended
The Company’s long-term debt less cash on
On
Forward-looking statements in this report, including without limitation, statements related to the Company’s plans, strategies, objectives, expectations, intentions and adequacy of resources, are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that such forward-looking statements involve risks and uncertainties including, without limitation, the following: (i) changes in the Company’s plans, strategies, objectives, expectations and intentions, which may be made at any time at the discretion of the Company; (ii) the impact of uncertainties in global economic conditions, including the impact on the Company’s suppliers and customers; (iii) changes in client needs and consumer spending habits; (iv) the impact of competition and technological changes on the Company; (v) the Company’s ability to manage its growth effectively, including its ability to successfully integrate any business it might acquire; (vi) currency fluctuations; (vii) increases in the cost of borrowings resulting from rising interest rates; and (viii) other risks and uncertainties indicated from time to time in the Company’s filings with the
ACME UNITED CORPORATION | |||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF INCOME | |||||||||||
SECOND QUARTER REPORT 2017 | |||||||||||
(Unaudited) | |||||||||||
Three Months Ended | Three Months Ended | ||||||||||
Amounts in 000's except per share data | June 30, 2017 | June 30, 2016 | |||||||||
Net sales | $ | 38,849 | $ | 40,997 | |||||||
Cost of goods sold | 24,366 | 26,303 | |||||||||
Gross profit | 14,483 | 14,694 | |||||||||
Selling, general, and administrative expenses | 10,594 | 10,054 | |||||||||
Income from operations | 3,889 | 4,640 | |||||||||
Interest expense, net | 321 | 211 | |||||||||
Other (income) expense, net | (51 | ) | 11 | ||||||||
Total other expense, net | 270 | 222 | |||||||||
Pre-tax income | 3,619 | 4,418 | |||||||||
Income tax expense | 773 | 1,151 | |||||||||
Net income | $ | 2,846 | $ | 3,267 | |||||||
Shares outstanding - Basic | 3,353 | 3,323 | |||||||||
Shares outstanding - Diluted | 3,780 | 3,583 | |||||||||
Earnings per share basic | $ | 0.85 | $ | 0.98 | |||||||
Earnings per share diluted | 0.75 | 0.91 | |||||||||
ACME UNITED CORPORATION | |||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF INCOME | |||||||||||
SECOND QUARTER REPORT 2017 (cont.) | |||||||||||
(Unaudited) | |||||||||||
Six Months Ended | Six Months Ended | ||||||||||
Amounts in 000's except per share data | June 30, 2017 | June 30, 2016 | |||||||||
Net sales | $ | 66,595 | $ | 66,285 | |||||||
Cost of goods sold | 41,548 | 42,406 | |||||||||
Gross profit | 25,047 | 23,879 | |||||||||
Selling, general, and administrative expenses | 19,967 | 18,284 | |||||||||
Income from operations | 5,080 | 5,595 | |||||||||
Interest expense, net | 583 | 395 | |||||||||
Other income, net | (60 | ) | (27 | ) | |||||||
Total other expense, net | 523 | 368 | |||||||||
Pre-tax income | 4,557 | 5,227 | |||||||||
Income tax expense | 1,052 | 1,395 | |||||||||
Net income | $ | 3,505 | $ | 3,832 | |||||||
Shares outstanding - Basic | 3,342 | 3,331 | |||||||||
Shares outstanding - Diluted | 3,744 | 3,560 | |||||||||
Earnings per share basic | $ | 1.05 | $ | 1.15 | |||||||
Earnings per share diluted | 0.94 | 1.08 | |||||||||
ACME UNITED CORPORATION | |||||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS | |||||||||||
SECOND QUARTER REPORT 2017 | |||||||||||
(Unaudited) | |||||||||||
Amounts in 000's | June 30, 2017 | June 30, 2016 | |||||||||
Assets: | |||||||||||
Current assets: | |||||||||||
Cash | $ | 5,674 | $ | 2,087 | |||||||
Accounts receivable, net | 32,616 | 34,646 | |||||||||
Inventories | 35,638 | 38,416 | |||||||||
Prepaid and other current assets | 2,417 | 2,424 | |||||||||
Total current assets | 76,345 | 77,573 | |||||||||
Property and equipment, net | 9,077 | 7,704 | |||||||||
Intangible assets, less amortization | 19,227 | 13,596 | |||||||||
Goodwill | 3,948 | 4,816 | |||||||||
Other assets | 765 | 1,039 | |||||||||
Total assets | $ | 109,362 | $ | 104,728 | |||||||
Liabilities and stockholders' equity: | |||||||||||
Current liabilities | |||||||||||
Accounts payable | $ | 7,498 | $ | 11,573 | |||||||
Other current liabilities | 5,215 | 6,453 | |||||||||
Total current liabilities | 12,713 | 18,026 | |||||||||
Bank debt | 46,956 | 40,821 | |||||||||
Other non current liabilities | 345 | 355 | |||||||||
60,014 | 59,202 | ||||||||||
Total stockholders' equity | 49,348 | 45,526 | |||||||||
Total liabilities and stockholders' equity | $ | 109,362 | $ | 104,728 | |||||||
CONTACT:Paul G. Driscoll Acme United Corporation 55 Walls Drive Fairfield, CT 06824 Phone: (203) 254-6060 FAX: (203) 254-6521