Attached files
| file | filename |
|---|---|
| 8-K - FORM 8-K - TUFCO TECHNOLOGIES INC | d79577e8vk.htm |
Exhibit 99.1
Page 1 of 4
Page 1 of 4
NEWS RELEASE
For Immediate Release
TUFCO TECHNOLOGIES, INC. ANNOUNCES
FISCAL YEAR 2011 FIRST QUARTER RESULTS
FISCAL YEAR 2011 FIRST QUARTER RESULTS
GREEN BAY, WI (February 10, 2011)—Tufco Technologies, Inc. (NASDAQ: TFCO), a leading provider of
branded contract wet and dry wipes converting in North America and a leader in specialty printing
services and business imaging products, today announced that its sales for the first quarter of
fiscal year 2011, which ended December 31, 2010, were $24,161,000, up 21% from sales for the first
quarter of fiscal year 2010. Net loss per diluted share for the first quarter of fiscal 2011 was
$0.04 per share compared to $0.03 net loss per diluted share for the first quarter of fiscal 2010.
In commenting on the results, Louis LeCalsey, Tufco’s President and CEO said, “Though we are
showing significant sales growth, that number is impacted as our product mix has a larger materials
content and the pass through of these material costs, while increasing sales, does not increase
profitability.”
“We see demand increasing in Contract Manufacturing from both existing customers and new customers.
Our expanded product and service offerings as well as our targeted new market channels are showing
positive results.”
“In Business Imaging, we are concentrating on, and executing the expansion of our customer base.
We are seeing an increase in paper pricing coupled with competitive supply increases, creating
pricing pressure in the face of higher cost.”
Page 2 of 4
Tufco, headquartered in Green Bay, Wisconsin, has manufacturing operations in Wisconsin and
North Carolina.
Information about the results reported herein, or copies of the Company’s Quarterly Reports, may be
obtained by calling the contact person listed below.
This press release, including the discussion of the Company’s fiscal 2011 results in comparison to
fiscal 2010 contains forward-looking statements regarding current expectations, risks and
uncertainties for future periods. The actual results could differ materially from those discussed
herein due to a variety of factors such as the Company’s ability to increase sales, changes in
customer demand for its products, cancellation of production agreements by significant customers
including two Contract Manufacturing customers it depends upon for a significant portion of its
business, its ability to meet competitors’ prices on products to be sold under these production
agreements, the effects of the economy in general, including the current economic downturn, the
Company’s ability to refinance or replace its line of credit, which expires January 31, 2012, the
Company’s inability to benefit from any general economic improvements, material increases in the
cost of raw materials, competition in the Company’s product areas, the ability of management to
successfully reduce operating expenses including labor and waste costs in relation to net sales,
the Company’s ability to increase sales and earnings as a result of new projects, including its
canister line introduced in 2009, the Company’s ability to successfully install new equipment on a
timely basis, the Company’s ability to continue to produce new products, the Company’s ability to
return to profitability and then continue to improve profitability, the Company’s ability to
successfully attract new customers through its sales initiatives and strengthening its new business
development efforts, and the Company’s ability to improve the run rates for its products.
Therefore, the financial data for the periods presented may not be indicative of the Company’s
future financial condition or results of operations. The Company assumes no responsibility to
update the forward-looking statements contained in this press release.
| Contact: | Michael B. Wheeler, VP and CFO Tufco Technologies, Inc. P. O. Box 23500 Green Bay, WI 54305-3500 (920) 336-0054 (920) 336-9041 (Fax) |
Page 3 of 4
TUFCO TECHNOLOGIES, INC.
Condensed Consolidated Balance Sheets
(Amounts in 000’s)
Condensed Consolidated Balance Sheets
(Amounts in 000’s)
| December 31, | September 30, | |||||||
| 2010 | 2010 | |||||||
ASSETS |
||||||||
Cash |
$ | 7 | $ | 8 | ||||
Accounts Receivable — Net |
13,350 | 14,211 | ||||||
Inventories — Net |
17,411 | 14,330 | ||||||
Other Current Assets |
745 | 538 | ||||||
Total Current Assets |
31,513 | 29,087 | ||||||
Property, Plant and Equipment — Net |
18,309 | 18,640 | ||||||
Goodwill — Net |
7,212 | 7,212 | ||||||
Other Assets |
136 | 136 | ||||||
Total |
$ | 57,170 | $ | 55,075 | ||||
LIABILITIES AND STOCKHOLDERS’ EQUITY |
||||||||
Revolving Line of Credit |
$ | 6,646 | $ | 4,477 | ||||
Current Portion of Note Payable |
248 | 244 | ||||||
Accounts Payable |
10,304 | 9,975 | ||||||
Accrued Liabilities |
542 | 555 | ||||||
Other Current Liabilities |
383 | 435 | ||||||
Total Current Liabilities |
18,123 | 15,686 | ||||||
Long-Term Debt |
964 | 1,027 | ||||||
Deferred Income Taxes |
2,151 | 2,257 | ||||||
Common Stock and Paid-in Capital |
25,551 | 25,545 | ||||||
Retained Earnings |
12,539 | 12,718 | ||||||
Treasury Stock |
(2,158 | ) | (2,158 | ) | ||||
Total Stockholders’ Equity |
35,932 | 36,105 | ||||||
Total |
$ | 57,170 | $ | 55,075 | ||||
Page 4 of 4
TUFCO TECHNOLOGIES, INC.
Condensed Consolidated Statements of Operations
(Amounts in 000’s except share and per share data)
Condensed Consolidated Statements of Operations
(Amounts in 000’s except share and per share data)
| Three Months Ended | ||||||||
| December 30, | ||||||||
| 2010 | 2009 | |||||||
Net Sales |
$ | 24,161 | $ | 20,042 | ||||
Cost of Sales |
23,058 | 18,998 | ||||||
Gross Profit |
1,103 | 1,044 | ||||||
SG&A Expense |
1,340 | 1,277 | ||||||
Operating Loss |
(237 | ) | (233 | ) | ||||
Interest Expense |
64 | 22 | ||||||
Interest Income and Other Income |
(17 | ) | (15 | ) | ||||
Loss Before Income Taxes |
(284 | ) | (240 | ) | ||||
Income Tax Benefit |
(106 | ) | (90 | ) | ||||
Net Loss |
$ | (178 | ) | $ | (150 | ) | ||
Net Loss Per Share: |
||||||||
Basic |
$ | (0.04 | ) | $ | (0.03 | ) | ||
Diluted |
$ | (0.04 | ) | $ | (0.03 | ) | ||
Weighted Average Common Shares Outstanding: |
||||||||
Basic |
4,308,947 | 4,308,947 | ||||||
Diluted |
4,308,947 | 4,308,947 | ||||||