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8-K - 8-K - AMERICAN WOODMARK CORPamwd-082316q18kearnings.htm

Exhibit 99.1

awc_logoa03a02a01a01a05.jpg
 
 
 
P. O. Box 1980
 
Winchester, VA 22604-8090

 



Contact:
Kevin Dunnigan
Assistant Treasurer
540-665-9100




AMERICAN WOODMARK CORPORATION
ANNOUNCES FIRST QUARTER RESULTS

WINCHESTER, Virginia (August 23, 2016) -- American Woodmark Corporation (NASDAQ: AMWD) today announced results for its first fiscal quarter ended July 31, 2016.

Net sales for the first fiscal quarter increased 12% to $258.2 million compared with the same quarter of the prior fiscal year. The Company experienced growth in all channels during the first quarter of fiscal year 2017.

Net income was $21.7 million ($1.32 per diluted share) for the first quarter of the current fiscal year compared with $15.2 million ($0.92 per diluted share) for the first quarter of the prior fiscal year. The Company benefited $0.06 per diluted share from a lower tax rate in the quarter due to the adoption of a new accounting standard that requires companies to reflect the tax benefit from stock-based compensation transactions in their tax rate and earnings per share.

Gross profit for the first quarter of the current fiscal year was 23.0% of net sales compared with 21.7% in the same quarter of the prior year. Gross profit in the current quarter was favorably impacted by higher sales volume, lower labor benefit costs and improved operating efficiency.

Selling, general and administrative costs for the first quarter of the fiscal year 2017 were 10.6% of net sales compared with 11.4% in the same quarter of the prior year. The decrease in the Company’s operating expense ratio was driven by favorable leverage from increased sales, lower display costs and on-going expense control.

The Company generated net cash from operating activities of $32.9 million during the first quarter of fiscal year 2017 compared with $17.7 million during the same period in the prior year. The improvement in the Company’s cash from operating activities was driven primarily by higher operating profitability and lower increases in customer receivables. Net cash used by investing activities was $40.6 million during the first quarter of the current fiscal year compared with $15.3 million during the same period of the prior year due to a $35.0 million investment in certificates of deposit which was partially offset by decreased investment in property, plant and equipment. Net cash used by financing activities of $4.3 million increased $5.4 million during the first quarter of the current fiscal year compared to the same period in the prior year as the company repurchased 72,400 shares of common stock at a cost of $5.1 million, a $3.3 million increase from the prior year, and proceeds from the exercise of stock options decreased $1.5 million.








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AMWD Announces First Quarter Results
Page 2
August 23, 2016




American Woodmark Corporation manufactures and distributes kitchen cabinets and vanities for the remodeling and new home construction markets. Its products are sold on a national basis directly to home centers, major builders and through a network of independent distributors. The Company presently operates nine manufacturing facilities and seven service centers across the country.

Safe harbor statement under the Private Securities Litigation Reform Act of 1995: All forward‑looking statements made by the Company involve material risks and uncertainties and are subject to change based on factors that may be beyond the Company's control. Accordingly, the Company's future performance and financial results may differ materially from those expressed or implied in any such forward-looking statements. Such factors include, but are not limited to, those described in the Company's filings with the Securities and Exchange Commission and the Annual Report to Shareholders. The Company does not undertake to publicly update or revise its forward looking statements even if experience or future changes make it clear that any projected results expressed or implied therein will not be realized.



AMERICAN WOODMARK CORPORATION






Unaudited Financial Highlights






(in thousands, except share data)






Operating Results









Three Months Ended



July 31



2016

2015






Net Sales

$
258,150


$
231,198

Cost of Sales & Distribution

198,833


181,025


Gross Profit

59,317


50,173

Sales & Marketing Expense

16,463


15,719

G&A Expense

10,932


10,731


Operating Income

31,922


23,723

Interest & Other (Income) Expense

(38
)

2

Income Tax Expense

10,299


8,563


Net Income

$
21,661


$
15,158







Earnings Per Share:




Weighted Average Shares Outstanding - Diluted

16,380,983


16,421,230







Income Per Diluted Share

$
1.32


$
0.92




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AMWD Announces First Quarter Results
Page 3
August 23, 2016



Condensed Consolidated Balance Sheet
(Unaudited)



July 31

April 30



2016

2016






Cash & Cash Equivalents

$
162,563


$
174,463

Investments - certificates of deposit

56,750


25,750

Customer Receivables

57,580


55,813

Inventories

39,954


39,319

Other Current Assets

5,726


6,864


Total Current Assets

322,573


302,209

Property, Plant & Equipment

100,354


99,332

Investments - certificates of deposit
 
22,250

 
18,250

Other Assets

45,417


46,902


Total Assets

$
490,594


$
466,693







Current Portion - Long-Term Debt

$
1,597


$
1,574

Accounts Payable & Accrued Expenses

95,182


90,739


Total Current Liabilities

96,779


92,313

Long-Term Debt

23,121


22,478

Other Liabilities

68,998


71,141


Total Liabilities

188,898


185,932

Stockholders' Equity

301,696


280,761


Total Liabilities & Stockholders' Equity

$
490,594


$
466,693


Condensed Consolidated Statements of Cash Flows
(Unaudited)



Three Months Ended



July 31



2016

2015






Net Cash Provided by Operating Activities

$
32,947


$
17,655

Net Cash Used by Investing Activities

(40,571
)

(15,295
)
Net Cash (Used) Provided by Financing Activities

(4,276
)

1,119

Net (Decrease) Increase in Cash and Cash Equivalents

(11,900
)

3,479

Cash and Cash Equivalents, Beginning of Period

174,463


149,541







Cash and Cash Equivalents, End of Period

$
162,563


$
153,020




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