-----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, DAD2z0p4t//o/pL1S6Cvgvf/T9AF5e24uWMVMxYXV+FKMYaa279IJPoDnHVxxIlp TlMOpfmVGZM+/ekVY1yZlA== 0001144204-08-036760.txt : 20080626 0001144204-08-036760.hdr.sgml : 20080626 20080626093233 ACCESSION NUMBER: 0001144204-08-036760 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20080624 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20080626 DATE AS OF CHANGE: 20080626 FILER: COMPANY DATA: COMPANY CONFORMED NAME: KEWAUNEE SCIENTIFIC CORP /DE/ CENTRAL INDEX KEY: 0000055529 STANDARD INDUSTRIAL CLASSIFICATION: LABORATORY APPARATUS & FURNITURE [3821] IRS NUMBER: 380715562 STATE OF INCORPORATION: DE FISCAL YEAR END: 0430 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-05286 FILM NUMBER: 08918327 BUSINESS ADDRESS: STREET 1: 2700 W FRONT ST CITY: STATESVILLE STATE: NC ZIP: 28677 BUSINESS PHONE: 7048737202 MAIL ADDRESS: STREET 1: P O BOX 1842 CITY: STATESVILLE STATE: NC ZIP: 28687-1842 FORMER COMPANY: FORMER CONFORMED NAME: KEWAUNEE SCIENTIFIC EQUIPMENT CORP /DE/ DATE OF NAME CHANGE: 19861216 FORMER COMPANY: FORMER CONFORMED NAME: KEWAUNEE MANUFACTURING CO DATE OF NAME CHANGE: 19680108 8-K 1 v118083_8k.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) June 24, 2008 Kewaunee Scientific Corporation - -------------------------------------------------------------------------------- (Exact name of registrant as specified in its charter) Delaware 0-5286 38-0715562 - -------------------------------------------------------------------------------- (State or other jurisdiction (Commission (I.R.S. Employer of incorporation) File Number) Identification No.) 2700 West Front Street Statesville, North Carolina 28677 - -------------------------------------------------------------------------------- (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code 704-873-7202 - -------------------------------------------------------------------------------- N/A - -------------------------------------------------------------------------------- (Former name or former address, if changed since last report.) 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 (17 CFR 230.425) |_| Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |_| Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |_| Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13a-4(c)) Item 2.02 Results of Operations and Financial Conditions On June 24, 2008, Kewaunee Scientific Corporation issued a press release announcing its financial results for the fourth quarter and year ended April 30, 2008. A copy of the Press Release is furnished as Exhibit 99.1 to this Current Report on Form 8-K. ITEM 9.01 FINANCIAL STATEMENTS AND EXHIBITS (c) EXHIBITS: EXHIBIT NO. 99.1 Press Release of Kewaunee Scientific Corporation dated June 24, 2008. In accordance with General Instruction B.2 of Form 8-K, the information in this Current Report on Form 8-K, including Exhibit 99.1, shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or otherwise subject to the liabilities of that section, and shall not be incorporated by reference into any registration statement or other document filed under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing. 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. (Registrant) Kewaunee Scientific Corporation Date: June 24, 2008 /s/ D. MICHAEL PARKER ----------------------------------- Senior Vice President, Finance Chief Financial Officer EX-99.1 2 v118083_ex99-1.txt KEWAUNEE SCIENTIFIC REPORTS RESULTS NET EARNINGS FOR YEAR INCREASE 104%, SALES INCREASE 9.9% Exchange: NASDAQ (KEQU) Contact: D. Michael Parker 704/871-3290 STATESVILLE, N.C. June 24, 2008 Kewaunee Scientific Corporation (Nasdaq: KEQU) today reported results for its fiscal year and fourth quarter ended April 30, 2008. Net earnings for the year increased 104% to $3,134,000, or $1.23 per diluted share, up from net earnings of $1,540,000, or $0.62 per diluted share, in the prior year. Earnings benefited from a strong performance from the Company's domestic operations, improved profit margins, and continued growth of its international operations. Sales for the year increased 9.9% to $89,510,000, up from sales of $81,441,000 in the prior year. Incoming orders were strong throughout the year, both domestic and international. The order backlog was a record year-end level of $58.7 million at April 30, 2008, up from $51.1 million at April 30, 2007. Sales from domestic operations increased to $73,768,000, up 10.8% from the prior year. Sales from international operations increased to $15,742,000, up 6.0% from the prior year. "We made progress in a number of important areas in fiscal year 2008," said William A. Shumaker, President and Chief Executive Officer. "We are particularly pleased with the performance of our domestic operations, which were successful in increasing sales over all major product lines, building up our order backlog to record levels, and reducing manufacturing costs. Our international operations continued to execute well, with continued growth in sales, earnings, and order backlog during the year. In addition to operational accomplishments, our Statesville operations successfully moved to a new comprehensive ERP business management system late in the fourth quarter, and we successfully completed our project to become Sarbanes-Oxley Section 404 compliant. "Our continued successes in fiscal year 2008 have made us a much stronger Company and keeps us on a solid track for long-term success and profitability," continued Mr. Shumaker. "Looking toward fiscal year 2009, we begin the year with a strong order backlog, good operating momentum, and healthy marketplaces for our products, both domestically and internationally. Like many businesses, we are challenged these days with extraordinary escalations in prices of raw materials, particularly steel and epoxy resin, energy, and transportation costs. We are aggressively pursuing strategies to minimize these increases." The Company's financial condition further strengthened during the year. Working capital increased to $15.9 million at April 30, 2008, up from $12.3 million at the end of the prior year. Cash on hand at the end of the year increased to $4.3 million, up from $2.6 million at the end of the prior year. Bank borrowings and capital lease obligations were $5.0 million at year-end, as compared to $4.3 million at the end of the prior year, and the debt-to-equity ratio was .19-to-1 at year-end, as compared to .18-to-1 at the end of the prior year. Net earnings for the fourth quarter were $446,000, or $.17 per diluted share, as compared to net earnings of $517,000, or $.21 per diluted share, in the prior year. Sales for the fourth quarter were $22,116,000, down slightly from sales of $22,721,000 in the same quarter of the prior year. Sales from domestic operations for the quarter were flat with the same quarter of the prior year, while sales from international operations declined slightly. Shipments and earnings were unfavorably impacted by inefficiencies and expenses associated with the Company's conversion during the quarter to a new comprehensive ERP system which incorporated all of the Company's business management systems. As recently announced, the Company increased its quarterly cash dividend to eight cents per outstanding share, up from seven cents per share declared in the previous quarter. Kewaunee Scientific Corporation is a recognized leader in the design, manufacture, and installation of scientific and technical furniture. The Company's corporate headquarters and domestic manufacturing facilities are located in Statesville, North Carolina. The Company also has subsidiaries in Singapore and Bangalore, India that serve the Asian and Middle East markets. Kewaunee Scientific's website is located at http://www.kewaunee.com. CERTAIN STATEMENTS IN THIS RELEASE CONSTITUTE "FORWARD-LOOKING" STATEMENTS WITHIN THE MEANING OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995. SUCH FORWARD-LOOKING STATEMENTS INVOLVE KNOWN AND UNKNOWN RISKS, UNCERTAINTIES AND OTHER FACTORS THAT COULD SIGNIFICANTLY IMPACT RESULTS OR ACHIEVEMENTS EXPRESSED OR IMPLIED BY SUCH FORWARD-LOOKING STATEMENTS. THESE FACTORS INCLUDE, BUT ARE NOT LIMITED TO, ECONOMIC, COMPETITIVE, GOVERNMENTAL, AND TECHNOLOGICAL FACTORS AFFECTING THE COMPANY'S OPERATIONS, MARKETS, PRODUCTS, SERVICES, AND PRICES. CONSOLIDATED STATEMENTS OF OPERATIONS (IN THOUSANDS, EXCEPT PER SHARE DATA)
Three Months Ended Year Ended April 30 April 30 2008 2007 2008 2007 ------- ------- ------- ------- (Unaudited) Net sales $22,116 $22,721 $89,510 $81,441 Cost of products sold 17,579 18,467 70,338 66,355 ------- ------- ------ ------- Gross profit 4,537 4,254 19,172 15,086 Operating expenses 3,748 3,363 13,559 11,728 ------- ------- ------ ------- Operating earnings 789 891 5,613 3,358 Other income 49 20 47 53 Interest expense 8 (146) (294) (670) ------- ------- ------ ------- Earnings before income taxes 846 765 5,366 2,741 Income tax expense 342 289 1,733 902 ------- ------- ------ ------- Earnings before minority interests 504 476 3,633 1,839 Minority interests in subsidiaries (58) 41 (499) (299) ------- ------- ------- ------- Net earnings $ 446 $ 517 $ 3,134 $ 1,540 ======= ======= ======= ======= Net earnings per share Basic $ 0.17 $ 0.21 $ 1.24 $ 0.62 Diluted $ 0.17 $ 0.21 $ 1.23 $ 0.62 Weighted average number of common shares outstanding (in thousands) Basic 2,551 2,494 2,530 2,493 Diluted 2,577 2,502 2,557 2,495
CONDENSED CONSOLIDATED BALANCE SHEETS (in thousands) April 30 April 30 2008 2007 -------- -------- ASSETS Cash and cash equivalents $ 3,784 $ 2,231 Restricted cash 480 372 Receivables, less allowances 20,561 19,061 Inventories 6,984 5,869 Prepaid expenses and other current assets 1,847 981 ------- ------- Total current assets 33,656 28,514 Net property, plant and equipment 11,825 11,255 Other assets 5,599 5,471 ------- ------- Total Assets $51,080 $45,240 ======= ======= LIABILITIES AND STOCKHOLDERS' EQUITY Short-term borrowings $ 4,551 $ 3,489 Current obligations under capital leases 323 360 Accounts payable 8,929 8,437 Other current liabilities 3,933 3,897 ------- ------- Total current liabilities 17,736 16,183 Other non-current liabilities 6,397 5,009 Total stockholders' equity 26,947 24,048 ------- ------- Total Liabilities and Stockholders' Equity $51,080 $45,240 ======= ======= -----END PRIVACY-ENHANCED MESSAGE-----