8-K

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): February 23, 2017  

Atrion Corporation
(Exact Name of Registrant as Specified in Charter)

DELAWARE	0-10763	63-0821819
(State or Other Jurisdiction of Incorporation)	(Commission File Number)	(I.R.S. Employer Identification Number)

One Allentown Parkway, Allen, Texas 75002

(Address of Principal Executive Offices) (Zip Code)

972-390-9800
(Registrant's telephone number, including area code)

Not Applicable
(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 240.13e-4(c))

Item 2.02. Results of Operations and Financial Condition.

On February 23, 2017, the Registrant issued a press release, a copy of which is attached hereto as Exhibit 99.1 and is incorporated herein by reference.

Item 9.01. Financial Statements and Exhibits.

Exhibit 99.1. Press release dated February 23, 2017

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.

	Atrion Corporation
Date: February 23, 2017	By:	/s/ David A. Battat
		David A. Battat
		President and CEO

EX-99.1 2 exh_991.htm PRESS RELEASE

EXHIBIT 99.1

Atrion Reports Fourth Quarter and Full Year 2016 Results

ALLEN, Texas, Feb. 23, 2017 (GLOBE NEWSWIRE) -- Atrion Corporation (NASDAQ:ATRI) announced today that for the fourth quarter of 2016 revenues were $33.3 million compared to $32.4 million in the same period of 2015, while net income decreased to $5.6 million from $6.1 million, and diluted earnings per share were down to $3.00 from $3.27 in the prior-year period. For the full year 2016, Atrion’s revenues decreased to $143.5 million from $145.7 million in 2015, net income was down to $27.6 million from $28.9 million and diluted earnings per share decreased to $14.85 from $15.47 in 2015.

David Battat, CEO, commenting on the results for the fourth quarter and the full year 2016 as compared to the prior year periods said, "Revenues in our fourth quarter were higher by 3%, while operating income was down 9%. For the full year, revenues were down 2% with operating income lower by 8%." Mr. Battat added, "We are never pleased when year-over-year comparisons are lower. In prior statements, we cautioned about the impact of a strong dollar and the lapse of certain ophthalmic patents. To manage these forces, we focused on growing revenues in our primary activities in Fluid Delivery and Cardiovascular. These efforts resulted in positive revenue comparisons in both the third and fourth quarters.”

Mr. Battat stated, "We have recently been advised that certain ophthalmic customers are experiencing quality problems unrelated to the products we supply them. Shipments to these customers will likely remain on hold until such time as these issues are resolved. We expect deferred shipments to be made up in subsequent periods.”

Mr. Battat continued, "For the third consecutive quarter in 2016, we did not engage in share buybacks. Our cash and long and short term investments increased by $5.4 million in the quarter and $15.8 million during the year to a total of $54.0 million at year end."

Mr. Battat concluded, "Economic forecasts for 2017 suggest higher domestic growth and tighter monetary policy, potentially leading to higher inflation and an even stronger dollar. Because all of our manufacturing facilities are based in the U.S., we could experience higher operating costs while netting lower prices on the one-third of our sales destined to foreign markets. To counter these headwinds, we are continuing to focus on sales growth and investments in manufacturing that add capacity and increase efficiency. Although we may see uneven quarterly comparisons to 2016 periods, we are confident that we will end this year with a strong after-tax return on equity."

Atrion Corporation develops and manufactures products primarily for medical applications. The Company’s website is www.atrioncorp.com.

Statements in this press release that are forward looking are based upon current expectations and actual results or future events may differ materially.  Such statements include, but are not limited to, Atrion’s expectations regarding the Company’s shipments to ophthalmic customers, operating costs in 2017, prices on sales to foreign markets and after-tax return on equity. Words such as “expects,” “believes,” “anticipates,” “intends,” "should", "plans," "will" and variations of such words and similar expressions are intended to identify such forward-looking statements.  Forward-looking statements involve risks and uncertainties.  The following are some of the factors that could cause actual results or future events to differ materially from those expressed in or underlying our forward-looking statements:  changing economic, market and business conditions; acts of war or terrorism; the effects of governmental regulation; competition and new technologies; slower-than-anticipated introduction of new products or implementation of marketing strategies; the Company’s ability to protect its intellectual property; changes in the prices of raw materials; changes in product mix; and intellectual property and product liability claims and product recalls.  The foregoing list of factors is not exclusive, and other factors are set forth in the Company’s filings with the Securities and Exchange Commission.

ATRION CORPORATION
CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except per share data)
(unaudited)
	Three Months Ended						Twelve Months Ended
	December 31,						December 31,
	2016			2015			2016			2015
Revenues	$	33,294		$	32,372		$	143,487		$	145,733
Cost of goods sold		18,067			17,084			75,857			74,752
Gross profit		15,227			15,288			67,630			70,981
Operating expenses		7,616			6,958			28,504			28,471
Operating income		7,611			8,330			39,126			42,510
Interest income		134			135			448			771
Other income (expense)		--			(2,411	)		(308	)		(2,411	)
Income before income taxes		7,745			6,054			39,266			40,870
Income tax provision		(2,174	)		(4	)		(11,685	)		(11,945	)
Net income	$	5,571		$	6,050		$	27,581		$	28,925
Income per basic share	$	3.05		$	3.32		$	15.12		$	15.67
Weighted average basic shares
outstanding		1,825			1,824			1,824			1,846
	$	3.00		$	3.27		$	14.85		$	15.47
Income per diluted share
Weighted average diluted shares
outstanding		1,859			1,849			1,857			1,870

ATRION CORPORATION
CONSOLIDATED BALANCE SHEETS
(In thousands)
	Dec. 31,		Dec. 31,
ASSETS	2016		2015
	(Unaudited)		(Unaudited)
Current assets:
Cash and cash equivalents	$	20,022	$	28,346
Short-term investments		24,080		44
Total cash and short-term investments		44,102		28,390
Accounts receivable		17,166		16,620
Inventories		29,015		29,771
Prepaid expenses and other		3,181		2,934
Deferred income taxes		651		580
Total current assets		94,115		78,295
Long-term investments		9,945		9,866
Property, plant and equipment, net		65,265		63,314
Other assets		13,268		12,861
	$	182,593	$	164,336
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities		9,073		9,316
Line of credit		--		--
Other non-current liabilities		10,532		10,922
Stockholders’ equity		162,988		144,098
	$	182,593	$	164,336

Contact:
Jeffery Strickland
Vice President and Chief Financial Officer
(972) 390-9800

EX-99.1

EdgarFiling