SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
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FORM 8-K
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CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): October 27, 2017
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National Presto Industries, Inc.
(Exact name of registrant as specified in this chapter)
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Wisconsin |
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1-2451 |
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39-0494170 |
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(State or other jurisdiction of incorporation) |
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(Commission File Number) |
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(IRS Employer Identification No.) |
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3925 North Hastings Way Eau Claire, Wisconsin |
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54703-3703 |
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(Address of principal executive office) |
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(Zip Code) |
Registrant’s telephone number, including area code: 715-839-2121
N/A
(Former name or former address, if changed since last report)
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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))
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 2.02 Results of Operations and Financial Condition
On October 27, 2017, the registrant issued a press release regarding the registrant’s results of operations for the fiscal quarter ended October 1, 2017. The full text of the press release is filed as Exhibit 99.1 to this Form 8-K. Such Exhibit shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.
Item 9.01 Financial Statements and Exhibits
(d) Exhibits
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Exhibit No. |
Description |
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99.1 |
Press Release of National Presto Industries, Inc. dated October 27, 2017 |
Forward looking statements in this Form 8-K are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. There are certain important factors that could cause results to differ materially from those anticipated by some of the statements made herein. Investors are cautioned that all forward looking statements involve risks and uncertainty. In addition to the factors discussed above, among the other factors that could cause actual results to differ materially are the following: government defense spending and defense requirements; termination for the convenience of the government; interest rates; continuity of relationships with and purchases by the United States Government and other major customers; unexpected problems or events experienced by subcontractors, team members, or their respective suppliers or subcontractors; product mix; competitive pressure on pricing; increases in material, freight/shipping, labor or other production costs that cannot be recouped through pricing; and such other factors as may be described from time to time in the Registrant’s SEC filings.
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.
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National Presto Industries, Inc. |
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(Registrant) |
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Date: October 30, 2017 |
By: |
/s/ Maryjo Cohen |
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(Signature) Maryjo Cohen, President |
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and Chief Executive Officer |
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NEWS RELEASE |
CONTACT: Randy Lieble |
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FOR IMMEDIATE RELEASE |
(715) 839-2164 |
NATIONAL PRESTO INDUSTRIES, INC. ANNOUNCES
THIRD QUARTER 2017 SALES & EARNINGS
Eau Claire, Wisconsin (October 27, 2017) -- National Presto Industries, Inc. (NYSE: NPK) announced today third quarter sales and earnings, as shown in the table below. Net earnings per share have been computed on the basis of the weighted average number of common shares outstanding for the respective periods.
In response to questions about sales and earnings, Maryjo Cohen, President, stated, “As with first half, the January 3, 2017, sale of the Absorbent Product segment’s assets required a change in the presentation of comparative third quarter’s sales and earnings. The segment has been classified as a discontinued business in both years. Net after-tax earnings from the sale of the Absorbent Product segment’s assets are reflected in 2017’s results, while 2016’s includes last year’s earnings augmented by the reversal of intercompany charges, primarily the lease of the Eau Claire manufacturing facility and the allocation of corporate services. Under accounting rules, these intercompany charges cannot be applied to a discontinued business and, in the case of 2016, are presented as costs retroactively borne by the parent company
“For the continuing business, third quarter 2017 net sales decreased by $3.9 million or 5.3% from 2016 levels, reflecting a nominal 2.2% drop in Defense segment shipments and an 11.7% decline in Housewares small appliance volume. The latter was once again due to the combination of a struggling retail environment and changes in customer product assortments and promotions. The quarter’s comparative net earnings for the continuing business increased by 7% due to a variety of factors which included a 6% increase in Defense operating profits stemming from improved mix and efficiency offset in part by a volume driven loss at the Housewares/Small Appliance segment, income from rent and transitional accounting services to the purchaser of the Absorbent Product segment, and higher earnings on the company’s augmented portfolio.”
National Presto Industries, Inc. operates in two business segments. The Housewares/Small Appliance segment designs and sells small household appliances and pressure cookers under the PRESTO® brand name. It also designs and markets the first self-service fire extinguisher: the Rusoh® Eliminator® fire extinguisher. The segment is recognized as an innovator of new products. The Defense segment, operating under the aegis of National Defense Corp, manufactures a variety of products, including medium caliber training and tactical ammunition, other military energetic devices and materials, detonators, fuzes, cartridge cases, less-lethal munitions, and less-lethal accessory equipment.
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THREE MONTHS ENDED |
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October 1, 2017 |
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October 2, 2016 |
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Net Sales |
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$ |
70,614,000 |
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$ |
74,533,000 |
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Earnings from Continuing Operations |
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$ |
8,338,000 |
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$ |
7,767,000 |
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Earnings (Loss) from Discontinued Operations |
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$ |
(6,000) |
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$ |
537,000 |
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Net Earnings |
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$ |
8,332,000 |
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$ |
8,304,000 |
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Net Earnings Per Share |
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$ |
1.19 |
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$ |
1.19 |
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Weighted Shares Outstanding |
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6,991,000 |
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6,972,000 |
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EXHIBIT 99.1
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NINE MONTHS ENDED |
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October 1, 2017 |
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October 2, 2016 |
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Net Sales |
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$ |
218,029,000 |
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$ |
209,991,000 |
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Earnings from Continuing Operations |
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$ |
27,252,000 |
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$ |
22,213,000 |
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Earnings from Discontinued Operations |
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$ |
8,947,000 |
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$ |
1,576,000 |
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Net Earnings |
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$ |
36,119,000 |
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$ |
23,789,000 |
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Net Earnings Per Share |
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$ |
5.18 |
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$ |
3.41 |
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Weighted Shares Outstanding |
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6,987,000 |
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6,969,000 |
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This release contains “forward looking statements” made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995 that are subject to certain risks and uncertainties, as well as assumptions, that could cause actual results to differ materially from historical results and those presently anticipated or projected. In addition to the factors discussed above, other important risk factors are delineated in the Company’s various SEC filings.