WMS INDUSTRIES INC.
Consolidated Summary of Operations
(Thousands, except per share amounts)
Three months ended Year ended
June 30, June 30,
1998 1997 1998 1997
Segment revenues:
Gaming $ 22,035 $ 10,722 $ 56,788 $ 33,613
Pinball, novelty and
cabinets 9,061 13,627 38,251 42,983
Contract manufacturing 3,951 - 3,951 -
Total revenues $ 35,047 $ 24,349 $ 98,990 $ 76,596
Segment gross profit (loss):
Gaming $ 6,937 $ 1,101 $ 17,338 $ 6,898
Pinball, novelty and
cabinets (956) 3,706 4,068 9,552
Contract manufacturing 613 - 613 -
Total gross profit $ 6,594 $ 4,807 $ 22,019 $ 16,450
Segment operating income
(loss):
Gaming $ 363 $ (4,202) $ (9,590) $(12,510)
Pinball, novelty and
cabinets (3,465) 93 (7,761) (2,997)
Contract manufacturing 347 --- 347 ---
Provisions related to
WMS Gaming patent
litigation --- --- --- (61,925)
WMS common stock option
adjustment --- --- (59,890) ---
Unallocated corporate (635) (544) (1,770) (1,884)
Total operating (loss) $ (3,390) $ (4,653) $(78,664) $(79,316)
Net interest and other
income $ 1,805 $ 1,151 $ 4,410 $ 2,218
Loss from continuing
operations $ (983) $ (2,197)$(48,824)(c)$(46,797)(a)
Income from discontinued
operations -
Hotel and casino
segments-net --- --- --- 3,917
Video game segment-net --- 10,752 26,746 83,575(b)
Net income (loss) $ (983) $ 8,555 $(22,078) $ 40,695
Basic and diluted earnings
per share of common stock:
(Loss) from continuing
operations $ (.04) $ (.09) $ (1.85)(c)$ (1.92)(a)
Income from discontinued
operations --- .44 1.01 3.59(b)
Net income (loss) $ (.04) $ .35 $ (.84) $ 1.67
Average shares used in per
share calculations 27,944 24,449 26,446 24,334
(a) Includes after-tax loss provisions related to litigation of
$37,361,000, $1.54 per share
(b) Includes after-tax gain on Midway initial public offering of
$47,771,000, $1.98 per share
(c) Includes after-tax WMS common stock option adjustment cost of
$39,917,000, $1.51 per share for year
WMS Industries Inc.
Condensed Consolidated Balance Sheets
(in thousands)
June 30, 1998 June 30, 1997
Assets
Cash and short-term investments $ 62,943 $ 71,853
Receivables, net 30,432 27,275
Income tax refund 10,114 ---
Inventories 39,620 33,589
Deferred income taxes 18,155 21,013
Prepaids 769 1,259
Total current assets 162,033 154,989
Investment in marketable securities - 15,000
Property, plant and equipment, net 32,607 30,744
Other assets 12,882 15,469
Net assets of discontinued operations - 90,713
Total assets $207,522 $306,915
Liabilities and Stockholders' Equity
Accounts payable $ 7,818 $ 5,920
Patent litigation accrual 35,372 37,208
Accrued liabilities 6,777 7,951
Total current liabilities 49,967 51,079
Long term debt and deferrals 2,264 59,836
Stockholders' equity:
Common stock 14,016 12,135
Additional paid-in capital 170,418 84,673
Retained earnings (deficit) (28,995) 112,098
Treasury stock and unrealized loss
in 1997 (148) (12,906)
Total stockholders' equity 155,291 196,000
Total liabilities and stockholders'
equity $207,522 $306,915 |
