Finally a well done Q report ...
Wednesday February 13, 2:23 pm Eastern Time
Press Release
SOURCE: New Brunswick Scientific Co., Inc.
New Brunswick Scientific Reports 2001 Fourth-Quarter and Full-Year Earnings Soar On Record Sales
Declares 10% Stock Dividend
EDISON, N.J., Feb. 13 /PRNewswire-FirstCall/ -- New Brunswick Scientific Co., Inc. (Nasdaq: NBSC - news), a designer and manufacturer of a wide variety of research equipment and scientific instruments for the life sciences, today announced sharply improved financial results for its 2001 fourth quarter and full year ended December 31, 2001. Sales set a new record and income per share for the full year experienced dramatic increases to a $0.33 profit from 2000's $0.59 loss-a sharp $0.92 swing.
For the 2001 fourth quarter, net sales advanced 19 percent to a quarterly record $17,253,000 from $14,545,000 in last year's comparable quarter. Fourth-quarter net income grew to $1,836,000, or $0.27 per diluted share, from $32,000, or zero per diluted share, in the year-ago period.
For the full year, net sales surged 21 percent to a record $60,294,000 from $49,864,000 one year ago. 2001 net income reached $2,211,000, or $0.33 per diluted share, compared with the net loss of $3,927,000, or $0.59 per diluted share, incurred in 2000. Last year's reported results included a $950,000 charge related to the write-off of an investment. This year's results include a $260,000 charge related to non-recurring severance costs.
Co-founder and Chairman David Freedman said, ``The dramatic improvement in our financial results achieved during 2001 reflected a sharpened focus on our growing core equipment business and the year's impressive sales performance. Most significantly, the carrying value of our equity investment in 47-percent-owned DGI BioTechnologies, Inc., was reduced to zero during the fourth quarter of 2001 and the Company no longer has any future financial obligations related to DGI.
``2001 pretax income increased to $2,883,000 from a pretax loss of $3,975,000 in 2000. Excluding the impact of DGI, nonrecurring severance costs in 2001 and the write-off of an investment in 2000, pretax income grew to $4,055,000 compared with last year's pretax income of $36,000. Moreover, as a result of our retained ownership position, our shareholders maintain a substantial interest in DGI's attractive upside potential going forward,'' he said.
``Looking ahead, we see many reasons for continued optimism. Sales are rising reflecting our core strength and rebounding markets. Enhanced manufacturing efficiencies are resulting in shortened lead times for product shipments, lowering backlog. NBS' backlog of unfilled orders at December 31, 2001, stood at $10,381,000 versus $12,543,000 at the end of 2000. Last year's backlog included a significant amount related to the recently exited fully customized bioprocess equipment business. As we become increasingly efficient with our operations, we expect further declines in backlog moving forward.
``Additionally, we have successfully negotiated a three-year contract extension of our exclusive distribution agreement with Fisher Scientific International, lending further stability to our global presence. And perhaps most importantly, we have begun 2002 unfettered by non-core investments, giving us the opportunity to focus on our core business which should lead to solid growth in both sales and earnings as we move forward,'' Freedman concluded.
Based on its positive outlook for 2002, New Brunswick Scientific also announced today that its Board of Directors has declared a 10-percent stock dividend on the Company's outstanding common stock. The stock dividend is payable on May 15, 2002, to common shareholders of record as of the close of business on April 15, 2002. Fractional shares will be paid in cash.
New Brunswick Scientific Co., Inc., designs and manufactures a wide variety of research equipment and scientific instruments for the life sciences and holds a minority equity position in DGI BioTechnologies, Inc., a drug-lead-discovery operation.
This press release includes statements that may constitute forward-looking statements made pursuant to the Safe Harbor provision of the Private Securities Litigation Reform Act of 1995. This information may involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Although the Company believes that the expectations reflected in such forward-looking statements are based on reasonable assumptions, such statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected. Further information concerning risk factors is described in the Company's Securities and Exchange Commission filings.
NEW BRUNSWICK SCIENTIFIC CO., INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts)
Three Months Ended Year Ended
December 31, December 31,
2001 2000 2001 2000
Net sales $17,253 $14,545 $60,294 $49,864
Operating costs and
expenses:
Cost of sales 10,180 8,726 36,265 29,710
Selling, general and
administrative
expenses 4,309 3,908 16,205 15,607
Research, development
and engineering
expenses 702 792 2,751 3,423
DGI research expenses -- 864 1,312 3,480
Non-recurring
severance costs -- -- 260 --
Total operating costs
and expenses 15,191 14,290 56,793 52,220
Income (loss) from
operations 2,062 255 3,501 (2,356)
Other income (expense):
Interest income 11 20 56 56
Interest expense (124) (170) (561) (638)
Other, net (37) (16) (113) (87)
Write-off of investment -- -- -- (950)
(150) (166) (618) (1,619)
Income (loss) before
income tax expense
(benefit)
and equity in
operations of DGI 1,912 89 2,883 (3,975)
Income tax expense
(benefit) 42 57 145 (48)
Income (loss) before
equity in operations
of DGI 1,870 32 2,738 (3,927)
Equity in operations
of DGI (34) -- (527) --
Net income (loss) $ 1,836 $32 $2,211 $ (3,927)
Basic income (loss)
per share $.27 $-- $.33 $(.59)
Diluted income (loss)
per share $.27 $-- $.33 $(.59)
Basic weighted average
number of
shares outstanding 6,749 6,703 6,738 6,640
Diluted weighted average
number of shares
outstanding 6,826 6,831 6,772 6,640
SOURCE: New Brunswick Scientific Co., Inc. |
