All, there you have it. Lets see what it brings tomorrow.
Enjoy,
regards,
JK (Long on TLXN)
--------------------
Tuesday July 22 4:34 PM EDT
Company Press Release
Source: Telxon Corporation
Telxon Reports First Quarter FY1998 Results
AKRON, Ohio, July 22 /PRNewswire/ -- Telxon Corporation (Nasdaq:TLXN) today reported results for its fiscal 1998
first quarter ended June 30, 1997.
For the quarter ended June 30, 1997, the company reported revenues of $104.9 million and net income of $1.6 million,
or $.10 per share.
As compared to results from continuing operations during the same period a year ago, first quarter revenues of $104.9
million represent an increase of over $13 million, or 15%. Gross profit margins were 39.3%, an improvement of nearly
6 percentage points, and operating expenses were $36.9 million, or 35.2% as a percentage of revenues, a reduction of
$2.4 million. The resulting income from operations was $4.3 million, a $13 million improvement over last year.
Frank E. Brick, Telxon's President and CEO, stated, ``I am pleased with our first quarter results and the continued
improvement we made during the quarter. I remain excited about our outlook for the rest of the year as we expand the
roll-out of our recently announced AirAware(TM)wireless network management software products, and begin
shipments of two new pen-based models and a batch, hand-held terminal with an integrated Metanetics 2-D image
scanner in Q3.''
Telxon Corporation is a worldwide leader in the wireless mobile information systems industry. The company integrates
advanced mobile computing and wireless data communication technology with a wide array of peripherals,
application-specific software and global customer services for its customers in more than 60 countries around the world.
Telxon's executive, engineering, marketing and sales offices are headquartered in Akron, Ohio; its world manufacturing
and domestic customer service facilities are located in Houston, Texas. Telxon International Division is headquartered in
Brussels, Belgium. Telxon's World Wide Web site address is: telxon.com.
Other than the historical financial information reported above, this news release constitutes forward-looking statements
that are inherently subject to risks and uncertainties which could cause Telxon's actual results to differ materially from
the forward-looking statements. The important factors affecting the realization of those results include, without
limitation, the company's ability to timely develop, introduce and gain market acceptance of new and enhanced products,
and implement appropriate cost reduction, efficiency and other operating improvement strategies, as well as general and
industry-specific economic conditions, competitive pressures and rapid technological change. Reference should be made
to the discussion of these and other factors affecting Telxon's business and results as included from time to time in the
company's filings with the Securities and Exchange Commission.
CONSOLIDATED BALANCE SHEET
(In thousands, except per share data)
June 30, March 31,
1997 1997
(Unaudited)
ASSETS
Current assets:
Cash and short-term investments $ 31,302 $ 45,386
Accounts receivable, net 106,408 111,959
Notes and other accounts receivable 15,572 16,312
Inventories 85,814 84,499
Prepaid expenses and other 12,092 11,956
Total current assets 251,188 270,112
Property and equipment, net 45,936 45,578
Intangible and other assets, net 45,061 46,094
Total $342,185 $361,784
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Notes payable $ -- $ 50
Current portion of long-term debt 383 383
Capital lease obligations due
within one year 632 627
Accounts payable 35,206 47,917
Income taxes payable 3,392 3,077
Accrued liabilities 41,241 49,000
Total current liabilities 80,854 101,054
Capital lease obligations 806 968
Convertible subordinated debentures 107,224 107,224
Other long-term liabilities 5,926 5,837
Total liabilities 194,810 215,083
Stockholders' equity:
Preferred Stock, $1.00
par value per share;
500 shares authorized
none issued -- --
Common Stock, $.01 par
value per share; 50,000
shares authorized, 16,203
and 16,186 shares issued 162 162
Additional paid-in capital 87,037 87,105
Retained earnings 72,387 70,821
Equity adjustment for
foreign currency translation (2,930) (2,643)
Unearned restricted stock awards (150) (210)
Treasury stock, 594 and 557 shares
of common stock at cost (9,131) (8,534)
Total stockholders' equity 147,375 146,701
Total $342,185 $361,784
Telxon Corporation and Subsidiaries
CONSOLIDATED STATEMENT OF OPERATIONS
(In thousands, except per share data)
Three Months
Ended June 30,
1997 1996
(Unaudited)
Revenues:
Product $ 86,691 $ 94,025
Customer service 18,222 18,358
Total revenues 104,913 112,383
Cost of revenues:
Product 52,561 65,825
Customer service 11,126 11,048
Total cost of revenues 63,687 76,873
Gross profit:
Product 34,130 28,200
Customer service 7,096 7,310
Total gross profit 41,226 35,510
Operating expenses:
Selling expenses 18,100 21,183
Product development and
engineering expenses 9,126 11,108
General and administrative
expenses 9,703 11,163
Total operating expenses 36,929 43,454
Income (loss) from operations 4,297 (7,944)
Interest income 498 215
Interest expense (1,792) (1,970)
Income before other non-
operating (expense) income and
income taxes 3,003 (9,699)
Other non-operating (expense) income (157) 105
Income before income taxes 2,846 (9,594)
Provision (benefit) for income taxes 1,252 (4,797)
Net income (loss) $ 1,594 $ (4,797)
Earnings per common and common
equivalent share:
Net income (loss) per share $ .10 $ (.29)
Average common and common equivalent
shares outstanding 15,776 16,544
SOURCE: Telxon Corporation
Contact: Alex L. Csiszar, Senior Director, Investor Relations, of Telxon Corporation, 330-664-2961 |
