To all, the full text from BW:
BW1038 FEB 27,1997 4:35 PACIFIC 7:35 EASTERN
( BW)(STRATASYS)(SSYS) Stratasys announces record 1996 earnings
Business Editors
MINNEAPOLIS--(BUSINESS WIRE)--Feb. 27, 1997--
Earnings of 62 Cents Per Share on Sales of $22.9 Million
Record 4th Quarter Earnings of 48 Cents Per Share
on Sales of $10.4 Million
Stratasys Inc. (NASDAQ NMS:SSYS) today announced record earnings
of 62 cents per share for the year ended Dec. 31, 1996 on revenues
of $22,919,818. The company's 1996 revenues increased by 123% over
the prior year.
For the year ended Dec. 31, 1996, revenues increased to
$22,919,818 from $10,275,186 in 1995. The net income for 1996 was
$3,503,024 or 62 cents per share, compared to a net income of
$371,024 or 9 cents per share in 1995. Gross profit margin as a
percentage of sales rose to 65.6% in 1996 from 62% in 1995. US
sales grew to approximately 60% of total sales in 1995 as compared
to 51% in 1995.
Revenue growth since 1994 has shown significant momentum,
accelerating from $3.8 M in 1994 to $10.3 M in 1995 and $22.9 M in
1996. Increases in revenues as a percentage of the preceding year's
revenue were 61% in 1994, 171% in 1995, and 123% in 1996.
During the fourth quarter of 1996, revenues were $10,448,038 as
compared to $4,163,718 in 1995, a 151% increase in sales. Net
income was $2,856,103 as compared to $494,911 in 1995. Earnings per
share were 48 cents compared to 10 cents per share in the fourth
quarter of 1995. Fourth quarter 1996 sales were more than the
entire previous year. This is the 17th consecutive quarter
Stratasys has exceeded historical comparative quarterly revenues.
Included in the fourth quarter numbers are one time expenses of
approximately $530,000, of which $100,000 is in R&D as well as a one
time tax credit gain of $785,000. Exclusive of these one time
items, fully taxed EPS came in at 29 cents for the fourth quarter of
1996 and 37 cents for the 1996 full year.
Scott Crump, chairman and CEO, stated, "We are proud to announce
that Stratasys has exceeded all historical sales and earnings
results in 1996. Unit shipments for our flagship product, the
FDM(R) 1650 benchtop rapid prototyping system, exceeded
expectations. We are very fortunate to have developed products
which accurately fit the needs of the growing mechanical computer
aided design & engineering, MCAD, segment which is adopting rapid
prototyping as a valuable tool in product design and development.
Our customers are finding that Stratasys' products provide an
attractive combination of cost, accuracy, speed and a variety of
modeling material. Our flagship product is selling well and our
consumables sales continue to grow as well."
Crump went on to say, "The significant sales increase is due
also to excellent penetration of new market segments and geographic
areas creating new prospects. Our continued strong emphasis in the
areas of research and development, marketing and sales will further
enhance profits and stockholder value. Stratasys currently has
approximately a $13 million cash position with no long term debt and
a current ratio of approximately 5:1."
Crump stated, "For the initial rollout of our Genisys(R)
3D-Printer, we exceeded our goal of setting up 50 U.S. reseller
locations by the end of 1996, and we look forward to a higher volume
of shipments in 1997. We also eagerly anticipate adding a highly
accurate large output model, the FDM(R) 8000, to our family of
rapid prototyping products in the second quarter of 1997. The
FDM(R) 8000 model will round out our product offering which
currently begins with desk-top based 3-D printing and graduates to
benchtop-based rapid prototyping with 10-inch ABS plastic output."
Crump concluded, "We believe our growth is sustainable due to
the continued industry need for time compression engineering and
strong sales of 3-D solid modeling CAD seats as well as low cost CAD
seats. We ended the year on a high note and look forward to strong
growth in 1997 as we ramp up existing products, roll out new
products and drive further market share segmentation."
Stratasys Inc., founded in 1989, is a manufacturer of rapid
prototyping systems for automotive, aerospace, industrial,
electronic, medical, and consumer products OEM's. The company's
patented Fused Deposition Modeling (FDM(R)) and Genisys(R) rapid
protopying processes create 3-dimensional plastic and wax prototype
parts directly from 3-D CAD systems. See the Stratasys Home Page
stratasys.com on the Internet.
Except for the historical information herein, the matters
discussed in this news release are forward looking statements that
involve risks and uncertainties, including the timely development
and acceptance of new products, the impact of competitive products
and pricing, and the other risks detailed from time to time in the
company's SEC reports, including the annual report on Form 10-KSB
for the year ended Dec. 31, 1996 and the quarterly report on form
10-QSB for the quarter ended Sept. 30, 1996.
-0-
*T
Year End 1996 Results
Statements of Operations
(Unaudited)
Quarter ended December 31,
1996 1995
Revenues 10,448,038 4,163,716
Cost of goods sold 3,612,392 1,672,353
Gross profit 6,835,646 2,491,365
Selling & general & administrative expenses 3,744,428 1,472,229
Research & Devel. Expenses 1,166,122 638,648
Operating income 1,925,096 380,488
Interest income (net) 146,007 137,423
Income taxes (credit) (785,000) 23,000
Net income 2,856,103 494,911
Earnings per common and common equivalent
share (assuming full dilution) .48 .10
Weighted average number of common and
common equivalent shares outstanding
(assuming full dilution) 5,973,944 5,258,322
-0-
Audited Twelve Months Ended December 31,
1996 1995
Revenues 22,919,818 10,275,186
Cost of goods sold 7,888,516 3,906,841
Gross profit 15,031,302 6,368,345
Selling & general & administrative expenses 9,485,519 4,231,571
Research & Devel. Expenses 3,374,039 1,995,696
Operating income (loss) 2,171,744 141,078
Interest income (net) 546,280 252,946
Income taxes (credit) (785,000) 23,000
Net income (loss) 3,503,024 371,024
Earnings (loss) per common and common
equivalent share (assuming full dilution) .62 .09
Weighted average number of common and
common equivalent shares outstanding
(assuming full dilution) 5,647,160 4,046,123
-0-
Condensed Balance Sheets
Audited Audited
Dec. 31, 1996 Dec, 31, 1995
Assets
Current assets:
Cash and cash equivalents 3,964,968 $4,726,056
Marketable securities 6,572,907 6,309,048
Accounts receivable (net) 10,607,155 2,769,010
Inventories 2,648,990 907,319
Prepaid expenses 344,101 119,423
Deferred taxes 945,000
Total current assets 25,083,121 14,830,856
Machinery & equipment (less
accumulated depreciation) 2,184,165 1,112,328
Other assets 4,195,433 3,952,084
Total assets 31,462,719 19,895,268
Liabilities & stockholders' equity
Current liabilities:
Obligations under capitalized
leases, current portion 186,415 157,449
Accounts payable and other current
liabilities 3,622,555 1,661,517
Unearned maintenance revenue 1,082,044 371,570
Total current liabilities 4,891,014 2,190,536
Deferred taxes 71,000
Obligations under capital leases,
less current portion 94,977 182,520
Total liabilities 5,056,991 2,373,056
Stockholders' equity 26,405,728 17,522,212
Total liabilities and stockholders'
equity 31,462,719 $19,895,268
*T
Except for the historical information herein, the matters
discussed in this news release are forward looking statements that
involve risks and uncertainties, including the timely development
and acceptance of new products, the impact of competitive products
and pricing, and the other risks detailed from time to time in the
company's SEC reports, including the report on Form 10-KSB for the
years ended Dec. 31, 1995 and 1996.
--30--gd/ny*
CONTACT: Stratasys Inc., Minneapolis
Scott Crump, 612/937-3000
or
Sunrise Financial, New York
Derek Caldwell, 212/421-1616 |
