UCMP
why is this down over a buck?
UniComp Reports Year-End Results With Record Revenues
For Sixth Consecutive Year
Business Wire - May 22, 1998 19:43
%UNICOMP UCMP %GEORGIA %COMPUTERS %ELECTRONICS %COMED %INTERACTIVE
%MULTIMEDIA %INTERNET %EARNINGS V%BW P%BW
MARIETTA, Ga.--(BUSINESS WIRE)--May 22, 1998--UNICOMP, INC. (NASDAQ:UCMP)
today announced record revenues for its fiscal year ended February 28, 1998, of $52.1 million, up
from $31.7 million a year earlier.
This is an increase of 64% and marks the Company's sixth consecutive year of revenue growth. Gross
profit was $24.7 million (47% of revenue), an increase of $8.6 million or 53% compared to $16.1
million (51% of revenue) reported in fiscal year ended February 28, 1997. Net income was $1.5
million, or $0.20 per share for the year ended February 28, 1998, before the effect of acquisition
related charges, adjustments to the accounts receivable allowance, accruals for other special charges
and charges related to recording a deferred tax asset valuation allowance, compared to $1.5 million,
or $0.23 per share ($0.22 per share assuming dilution) a year earlier. As previously reported during
the third quarter of the year ended February 28, 1998, the company recorded $1.1 million ($0.8
million after tax, or $.10 per share) of non-recurring charges associated with the acquisition of
Novatek. During the fourth quarter of the year ended February 28, 1998, the company adjusted its
accounts receivable allowance and accrued special charges regarding certain contingencies totaling
$1.6 million ($1.0 million after tax, or $0.13 per share), and recorded a $0.5 million (or $0.06 per
share) valuation allowance against certain deferred tax assets. The net loss for the year ended
February 28, 1998, after the effects of these charges was $0.8 million or $0.10 per share.
"We have achieved the goal we set for ourselves to exceed revenues of $50 million for this year," said
Stephen A. Hafer, Unicomp's President and CEO. "Now it is time to focus on getting the results, cost
savings, and synergies from the many acquisitions we have made over the past several years. It has
been a disappointment that the need for additional functionality our customers require from our new
software products resulted in delayed product introductions."
UniComp, Inc. develops markets and supports platform-migration, vertical market applications and
payment processing systems for Windows NT and UNIX-based computer systems and point of
transaction processors worldwide. The Company licenses its technology to a cross section of
industries including manufacturing, distribution, transportation, public-sector, point of sale and
transaction processors. Additionally, the Company provides installation, training, systems integration,
support and Year 2000 services, serving a worldwide network of end user customers, dealers and
distributors. UniComp employs over 450 staff worldwide and has over 50 distributors internationally,
with over 30,000 installations in more than 55 countries. Please visit our World Wide Web site at
unicomp.com for further information on UniComp. This announcement contains forward
looking statements and remarks relative to future events and financial performance which are subject to
the risks and uncertainties described in reports filed from time to time with the SEC. These filings
contain and identify important factors that could cause actual results to differ materially from those
contained in our forward looking statements. These factors include, but are not limited to, timely
development and market acceptance of its products (and upgrades to those products) completion of
UNIBOL400 development and its subsequent market acceptance, the ability to develop new products
to penetrate the POS marketplace, market pressures on its services businesses, and the impact of
competitive products, pricing, and the fact that the company's software product license revenue can
fluctuate from quarter to quarter as a result of various factors and conditions.
Financial statements are attached.
UniComp, Inc. and Subsidiaries
Consolidated Balance Sheets
ASSETS
Feb. 28, Feb. 28,
1997 1998
-------- --------
(In Thousands)
Current assets:
Cash and cash equivalents ($3 million
restricted) $ 3,810 $ 3,904
Accounts and other receivables:
Trade, net of allowance of $222 and $1,655
in 1997 and 1998, respectively 10,049 14,735
Other receivables 151 480
Inventories 2,227 4,556
Prepaid expenses 802 531
Deferred income taxes 61 -
Other 64 338
-------- --------
Total current assets 17,164 24,544
-------- --------
Property and equipment, net 4,131 4,746
-------- --------
Other assets:
Acquired and developed software, net of
accumulated amortization of $2,853 and
$4,945 in 1997 and 1998, respectively 5,847 6,403
Goodwill and other intangibles, net of
accumulated amortization of $126 and $542
in 1997 and 1998, respectively 3,161 4,510
Deferred income taxes 99 946
Deferred income tax valuation allowance - (500)
Prepaid pension 442 754
Investments in joint ventures 184 673
Receivables from related party 354 390
Other 124 39
-------- --------
Total other assets 10,211 13,215
-------- --------
Total assets $31,506 $42,505
======== ========
The accompanying notes are an integral part of these consolidated
financial statements.
UniComp, Inc. and Subsidiaries
Consolidated Balance Sheets (Continued)
LIABILITIES AND STOCKHOLDERS' EQUITY
Feb. 28, Feb. 28,
1997 1998
-------- --------
(In Thousands, Except Per
Share Data)
Current liabilities:
Accounts payable $ 3,477 $ 4,955
Accrued expenses 1,194 2,080
Deferred revenues 2,093 3,634
Taxes payable 778 1,064
Other - 200
Lines of credit 7,379 10,590
Current portion of notes payable 518 1,358
-------- --------
Total current liabilities 15,439 23,881
-------- --------
Long-term liabilities:
Notes payable 1,169 1,480
Deferred income taxes 433 741
Other - 110
-------- --------
Total long-term liabilities 1,602 2,331
-------- --------
Total liabilities 17,041 26,212
-------- --------
Stockholders' equity:
Preferred stock: $1 par value, 5,000
authorized, none issued and outstanding at
February 28, 1997 and February 28, 1998 - -
Common stock: $.01 par value, 25,000
authorized, 7,677 and 7,965 issued and
outstanding at February 28, 1997 and
February 28, 1998, respectively 77 80
Additional contributed capital 13,117 15,331
Retained earnings 2,042 1,192
-------- --------
15,236 16,603
Less treasury stock (609) (206)
Cumulative translation adjustment (162) (104)
-------- --------
Total stockholders' equity 14,465 16,293
-------- --------
Total liabilities and stockholders' equity $31,506 $42,505
======== ========
The accompanying notes are an integral part of these consolidated
financial statements.
UniComp, Inc. and Subsidiaries
Consolidated Statements of Operations
Year Ended
-----------------------------
Feb. 29, Feb. 28, Feb. 28,
1996 1997 1998
--------- --------- ---------
(In Thousands, Except Per
Share Data)
Revenue:
Equipment $ 10,387 $ 12,538 $ 25,770
Services 9,578 11,283 17,051
Software 7,196 7,888 9,285
--------- --------- ---------
Total revenue 27,161 31,709 52,106
--------- --------- ---------
Cost of sales:
Equipment 8,002 10,355 21,166
Services 1,755 2,248 2,819
Software 1,930 3,011 3,523
--------- --------- ---------
Total cost of sales 11,687 15,614 27,508
--------- --------- ---------
Gross profit 15,474 16,095 24,598
--------- --------- ---------
Selling, general and administrative 12,931 14,035 23,243
Acquisition related charges - - 1,085
--------- --------- ---------
Total operating expenses 12,931 14,035 24,328
Operating income 2,543 2,060 270
--------- --------- ---------
Other income (expense):
Other, net (33) 46 (6)
Interest (241) (282) (605)
--------- --------- ---------
Other income (expense), net (274) (236) (611)
--------- --------- ---------
Income (loss) before provision for 2,269 1,824 (341)
income taxes --------- --------- ---------
Provision for income taxes 204 313 442
--------- --------- ---------
Net income (loss) $ 2,065 $ 1,511 $ (783)
========= ========= =========
Basic earnings per share $ 0.36 $ 0.23 $ (0.10)
========= ========= =========
Diluted earnings per share $ 0.34 $ 0.22 $ (0.10)
========= ========= =========
Weighted average shares 5,672 6,465 7,727
Weighted average shares assuming
dilution 6,064 6,865 7,727
The accompanying notes are an integral part of these consolidated
financial statements. |
