GREEN BAY, Wis., May 13, 2008 (PRIME NEWSWIRE) -- Tufco Technologies, Inc. (Nasdaq:TFCO), the largest contract converter of branded wet and dry wipes in North America and a leader in specialty printing services and business imaging products, today announced that fiscal year 2008 second quarter sales were $29,604,000, up 7% over fiscal year 2007 second quarter sales. For the first six months of 2008, sales were $54,422,000, compared to $54,605,000 for the 2007 first six months.
Net income per diluted share for the 2008 second quarter was $0.04 per share compared to $0.01 net income per diluted share for the second quarter of 2007. For the first six months of 2008, net income per diluted share was $0.05 per share compared to $0.04 per share for the first six months of 2007.
In commenting on the results, Louis LeCalsey, Tufco's President and CEO said, "During the last year our contract manufacturing division has been focusing on reducing waste and increasing operating efficiencies. Those efforts are paying off in 2008. A second result of our efficiency improvements is that we have doubled converting capacity on our existing equipment from a year ago. We have multiple sales initiatives underway to profitably utilize this increased capacity."
Tufco, headquartered in Green Bay, Wisconsin, has manufacturing operations in Wisconsin and North Carolina.
Information about the results reported herein, or copies of the Company's Quarterly Reports, may be obtained by calling the contact person listed below.
This press release, including the discussion of the Company's fiscal 2008 results in comparison to fiscal 2007 contains forward-looking statements regarding current expectations, risks and uncertainties for future periods. The actual results could differ materially from those discussed herein due to a variety of factors such as changes in customer demand for its products, cancellation of production agreements by significant customers including two Contract Manufacturing customers it depends upon for a significant portion of its business, material increases in the cost of base paper stock, competition in the Company's product areas, an inability of management to successfully reduce operating expenses including labor and waste costs in relation to net sales without damaging the long-term direction of the Company, the Company's ability to increase sales and earnings as a result of new projects, the Company's ability to successfully install new equipment on a timely basis, the Company's ability to produce new products, the Company's ability to continue to improve profitability, the Company's ability to successfully attract new customers through our sales initiatives to fill its newly created capacity, the effects of the economy in general and the Company's ability to improve the run rates for its products. Therefore, the financial data for the periods presented may not be indicative of the Company's future financial condition or results of operations. The Company assumes no responsibility to update the forward-looking statements contained in this press release.
TUFCO TECHNOLOGIES, INC.
Condensed Balance Sheets
(Amounts in 000's)
March 31, September 30,
2008 2007
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ASSETS
Cash & Cash Equivalents $ 6 $ 7
Accounts Receivable - Net 14,880 15,302
Inventories 15,285 16,355
Other Current Assets 1,548 1,368
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Total Current Assets 31,719 33,032
Property, Plant and Equipment - Net 18,357 19,002
Goodwill - Net 7,212 7,212
Other Assets 121 127
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Total $ 57,409 $ 59,373
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LIABILITIES AND STOCKHOLDERS' EQUITY
Accounts Payable $ 9,940 $ 11,707
Accrued Liabilities 735 513
Income Taxes Payable 126 107
Other Current Liabilities 761 717
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Total Current Liabilities 11,562 13,044
Long-Term Debt 5,692 6,192
Deferred Income Taxes 2,529 2,537
Common Stock and Paid-in Capital 25,371 25,351
Retained Earnings 13,622 13,391
Treasury Stock (1,367) (1,142)
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Total Stockholders' Equity 37,626 37,600
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Total $ 57,409 $ 59,373
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TUFCO TECHNOLOGIES, INC.
Condensed Consolidated Statements of Operations
(Amounts in 000's except share and per share data)
Three Months Ended Six Months Ended
March 31, March 31,
2008 2007 2008 2007
--------- --------- --------- ---------
Net Sales $ 29,604 $ 27,587 $ 54,422 $ 54,605
Cost of Sales 28,162 26,401 51,875 52,127
--------- --------- --------- ---------
Gross Profit 1,442 1,186 2,547 2,478
SG&A Expense 1,046 951 2,016 1,952
--------- --------- --------- ---------
Operating Income 396 235 531 526
Interest Expense (Income) 81 158 169 250
Interest Income and Other
(Income) Expense -- -- (18) (17)
--------- --------- --------- ---------
Income Before Income Tax 315 77 380 293
Income Tax Expense 124 30 149 115
--------- --------- --------- ---------
Net Income $ 191 $ 47 $ 231 $ 178
--------- --------- --------- ---------
Net Income Per Share:
Basic $ 0.04 $ 0.01 $ 0.05 $ 0.04
Diluted $ 0.04 $ 0.01 $ 0.05 $ 0.04
Weighted Average Common
Shares Outstanding:
Basic 4,526,106 4,535,244 4,530,875 4,535,244
Diluted 4,535,726 4,563,171 4,544,167 4,558,411