Exhibit 99.1
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PRESS RELEASE
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ASTRO-MED, INC.
600 East Greenwich Avenue
West Warwick, Rhode Island 02893
For Immediate Release
Contact: Albert W. Ondis November 15, 2005
Joseph P. O'Connell
Astro-Med, Inc.
(401) 828-4000
Astro-Med Reports Third Quarter Results;
Directors Declare Regular Cash Dividend
West Warwick, RI, November 15, 2005 -- Astro-Med, Inc. (NASDAQ:ALOT) reports net
income of $674,000, equal to $0.11 per diluted share, on sales of $14,455,000
for the Third Quarter ended October 29, 2005. Net Income in the quarter includes
$361,000, or $0.06 per diluted share for a tax-related benefit related to the
favorable resolution of certain income tax examinations. Excluding the tax
related benefit in the Third Quarter, earnings were $313,000, or $0.05 per
diluted share. During the corresponding period of the previous year, the Company
reported net income of $53,000, equal to $0.01 per diluted share, on sales of
$13,246,000.
During the Nine-Month Period of the current fiscal year, net income was
$1,694,000, equal to $0.29 per diluted share, on sales of $43,297,000. Net
income in the Nine-Month Period includes $361,000, or $0.06 per diluted share
for a tax-related benefit related to the favorable resolution of certain income
tax examinations. Excluding the tax related benefit, earnings were $1,333,000,
or $0.23 per diluted share. For the corresponding period last year, the Company
reported net income of $2,253,000, equal to $0.39 per diluted share, on sales of
$41,478,000. Net income in the prior fiscal year includes $939,000, or $0.16 per
diluted share in tax benefits from the release of the valuation allowance on the
net deferred tax asset reported in the First Quarter of the prior fiscal year.
Excluding the tax related benefit, earnings were $1,314,000, or $0.23 per
diluted share.
Commenting on the results, Albert W. Ondis, Chief Executive Officer stated: "We
are pleased with our Third Quarter results, which were achieved despite
experiencing significant start-up expenses related to the commencement of
manufacturing of our very successful Toughwriter Series cockpit printers as well
as start-up expenses related to the commencement of manufacturing of our new
VIVO! Color label printer. We have major contracts in place for the Toughwriter
Series for use in both the Airbus A380 Super Jumbo airplane which will go into
service in late 2006 and the Boeing 787 Dreamliner which will enter service in
2008. The VIVO! Color label printer, introduced at a major trade show in early
October, was an instant hit due to the very high quality labels it produces and
its ease of use. As they go into full production, both the Toughwriter Series
printers and the VIVO! Color label printer are expected to be major future
contributors to sales and profits.
"Our balance sheet remains solid with a current ratio of 5.3 to 1, we retain
$13,747,000 in cash and marketable securities and a 9% return on shareholders
equity excluding cash and marketable securities. We remain optimistic that with
a continuous flow of new products together with the continued expansion of
marketing initiatives globally, we will realize our planned growth and
profitability goals." . On November 14, 2005, the Directors of Astro-Med
declared the regular quarterly cash dividend of $0.04 per share payable on
January 3, 2006 to shareholders of record on December 9, 2005.
The Third Quarter conference call will be held today, Tuesday, November 15, 2005
at 5:00 PM EST. It will be broadcast in real time on the Internet through the
Investor Relations portion of our website at www.astro-medinc.com. We invite you
to log on and listen in on November 15th, or access the broadcast any time for
up to 5 days following the event.
Astro-Med, Inc. is a leading manufacturer of high tech specialty printing
systems, electronic medical instrumentation, and test and measurement
instruments employed around the world in a wide range of industrial, scientific,
and medical applications.
ASTRO-MED, INC.
Consolidated Statement of Operations
In Thousands Except for Per Share Data
(Unaudited)
Three-Months Ended Nine-Months Ended
October 29, October October October
2005 30, 2004 29, 2005 30, 2004
Net Sales $14,455 $13,246 $43,297 $41,478
Gross Profit 5,784 5,152 17,803 16,866
40.0% 38.9% 41.1% 40.7%
Operating Expenses:
Selling, General & Administrative 4,317 4,076 12,971 12,014
Research & Development 987 1,069 2,932 2,993
5,304 5,145 15,903 15,007
Operating Income 480 7 1,900 1,859
3.3% 0.1% 4.4% 4.5%
Other, Net 17 75 216 195
Income Before Taxes 497 82 2,116 2,054
Income Tax Benefit (Provision) 177 (1) (29) (422) (1) 199 (2)
Net Income $ 674 $ 53 $1,694 $2,253
Net Income Per Share - Basic $ 0.13 $ 0.01 $ 0.32 $ 0.43
Net Income Per Share - Diluted $ 0.11 $ 0.01 $ 0.29 $ 0.39
Weighted Average Number of Common
Shares - Basic 5,295 5,312 5,283 5,288
Weighted Average Number of Common
Shares - Diluted 5,867 5,770 5,769 5,813
Dividends Declared Per Common Share
$ 0.04 $ 0.04 $ 0.12 $ 0.12
(1) Includes $361,000 in tax benefits resulting from the favorable resolution of certain income tax examinations.
(2) Includes $939,000 in tax benefits resulting from the release of the valuation allowance on the net deferred tax asset
reported in the first quarter of FY 2005.
Selected Balance Sheet Data
In Thousands Except for Per Share Data
As of As of
October 29, 2005 January 31,
2005
Cash & Marketable Securities $13,747 $13,983
Current Assets 37,530 36,726
Total Assets 47,988 47,039
Current Liabilities 7,061 7,458
Shareholders' Equity $39,511 $38,408
Reconciliation of Non-Gap Financial Information
In an effort to provide investors information regarding the Company's results, the Company disclosed certain Non-GAAP information
which management believes provides useful information to the investor.
A reconciliation of net income and net income per diluted share as reported under GAAP to the pro forma net income and pro forma net
income per diluted share excluding the one-time non-cash tax benefits related to the favorable resolution of certain income tax
examinations for the three-months ended October 29, 2005 as follows:
GAAP Basis Adjusted Pro Forma Basis
Income Before Taxes $497,000 $497,000
$
Income Tax Benefit (Expense) 177,000 361,000 (184,000)
Net Income $674,000 $361,000 $313,000
Net Income Per Share - Diluted $0.11 $0.06 $0.05
Safe Harbor Statement
This news release contains forward-looking statements, and actual results may
vary from those expressed or implied herein. Factors that could affect these
results include those mentioned in Astro-Med's FY2005 annual report and its
annual and quarterly filings with the Securities and Exchange Commission.
