Exhibit 99.1
NEWS RELEASE
Superior Uniform Group, Inc.
An American Stock Exchange Listed Company
10055 Seminole Boulevard
Seminole, Florida 33772-2539
Telephone (727) 397-9611
Fax (727) 803-9623
| | |
Contact: Andrew D. Demott, Jr., CFO (727) 803-7135 | | FOR IMMEDIATE RELEASE |
SUPERIOR UNIFORM GROUP REPORTS FIRST QUARTER EARNINGS
SEMINOLE, Florida – May 1, 2007—Michael Benstock, Chief Executive Officer of Superior Uniform Group, Inc. (AMEX: SGC), manufacturer of uniforms, career apparel and accessories, today announced that for the first quarter ended March 31, 2007, net earnings were $24,595 or $.00 per share (diluted) compared to 2006 first quarter earnings of $552,226 or $.08 per share (diluted). Net sales for the 2007 first quarter were $29,693,066 compared with 2006 first quarter sales of $31,136,543.
In making the earnings announcement, Mr. Benstock stated: “While sales and operating results for the first quarter were down from the prior year period, it was still an encouraging quarter for the Company in terms of new business acquired. We were awarded contracts with several new large prestigious accounts that will add significant volume to our business beginning in the latter portion of the second quarter. We anticipate reporting stronger revenues and operating results through the balance of 2007, particularly in the second half of the year. The Company has continued its emphasis on cost reductions in addition to its sales initiatives, and we expect to see continuing improvement in our cost structure.”
Superior Uniform Group®, through its Signature marketing brands – Fashion Seal®, Fashion Seal Healthcare™, Martin’s®, Worklon®, UniVogue™ and Sope Creek® – manufactures and sells a wide range of uniforms, image apparel and accessories. Superior specializes in managing comprehensive uniform programs, and is dedicated to servicing the Healthcare, Hospitality, Restaurant/Food Services, Retail Employee I.D., Governmental/Public Safety, Entertainment, Commercial, Cleanroom and Resortwear markets. For more information, please visit www.superioruniformgroup.com.
Statements contained in this press release that are not historical facts may constitute forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. All forward-looking statements are subject to risks and uncertainties, including without limitation, those identified in the Company’s SEC filings, which could cause actual results to differ from those projected.
– more –
SUPERIOR UNIFORM GROUP, INC.
CONSOLIDATED STATEMENTS OF EARNINGS
THREE MONTHS ENDED MARCH 31,
(Unaudited)
| | | | | | |
| | | 2007 | | 2006 |
Net sales | | $ | 29,693,066 | | $ | 31,136,543 |
| | | | | | |
Costs and expenses: | | | | | | |
Cost of goods sold | | | 19,846,101 | | | 21,031,410 |
Selling and administrative expenses | | | 9,560,278 | | | 9,032,825 |
Interest expense | | | 92,092 | | | 120,082 |
| | | | | | |
| | | 29,498,471 | | | 30,184,317 |
| | | | | | |
Earnings before taxes on income | | | 194,595 | | | 952,226 |
Taxes on income | | | 170,000 | | | 400,000 |
| | | | | | |
Net earnings | | $ | 24,595 | | $ | 552,226 |
| | | | | | |
Basic net earnings per common share | | $ | — | | $ | 0.08 |
| | | | | | |
Diluted net earnings per common share | | $ | — | | $ | 0.08 |
| | | | | | |
Dividends per common share | | $ | 0.135 | | $ | 0.135 |
| | | | | | |
– more –
SUPERIOR UNIFORM GROUP, INC.
CONSOLIDATED BALANCE SHEETS
MARCH 31,
(Unaudited)
| | | | | | |
| ASSETS |
| | | 2007 | | 2006 |
CURRENT ASSETS: | | | | | | |
Cash and cash equivalents | | $ | 3,128,433 | | $ | 10,107,484 |
Accounts receivable and other current assets | | | 28,578,800 | | | 27,676,739 |
Inventories | | | 34,413,438 | | | 35,412,630 |
| | | | | | |
TOTAL CURRENT ASSETS | | | 66,120,671 | | | 73,196,853 |
PROPERTY, PLANT AND EQUIPMENT, NET | | | 15,394,660 | | | 17,266,675 |
GOODWILL | | | 1,617,411 | | | 1,617,411 |
OTHER INTANGIBLE ASSETS | | | 952,635 | | | 1,190,794 |
OTHER ASSETS | | | 1,512,428 | | | 2,809,800 |
| | | | | | |
| | $ | 85,597,805 | | $ | 96,081,533 |
| | | | | | |
|
| LIABILITIES AND SHAREHOLDERS’ EQUITY |
CURRENT LIABILITIES: | | | | | | |
Accounts payable | | $ | 5,841,698 | | $ | 6,794,405 |
Accrued expenses | | | 2,638,045 | | | 3,375,485 |
Current portion of long-term debt | | | 1,471,929 | | | 1,706,013 |
| | | | | | |
TOTAL CURRENT LIABILITIES | | | 9,951,672 | | | 11,875,903 |
LONG-TERM DEBT | | | 1,823,840 | | | 3,295,769 |
LONG-TERM PENSION LIABILITY | | | 1,115,819 | | | — |
OTHER LONG-TERM LIABILITIES | | | 642,000 | | | — |
DEFERRED INCOME TAXES | | | 310,000 | | | 800,000 |
SHAREHOLDERS’ EQUITY | | | 71,754,474 | | | 80,109,861 |
| | | | | | |
| | $ | 85,597,805 | | $ | 96,081,533 |
| | | | | | |
-30-
