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
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| Contact: | | Andrew D. Demott, Jr., CFO | | FOR IMMEDIATE RELEASE |
| | (727) 803-7135 | | |
SUPERIOR UNIFORM GROUP REPORTS INCREASED SECOND QUARTER EARNINGS
SEMINOLE, Florida - July 26, 2007 - Superior Uniform Group, Inc., (AMEX: SGC), manufacturer of uniforms, career apparel and accessories, today announced that for the second quarter ended June 30, 2007, sales were $30,599,258, compared with 2006 second quarter sales of $31,504,585. Net income was $660,043 or $.10 per share (diluted), compared with net income of $629,668 or $.09 per share (diluted) in the 2006 second quarter.
For the six months ended June 30, 2007, sales were $60,292,324, compared with sales of $62,641,128 in the six months ended June 30, 2006. Net income for the six months ended June 30, 2007 was $784,638 or $.12 per share (diluted), versus net income of $1,181,894 or $.17 per share (diluted) in the first six months of 2006.
Michael Benstock, Chief Executive Officer, commented: “We are pleased to report an increase in our earnings this quarter. This improvement in earnings, despite a slight decrease in sales, is a result of our continued emphasis on reducing operating costs and improving our product sourcing. As we discussed in our earnings release for the first quarter, we were awarded contracts with several new large prestigious accounts that we began shipping at the end of the second quarter. These accounts will add significant volume to our business going forward. We anticipate reporting stronger revenues and continued improvement in our operating results through the balance of 2007.”
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.
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Statements contained in this press release which 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.
Comparative figures are as follows:
SUPERIOR UNIFORM GROUP, INC. AND SUBSIDIARY
CONDENSED CONSOLIDATED SUMMARY OF OPERATIONS
THREE MONTHS ENDED JUNE 30,
(Unaudited)
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| | | 2007 | | 2006 |
Net sales | | $ | 30,599,258 | | $ | 31,504,585 |
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Costs and expenses: | | | | | | |
Cost of goods sold | | | 20,618,942 | | | 21,550,704 |
Selling and administrative expenses | | | 8,855,892 | | | 8,858,648 |
Interest expense | | | 84,381 | | | 115,565 |
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| | | 29,559,215 | | | 30,524,917 |
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Earnings before taxes on income | | | 1,040,043 | | | 979,668 |
Taxes on income | | | 380,000 | | | 350,000 |
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Net earnings | | $ | 660,043 | | $ | 629,668 |
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Basic net earnings per common share | | $ | 0.10 | | $ | 0.09 |
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Diluted net earnings per common share | | $ | 0.10 | | $ | 0.09 |
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Dividends per common share | | $ | 0.135 | | $ | 0.135 |
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SUPERIOR UNIFORM GROUP, INC. AND SUBSIDIARY
CONDENSED CONSOLIDATED SUMMARY OF OPERATIONS
SIX MONTHS ENDED JUNE 30,
(Unaudited)
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| | | 2007 | | 2006 |
Net sales | | $ | 60,292,324 | | $ | 62,641,128 |
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Costs and expenses: | | | | | | |
Cost of goods sold | | | 40,465,044 | | | 42,582,114 |
Selling and administrative expenses | | | 18,416,169 | | | 17,891,473 |
Interest expense | | | 176,473 | | | 235,647 |
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| | | 59,057,686 | | | 60,709,234 |
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Earnings before taxes on income | | | 1,234,638 | | | 1,931,894 |
Taxes on income | | | 450,000 | | | 750,000 |
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Net earnings | | $ | 784,638 | | $ | 1,181,894 |
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Basic net earnings per common share | | $ | 0.12 | | $ | 0.17 |
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Diluted net earnings per common share | | $ | 0.12 | | $ | 0.17 |
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Dividends per common share | | $ | 0.27 | | $ | 0.27 |
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SUPERIOR UNIFORM GROUP, INC. AND SUBSIDIARY
CONSOLIDATED BALANCE SHEETS
JUNE 30,
(Unaudited)
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| | | 2007 | | 2006 |
| ASSETS | | | | | | |
CURRENT ASSETS | | | | | | |
Cash and cash equivalents | | $ | 4,711,496 | | $ | 4,841,570 |
Accounts receivable and other current assets | | | 26,782,944 | | | 28,885,598 |
Inventories | | | 35,919,638 | | | 34,036,505 |
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TOTAL CURRENT ASSETS | | | 67,414,078 | | | 67,763,673 |
PROPERTY, PLANT AND EQUIPMENT, NET | | | 14,715,044 | | | 16,620,321 |
GOODWILL | | | 1,617,411 | | | 1,617,411 |
OTHER INTANGIBLE ASSETS | | | 893,095 | | | 1,131,254 |
OTHER ASSETS | | | 1,616,291 | | | 2,832,631 |
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| | $ | 86,255,919 | | $ | 89,965,290 |
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| LIABILITIES AND SHAREHOLDERS’ EQUITY | | | | | | |
CURRENT LIABILITIES | | | | | | |
Accounts payable | | $ | 6,825,704 | | $ | 5,776,013 |
Accrued expenses | | | 2,627,922 | | | 3,625,919 |
Current portion of long-term debt | | | 1,497,889 | | | 1,729,909 |
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TOTAL CURRENT LIABILITIES | | | 10,951,515 | | | 11,131,841 |
LONG-TERM DEBT | | | 1,439,337 | | | 2,937,226 |
LONG-TERM PENSION LIABILITY | | | 1,123,415 | | | — |
OTHER LONG-TERM LIABILITIES | | | 648,543 | | | — |
DEFERRED INCOME TAXES | | | 365,000 | | | 809,000 |
SHAREHOLDERS’ EQUITY | | | 71,728,109 | | | 75,087,223 |
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| | $ | 86,255,919 | | $ | 89,965,290 |
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