UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
FORM 10-Q
(X) QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended April 29, 1995
Commission file number 1-5452
ONEIDA LTD.
(Exact name of Registrant as specified in its charter)
NEW YORK 15-0405700
(State or other jurisdiction of I.R.S. Employer
incorporation or organization) Identification No.
ONEIDA, NEW YORK 13421
(Address of principal executive offices) (Zip code)
315-361-3636
(Registrant's telephone number, including area code)
Indicate by check mark whether the registrant (1) has filed
all reports required to be filed by Section 13 or 15(d) of
the Securities Exchange Act of 1934 during the preceding 12
months (or for such shorter period that the registrant was
required to file such reports), and (2) has been subject to
such filing requirements for the past 90 days. Yes X No_
Indicate the number of shares outstanding of each of the
issuer's classes of common stock as of May 30, 1995.
10,829,636
ONEIDA LTD
FOR THE THREE MONTHS ENDED APRIL 29, 1995
FORM 10-Q
INDEX
PART I FINANCIAL INFORMATION:
Consolidated Statement of Operations
Consolidated Balance Sheet
Consolidated Statement of Cash Flows
Notes to Consolidated Financial Statements
Management's Discussion and Analysis of Financial
Condition and Results of Operations
PART II OTHER INFORMATION
No other information required to be filed
for this quarter.
ITEM 6 (b)
There were no reports filed under 8-K for this
quarter.
SIGNATURES
ONEIDA LTD.
CONSOLIDATED STATEMENT OF OPERATIONS
FOR THE FOR THE
THREE MONTHS ENDED NINE MONTHS ENDED
(Thousands except per APRIL 29, APRIL 30, OCT 29, OCT 30,
share amounts) 1995 1994 1994 1993
--------- --------- --------- ---------
NET SALES........................... $121,807 $111,022 $360,795 $340,626
COST OF SALES....................... 87,843 81,836 265,310 247,337
--------- --------- --------- ---------
GROSS MARGIN........................ 33,964 29,186 95,485 93,289
OPERATING REVENUES.................. 176 156 397 405
--------- --------- --------- ---------
34,140 29,342 95,882 93,694
--------- --------- --------- ---------
OPERATING EXPENSES:
Selling and distribution.......... 18,373 17,693 54,070 52,164
General and administrative........ 7,559 6,753 22,066 22,474
--------- --------- --------- ---------
Total........................... 25,932 24,446 76,136 74,638
--------- --------- --------- ---------
INCOME FROM OPERATIONS.............. 8,208 4,896 19,746 19,056
OTHER EXPENSE....................... 474 394 800 676
INTEREST EXPENSE.................... 2,157 1,609 5,366 5,837
--------- --------- --------- ---------
INCOME BEFORE TAXES................. 5,577 2,893 13,580 12,543
PROVISION FOR INCOME TAXES.......... 2,192 1,186 5,568 5,143
--------- --------- --------- ---------
NET INCOME.......................... $3,385 $1,707 $8,012 $7,400
========= ========= ========= ========= PER
SHARE OF COMMON STOCK:
Net Income........................ $0.30 $0.16 $0.74 $0.71
Cash Dividends Declared........... 0.12 0.12 0.36 0.36
SHARES USED IN PER SHARE DATA 11,000 10,755 10,744 10,347
<FN>
See notes to consolidated financial statements.
ONEIDA LTD.
CONSOLIDATED BALANCE SHEET
APRIL 29, 1995 AND JANUARY 28, 1995
(Thousands)
APRIL 29, JAN 28,
ASSETS 1995 1995
--------- ---------
CURRENT ASSETS:
Cash........................................ $2,284 $2,207
Accounts receivable......................... 58,965 63,875
Less allowance for doubtful accounts....... (1,743) (1,665)
Other accounts and notes receivable......... 2,584 2,663
Inventories:
Finished goods............................. 109,428 99,218
Goods in process........................... 22,658 22,668
Raw materials and supplies................. 20,800 13,924
Other current assets........................ 11,041 9,234
--------- ---------
Total current assets..................... 226,017 212,124
--------- ---------
PROPERTY, PLANT AND EQUIPMENT-At cost:
Land and buildings................... ...... 58,240 57,566
Machinery and equipment..................... 187,779 184,632
--------- ---------
Total.................................... 246,019 242,198
Less accumulated depreciation............... 133,714 129,906
--------- ---------
Property, plant & equipment-net.......... 112,305 112,292
--------- ---------
OTHER ASSETS:
Deferred income taxes....................... 7,628 7,055
Other....................................... 4,989 4,559
--------- ---------
TOTAL................................... $350,939 $336,030
========= =========
<FN>
See notes to consolidated financial statements.
ONEIDA LTD.
CONSOLIDATED BALANCE SHEET
APRIL 29, 1995 AND JANUARY 28, 1995
(Thousands)
APRIL 29, JAN 28,
LIABILITIES AND STOCKHOLDERS' EQUITY 1995 1995
--------- ---------
CURRENT LIABILITIES:
Short-term debt............................. $32,141 $27,555
Accounts payable............................ 37,209 27,625
Accrued liabilities......................... 29,963 33,004
Current installments of long-term debt...... 5,024 5,022
--------- ---------
Total current liabilities................ 104,337 93,206
--------- ---------
LONG-TERM DEBT............................... 81,906 77,278
--------- ---------
OTHER LIABILITIES:
Accrued postretirement liability............ 60,778 60,509
Accrued pension liability................... 4,618 4,618
Other liabilities........................... 4,998 5,223
--------- ---------
Total.................................... 70,394 70,350
--------- ---------
STOCKHOLDERS' EQUITY:
6% cumulative preferred stock; $25 par
value; authorized 95,660 shares, issued
89,202 shares, callable at
$30 per share.............................. 2,230 2,230
Common stock $1 par value; authorized
24,000,000 shares, issued 11,595,348
and 11,579,964 shares, respectively........ 11,595 11,580
Additional paid-in capital.................. 79,893 79,740
Retained earnings........................... 18,294 16,255
Equity adjustment from translation.......... (7,728) (6,035)
Less cost of common stock held in
treasury; 672,645 and 678,298 shares,
respectively.............................. (8,502) (8,574)
Less unallocated ESOP shares of common
stock of 99,062............................ (1,480)
--------- ---------
Stockholders' Equity..................... 94,302 95,196
--------- ---------
TOTAL................................... $350,939 $336,030
========= =========
<FN>
See notes to consolidated financial statements.
ONEIDA LTD.
CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE THREE MONTHS ENDED APRIL 29, 1995 AND APRIL 30, 1994
(In Thousands)
FOR THE
THREE MONTHS ENDED
APR 29, APR 30,
CASH FLOW FROM OPERATING ACTIVITIES: 1995 1994
--------- ---------
Net income ................................. $3,385 $1,707
Adjustments to reconcile net income to net cash
provided by (used in) operating activities:
Depreciation.............................. 4,033 3,616
Deferred taxes and other non-cash
charges and credits...................... 1,382 69
Decrease (increase) in operating assets:
Receivables.............................. 4,890 338
Inventories.............................. (17,674) (11,016)
Other current assets..................... (1,870) 182
Other assets.............................. (387) 230
Increase in accounts payable.............. 9,248 1,995
Decrease in accrued liabilities........... (5,218) (3,216)
--------- ---------
Net cash provided by operating
activities............................. (2,211) (6,095)
--------- ---------
CASH FLOW FROM INVESTING ACTIVITIES:
Property, plant and equipment expenditures.. (4,870) (3,891)
Retirement of property, plant and equipment. 637 413
Other, net.................................. (19) 288
--------- ---------
Net cash used in investing activities... (4,252) (3,190)
--------- ---------
CASH FLOW FROM FINANCING ACTIVITIES:
Proceeds from issuance of common stock..... 168 1,033
Issuance of restricted stock plan shares... 72 118
Purchase of ESOP shares.................... (1,480)
Net proceeds under short-term debt and
banker's acceptances...................... 4,586 10,128
Proceeds from issuance of long-term debt... 5,000
Payment of long-term debt.................. (372) (412)
Dividends paid............................. (1,344) (1,341)
--------- ---------
Net cash provided by financing
activities.............................. 6,630 9,526
--------- ---------
EFFECTS OF EXCHANGE RATE CHANGES ON CASH..... (90) (12)
--------- ---------
NET INCREASE IN CASH.............. 77 229
CASH AT BEGINNING OF YEAR.................... 2,207 3,227
--------- ---------
CASH AT END OF PERIOD........................ $2,284 $3,456
========= =========
Supplemental Cash Flow Disclosures:
Interest paid ............................. $1,542 $843
Income taxes paid........................... 1,990 954
<FN>
See notes to consolidated financial statements.
ONEIDA LTD.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Thousands)
1. The statements for the three months ended April 29, 1995
and April 30, 1994 are unaudited; in the opinion of the
Company such unaudited statements include all adjustments
(which comprise only normal recurring accruals) necessary
for a fair presentation of the results for such periods.
The consolidated financial statements for the year ending
January 27, 1996 are subject to adjustment at the end of
the year when they will be audited by independent
auditors. The results of operations for the three months
ended April 29, 1995 are not necessarily indicative of
the results of operations to be expected for the year
ending January 27, 1996. The consolidated financial
statements and notes thereto should be read in
conjunction with the financial statements and notes for
the years ended in January 1995 and 1994 included in the
Company's January 28, 1995 Annual Report to the
Securities and Exchange Commission on Form 10-K.
2. The provision for income taxes is based on pre-tax income
for financial statement purposes with an appropriate
deferred tax provision to give effect to changes in
temporary differences between the financial statements
and tax basis of assets and liabilities. The temporary
differences arise principally from postretirement
benefits, depreciation, and other employee benefits.
3. Earnings per share are based on the weighted average
number of shares of common stock outstanding. The
weighted average number of shares for earnings per share
includes the potentially dilutive effect of shares
issuable under the employee stock purchase and stock
option plans. The shares owned by the Company's employee
stock ownership plan are treated as outstanding for
purposes of the earnings per share calculation only to
the extent they have been allocated.
4. Included in the long-term debt caption on the balance
sheet are various senior notes. The note agreements
relating thereto contain provisions which restrict
borrowings, business investments, acquisition of the
Company's stock and payment of cash dividends. At April
29, 1995 the maximum amount available for payment of
dividends was $6,727.
MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
Quarter ended April 29, 1995 compared with
the quarter ended April 30, 1994
(Thousands)
Operations
Consolidated net sales, for the quarter ended April 29, 1995
increased $10,785, over the same quarter a year ago.
Net Sales 1995 1994 % Change
Tableware Division:
Consumer Products........ $ 47,451 $ 42,471 11.7%
Foodservice.............. 32,815 31,816 3.1%
Total Tableware........ 80,266 74,287 8.0%
Industrial Wire Division... 41,541 36,735 13.1%
Total.................. $121,807 $111,022 9.7%
All of the Company's divisions reported sales increases, as a
result of a stronger economy. Within the tableware division,
sales were positively impacted by the introduction of well
received new patterns. Sales of industrial wire were up due
to rising copper costs that were passed along to customers.
Gross margin, as a percentage of net sales, was equal to
27.9% for the first quarter of 1995, compared to 26.3% for
the same quarter in 1994. Adjusted for rising copper prices,
gross margin for the quarter was approximately 30%. This
improvement reflects a richer product mix in both divisions,
as well as improved efficiencies in all of the Company's
manufacturing facilities.
Operating Expenses 1995 1994 % Change
Tableware Division......... $22,787 $21,128 7.8%
Industrial Wire Division... 3,145 3,318 (8.9%)
Total.................. $25,932 $24,446 6.1%
Operating expenses increased by $1,486 from the same quarter
last year. Selling and distribution costs increased by $680
while administrative costs increased by $806. The increase
in selling costs is related to the higher overall sales
level. The increase in administrative costs primarily
reflects higher profit sharing accruals, made in relation to
the increased level of operating profits.
MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
Quarter ended April 29, 1995 compared with
the quarter ended April 30, 1994
(Thousands)
Interest expense, prior to capitalized interest, was $2,212
for the quarter, an increase of $553 from the first quarter
of 1994. This increase is the result of higher average
interest rates and debt levels in the current quarter versus
the same period last year. The total debt outstanding
increased $4,969 or 4.4% over the same period last year. The
additional debt was necessary to finance working capital
needs.
Liquidity & Financial Resources
During the first quarter of this year, the company expended
approximately $4,900 in conjunction with its long-term
capital expansion and modernization program. The company
expects to invest another $15,000 during the remainder of the
current fiscal year. Included in the planned capital
investments are expenditures of approximately $5,100 related
to a major expansion of the Camden Wire Division. This four
year project, which will total $24,000, was approved by the
Company's Board of Directors in May of this year.
Management believes that sufficient liquidity to support the
company's future funding requirements will be provided by
cash from future operations as well as the availability of
bank lines of credit. At April 29, 1995, the Company had
unused credit lines equal to $54,500 and working capital of
$121,680.
ONEIDA LTD
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
FORM 10-Q
APRIL 29, 1995
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act
of 1934, the registrant has duly caused this report to be
signed on its behalf by the undersigned thereunto duly
authorized.
ONEIDA LTD
(Registrant)
Date: June 8, 1995
____________________________
Edward W. Thoma
Senior Vice President Finance