EXHIBIT 99.1
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News Release
LANDAUER
For Immediate Release
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LANDAUER, INC. REPORTS HIGHER
SECOND QUARTER 2004 RESULTS
For Further Information Contact: James M. O'Connell
Vice President, Treasurer and CFO
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GLENWOOD, ILLINOIS, APRIL 22, 2004 ... LANDAUER, INC. (NYSE symbol LDR)
reported today that net income for its second fiscal quarter ended
March 31, 2004 was $4,839,000, or $0.54 per diluted share, compared with
$3,030,000, or $0.34 per diluted share, in the same quarter in fiscal 2003.
Revenues for the quarter just ended were $18,262,000, or 8.4% higher than
revenues of $16,846,000 in the same period a year ago. Higher domestic
revenues provided the majority of growth for the quarter, where improved
pricing, expanded ancillary and report revenues and modest unit gains were
realized. Revenue growth also benefited from a continued weak U.S. dollar,
as well as increased business activity in Europe, Asia and Brazil.
Aggregate costs and expenses for the quarter just ended were $1,459,000
lower than a year ago. Impacting the year-to-year comparison is
recognition in the second quarter of 2003 of an impairment charge of
$2,750,000 related to Landauer's Aurion service, offset by lower incentive
compensation expense in the amount of $400,000, resulting in a net
reduction in prior year operating income of $2,350,000. Other costs in the
current quarter increased at a slightly higher rate than revenues,
primarily for international costs and expenses, salaries and benefits, and
professional fees. Resulting operating income for the second quarter of
fiscal 2004 was $7,667,000, an increase of $2,875,000 compared with the
same period in 2003.
RESULTS FOR SIX MONTHS ENDED MARCH 31, 2004
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For the first half of fiscal 2004, Landauer reported net income of
$8,844,000, or $0.99 per diluted share, compared with $6,839,000, or $0.77
per diluted share, for the same period in fiscal 2003. Revenues for the
first six months of the fiscal year were $35,040,000, or 8.7% higher than
$32,238,000 reported for the same period in fiscal 2003. Domestic revenue
growth, representing almost two-thirds of the increase, resulted from
improved pricing and modestly higher volume for measurement and reporting
services. Higher international revenues resulted from a weak U.S. dollar
and some pricing and unit gains in most foreign markets.
Aggregate costs and expenses for the first half of fiscal 2004 were
$366,000 lower than a year ago. As above, the comparison with a year ago
is impacted by recognition in 2003 of an impairment charge of $2,750,000,
offset by lower year-to-date incentive compensation expense of $350,000,
for a net reduction in 2003 operating income of $2,400,000. Other costs
during the first half 2004 increased by approximately 10%, particularly for
salaries and benefits, international costs and expenses and professional
fees. Resulting operating income thus far in fiscal 2004 was $14,026,000,
an increase of $3,168,000 compared with the same period in 2003.
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Landauer, Inc. 2 Science Road Glenwood, IL 60425-1586
Phone 708.755.7000 Fax 708.755.7011 www.landauerinc.com
LANDAUER, INC. ADD 1
Year-to-date other income was $130,000 higher than a year ago with most of
the increase resulting from higher earnings of Nagase-Landauer, Ltd., the
Company's joint venture in Japan. Income taxes for the first half of
fiscal 2004 were higher than a year ago as a result of higher income. The
effective tax rate for the current year at 37.6% was slightly higher
compared to the first six months of fiscal 2003.
OUTLOOK FOR BALANCE OF FISCAL 2004
Landauer's business plan and outlook anticipates that revenue growth for
the year is expected to be in the range of 6-8%, evenly distributed among
the Company's traditional revenue sources. Domestic revenue growth is
expected to occur as a result of pricing, moderate unit growth and
increased sales of ancillary services and products. International revenue
growth is expected to benefit from a continued weak U.S. dollar, although
the impact of currency translation will likely diminish over the balance of
the year, as year-to-year exchange rate comparisons moderate.
Additionally, international revenue growth is expected to result from
higher pricing and increased units.
Aggregate costs and operating expenses for fiscal 2004 are expected to be
comparable to fiscal 2003 levels, reflecting the absence of a $2.8 million
non-cash impairment charge that occurred in 2003, offset by higher costs in
2004. Any change in the value of the U.S. dollar relative to major foreign
currencies, however, may impact both revenues and costs for most non-U.S.
operations with only modest impact on operating income. Net other income
in fiscal 2004 is anticipated to be comparable to a year ago and the
effective income tax rate for fiscal 2004 is expected to be 37.5%.
Resulting net income for 2004 is anticipated to be higher by 18 - 20%
compared with fiscal 2003.
CONFERENCE CALL INFORMATION
Landauer, Inc. has scheduled a conference call that will be broadcast
simultaneously over the Internet at www.viavid.net on Friday, April 23,
2004, at 10:00 a.m. central time. Please allow 15 minutes to register and
download the required software. Replays will be available through Viavid's
website.
ABOUT LANDAUER, INC.
Landauer is the leading provider of analytical services to determine
personal exposure to occupational and environmental radiation. For almost
50 years, the Company has provided complete radiation dosimetry services to
hospitals, medical and dental offices, universities, national laboratories,
and other industries in which radiation poses a potential threat to
employees. Landauer's services include the manufacture of various types of
radiation detection monitors, the distribution and collection of the
monitors to and from clients, and the analysis and reporting of exposure
findings.
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LANDAUER, INC. ADD 2
SAFE HARBOR STATEMENT
Certain of the statements made herein constitute forward looking statements
that are based on certain assumptions and involve certain risks and
uncertainties, including, without limitation, assumptions, risks and
uncertainties associated with the Company's introduction of the inLight
technology, the adaptability of optically stimulated luminescence ("OSL")
technology to new platforms and formats, the cost associated with the
Company's research and business development efforts, the usefulness of
older technologies, the anticipated results of operations of the Company
and its subsidiaries or ventures, the valuation of the Company's long lived
assets or business units relative to future cash flows, the Company's
market position, changes in postal and delivery practices, the Company's
business plans, anticipated revenue and cost growth, the risks associated
with conducting business internationally, other anticipated financial
events, the effects of changing economic and competitive conditions,
foreign exchange rates, government regulations, accreditation requirements,
and pending accounting pronouncements. Such assumptions may not
materialize to the extent assumed and such risks and uncertainties may
cause actual results to differ from anticipated results. Such risks and
uncertainties may also result in changes to the Company's business plans
and prospects and could create the need from time to time to write down the
value of assets or otherwise cause the Company to incur unanticipated
expenses. Additional information may be obtained by reviewing the
information set forth under the caption "Significant Risk Factors" in the
Company's Annual Report on Form 10-K for the year ended September 30, 2003
and other reports filed by the Company from time to time with the
Securities and Exchange Commission.
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LANDAUER, INC. ADD 3
SECOND QUARTER FISCAL 2004 FINANCIAL HIGHLIGHTS
(Unaudited; amounts in thousands, except per share data)
Three Months Ended Six Months Ended
March 31, March 31,
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2004 2003 2004 2003
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Net revenues. . . . . . . . $ 18,262 $ 16,846 $ 35,040 $ 32,238
Costs and expenses:
Cost of sales . . . . . . 6,365 5,732 12,503 11,445
Selling, general and
administrative. . . . . 4,230 3,572 8,511 7,185
Impairment in value of
assets. . . . . . . . . -- 2,750 -- 2,750
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10,595 12,054 21,014 21,380
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Operating income. . . . . . 7,667 4,792 14,026 10,858
Other income - net. . . . . 318 230 585 455
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Income before income taxes
and minority interest . . 7,985 5,022 14,611 11,313
Income taxes. . . . . . . . 3,020 1,835 5,501 4,184
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Income before minority
interest. . . . . . . . . 4,965 3,187 9,110 7,129
Minority interest . . . . . 126 157 266 290
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Net income. . . . . . . . . $ 4,839 $ 3,030 $ 8,844 $ 6,839
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Net income per common share:
Basic . . . . . . . . . . $ 0.54 $ 0.34 $ 1.00 $ 0.78
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Based on average shares
outstanding . . . . . . . 8,897 8,792 8,875 8,783
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Diluted . . . . . . . . . $ 0.54 $ 0.34 $ 0.99 $ 0.77
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Based on average shares
outstanding . . . . . . 8,978 8,871 8,954 8,863
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LANDAUER, INC. ADD 4
SUMMARY CONSOLIDATED BALANCE SHEET
(unaudited, amounts in thousands)
March 31, September 30,
2004 2003
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ASSETS
Current Assets
Cash and cash equivalents . . . . . . $ 10,688 $ 10,572
Short-term investments. . . . . . . . 478 440
Receivables, net of reserves. . . . . 15,202 13,770
Other current assets. . . . . . . . . 7,884 6,456
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Total current assets. . . . . . . . . . 34,252 31,238
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Net property, plant and equipment . . . 17,982 17,226
Equity in joint venture . . . . . . . . 3,522 3,402
Goodwill and other intangible assets,
net of amortization . . . . . . . . . 7,934 8,056
Dosimetry devices, net of amortization. 4,715 4,121
Other assets. . . . . . . . . . . . . . 131 195
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TOTAL ASSETS. . . . . . . . . . . . . . $ 68,536 $ 64,238
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LIABILITIES AND
STOCKHOLDERS' INVESTMENT
Current liabilities:
Accounts payable. . . . . . . . . . . $ 2,046 $ 1,548
Dividend payable. . . . . . . . . . . 3,559 3,316
Deferred revenue. . . . . . . . . . . 12,145 12,464
Other current liabilities . . . . . . 8,187 7,501
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Total current liabilities . . . . . . . 25,937 24,829
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Minority interest in subsidiary . . . . 584 984
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Stockholders' investment. . . . . . . . 42,015 38,425
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TOTAL LIABILITIES AND
STOCKHOLDERS' INVESTMENT . . . . . . $ 68,536 $ 64,238
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