EXHIBIT 99.1
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News Release
LANDAUER
For Immediate Release
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LANDAUER, INC. REPORTS HIGHER
FIRST QUARTER FISCAL 2005 EARNINGS
For Further Information Contact: James M. O'Connell
Vice President, Treasurer and CFO
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GLENWOOD, ILLINOIS, JANUARY 25, 2005 ... LANDAUER, INC. (NYSE: LDR),
reported that net income for the first fiscal quarter ended December 31,
2004 was $4,430,000, an increase of more than 10% compared with net income
of $4,005,000 for the same quarter in fiscal 2004. Net income per diluted
share for the quarter just ended was $0.49 compared with $0.45 a year ago.
Landauer, a recognized leader in personal and environmental radiation
monitoring services, reported revenues of $18,325,000 for the first quarter
of fiscal 2005, an increase of 9% compared with revenues of $16,778,000
reported for fiscal 2004.
Revenues for the quarter just ended were more than $1,500,000 higher
compared with the first quarter of fiscal 2004. Growth in domestic
radiation measurement revenues and ancillary fees resulted from higher
pricing and increased unit volume and represented approximately 40% of
revenue growth. Growth in international revenues, representing almost 30%
of revenue growth, resulted from modest pricing and unit gains, as well as
the effects of currency translation. The balance of revenue growth
represents sales of InLight products and services in the U.S. and Europe.
Cost of revenues and operating expenses for the current quarter were almost
$1,200,000 higher than for the same period in fiscal 2004. Increases were
attributable to higher direct materials costs, increased spending for
professional fees and outside services related to information technology
projects and Sarbanes-Oxley support, depreciation and amortization expense
and higher international costs. Resulting operating income for the quarter
ended December 31, 2004 was $6,720,000, an increase of 6% compared with
$6,359,000 reported in the same quarter a year ago. Net other income was
almost $50,000 higher than a year ago reflecting increased income from
Landauer's Japanese joint venture, offset by higher interest expense.
Minority interest in net income of the Company's subsidiaries declined by
almost $125,000 compared with a year ago as a result of the acquisition of
the remaining interest in LCIE- Landauer. The effective income tax rate
for the first quarter of fiscal 2005 was slightly lower at 36.8%.
OUTLOOK
Management's review of the 2005 business plan indicates that no change in
the outlook is warranted and that aggregate revenue growth for the year is
anticipated to be in the range of 7 - 8%. The Company's traditional
domestic and international revenue sources are expected to grow at a rate
of 5.5 - 6.5% with sales for the InLight product line contributing to the
balance of revenue growth. Sources of domestic revenue growth are expected
to include pricing, moderate unit growth and increased sales of ancillary
services. Pricing and increased unit volume are expected to contribute to
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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
international revenue growth in 2005, although currency exchange rates may
impact results reported in U.S. dollars. Costs and operating expenses for
fiscal 2005 are expected to grow at a rate slightly higher than revenues.
Net other income in fiscal 2005 is anticipated to be comparable to the year
just ended and minority interest should further decline, as a result of the
elimination of minority interest in LCIE-Landauer. The effective income
tax rate for fiscal 2005 is expected to be comparable to 2004 at 37.4%.
Based on the preceding estimates, resulting net income for 2005 is
currently anticipated to be higher by 6 - 8% compared with fiscal 2004.
CONFERENCE CALL INFORMATION
Landauer, Inc. has scheduled a conference call that will be broadcast
simultaneously over the Internet at www.fulldisclosure.com on Wednesday,
January 26, 2005 at 10:00 a.m. central time. Please allow 15 minutes to
register and download the required software. Replays will be available
through Fulldisclosure's website.
ABOUT LANDAUER
Landauer is the world's leading provider of analytical services to
determine occupational and environmental radiation exposure. For more than
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. The Company provides its services to more than 1.4 million
people in the United States, Japan, France, the United Kingdom, Brazil,
Canada, China, Australia and other countries.
SAFE HARBOR STATEMENT
Certain of the statements made herein (including, in particular, under the
caption "Outlook"), 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 development and introduction of new technologies, generally;
introduction and customer acceptance of the InLight technology; the
adaptability of optically stimulated luminescence ("OSL") technology to new
platforms and formats, such as Luxel<registered trademark>+; the costs
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; changes in pricing of products and services; 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, 2004 and other reports filed by the Company from time to time
with the Securities and Exchange Commission.
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LANDAUER, INC. ADD 2
FIRST QUARTER FISCAL 2005 FINANCIAL HIGHLIGHTS
(Unaudited; amounts in thousands, except per share data)
THREE MONTHS ENDED
DECEMBER 31,
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2004 2003
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Net revenues . . . . . . . . . . . . . . . . . . $ 18,325 $ 16,778
Cost and expenses:
Cost of sales. . . . . . . . . . . . . . . . . 7,094 6,137
Selling, general and administrative. . . . . . 4,511 4,282
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11,605 10,419
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Operating income . . . . . . . . . . . . . . . . 6,720 6,359
Other income - net . . . . . . . . . . . . . . . 312 265
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Income before income taxes and
minority interest. . . . . . . . . . . . . . . 7,032 6,624
Income taxes . . . . . . . . . . . . . . . . . . 2,586 2,479
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Income before minority interest. . . . . . . . . 4,446 4,145
Minority interest therein. . . . . . . . . . . . 16 140
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Net income . . . . . . . . . . . . . . . . . . . $ 4,430 $ 4,005
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Net income per common share:
Basic. . . . . . . . . . . . . . . . . . . . . $ 0.50 $ 0.45
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Average shares outstanding . . . . . . . . . . 8,949 8,852
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Diluted. . . . . . . . . . . . . . . . . . . . $ 0.49 $ 0.45
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Average shares outstanding . . . . . . . . . . 9,019 8,930
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LANDAUER, INC. ADD 3
SUMMARY CONSOLIDATED BALANCE SHEET
(unaudited, amounts in thousands)
December 31, September 30,
2004 2004
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ASSETS
Current Assets
Cash and cash equivalents. . . . . . . . $ 9,884 $ 7,979
Short-term investments . . . . . . . . . 462 616
Receivables, net of reserves . . . . . . 16,921 15,060
Other current assets . . . . . . . . . . 6,625 6,635
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Total current assets . . . . . . . . . . . 33,892 30,290
Net property, plant and equipment. . . . . 18,395 18,540
Equity in joint venture. . . . . . . . . . 3,904 3,916
Goodwill, net of amortization. . . . . . . 13,185 13,156
Other intangible assets,
net of amortization. . . . . . . . . . . 6,198 6,337
Other operating assets,
net of amortization. . . . . . . . . . . 5,247 4,791
Other assets . . . . . . . . . . . . . . . 487 488
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TOTAL ASSETS . . . . . . . . . . . . . . . $ 81,308 $ 77,518
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LIABILITIES AND
STOCKHOLDERS' INVESTMENT
Current Liabilities:
Accounts payable . . . . . . . . . . . . $ 1,410 $ 1,306
Notes payable. . . . . . . . . . . . . . 5,673 5,262
Dividend payable . . . . . . . . . . . . 3,804 3,577
Deferred revenue . . . . . . . . . . . . 12,979 12,554
Other current liabilities. . . . . . . . 7,514 5,577
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Total current liabilities. . . . . . . . . 31,380 28,276
Non-current Liabilities:
Pension and postretirement
liabilities. . . . . . . . . . . . . . 4,338 3,845
Deferred income taxes. . . . . . . . . . 1,317 1,317
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Total non-current liabilities. . . . . . . 5,655 5,162
Minority interest in subsidiary. . . . . . 24 83
Stockholder's investment . . . . . . . . . 44,249 43,997
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TOTAL LIABILITIES AND
STOCKHOLDERS' INVESTMENT . . . . . . . . $ 81,308 $ 77,518
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