Exhibit 99(b)
FOR IMMEDIATE RELEASE
CONTACT: John G. Zimmerman Jim Goldman/Stefanie King
Vice President & CFO Edelman Financial
Perceptron, Inc. 212-704-8255/8291
PERCEPTRON ANNOUNCES RECORD FOURTH QUARTER
AND TWELVE MONTH RESULTS
HIGHLIGHTS
1996 sales increase 33% to $49.6 million
Fourth quarter sales increase 20% to $16.1 million
Pre-tax income increases 38% for the year and 32% for the quarter
Earnings per share reach $0.50 for the quarter
Earnings per share reach $1.30 for the year before the previously
reported non-cash charge of $0.27 per share
New order booking total $54.4 million for the year, an increase of
29% from the prior year
Fourth quarter bookings increase 59%, reach $21.3 million
$2.8 million order received in fourth quarter from first-tier auto
supplier
$1.0 million in fourth quarter orders from forest products and steel
processing industries
Financial Summary Table
(in $000's except per share data)
Three Months Ended Twelve Months Ended
December December
1996 1995 % Change 1996 1995 % Change
Net Sales $16,098 $13,388 20% $49,679 $37,291 33%
Gross Profit 10,197 8,437 21% 30,690 23,116 33%
Non-cash stock
compensation expense 0 0 3,202 1,377
Pre-tax income 5,474 4,141 32% 10,964 7,927 38%
Income tax 1,583 0 3,070 (482)
Net income 3,891 4,141 (6)% 7,894 8,409 (6)%
Net income per
share* $ .50 $ .56* (10)% $ 1.03 $ 1.16* (11)%
Weighed average
shares
outstanding 7,706 7,391 4% 7,636 7,258 5%
* Net income per share would have been $0.40 and $0.84 for the three
and twelve month periods of 1996, respectively, had income been
taxed at 1996 rates
PLYMOUTH, MI, February 4, 1997 - Perceptron, Inc. (Nasdaq: P
RCP) today reported record sales and pre-tax earnings for the fourth
quarter, 1996. Sales rose 20% from the prior year period to reach $16.1
million. Earnings before taxes reached $5.5 million, 34% of sales, which
represented a 32% increase from the 1995 fourth quarter. Net income was
$3.9 million or $0.50 per share, compared to the prior year results of $4.1
million, $0.56 per share, when earnings were not taxed. On a comparable
basis, if the prior year earnings were taxed at the 1996 rate, the earnings
per share would have been $0.40.
For the full year of 1996, sales reached $49.6 million, a 33% increase from
1995 sales of $37.3 million. Earnings per share in 1996 were $1.30, before
the previously reported $2.1 million non-cash charge, net of taxes, or $.27
per share, to reflect adjustments in accounting for stock options. Net
earnings were $7.9 million or $1.03 per share after the adjustment. 1995
earnings were $8.4 million or $1.16 per share after a $0.9 million non-cash
charge, net of taxes, or $.0.12 per share, to reflect adjustments in
accounting for stock options. There was no provision for income tax in 1995
due to the Company's tax loss position. 1995 earnings, if adjusted for
taxes would have been $0.84 per share. In each year, the non-cash
adjustment applied only to the first nine months. No adjustments was made
in the fourth quarter of either year.
Bookings in the fourth quarter were strong, totaling $21.3 million, a 59%
increase over the prior year. For the year of 1996, new orders amounted to
$54.4 million, a 29% increase over the $42.3 million received in 1995.
Order backlog at the end of 1996 stood at $21.0 million, a 29% increase over
the $16.3 backlog at the end of 1995. Included in the fourth quarter orders
were a $2.8 million order from a major first-tier automotive supplier; a
$0.5 million order from Trident Systems, Inc., a forest products system
integrator; and a $0.5 million from the steel processing industry for
furnace inspection. Perceptron received an additional $2.0 million booking
from Trident Systems in January, 1997.
Alfred A. Pease, Chairman, President and Chief Executive Officer of
Perceptron stated, "The Perceptron team has once again delivered record
results to its customers and its shareholders. We are very pleased with our
sales, bookings, and earnings for 1996, which demonstrate the continuing
strength of our core automotive business and our progress in developing our
non-automotive businesses. We are encouraged by the customer satisfaction
engendered by our 1996 forest products beta test sites and operational
installations.
"Our first-tier supplier booking is also important in that it extends our
proven product line to a new set of customers. It also positions us earlier
in the automobile production process and provides the Company with a new
base of customers from which to leverage additional sales. And, as
mentioned in yesterday's acquisition announcement, the alliance of
Perceptron with Autospect is an important element of our strategy to broaden
and deepen the penetration in our core automotive segments while
diversifying into other markets. The merger of the two companies allows
Perceptron to provide a broader solution to the worldwide auto industry fit
and finish challenge."
The Company also announced it has purchased certain assets and intellectual
property of HGV Vosseler GmbH & Co. KG of Oehringen, Germany in exchange for
82,150 shares of Perceptron common stock. This transaction enhances
Perceptron's global technology base and shortens the time to market for
products under development.
Perceptron designs, manufactures and markets information based process
measurement and guidance solutions for industry. Perceptron's systems are
recognized in a number of industries and market segments as important tools
for improvement of both quality and efficiency. Perceptron markets and
sells its products worldwide through its offices in Michigan, Germany,
Brazil, the Netherlands, Korea, and Japan.
Safe Harbor Statement
Certain statements in this press release are "forward looking statements"
within the meaning of the Securities Exchange Act of 1934. Actual results
could differ materially from those in the forward looking statements due to
a number of uncertainties, including, but not limited to, the ability of the
Company to resolve technical issues inherent in the development of new
products and technologies, the ability of the Company to identify and
satisfy market needs, general product development and commercialization
difficulties, the quality and cost of competitive products already in
existence or developed in the future, the level of interest existing and
potential new customers may have in new products and technologies generally,
the continuation or acceleration of the automotive industry's retooling
programs, rapid or unexpected technological changes, general product demand
and market acceptance risks, the ability of the Company to successfully
compete with alternative and similar technologies and the effect of economic
conditions.
Financial Tables Follow
PERCEPTRON, INC.
SELECTED FINANCIAL DATA
CONDENSED INCOME STATEMENTS
(Audited)
(In $000's except per share data)
Three Months Ended Twelve Months Ended
December 31, December 31,
1996 1995 1996 1995
Net sales $16,098 $13,388 $49,679 $37,219
Cost of sales 5,901 4,951 18,989 14,175
------ ------ ------ ------
Gross profit 10,197 8,437 30,690 23,116
------ ------ ------ ------
Selling, general and
administrative expense 3,262 3,275 11,456 9,884
Engineering, research and
development expense 1,660 1,167 5,854 4,467
Non-cash stock compensa-
tion expense -- -- 3,202 1,377
----- ----- ----- -----
Income from operations 5,275 3,995 10,178 7,388
Interest income, net 199 146 786 539
----- ----- ------ -----
Income before provision
for income taxes 5,474 4,141 10,964 7,927
Provision for income
taxes 1,583 0 3,070 (482)
----- ----- ------ ------
Net income $ 3,891 $ 4,141 $ 7,894 $ 8,409
----- ----- ------ ------
Net income per weighted
average common share* $ .50 $ .56* $ 1.03 $ 1.16*
===== ===== ====== ======
Weighted average common
and common equivalent
shares 7,706 7,391 7,636 7,258
----- ----- ----- -----
* Net income per share would have been $0.40 and $0.84 for the three
and twelve month periods of 1995, respectively, had income been
taxed at 1996 rates.
CONDENSED BALANCE SHEETS
(Audited)
(In $000's)
December 31, December 31,
1996 1995
Cash and cash equivalents $14,666 $14,990
Other current assets 30,815 21,064
Property and equipment, net 9,115 2,527
Other non-current assets 2,300 --
------ ------
Total assets $56,896 $38,581
====== ======
Total liabilities $10,392 $ 8,223
Shareholders' equity 46,504 30,358
------ ------
Total liabilities and
and shareholders'
equity $56,896 $38,581
====== ======