EXHIBIT 99.1
[PERCEPTRON LOGO]
47827 Halyard Drive
Plymouth, Michigan 48170
Phone 734-414-6100 - Fax 734-414-4700
Contact: John J. Garber
Vice President Finance & CFO
734 414-6100
PERCEPTRON ANNOUNCES SECOND QUARTER RESULTS FOR FISCAL YEAR 2004
PLYMOUTH, MICHIGAN, FEBRUARY 10, 2004 - PERCEPTRON, INC. (NASDAQ: PRCP) today
announced sales of $13.6 million and net income of $1.5 million, or $0.18 per
share, for the second quarter ended December 31, 2003, compared with sales of
$12.8 million and net income of $1.1 million, or $0.14 per share, for the
quarter ended December 31, 2002. For the six month period ended December 31,
2003 the Company reported sales of $25.9 million and net income of $2.6 million,
or $0.30 per share, compared with sales of $23.5 million and net income of $1.4
million, or $0.17 per share, for the same period one year ago.
Sales during the quarter were approximately $856,000 higher than the second
quarter of fiscal 2003. Sales in North America of $9.1 million were up $2.0
million compared to the second quarter of fiscal 2003. Sales in Europe of $4.2
million were down $900,000. In both territories the sales change was primarily
due to the timing of customer orders. The year-to-date sales improvement of
approximately $2.4 million was primarily due to higher AutoGauge(R) and
WheelWorks(R) product line sales and the strong Euro.
The gross profit margin of 47.7% this quarter was down compared with 53.4% in
the second quarter of fiscal 2003 when results for the quarter benefited from
higher than normal revenue in Europe related to customer buy-offs on completed
system installations with nominal associated costs. Selling, general and
administrative and engineering, research and development expenses in total were
comparable to the second quarter of fiscal 2003. Foreign currency and other
income of $763,000 was significantly higher than last year primarily due to
foreign currency gains related to the strengthening Euro.
The Company had new order bookings of $12.4 million during the second quarter
compared with new order bookings of $12.0 million in the first quarter of fiscal
2004 and $17.0 million for the same period one year ago. The high level of new
orders last year was principally due to bookings for $13.9 million of AutoGauge
systems of which $10.0 million was placed by European automotive manufacturers.
The Company's backlog was $16.6 million as of December 31, 2003 compared with
$17.9 million as of September 30, 2003.
Alfred A. Pease, chairman, president and chief operating officer, commented, "We
were very pleased with our operating results for the second quarter. The rate of
new orders received during the quarter met our expectations and we expect that
the Company's operating results will remain positive for the remainder of fiscal
2004. Our balance sheet is strong and continues to strengthen. We had cash of
$17.4 million after paying the arbitration award of approximately $2.4 million
that was disclosed in our press release dated February 25, 2003. Shareholders'
equity was $48.7 million or, $5.67 per share as of December 31, 2003."
Perceptron, Inc. will hold a conference call/webcast chaired by Alfred A. Pease,
President & CEO today at 10:00 a.m. (EST). Investors can access the call at
http://www.firstcallevents.com/service/ajwz398739587gf12.html or by dialing
800-915-4836 (domestic callers) or 973-317-5319 (international callers). If you
are unable to participate during the live webcast, the call will be digitally
rebroadcast for seven days, beginning at 12:00 p.m. today and running until
11:59 p.m. on Tuesday, February 17, 2004. You can access the rebroadcast by
dialing 800-428-6051 (domestic callers) or 973-709-2089 (international callers)
and entering the passcode of 335874.
A replay of the call will also be available in the "Company-News" section of the
Company's website at www.perceptron.com for approximately one year following the
call.
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Safe Harbor Statement
Certain statements in this press release may be "forward-looking statements"
within the meaning of the Securities Exchange Act of 1934, including the
Company's expectation as to fiscal 2004 and future revenue, order booking levels
and earnings levels. The Company assumes no obligation for updating any such
forward-looking statements to reflect actual results, changes in assumptions or
changes in other factors affecting such forward-looking statements. Actual
results could differ materially from those in the forward-looking statements due
to a number of uncertainties in addition to those set forth in the press
release, including, but not limited to, the dependence of the Company's revenue
on a number of sizable orders from a small number of customers, the timing of
orders and shipments which can cause the Company to experience significant
fluctuations in its quarterly and annual revenue and operating results, timely
receipt of required supplies and components which could result in delays in
anticipated shipments, general product demand and market acceptance risks, the
ability of the Company to successfully compete with alternative and similar
technologies, the timing and continuation of the Automotive industry's retooling
programs including the risk that the Company's customers postpone new tooling
programs as a result of economic conditions or otherwise, 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
ability of the Company to attract and retain key personnel, especially technical
personnel, 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, rapid or
unexpected technological changes and the effect of economic conditions,
particularly economic conditions in the domestic and worldwide Automotive
industry, which has from time to time been subject to cyclical downturns due to
the level of demand for, or supply of, the products produced by companies in
this industry. The Company's expectations regarding future bookings and revenues
are projections developed by the Company based upon information from a number of
sources, including, but not limited to, customer data and discussions. These
projections are subject to change based upon a wide variety of factors, a number
of which are discussed above. Certain of these new orders have been delayed in
the past and could be delayed in the future. Because the Company's products are
typically integrated into larger systems or lines, the timing of new orders is
dependent on the timing of completion of the overall system or line. In
addition, because the Company's products have shorter lead times than other
components and are required later in the process, orders for the Company's
products tend to be given later in the integration process.
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PERCEPTRON, INC.
SELECTED FINANCIAL DATA
(In Thousands Except Per Share Amounts)
(Unaudited)
CONDENSED INCOME STATEMENTS THREE MONTHS ENDED SIX MONTHS ENDED
DECEMBER 31, DECEMBER 31,
2003 2002 2003 2002
-------- -------- -------- --------
Net Sales $ 13,607 $ 12,751 $ 25,875 $ 23,528
Cost of Sales 7,120 5,941 13,777 12,022
-------- -------- -------- --------
Gross Profit 6,487 6,810 12,098 11,506
Selling, General and Administrative Expense 3,215 3,289 5,700 5,842
Engineering, Research and Development Expense 1,665 1,575 3,102 3,034
-------- -------- -------- --------
Operating Income 1,607 1,946 3,296 2,630
Interest Income (Expense), net 89 (16) 140 (68)
Foreign Currency and Other 763 56 752 (69)
-------- -------- -------- --------
Income Before Income Taxes 2,459 1,986 4,188 2,493
Income Tax Expense 929 851 1,631 1,071
-------- -------- -------- --------
Net Income $ 1,530 $ 1,135 $ 2,557 $ 1,422
======== ======== ======== ========
Earnings Per Share
Basic $ 0.18 $ 0.14 $ 0.30 $ 0.17
Diluted $ 0.16 $ 0.14 $ 0.28 $ 0.17
Weighted Average Common Shares Outstanding
Basic 8,585 8,253 8,507 8,248
Diluted 9,298 8,339 9,266 8,276
CONDENSED BALANCE SHEETS DECEMBER 31, JUNE 30,
2003 2003
------- -------
Cash and Cash Equivalents $17,429 $11,101
Other Current Assets 27,971 33,773
Property and Equipment, Net 8,200 8,290
Other Non-Current Assets, Net 5,811 6,250
------- -------
Total Assets $59,411 $59,414
======= =======
Current Liabilities $10,708 $14,469
Shareholders' Equity 48,703 44,945
------- -------
Total Liabilities and Shareholders' Equity $59,411 $59,414
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