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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
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FORM 8-K
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PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of report (date of earliest event reported) July 17, 2003
Commission file number Q4823
ACME UNITED CORPORATION
(Exact name of registrant as specified in its charter)
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CONNECTICUT 06-0236700
(State or other jurisdiction of
incorporation or organization) (I.R.S. Employer Identification No.)
1931 BLACK ROCK TURNPIKE, Fairfield, Connecticut 06825
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (203) 332-7330
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 ?
Registrant had 3,298,551 shares outstanding as of July 17, 2003 of its $2.50 par
value Common Stock.
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ACME UNITED CORPORATION
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Item 9. Regulation FD Disclosure............................................. 3
Signatures................................................................... 7
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ACME UNITED CORPORATION
Item 9. Regulation FD Disclosure - This disclosure is being furnished under Item
12, "Disclosure of Results of Operations and Financial Condition"
ACME UNITED CORPORATION NEWS RELEASE
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CONTACT: Paul G. Driscoll Acme United Corporation
1931 Black Rock Turnpike Fairfield, CT 06825
Phone: (203) 332-4102 FAX: (203) 576-1547
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FOR IMMEDIATE RELEASE July 18, 2003
ACME UNITED CORPORATION REPORTS 8% SALES INCREASE AND MORE THAN DOUBLE EARNINGS
FAIRFIELD, CONN. - July 18, 2003 - Acme United Corporation (ASE:ACU) today
announced net income of $615,000 or $.17 per diluted share for the second
quarter ending June 30, 2003 compared to $227,000 or $.06 per diluted share for
the comparable period last year. Net income for the first six months ending June
30, 2003 was $693,000, or $.20 per share compared to $349,000, or $.10 per share
in the comparable period last year.
Net sales for the quarter ending June 30, 2003 were $10.1 million
compared to $9.4 million in 2002, an increase of 8%. Net sales in the U.S.
increased 8% due to the successful launch of new products. International sales
increased by 8%, primarily due to currency gains. Net sales for the first six
months ending June 30, 2003 were $17.3 million compared to $16.2 million in
2002, an increase of 7%.
Walter C. Johnsen, President and CEO, said, "We are pleased with Acme's
performance so far this year. Sales have increased due to new products and
market share gains. Our patented titanium scissors have made good inroads at our
school and office customers. We continue to see evidence that our new product
efforts are being well received, and we expect this to continue to favorably
impact results."
Gross margins were 38.7% in the second quarter of 2003 versus 35.9% in
the comparable period last year due to new product sales and improved
productivity. For the first six months of 2003, gross margins were 39.3%
compared to 34.1% in 2002.
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Income before income taxes was $958,000 in the second quarter of 2003
compared with $299,000 in the second quarter of 2002, an increase of $659,000.
Pretax income for the first six months was $1.3 million in 2003 compared to
$437,000 in 2002.
Income tax expense for the second quarter 2003 was $343,000 versus
$72,000 in the second quarter of 2002. In 2002 the Company recognized a
significant one-time income tax benefit associated with liquidating its UK
business.
The Company's debt less cash on June 30, 2003 was $5.8 million compared to
$7.9 million on June 30, 2002. Acme repurchased 74,700 shares of Common Stock
during the second quarter for $266,000. During the first six months of 2003, the
Company repurchased 84,700 shares of Common Stock at a cost of $298,000.
Mr. Johnsen said that orders continue to be strong, and that he is
optimistic about the remainder the year.
ACME UNITED CORPORATION is a specialized supplier of cutting devices,
measuring instruments, and safety products for school, home, and office use.
Forward-looking statements in this report, including without
limitation, statements related to the Company's plans, strategies, objectives,
expectations, intentions and adequacy of resources, are made pursuant to the
safe harbor provisions of the Private Securities Litigation Reform Act of 1995.
Investors are cautioned that such forward-looking statements involve risks and
uncertainties including without limitation the following: (i) the Company's
plans, strategies, objectives, expectations and intentions are subject to change
at any time at the discretion of the Company; (ii) the Company's plans and
results of operations will be affected by the Company's ability to manage its
growth, and (iii) other risks and uncertainties indicated from time to time in
the Company's filings with the Securities and Exchange Commission.
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ACME UNITED CORPORATION
CONSOLIDATED STATEMENT OF INCOME
SECOND QUARTER REPORT 2003
Quarter Ended Quarter Ended
June 30, 2003 June 30, 2002
Amounts in $000's except per share data (Unaudited) (Unaudited)
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Net Sales $ 10,142 $ 9,398
Pre-Tax Income 958 299
Net Income 615 227
Earnings Per Share Basic 0.18 0.07
Earnings Per Share Diluted 0.17 0.06
Six Months Ended Six Months Ended
June 30, 2003 June, 2002
Amounts in $000's except per share data (Unaudited) (Unaudited)
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Net Sales $ 17,331 $ 16,153
Pre-Tax Income 1,310 437
Net Income 693 349
Earnings Per Share Basic 0.21 0.10
Earnings Per Share Diluted 0.20 0.10
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ACME UNITED CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEET
SECOND QUARTER REPORT 2003
(Unaudited)
Amounts in $000's
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Assets June 30, 2003 June 30, 2002
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Current Assets:
Cash $ 252 $ 245
Accounts Receivable, Net 9,447 9,981
Inventories 7,780 7,159
Prepaid and Other current Assets 772 1,593
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Total Current Assets 18,251 18,979
Property and Equipment, Net 2,241 2,448
Other Assets 432 1,347
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Total Assets $ 20,924 $ 22,773
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Liabilities and Stockholders' Equity
Current Liabilities
Notes Payable $ 208 $ 235
Accounts Payable 2,446 2,255
Other Current Liabilities 2,060 2,320
Current Portion of Long Term Debt 3,793 4,132
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Total Current Liabilities 8,507 8,942
Long-Term debt 2,065 3,807
Other Non Current Liabilities 910 782
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11,482 13,531
Total Stockholders' Equity 9,442 9,242
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Total Liabilities and Stockholders' Equity $ 20,924 $ 22,773
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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.
ACME UNITED CORPORATION
By /s/ WALTER C. JOHNSEN
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Walter C. Johnsen
President and
Chief Executive Officer
Dated: July 17, 2003
By /s/ PAUL G. DRISCOLL
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Paul G. Driscoll
Vice President and
Chief Financial Officer
Dated: July 17, 2003
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