Exhibit 99.1
Baldwin Reports First Quarter Results
SHELTON, Conn.--(BUSINESS WIRE)--Nov. 5, 2003--Baldwin Technology
Company, Inc. (ASE:BLD) announced today that net sales for the first
quarter ended September 30, 2003 were $34,511,000 compared to
$32,804,000 for the first quarter in the prior year, representing an
increase of approximately five percent. Baldwin also reported net
income for the first quarter ended September 30, 2003 of $679,000 or
$0.05 per fully diluted share, compared to a loss of $6,493,000 or
$0.43 per fully diluted share for the same quarter in the prior fiscal
year.
In addition, the Company reported operating profit and cash flow
for the first quarter ended September 30, 2003 of approximately
$830,000 and $2,556,000, respectively. Results for the first quarter
ended September 30, 2003 were positively impacted by improved capacity
utilization at the Company's manufacturing sites, continued efforts on
cost containment and the favorable effects of currency on its top
line.
Orders for the quarter ended September 30, 2003 were $39,900,000
compared to $36,200,000 for the quarter ended September 30, 2002.
Backlog was at $55,100,000 on September 30, 2003 up from $49,700,000
at June 30, 2003 and up from $52,100,000 at September 30, 2002. For
comparison purposes, all amounts have been adjusted where applicable,
to reflect the disposition of the inserter business in October of
2002.
Vijay Tharani, Vice President and CFO commented: "We had a solid
first quarter. We are particularly pleased that in addition to
completing our refinancing, we generated $0.05 in EPS and
approximately $2,600,000 in operating cash flow in the first quarter.
It is evident that our restructuring plan is on track and starting to
show results."
Gerald Nathe, Chairman, President and CEO added: "We are
encouraged by the increase in business activity we've witnessed at
recent printing trade shows in the Americas, Asia, and in Europe. Our
order trends and healthy backlog reflect market share and order gains
with both OEM and end-user customers. This is further evidence that
the strategy initiated several years ago to refocus Baldwin on its
core accessory and controls business for printing, packaging and
publishing is leading to improved Company performance. We are
cautiously optimistic that we will see continued improvement in most
of our product segments and geographic markets."
Log on to the Company's web site at www.baldwintech.com to hear
the live teleconference call on November 5th at 11:00 a.m. Eastern
Time.
Baldwin Technology Company, Inc. is a leading international
manufacturer of accessories and controls for the printing and
publishing industry.
Baldwin Technology Company, Inc.
Condensed Consolidated Statements of Income
(In thousands, except per share data)
(Unaudited)
Quarter ended
September 30,
-----------------
2003 2002
-------- --------
Net sales $34,511 $32,804
Cost of goods sold 23,742 23,616
-------- --------
Gross profit 10,769 9,188
Operating expenses 9,557 11,578
Restructuring charges 382 3,287
-------- --------
Operating income (loss) 830 (5,677)
Interest expense 937 718
Interest income (26) (76)
Other expense (income), net (1,243) 273
-------- --------
Income (loss) from continuing operations before
income taxes 1,162 (6,046)
Provision for income taxes 483 259
-------- --------
Income (loss) from continuing operations 679 (6,305)
Discontinued operations:
Loss from operations (net of applicable incomes
taxes of $0) 0 (188)
-------- --------
Net Income (loss) $679 $(6,493)
======== ========
Income (loss) per share - basic and diluted
Continuing operations $0.05 $(0.42)
Discontinued operations 0.00 (0.01)
-------- --------
Net income (loss) per share - basic and diluted $0.05 $(0.43)
======== ========
Weighted average shares outstanding - basic and
diluted 15,015 15,015
======== ========
Condensed Consolidated Balance Sheets
(In thousands, unaudited)
September June
30, 30,
Assets 2003 2003
---------- --------
Cash and equivalents $9,548 $6,950
Trade Receivables 35,170 32,438
Inventory 23,016 22,769
Prepaid expenses and other 8,140 5,143
---------- --------
Total Current Assets 75,874 67,300
Property, plant and equipment, net 4,848 5,022
Intangible assets 12,790 12,364
Other assets 12,268 12,147
---------- --------
Total assets $105,780 $96,833
========== ========
Current liabilities
Loans payable $3,433 $3,301
Current portion of long-term debt 19,066 16,247
Other current liabilities 47,938 43,688
---------- --------
Total current liabilities 70,437 63,236
Long-term debt 503 521
Other long-term liabilities 6,969 6,795
---------- --------
Total liabilities 77,909 70,552
Shareholders equity 27,871 26,281
---------- --------
Total liabilities and shareholders equity $105,780 $96,833
========== ========
CAUTIONARY STATEMENT--This Release may contain statements
regarding expected future order, backlog and sales rates, operating
margins and profitability or other statements, which may constitute
"forward-looking" information as defined in the Private Securities
Litigation Reform Act of 1995 or by the Securities and Exchange
Commission. Investors are cautioned that any such forward-looking
statements are not guarantees of future performance and actual results
may differ. See Exhibit 99 to the Company's Form 10-K Report for the
fiscal year ended June 30, 2003.
CONTACT: Baldwin Technology Company, Inc.
Helen Oster, 203-402-1004