Lund Announces Fourth Quarter and Year-to-Date 2000 Financial
Results
DULUTH, Ga., March 30 Lund International Holdings, Inc. (OTC Bulletin Board: LUND) announces
results of operations for the fourth quarter and year ended December 31, 2000.
Net sales for the fourth quarter of 2000 were $37,047,000, compared to
$46,310,000 for the same period in 1999. The 20% decline in sales in the
fourth quarter of 2000 is the result of weak consumer demand for Light Truck
and Automotive Accessories caused in part by higher fuel prices and general
economic uncertainty. Sales were further depressed as distributors and
retailers of accessories quickly curtailed orders to prevent inventory
buildup. Sales of Class 8 Heavy Trucks continued to decline, leading to fewer
accessory sales. On a year-to-date basis, sales declined 9%. Net sales for
the twelve months ended December 31, 2000 were $177,293,000 compared to
$194,369,000 for the same period in 1999.
The Company recorded a net loss of $5,787,000, or ($0.72) per share, for
the three-month period ended December 31, 2000, compared to a net loss of
$2,337,000 or ($0.30) per share for the same period in 1999. For the twelve
months ending December 31, 2000, the Company recorded a loss of $7,090,000, or
($0.90) per share, before an extraordinary item and a cumulative effect of an
accounting change (SAB101). For the twelve months ending December 31, 2000,
the Company recorded a net loss of $7,726,000, or ($0.98) per share, which
included an extraordinary loss of $225,000 net of tax benefit and a loss from
the cumulative effect of an accounting change of $411,000 net of tax benefit.
This compares to a net loss of $3,832,000, or ($0.49) per share, for the
twelve months ending December 31, 1999.
The Company has revised its 1999 consolidated financial statements and the
first three quarters of 2000 to properly reflect conversions of its Preferred
Stock-Series B shares to common shares. These revisions had no impact on
previously reported consolidated stockholders' equity or net income or loss.
The revised outstanding common shares and loss per share calculations for 1999
and the three months ended December 31, 1999 are presented in this press
release. Previously reported net loss was ($0.46) for full year 1999 and
($0.25) for the three months ended December 31, 1999. The Company will file
amended 2000 10-Q reports simultaneously with the filing of its 2000 10-K
which will be filed by Monday, April 2, 2001.
Dennis W. Vollmershausen, President and Chief Executive Officer, stated
that, "As I indicated at the end of the third quarter, anticipated weak demand
for our products continued through the fourth quarter of 2000. This softening
was exacerbated by high fuel prices and uncertain economic conditions.
However, the Company has responded well to the current economic conditions by
reducing expenses and manpower levels while containing capital employed.
Unfortunately, operating inefficiencies resulted in inventory losses in one of
our Light Truck business units in the fourth quarter that negatively impacted
financial results in the period. The Company has taken corrective action by
revamping the Manufacturing Resource Planning system in this operation to
improve the manufacturing process. Throughout 2000, management has moved
aggressively to position the Company for improved financial performance and
will continue these efforts in 2001."
LUND INTERNATIONAL HOLDINGS, INC.
CONDENSED CONSOLIDATED
INCOME STATEMENTS
(in thousands, except per share data)
Three months ended Twelve months ended
Dec. 31, Dec. 31, Dec. 31, Dec. 31,
2000 1999 % change 2000 1999 % change
Net sales $37,047 $46,310 -20.0 $177,293 $194,369 -8.8
Cost of goods
sold 30,260 34,870 -13.2 131,184 140,678 -6.7
Gross profit 6,787 11,440 -40.7 46,109 53,691 -14.1
Operating expenses
General and
administrative 3,998 4,441 -10.0 14,987 16,162 -7.3
Selling and
marketing 3,600 4,719 -23.7 17,719 20,340 -12.9
Research and
development 651 769 -15.3 2,595 3,444 -24.7
Amortization of
intangibles 1,335 1,334 0.1 5,324 5,303 0.4
Total
operating
expenses 9,584 11,263 -14.9 40,625 45,249 -10.2
(Loss) Income
from operations (2,797) 177 -- 5,484 8,442 -35.0
Other expense,
net (3,100) (3,732) 16.9 (12,881) (13,000) 0.9
Loss before
income taxes (5,897) (3,555) -65.9 (7,397) (4,558) -62.3
Income tax
(benefit) expense (110) (1,218) -91.0 (307) (726) -57.7
Loss before
extraordinary
item and
cumulative
effect of
accounting
change (5,787) (2,337) -147.6 (7,090) (3,832) -85.0
Extraordinary
item, less tax
benefit of $130 -- -- -- (225) -- --
Loss before
cumulative effect
of accounting
change (5,787) (2,337) -147.6 (7,315) (3,832) -90.9
Cumulative effect
of accounting
change, less
tax benefit
of $237 -- -- -- (411) -- --
Net loss $(5,787) $(2,337) -147.6 $(7,726) $(3,832) -101.6
Basic net loss
per share:
Loss before
extraordinary
item and
cumulative
effect of
accounting
change $(0.72) $(0.30) $(0.90) $(0.49)
Extraordinary
item -- -- (0.03) --
Cumulative effect
of accounting
change -- -- (0.05) --
Net loss $(0.72) $(0.30) $(0.98) $(0.49)
Diluted net
loss per share:
Loss before
extraordinary
item and
cumulative
effect of
accounting
change $(0.72) $(0.30) $(0.90) $(0.49)
Extraordinary
item -- -- (0.03) --
Cumulative
effect of
accounting
change -- -- (0.05) --
Net loss $(0.72) $(0.30) $(0.98) $(0.49)
Weighted average
common shares 7,998 7,804 7,916 7,804
Weighted average
common and
common
equivalent shares 7,998 7,804 7,916 7,804
LUND INTERNATIONAL HOLDINGS, INC.
CONDENSED CONSOLIDATED
BALANCE SHEETS
(in thousands)
December 31, December 31,
2000 1999
ASSETS
Current assets $58,670 $67,088
Non-current assets
Property and equipment, net 27,828 31,331
Intangibles, net 119,178 124,502
Other assets, net 2,960 3,748
Total assets $208,636 $226,669
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities $40,186 $36,641
Long-term liabilities 82,853 101,705
Stockholders' equity 85,597 88,323
Total liabilities and stockholders' equity $208,636 $226,669
