Lund Announces First Quarter 2001 Financial Results
DULUTH, Ga., May 11 Lund International Holdings, Inc. (OTC Bulletin Board: LUND) announced
results of operations for the first quarter ended April 1, 2001.
Net sales for the first quarter of 2001 were $39,327,000, compared to
$46,399,000 for the same period in 2000. The decrease is primarily
attributable to volume declines across most of the Company's product lines.
The Company continued to experience softness in demand for its product,
impacted in part from the escalating cost of fuel and general economic
uncertainty.
Income from operations was $225,000 in the first quarter of 2001, compared
to income from operations of $2,858,000 for the same period in 2000. The
decrease was primarily the result of the 15% decline in sales volume when
compared to the first quarter in 2000.
Lund recorded a net loss of $3,109,000, or $0.35 per share, for the first
quarter of 2001, compared to a net loss of $842,000, or $0.11 per share, in
the first quarter of 2000. The first quarter of 2001 includes a
$233,000 interest fee and consulting fees of $274,000 incurred as a result of
the Company restructuring its loan agreements' financial covenants. The first
quarter of 2001 also includes restructuring charges of $604,000 related to the
relocation of the Company's Anoka, Minn. distribution center to Lawrenceville,
Ga. The first quarter 2000 loss included a $225,000 loss, net of tax benefit,
on the early extinguishment of debt, and a $410,000 loss, net of tax benefit,
from the cumulative effect of an accounting change. Loss per share before the
extraordinary loss on debt extinguishment and the cumulative effect of an
accounting change was $0.03 in the first quarter of 2000.
Dennis W. Vollmershausen, President and Chief Executive Officer, stated
that, "Our first quarter net sales decline of 15% compared to the same period
in 2000 is attributable to an approximate 10% decline in Light Truck
Automotive Accessories and a slightly greater than 40% decline in Heavy Truck
Accessories sales. Compared to the fourth quarter of 2000, net sales improved
by 6% as customers stabilized inventory levels. Although the quarter to
quarter sales improvement is encouraging, market conditions are expected to
remain unsettled over the balance of the year. We will continue to focus on
anticipating and responding to changing market conditions in an effort to
maximize our earnings potential."
LUND INTERNATIONAL HOLDINGS, INC.
CONDENSED CONSOLIDATED
INCOME STATEMENTS
(in thousands, except per share data)
Three months ended
April 1, April 2,
2001 2000 % change
Net sales $39,327 $46,399 -15.2
Cost of goods sold 29,204 33,214 12.1
Gross profit 10,123 13,185 -23.2
Operating expenses
General and administrative 4,242 3,810 11.3
Selling and marketing 3,734 4,475 -16.6
Research and development 587 725 -19.0
Amortization of intangibles 1,335 1,317 1.4
Total operating expenses 9,898 10,327 -4.2
Income from operations 225 2,858 -92.1
Other expense, net (3,304) (3,248) -1.7
Loss before income taxes (3,079) (390) --
Income tax expense (benefit) 30 (183) -116.4
Loss before extraordinary item
and cumulative effect of
accounting change (3,109) (207) --
Extraordinary item, less
tax benefit of $130 -- (225) --
Loss before cumulative effect
of accounting change (3,109) (432) --
Cumulative effect of
accounting change less tax
benefit of $237 -- (410) --
Net loss $(3,109) $(842) -269.2
Basic and diluted net loss
per share:
Loss before extraordinary
item and cumulative effect
of accounting change $(0.35) $(0.03)
Extraordinary item -- (0.03)
Cumulative effect of
accounting change -- (0.05)
Net loss $(0.35) $(0.11)
Weighted average common shares 8,796 7,804
Weighted average common and
common equivalent shares 8,796 7,804
LUND INTERNATIONAL HOLDINGS, INC.
CONDENSED CONSOLIDATED
BALANCE SHEETS
(in thousands)
April 01, December 31,
2001 2000
ASSETS
Current assets $57,857 $58,670
Non-current assets
Property and equipment, net 27,316 27,828
Intangibles, net 117,843 119,178
Other assets, net 2,798 2,960
Total assets $205,814 $208,636
LIABILITIES AND STOCKHOLDERS'
EQUITY
Current liabilities $119,031 $40,186
Long-term liabilities 4,605 82,853
Stockholders' equity 82,178 85,597
Total liabilities and
stockholders' equity $205,814 $208,636
