Transpro, Inc. Reports Revised 2003 Second Quarter Results; Adjustments Increase 2003 Second Quarter And Year-To-Date Loss Per Share by $0.01
NEW HAVEN, Conn.--Aug. 5, 2003--Transpro, Inc. today reported revised results for the second quarter ended June 30, 2003 from that previously reported in the Company's press release dated July 30, 2003. Accordingly, the Company's financial statements that will be included in Transpro's Form 10-Q to be filed with the Securities and Exchange Commission will reflect a net loss of $0.6 million, or $0.09 per diluted share, versus a net loss of $0.5 million, or $0.08 per diluted share, as was originally reported on July 30. The revision is due to a clerical error in the calculation of the allowance for returned goods and resulted in an understatement of costs of goods sold and an overstatement of inventories. The revision increased the Company's cost of sales and operating loss by $430,000 and decreased the Company's net inventories by $430,000 versus results reported previously. The revision also had an effect on the tax benefit in the Statements of Operations and on the income tax balance sheet account. In addition, the expected year-end effective tax rate was changed, as a result of the revision.The net loss for the six months ended June 30, 2003 was $0.70 per diluted share versus a net loss of $0.69 per diluted share, as originally reported.
There was no cash flow impact resulting from this revision. In addition, the revision does not change the Company's guidance for the 2003 second half or full-year periods.
The Company's Form 10-Q will be filed with the Securities and Exchange Commission on or about August 13, 2003, and will be accessible at Transpro's website: www.transpro.com.
Transpro, Inc. is a manufacturer and supplier of heating and cooling systems and components for a variety of Aftermarket and OEM automotive, truck and industrial applications.
Transpro, Inc.'s Strategic Corporate Values are:
-- Being An Exemplary Corporate Citizen
-- Employing Exceptional People
-- Dedication To World-Class Quality Standards
-- Market Leadership Through Superior Customer Service
-- Commitment to Exceptional Financial Performance
FORWARD-LOOKING STATEMENTS
Statements included in this news release, which are not historical in nature, are forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The Company's Annual Report on Form 10-K contains certain detailed factors that could cause the Company's actual results to materially differ from forward-looking statements made by the Company. In particular, statements relating to the future financial performance of the Company are subject to business conditions and growth in the general economy and automotive and truck business, the impact of competitive products and pricing, changes in customer product mix, failure to obtain new customers or retain old customers or changes in the financial stability of customers, changes in the cost of raw materials, components or finished products and changes in interest rates.
TRANSPRO, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (REVISED(*))
(in thousands, except for per share data)
(unaudited)
Three Months Six Months
Ended June 30, Ended June 30,
-------------------------------------
2003 2002 2003 2002
------- ------- -------- --------
Net sales $58,302 $62,472 $111,002 $113,434
Cost of sales 49,304 49,269 94,813 90,158
------- ------- -------- --------
Gross margin 8,998 13,203 16,189 23,276
Selling, general and
administrative expenses 9,680 10,496 20,342 19,581
Restructuring and other special
charges 540 116 958 183
------- ------- -------- --------
Operating (loss) income (1,222) 2,591 (5,111) 3,512
Interest expense 1,063 869 1,912 1,687
------ ------- -------- ---------
(Loss) income before taxes and
cumulative effect of
accounting change (2,285) 1,722 (7,023) 1,825
Income tax (benefit) provision (1,678) 177 (2,081) (3,476)
------ ------- -------- ---------
(Loss) income before cumulative
effect of accounting change (607) 1,545 (4,942) 5,301
Cumulative effect of accounting
change -- -- -- (4,671)
------ ------- -------- ---------
Net (loss) income $ (607) $ 1,545 $ (4,942)$ 630
======= ======= ======== =========
Shares outstanding:
Basic 7,106 6,982 7,106 6,982
Diluted 7,106 7,230 7,106 7,192
(Loss) income per share before
cumulative effect of
accounting change:
Basic $ (0.09)$ 0.21 $ (0.70) $ 0.75
Diluted $ (0.09)$ 0.21 $ (0.70) $ 0.74
Net (loss) income per share:
Basic $ (0.09)$ 0.21 $ (0.70) $ 0.08
Diluted $ (0.09)$ 0.21 $ (0.70) $ 0.09
(*) Revised from information previously issued in the Company's press
release dated July 30, 2003.
TRANSPRO, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS (REVISED(*))
(in thousands)
(unaudited)
June 30, December 31,
2003 2002
------------ ------------
Accounts receivable, net $ 48,193 $ 54,724
Inventories, net 76,621 64,627
Other current assets 5,772 6,458
Net property, plant and equipment 22,691 26,552
Other assets 8,513 8,605
------------ ------------
Total assets $161,790 $160,966
============ ============
Accounts payable $ 34,469 $ 22,577
Accrued liabilities 15,339 18,096
Total debt 54,223 59,596
Other long-term liabilities 14,495 12,459
Stockholders' equity 43,264 48,238
------------ ------------
Total liabilities and stockholders' equity $161,790 $160,966
============ ============
(*) Revised from information previously issued in the Company's press
release dated July 30, 2003.
TRANSPRO, INC.
SUPPLEMENTARY INFORMATION (REVISED(*))
(in thousands)
(unaudited)
Three Months Six Months
Ended June 30, Ended June 30,
----------------- -------------------
2003 2002 2003 2002
------- ------- -------- --------
SEGMENT DATA
--------------------------------
Net sales:
Automotive and light truck $43,222 $44,865 $ 82,318 $ 80,269
Heavy duty 15,080 17,607 28,684 33,165
------- ------- -------- --------
Total $58,302 $62,472 $111,002 $113,434
======= ======= ======== ========
Operating (loss) income:
Automotive and light truck $ 425 $ 4,294 $ (207) $ 6,492
Restructuring and other special
charges (326) 34 (386) 18
------ ------- ------- --------
Automotive and light truck
total 99 4,328 (593) 6,510
------ ------- ------- --------
Heavy duty (8) 35 (1,358) 113
Restructuring and other special
charges (214) (150) (572) (201)
------ ------ ------- -------
Heavy duty total (222) (115) (1,930) (88)
------ ------ ------- -------
Corporate expenses (1,099) (1,622) (2,588) (2,910)
------ ------ ------- --------
Total $(1,222) $ 2,591 $ (5,111) $ 3,512
====== ======= ======== ========
CAPITAL EXPENDITURES $ 1,149 $ 2,210 $ 1,548 $ 3,385
-------------------------------- ======= ======= ======== ========
(*) Revised from information previously issued in the Company's press
release dated July 30, 2003.