SOURCE: Atrion Corporation

Atrion Corporation

February 23, 2015 16:47 ET

Atrion Reports Fourth Quarter and Full Year 2014 Results

ALLEN, TX--(Marketwired - Feb 23, 2015) - Atrion Corporation (NASDAQ: ATRI) announced today that for the fourth quarter of 2014 revenues were $32.7 million compared to $31.9 million in the same period of 2013, net income increased to $6.0 million from $5.8 million, and diluted earnings per share were up to $3.08 from $2.87. For the full year 2014, Atrion's revenues increased to $140.8 million from $132.0 million in 2013, net income was up to $27.8 million from $26.6 million, while diluted earnings per share increased to $14.08 from $13.18 in 2013.

Commenting on the Company's results, David A. Battat, President & CEO, said, "Diluted EPS for the fourth quarter was up 7% on sales growth of 3%. The benefit of the extension of R&D tax credits during this quarter was partially offset by higher taxes incurred in states where our products are sold. For the calendar year 2014, sales were up 7%, operating income increased 8% and diluted EPS increased 7%. This growth in profitability was achieved even with a $1.0 million increase in R&D spending during 2014 as well as a tax rate that was a full percentage point higher than in the previous year."

Mr. Battat added, "As we continue investing in our business we are also returning an increasing percentage of our free cash flow to our stockholders through higher dividends and stock repurchases. During the fourth quarter of the year we purchased 34,600 shares of our common stock at an average price of $332.10 per share for a total of $11.5 million. For the full year, we purchased a total of 74,746 common shares at an average price of $320.18 for a total of $23.9 million, while still ending 2014 with cash and short and long term investments of $45.6 million." Mr. Battat concluded, "As a significant portion of our products are exported, we are concerned about the increase in the value of the U.S. dollar. Nevertheless, and given planned, ongoing higher levels of spending on new product development, we anticipate continuing our long-term growth in sales and showing a high single-digit increase in operating income for 2015."

Atrion Corporation develops and manufactures products primarily for medical applications. The Company's website is www.atrioncorp.com.

Statements in this press release that are forward looking are based upon current expectations and actual results or future events may differ materially. Such statements include, but are not limited to, Atrion's expectations regarding the Company's spending for new product development and increases in sales and operating income for 2015. Words such as "expects," "believes," "anticipates," "intends," "should", "plans," "will" and variations of such words and similar expressions are intended to identify such forward-looking statements. Forward-looking statements involve risks and uncertainties. The following are some of the factors that could cause actual results or future events to differ materially from those expressed in or underlying our forward-looking statements: changing economic, market and business conditions; acts of war or terrorism; the effects of governmental regulation; competition and new technologies; slower-than-anticipated introduction of new products or implementation of marketing strategies; the Company's ability to protect its intellectual property; changes in the prices of raw materials; changes in product mix; and intellectual property and product liability claims and product recalls. The foregoing list of factors is not exclusive, and other factors are set forth in the Company's filings with the Securities and Exchange Commission.

 
ATRION CORPORATION
CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except per share data)
(unaudited)
 
    Three Months Ended     Twelve Months Ended  
    December 31,     December 31,  
    2014     2013     2014     2013  
Revenues   $ 32,693     $ 31,851     $ 140,762     $ 131,993  
Cost of goods sold     17,011       17,174       72,244       68,931  
  Gross profit     15,682       14,677       68,518       63,062  
Operating expenses     7,050       6,341       27,701       25,118  
  Operating income     8,632       8,336       40,817       37,944  
                                 
Interest income     288       315       1,191       1,313  
Other income     --       --       13       8  
Income before income taxes     8,920       8,651       42,021       39,265  
Income tax provision     (2,880 )     (2,883 )     (14,213 )     (12,683 )
  Net income   $ 6,040     $ 5,768     $ 27,808     $ 26,582  
                                 
Income per basic share   $ 3.11     $ 2.88     $ 14.20     $ 13.22  
                                 
Weighted average basic shares outstanding     1,941       2,000       1,958       2,010  
                                 
    $ 3.08     $ 2.87     $ 14.08     $ 13.18  
Income per diluted share                                
Weighted average diluted shares outstanding     1,959       2,011       1,975       2,017  
                                 
 
 
ATRION CORPORATION
CONSOLIDATED BALANCE SHEETS
(In thousands)
 
    Dec. 31,   Dec. 31,
ASSETS   2014   2013
    (Unaudited)   (Unaudited)
Current assets:            
  Cash and cash equivalents   $ 20,775   $ 28,559
  Short-term investments     3,084     18,351
    Total cash and short-term investments     23,859     46,910
  Accounts receivable     16,962     14,164
  Inventories     28,022     26,266
  Prepaid expenses and other     4,720     1,603
  Deferred income taxes     573     1,376
    Total current assets     74,136     90,319
             
Long-term investments     21,760     10,069
             
Property, plant and equipment, net     62,516     58,328
Other assets     13,102     13,350
             
    $ 171,514   $ 172,066
             
LIABILITIES AND STOCKHOLDERS' EQUITY            
             
  Current liabilities     9,936     9,364
  Line of credit     --     --
  Other non-current liabilities     12,008     13,708
  Stockholders' equity     149,570     148,994
             
    $ 171,514   $ 172,066
             

Contact Information

  • Contact:
    Jeffery Strickland
    Vice President and Chief Financial Officer
    (972) 390-9800