Consolidated Graphics Reports 3Q Results, Traction with e-Commerce
Press release from the issuing company
HOUSTON--Jan. 23, 2002--Consolidated Graphics reported results for its third quarter and nine months ended December 31, 2001.
December quarter sales were $153.8 million compared to $160.2 million in the September quarter. Net income was $3.6 million, or $.27 per diluted share, compared to September quarter net income of $4.3 million, or $.32 per share. Effects of the current economic slowdown are evident in the December quarter results. Revenues for the December quarter last year were $171.2 million. Net income for the December quarter last year was $5.5 million, or $.42 per diluted share.
For the nine months ended December 2001, total revenues were $478.3 million compared to $517.2 million for the first nine months of last year. Net income for the nine-month period was $13.0 million or $.97 per diluted share, compared to $21.4 million, or $1.62 per share, in the same period last year.
"Our revenue performance in the third quarter continued to be impacted by soft commercial printing demand and competitive pressures,'' commented Charles F. White, President and Chief Operating Officer. "However, in spite of these difficult conditions we are extremely pleased with our progress in two key growth areas -- CGXMedia and national accounts. During the quarter, we added 7 new national account customers and increased the number of clients utilizing our COIN and OPAL e-commerce printing solutions by 36. Additionally, we capitalized on opportunities to add senior sales professionals to further strengthen our competitive position. We have enhanced both our operating and financial condition, while increasing market share during what we consider extremely challenging times.''
Joe R. Davis, Chairman and Chief Executive Officer, stated, "During the quarter, we continued to strengthen our balance sheet and reduce costs. Our debt is now $220 million, a reduction of $45 million since the beginning of the year.''
Mr. Davis concluded, "Looking ahead, we will continue to maximize our revenue growth potential while improving efficiencies throughout the organization. In terms of financial guidance, we anticipate modest sequential improvements in revenue and earnings for the fourth quarter if current market conditions persist. When market conditions improve, we will be firmly positioned to drive top- and bottom-line growth due to our national presence, long-standing customer base, financial strength and leading-edge technology solutions.''
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