A.C. Moore Reports First Quarter Earnings of $0.06 Per Share
BERLIN, N.J., April 20 /PRNewswire-FirstCall/ -- A.C. Moore Arts & Crafts,
Inc. (NASDAQ:ACMR) sales for the first quarter ended March 31, 2005 grew to
$122.9 million, an increase of 10.2% over sales of $111.5 million during the
first quarter of 2004. Same store sales decreased by 1.6%. Net income for the
quarter was $1,252,000 or $0.06 per fully diluted share versus last year's net
income of $1,228,000 or $0.06 per share.
Jack Parker, Chief Executive Officer, stated, "Although we were disappointed
with our comp store sales results and our flat net income performance, we are
optimistic for the remainder of the year as we did see positive results in the
21 stores where conditions were consistent with the prior year. We are
confident in our merchandising plans as well as with the improvements we are
seeing in our distribution processes and productivity. This allows us to
re-affirm our earnings forecast for the year of $1.06 to $1.09 per share." A.C. Moore will host a conference call today, Wednesday, April 20, 2005 at 5:00
PM Eastern Daylight time to discuss these financial results in detail. To
participate, please call 973-409-9254. If you are unable to access the live
call, please dial 973-341-3080 and enter pin number 5937368 to access the taped
digital replay. The replay will be available at approximately 7:00 PM on April
20th and will remain available until Wednesday, April 27th at 11:59 PM Eastern
Daylight Time.
A simultaneous webcast of the conference call may be accessed at
http://www.acmoore.com/. Go to "Investor Relations" and click on "Corporate
Profile." To listen to the live call, please go to the web site at least
fifteen minutes early to register, download and install any necessary audio
software. An archive of the conference call will be available approximately
two hours after the conference call ends and will remain available on the
company's website until April 20, 2006.
A.C. Moore operates arts and crafts stores that offer a vast assortment of
traditional and contemporary arts and crafts merchandise for a wide range of
customers. The Company operates 96 stores in the Eastern United States. For
more information about the Company, visit our website at
http://www.acmoore.com/.
This press release contains statements that are forward-looking within the
meaning of applicable federal securities laws and are based on A.C. Moore's
current expectations and assumptions as of this date. The Company undertakes no
obligation to update or revise any forward-looking statement whether the result
of new developments or otherwise. These statements are subject to a number of
risks and uncertainties that could cause actual results to differ materially
from those anticipated. Factors that could cause actual results to differ from
those anticipated include, but are not limited to, the impact of the adoption
of EITF Issue 02-16, the impact of the adoption of FAS 123R, customer demand
and trends in the arts and crafts industry, related inventory risks due to
shifts in customer demand, the effect of economic conditions, the impact of
adverse weather conditions, the impact of competitors' locations or pricing,
the availability of acceptable real estate locations for new stores,
difficulties with respect to new system technologies, supply constraints or
difficulties, the effectiveness of advertising strategies, the impact of the
threat of terrorist attacks and war, the uncertainty of the final resolution of
the insurance claim relating to the roof collapse, our ability to maintain an
effective system of internal control over financial reporting, and other risks
detailed in the Company's Securities and Exchange Commission filings.
A.C. MOORE ARTS & CRAFTS, INC. CONSOLIDATED STATEMENT OF INCOME
(dollars in thousands, except per share data)
(unaudited) Three months ended
March 31
2005 2004 Net sales $122,879 $111,469
Cost of sales 74,751 69,539
Gross Margin 48,128 41,930
Selling, general and administrative
expenses 45,844 39,464
Store pre-opening expenses 161 588
Income from operations 2,123 1,878
Net interest expense (income) 61 (120)
Income before income taxes 2,062 1,998
Provision for income taxes 810 770
Net income $1,252 $1,228 Basic net income per share $0.06 $0.06 Diluted net income per share $0.06 $0.06 Weighted average shares outstanding 19,669,262 19,370,097 Weighted average shares outstanding
plus impact of stock options 20,208,789 20,043,225 A.C. MOORE ARTS & CRAFTS, INC. CONSOLIDATED BALANCE SHEETS
(dollars in thousands)
(unaudited) March 31,
2005 2004
ASSETS Current assets:
Cash and cash equivalents $30,028 $35,701
Marketable securities 17,835 7,525
Inventories 145,525 124,624
Prepaid expenses and other current assets 9,601 3,368
202,989 171,218 Marketable securities - 6,299
Property and equipment, net 81,716 63,107
Other assets 1,131 1,807
$285,836 $242,431 LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities:
Current portion of long-term debt $2,571 $255
Trade accounts payable 36,822 35,281
Other current liabilities 9,581 15,472
48,974 51,008
Long-term liabilities:
Long-term debt 26,143 10,000
Deferred tax liability 8,311 3,992
Accrued lease liability 14,446 10,617
48,900 24,609
97,874 75,617 Shareholders' Equity 187,962 166,814
$285,836 $242,431
DATASOURCE: A.C. Moore Arts & Crafts, Inc.
CONTACT: Leslie Gordon, Chief Financial Officer, A.C. Moore Arts & Crafts, Inc., +1-856-768-4930; or Joe Crivelli, Gregory FCA Communications, Inc., +1-610-642-8253, for Gregory FCA Communications, Inc.
Web site: http://www.acmoore.com/
|