UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
Washington,
D.C. 20549
________________________
FORM 8-K
Current
Report
Pursuant
to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date
of Report (date of earliest event reported): November 4, 2015
ALLIED
MOTION TECHNOLOGIES INC.
(Exact
Name of Registrant as Specified in its Charter)
Colorado
|
0-04041
|
84-0518115
|
|
(Commission
File Number)
|
|
(State
or Other Jurisdiction
of
Incorporation)
|
|
(IRS
Employer
Identification
No.)
|
495 Commerce Dr., Suite 3, Amherst, NY 14032
|
|
(Address
of Principal Executive Offices, including zip code)
|
716-242-8634
(Registrant’s
telephone number, including area code)
Not
Applicable
(Former
name or former address, if changed since last report)
Check the
appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any
of the following provisions (see General Instruction A.2. below):
⃞
Written
communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
⃞
Soliciting
material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
⃞
Pre-commencement
communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR
240.14d-2(b))
⃞
Pre-commencement
communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
240.13e-4(c))
Item 2.02 Results of Operations and Financial Condition.
On November 4, 2015, Allied Motion Technologies Inc. (the “Company”)
issued a press release reporting its results of operations for the third
quarter ended September 30, 2015. A copy of the press release is
attached hereto as Exhibit 99.1.
The information set forth in Items 2.02 and 9.01 of this Form 8-K shall
not be deemed "filed" for purposes of Section 18 of the Securities and
Exchange Act of 1934, as amended, and is not incorporated by reference
into any filings of Allied Motion Technologies Inc., whether made before
or after the date hereof, regardless of any general incorporation
language in such filings.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits.
Exhibit 99.1 Allied Motion Technologies Inc. Earnings Press
Release dated November 4, 2015.
SIGNATURES
Pursuant to
the requirements of the Securities Exchange Act of 1934, the Registrant
has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
Date:
|
November 5, 2015
|
|
|
|
|
|
|
ALLIED MOTION TECHNOLOGIES INC.
|
|
|
|
|
|
|
|
|
By:
|
/s/ Michael R. Leach
|
|
|
|
|
|
|
|
Michael R. Leach
|
|
|
|
|
|
|
|
Chief Financial Officer
|
Page 2 of 2
Exhibit 99.1
Allied
Motion Reports Earnings Increase of 4% for the Quarter Ended September
30, 2015
AMHERST, N.Y.--(BUSINESS WIRE)--November 4, 2015--Allied Motion
Technologies Inc. (NASDAQ: AMOT) today announced net income
increased 4% to $4,278,000 or $0.46 per diluted share for the quarter
ended September 30, 2015 compared to $4,115,000 or $0.45 per diluted
share for the quarter ended September 30, 2014. Revenues for the quarter
declined 6% to $61,534,000 compared to $65,280,000 last year. The
strength of the U.S. dollar against foreign currencies continued to have
an impact on the reported results of the third quarter as well as for
the year.
“The strength of the U.S. dollar continues to require a more detailed
explanation when comparing our reported results on a true comparative
basis to reflect the real change year over year. Measured in constant
currency, revenues for the third quarter of 2015 would have been
consistent with the prior year, and fully diluted earnings per share
would have increased 11% compared to the same quarter in 2014. Year to
date, revenues would have increased 4% and fully diluted earnings per
share would have increased 26% as compared to the same period in 2014,
commented Dick Warzala, Chairman and CEO of Allied Motion. “For the
quarter, we experienced growth in our Electronics and Medical markets.
Our Aerospace and Defense, Industrial, Distribution and Vehicle markets
were down. While the overall market has not met our improvement
expectations during the year, we continue to focus on improving internal
operations efficiencies through the utilization of our Allied Systematic
Tools. With strong cash flows and a continually improving debt position,
we believe we have the required resources to enhance our growth
opportunities through strategic acquisitions in the future. The long
term success of our Company will be further enhanced by executing our
strategy and leveraging our full capabilities to design innovative
“Motion Solutions That Change the Game” and meet the current and
emerging needs of our customers in our served market segments.”
For the quarter, the overall decrease in revenue was due to a 6%
unfavorable currency impact, with volumes remaining steady compared to
the third quarter of 2014. The strengthening of the U.S. dollar during
the third quarter against foreign currencies also continued to impact
reported bookings when compared to the prior year. Bookings for the
quarter ended September 30, 2015 were $55.1 million compared to $66.7
million for the third quarter of 2014 or a decrease of 17%. The decrease
in bookings was 12% volume related combined with a 5% currency impact.
Backlog as of September 30, 2015 was $67.8 million compared to $80.9
million as of September 30, 2014, a decrease of 16% over the prior year.
Of the 16% decrease in backlog, 6% was volume related and 10% was
currency related. Bank debt net of cash at September 30, 2015 decreased
by $8.9 million to $52.8 million compared to December 31, 2014, and
decreased $9.1 million compared to June 30, 2015.
For the nine months ended September 30, 2015, the Company achieved net
income of $10,379,000 or $1.12 per diluted share compared to net income
of $8,956,000 or $.98 per diluted share for year to date 2014. Revenues
decreased 3% to $181,593,000 compared to $187,784,000 last year. This
overall decrease in revenue was due to a 7% unfavorable currency impact,
partially offset by a 4% volume increase. Bookings for year to date 2015
were $177.8 million compared to $194.6 million for year to date 2014, or
a decrease of 9%. The decrease in bookings of 9% was due to a 2% volume
decrease and a 7% currency impact.
Headquartered in Amherst, NY, Allied Motion designs, manufactures and
sells motion control products into applications that serve many industry
sectors. Allied Motion is a leading supplier of precision and specialty
motion control components and systems to a broad spectrum of customers
throughout the world.
The statements in this press release and in the Company’s November 12,
2015 conference call that relate to future plans, events or performance
are “forward-looking statements” within the meaning of the Private
Securities Litigation Reform Act of 1995. Forward-looking statements
include, without limitation, any statement that may predict, forecast,
indicate, or imply future results, performance, or achievements, and may
contain the word “believe,” “anticipate,” “expect,” “project,” “intend,”
“will continue,” “will likely result,” “should” or words or phrases of
similar meaning. Forward-looking statements involve known and unknown
risks and uncertainties that may cause actual results of the Company to
differ materially from the forward-looking statements. The risks and
uncertainties include those associated with the present economic
circumstances in the United States and throughout Europe and Asia,
general business and economic conditions in the Company’s motion
markets, introduction of new technologies, products and competitors, the
ability to protect the Company’s intellectual property, the ability of
the Company to sustain, manage or forecast its growth and product
acceptance, success of new corporation strategies and implementation of
defined critical issues designed for growth and improvement in profits,
the continued success of the Company’s customers to allow the Company to
realize revenues from its order backlog and to support the Company’s
expected delivery schedules, the continued viability of the Company’s
customers and their ability to adapt to changing technology and product
demand, the loss of significant customers or enforceability of the
Company’s contracts in connection with a merger, acquisition,
disposition, bankruptcy, or otherwise, the ability of the Company to
meet the technical specifications of its customers, the continued
availability of parts and components, increased competition and changes
in competitor responses to the Company’s products and services, changes
in government regulations, availability of financing, the ability of the
Company’s lenders and financial institutions to provide additional funds
if needed for operations or for making future acquisitions or the
ability of the Company to obtain alternate financing if present sources
of financing are terminated, the ability to attract and retain qualified
personnel who can design new applications and products for the motion
industry, the ability of the Company to identify and consummate
favorable acquisitions to support external growth and new technology,
the ability of the Company to successfully integrate an acquired
business into the Company’s business model without substantial costs,
delays, or problems, the ability of the Company to establish low cost
region manufacturing and component sourcing capabilities, and the
ability of the Company to control costs, including relocation costs, for
the purpose of improving profitability. The Company’s ability to compete
in this market depends upon its capacity to anticipate the need for new
products, and to continue to design and market those products to meet
customers’ needs in a competitive world. Actual results, events and
performance may differ materially. Readers are cautioned not to place
undue reliance on these forward-looking statements as a prediction of
actual results. The Company has no obligation or intent to release
publicly any revisions to any forward looking statements, whether as a
result of new information, future events, or otherwise.
ALLIED MOTION TECHNOLOGIES INC.
FINANCIAL SUMMARY (IN THOUSANDS, EXCEPT PER SHARE DATA)
(UNAUDITED)
|
|
|
|
|
|
|
|
|
|
For the three months ended
|
|
For the nine months ended
|
|
|
|
September 30,
|
|
September 30,
|
HIGHLIGHTS OF OPERATING RESULTS
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
Revenues
|
|
|
$
|
61,534
|
|
|
$
|
65,280
|
|
|
$
|
181,593
|
|
|
$
|
187,784
|
|
Cost of goods sold
|
|
|
|
42,595
|
|
|
|
45,668
|
|
|
|
127,167
|
|
|
|
132,512
|
|
Gross margin
|
|
|
|
18,939
|
|
|
|
19,612
|
|
|
|
54,426
|
|
|
|
55,272
|
|
Operating costs and expenses:
|
|
|
|
|
|
|
|
|
|
|
Selling expenses
|
|
|
|
1,963
|
|
|
|
2,277
|
|
|
|
6,234
|
|
|
|
6,619
|
|
General and administrative expenses
|
|
|
|
5,939
|
|
|
|
6,172
|
|
|
|
17,314
|
|
|
|
19,097
|
|
Engineering and development expenses
|
|
|
|
3,345
|
|
|
|
3,204
|
|
|
|
10,498
|
|
|
|
10,193
|
|
Amortization of intangible assets
|
|
|
|
661
|
|
|
|
697
|
|
|
|
1,983
|
|
|
|
2,045
|
|
Total operating costs and expenses
|
|
|
|
11,908
|
|
|
|
12,350
|
|
|
|
36,029
|
|
|
|
37,954
|
|
Other expense (income):
|
|
|
|
|
|
|
|
|
|
|
Interest expense
|
|
|
|
1,504
|
|
|
|
1,607
|
|
|
|
4,530
|
|
|
|
4,895
|
|
Other income, net
|
|
|
|
(115
|
)
|
|
|
(368
|
)
|
|
|
(400
|
)
|
|
|
(668
|
)
|
Income before income taxes
|
|
|
|
5,642
|
|
|
|
6,023
|
|
|
|
14,267
|
|
|
|
13,091
|
|
Provision for income taxes
|
|
|
|
(1,364
|
)
|
|
|
(1,908
|
)
|
|
|
(3,888
|
)
|
|
|
(4,135
|
)
|
Net income
|
|
|
$
|
4,278
|
|
|
$
|
4,115
|
|
|
$
|
10,379
|
|
|
$
|
8,956
|
|
|
|
|
|
|
|
|
|
|
|
|
PER SHARE AMOUNTS:
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings per share
|
|
|
$
|
0.46
|
|
|
$
|
0.45
|
|
|
$
|
1.12
|
|
|
$
|
0.98
|
|
Diluted weighted average common shares
|
|
|
|
9,266
|
|
|
|
9,157
|
|
|
|
9,239
|
|
|
|
9,143
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
September 30,
|
|
December 31,
|
CONDENSED BALANCE SHEETS
|
|
|
2015
|
|
2014
|
Assets
|
|
|
|
|
|
Current Assets:
|
|
|
|
|
|
Cash and cash equivalents
|
|
|
$
|
17,896
|
|
$
|
13,113
|
Trade receivables, net
|
|
|
|
31,315
|
|
|
27,745
|
Inventories, net
|
|
|
|
24,513
|
|
|
25,371
|
Other current assets
|
|
|
|
5,151
|
|
|
4,555
|
Total Current Assets
|
|
|
|
78,875
|
|
|
70,784
|
Property, plant and equipment, net
|
|
|
|
35,863
|
|
|
37,041
|
Deferred income taxes
|
|
|
|
1,608
|
|
|
2,723
|
Intangible assets, net
|
|
|
|
30,683
|
|
|
32,791
|
Goodwill
|
|
|
|
17,905
|
|
|
18,303
|
Other long-term assets, net
|
|
|
|
4,106
|
|
|
3,998
|
Total Assets
|
|
|
$
|
169,040
|
|
$
|
165,640
|
|
|
|
|
|
|
Liabilities and Stockholders’ Equity
|
|
|
|
|
|
Current Liabilities:
|
|
|
|
|
|
Debt obligations
|
|
|
$
|
9,211
|
|
$
|
7,723
|
Accounts payable
|
|
|
|
15,324
|
|
|
15,510
|
Accrued liabilities
|
|
|
|
12,287
|
|
|
12,723
|
Total Current Liabilities
|
|
|
|
36,822
|
|
|
35,956
|
Long-term debt
|
|
|
|
61,500
|
|
|
67,125
|
Deferred income taxes
|
|
|
|
1,101
|
|
|
1,299
|
Other long-term liabilities
|
|
|
|
5,689
|
|
|
5,309
|
Total Liabilities
|
|
|
|
105,112
|
|
|
109,689
|
Stockholders’ Equity
|
|
|
|
63,928
|
|
|
55,951
|
Total Liabilities and Stockholders’ Equity
|
|
|
$
|
169,040
|
|
$
|
165,640
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the nine months ended
|
|
|
|
September 30,
|
CONDENSED STATEMENTS OF CASH FLOWS
|
|
|
2015
|
|
2014
|
Cash flows from operating activities:
|
|
|
|
|
|
Net income
|
|
|
$
|
10,379
|
|
|
$
|
8,956
|
|
Depreciation and amortization
|
|
|
|
5,552
|
|
|
|
5,382
|
|
Other
|
|
|
|
3,373
|
|
|
|
4,301
|
|
Changes in working capital
|
|
|
|
(5,577
|
)
|
|
|
(10,787
|
)
|
Net cash provided by operating activities
|
|
|
|
13,727
|
|
|
|
7,852
|
|
|
|
|
|
|
|
Cash flows from investing activities:
|
|
|
|
|
|
Purchase of property and equipment
|
|
|
|
(3,693
|
)
|
|
|
(3,153
|
)
|
Proceeds from working capital adjustment on acquisition
|
|
|
|
-
|
|
|
|
1,399
|
|
Net cash used in investing activities
|
|
|
|
(3,693
|
)
|
|
|
(1,754
|
)
|
|
|
|
|
|
|
Cash flows from financing activities:
|
|
|
|
|
|
Borrowings on lines-of-credit, net
|
|
|
|
422
|
|
|
|
(2,591
|
)
|
Principal payments of long-term debt
|
|
|
|
(4,500
|
)
|
|
|
(3,750
|
)
|
Dividends paid to stockholders
|
|
|
|
(690
|
)
|
|
|
(629
|
)
|
Stock transactions under employee benefit stock plans
|
|
|
|
223
|
|
|
|
334
|
|
Net cash used in financing activities
|
|
|
|
(4,545
|
)
|
|
|
(6,636
|
)
|
Effect of foreign exchange rate changes on cash
|
|
|
|
(706
|
)
|
|
|
(566
|
)
|
Net increase (decrease) in cash and cash equivalents
|
|
|
|
4,783
|
|
|
|
(1,104
|
)
|
Cash and cash equivalents at beginning of period
|
|
|
|
13,113
|
|
|
|
8,371
|
|
Cash and cash equivalents at end of period
|
|
|
$
|
17,896
|
|
|
$
|
7,267
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of Non-GAAP Financial Measures
The Company believes EBITDA is often a useful measure of a Company’s
operating performance and is a significant basis used by the Company’s
management to measure the operating performance of the Company’s
business because EBITDA excludes charges for depreciation and
amortization, and interest expense resulting from our debt financings,
as well as our provision for income tax expense. EBITDA is frequently
used as one of the bases for comparing businesses in the Company’s
industry. EBITDA does not represent and should not be considered as an
alternative to net income, operating income, net cash provided by
operating activities or any other measure for determining operating
performance or liquidity that is calculated in accordance with generally
accepted accounting principles.
The Company’s calculation of EBITDA for the three and nine months ended
September 30, 2015 and 2014 is as follows (in thousands):
|
|
|
For the three months ended
|
|
For the nine months ended
|
|
|
|
September 30,
|
|
September 30,
|
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
Net income
|
|
|
$
|
4,278
|
|
$
|
4,115
|
|
$
|
10,379
|
|
$
|
8,956
|
Interest expense
|
|
|
|
1,504
|
|
|
1,607
|
|
|
4,530
|
|
|
4,895
|
Provision for income taxes
|
|
|
|
1,364
|
|
|
1,908
|
|
|
3,888
|
|
|
4,135
|
Depreciation and amortization
|
|
|
|
1,887
|
|
|
1,901
|
|
|
5,552
|
|
|
5,382
|
EBITDA
|
|
|
$
|
9,033
|
|
$
|
9,531
|
|
$
|
24,349
|
|
$
|
23,368
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Constant Currency Presentation
The Company believes constant currency information provides valuable
supplemental information that facilitates period-to-period comparisons
of the company's business performance. The constant currency
presentation, which is a non-GAAP measure, excludes the impact of
fluctuations in foreign currency exchange rates for entities reporting
in currencies other than US dollars. Constant currency results are
calculated by translating current period results in local currency using
the prior year's currency conversion rate.
|
|
|
For the three months ended
|
|
For the nine months ended
|
|
|
|
September 30,
|
|
September 30,
|
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
|
|
$ in thousands
|
|
% increase (decrease) compared to prior year
amounts
|
|
$ in thousands
|
|
$ in thousands
|
|
% increase (decrease) compared to prior year
amounts
|
|
$ in thousands
|
Revenues
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2015 revenues, as reported
|
|
|
$
|
61,534
|
|
-6
|
%
|
|
$
|
65,280
|
|
$
|
181,593
|
|
-3
|
%
|
|
$
|
187,784
|
Currency impact
|
|
|
|
3,866
|
|
6
|
%
|
|
|
-
|
|
|
13,250
|
|
7
|
%
|
|
|
-
|
2015 revenues, at 2014 exchange rates
|
|
|
$
|
65,400
|
|
0
|
%
|
|
$
|
65,280
|
|
$
|
194,843
|
|
4
|
%
|
|
$
|
187,784
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2015 net income, as reported
|
|
|
$
|
4,278
|
|
4
|
%
|
|
$
|
4,115
|
|
$
|
10,379
|
|
16
|
%
|
|
$
|
8,956
|
Currency impact
|
|
|
|
345
|
|
8
|
%
|
|
|
-
|
|
|
1,017
|
|
11
|
%
|
|
|
-
|
2015 net income, at 2014 exchange rates
|
|
|
$
|
4,623
|
|
12
|
%
|
|
$
|
4,115
|
|
$
|
11,396
|
|
27
|
%
|
|
$
|
8,956
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2015 earnings per share, as reported
|
|
|
$
|
0.46
|
|
2
|
%
|
|
$
|
0.45
|
|
$
|
1.12
|
|
14
|
%
|
|
$
|
0.98
|
Currency impact
|
|
|
|
0.04
|
|
9
|
%
|
|
|
-
|
|
|
0.11
|
|
12
|
%
|
|
|
-
|
2015 earnings per share, at 2014 exchange rates
|
|
|
$
|
0.50
|
|
11
|
%
|
|
$
|
0.45
|
|
$
|
1.23
|
|
26
|
%
|
|
$
|
0.98
|
CONTACT:
Allied Motion Technologies Inc.
Sue Chiarmonte,
1-716-242-8634
Allied Motion Technologies (NASDAQ:AMOT)
Historical Stock Chart
From Mar 2024 to Apr 2024
Allied Motion Technologies (NASDAQ:AMOT)
Historical Stock Chart
From Apr 2023 to Apr 2024