Live Ventures Announces Fiscal 2020 Financial Results
January 13 2021 - 08:00AM
Live Ventures Incorporated (Nasdaq: LIVE), a diversified holding
company, today announced financial results for its fiscal year
ended September 30, 2020. The company reported revenues of
$191.7 million, net income of $10.9 million, and basic EPS
(earnings per share) of $6.40. The company also reported
operating income of $20.4 million, representing an increase of 527%
over the same period last year. During the 2020 fiscal year, the
company repurchased 236,908 shares of its common stock at an
average price of $7.01 per share.
At September 30, 2020, the company reported
total assets of $197.2 million and total liabilities of $153.5
million. Stockholders’ equity stood at $43.9 million, or $25.75 per
basic common share1. At September 30, 2020, the company had cash
and availability under its various lines of credit $37.7
million.
The Company completed two significant
acquisitions in 2020, Lonesome Oak in January and Precision
Marshall in July.
“For fiscal 2020 overall, Live Ventures recorded
a strong performance,” said Jon Isaac, Live Ventures’ President and
CEO. “In a time of pandemic lockdowns, political turmoil, and
social unrest, our companies took strategic actions to make
acquisitions and grow, or as conditions required, to retrench and
take advantage of closures to streamline operations. In the summer,
we purchased Precision Marshall, an iconic specialty steel company
and one of the nation’s premier suppliers of pre-finished tool
steels. This followed on the heels of our acquisition of Lonesome
Oak Trading Company, a complement to Marquis Industries that brings
significant operations and cost synergies. For a short period, the
impact of Covid-19 depressed demand and production for carpets and
flooring, but all told, Marquis Industries generated higher sales
thanks to new product development and revenue contribution from the
Lonesome Oak team. To our advantage, people staying at home
invested significant dollars in new carpet and hardwood
flooring.
“In retail, the Covid-19 pandemic forced our
Vintage Stock stores to close for an average of 45 days. Vintage
Stock took advantage of those closures to implement effective cost
cutting initiatives, including reducing store hours and headcount,
cutting rent, and improving the efficiency of processes. Here too,
the crisis had a bright side: the shuttering of arenas, theaters,
and other out-of-home venues raised demand for Vintage Stock’s new
and used in-home entertainment merchandise.
“Summing up,” Mr. Isaac concluded, “despite the
year’s headwinds, Live Ventures rose to the challenge, responded
well, and came out ahead.”
___________________________________1 For a
reconciliation of shareholders’ equity per basic common share, see
the Non-GAAP Measure Reconciliation at the end of this press
release.
Highlights of fiscal 2020
include:
- Revenues of $191.7 million;
- Gross profit of $75.3 million;
- Operating income of $20.4 million,
up 527% over the same period in the prior fiscal year;
- Decrease in interest expense of 17%
compared to the same period in the prior fiscal year;
- Earnings per basic share of
$6.40;
- Repurchase of 236,908 shares of
common stock at an average price of $7.01 per share; and
- Net cash provided by operating
activities of $28.8 million.
Non-GAAP Financial
Information
Live Ventures believes that stockholders’ equity
per basic common share provides an additional tool for investors to
use in evaluating the company’s operating results and trends, and
therefore we are providing in this press release stockholders’
equity per basic common share, which is not a measure of our
financial performance or position under United States Generally
Accepted Accounting Principles (“GAAP”). Accordingly, stockholders’
equity per basic common share should not be considered in isolation
or as a substitute for measures prepared in accordance with
GAAP. This measure should be read in conjunction with our net
earnings, operating income, basic and diluted earnings per share
data, and other financial data prepared in accordance with
GAAP.
The Company defines stockholders’ equity per
basic common shares as total stockholders’ equity divided by basic
weighted average common shares outstanding for the period. A
reconciliation of the Company’s net income per basic common share
per GAAP to stockholders’ equity per common share is included in
the Non-GAAP Measure Reconciliation provided at the end of this
press release.
About Live Ventures
Live Ventures Incorporated, originally
incorporated in 1968, is a diversified holding company with several
wholly owned subsidiaries and a strategic focus on acquiring
profitable companies that have demonstrated a strong history of
earnings power. Through its subsidiary Marquis Industries, the
company manufactures and sells residential and commercial carpets
primarily in North America. Marquis Industries also designs,
sources and sells hard-surface flooring. Through its subsidiary
Precision Marshall, the company manufactures and sells steel in
four product categories: Deluxe Alloy Plate, Deluxe Tool Steel
Plate, Precision Ground Flat Stock, and Drill Rod. Through its
subsidiary Vintage Stock, an award-winning entertainment retailer,
the company sells new and pre-owned movies, classic and current
generation video games and systems, music on CD & LP,
collectible comics, books, toys, and more. Vintage Stock, through
its stores and website, ships product worldwide directly to the
customer’s doorstep. Through its subsidiary ApplianceSmart, the
company sells new major household appliances in the United States
through a company-owned retail store in Columbus, Ohio operating
under the name ApplianceSmart®. All Live Ventures companies are
rooted in their local communities where they contribute to the
local economy and serve as responsible corporate neighbors.
Contact:Live Ventures IncorporatedTim Matula, Investor
Relations(425)
836-9035tmatula@liveventures.comhttp://liveventures.com
Source: Live Ventures Incorporated
LIVE VENTURES INCORPORATEDUNAUDITED
NON-GAAP MEASURE RECONCILIATION(dollars in thousands,
except per share)
For the Year Ended
September 30, 2020 |
|
|
|
Net income applicable to common
stock |
|
$ |
10,927 |
|
Basic weighted average common
shares outstanding |
|
|
1,706,561 |
|
Basic earnings per share |
|
$ |
6.40 |
|
|
|
|
|
As of September 30,
2020 |
|
|
|
Net income applicable to common
stock |
|
$ |
10,927 |
|
Common Stock |
|
|
2 |
|
Paid in capital |
|
|
64,472 |
|
Treasury stock common |
|
|
(4,098) |
Treasury stock Series E |
|
|
(7) |
Accumulated deficit as of
September 30, 2019 |
|
|
(27,335) |
Total stockholders’ equity |
|
$ |
43,940 |
|
Weighted average common shares
outstanding |
|
|
1,706,561 |
|
Stockholders’ equity per basic
common share |
|
$ |
25.75 |
|
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