TOR Minerals Announces Third Quarter 2009 Financial Results
More News related to TORM
- Sale of One Dry Bulk Vessel
- TORM -- Third Quarter Report 2009
- TOR Minerals Announces Third Quarter 2009 Financial Results
- Trading Radar for 11/05: Starbucks (SBUX), CBS Corp. (CBS), CVS (CVS), Toyota (TM), Thomson Reuters (TRI)
- TOR Minerals International to Report Third Quarter 2009 Financial Results
More News related to Press Releases
- Diabetes Prevalence Expected to Double in Next 25 Years
- U.S. Census Bureau Daily Feature for Nov. 27
- Diabetes Population to Double, Diabetes Costs to Nearly Triple, in 25 Years, New Study Shows
- Infection-Control Strategies at Leading Hospital Can be Adapted for Everyday Use
- NCKU Signed a MOU with ScinoPharm Taiwan on Nov. 24th
CORPUS CHRISTI, Texas, Nov. 5 /PRNewswire-FirstCall/ -- TOR Minerals International (Nasdaq: TORM), producer of synthetic titanium dioxide and color pigments, specialty aluminas, and other high performance mineral fillers, today announced its financial results for the third quarter ended September 30, 2009. The company reported a net loss available to common shareholders of ($32,000), or ($0.00) per diluted share, on net sales of $6,441,000 for the quarter ended September 30, 2009. This compares with a net loss available to common shareholders of ($385,000), or ($0.05) per diluted share, on net sales of $7,503,000 for the quarter ended September 30, 2008.
Net sales decreased 14 percent during the third quarter of 2009 primarily due to a 28 percent decrease in HITOX® sales. Although weakness in paint and plastics markets continued to negatively affect year-over-year HITOX sales comparisons, HITOX sales levels stabilized in the third quarter and were flat in comparison with the second quarter of 2009. During the third quarter of 2009, sales of specialty alumina products increased 5 percent versus the third quarter of 2008 as a weakness in European alumina sales was more than offset by new business and strengthening in the United States.
During the third quarter of 2009, the company reported an operating profit of $208,000, compared to an operating loss of ($144,000) during the third quarter of 2008. In addition to lower energy and raw materials costs, several factors contributed to the improvement in third quarter profitability, including a change in revenue mix, a 23 percent reduction of indirect production costs, and a 35 percent reduction in SG&A expenses.
Commenting on the results, Dr. Olaf Karasch, Chief Executive Officer said, "Due to cost cutting measures, new, low-cost processing technologies and the dedicated efforts of our employees, we have shown sequential improvements in operating income during each of the first three quarters of this fiscal year. We are now better positioned to weather a continued market downturn and should benefit as market conditions improve."
The company said that it is targeting improvement in financial results during the fourth quarter of 2009. "In addition to bringing our cost structure in line with lower sales levels, we have introduced several new high value-added products to the market. In particular, our newly introduced specialty alumina products are garnering significant customer interest. These new products address sizable markets and have relatively short sales cycles. Their introduction and market acceptance, if successful, can help to improve top line performance and plant utilization, which is key to returning TOR to meaningful profitability," continued Dr. Karasch.
A webcast discussing third quarter 2009 results can be accessed for a period of 30 days via the News section of the TOR Minerals' website at www.torminerals.com.
Headquartered in Corpus Christi, Texas, TOR Minerals International is a global manufacturer and marketer of specialty mineral and pigment products for high performance applications with manufacturing and regional offices located in the United States, Netherlands and Malaysia.
This statement provides forward-looking information as that term is defined in the Private Securities Litigation Reform Act of 1995, and, therefore, is subject to certain risks and uncertainties. There can be no assurance that the actual results, business conditions, business developments, losses and contingencies and local and foreign factors will not differ materially from those suggested in the forward-looking statements as a result of various factors, including market conditions, general economic conditions, including the present slow down in U.S. construction and the risks of a general business slow down or recession, the increasing cost of energy, raw materials and labor, competition, the receptivity of the markets for our anticipated new products, advances in technology, changes in foreign currency rates, freight price increase, commodity price increases, delays in delivery of required equipment and other factors.
Contact for Further Information:
David Mossberg
(817) 310-0051
Financial Tables Follow
TOR Minerals International, Inc. and Subsidiaries
Condensed Consolidated Statements of Operations
(Unaudited)
(In thousands, except per share amounts)
Three Months Nine Months
Ended Ended
September 30, September 30,
-------------- ---------------
2009 2008 2009 2008
---- ---- ---- ----
NET SALES $6,441 $7,503 $17,798 $21,165
Cost of sales 5,492 6,527 15,170 18,525
----- ----- ------ ------
GROSS MARGIN 949 976 2,628 2,640
Technical services and research and
development 54 62 146 189
Selling, general and administrative
expenses 687 1,058 2,423 3,287
Gain on disposal of assets - - - (2)
---- ---- ---- ----
OPERATING INCOME (LOSS) 208 (144) 59 (834)
OTHER INCOME (EXPENSE):
Interest income - - 2 1
Interest expense (159) (134) (407) (409)
Gain (loss) on foreign currency
exchange rate (5) (4) 37 (5)
Other, net - 1 4 11
---- ---- ---- ----
INCOME (LOSS) BEFORE INCOME TAX 44 (281) (305) (1,236)
Income tax expense (benefit) 61 89 (11) 61
--- --- --- ---
NET LOSS $(17) $(370) $(294) $(1,297)
Less: Preferred Stock Dividends 15 15 45 45
--- --- --- ---
Loss Available to Common Shareholders $(32) $(385) $(339) $(1,342)
==== ===== ===== =======
Loss per common share:
Basic $(0.00) $(0.05) $(0.04) $(0.17)
Diluted $(0.00) $(0.05) $(0.04) $(0.17)
Weighted average common shares
outstanding:
Basic 9,453 7,878 9,453 7,876
Diluted 9,453 7,878 9,453 7,876
TOR Minerals International, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
(In thousands, except per share amounts)
September 30,
2009 December 31,
(Unaudited) 2008
----------- ------------
ASSETS
CURRENT ASSETS:
Cash and cash equivalents $893 $191
Trade accounts receivable, net 3,021 2,310
Inventories, net 9,815 11,839
Other current assets 794 444
--- ---
TOTAL CURRENT ASSETS 14,523 14,784
PROPERTY, PLANT AND EQUIPMENT, net 19,237 19,515
OTHER ASSETS 58 38
--- ---
Total Assets $33,818 $34,337
======= =======
LIABILITIES AND SHAREHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable $1,268 $2,268
Accrued expenses 1,227 1,611
Notes payable under lines of credit 3,149 2,156
Export credit refinancing facility 1,023 1,458
Current deferred tax liability 60 56
Current maturities - capital leases 158 86
Current maturities of long-term debt -
financial institutions 858 1,590
--- -----
Total current liabilities 7,743 9,225
LONG-TERM DEBT, EXCLUDING CURRENT
MATURITIES
Capital leases 74 141
Long-term debt - financial institutions 1,499 1,876
Long-term debt - convertible
debentures, net 1,105 -
Deferred tax liability 559 580
--- ---
Total liabilities 10,980 11,822
COMMITMENTS AND CONTINGENCIES
SHAREHOLDERS' EQUITY:
Series A 6% convertible preferred
stock $.01 par value: authorized,
5,000 shares; 200 shares issued and
outstanding at 9/30/09 and 12/31/08 2 2
Common stock $.25 par value: authorized,
30,000 shares; 9,453 shares issued and
outstanding at 9/30/09 and at 12/31/08,
respectively 2,363 2,363
Additional paid-in capital 25,025 24,525
Accumulated deficit (7,950) (7,611)
Accumulated other comprehensive income:
Cumulative translation adjustment 3,398 3,236
----- -----
Total shareholders' equity 22,838 22,515
------ ------
Total Liabilities and Shareholders'
Equity $33,818 $34,337
======= =======
TOR Minerals International, Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flows
(Unaudited)
(In thousands)
Nine Months Ended
September 30,
-----------------
2009 2008
---- ----
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss $(294) $(1,297)
Adjustments to reconcile net loss to net cash
provided by operating activities:
Depreciation 1,340 1,483
Stock-based compensation expense 78 119
Warrant interest expense 27
Gain on sale/disposal of property, plant and
equipment - (2)
Deferred income taxes (17) 51
Provision for bad debt (61) 51
Changes in working capital:
Receivables (384) (1,240)
Inventories 2,056 1,223
Other current assets (324) (189)
Accounts payable and accrued expenses (1,436) 1,592
------ -----
Net cash provided by operating activities 985 3,891
CASH FLOWS FROM INVESTING ACTIVITIES:
Additions to property, plant and equipment (807) (1,740)
Proceeds from sales of property, plant and
equipment - 3
--- ---
Net cash used in investing activities (807) (1,737)
CASH FLOWS FROM FINANCING ACTIVITIES:
Net proceeds / (payments) from lines of credit 926 (2,903)
Net proceeds from export credit refinancing
facility (432) 759
Net payments on capital leases (4) (34)
Proceeds from long-term bank debt - 2,049
Payments on long-term bank debt (1,208) (1,809)
Proceeds from convertible debentures 1,500 -
Proceeds from the issuance of common stock
through exercise of common stock options - 12
Preferred stock dividends paid (45) (45)
--- ---
Net cash provided by (used in) financing
activities 737 (1,971)
Effect of exchange rate fluctuations on cash and cash
equivalents (213) (116)
---- ----
Net change in cash and cash equivalents 702 67
Cash and cash equivalents at beginning of period 191 376
--- ---
Cash and cash equivalents at end of period $893 $443
==== ====
Supplemental cash flow disclosures:
Interest paid $377 $409
Taxes paid $8 $7
SOURCE TOR Minerals International
Related Categories
Press ReleasesStocks Mentioned
+0.00Related Entities
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
