Press Release

American Woodmark Corporation Announces Fourth Quarter Results

Company Release - 6/2/2015 6:30 AM ET

WINCHESTER, Va., June 2, 2015 /PRNewswire/ -- American Woodmark Corporation (NASDAQ: AMWD) today announced results for its fourth fiscal quarter ended April 30, 2015.

Net sales for the fourth fiscal quarter increased 10% to $206.9 million compared with the same quarter of the prior fiscal year.  The Company experienced growth in both the remodeling and new construction channels during the fourth quarter of fiscal year 2015, with new construction growth exceeding 15%.  Net sales for the full fiscal year of $825.5 million increased 14% from the prior fiscal year.

Net income was $11.3 million ($0.69 per diluted share) for the fourth quarter of the current fiscal year compared with $5.6 million ($0.36 per diluted share) for the fourth quarter of the prior fiscal year.  Exclusive of after-tax restructuring charges, the Company generated $11.2 million ($0.68 per diluted share) of net income for the fourth quarter of the current fiscal year compared with $5.4 million ($0.34 per diluted share) for the same period of the prior fiscal year.

Net income for the entire fiscal year 2015 was $35.5 million ($2.21 per diluted share) compared with $20.5 million ($1.31 per diluted share) for the same period of the prior fiscal year.  Exclusive of after tax restructuring charges and one-time tax credits, the Company generated $34.2 million ($2.10 per diluted share) of net income for the  current fiscal year compared with $20.3 million ($1.29 per diluted share) for the same period of the prior fiscal year

Gross profit for the fourth quarter of the current fiscal year was 20.9% of net sales compared with 17.0% in the same quarter of the prior year.  Gross profit for the entire current fiscal year was 18.5% of net sales compared with 17.1% for the same period in the prior year.  Gross profit in the current quarter was favorably impacted by higher sales volume and improved operating efficiency.  Gross profit for the current fiscal year was favorably impacted by higher sales volume and improved operating efficiency that was partially offset by material inflation and costs associated with crewing and infrastructure to support higher levels of sales and installation activity.

Selling, general and administrative costs for the fourth quarter of fiscal year 2015 were 12.4% of net sales compared with 12.3% in the same quarter of the prior year.  Selling, general and administrative costs for the entire current fiscal year were 11.9% of net sales compared with 12.5% for the same period in the prior year.  The increase in the Company's operating expense ratio in the current quarter was driven by launch costs and customer training expenses.  The improvement in the Company's operating expense ratio for the current fiscal year was driven by favorable leverage from increased sales and on-going expense control.

The Company generated net cash from operating activities of $58.7 million during fiscal year 2015 compared with $40.5 million during the same period in the prior year.  The improvement in the Company's cash from operating activities was driven primarily by higher operating profitability and lower increases in customer receivables which was partially offset by increases in inventory levels to support higher sales.  Net cash used by investing activities was $56.6 million during the current fiscal year compared with $9.6 million during the same period of the prior year due primarily to a $35.5 million investment in short-term certificates of deposit and increased investment in property, plant and equipment.  Net cash provided by financing activities increased $3.9 million during the current fiscal year compared to the same period in the prior year, primarily by reducing debt payments by $3.2 million.  Additional activities include lower proceeds from the exercise of stock options of $1.1 million and additional common stock repurchases at a cost of $1.9 million.

American Woodmark Corporation manufactures and distributes kitchen cabinets and vanities for the remodeling and new home construction markets.  Its products are sold on a national basis directly to home centers, major builders and through a network of independent distributors.  The Company presently operates nine manufacturing facilities and seven service centers across the country.

Safe harbor statement under the Private Securities Litigation Reform Act of 1995: All forwardlooking statements made by the Company involve material risks and uncertainties and are subject to change based on factors that may be beyond the Company's control.  Accordingly, the Company's future performance and financial results may differ materially from those expressed or implied in any such forward-looking statements.  Such factors include, but are not limited to, those described in the Company's filings with the Securities and Exchange Commission and the Annual Report to Shareholders.  The Company does not undertake to publicly update or revise its forward looking statements even if experience or future changes make it clear that any projected results expressed or implied therein will not be realized.

AMWD-E

 

AMERICAN WOODMARK CORPORATION











Unaudited Financial Highlights











(in thousands, except share data)











Operating Results














Three Months Ended


Twelve Months Ended




April 30


April 30




2015


2014


2015


2014











Net Sales


$

206,892



$

188,855



$

825,465



$

726,515


Cost of Sales & Distribution


163,572



156,668



672,933



602,338



Gross Profit


43,320



32,187



152,532



124,177


Sales & Marketing Expense


16,483



14,898



64,304



59,536


G&A Expense


9,063



8,326



33,773



30,881


Restructuring Charges, net


(246)



(395)



(240)



(234)


Insurance Proceeds








(94)



Operating Income


18,020



9,358



54,695



34,088


Interest & Other (Income) Expense


(15)



(46)



308



418


Income Tax Expense


6,727



3,770



18,888



13,209



Net Income


$

11,308



$

5,634



$

35,499



$

20,461












Earnings Per Share:









Weighted Average Shares Outstanding - Diluted


16,297,241



15,835,132



16,037,453



15,653,251












Income Per Diluted Share


$

0.69



$

0.36



$

2.21



$

1.31


 

Condensed Consolidated Balance Sheet

(Unaudited)




April 30


 April 30




2015


2014







Cash & Cash Equivalents


$

149,541



$

135,700


Investments - certificates of deposit


35,500




Customer Receivables


46,142



46,475


Inventories


35,988



31,523


Other Current Assets


14,324



11,718



Total Current Assets


281,495



225,416


Property, Plant & Equipment


85,516



74,049


Other Assets


31,893



30,599



Total Assets


$

398,904



$

330,064








Current Portion - Long-Term Debt


$

1,457



$

1,146


Accounts Payable & Accrued Expenses


83,333



75,273



Total Current Liabilities


84,790



76,419


Long-Term Debt


21,498



20,453


Other Liabilities


62,774



42,647



Total Liabilities


169,062



139,519


Stockholders' Equity


229,842



190,545



Total Liabilities & Stockholders' Equity


$

398,904



$

330,064


 

 

Condensed Consolidated Statements of Cash Flows

(Unaudited)




Twelve Months Ended




April 30




2015


2014







Net Cash Provided by Operating Activities


$

58,737



$

40,535


Net Cash Used by Investing Activities


(56,606)



(9,583)


Free Cash Flow


2,131



30,952








Net Cash Provided by Financing Activities


11,710



7,777


Net Increase in Cash and Cash Equivalents


13,841



38,729


Cash and Cash Equivalents, Beginning of Period


135,700



96,971








Cash and Cash Equivalents, End of Period


$

149,541



$

135,700


 

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SOURCE American Woodmark Corporation