Top-Thema

22:24 Uhr +0,76%
Aktien New York Schluss: Ungebrochene Kauflust sorgt für weitere Rekorde

ADTRAN, Inc. Reports Results for the Third Quarter 2016 and Declares Quarterly Cash Dividend

Mittwoch, 19.10.2016 02:05



HUNTSVILLE, Ala. --(BUSINESS WIRE)--

ADTRAN, Inc. (NASDAQ:ADTN) reported results for the third quarter 2016. For the quarter, sales were $168,890,000 compared to $158,078,000 for the third quarter of 2015. Net income was $12,415,000 compared to $7,067,000 for the third quarter of 2015. Earnings per share, assuming dilution, were $0.26 compared to $0.14 for the third quarter of 2015. Non-GAAP earnings per share were $0.26 compared to $0.19 for the third quarter of 2015. The reconciliation between GAAP earnings per share, diluted, and non-GAAP earnings per share, diluted, is in the table provided.

ADTRAN Chief Executive Officer Tom Stanton stated, “Our revenue performance for the quarter exceeded expectations with total revenue increasing 7% over the same period last year. I am particularly pleased to see our international business grow 42 percent over the previous quarter and 7 percent year-over-year, driven by stronger broadband access sales in Europe. I am also pleased with the continued growth in our services business which increased 35 percent over the previous quarter and grew 63 percent year-over-year as we execute on our leading market position in CAF II and vectoring solutions and services. We continue to believe that ADTRAN's ability to help service providers grow revenue, reduce costs, accelerate buildout and transition to a software-defined access network is proving to be a catalyst for change within the industry."

The Company also announced that its Board of Directors declared a cash dividend for the third quarter of 2016. The quarterly cash dividend is $0.09 per common share to be paid to holders of record at the close of business on November 3, 2016. The ex-dividend date is November 1, 2016, and the payment date is November 17, 2016.

The Company confirmed that its third quarter conference call will be held Wednesday, October 19, 2016, at 9:30 a.m. Central Time. This conference call will be web cast live through StreetEvents.com. To listen, simply visit the Investor Relations site at www.adtran.com or www.streetevents.com approximately 10 minutes prior to the start of the call and click on the conference call link provided.

An online replay of the conference call will be available for seven days at www.streetevents.com. In addition, an online replay of the conference call, as well as the text of the Company's earnings release, will be available on the Investor Relations site at www.adtran.com for at least 12 months following the call.

ADTRAN, Inc. is a leading global provider of networking and communications equipment. ADTRAN’s products enable voice, data, video and Internet communications across a variety of network infrastructures. ADTRAN solutions are currently in use by service providers, private enterprises, government organizations, and millions of individual users worldwide. For more information, please visit www.adtran.com.

For more information, contact the company at 800 9ADTRAN (800 923-8726) or via email at info@adtran.com. On the Web, visit www.adtran.com.

This press release contains forward-looking statements which reflect management’s best judgment based on factors currently known. However, these statements involve risks and uncertainties, including the successful development and market acceptance of new products, the degree of competition in the market for such products, the product and channel mix, component costs, manufacturing efficiencies, and other risks detailed in our annual report on Form 10-K for the year ended December 31, 2015. These risks and uncertainties could cause actual results to differ materially from those in the forward-looking statements included in this press release.

       

Condensed Consolidated Balance Sheet

(Unaudited)

(In thousands)

 

September 30,
2016

December 31,
2015

Assets
Cash and cash equivalents $ 66,292 $ 84,550
Short-term investments 55,516 34,396
Accounts receivable, net 101,822 71,917
Other receivables 12,159 19,321
Income tax receivable, net 540 -
Inventory 96,034 91,533
Prepaid expenses and other current assets 14,477 10,145
Deferred tax assets, net   17,963   18,924
Total Current Assets 364,803 330,786
 
Property, plant and equipment, net 78,078 73,233
Deferred tax assets, net 17,263 18,091
Goodwill 3,492 3,492
Other assets 13,548 9,276
Long-term investments   178,379   198,026
 
Total Assets $ 655,563 $ 632,904
 
Liabilities and Stockholders' Equity
Accounts payable $ 67,399 $ 48,668
Unearned revenue 15,744 16,615
Accrued expenses 16,010 12,108
Accrued wages and benefits 16,468 12,857
Income tax payable, net   -   2,395
Total Current Liabilities 115,621 92,643
 
Non-current unearned revenue 7,105 7,965
Other non-current liabilities 26,740 24,236
Bonds payable   27,900   27,900
Total Liabilities 177,366 152,744
 
Stockholders' Equity   478,197   480,160
 
Total Liabilities and Stockholders' Equity $ 655,563 $ 632,904
 
       

Consolidated Statements of Income

(Unaudited)

(In thousands, except per share data)

 
 
Three Months Ended Nine Months Ended
September 30, September 30,
2016     2015 2016     2015
 
Sales
Products $ 136,277 $ 138,120 $ 398,709 $ 411,723
Services   32,613     19,958     75,086     49,328  
 
Total Sales 168,890 158,078 473,795 461,051
 
Cost of Sales
Products 70,988 75,969 202,905 231,739
Services   22,094     11,460     50,333     24,854  
 
Total Cost of Sales 93,082 87,429 253,238 256,593
 
Gross Profit 75,808 70,649 220,557 204,458
 
Selling, general and administrative expenses 33,716 30,016 97,367 93,203
Research and development expenses   31,962     32,561     92,727     100,576  
 
Operating Income 10,130 8,072 30,463 10,679
 
Interest and dividend income 910 839 2,692 2,680
Interest expense (143 ) (151 ) (430 ) (448 )
Net realized investment gain 1,316 2,060 4,154 8,430
Other income (expense), net (246 ) 52 (378 ) (848 )
Gain on bargain purchase of a business   3,550     -     3,550     -  
 
Income before provision for income taxes 15,517 10,872 40,051 20,493
 
Provision for income taxes   (3,102 )   (3,805 )   (12,394 )   (7,565 )
 
Net Income $ 12,415   $ 7,067   $ 27,657   $ 12,928  
 
Weighted average shares outstanding - basic 48,470 49,862 48,839 51,682
Weighted average shares outstanding - diluted (1) 48,678 49,927 49,036 51,792
 
Earnings per common share - basic $ 0.26 $ 0.14 $ 0.57 $ 0.25
Earnings per common share - diluted (1) $ 0.26 $ 0.14 $ 0.56 $ 0.25
 
(1) Assumes exercise of dilutive stock options calculated under the treasury stock method.
 
       

Consolidated Statements of Comprehensive Income

(Unaudited)

(In thousands)

 
 
Three Months Ended Nine Months Ended
September 30, September 30,
2016     2015 2016     2015
 
Net Income $ 12,415 $ 7,067   $ 27,657   $ 12,928  
 
Other Comprehensive Income (Loss), net of tax:
 
Unrealized gains (losses) on available-for-sale securities 258 (4,291 ) (162 ) (6,577 )
Defined benefit plan adjustments 36 71 103 211
Foreign currency translation   575   (1,351 )   1,202     (3,797 )
 
Other Comprehensive Income (Loss), net of tax   869   (5,571 )   1,143     (10,163 )
 
Comprehensive Income, net of tax $ 13,284 $ 1,496   $ 28,800   $ 2,765  
 
   

Consolidated Statements of Cash Flows

(Unaudited)

(In thousands)

 
 
Nine Months Ended
September 30,
2016     2015
Cash flows from operating activities:
Net income $ 27,657 $ 12,928
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization 10,260 10,765
Amortization of net premium on available-for-sale investments 489 2,085
Net realized gain on long-term investments (4,154 ) (8,430 )
Net loss on disposal of property, plant and equipment 21 189
Gain on bargain purchase of a business (3,550 ) -
Stock-based compensation expense 4,601 4,788
Deferred income taxes (447 ) (2,332 )
Tax impact from stock option exercises (16 ) (40 )
Excess tax benefits from stock-based compensation arrangements - (3 )
Change in operating assets and liabilities:
Accounts receivable, net (29,370 ) 843
Other receivables 7,475 10,532
Inventory (683 ) (14,945 )
Prepaid expenses and other assets (5,180 ) (1,665 )
Accounts payable 16,363 13,687
Accrued expenses and other liabilities 7,307 (3,996 )
Income tax payable/receivable, net   (2,941 )   (1,137 )
Net cash provided by operating activities   27,832     23,269  
 
Cash flows from investing activities:
Purchases of property, plant and equipment (12,684 ) (7,843 )
Proceeds from disposals of property, plant and equipment - 122
Proceeds from sales and maturities of available-for-sale investments 141,103 189,728
Purchases of available-for-sale investments (139,181 ) (113,227 )
Acquisition of business   (943 )   -  
Net cash provided by (used in) investing activities   (11,705 )   68,780  
 
Cash flows from financing activities:
Proceeds from stock option exercises 1,076 907
Purchases of treasury stock (22,917 ) (65,808 )
Dividend payments (13,230 ) (13,989 )
Excess tax benefits from stock-based compensation arrangements   -     3  
Net cash used in financing activities   (35,071 )   (78,887 )
 
Net increase (decrease) in cash and cash equivalents (18,944 ) 13,162
Effect of exchange rate changes 686 (2,914 )
Cash and cash equivalents, beginning of period   84,550     73,439  
 
Cash and cash equivalents, end of period $ 66,292   $ 83,687  
 
Supplemental disclosure of non-cash investing activities
Purchases of property, plant and equipment included in accounts payable $ 1,174 $ 1,303
 
       

Supplemental Information

Restructuring Expenses

(Unaudited)

(In thousands)

 

 

Restructuring expenses were recorded in the following Consolidated Statements of Income categories for the three and nine months ended September 30, 2016 and 2015:

 
 
Three Months Ended Nine Months Ended
September 30, September 30,
2016   2015 2016     2015
 
Restructuring expense included in cost of sales $ 1,307   $ 9   $ 1,307   $ 107  
 
Selling, general and administrative expense 637 194 637 838
Research and development expense   -     712     -     2,095  
 
Restructuring expense included in operating expenses   637     906     637     2,933  
 
Total restructuring expense 1,944 915 1,944 3,040
Provision for income taxes   (603 )   (357 )   (603 )   (1,186 )
 
Total restructuring expense, net of tax $ 1,341   $ 558   $ 1,341   $ 1,854  
 
       

Supplemental Information

Acquisition Related Expenses, Amortizations and Adjustments

(Unaudited)

(In thousands)

 

On August 4, 2011, we closed on the acquisition of Bluesocket, Inc., on May 4, 2012, we closed on the acquisition of the Nokia Siemens Networks Broadband Access business (NSN BBA), and on September 13, 2016, we closed on the acquisition of CommScope’s active fiber business (CommScope). Acquisition related expenses, amortizations and adjustments for the three and nine months ended September 30, 2016 and 2015 for all three transactions are as follows:

 
Three Months Ended Nine Months Ended
September 30, September 30,
2016   2015 2016     2015
Bluesocket, Inc. acquisition
Amortization of acquired intangible assets $ 158   $ 191   $ 504   $ 643  
 
NSN BBA acquisition
Amortization of acquired intangible assets 225 231 680 701
Amortization of other purchase accounting adjustments 114 101 194 395
Acquisition related professional fees, travel and other expenses   -     20     -     61  
Subtotal NSN BBA acquisition   339     352     874     1,157  
 
CommScope acquisition
Amortization of acquired intangible assets 112 - 112 -
Amortization of other purchase accounting adjustments 84 - 84 -
Acquisition related professional fees, travel and other expenses   45     -     45     -  
Subtotal CommScope acquisition   241     -     241     -  
 
Total acquisition related expenses, amortizations and adjustments 738 543 1,619 1,800
Provision for income taxes   (261 )   (183 )   (562 )   (609 )
 
Total acquisition related expenses, amortizations and adjustments, net of tax $ 477   $ 360   $ 1,057   $ 1,191  
 

The acquisition related expenses, amortizations and adjustments above were recorded in the following Consolidated Statements of Income categories for the three and nine months ended September 30, 2016 and 2015:

 
Three Months Ended Nine Months Ended
September 30, September 30,
2016 2015 2016 2015
 
Revenue (adjustments to deferred revenue recognized in the period) $ - $ 65 $ - $ 196
Cost of goods sold   169     7     189     52  
Subtotal   169     72     189     248  
 
Selling, general and administrative expenses 54 23 61 74
Research and development expenses   515     448     1,369     1,478  
Subtotal   569     471     1,430     1,552  
 
Total acquisition related expenses, amortizations and adjustments 738 543 1,619 1,800
Provision for income taxes   (261 )   (183 )   (562 )   (609 )
 
Total acquisition related expenses, amortizations and adjustments, net of tax $ 477   $ 360   $ 1,057   $ 1,191  
 
       

Supplemental Information

Stock-based Compensation Expense

(Unaudited)

(In thousands)

 
 
Three Months Ended Nine Months Ended
September 30, September 30,
2016     2015 2016     2015
 
Stock-based compensation expense included in cost of sales $ 88   $ 59   $ 282   $ 202  
 
Selling, general and administrative expense 765 812 2,322 2,226
Research and development expense   639     803     1,997     2,360  
 
Stock-based compensation expense included in operating expenses   1,404     1,615     4,319     4,586  
 
Total stock-based compensation expense 1,492 1,674 4,601 4,788
Tax benefit for expense associated with non-qualified options   (218 )   (218 )   (643 )   (620 )
 
Total stock-based compensation expense, net of tax $ 1,274   $ 1,456   $ 3,958   $ 4,168  
 
       

Reconciliation of GAAP net income per share, diluted, to

Non-GAAP net income per share, diluted

(Unaudited)

 
Three Months Ended Nine Months Ended
September 30, September 30,
2016     2015 2016     2015
 
GAAP earnings per common share – diluted $ 0.26 $ 0.14 $ 0.56 $ 0.25
 
Restructuring expense 0.03 0.01 0.03 0.04
Acquisition related expenses, amortizations and adjustments 0.01 0.01 0.02 0.02
Stock-based compensation expense 0.03 0.03 0.08 0.08
Gain on bargain purchase of a business   (0.07 )   -   (0.07 )   -
 
Non-GAAP earnings per common share – diluted $ 0.26   $ 0.19 $ 0.62   $ 0.39
 

View source version on businesswire.com: http://www.businesswire.com/news/home/20161018006792/en/

(c)Business Wire. All of the news releases contained herein are protected by copyright and other applicable laws, treaties and conventions. Information contained in the releases is furnished by Business Wire's members, who warrant that they are solely responsible for the content, accuracy and originality of the information contained therein. All reproduction, other than for an individual user's personal reference, is prohibited without prior written permission.