Mace Reports Second Quarter 2015 Financial Results
Mace Reports Second Quarter 2015 Financial Results
CLEVELAND, OH, August 7, 2015 /PRNewswire/Mace Security International Inc., (OTCPINK: MACE) today announced unaudited financial results (amounts in thousands) for the second quarter ended June 30, 2015.
Second Quarter 2015 Financial Highlights Compared to Prior Year:
- Net revenue increased 23%.
- Gross profit increased 63%.
- Key channels of distribution (sporting goods & consumer) net revenues improved 64%.
- General and administrative expenses decreased 25%.
- Net income improved 69% resulting in a nominal net loss for the quarter of $59 or $0.00 EPS.
“The second quarter results should prove to be another step towards our goal of achieving profitability in the near future.” stated Richard Barone, Chairman of the Board of Mace.
Select Consolidated Financial Results, Second Quarter Ended June 30, 2015 and 2014
(in thousands):
|
For the Three Months Ended |
||||||||||||||
|
June 30, |
% of Sales |
June 30, |
% of Sales |
|||||||||||
|
2015 |
2014 |
$ Chg |
% Chg |
|||||||||||
| Net revenue | $2,241 |
100.0% |
$1,817 |
100.0% |
424 |
23.3% |
||||||||
| Gross profit | 974 |
43.5% |
598 |
32.9% |
376 |
62.9% |
||||||||
| Selling, general, and administrative expenses | 1,062 |
47.4% |
1,185 |
65.2% |
123 |
-10.4% |
||||||||
| Operating loss | (126) |
-5.6% |
(630) |
-34.7% |
504 |
80.0% |
||||||||
| Net loss | (59) |
-2.6% |
(192) |
-10.6% |
133 |
69.3% |
||||||||
“Mace® experienced consecutive quarters of net revenue, gross profit, and net income growth compared to last year. Net revenue, gross profit, and net income for the year represent improvements of 16.2%, 41.7%, and 75.5% respectively. As I mentioned after the first quarter, we expect continued quarterly improvements as we increase revenues of our core Mace® branded products and our new products.” said John J. McCann, President and CEO of Mace.
Conference Call
Mace® will conduct a conference call on Monday, August 10, 2015 at 11:00 AM EDT, 8:00 AM PDT to discuss its financial results for the quarter ended June 30, 2015, provide an update on the business, and respond to questions. The participant conference call number is (877) 719-8065, conference ID: 8293740. A full set of the consolidated financial statements is available on the Mace website. Presentation materials for the conference call will be available Monday, August 10, 2015 on Mace’s website under Investor Relations, Shareholder Transcripts & Presentations. There will also be access to a digital recording of the teleconference by calling (855) 859-2056 and entering the conference ID: 8293740. This recording will be available for the period commencing two hours following the teleconference and ending October 9, 2015.
ABOUT THE COMPANY:
Mace Security International Inc. is a globally recognized leader in personal safety and security. Based in Cleveland, Ohio, the company has spent more than 40 years designing and manufacturing consumer and tactical products for personal defense, security and surveillance under its world-renowned Mace® Brand – the original trusted brand of pepper spray products. The company also offers aerosol defense sprays and tactical products for law enforcement and security professionals worldwide through its Mace® Take Down® brand.
Mace Security International distributes and supports Mace® Brand products and services through mass-market retailers, wholesale distributors, independent dealers, e-commerce marketers and installation service providers. Mace® Brand products are manufactured in the U.S. For more information, please visit www.mace.com.
Contact Information: Mace Security International, Inc., 4400 Carnegie Avenue, Cleveland, OH 44103. Email to: john@mace.com. John J. McCann, President and Chief Executive Officer, 440-424-5322.
Certain statements and information included in this press release constitute “forward-looking statements” within the meaning of the Federal Private Securities Litigation Reform Act of 1995. When used in this press release, the words or phrases “will likely result,” “are expected to,” “will continue,” “is anticipated,” “estimate,” “projected,” “intend to” or similar expressions are intended to identify “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are subject to certain risks, known and unknown, and uncertainties, including but not limited to economic conditions, dependence on management, our ability to compete with competitors, dilution to shareholders, and limited capital resources.
Mace Security International, Inc.
Condensed Consolidated Balance Sheets
(Amounts in thousands)
|
ASSETS |
June 30, 2015 |
|
December 31, 2014 |
| Current assets: |
(Unaudited) |
||
| Cash and cash equivalents |
$ 165 |
$ 359 |
|
| Restricted cashShort-term investments |
60 2,869 |
60 5,848 |
|
| Accounts receivable, net |
1,608 |
1,352 |
|
| Inventories, net |
2,462 |
1,783 |
|
| Prepaid expenses and other current assets |
1,077 |
1,303 |
|
| Total current assets |
8,241 |
10,705 |
|
| Plant and equipment, net |
588 |
585 |
|
| Other intangible assets |
685 |
685 |
|
| Other assets |
836 |
1,054 |
|
| Total assets |
$ 10,350 |
$ 13,029 |
|
LIABILITIES AND STOCKHOLDERS’ EQUITY |
|||
| Current liabilities: | |||
| Current portion of long-term debt | $ – | $ 1,241 | |
| Accounts payableIncome taxes payable |
679 59 |
481 60 |
|
| Accrued expenses and other current liabilities |
856 |
961 |
|
| Total current liabilities |
1,594 |
2,743 |
|
| Total stockholders’ equity |
8,756 |
10,286 |
|
| Total liabilities and stockholders’ equity | $ 10,350 | $ 13,029 |
Mace Security International, Inc.
Condensed Consolidated Statements of Operations
Three Months Ended June 30, 2015 and 2014
(Unaudited)
(Amounts in thousands)
|
2015 |
|
2014 |
||
| Net revenue |
$ 2,241 |
$ 1,817 |
||
| Cost of revenue |
1,267 |
1,219 |
||
| Gross profit |
974 |
598 |
||
| Selling, general, and administrative expenses |
1,062 |
1,185 |
||
| Depreciation |
38 |
43 |
||
| Operating loss |
(126) |
(630) |
||
| Interest expense |
– |
(57) |
||
| Interest income |
69 |
63 |
||
| Gain (loss) on sale of short-term investments |
(3) |
20 |
||
| Other loss |
(9) |
– |
||
| Loss from continuing operations before income tax provision |
(69) |
(604) |
||
| Income tax provision |
– |
(1) |
||
| Loss from continuing operations |
(69) |
(603) |
||
| Income from discontinued operations, net of tax |
10 |
411 |
||
| Net loss |
$ (59) |
$ (192) |
Mace Security International, Inc.
Condensed Consolidated Statements of Operations
Six Months Ended June 30, 2015 and 2014
(Unaudited)
(Amounts in thousands)
|
2015 |
|
2014 |
||
| Net revenue |
$ 4,066 |
$ 3,500 |
||
| Cost of revenue |
2,241 |
2,339 |
||
| Gross profit |
1,645 |
1,161 |
||
| Selling, general, and administrative expenses |
2,196 |
2,590 |
||
| Depreciation |
76 |
87 |
||
| Operating loss |
(627) |
(1,516) |
||
| Interest expense |
(25) |
(112) |
||
| Interest income |
94 |
110 |
||
| Gain (loss) on sale of short-term investments |
(16) |
124 |
||
| Other income |
312 |
– |
||
| Loss from continuing operations before income tax provision |
(262) |
(1,394) |
||
| Income tax provision |
– |
– |
||
| Loss from continuing operations |
(262) |
(1,394) |
||
| Income from discontinued operations, net of tax |
20 |
408 |
||
| Net loss |
$ (242) |
$ (986) |