SANTA ANA, Calif., Feb. 16 /PRNewswire-FirstCall/ -- TROY Group, Inc. today announced that financial results for the fiscal year 2006, which ended November 30, 2006, have been posted on the company's Web site at http://www.troygroup.com/. To access the report, click on About TROY Group then click on Financials. TROY's 2006 financial results are also posted at http://www.pinksheets.com/. Enter TROY in the symbol field then click on Financial Report.
Revenue for the year ended November 30, 2006 increased to $50.0 million compared to revenue for the year ended November 30, 2005 of $42.0 million largely due to the one time purchase of printers by one customer. Earnings from continuing operations for the year ended November 30, 2006 increased to $0.54 per share compared to $0.32 per share for the year ended November 30, 2005.
For more information Contact:
TROY Group, Inc.
2331 South Pullman Street
Santa Ana, CA 92705
(949) 250-3280
(949) 250-8972 Facsimile
http://www.troygroup.com/
Contact: Dennis C. Fairchild
Vice President & CFO
Financial Data Summary Following
TROY GROUP, INC.
CONSOLIDATED BALANCE SHEETS
November 30,
2005 2006
ASSETS
Current assets:
Cash and cash equivalents $492,000 $350,000
Investment in available-for-sale securities 12,600,000 9,650,000
Accounts receivable, net of allowance
for doubtful accounts 2005 $472,000; 2006
$322,000 6,416,000 5,788,000
Inventories 3,053,000 3,980,000
Prepaid expenses and other 707,000 917,000
Deferred tax assets 2,525,000 874,000
Current assets of discontinued operations
held for sale 3,336,000 --
Total current assets 29,129,000 21,559,000
Equipment and leasehold improvements, net 2,501,000 2,126,000
Goodwill 281,000 281,000
Other assets, including receivables from
stockholders of $1,903,000 2,925,000 3,324,000
Non-current assets of discontinued operations
held for sale 38,000 --
Total assets $34,874,000 $27,290,000
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable $2,236,000 $4,310,000
Accrued expenses 3,439,000 3,171,000
Deferred revenue 1,422,000 1,994,000
Current liabilities of discontinued
operations held for sale 1,667,000 --
Total current liabilities 8,764,000 9,475,000
Commitments and contingencies
Stockholders' equity:
Preferred stock, no par value, authorized 100,000
shares; issued none Common stock, par value
$0.01 per share; authorized 13,000,000 shares;
issued 2005 10,639,877 shares; issued 2006
10,563,701 shares 107,000 106,000
Additional paid-in capital 19,913,000 20,510,000
Retained earnings (deficit) 6,523,000 (2,801,000)
Accumulated other comprehensive income 59,000 --
Less cost of treasury stock - 2005 201,510 shares (492,000) --
Total stockholders' equity 26,110,000 17,815,000
Total liabilities and stockholders' equity $34,874,000 $27,290,000
TROY GROUP, INC.
CONSOLIDATED STATEMENTS OF INCOME
Fiscal Years Ended November 30,
2004 2005 2006
Net sales $38,794,000 $41,979,000 $50,029,000
Cost of goods sold (including
rent paid to majority
stockholders: 2004 $279,000,
2005 $291,000 and 2006
$315,000) 24,068,000 24,609,000 28,717,000
Gross profit 14,726,000 17,370,000 21,312,000
Operating expenses:
Selling, general and
administrative 12,865,000 9,180,000 10,566,000
Research and development 2,874,000 3,043,000 3,063,000
Amortization of intangible
assets 75,000 75,000 10,000
Total operating expenses 15,814,000 12,298,000 13,639,000
Operating income (loss) (1,088,000) 5,072,000 7,673,000
Interest income 131,000 321,000 874,000
Income (loss) from continuing
operations before income taxes (957,000) 5,393,000 8,547,000
Provision for (benefit from)
income taxes (368,000) 2,034,000 2,856,000
Income (loss) from continuing
operations (589,000) 3,359,000 5,691,000
Income (loss) from discontinued
operations, net of tax 1,174,000 (826,000) 6,018,000
Net income $585,000 $2,533,000 $11,709,000
Net income per share:
Basic income (loss) from
continuing operations $(0.06) $0.32 $0.54
Basic income (loss) from
discontinued operations 0.11 (0.08) 0.58
Basic income $0.05 $0.24 $1.12
Diluted income (loss)from
continuing operations $(0.06) $0.32 $0.54
Diluted income (loss) from
discontinued operations 0.11 (0.08) 0.58
Diluted income $0.05 $0.24 $1.12
Weighted average shares
outstanding:
Basic 10,641,000 10,607,000 10,469,000
Diluted 10,650,000 10,608,000 10,475,000
About TROY Group
TROY Group, Inc. ("TROY") is a worldwide provider of secure payment solutions. Our security printing solutions include application software, high security check printing hardware and specialized consumables for secure printing and payment applications. Our ACH (Automated Clearing House) software includes ACH processing and origination software and consulting services. We sell and service our products to major corporations, banks, key government accounts and distributors worldwide. Visit TROY at http://www.troygroup.com/.
Forward-looking statements of TROY (statements that are not historical fact) in this news release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements may be identified by terms such as believe, expect, may, will, could and should, and the negative of these terms or other similar expressions. These statements are subject to risks and uncertainties that could cause actual results to differ materially from those discussed in the forward-looking statements. These risks and uncertainties include, but, are not limited to, the ability to develop new products, the ability to hire and retain qualified management, technology and other personnel, the impact of competition from existing and new technologies and companies and the other factors set forth in our periodic reports and other documents that we distribute from time to time which are available in our financial statements under certain important factors on our website TROYgroup.com or pinksheets.com. Statements included in this news release are based upon information known to TROY as of the date of this release, and TROY assumes no obligation to update information contained in this news release.
