Market Snapshot
  • U.S.
  • Europe
  • Asia
Ticker Volume Price Price Delta
DJIA 16,514.37 65.12 0.40%
S&P 500 1,879.55 7.66 0.41%
NASDAQ 4,161.46 39.91 0.97%
Ticker Volume Price Price Delta
STOXX 50 3,190.53 -9.16 -0.29%
FTSE 100 6,668.31 -13.45 -0.20%
DAX 9,571.25 -28.84 -0.30%
Ticker Volume Price Price Delta
NIKKEI 14,546.27 157.50 1.09%
TOPIX 1,173.81 11.31 0.97%
HANG SENG 22,509.64 -221.04 -0.97%

RCM Technologies, Inc. Announces 2012 Fourth Quarter and Year-End Results



RCM Technologies, Inc. Announces 2012 Fourth Quarter and Year-End Results

PENNSAUKEN, N.J., Feb. 20, 2013 (GLOBE NEWSWIRE) -- RCM Technologies, Inc.
(Nasdaq:RCMT) today announced financial results for the thirteen and fifty-two
week periods ended December 29, 2012.

The Company announced revenues of $37.0 million for the thirteen week period
ended December 29, 2012, increased from $35.0 million for the thirteen week
period ended December 31, 2011 (comparable prior year period). The Company had
operating income of $1.3 million for the thirteen week period ended December
29, 2012 as compared to $2.2 million for the comparable prior year period. Net
income for the thirteen week period ended December 29, 2012 was $1.0 million,
or $0.09 per diluted share, as compared to net income of $1.1 million, or
$0.09 per diluted share, for the comparable prior year period.

The Company announced revenues of $145.8 million for the fifty-two week period
ended December 29, 2012, increased from $143.8 million for the fifty-two week
period ended December 31, 2011 (comparable prior year period). The Company had
operating income of $5.2 million for the fifty-two week period ended December
29, 2012 as compared to $7.0 million for the comparable prior year period. Net
income for the fifty-two week period ended December 29, 2012 was $3.2 million,
or $0.26 per diluted share, as compared to net income of $4.3 million, or
$0.33 per diluted share, for the comparable prior year period.

On December 27, 2012, the Company paid to stockholders of record on December
20, 2012 a one-time special cash dividend of $1.00 per share of common stock,
for a total of approximately $12.3 million. Approximately 14.5% of the
one-time special dividend was treated as an ordinary taxable dividend and the
approximate balance of 85.5% was treated as a return of capital for
recipients. The Company also accrued $1.00 per share on 350,000 unvested
restricted stock units. 

The Company announced that during the fifty-two week period ended December 29,
2012, the Company repurchased 866,070 shares of its common stock under its
existing share repurchase plan for an aggregate cost of $4.7 million at an
average purchase price of $5.43 per share.  The Company's Board of Directors
approved a share repurchase plan of up to $7.5 million of the Company's
outstanding shares of common stock in February 2010, and subsequently extended
the plan through February 2013.  As of January 4, 2013, the Company had
completed the plan by purchasing a total of 1,473,306 shares under the plan
for an aggregate cost of $7.5 million at an average purchase price of $5.09
per share.

Leon Kopyt, Chairman and CEO of RCM, commented: "Given the significant
dislocation caused by Superstorm Sandy in several of the geographic markets we
serve, we are pleased with our fourth quarter results.  We estimate that we
lost close to $1 million in revenues in the aggregate from our Information
Technology and Specialty Health Care segments as a result of the storm. 
Looking forward, we are excited about 2013 and believe all three of our
segments will show improved operating income in fiscal 2013 as compared to
fiscal 2012. 

"With the fourth quarter's special one-time dividend, we demonstrated our
continuing commitment to taking swift and decisive action to deliver value to
our shareholders without compromising our strong balance sheet, financial
flexibility and strategic growth trajectory, or our ability to continue
investing in our business. We remain committed to continuing to explore
further actions to enhance shareholder value. We have returned close to $20
million in capital to our shareholders over the past several years as we
exhausted our $7.5 million repurchase pool in early January 2013 and issued a
$12.3 million cash dividend in late December 2012.  We are excited that
despite returning approximately $12.3 million to our shareholders through this
dividend, our market capitalization as of February 19, 2013 of $69.2 million
is at virtually the identical level it was just before we announced the
dividend."

About RCM

RCM Technologies, Inc. is a premier provider of business and technology
solutions designed to enhance and maximize the operational performance of its
customers through the adaptation and deployment of advanced information
technology and engineering services. RCM is an innovative leader in the
delivery of these solutions to commercial and government sectors. RCM is also
a provider of specialty healthcare services to major health care institutions
and educational facilities. RCM's offices are located in major metropolitan
centers throughout North America. Additional information can be found at
www.rcmt.com.

The Statements contained in this release that are not purely historical are
forward-looking statements within the Private Securities Litigation Reform Act
of 1995 and are subject to various risks, uncertainties and other factors that
could cause the Company's actual results, performance or achievements to
differ materially from those expressed or implied by such forward-looking
statements. These statements often include words such as "may," "will,"
"expect," "anticipate," "continue," "estimate," "project," "intend,"
"believe," "plan," "seek," "could," "can," "should" or similar
expressions. These statements are based on assumptions that we have made in
light of our experience in the industry, as well as our perceptions of
historical trends, current conditions, expected future developments and other
factors we believe are appropriate in these circumstances. Forward looking
statements include, but are not limited to, those relating to demand for the
Company's services, expected demand for our services and expectations
regarding our revenues, the Company's ability to continue to utilize goodwill,
to continue to increase gross margins, to achieve and manage growth, to
develop and market new applications and services, risks relating to the
acquisition and integration of acquired businesses, the ability of the Company
to consummate acquisitions as to which it executes non-binding letters of
intent, demand for new services and applications, timing of demand for
services, industry strength and competition and general economic
factors. Investors are directed to consider such risks, uncertainties and
other factors described in documents filed by the Company with the Securities
and Exchange Commission.

RCM Technologies, Inc.
Condensed Consolidated Statements of Income 
(Unaudited)
(In Thousands, Except Share and Per Share Amounts)
                                                       
                                    Thirteen Week Periods Ended
                                    December 29, 2012 December 31, 2011
Revenues                            $37,019           $35,032
Cost of services                    26,920            24,904
Gross profit                        10,099            10,128
Selling, general and administrative 8,401             7,659
Depreciation and amortization       368               282
Operating income                    1,330             2,187
Other income (expense), net         84                (83)
Income before income taxes          1,414             2,104
Income tax expense                  385               967
Net income                          $1,029            $1,137
                                                       
Diluted net income per share data   $0.09             $0.09
                                                       
                                    Fifty-Two Week Periods Ended
                                    December 29, 2012 December 31, 2011
Revenues                            $145,817          $143,811
Cost of services                    106,102           103,075
Gross profit                        39,715            40,736
Selling, general and administrative 33,166            32,578
Depreciation and amortization       1,321             1,149
Operating income                    5,228             7,009
Other income (expense), net         102               (78)
Income before income taxes          5,330             6,931
Income tax expense                  2,103             2,653
Net income                          $3,227            $4,278
                                                       
Diluted net income per share data   $0.26             $0.33

                                                                  
RCM Technologies, Inc.
Summary Consolidated Selected Balance Sheet Data
(In Thousands)
                                                                  
                                                   December 29,  December 31, 
                                                   2012          2011
Cash and cash equivalents                          $14,123       $28,417
Accounts receivable, net                           $43,706       $39,031
Total current assets                               $70,345       $73,229
Total assets                                       $84,548       $86,178
Total current liabilities                          $25,063       $14,290
Total liabilities                                  $25,776       $14,517
Treasury stock (1,457,856 and 591,786 shares) at   ($7,417)      ($2,713)
cost
Stockholders' equity                               $58,772       $71,661
Stockholder's equity less goodwill and intangible  $48,895       $64,132
assets

                                                                  
RCM Technologies, Inc.
Condensed Consolidated Statements of Cash Flows
(Unaudited)
(In Thousands)
                                                                  
                                                  Thirteen Week Periods Ended
                                                  December 29,   December 31,
                                                  2012           2011
Net income                                        $1,029         $1,137
Adjustments to reconcile net income to cash used  500            886
in operating activities
Changes in operating assets and liabilities                       
Accounts receivable                               (5,584)        (570)
Transit accounts receivable                       (6,677)        2,788
Prepaid expenses and other current assets         (9)            98
Accounts payable and accrued expenses             597            (217)
Transit accounts payable                          8,077          (5,163)
Accrued payroll and related costs                 (1,478)        (2,611)
Income taxes payable                              (339)          279
Total adjustments                                 (4,913)        (4,510)
Cash used in operating activities                 ($3,884)       ($3,373)
                                                                  
Net cash used in investing activities             (197)          (74)
Net cash used in financing activities,            (12,016)       (650)
principally from cash dividend paid
Effect of exchange rate changes                   8              (64)
Decrease in cash and cash equivalents             ($16,089)      ($4,161)
                                                                  
                                                  Fifty-Two Week Periods Ended
                                                  December 29,   December 31,
                                                  2012           2011
Net income                                        $3,227         $4,278
Adjustments to reconcile net income to cash       2,253          2,289
provided by operating activities
Changes in operating assets and liabilities                       
Accounts receivable                               (4,693)        2,005
Transit accounts receivable                       (6,981)        (3,029)
Prepaid expenses and other current assets         160            (411)
Accounts payable and accrued expenses             370            (939)
Transit accounts payable                          8,958          3,030
Accrued payroll and related costs                 376            (1,097)
Income taxes payable                              (106)          344
Total adjustments                                 337            2,192
Cash provided by operating activities             $3,564         $6,470
                                                                  
Net cash used in investing activities             (1,848)        (418)
Net cash used in financing activities             (15,999)       (2,226)
Effect of exchange rate changes                   (11)           (113)
(Decrease) increase in cash and cash equivalents  ($14,294)      $3,713

CONTACT: RCM Technologies, Inc.
         2500 McClellan Avenue
         Pennsauken, NJ 08109
        
         Tel:  856.356.4500
         Fax: 856.356.4600
         info@rcmt.com
         www.rcmt.com
        
         Corporate Contacts:
         Leon Kopyt
         Chairman, President & CEO
         Kevin D. Miller
         Chief Financial Officer

RCM Technologies, Lnc.
Sponsored Links
Advertisement
Advertisements
Sponsored Links
Advertisement