Astro-Med Reports Strong First-Quarter FY15 Financial Results; Board of Directors Declares Regular Cash Dividend

  Astro-Med Reports Strong First-Quarter FY15 Financial Results; Board of
  Directors Declares Regular Cash Dividend

  *Orders Received of $23.5 Million, Up 42.2% From Prior Year
  *Net Sales of $20.8 Million, Up 34.2% From Prior Year
  *Diluted EPS of $0.14

Business Wire

WEST WARWICK, R.I. -- May 22, 2014

Astro-Med, Inc. (NASDAQ: ALOT), a leading manufacturer of specialty high-tech
printing systems and data acquisition products, today reported net sales of
$20.8 million for the three months ended May 3, 2014, an increase of 34.2%
from the same period a year earlier.

“Strong demand in both our QuickLabel Systems (QLS) and Test & Measurement
(T&M) segments drove excellent results for Astro-Med in the first quarter of
fiscal 2015,” said Gregory A. Woods, the Company’s President and Chief
Executive Officer. “QLS product sales increased 27% in the first quarter to
$14.4 million. Our QLS products continue to benefit from a targeted marketing
program that is accelerating new customer growth.

“T&M segment sales grew 55% to $6.4 million,” added Woods. “A portion of our
T&M growth can be attributed to our acquisition of the Miltope ruggedized
aerospace printer business in January, but we also saw increasing demand for
high-speed data acquisition systems – our TMX and TMX-18 products, in
particular.

“We posted first-quarter orders of $23.5 million, a 42% increase over last
year,” Woods said. “Both the QuickLabel Systems and Test & Measurement
segments reported double-digit increases. We exited the quarter with a record
backlog of $16.2 million.

“We continue to focus on expanding our global sales channel to complement our
direct presence in the United States, Canada and Western Europe,” said Woods.
“In the first quarter we added salespeople in both Europe and North America.
One of our sales channel expansion goals for fiscal 2015 is to establish a
direct presence in Asia, where we see additional opportunity for growth. We
expect to have an office up and running by the end of this fiscal year to
serve customers in China and Southeast Asia.”

Gross profit for the first quarter of fiscal 2015 was $8.6 million, or 41.6%
of net sales, compared with $5.1 million, or 33.0% of net sales, for the same
period of fiscal 2014, reflecting higher revenue, improved product mix and the
ongoing success of Astro-Med’s lean manufacturing initiatives.

Net income on a GAAP (Generally Accepted Accounting Principles) basis for the
three months ended May 3, 2014 was $1.1 million, or $0.14 per diluted share.
This compares with a net loss of $449,000, or $0.06 per share, for the same
period a year earlier. The prior year EPS included a charge of $389,000, or
$0.05 per diluted share, related to the reserve established to address a
non-compliant component in a limited number of ToughWriter printers.

At May 3, 2014, Astro-Med had cash and cash equivalents of $28.6 million,
compared with $27.1 million at January 31, 2014.

Board of Directors Declare Regular Quarterly Dividend

On May 22, 2014, the Directors of Astro-Med, Inc. declared a regular quarterly
cash dividend of $0.07 per share. The dividend, which represents a cash
dividend of $0.28 per share on an annualized basis, is payable July 1, 2014 to
shareholders of record on June 13, 2014.

Q1 Fiscal 2015 Conference Call

The first quarter fiscal 2015 financial results conference call will be held
today, Thursday, May 22, 2014 at 4:00 p.m. ET. It will be broadcast in real
time on the Internet through the “Investors” section of the Company’s website
at www.Astro-MedInc.com. You also may participate in the conference call by
877-941-8609 (U.S. and Canada) or 480-629-9692 (International) with passcode
4680464. Following the live broadcast, an audio webcast of the call will be
available on the Company’s website. A conference call replay also will be
available for seven days by dialing 800-406-7325 (U.S. and Canada) or
303-590-3030 (International) with passcode 4680464.

About Astro-Med, Inc.

Astro-Med, Inc. is a leading manufacturer of specialty high tech printing
systems and data acquisition systems. Products include color label printers
and consumables sold under the QuickLabel Systems brand as well as rugged
printers for aerospace and defense applications and data acquisition products
sold under the Astro-Med brand. Astro-Med, Inc. is a member of the Russell
Microcap® Index. Additional information is available by visiting
www.Astro-MedInc.com

Forward-Looking Statements

Information included in this news release may contain forward-looking
statements within the meaning of the Private Securities Litigation Reform Act
of 1995. Forward-looking statements are not statements of historical fact, but
rather reflect our current expectations concerning future events and results.
These statements may include the use the words “believes,” “expects,”
“intends,” “plans,” “anticipates,” “likely,” “continues,” “may,” “will,” and
similar expressions to identify forward-looking statements. Such
forward-looking statements, including those concerning the global expansion
into Asia and growth through acquisitions, involve risks, uncertainties and
other factors, some of which are beyond our control, which may cause our
actual results, performance or achievements to be materially different from
those expressed or implied by such forward-looking statements. These risks,
uncertainties and factors include, but are not limited to, those factors set
forth in the Company’s Annual Report on Form 10-K for the fiscal year ended
January 31, 2014 and subsequent filings Astro-Med makes with the Securities
and Exchange Commission. The Company undertakes no obligation to publicly
update or revise any forward-looking statements, whether as a result of new
information, future events or otherwise. The reader is cautioned not to unduly
rely on such forward-looking statements when evaluating the information
presented in this news release.

Use of Non-GAAP Financial Measure

In addition to financial measures prepared in accordance with generally
accepted accounting principles (GAAP), this press release also contains the
Non-GAAP financial measure, Non-GAAP net income. The Company believes that the
inclusion of this non-GAAP financial measure in this press release helps
investors to gain a meaningful understanding of changes in the Company's core
operating results, and also can help investors who wish to make comparisons
between Astro-Med and other companies on both a GAAP and a non-GAAP basis.
Astro-Med’s management uses this non-GAAP measure, in addition to GAAP
financial measures, as the basis for measuring its core operating performance
and comparing such performance to that of prior periods and to the performance
of its competitors. This measure also is used by the Company’s management to
assist with their financial and operating decision making.

The non-GAAP financial measure included in this press release is not meant to
be considered superior to or a substitute for results of operations prepared
in accordance with GAAP. In addition, the non-GAAP financial measure included
in this press release may be different from, and therefore may not be
comparable to, similar measures used by other companies. Reconciliations of
the non-GAAP financial measure used in this press release to the most directly
comparable GAAP financial measure are set forth in the text of, and the
accompanying tables to, this press release.

                                                                  
ASTRO-MED, INC.
Consolidated Statements of Income
In Thousands Except for Per Share Data
(Unaudited)
                                                                       
                                                         May 3,        May 4,
                                                         2014          2013
Net Sales                                                $20,774       $15,485
Cost of Sales                                            12,139        9,708
Product Replacement Related Costs                        -             672
                                                                       
Gross Profit                                             8,635         5,105
                                                         41.6%         33.0%
Operating Expenses:
Selling                                                  4,374         3,572
Research & Development                                   1,371         1,113
General & Administration                                 1,191         1,142
                                                         6,936         5,827
                                                                       
Operating Income (Loss)                                  1,699         (722)
                                                         8.2%          (4.7%)
                                                                       
Other Income (Expense), Net                              (121)         (36)
                                                                       
Income (Loss) from Continuing Operations Before Taxes    1,578         (758)
                                                                       
Income Tax Provision (Benefit) for Continuing            449           (319)
Operations
                                                                       
Income (Loss) from Continuing Operations                 1,129         (439)
                                                                       
Income (Loss) from Discontinued Operations, net of       -             (10)
taxes
                                                                       
Net Income (Loss)                                        $1,129        $(449)
                                                                       
                                                                       
Earnings Per Share – Basic:
Net Income (Loss) per share from Continuing Operations   $0.15         $(0.06)
Net Income (Loss) per share from Discontinued            -             -
Operations
Net Income (Loss) per share - Basic                      $0.15         $(0.06)

Earnings Per Share – Diluted:
Net Income (Loss) per share from Continuing Operations   $0.14         $(0.06)
Net Income (Loss) from Discontinued Operations           -             -
Net Income (Loss) per share - Diluted                    $0.14         $(0.06)
                                                                       
Weighted Average Number of Common Shares - Basic         7,601         7,401
Weighted Average Number of Common Shares - Diluted       7,848         7,404
Dividends Declared Per Common Share                      $0.07         $0.07

                                           
Selected Balance Sheet Data
In Thousands
(Unaudited)
                                               
                                 As of         As of
                                 May 3, 2014   January 31, 2014

                                              
Cash & Marketable Securities     $28,595       $27,107
Current Assets                   $65,596       $65,034
Total Assets                     $78,279       $77,964
Current Liabilities              $8,920        $9,892
Shareholders’ Equity             $68,088       $66,614

                                              
Reconciliation of Non-GAAP Adjustment
In Thousands
(Unaudited)
                                                  
                                    May 3, 2014   May 4, 2013
GAAP based results as reported:
Net Income (Loss)                   $1,129        $(449)
Non-GAAP adjustment:
Product Replacement Costs           -             389
Non-GAAP Net Income (Loss)          $1,129        $(60)
GAAP based results as reported:                   
EPS - diluted                       $0.14         $(0.06)
Non-GAAP adjustment:
Product Replacement Costs           -             0.05
Non-GAAP EPS - diluted              $0.14         $(0.01)

Source: Astro-Med, Inc.

Contact:

Astro-Med, Inc.
Joseph P. O’Connell, 800-343-4039
Senior Vice President, Chief Financial Officer
 
Press spacebar to pause and continue. Press esc to stop.