Quarterly net income, excluding merger costs and a charge for acquired in-process technology related to the Comtec acquisition in the second quarter of 2000, was $14,811,000, or $0.48 per diluted share, compared with $21,568,000, or $0.69 per diluted share, for the second quarter of 2000.
Including one-time charges, net income for the second quarter of 2001 was $14,471,000, or $0.47 per diluted share, compared with $16,650,000, or $0.53 per diluted share, for the second quarter of 2000. For the second quarter of 2001, the company had EBITDA of $25,767,000.
Ongoing weakness in the North American market punctuated by lower shipments to some large customers contributed to second quarter results, stated Edward Kaplan, Zebra’s chairman and chief executive officer. In this difficult business climate, however, Zebra continued to take advantage of its financial strength by investing in sales and marketing programs and new product development. These investments are positioning us for even greater success as the market improves. We are pleased that our programs to expand geographic coverage, strengthen channel relationships and achieve synergy from the Comtec acquisition that we completed last year are already delivering positive results. Overall, we strongly believe that Zebra is making the right investments to accelerate growth once business conditions improve.
For the first six months of 2001, net sales were $228,079,000, versus $229,630,000 for the corresponding period a year ago. Net income for the first half of 2001, excluding one-time charges, was $32,274,000, or $1.05 per diluted share, compared with $37,443,000, or $1.19 per diluted share, for the first half of 2000. Including one-time charges, first-half net income was $31,401,000, or $1.02 per diluted share, compared with $31,879,000,or $1.01 per diluted share, for the first six months of 2000.
At June 30, 2001, Zebra had $183,580,000 in cash and marketable securities and no long-term debt. Inventories of $47,974,000 were down $7,973,000, or 14.3%, from the level at the end of the first quarter as the company adjusted production levels to bring down its inventory position. Over the same period, accounts receivable increased 3.8% to $79,517,000, or $2,945,000, reflecting the general receivables cycle in the current economic environment.
Zebra also announced its financial forecast for the 2001 third quarter and full year. For the third quarter, net sales are expected within a range of $111 million and $115 million, with earnings between $0.50 and $0.57 per diluted share. For 2001, Zebra expects earnings of $2.10 to $2.25 per diluted share on sales of $450 million to $460 million.
SOURCE: COMPANY PRESS RELEASE
