Navigation Links
Hawkins, Inc. Reports Fourth Quarter, Fiscal 2008 Results

MINNEAPOLIS, June 12 /PRNewswire-FirstCall/ -- Hawkins, Inc. (Nasdaq: HWKN) today announced sales for fiscal 2008 of $196.4 million, a 22.5% increase over fiscal 2007 sales of $160.4 million. Net income for fiscal 2008 was $9.1 million, equal to earnings per share of $0.89, compared with fiscal 2007 net income of $8.1 million or earnings per share of $0.79.

For the fourth quarter ended March 30, 2008, Hawkins reported sales of $51.2 million, up 29.0% from $39.7 million for the comparable period a year ago. Net income for the fourth quarter of fiscal 2008 was $1.7 million, equal to earnings per share of $0.17, versus net income of $1.8 million, or earnings per share of $0.18, for the fourth quarter of fiscal 2007. The fourth quarter of fiscal 2008 was negatively impacted by LIFO inventory adjustments of approximately $1.2 million before taxes (approximately $0.8 million or $0.08 per share, after tax) resulting from fluctuations in cost and inventory levels, whereas the fourth quarter of fiscal 2007 was positively impacted by LIFO adjustments of approximately $0.8 million before taxes (approximately $0.5 million or $0.05 per share, after tax).

In fiscal 2008, Industrial segment sales were $124.6 million, a 30.6% increase over fiscal 2007 sales of $95.4 million. The change was driven largely by higher volumes, price increases related to rising material costs, and the acquisition of Trumark, Inc. in May of 2007.

Water Treatment segment sales were $62.1 million, a 10.1% increase over fiscal 2007 sales of $56.4 million. The growth is primarily attributable to selling price increases that correlate with rising material costs, product line growth and higher volumes related to favorable weather conditions.

The Pharmaceutical segment's sales were $9.8 million, a 13.2% increase over fiscal 2007 sales of $8.6 million. The improvement was due primarily to the resolution of regulatory restrictions during the third quarter of fiscal 2008, which began in fiscal 2007.

Gross margin as a percent of sales for the quarter and year ended March 30, 2008 were 17.1% and 21.2%, respectively, compared with 20.8% and 23.2% in the comparable periods a year ago. In addition to the effect of the LIFO adjustments mentioned above, margins for fiscal 2008 were negatively affected by rising commodity chemicals prices and continued growth in high volume, lower margin products.

The positive impact of higher sales on net income for fiscal 2008 was partially offset by an increase in Selling, General and Administrative (SG&A) expenses. The SG&A expense increase primarily related to the acquisition of Trumark and higher employee-related expenses, partially offset by a decrease in professional and consulting expenses.

Chief Executive Officer, John R. Hawkins, commented, "We continue to operate in a highly competitive, price pressured environment where increasing raw material and transportation costs are negatively impacting margins. Our historical focus on strong customer service has permitted us to meet customer needs despite these challenges. The business also continues to generate strong cash flow. This has enabled Hawkins to invest capital in operations, business processes and new growth opportunities while continuing to pay higher shareholder dividends. For example in January 2008, two new Water Treatment sales and service offices were established in Missouri and Kansas, further expanding Hawkins' territory."

Hawkins, Inc. provides a full range of bulk industrial products complemented with the technical competence and innovation to formulate and blend specialty chemicals. The Company sells and services related products and equipment to safely dispense chemicals in highly controlled environments.

Hawkins serves customers in a wide range of industries, including chemical processing, electronics, energy, environmental services, food processing, metal finishing, pharmaceutical, medical devices, pulp and paper, and water treatment.

Hawkins is headquartered in Minneapolis, Minnesota. The Company operates 18 facilities in Iowa, Illinois, Kansas, Minnesota, Missouri, Montana, Nebraska, New Jersey, South and North Dakota and Wisconsin and services customers in Upper Michigan and Wyoming as well.

The discussion above contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements by their nature involve substantial risks and uncertainties. Actual results may differ materially depending on a variety of factors, including, but not limited to, the following: our ability to pass through cost increases in raw materials and energy, competition from other chemical companies, seasonality and weather conditions, costs and difficulties with our new enterprise resource planning system, the hazards of chemical manufacturing, natural disasters, downturns in our customers' industries, actual growth in our products' markets, changes in our customers' products, compliance with applicable laws and regulations, our ability to meet quality specifications, the adequacy of our insurance coverage, our ability to attract and retain key personnel, our ability to complete and integrate future acquisitions, and future terrorist attacks. Additional information with respect to the risks and uncertainties faced by Hawkins may be found in, and the prior discussion is qualified in its entirety by, the Risk Factors contained in Part I, Item 1A of our Annual Report on Form 10-K for the fiscal year ended April 1, 2007, as updated by subsequent SEC filings.




Quarters Ended Fiscal Years Ended

March 30, April 1, March 30, April 1,

2008 2007 2008 2007

Sales $51,201,423 $39,705,074 $196,439,762 $160,405,080

Cost of sales 42,446,932 31,459,035 154,843,280 123,168,103

Gross margin 8,754,491 8,246,039 41,596,482 37,236,977

Selling, general and


expenses 6,661,767 6,136,878 28,614,185 25,972,636

Income from operations 2,092,724 2,109,161 12,982,297 11,264,341

Investment income 468,676 684,144 1,340,712 1,692,332

Income before income

taxes 2,561,400 2,793,305 14,323,009 12,956,673

Provision for income

taxes 830,833 984,790 5,213,000 4,887,790

Net income $1,730,567 $1,808,515 $9,110,009 $8,068,883

Weighted average

number of shares

outstanding --

basic 10,239,458 10,171,496 10,213,225 10,171,496

Weighted average

number of shares

outstanding --

diluted 10,242,725 10,180,040 10,214,387 10,173,719

Earnings per share --

basic and diluted $0.17 $0.18 $0.89 $0.79

Cash dividends

declared per common

share $0.24 $0.22 $0.48 $0.44

SOURCE Hawkins, Inc.
Copyright©2008 PR Newswire.
All rights reserved

Related medicine news :

1. Hawkins, Inc. Reports Third Quarter, Nine Months Fiscal 2008 Results
2. New Study Reports High Injury Rates for Hotel Workers, Even Higher Rates for Women and Nonwhites
3. Haemacure Reports Third Quarter 2007 Results
4. First-Ever List of the 5,000 Fastest-Growing Businesses Reports Total Revenue of $194.5 Billion
5. Consumer Reports Analysis: Drugs for Nerve Pain, Fibromyalgia Effective, But Not Always Best
6. MDS Reports Third Quarter 2007 Results
7. Allied Healthcare Reports Strong Fourth Quarter, Flat Net Income for Fiscal 2007 vs. 2006
8. AtriCure Reports First Human Implant of the Cosgrove-Gillinov Left Atrial Appendage Occlusion System
9. NMHC Reports Fourth Quarter and Fiscal Year 2007 Financial Results
10. Blue Cross and Blue Shield of Florida Reports Eighteenth Consecutive Year of Positive Performance
11. ReBuilder Medical Technologies, Inc. Reports International Sales Expansion
Post Your Comments:
(Date:11/27/2015)... ... 28, 2015 , ... There is only one major question facing all law ... , This question has not been an easy question to answer. Especially when the ... the younger workforce don’t share the same discipline around working long hours. , ...
(Date:11/27/2015)... ... 27, 2015 , ... A team of Swiss doctors has released a report ... has just posted the findings on the website. Click here to read the ... 136 mesothelioma patients who were treated with chemotherapy followed by EPP surgery. Among the ...
(Date:11/27/2015)... CA (PRWEB) , ... November 27, 2015 , ... ... use in Final Cut Pro X. With ProSidebar: Fasion, video editors can easily ... use ProSidebar as a minimalist title opener. Utilize presets featuring self-animating drop zones, ...
(Date:11/27/2015)... ... November 27, 2015 , ... ... Consultants has prided itself for not only fulfilling the needs of advisers and ... at an affordable price and providing top-tier customer service. However, there's always room ...
(Date:11/27/2015)... Francisco, California (PRWEB) , ... November 27, 2015 , ... ... Janis Joplin Ann Arbor Michigan boxing style concert posters. This is one of Joplin's ... at the Canterbury House at the University of Michigan in Ann Arbor. The According ...
Breaking Medicine News(10 mins):
(Date:11/29/2015)... and NUREMBERG, Germany , Nov. 29, ... leader Ziehm Imaging invites attendees to experience the most ... market. The highlight on display is Ziehm Vision RFD ... that provides a 16 cm edge length per scan ... Hybrid Edition, the first fully motorized mobile C-arm in ...
(Date:11/27/2015)... --> --> ... The potential to save costs, improve treatment quality and ... fully exploited as yet. Here, particular emphasis is placed ... mobile tablet or directly at the patients, bedside. ... ) -->      (Photo: ...
(Date:11/26/2015)... India , November 27, ... --> --> ... personal emergency response system (PERS) ... steadily for 5 years with ... region expected to see a ...
Breaking Medicine Technology: