Standard Register (NYSE: SR) today announced its financial results for the first quarter 2012. The Company reported revenue of $157.6 million and a net loss of $5.1 million, or $0.18 per share. The results compare to prior year revenue of $164.9 million and net income of $0.4 million, or $0.01 per diluted share. Non-GAAP net income, adjusted for pension loss amortization, pension settlement, restructuring, and deferred tax valuation allowances was $1.9 million, or $0.06 per share, for the first quarter of 2012 as compared to non-GAAP net income of $4.1 million, or $0.14 per diluted share for the same period in 2011.
“We saw significant positive activity in the first quarter of 2012 as Healthcare, Financial Services and Commercial Markets business units grew Core solutions during the period. Combined with the on-schedule implementation of our restructuring plan, this gives us good momentum. While revenue was down overall from the year-ago quarter, we have a strong current ratio of 1.9, adequate liquidity for operations and expect to end 2012 with positive cash flow of at least $5 million,” said Joseph P. Morgan, Jr., president and chief executive officer.
Morgan continued, “We continue to make the necessary investments to transform Standard Register into a provider of solutions that enable our customers to align their brand communications with their corporate priorities and standards. We are seeing our portfolio evolve and winning new business that demonstrates good progress.”
Total revenues declined 4 percent to $157.6 million in the first quarter versus $164.9 million in the prior year. Core priority growth solutions revenues grew 3 percent during the quarter whereas Legacy products, such as business forms and transactional labels, across all business units declined by 9 percent.
Healthcare revenue declined 6 percent to $57.0 million in the first quarter compared to $60.7 million in the prior year. Core solutions grew by 5 percent driven by the acquisition of 100 percent of the ownership interests in iMedConsent, LLC (dba Dialog Medical), which the Company completed in the third quarter 2011, as well as new business and organic growth in patient communications and patient identification and safety solutions. Healthcare technology solutions sales grew 15 percent in the quarter. Legacy products, primarily clinical documents and administrative forms sales declined 12 percent as customers advanced implementation of Electronic Medical Records (EMR) initiatives.