Adjusted EBITDA increased to $17.4 million, or 20%, compared with $14.5 million in fiscal 2011. Net income for the three quarters ended May 26, 2012 totaled $4.4 million ($.24 per diluted share) compared with $1.8 million ($.11 per diluted share) on the strength of improved pretax income and a lower effective income tax rate.
Cash flows from operating activities for the three quarters ended May 26, 2012 increased to $8.7 million compared with $6.2 million in the first three quarters of the prior year.
At May 26, 2012, the Company had $6.5 million in cash and cash equivalents, compared with $3.0 million at August 31, 2011. Net working capital increased to $26.3 million at May 26, 2012 compared with $16.7 million on August 31, 2011 and the Company had no borrowings on its revolving line of credit facility at May 26, 2012.
Common Share Repurchase PlanDuring the quarter ended May 26, 2012, the Company’s Board of Directors approved a plan to purchase up to $10.0 million of the Company’s outstanding common stock. The Company intends to use available cash exceeding $10.0 million to make the purchases. All previously existing common stock repurchase plans were canceled and the new common share repurchase plan does not have an expiration date. Revolving Line of Credit Renewal On June 15, 2012, the Company modified its revolving line of credit agreement with its existing lender. The revolving line of credit facility now expires on March 31, 2015 and continues to provide $10.0 million of cash availability that may be used for general corporate purposes. The Company wanted to ensure the availability of its line of credit facility over the next three years so that it can use excess cash to pursue special initiatives, such as the repurchase of shares of our common stock, and for other growth opportunities.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV