For additional information regarding non-GAAP financial measures and a reconciliation of such measures to the most comparable financial measures under GAAP, please see “Segment Information” above and our Selected Financial Data below. In addition, the information in this press release should be read in conjunction with the corresponding exhibits, financial statements and footnotes contained in our documents to be filed with the Securities and Exchange Commission.
About Xerium Technologies
Xerium Technologies, Inc. (NYSE: XRM) is a leading global manufacturer and supplier of two types of consumable products used primarily in the production of paper-clothing and roll covers. The Company, which operates around the world under a variety of brand names, utilizes a broad portfolio of patented and proprietary technologies to provide customers with tailored solutions and products integral to production, all designed to optimize performance and reduce operational costs. With 31 manufacturing facilities in 14 countries around the world, Xerium has approximately 3,400 employees.
FORWARD-LOOKING STATEMENTSThis press release contains forward-looking statements involving risks and uncertainties, both known and unknown, that may cause actual results to differ materially from those indicated. These risks and uncertainties include the following items: (1) a sustained downturn in the paper industry, compounded by uncertainty in global economic conditions, particularly those stemming from Europe, could adversely affect our revenues and profitability; (2) our financial results could be adversely affected by fluctuations in interest rates and currency exchange rates, for instance a marked decline in the value of the Euro relative to the U.S. Dollar stemming from the European sovereign debt crisis; (3) market improvement in our industry may occur more slowly than we anticipate, may stall or may not occur at all; (4) variations in demand for our products, including our new products, could negatively affect our revenues and profitability; (5) our manufacturing facilities may be required to quickly increase or decrease production, which could negatively affect our production facilities, customer order lead time, product quality, labor relations or gross profits; (6) our plans to develop and market new products, enhance operational efficiencies, and reduce costs may not be successful; and (7) the other risks and uncertainties discussed elsewhere in this press release, our Form 10-K for the year ended December 31, 2011 filed on March 14, 2012 and our other SEC filings. If any of these risks or uncertainties materialize, or if our underlying assumptions prove to be incorrect, actual results may vary significantly from what we projected. Any forward-looking statement in this press release reflects our current views with respect to future events. We assume no obligation to publicly update or revise these forward-looking statements for any reason, whether as a result of new information, future events, or otherwise. As discussed above, we are subject to substantial risks and uncertainties related to current economic conditions, and we encourage investors to refer to our SEC filings for additional information. Copies of these filings are available from the SEC and in the investor relations section of our website at www.xerium.com. Selected Financial Data Follows
Xerium Technologies, Inc.
Condensed Consolidated Statements of Operations and Comprehensive (Loss) Income
(dollars in thousands, except per share data)
|Three Months Ended||Six Months Ended|
|June 30,||June 30,|
|Costs and expenses:|
|Cost of products sold||85,396||92,507||173,317||181,758|
|General and administrative||14,034||16,178||31,860||33,558|
|Research and development||2,869||2,925||5,831||6,013|
|Income from operations||13,880||17,719||16,073||31,474|
|Interest expense, net||(9,120||)||(9,982||)||(18,718||)||(19,836||)|
|Loss on extinguishment of debt||-||(2,926||)||-||(2,926||)|
|Foreign exchange (loss) gain||(180||)||(159||)||360||5|
|Income (loss) before provision for income taxes||4,580||4,652||(2,285||)||8,717|
|Provision for income taxes||(2,354||)||(3,030||)||(3,011||)||(6,447||)|
|Net income (loss)||$||2,226||$||1,622||$||(5,296||)||$||2,270|
|Comprehensive (loss) income||$||(10,232||)||$||7,529||$||(13,710||)||$||13,922|
|Net income (loss) per share:|
|Shares used in computing net income (loss) per share:|
|Condensed Consolidated Selected Financial Data|
|Cash Flow data:||Six Months Ended|
|Net cash provided by operating activities||$||13,796||$||6,761|
|Net cash (used in) provided by investing activities||(6,349||)||3,602|
|Net cash used in financing activities||(16,637||)||(16,881||)|
|Other financial data:|
|Depreciation and amortization||$||20,346||$||22,070|
|Balance sheet data:||June 30,||December 31,|
|Cash and cash equivalents||$||33,596||$||43,566|
|Total stockholders' deficit||(15,493||)||(2,305||)|
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