<PAGE>
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 10-QSB
(Mark one)
(X) Quarterly Report Under Section 13 or 15 (d) of the Securities Exchange
Act of 1934 For the quarterly period ended September 30, 1995
( ) Transition Report under Section 13 or 15 (d) of the Exchange
Act for the transition period from ________ to _________
For Quarter Ended September 30, 1995
Commission File No. 0-10696
LogiMetrics, Inc.
A Delaware Corporation I.R.S. Employer Identification
11-2171701
121-03 Dupont Street, Plainview, New York 11803
(516) 349-1700
Indicate by check mark whether the registrant (1) has filed all reports requred
to be filed by Section 13 or 15 (d) of the Securities Exchange Act of 1934
during the preceding 12 months (or for such shorter period that the registrant
was required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days. Yes X No ___
Common Stock Issued and Outstanding as of September 30, 1995
Class A., $.10 par value - 2,860,602
<PAGE>
PART I - FINANCIAL INFORMATION
Item I: Consolidated Financial Statements
LOGIMETRICS, INC. AND SUBSIDIARY
CONSOLIDATED BALANCE SHEET
SEPTEMBER 30, 1995
ASSETS
CURRENT ASSETS:
Cash $ 5,055
Accounts receivable, less allowance
for doubtful accounts of $4,280 1,274,028
Cost and estimated earnings in excess of
billings on uncompleted contracts (Note 2) 4,235,455
Inventories (Note 3) 2,056,961
Prepaid expenses and other current assets 103,857
----------
Total current assets 7,675,356
EQUIPMENT AND FIXTURES 374,283
OTHER ASSETS 44,154
----------
$8,093,793
==========
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable and accrued expenses $2,252,458
Loans from stockholders 60,000
Current portion of long-term debt 120,626
Income tax payable - current 25,000
- deferred 299,000
----------
Total current liabilities 2,757,084
----------
LONG-TERM DEBT 2,586,638
----------
STOCKHOLDERS' EQUITY (Note 4)
Common Stock:
Class A, $.10 par value: authorized,
6,000,002 shares; issued and
outstanding, 2,860,602 286,062
Additional paid-in capital 1,991,209
Retained Earnings 650,750
----------
2,928,021
Less: Stock subscriptions receivable (177,950)
----------
2,750,071
----------
$8,093,793
==========
See Notes to Consolidated Financial Statements
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LOGIMETRICS, INC.AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF EARNINGS AND RETAINED EARNING
Three Months Ended September 30
1995 1994
---- ----
REVENUES:
Net sales $2,302,804 $1,816,547
---------- ----------
COSTS AND EXPENSES:
Costs of sales 1,742,303 1,295,289
Selling, general and administrative 403,784 387,193
Interest expense 82,362 66,206
---------- ----------
2,228,449 1,748,688
---------- ----------
EARNINGS BEFORE PROVISION FOR INCOME TAX 74,355 67,859
PROVISION FOR INCOME TAXES 25,000 27,000
---------- ----------
NET EARNINGS 49,355 40,859
RETAINED EARNINGS
BEGINNING OF PERIOD 601,395 443,618
---------- ----------
RETAINED EARNINGS
END OF PERIOD $ 650,750 $ 484,477
========== ==========
EARNINGS PER COMMON AND COMMON
EQUIVALENT SHARES (NOTE 5) $ .02 $ .02
========== ==========
AVERAGE COMMON AND COMMON EQUIVALENT
SHARES OUTSTANDING 2,860,602 2,280,602
========== ==========
See Notes to Consolidated Financial Statements
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<PAGE>
LOGIMETRICS, INC AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF CASH FLOWS
Three Months Ended September 30,
1995 1994
---- ----
CASH FLOWS FROM OPERATING ACTIVITIES:
Net earnings $ 49,355 $ 40,859
--------- ---------
Adjustments to reconcile net earnings
to net cash used in operating activities:
Depreciation and amortization 22,745 23,369
Changes in operating assets and
liabilities:
(Increase) decrease in assets:
Accounts receivable 752,018 317,259
Costs and estimated earnings in excess
of billings on uncompleted contracts (876,472) (308,937)
Inventories 11,367 (9,457)
Prepaid expenses and other current assets (44,721) (16,296)
Other assets 0 (13,817)
Increase (decrease) in liabilities:
Accounts payable and accrued expenses 28,998 (389,013)
Income tax payable - current 25,000 27,000
--------- ---------
Total adjustments (81,065) (369,892)
--------- ---------
Net cash (used in) operating activities (31,710) (329,033)
--------- ---------
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures (15,364) (2,275)
--------- ---------
Net cash (used in) investing activities (15,364) (2,275)
--------- ---------
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds of financing 342,000 300,000
Repayment of debt (330,729) (30,729)
--------- ---------
Net cash provided by financing activities 11,271 269,271
--------- ---------
NET DECREASE IN CASH (35,803) (62,037)
CASH, beginning of period 40,858 80,082
--------- ---------
CASH, end of period $ 5,055 $ 18,045
========= =========
See Notes to Consolidated Financial Statements
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<PAGE>
LOGIMETRICS, INC. AND SUBSIDIARY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
1. Financial Statements
The accompanying consolidated financial statements include the
accounts of LogiMetrics, Inc. and its wholly owned subsidiary (collectively
called the "Company"). All intercompany balances and transaction have been
eliminated.
The balance sheet as of September 30, 1995, the statement of
earnings and retained earnings for the three month periods ended September 30,
1995 and 1994, and the statement of cash flows for the three month periods then
ended have been prepared by the Registrant without audit. The financial
statements of the Registrant included herein have been prepared by the
Registrant pursuant to the rules and regulations of the Securities and Exchange
Commission and, in the opinion of management, reflect all adjustments which are
necessary to present fairly the results for the period ended September 30, 1995.
Certain information and footnote disclosures normally included
in financial statements prepared in accordance with generally accepted
accounting principles have been omitted. It is suggested that these financial
statements be read in conjunction with the financial statements and notes
thereto included in the Registrant's June 30, 1995 annual report on form 10-KSB.
The results of operations for the period ended September 30, 1995 are not
necessarily indicative of the operating results for the full year.
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<PAGE>
LOGIMETRICS, INC. AND SUBSIDIARY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS CONTINUED
2. Costs and Estimated Earnings in Excess of Billings on Uncompleted
Contracts:
Costs and estimated earnings in excess of billings on uncompleted
contracts consist of the following at September 30, 1995:
Costs and estimated earnings $5,793,271
Less progress billings 1,557,816
----------
$4,235,455
==========
3. Inventories
Inventories consists of the following at September 30, 1995:
Raw material and components $1,713,961
Work-in-process 58,000
Finished goods 285,000
----------
$2,056,961
==========
4. Stockholder's Equity
In August 1995, all Class B common stock (250,000 shares) were
converted to Class A common stock. As a result of this conversion, the number of
Class A shares issued and outstanding increased by 250,000 shares to 2,860,602
shares.
5. Earnings Per Share
Earnings per common share were computed by dividing net earnings by the
weighted average number of shares of Class A and Class B common stock
outstanding during the period. Equivalent shares resulting from the assumed
exercise of options and warrants have been excluded from the calculation as
their effect is anti-dilutive.
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<PAGE>
LOGIMETRICS, INC. AND SUBSIDIARY
Item 2: Management's Discussion and Analysis of Financial Condition and
Results of Operations:
Liquidity and capital resources
The Registrant had working capital of $4,837,748 at September 30, 1995
as compared to $4,918,272 at June 30, 1995. The backlog of unfilled orders for
the Company's products was $6,628,791 at September 30, 1995 as compared to
$6,625,089 on uncompleted contracts (see note 2).
The Company at the present time has completed negotiations with its
bank regarding its financial agreements. Its accommodation provides the Company
with a revolving note of $2,200,000 and the remainder under a 60 month term note
for $500,000. An aggregate of $2,377,799 was outstanding at September 30, 1995.
The revolving loan bears interest at 2.5% above the prime rate; the term note
carries interest at 1.5% above the prime rate. The prime rate at September 30,
1995 was 8.75%. The agreements prohibit the payment of dividends.
In July 1995, the Company completed a private offering of 15 Units at a
price of $20,800 per Unit. Each Unit consists of one $20,000 Convertible
Subordinated Debenture and one Series A Warrant. The Debentures, bearing
interest at 12% per annum, are payable on July 14, 1997 and are subordinated to
the Company's bank debt and capital lease obligations.
The consolidated statement of cash flows for the three months ended
September 30, 1995 reflects cash used in operations of approximately $32,000.
Net cash provided by financing activities, representing borrowing less
repayments, approximately $11,000.
Results of Operations
Net sales for the three months ended September 30, 1995 were 27% higher
than the corresponding period in the prior year. While sales are expected to
increase this fiscal year, the increase is not expected to be at the same rate
as this past quarter. The Company's overall gross profit percentage was 24.3%
and 29.3% for the three months ended September 30, 1995 and 1994, respectively.
Selling, general, and administrative expenses for the three month
period ended September 30, 1995 decreased approximately 4% (as a percentage of
sales) as compared to the comparable period of the prior year. This level of
expenditure reflects management's continuing efforts towards cost reduction and
profitability.
Interest expense increased from 1994 to 1995, reflecting increased
borrowing and higher interest rates.
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<PAGE>
LOGIMETRICS, INC. AND SUBSIDIARY
Item 5: Other Matters
On August 31, 1995, Alfred Mendelsohn and Mark Fisher were elected to
the Board of Directors bringing the total number of directors to five.
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<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
LOGIMETRICS, INC
Date: 13 November 1995 By: /s/ Murray H. Feigenbaum
-------------------------------
Murray H. Feigenbaum,
President
Date: November 13, 1995 By: /s/ Jerome Deutsch
-------------------------------
Jerome Deutsch
Executive Vice President
and Principal Financial Officer
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<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> JUN-30-1996
<PERIOD-END> SEP-30-1995
<CASH> 5,055
<SECURITIES> 0
<RECEIVABLES> 1,278,308
<ALLOWANCES> 4,280
<INVENTORY> 2,056,961
<CURRENT-ASSETS> 7,675,356
<PP&E> 103,857
<DEPRECIATION> 22,745
<TOTAL-ASSETS> 8,093,793
<CURRENT-LIABILITIES> 2,757,084
<BONDS> 0
<COMMON> 286,062
0
0
<OTHER-SE> 2,464,009
<TOTAL-LIABILITY-AND-EQUITY> 8,093,793
<SALES> 2,302,804
<TOTAL-REVENUES> 2,302,804
<CGS> 1,742,303
<TOTAL-COSTS> 403,784
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 82,362
<INCOME-PRETAX> 74,355
<INCOME-TAX> 25,000
<INCOME-CONTINUING> 49,355
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 49,355
<EPS-PRIMARY> .02
<EPS-DILUTED> .02
</TABLE>
