SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
Form 10-Q
(X) QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
OR
( ) TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For Quarter Ended June 2, 1995
Commission File Number: 0-45
SHELDAHL, INC.
(exact name of registrant as specified in its charter)
Minnesota 41-0758073
____________________________________________________________________
(State or other jurisdiction of(IRS Employer Identification
incorporation or organization) Number)
Northfield, Minnesota 55057
____________________________________________________________________
(Address of principal executive offices) (zip code)
Registrant's telephone number, including area code: (507) 663-8000
As of June 2, 1995, 6,760,170 shares of the Registrant's common
stock were outstanding.
Indicate by check mark whether the registrant (1) has filed all
reports required 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
<PAGE>
PART I: FINANCIAL INFORMATION
SHELDAHL, INC. AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF OPERATIONS
Unaudited
Nine Months Ended
June 2, May 27,
(in thousands, except per share data) 1995 1994
________________________
Net sales $68,251 $65,810
Cost of sales 54,278 51,583
______ ______
Gross profit 13,973 14,227
______ ______
Expenses:
Sales and marketing 6,877 5,877
General and administrative 2,810 3,220
Research and development 1,821 1,916
Interest 496 843
______ ______
Total expenses 12,004 11,856
______ ______
Income from continuing operations before
provision for income taxes and
cumulative effect of change in
methods of accounting 1,969 2,371
Provision for income taxes 535 600
______ ______
Income from continuing operations
before cumulative effect of
change in methods of accounting 1,434 1,771
Cumulative effect of change in method of
accounting for income taxes - 1,422
Cumulative effect of change in method of
accounting for postretirement benefits - (875)
Loss from discontinued operation,
net of tax benefits of $175 - (525)
______ ______
Net income $ 1,434 $ 1,793
==== ====
Per share amounts:
Continuing operations $0.21 $0.34
Accounting change - income taxes - 0.28
Accounting change - postretirement
benefits - (0.17)
Discontinued operation - (0.10)
______ ______
Net income per share $0.21 $0.35
==== ====
Weighted average common shares and
common share equivalents outstanding 6,898 5,118
==== ====
<PAGE>
SHELDAHL, INC. AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF OPERATIONS
Unaudited
Three Months Ended
June 2, May 27,
(in thousands, except per share data) 1995 1994
_____________________
Net sales $25,203 $23,902
Cost of sales 19,667 18,451
______ ______
Gross profit 5,536 5,451
______ ______
Expenses:
Sales and marketing 2,322 2,124
General and administrative 1,073 1,137
Research and development 712 566
Interest 349 383
______ ______
Total expenses 4,456 4,210
______ ______
Income from continuing operations
before provision for income taxes 1,080 1,241
Provision for income taxes 300 311
______ ______
Income from continuing operations 780 930
Loss from discontinued operation,
net of tax benefits of $175 - (525)
______ ______
Net income $ 780 $ 405
==== ====
Net income (loss) per share:
Continuing operations $0.11 $0.18
Discontinued operation - (.10)
______ ______
Net income per share $0.11 $0.08
==== ====
Weighted average common shares and
common share equivalents
outstanding 6,936 5,167
==== ====
<PAGE>
SHELDAHL, INC. AND SUBSIDIARY
CONSOLIDATED BALANCE SHEETS
ASSETS
(in thousands) June 2, September 2,
1995 1994
(Unaudited)
_______________________
Current assets:
Cash $ 1,000 $ 2,008
Accounts receivable, net 15,754 14,463
Inventories 12,925 10,568
Prepaid expenses and other
current assets 900 478
Deferred tax benefits 1,600 1,429
______ ______
Total current assets 32,179 28,946
______ ______
Plant and equipment, at cost 92,572 68,101
Less: accumulated depreciation 40,199 37,832
______ ______
Net plant and equipment 52,373 30,269
______ ______
Other assets 1,651 924
Deferred tax benefit - 181
______ ______
$86,203 $60,320
==== ====
LIABILITIES AND SHAREHOLDERS' INVESTMENT
Current liabilities:
Current maturities of long-term
debt 2,636 2,021
Accounts payable 7,779 6,589
Accrued salaries and commissions 1,257 1,324
Other accrued liabilities 1,982 2,431
Reserve for discontinued operation 416 489
Income taxes payable 152 150
______ ______
Total current liabilities 14,222 13,004
______ ______
Long-term debt 29,828 7,963
______ ______
Other non-current liabilities 2,791 2,871
______ ______
Deferred income taxes 315 -
______ ______
Shareholders' investment:
Common stock 1,687 1,648
Additional paid-in capital 22,127 21,035
Retained earnings 15,233 13,799
______ ______
Total shareholders' investment 39,047 36,482
______ ______
$86,203 $60,320
==== ====
<PAGE>
SHELDAHL, INC. AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF CASH FLOWS
Unaudited
Nine Months Ended
(in thousands) June 2, May 27,
1995 1994
____________________
Operating activities:
Net income $ 1,434 $ 1,793
Adjustments to reconcile net income
to net cash provided by operating
activities:
Depreciation and amortization 3,155 3,008
Deferred income taxes 325 158
Cumulative effect of accounting
changes - (547)
Loss from discontinued operation - 525
Net change in other operating
activities:
Accounts receivable (1,291) (2,266)
Inventories (2,357) (550)
Prepaid expenses and other
current assets (422) (56)
Other assets (727) (52)
Accounts payable and accrued
liabilities 674 482
Income taxes payable 2 304
Other non-current liabilities (80) (77)
______ ______
Net cash provided by operating
activities 713 2,722
______ ______
Investing activities:
Capital expenditures, net (25,259) (7,936)
Net cash flows used in
discontinued operation (73) (530)
______ ______
Net cash used in investing
activities (25,332) (8,466)
______ ______
Financing activities:
Borrowings under credit facilities,
net 22,495 7,760
Proceeds from issuance of long-term
debt - 1,665
Repayments of long-term debt (15) (3,518)
Issuance of common stock 1,131 142
______ ______
Net cash provided by financing
activities 23,611 6,049
______ ______
Increase(decrease) in cash (1,008) 305
Cash at beginning of period 2,008 442
______ ______
Cash at end of period $ 1,000 $ 747
==== ====
Supplemental cash flow information:
Income taxes paid $ 113 $ 55
==== ====
Interest paid $ 1,346 $ 890
==== ====
<PAGE>
SHELDAHL, INC. AND SUBSIDIARY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Unaudited
These condensed and unaudited financial statements have been
prepared by the Company pursuant to the rules and regulations of the
Securities and Exchange Commission. In the opinion of management,
these condensed financial statements reflect all adjustments, of a
normal and recurring nature, necessary for a fair statement of the
interim periods, on a basis consistent with the annual audited
statements. Certain information, accounting policies and footnote
disclosures normally included in financial statements prepared in
accordance with generally accepted accounting principles have been
condensed or omitted pursuant to such rules and regulations.
Although these disclosures should be considered adequate, the
Company suggests that these condensed financial statements be read
in conjunction with the financial statements and summary of
significant accounting policies and notes thereto included in the
Company's latest annual report on Form 10-K.
1) Inventories
Inventories, which are valued at the lower of last-in first-out
cost or market, consist of (in thousands):
June 2, 1995 September 2, 1994
Raw materials $ 5,113 $ 4,403
Work-in-process 6,335 5,245
Finished goods 2,392 1,835
LIFO reserve (915) (915)
______ ______
$12,925 $10,568
==== ====
2) Post Retirement Benefits
In December 1990, the Financial Accounting Standard Board
issued Statement of Financial Accounting Standards No. 106,
"Employers' Accounting for Postretirement Benefits Other than
Pensions" (SFAS No. 106). SFAS No. 106 requires that the
expected cost of these benefits be charged to expense during
the years that the employees render service. The Company
adopted SFAS No. 106 on August 28, 1993, and recorded a one-
time charge of $875,000, net of income tax benefits of
$525,000, in the accompanying 1994 statement of operations.
3) Income Taxes
Effective August 28, 1993, the Company adopted Statement of
Financial Accounting Standards No. 109, "Accounting for Income
Taxes" (SFAS No. 109), under which deferred income tax assets
and liabilities are recognized for the differences between
financial and income tax reporting basis of assets and
liabilities based on enacted tax rates and laws. The Company
recorded a $1,422,000 increase to net income in 1994 to reflect
the adoption of SFAS No. 109.
4) Debt and Financing
During the third quarter of fiscal 1995, the Company entered
into a $5,000,000 construction loan agreement with a bank.
Upon completion and acceptance of the construction project,
which will take place on or before December 31, 1995, the
Company will obtain permanent financing. The permanent
financing will consist of a $5,700,000 loan with a seven-year
term. Monthly payments will be determined by a twenty-year
amortization schedule with interest based on seven-year
treasury notes plus 2.25%.
During the second quarter of fiscal 1995, the Company amended
its credit agreement with three banks. The agreement consists
of a $15 million revolving note based on, and secured by, the
Company's inventories and accounts receivable, and a $20
million term note collateralized by equipment. As of June 2,
1995, $11,000,000 was borrowed under the revolving note
agreement leaving an additional $4,000,000 available for the
Company's use. The Company had an outstanding balance of
$17,240,000 at June 2, 1995, under the term note. The Company
may borrow an additional $2,760,000 to fund future capital
expenditures under this term note. The term note calls for
quarterly payments commencing January 1, 1996. The amount of
the payment will be based on the balance outstanding at that
time. The credit agreement expires December 31, 1997, but also
contains an option to allow the Company to extend the agreement
to December 31, 1999. Interest accrues at prime plus up to
2.5%, based on the Company's net worth, as defined. Commitment
fees are charged at 0.5% on the revolver notes unused portion.
The interest rate as of June 2, 1995, was 10.0% for the
revolving note and 10.5% for the term note.
5) Consortium for the Development of Multi-Chip Module Laminates
(MCM-L)
On January 10, 1994, the Company entered into a Consortium
Agreement sponsored by the Advanced Projects Research Agency
(ARPA), a United States Government Agency. The purpose of the
Consortium is to accelerate the development and
commercialization of the multi-chip module laminate (MCM-L).
As a Consortium member, the Company expects to receive
approximately $9 million in funding through January 1996 from
ARPA to further test, design and develop the manufacturing
processes for the Company's NOVACLAD and Z-LINK products which
are to be used in constructing MCM-L. During the three and
nine months ended June 2, 1995, the Company incurred $1,050,000
and $4,116,000, respectively, in manufacturing, selling,
research and development and administrative costs that were
refunded by ARPA. To date, the Company has received a total of
$7,591,000 of funding through the Consortium. The remaining
expenses to be reimbursed by the ARPA Consortium are expected
to be $1,070,000.
<PAGE>
SHELDAHL, INC. AND SUBSIDIARY
MANAGEMENT'S DISCUSSION AND ANALYSIS OF
CONSOLIDATED OPERATING RESULTS AND FINANCIAL CONDITION
Nine Months Ended June 2, 1995 and May 27, 1994
Net sales increased $2,441,000 or 3.7% from $65,810,000 for the nine
months ended May 27, 1994, to $68,251,000 for the nine months ended
June 2, 1995. Automotive market product sales increased $1,078,000
or 3.0% from $35,384,000 for the nine months ended May 27, 1994, to
$36,462,000 for the nine months ended June 2, 1995. Sales of
automotive interconnect systems increased $554,000 or 1.8% from
$30,773,000 for the nine months ended May 27, 1994, to $31,327,000
for the nine months ended June 2, 1995. The continued increase is
the result of the Company's on going design and sales efforts to
major automotive customers. Sales of flexible materials for
automotive products increased $524,000 or 11.4% from $4,611,000 for
the nine months ended May 27, 1994, to $5,135,000 for the nine
months ended June 2, 1995. The continued growth in the automotive
airbag market resulted in the increased sales.
Datacommunications market sales declined $897,000 or 6.7% from
$13,314,000 for the nine months ended May 27, 1994, to $12,417,000
for the nine months ended June 2, 1995. Sales to the
datacommunications interconnect market decreased $2,546,000 or 21.5%
from $11,852,000 for the nine months ended May 27, 1994, to
$9,306,000 for the nine months ended June 2, 1995. Sales in the
first quarter of fiscal 1994 included the completion of the laptop
computer application project; no comparable application was produced
in fiscal 1995. Sales to the datacommunications materials market
increased $1,649,000 or 112.8% from $1,462,000 for the nine months
ended May 27, 1994, to $3,111,000 for the nine months ended June 2,
1995. The rise was caused by increased customer demand of flat
cable tape.
Aerospace/defense market sales increased $690,000 or 8.8% from
$7,808,000 for the nine months ended May 27, 1994, to $8,498,000 for
the nine months ended June 2, 1995. Consumer market sales increased
$1,224,000 or 36.2% from $3,382,000 for the nine months ended May
27, 1995, to $4,606,000 for the nine months ended June 2, 1995.
Increase in market demand for consumer interconnect products
resulted in the rise. Industrial market sales increased $346,000 or
5.8% from $5,922,000 for the nine months ended May 27, 1994, to
$6,268,000 for the nine months ended June 2, 1995.
Gross profit decreased $254,000 or 1.8% from $14,227,000 for the
nine months ended May 27, 1995, to $13,973,000 for the nine months
ended June 2, 1995. Gross profit as a percentage of sales decreased
to 20.5% compared with 21.6% for the same period in fiscal 1994.
Costs associated with the start up of new products, primarily during
the second quarter of fiscal 1995, contributed to the decrease.
Total operating expenses increased $148,000 or 1.2% from $11,856,000
for the nine months ended May 27, 1995, to $12,004,000 for the nine
months ended June 2, 1995. As a percentage of sales, expenses were
18.0% for the nine months ended May 27, 1994, and 17.6% for the nine
months ended June 2, 1995, respectively.
Sales and marketing expense increased $1,000,000 or 17.0% from
$5,877,000 for the nine months ended May 27, 1994, to $6,877,000 for
the nine months ended June 2, 1995. Sales and marketing expense, as
a percent of sales, increased to 10.1% for the nine months ended
June 2, 1995, compared with 8.9% for the same period in fiscal 1994.
The rise in sales and marketing expenses was the result of increased
costs related to the promotion of new business and products.
Net general and administrative expenses decreased $410,000 or 12.7%
from $3,220,000 for the nine months ended May 27, 1994, to
$2,810,000 for the nine months ended June 2, 1995. Gross general
and administrative expenses increased $23,000 or 0.7% from
$3,396,000 for the nine months ended May 27, 1994, to $3,419,000 for
the nine months ended June 2, 1995. During the first nine months of
fiscal 1995, $609,000 of ARPA credits were applied to general and
administrative costs, decreasing gross expenses. See Note 5 of the
accompanying financial statements for additional information
regarding ARPA.
Net research and development expenses decreased $95,000 or 5.0% from
$1,916,000 for the nine months ended May 27, 1994, to $1,821,000 for
the nine months ended June 2, 1995. Gross research and development
costs decreased $183,000 or 7.7% from $2,369,000 for the nine months
ended May 27, 1994, to $2,186,000 for the nine months ended June 2,
1995. The decrease was influenced by reduced research and
development material costs on the Novaflex process development is
nearing completion. During the first nine months of fiscal 1995,
$365,000 of ARPA credits were applied to research and development
costs, thus decreasing expenses. See Note 5 of the accompanying
financial statements for additional information regarding ARPA.
Net interest expense decreased $347,000 or 41.2% from $843,000 for
the nine months ended May 27, 1994, to $496,000 for the nine months
ended June 2, 1995. Interest costs capitalized to projects
contributed to this decrease. Capitalized interest increased
$550,000 or 210.7% from $261,000 for the nine months ended May 27,
1994, to $811,000 for the nine months ended June 2, 1995. This was
due to the $25,000,000 increase in capital construction projects
currently in process.
Income before taxes declined $402,000 or 17.0% from $2,371,000 for
the nine months ended May 27, 1994, to $1,969,000 for the nine
months ended June 2, 1995. Lower margins and higher marketing
expenses contributed to the decrease. The effective tax rate for
fiscal 1995 is estimated to be 27% as compared to 25% for 1994.
Income from continuing operations for the nine months ended June 2,
1995, was $1,434,000, a decrease of $337,000 or 19.0% as compared to
$1,771,000 for the nine months ended May 27, 1994. Earnings per
share from continuing operations before accounting changes for the
nine months ended June 2, 1995, were $0.21 per share compared with
$0.35 per share for the nine months ended May 27, 1994. Average
shares outstanding increased from approximately 5,118,000 in fiscal
1994 to approximately 6,898,000 in fiscal 1995 primarily due to the
secondary public offering in June 1994.
<PAGE>
SHELDAHL, INC. AND SUBSIDIARY
MANAGEMENT'S DISCUSSION AND ANALYSIS OF
CONSOLIDATED OPERATING RESULTS AND FINANCIAL CONDITION
Three Months Ended June 2, 1995 and May 27, 1994
Net sales increased $1,301,000 or 5.4% from $23,902,000 for the
three months ended May 27, 1994, to $25,203,000 for the three months
ended June 2, 1995. Sales to the automotive market decreased
$611,000 or 4.8% from $12,733,000 for the three months ended May 27,
1994 to $12,122,000 for the three months ended June 2, 1995.
Automotive market sales declined as a result of decreased production
orders and slow ramp-up of the new interconnect application. Sales
to the datacom market increased $1,038,000 or 23.4% from $4,438,000
for the three months ended May 27, 1994, to $5,476,000 for the three
months ended June 2, 1995. Datacom sales increased primarily in the
materials area by customer demand for flat cable tape.
Aerospace/defense market sales increased $398,000 or 13.8% from
$2,891,000 for the three months ended May 27, 1994, to $3,289,000
for the three months ended June 2, 1995. Consumer market sales
increased $198,000 or 11.5% from $1,719,000 for the three months
ended May 27, 1994, to $1,917,000 for the three months ended June 2,
1995. Industrial market sales increased $278,000 or 13.1% from
$2,121,000 for the three months ended May 27, 1994, to $2,399,000
for the three months ended June 2, 1995. Increased customer demand
contributed to the rise in consumer and industrial sales.
Gross profit increased $85,000 or 1.6% from $5,451,000 for the three
months ended May 27, 1994, to $5,536,000 for the three months ended
June 2, 1995. Gross profit, as a percentage of net sales decreased
to 22.0% from 22.8% for the same period of fiscal 1994.
Total operating expenses increased $246,000 or 5.8% from $4,210,000
for the three months ended May 27, 1994, to $4,456,000 for the three
months ended June 2, 1995. As a percentage of net sales, expenses
were 17.6% for the three months ended May 27, 1994, and 17.7% for
the three months ended June 2, 1995.
Sales and marketing expenses increased $198,000 or 9.3% from
$2,124,000 for the three months ended May 27, 1994, to $2,322,000
for the three months ended June 2, 1995. Higher labor costs,
product advertising, shows and exhibits and travel costs incurred to
promote new products contributed to the increase.
Net general and administrative expenses decreased $64,000 or 5.6%
from $1,137,000 for the three months ended May 27, 1994, to
$1,073,000 for the three months ended June 2, 1995. Gross general
and administrative expenses decreased $33,000 or 2.6% from
$1,261,000 for the three months ended May 27, 1994, to $1,228,000
for the three months ended June 2, 1995. Lower consulting and
professional fees contributed to the decline. For the three months
ended June 2, 1995, $155,000 of ARPA credits were applied to general
and administrative costs. See Note 5 of the accompanying financial
statements for additional information regarding ARPA.
Net research and development expenses increased $146,000 or 25.8%
from $566,000 for the three months ended May 27, 1994, to $712,000
for the three months ended June 2, 1995. Gross research and
development costs were $840,000 for both the three months ended May
27, 1994 and June 2, 1995. ARPA credits applied to research and
development costs were the cause of net research and development
expense increase. For the three months ended June 2, 1995, $128,000
of ARPA credits were applied to research and development costs. See
Note 5 of the accompanying financial statements for additional
information regarding ARPA.
Net interest expense decreased $34,000 or 8.9% from $383,000 for the
three months ended May 27, 1994, to $349,000 for the three months
ended June 2, 1995, while total interest cost of borrowings
increased $204,000 or 42.4% from $481,000 for the three months ended
May 27, 1994, to $685,000 for the three months ended June 2, 1995.
Capitalized interest increased $237,000 or 241.8% from $98,000 for
the three months ended May 27, 1994, to $335,000 for the three
months ended June 2, 1995, because of the $25,000,000 increase in
capital projects in progress.
Income before taxes decreased $161,000 or 13.0% from $1,241,000 for
the three months ended May 27, 1994, to $1,080,000 for the three
months ended June 2, 1995. The decrease was due primarily to the
increase in sales and marketing and research and development
expenses.
For the quarter, income taxes have been provided at an estimated
annual rate of 27%. Net income from continuing operations for the
three months ended June 2, 1995, was $780,000, a decrease of
$150,000 or 16.1% as compared to $930,000 for the three months ended
May 27, 1994. Earnings per share from continuing operations for the
three months ended June 2, 1995, was $0.11 per share for the three
months ended June 2, 1995, and $0.18 per share for the three months
ended May 27, 1994. The decline in earnings per share was a result
of lower quarterly earnings and increased shares outstanding.
On May 27, 1994, the Company sold its idle Nashua facility for an
amount less than the recorded value. In addition, the Company has
revised its estimate of the costs it will incur related to the
abandonment of leased facilities in Orange County, California.
Accordingly, the 1994 statement of operations reflect a charge of
$525,000, net of income tax benefits of $175,000, to reserve for the
losses related to these events.
<PAGE>
FINANCIAL CONDITION
At June 2, 1995, working capital increased, reflecting a 2.3 to 1
current ratio compared to 2.2 to 1 at September 2, 1994.
For the nine months ended June 2, 1995, the Company has invested
$25,269,000 in capital expenditures and expects to continue capital
investment at a similar rate during the last quarter of fiscal 1995.
Capital expenditures will principally be funded from cash flows from
operations plus existing debt capacity. The Company also expects to
finance certain capital expenditures through operating leases.
<PAGE>
PART II - OTHER INFORMATION
SHELDAHL, INC. AND SUBSIDIARY
FORM 10-Q
Item 6. Exhibits and Reports on Form 8-K
A) Exhibits
11 Statement Regarding Computation of Earnings Per
Share.
27 Financial Data Schedule
B) Reports on Form 8-K
No reports on Form 8-K were filed by the Registrant
during the quarter ended June 2, 1995.
<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.
SHELDAHL, INC.
(Registrant)
Dated: June 30, 1995 By: /s/James E. Donaghy
President and
Chief Executive Officer
Dated: June 30, 1995 By: /s/John V. McManus
Vice President, Finance
<PAGE>
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACETED FROM
THE JUNE 2, 1995 FINANCIAL STATMENTS AND IS QUALIFIED IN ITS ENTIRETY
BY REFERENCE TO SUCH FINANCIAL STATMENTS.
</LEGEND>
<MULTIPLIER> 1000
<S> <C> <C>
<PERIOD-TYPE> 9-MOS 3-MOS
<FISCAL-YEAR-END> SEP-02-1995 SEP-02-1995
<PERIOD-END> JUN-02-1995 JUN-02-1995
<CASH> 1000 1000
<SECURITIES> 0 0
<RECEIVABLES> 15754 15754
<ALLOWANCES> 0 0
<INVENTORY> 12925 12925
<CURRENT-ASSETS> 32179 32179
<PP&E> 92575 92572
<DEPRECIATION> 40199 40199
<TOTAL-ASSETS> 86203 86203
<CURRENT-LIABILITIES> 14222 14222
<BONDS> 0 0
<COMMON> 1678 1678
0 0
0 0
<OTHER-SE> 22127 22127
<TOTAL-LIABILITY-AND-EQUITY> 86203 86203
<SALES> 68251 25203
<TOTAL-REVENUES> 68251 25203
<CGS> 54278 19667
<TOTAL-COSTS> 12500 4107
<OTHER-EXPENSES> 0 0
<LOSS-PROVISION> 0 0
<INTEREST-EXPENSE> 496 349
<INCOME-PRETAX> 1969 1080
<INCOME-TAX> 535 300
<INCOME-CONTINUING> 1434 780
<DISCONTINUED> 0 0
<EXTRAORDINARY> 0 0
<CHANGES> 0 0
<NET-INCOME> 1434 780
<EPS-PRIMARY> 0.21 0.11
<EPS-DILUTED> 0 0
</TABLE>
Exhibit 11
SHELDAHL, INC. AND SUBSIDIARY
STATEMENT REGARDING COMPUTATION OF EARNINGS PER SHARE
(in thousands, except per share data)
For The Nine Months Ended
June 2, May 27,
1995 1994
________________________
Primary Earnings Per Share
Weighted average number of issued
shares outstanding 6,660 4,840
Effect of exercise of stock options
under the treasury stock method 238 278
______ _______
Weighted average shares outstanding used
to compute primary earnings per share 6,898 5,118
==== ====
Net income $ 1,434 $ 1,793
==== ====
Net income per share $ 0.21 $ 0.35
==== ====
Fully diluted earnings per share
Weighted average number of issued
shares outstanding 6,660 4,840
Effect of exercise of stock options
under the treasury stock method 249 292
______ ______
Weighted average shares outstanding used
to compute fully diluted earnings
per share 6,909 5,132
==== ====
Net income $ 1,434 $ 1,793
==== ====
Net income per share $ 0.21 $ 0.35
==== ====
<PAGE>
Exhibit 11
SHELDAHL, INC. AND SUBSIDIARY
STATEMENT REGARDING COMPUTATION OF EARNINGS PER SHARE
(in thousands, except per share data)
For The Three Months Ended
June 2, May 27,
1995 1994
_________________________
Primary Earnings Per Share
Weighted average number of issued
shares outstanding 6,726 4,851
Effect of exercise of stock options
under the treasury stock method 210 316
______ ______
Weighted average shares outstanding
used to compute primary earnings
per share 6,936 5,167
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Net income $ 780 $ 405
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Net income per share $ 0.11 $ 0.08
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Fully diluted earnings per share
Weighted average number of issued
shares outstanding 6,726 4,851
Effect of exercise of stock options
under the treasury stock method 210 316
______ ______
Weighted average shares outstanding used
to compute fully diluted earnings
per share 6,936 5,167
==== ====
Net income $ 780 $ 405
==== ====
Net income per share $ 0.11 $ 0.08
==== ====
