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SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
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FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934
DATE OF REPORT (DATE OF EARLIEST EVENT REPORTED): OCTOBER 27, 1999
CONSOLIDATED GRAPHICS, INC.
(EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER)
TEXAS 0-24068 76-0190827
(STATE OR OTHER JURISDICTION (COMMISSION FILE NUMBER) (I.R.S. EMPLOYER
OF INCORPORATION) IDENTIFICATION NO.)
5858 WESTHEIMER, SUITE 200
HOUSTON, TEXAS 77057
(ADDRESS OF PRINCIPAL EXECUTIVE OFFICES AND ZIP CODE)
REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE: (713) 787-0977
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ITEM 5. OTHER EVENTS
On October 27, 1999, Consolidated Graphics, Inc. (the "Company")
announced the results of its fiscal 2000 second quarter. A copy of the press
release is attached hereto as Exhibit 99.1.
The attached press release may contain forward-looking information. Readers
are cautioned that such information involves risks and uncertainties, including
the possibility that events may occur which would prevent the Company from
achieving comparable financial results in the future or completing its pending
or future acquisitions.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBIT
(A) EXHIBIT
The following exhibit is filed herewith:
99.1 Press release of the Company dated October 27, 1999, related to
the announcement of the Company's fiscal 2000 second quarter
results.
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SIGNATURE
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 HEREUNTO DULY AUTHORIZED.
CONSOLIDATED GRAPHICS, INC.
(Registrant)
By: /s/ G. CHRISTOPHER COLVILLE
G. Christopher Colville
EXECUTIVE VICE PRESIDENT-
MERGERS & ACQUISITIONS
CHIEF FINANCIAL AND ACCOUNTING OFFICER
Date: October 27, 1999
2
EXHIBIT 99.1
FOR: Consolidated Graphics, Inc.
CONTACT: Ronald E. Hale, Jr.
Consolidated Graphics, Inc.
Vice President & Treasurer
(713) 787-0977
Betsy Brod/Jonathan Schaffer
Media:Merredith Ingram/Jennifer Kirksey
Morgen-Walke Associates, Inc.
(212) 850-5600
FOR IMMEDIATE RELEASE
CONSOLIDATED GRAPHICS REPORTS SECOND QUARTER RESULTS
Houston, Texas - October 27, 1999 - Consolidated Graphics, Inc. (NYSE:CGX)
today announced results for the second quarter and six months ended September
30, 1999.
Second Quarter:
Sales increased 48% to $152.9 million;
Operating income grew 46% to $21.0 million;
Net income increased 43% to $10.8 million;
Earnings per diluted share increased 26% to $.68 per share.
Six Months:
Sales increased 59% to $298.7 million;
Operating income grew 56% to $41.4 million;
Net income increased 53% to $21.5 million;
Earnings per diluted share increased 33% to $1.37 per share.
Joe R. Davis, Chairman and Chief Executive Officer, commented, "As
previously announced, our continued growth and industry-leading profitability
were partially offset for the quarter by: the impact of Hurricane Floyd, the
timing of the completion of acquisitions, management issues at three of our
facilities, and our decision to increase long-term profitability and enhance
capacity by exiting a low-margin piece of book printing business. These issues
are largely behind us, and we look forward to continuing with our historically
strong operating performance, using our solid financial condition to execute our
successful operating strategies."
-MORE-
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Consolidated Graphics Reports Second Quarter Results Page -2-
Consolidated Graphics, Inc. is the fastest growing printing company in the
United States. The Company adds value to its acquisitions through managerial and
operational expertise, financial strength and economies of scale. Upon
completion of pending acquisitions, Consolidated Graphics will have companies
operating in 25 states with annualized revenues in excess of $700 million. For
more information, visit the Company's Web site at www.consolidatedgraphics.com.
This press release contains forward-looking statements, which involve known
and unknown risks, uncertainties or other factors that could cause actual
results to materially differ from the results, performance, or other
expectations implied by these forward-looking statements. Consolidated Graphics'
expectations regarding run-rate revenues assume, among other things, completion
of pending acquisitions, general economic conditions, continued demand for its
product, the availability of raw materials, retention of its key management and
operating personnel, as well as other factors detailed in Consolidated Graphics'
filings with the Securities and Exchange Commission.
(Table Follows)
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CONSOLIDATED GRAPHICS, INC.
Consolidated Income Statement
(In thousands, except per share amounts)
<TABLE>
<CAPTION>
Three Months Ended Six Months Ended
September 30, September 30,
1999 1998 1999 1998
<S> <C> <C> <C> <C>
Sales ............................ $152,886 $103,270 $298,715 $188,370
Cost of Sales .................... 105,294 70,869 205,446 128,883
GROSS PROFIT ................... 47,592 32,401 93,269 59,487
Selling Expense .................. 14,820 10,172 28,911 18,463
General and Administrative Expense 11,817 7,923 22,917 14,542
OPERATING INCOME ............... 20,955 14,306 41,441 26,482
Interest Expense, net ............ 3,017 2,002 5,682 3,473
Pretax Income .................. 17,938 12,304 35,759 23,009
Income Taxes ..................... 7,175 4,800 14,303 8,975
NET INCOME ..................... $ 10,763 $ 7,504 $ 21,456 $ 14,034
Earnings Per Share - Basic ....... $ .69 $ .56 $ 1.40 $ 1.06
Earnings Per Share - Diluted ..... $ .68 $ .54 $ 1.37 $ 1.03
Weighted Average Shares
Outstanding - Basic .......... 15,663 13,397 15,364 13,227
Weighted Average Shares
Outstanding - Diluted ........ 15,937 13,803 15,644 13,637
</TABLE>
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