EXHIBIT 99.1
FOR: Consolidated Graphics, Inc.
CONTACT: Tara Taranto
Consolidated Graphics, Inc.
Investor Relations Manager
(713) 787-0977
Betsy Brod/Karen Pagonis
Media: Jennifer Kirksey
Morgen-Walke Associates, Inc.
(212) 850-5600
FOR IMMEDIATE RELEASE
CONSOLIDATED GRAPHICS REPORTS RESULTS FOR THE
SECOND QUARTER ENDED SEPTEMBER 30, 2000
Houston, Texas - October 25, 2000 - Consolidated Graphics, Inc. (NYSE:CGX)
today announced financial results for the second quarter ended September 30,
2000.
Total revenues for the second quarter increased $19.6 million or 13% over
the prior year to $172.5 million. Year-to-date revenues for the first half of
this fiscal year, which ends March 31, 2001, increased $47.3 million or 16% to
$346.0 million. Operating income and net income for the quarter were $18.4
million and $7.9 million respectively, compared to $20.9 million and $10.8
million in the prior year. Operating margins improved to 10.7%, up slightly over
the first quarter. On a per share basis, earnings were $.61 per diluted share
for the second quarter, compared to $.68 per diluted share in the same period
last year.
"Our outstanding network of printing companies continues to generate
improved revenues, as we focus on our growth strategies of building market
share, while expanding our digital media initiatives through our new business
unit, CGXmedia, " commented Joe R. Davis, Chairman and Chief Executive Officer.
"Although margins have been impacted by these focused efforts, our diligent
investments in technology and people, combined with our strategic alliances and
strong national account base, provide a firm foundation for the future growth
and profitability of Consolidated Graphics."
Charles White, President and Chief Operating Officer stated, "Despite a
challenging business environment, we remain committed to the execution and
implementation of our business strategies. We continue to build on our strengths
through an infrastructure unparalleled in this industry. We are rapidly
expanding our electronic products and services capabilities, on both the local
and national level, which will drive continued growth in our core business -
general commercial printing."
"I am pleased with the progress we have made to date in enhancing our
revenue and customer base as we pursue our internal growth initiatives. Going
forward, we will further leverage our geographic framework to expand local
market share, penetrate national accounts and maximize the potential of
CGXmedia," Mr. White concluded.
-MORE-
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Consolidated Graphics Reports Second Quarter Results Page -2-
Consolidated Graphics, Inc. is the largest sheet-fed commercial printing
company in the United States. Through its network of locally managed printing
companies in 25 states, the Company produces high-quality, customized printed
materials for a broad customer base that includes many of the most recognized
companies in the country. Consolidated Graphics also offers an extensive and
growing range of digital and Internet-based services and solutions marketed
through CGXmedia. Consolidated Graphics is focused on adding value to its
operating companies by providing financial and operational strengths, management
support and technological advantages associated with a national organization.
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 future sales and profitability assume, among other things, stability
and reasonable growth in the economy and in the demand for its products, the
continued availability of raw materials at affordable prices, 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)
THREE MONTHS ENDED YEAR-TO-DATE ENDED
SEPTEMBER 30, SEPTEMBER 30,
--------------------- ---------------------
2000 1999 2000 1999
--------- --------- --------- ---------
Sales $ 172,503 $ 152,886 $ 345,989 $ 298,715
Cost of Sales 123,244 105,294 247,302 205,446
GROSS PROFIT 49,259 47,592 98,687 93,269
Selling Expense 17,225 14,820 34,631 28,911
General and Administrative Expense 13,646 11,817 27,363 22,917
OPERATING INCOME 18,388 20,955 36,693 41,441
Interest Expense 5,198 3,017 10,109 5,682
Pretax Income 13,190 17,938 26,584 35,759
Income Taxes 5,276 7,175 10,634 14,303
NET INCOME $ 7,914 $ 10,763 $ 15,950 $ 21,456
Earnings Per Share - Basic $ .61 $ .69 $ 1.20 $ 1.40
Earnings Per Share - Diluted $ .61 $ .68 $ 1.20 $ 1.37
Weighted Average Shares
Outstanding - Basic 13,035 15,663 13,318 15,364
Weighted Average Shares
Outstanding - Diluted 13,051 15,937 13,329 15,644
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