<PAGE>
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
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) MARCH 25, 1999
BLYTH INDUSTRIES, INC.
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(Exact name of registrant as specified in its charter)
Delaware 1-13026 36-2984916
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(State or other (Commission (IRS Employer
jurisdiction of File Number) Identification No.)
incorporation)
100 Field Point Road, Greenwich, Connecticut 06830
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (203) 661-1926
Not Applicable
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(Former name or former address, if changed since last report)
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Item 5. Other Events
See Exhibit 99.1 attached hereto.
Item 7. Financial Statements, Pro Forma Financial Information and Exhibits
(c) Exhibits
99.1 Press Release
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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 hereunto duly authorized.
BLYTH INDUSTRIES, INC.
Date: April 1, 1999 By: /s/ Bruce D. Kreiger
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Name: Bruce D. Kreiger
Title: Vice President & General Counsel
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Exhibit 99.1
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CONTACT: FOR IMMEDIATE RELEASE
Richard T. Browning
Chief Financial Officer
(203) 661-1926, ext. 6628
Jane F. Casey
Vice President
(203) 661-1926, ext. 6619
BLYTH INDUSTRIES REPORTS FOURTH QUARTER NET EARNINGS UP 31%
NET SALES INCREASE 25%
GREENWICH, CT, March 25, 1999: Blyth Industries, Inc. (NYSE:BTH) reported today
that fourth quarter Net Sales increased by 25% to $252,258,000 compared with
$202,248,000 a year earlier. Operating Profit rose 31% to $37,917,000 when
compared to $28,948,000 in the prior year period. Net Earnings for the quarter
increased 31% to $22,573,000 from $17,231,000 a year earlier. Diluted Net
Earnings Per Share for the fourth quarter were $0.45, up 29% from $0.35 per
share during the same period last year.
Net Sales for the fiscal year ended January 31, 1999 rose 27% to $875,065,000
compared with $687,474,000 last year. Operating Profit rose 30% to $128,237,000
when compared to $98,774,000 for the prior year. Net Earnings for the year
increased 36% to $74,502,000 from $54,590,000 for fiscal 1998. This translated
to Diluted Net Earnings Per Share of $1.50, up 36% from $1.10 per share for the
prior year. Net Earnings and Diluted Net Earnings Per Share, excluding the
non-recurring transaction costs incurred by Endar Corp. prior to its acquisition
by Blyth, increased 29% and 28%, respectively, over the prior year.
Robert B. Goergen, Chairman of the Board, said "We are very pleased to report
another record quarter in which we achieved sales and net earnings growth well
above most non-high technology companies. We attribute the results in our
consumer channels of distribution to strong category growth, the successful
introduction of new products and the impact of our investments in manufacturing,
distribution and global sourcing. In addition, our presence in a broad range of
distribution channels gives Blyth a unique competitive advantage." Mr. Goergen
went on to say, "we continue to strengthen our market leadership position in
institutional channels, with sales growth exceeding the industry growth rate due
to the strength of new product introductions and the success in cross-selling
customers of our tabletop lighting and portable heating fuel products."
Blyth Industries, Inc., headquartered in Greenwich, CT, designs, manufactures,
markets and distributes an extensive line of candles and home fragrance products
including scented candles, outdoor lighting products, potpourri and
environmental fragrance products, and markets a broad range of related candle
accessories and decorative gift bags and tags. Its products are sold in the
United States under various brand names, including Colonial Candle of Cape
Cod(R), PartyLite Gifts(R), Carolina Designs(TM), Ambria(TM), Canterbury(TM),
Florasense(R), Jeanmarie(R) and FilterMate(R) and in Europe under Geis(TM),
Liljeholmens(R), Eclipse Candles(TM) and Colony(R). It is also a leading
producer of portable heating fuel products sold under the Sterno(R) and Handy
Fuel(R) brand names.
Blyth Industries, Inc. can be found on the Internet at www.blythindustries.com.
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BLYTH INDUSTRIES, INC.
CONSOLIDATED STATEMENT OF EARNINGS
(IN THOUSANDS EXCEPT PER SHARE DATA)
(Unaudited)
<TABLE>
<CAPTION>
- ----------------------------------------------------------------------------------------------------------------------------
Three Months Three Months Twelve Months Twelve Months
Ended January 31, Ended January 31, Ended January 31, Ended January 31,
1999 1998 1999 1998
------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Net sales .............................. $ 252,258 $ 202,248 $ 875,065 $ 687,474
Cost of goods sold ..................... 102,283 83,138 367,517 298,562
--------- --------- --------- ---------
Gross profit ...................... 149,975 119,110 507,548 388,912
Selling and shipping ................... 87,472 69,564 296,753 225,933
Administrative ......................... 24,024 20,286 80,465 63,257
Amortization of goodwill ............... 562 312 2,093 948
--------- --------- --------- ---------
112,058 90,162 379,311 290,138
--------- --------- --------- ---------
Operating profit .................. 37,917 28,948 128,237 98,774
--------- --------- --------- ---------
Other expense (income)
Interest expense ..................... 1,432 1,239 6,653 4,816
Interest income ...................... (226) -- (481) (486)
Equity in earnings of investee ....... (719) (292) (825) (659)
Non-recurring transaction costs
of Endar Corp. .................... -- -- -- 5,173
--------- --------- --------- ---------
487 947 5,347 8,844
--------- --------- --------- ---------
Earnings before income taxes
and minority interest ............ 37,430 28,001 122,890 89,930
Income tax expense ..................... 14,841 10,752 48,387 35,068
--------- --------- --------- ---------
Earnings before minority interest . $ 22,589 $ 17,249 74,503 54,862
interest
Minority interest ...................... 16 18 1 272
--------- --------- --------- ---------
Net earnings ...................... $ 22,573 $ 17,231 $ 74,502 $ 54,590
--------- --------- --------- ---------
--------- --------- --------- ---------
Net earnings excluding the non-recurring
transaction costs of Endar Corp. . $ 22,573 $ 17,231 $ 74,502 $ 57,782
--------- --------- --------- ---------
--------- --------- --------- ---------
Basic:
Net earnings per common share (1) . $ 0.46 $ 0.35 $ 1.52 $ 1.11
Net earnings per common share
excluding non-recurring costs of
Endar Corp. (1)(2) ............. $ 0.46 $ 0.35 $ 1.52 $ 1.18
Weighted average number of
shares outstanding (1) ......... 49,189 49,088 49,165 49,063
Diluted:
Net earnings per common share(1) .. $ 0.45 $ 0.35 $ 1.50 $ 1.10
Net earnings per common share
excluding non-recurring costs of
Endar Corp. (1)(2) ............. $ 0.45 $ 0.35 $ 1.50 $ 1.17
Weighted average number of
shares outstanding (1) ......... 49,617 49,537 49,604 49,543
</TABLE>
(1) Restated for June 1997 3 for 2 stock split effected as a stock dividend.
(2) Net earnings excluding the non-recurring costs of Endar Corp.
CONSOLIDATED BALANCE SHEETS
(IN THOUSANDS)
(Unaudited)
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------------
ASSETS January 31, 1999(3) January 31, 1998
------------------- ----------------
<S> <C> <C>
Cash and Cash Equivalents ............ $ 18,935 $ 21,273
Accounts Receivable, Net ............. 63,109 51,980
Inventories .......................... 173,974 135,524
Property, Plant & Equipment, Net ..... 246,030 170,710
Other Assets ......................... 91,867 67,903
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$593,915 $447,390
-------- --------
-------- --------
LIABILITIES AND STOCKHOLDERS' EQUITY
Bank Debt ............................ $ 96,981 $ 93,557
Senior Notes ......................... 25,000 25,000
Other Liabilities .................... 149,902 82,001
Stockholders' Equity ................. 322,032 246,832
-------- --------
-------- --------
$593,915 $447,390
-------- --------
-------- --------
</TABLE>
(3) As a result of the Company's December 1998 purchase of approximately 79%
of Liljeholmens Stearinfabriks AB Class A voting common stock, the balance
sheet of Liljeholmens as of December 31, 1998 has been included in the
Consolidated Balance Sheet of the Company in accordance with generally
accepted accounting principles. Note: before including Liljeholmens
amounts as of December 31, 1998 key balance sheet amounts would be:
Accounts Receivable $51,353; Inventory $152,374; Property, Plant &
Equipment $196,148; Bank Debt $76,592; Other Liabilities $93,279. Due to
the timing of the investment in Liljeholmens the operating results of
Liljeholmens are not included in the Consolidated Statement of Earnings of
the Company.
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