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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934
Date of Report: November 5, 1996
Anicom, Inc.
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(Exact Name of Registrant as Specified in Charter)
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Delaware 0-25364 36-3885212
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(State or Other Jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.
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6133 North River Road, Suite 410, Rosemont, Illinois 60018
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(Address of Principal Executive Offices) (Zip Code)
Registrant's telephone number, including area code (847) 518-8791
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ITEM 5. OTHER EVENTS.
On November 4, 1996, the Registrant issued the press release attached as
Exhibit 99.1. The information contained in this press release is incorporated
herein by reference.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS.
(c) Exhibits.
99.1 News Release of Registrant dated November 4, 1996.
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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.
Anicom, Inc.
Dated: November 5, 1996 By:________________________________
Donald Welchko
Chief Financial Officer
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FOR IMMEDIATE RELEASE EXHIBIT 99.1
MONDAY, NOVEMBER 4, 1996
ANICOM REPORTS RECORD THIRD QUARTER NET SALES AND
EARNINGS
COMPANY ALSO POSTS NINE-MONTH BESTS
ROSEMONT, IL November 4, 1996 - Anicom, Inc. (Nasdaq: ANIC), a specialist in
the sale and distribution of multimedia wiring products, announced today record
net sales and net income for both the third quarter and nine months ended
September 30, 1996.
Net income for the third quarter rose approximately 258 percent to $742,547 as
compared to net income of $207,368 for the same 1995 period. Net income for
the nine months increased approximately 250 percent to $1,767,243 as compared
to $505,124 for the period ended September 30, 1995. The significant increase
is due to higher sales volume and improvements in the gross margin being passed
through to the bottom line.
Earnings per share for the three months ended September 30, 1996 were $.06 per
share (based on 13,143,000 average weighted shares outstanding), as compared to
$.04 per share (based on 5,461,000 average weighted shares outstanding) for the
comparable 1995 period. Earnings per share for the nine months ended September
30, 1996, were $0.14 per share (based on 12,655,000 average weighted shares
outstanding), as compared to $0.11 per share (based on 4,751,000 average
weighted shares outstanding) for the comparable 1995 period. Effective
October, 1996, the company declared a stock split in the form of a 100% stock
dividend. The average weighted shares outstanding for each of the periods in
1995, discussed above have been restated to give effect to the stock dividend.
The average weighted shares outstanding in the first nine months of 1996
increased significantly (approximately 166 percent) over the average weighted
shares outstanding in the nine months of the prior year. This increase was due
to the issuance of shares in the company's follow-on offering in November, 1995
and the private placement of shares in September, 1996.
Net sales for the quarter ended September 30, 1996 of $33.2 million,
represented a 330 percent increase over net sales of $7.7 million for the
quarter ended September 30, 1995. Net sales for the first nine months of 1996
rose approximately 284 percent to $76.4 million versus net sales of $19.9
million for the first nine months of 1995. The net sales increase reflects
improved internal growth, expanded breadth and depth of the company's product
offering and sales attributable to five acquisitions completed during the year.
MORE . . .
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ANICOM, INC.
Scott C. Anixter, Chief Executive Officer, commenting on the company's success
for the nine months, said, "In 1996, we not only have realized significant
improvement in our sales and service capabilities but also have expanded the
number and variety of products we offer our customers which has resulted in
additional market penetration. We presently have a national network of 30
branches coast to coast and are still growing with new locations planned in the
future."
Alan Anixter, Chairman of the Board, stated, "Anicom's continued growth stems
from our efforts to capitalize on the tremendous opportunities in the
marketplace. We see significant long term growth for Anicom in the future.
However, our primary consideration continues to be increasing shareholder
value."
Anicom is a national leader in the sale and distribution of wire, cable, fiber
optics, cable assemblies for automation, computer and robotics and computer
network and connectivity products. The company provides products that
"Interconnect the Internet" and are used in the growing global communications
industry.
In compliance with the Safe Harbor Provision of the Private Securities
Litigation Reform Act of 1995, the company notes the statements contained in
this press release that are not historical facts may be forward-looking
statements that are subject to a variety of risks and uncertainties more fully
described in Anicom's filings with the Securities and Exchange Commission
including, without limitation, those described under "Risk Factors" in Anicom's
Prospectus dated November 20, 1995 and in Anicom's Annual Report on Form 10-KSB
for the year ended December 31, 1995. Anicom wishes to caution readers of this
press release that these risks and uncertainties could cause Anicom's actual
results in 1996 and beyond to differ materially from those expressed in any
forward-looking statements made by, or on behalf of, Anicom. These risks and
uncertainties include, without limitation, Anicom's limited operating history
on which expectations regarding its future performance can be based, general
economic and business conditions affecting the industries of Anicom's customers
in existing and new geographical markets, competition from, among others,
national and regional distributors that have greater financial, technical and
marketing resources and distribution capabilities than Anicom, the availability
of sufficient capital, Anicom's ability to identify the right product mix and
to maintain sufficient inventory to meet customer demand, Anicom's ability to
successfully acquire and integrate the operations of additional business and
Anicom's ability to operate effectively in geographical areas in which it has
no prior experience.
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FINANCIAL HIGHLIGHTS ATTACHED
CONDENSED STATEMENTS OF OPERATIONS
(Unaudited)
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THREE MONTHS ENDED NINE MONTHS ENDED
SEPTEMBER 30, SEPTEMBER 30,
1996 1995 1996 1995
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Net $ 33,221,002 $ 7,718,948 $ 76,432,346 $ 19,917,471
Cost of Sales 24,694,110 5,840,815 57,245,233 15,190,457
Total operating expenses 7,420,360 1,558,092 16,763,855 3,932,957
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Income from Operations 1,106,532 320,041 2,423,258 794,057
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Total other income (expense) 24,911 38,927 265,381 64,065
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Income before income taxes 1,131,443 358,968 2,688,639 858,122
Provision for income taxes 388,896 151,600 921,396 352,998
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Net Income $ 742,547 $ 207,368 $ 1,767,243 $ 505,124
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Weighted average number of
common shares outstanding 13,142,648 5,461,362 12,654,612 4,751,004
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Net income per share $ 0.06* $ 0.04* $ 0.14* $ 0.11*
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*Restated to reflect a two for one stock dividend effective October 8, 1996.
CONDENSED BALANCE SHEET
AS OF SEPTEMBER 30,
(Unaudited)
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1996 1995
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ASSETS
Current Assets $ 62,174,106 $ 10,478,258
Fixed assets - net 2,727,088 542,859
Other assets, primarily goodwill 25,725,032 1,444,821
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Total Assets $ 90,626,226 $ 12,465,938
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LIABILITIES AND STOCKHOLDERS' EQUITY
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Current Liabilities $ 26,200,943 $ 4,333,146
Long-term Liabilities 3,817,193 244,528
Stockholders' equity 60,608,090 7,888,264
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Total liabilities and stockholders' equity $ 90,626,226 $ 12,465,938
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#DOCUMENT #: CHGO02A (02309-00004-6) 273863.1;DATE:11/04/96/TIME:16:47#
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