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: April 23, 1996
Date of Earliest Event Reported: April 22, 1996
TANDYCRAFTS, INC.
A DELAWARE CORPORATION
1-7258 75-1475224
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(Commission File Number) (IRS Employer Identification No.)
1400 Everman Parkway
Fort Worth, Texas 76140
(817) 551-9600
ITEM 5. OTHER EVENTS
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(a) On April 22, 1996, Registrant issued a press release announcing
the unaudited results of operations for the three- and nine-month
periods ended March 31, 1996.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS
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(c) Exhibits.
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Exhibit
Number Description
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99 Copy of press release announcing the unaudited
results of operations for the three- and nine-
month periods ended March 31, 1996.
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 of the
undersigned thereunto duly authorized.
TANDYCRAFTS, INC.
Date: March 22, 1996 By:/s/ James D. Allen
----------------------
James D. Allen
Vice President
TANDYCRAFTS, INC. REPORTS THIRD QUARTER,
NINE MONTHS RESULTS
Fort Worth, Texas. April 19, 1996 -- TANDYCRAFTS, INC. (NYSE: TAC) announced
today results for its fiscal third quarter and the nine months ended March 31,
1996.
For the three months ended March 31, 1996, net sales were $53,556,000, a
2.4% decrease compared to the $54,891,000 reported for the comparable period of
the prior year. Net income was $364,000, or $0.03 per share compared to a net
loss of $1,056,000 or $0.09 per share for the same quarter of fiscal 1995.
Excluding the results of operations to be divested as part of the Company's
strategic restructuring program, net sales for the quarter were $46,620,000, a
5.1% increase over the $44,367,000 reported for the same operations last year.
Total retail sales for the quarter increased 7.2% when compared to the same
period in fiscal 1995. Manufacturing sales for the quarter decreased 12.0% when
compared to the same period last year.
For the nine months ended March 31, 1996, net sales were $190,252,000, a
2.9% decrease compared to the $196,022,000 reported for the comparable period of
the prior year. The net loss for the nine months ended March 31, 1996 was
$12,006,000, or $1.01 per share as compared to net income of $5,095,000, or
$0.45 per share for the corresponding period of the prior fiscal year. The
Company's earnings for the nine-month period reflect a $12.6 million charge, net
of income taxes, associated with the strategic restructuring program recorded in
December 1995.
In commenting on the strategic restructuring program, the Company stated
that it is moving ahead aggressively and expects the actions contemplated in the
plan to be substantially completed by year-end.
Tandycrafts, Inc. is a specialty retailer and manufacturer. Included in
its Specialty Retail segment are Tandy Leather Company, Joshua's Christian
Stores, Cargo Furniture & Accents, and Sav-On Discount Office Supplies. The
Specialty Manufacturing segment is comprised of two manufacturing divisions:
Frames and Framed Art and Tandy Wholesale International ("TWI").
(Table to follow)
<TABLE>
<S><C>
Three Months Ended Nine Months Ended
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March 31, March 31, March 31, March 31,
1996 1995 1996 1995
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Net sales $ 53,556 $ 54,891 $ 190,252 $ 196,022
Operating costs and expenses:
Cost of goods sold 32,834 33,160 119,532 117,534
Selling, general and
administrative 18,186 20,902 62,362 63,790
Restructuring charge (501) - 18,317 -
Depreciation and
amortization 1,482 1,465 4,722 4,021
--------- --------- ---------- ----------
Total operating costs
and expenses 52,001 55,527 204,933 185,345
--------- --------- ---------- ----------
Operating income (loss) 1,555 (636) (14,681) 10,677
Interest expense, net 996 1,001 3,198 2,777
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Income (loss) before
income taxes 559 (1,637) (17,879) 7,900
Provision for income taxes 195 (581) (5,873) 2,805
--------- --------- ---------- ----------
Net income $ 364 $ (1,056) $ (12,006) $ 5,095
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Net income (loss) per share $ .03 $ (0.09) $ (1.01) $ 0.45
========= ========= ========== ==========
Weighted average common and
common equivalent shares 12,109 11,500 11,937 11,366
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</TABLE>
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