Delaware
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0-21121
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06-1456680
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(State or other jurisdiction of incorporation)
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(Commission file number)
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(I.R.S. employer identification no.)
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One Hamden Center
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2319 Whitney Ave, Suite 3B, Hamden, CT
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06518
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(Address of principal executive offices)
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(Zip Code)
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Title of each class
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Trading Symbol(s)
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Name of each exchange on which registered
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Common stock, par value $.01 per share
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TACT
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NASDAQ Global Market
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Exhibit
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Description
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Press Release dated May 7, 2020 of TransAct Technologies Incorporated
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TRANSACT TECHNOLOGIES INCORPORATED
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||||
By:
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/s/ David B. Peters
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||
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David B. Peters
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|||
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Vice President & Chief Accounting Officer
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•
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Net Sales: Net Sales for the first quarter of 2020 were $10.2 million, down 11% compared to $11.6 million for the first quarter
of 2019.
|
•
|
Gross Profit: Gross profit for the first quarter of 2020 was $4.9 million, resulting in gross margin of 48.0%, compared to gross
profit of $6.1 million in the first quarter of 2019, which resulted in a 52.7% gross margin.
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•
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Operating income (loss): Operating loss for the first quarter of 2020 was $1.3 million, compared to operating income of $0.8
million in the first quarter of 2019.
|
•
|
Net income (loss): Net loss for the first quarter of 2020 was $1.0
million, or $0.13 net loss per share, based on 7.5 million diluted weighted average common shares outstanding. Net income for the comparable 2019 period was $0.7 million, or $0.10 net income per share, based on 7.6 million diluted weighted
average common shares outstanding.
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•
|
EBITDA: EBITDA was negative $1.2 million for the first quarter of 2020, compared to positive EBITDA of $1.1 million in the first
quarter of 2019.
|
•
|
Adjusted EBITDA: Adjusted EBITDA was negative $1.0 million for the first quarter of 2020, compared to positive adjusted EBITDA of
$1.3 million in the first quarter of 2019.
|
•
|
Liquidity: On March 16, 2020, the Company announced a new revolving
credit facility of up to $10 million, subject to availability determined by a “borrowing base” calculation based on specified percentages of the Company’s eligible accounts receivable and inventory, of which $0.8 million was drawn as of
March 31, 2020 and $0.1 million was drawn as of April 30, 2020, to provide adequate funding for business operations. In addition, on May 5, 2020, the Company announced it had received a $2.2 million loan under the Paycheck Protection
Program to meet its payroll obligations and support ongoing operations.
|
Bart Shuldman
Chairman and Chief Executive Officer
TransAct Technologies Incorporated
702-388-8180 |
Michael Bowen
ICR, Inc.
Michael.Bowen@icrinc.com
203-682-8299
|
Marc P. Griffin
ICR, Inc.
Marc.Griffin@icrinc.com
646-277-1290
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TRANSACT TECHNOLOGIES INCORPORATED
|
||||||||
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
|
||||||||
(Preliminary and Unaudited)
|
||||||||
(In thousands, except per share amounts)
|
Three months ended
March 31, |
|||||||
2020
|
2019
|
|||||||
Net sales
|
$
|
10,247
|
$
|
11,550
|
||||
Cost of sales
|
5,329
|
5,464
|
||||||
Gross profit
|
4,918
|
6,086
|
||||||
Operating expenses:
|
||||||||
Engineering, design and product development
|
1,385
|
1,165
|
||||||
Selling and marketing
|
2,208
|
1,854
|
||||||
General and administrative
|
2,620
|
2,290
|
||||||
6,213
|
5,309
|
|||||||
Operating income (loss)
|
(1,295
|
)
|
777
|
|||||
Interest and other income (expense):
|
||||||||
Interest, net
|
3
|
(6
|
)
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|||||
Other, net
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(165
|
)
|
90
|
|||||
(162
|
)
|
84
|
||||||
Income (loss) before income taxes
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(1,457
|
)
|
861
|
|||||
Income tax provision (benefit)
|
(465
|
)
|
115
|
|||||
Net income (loss)
|
$
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(992
|
)
|
$
|
746
|
|||
Net income (loss) per common share:
|
||||||||
Basic
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$
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(0.13
|
)
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$
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0.10
|
|||
Diluted
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$
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(0.13
|
)
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$
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0.10
|
|||
Shares used in per share calculation:
|
||||||||
Basic
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7,507
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7,461
|
||||||
Diluted
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7,507
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7,619
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SUPPLEMENTAL INFORMATION – SALES BY SALES UNIT:
(Preliminary and Unaudited)
|
||||||||
(In thousands)
|
Three months ended
March 31, |
|||||||
2020
|
2019
|
|||||||
Food service technology
|
$
|
1,371
|
$
|
1,213
|
||||
POS automation and banking
|
1,558
|
1,277
|
||||||
Casino and gaming
|
4,931
|
5,483
|
||||||
Lottery
|
-
|
697
|
||||||
Printrex
|
117
|
342
|
||||||
TransAct services group
|
2,270
|
2,538
|
||||||
Total net sales
|
$
|
10,247
|
$
|
11,550
|
TRANSACT TECHNOLOGIES INCORPORATED
|
||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS
|
||||||||
(Preliminary and Unaudited)
|
||||||||
March 31,
|
December 31,
|
|||||||
(In thousands)
|
2020
|
2019
|
||||||
Assets:
|
||||||||
Current assets:
|
||||||||
Cash and cash equivalents
|
$
|
615
|
$
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4,203
|
||||
Accounts receivable, net
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6,261
|
6,418
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||||||
Note receivable
|
100
|
1,017
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||||||
Inventories, net
|
12,586
|
12,099
|
||||||
Other current assets
|
1,424
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1,178
|
||||||
Total current assets
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20,986
|
24,915
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||||||
Fixed assets, net
|
2,414
|
2,244
|
||||||
Note receivable, net of current portion
|
1,530
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-
|
||||||
Right-of-use asset
|
4,159
|
2,855
|
||||||
Goodwill
|
2,621
|
2,621
|
||||||
Deferred tax assets
|
3,086
|
2,565
|
||||||
Intangible assets, net
|
754
|
817
|
||||||
Other assets
|
237
|
44
|
||||||
14,801
|
11,146
|
|||||||
Total assets
|
$
|
35,787
|
$
|
36,061
|
||||
Liabilities and Shareholders’ Equity:
|
||||||||
Current liabilities:
|
||||||||
Accounts payable
|
$
|
1,737
|
$
|
2,960
|
||||
Accrued liabilities
|
2,419
|
3,041
|
||||||
Lease liability
|
880
|
945
|
||||||
Deferred revenue
|
643
|
700
|
||||||
Revolving bank loan payable
|
794
|
-
|
||||||
Total current liabilities
|
6,473
|
7,646
|
||||||
Deferred revenue, net of current portion
|
183
|
219
|
||||||
Lease liability, net of current portion
|
3,456
|
2,104
|
||||||
Other liabilities
|
170
|
166
|
||||||
3,809
|
2,489
|
|||||||
Total liabilities
|
10,282
|
10,135
|
||||||
Shareholders’ equity:
|
||||||||
Common stock
|
116
|
115
|
||||||
Additional paid-in capital
|
33,103
|
32,604
|
||||||
Retained earnings
|
24,356
|
25,348
|
||||||
Accumulated other comprehensive income (loss), net of tax
|
40
|
(31
|
)
|
|||||
Treasury stock, at cost
|
(32,110
|
)
|
(32,110
|
)
|
||||
Total shareholders’ equity
|
25,505
|
25,926
|
||||||
Total liabilities and shareholders’ equity
|
$
|
35,787
|
$
|
36,061
|
||||
TRANSACT TECHNOLOGIES INCORPORATED
|
||||||||
RECONCILIATION OF NET INCOME (LOSS) TO EBITDA AND ADJUSTED EBITDA
NON-GAAP FINANCIAL MEASURES
|
||||||||
(Preliminary and Unaudited) |
||||||||
Three Months Ended
|
||||||||
(In thousands)
|
March 31,
|
|||||||
2020
|
2019
|
|||||||
Net income (loss)
|
$
|
(992
|
)
|
$
|
746
|
|||
Interest expense (income), net
|
(3
|
)
|
6
|
|||||
Income tax provision (benefit)
|
(465
|
)
|
115
|
|||||
Depreciation and amortization
|
238
|
252
|
||||||
EBITDA
|
(1,222
|
)
|
1,119
|
|||||
Share-based compensation expense
|
187
|
173
|
||||||
Adjusted EBITDA
|
$
|
(1,035
|
)
|
$
|
1,292
|
|||