form_10qsb-093004
Form 10-QSB
U.S. Securities and Exchange Commission
Washington, D.C. 20549
Form 10-QSB
[X] QUARTERLY REPORT UNDER SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended September 30, 2004
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OR
[ ] TRANSITION REPORT UNDER SECTION 13 OR 15 (d) OF THE EXCHANGE ACT
For the transition period from ____________ to ____________
Commission File Number 0-11740
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MESA LABORATORIES, INC.
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(Exact Name of Small Business Issuer as Specified in its Charter)
COLORADO 84-0872291
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(State or other Jurisdiction of (I.R.S. Employer
Incorporation or Organization) Identification No.)
12100 WEST SIXTH AVENUE, LAKEWOOD, COLORADO 80228
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(Address of Principal Executive Offices) (Zip Code)
Issuer's telephone number, including area code: (303) 987-8000
Check whether the Issuer (1) filed all reports required to be filed by Section
13 or 15 (d) of the Exchange Act, during the past 12 months and (2) has been subject
to the filing requirements for the past 90 days. Yes X No ___.
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State the number of shares outstanding of each of the Issuer's classes of
common stock, as of the latest practicable date:
There were 3,079,548 shares of the Issuer's common stock, no par value,
outstanding as of September 30, 2004.
ITEM 1. FINANCIAL STATEMENTS FORM 10-QSB
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MESA LABORATORIES, INC.
BALANCE SHEETS
(UNAUDITED)
ASSETS SEPT 30, 2004 MARCH 31, 2004
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CURRENT ASSETS
Cash and Cash Equivalents $ 5,534,000 $ 4,670,000
Short-term Investments 1,987,000 2,098,000
Accounts Receivable, Net 1,530,000 1,603,000
Inventories 2,043,000 2,099,000
Prepaid Expenses and Other 300,000 267,000
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TOTAL CURRENT ASSETS 11,394,000 10,737,000
PROPERTY, PLANT & EQUIPMENT, NET 1,243,000 1,285,000
OTHER ASSETS
Goodwill and Other 4,208,000 4,208,000
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TOTAL ASSETS $16,845,000 $16,230,000
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LIABILITIES AND STOCKHOLDERS' EQUITY
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CURRENT LIABILITIES
Accounts Payable $ 120,000 $ 110,000
Accrued Salaries & Payroll Taxes 342,000 409,000
Other Accrued Expenses 84,000 68,000
Taxes Payable 43,000 70,000
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TOTAL CURRENT LIABILITIES 589,000 657,000
LONG TERM LIABILITIES
Deferred Income Taxes Payable 189,000 189,000
STOCKHOLDERS' EQUITY
Preferred Stock, No Par Value - -
Common Stock, No Par Value;
authorized 8,000,000 shares;
issued and outstanding,
3,079,548 shares (9/30/04)
and 3,072,815 shares (3/31/04) 1,306,000 1,330,000
Retained Earnings 14,761,000 14,054,000
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TOTAL STOCKHOLDERS' EQUITY 16,067,000 15,384,000
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TOTAL LIABILITIES AND
STOCKHOLDERS' EQUITY $16,845,000 $16,230,000
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MESA LABORATORIES, INC.
STATEMENTS OF OPERATIONS
(UNAUDITED)
Three Months Three Months
Ended Ended
Sept. 30, 2004 Sept. 30, 2003
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Sales $2,337,000 $2,276,000
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Cost of Goods Sold 886,000 902,000
Selling, General & Administrative 556,000 479,000
Research and Development 76,000 83,000
Other (Income) and Expenses (22,000) (11,000)
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1,496,000 1,453,000
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Earnings Before Income Taxes 841,000 823,000
Income Taxes 293,000 295,000
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Net Income $ 548,000 $ 528,000
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Net Income Per Share (Basic) $ .18 $ .17
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Net Income Per Share (Diluted) $ .17 $ .17
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Average Common Shares Outstanding (Basic) 3,072,000 3,052,000
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Average Common Shares Outstanding (Diluted) 3,176,000 3,180,000
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MESA LABORATORIES, INC.
STATEMENTS OF OPERATIONS
(UNAUDITED)
Six Months Six Months
Ended Ended
Sept. 30, 2004 Sept. 30, 2003
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Sales $4,876,000 $4,529,000
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Cost of Goods Sold 1,822,000 1,708,000
Selling, General & Administrative 1,118,000 1,064,000
Research and Development 170,000 150,000
Other (Income) and Expenses (37,000) (23,000)
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3,073,000 2,899,000
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Earnings Before Income Taxes 1,803,000 1,630,000
Income Taxes 629,000 578,000
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Net Income $1,174,000 $1,052,000
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Net Income Per Share (Basic) $ .38 $ .34
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Net Income Per Share (Diluted) $ .37 $ .33
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Average Common Shares Outstanding (Basic) 3,072,000 3,066,000
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Average Common Shares Outstanding (Diluted) 3,167,000 3,167,000
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MESA LABORATORIES, INC.
STATEMENTS OF CASH FLOWS
(UNAUDITED)
Six Months Six Months
Ended Ended
Sept. 30, 2004 Sept. 30, 2003
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Cash Flows From Operating Activities:
Net Income $1,174,000 $1,052,000
Depreciation and Amortization 47,000 51,000
Change in Assets and Liabilities-
(Increase) Decrease in Accounts Receivable 73,000 561,000
(Increase) Decrease in Inventories 56,000 121,000
(Increase) Decrease in Prepaid Expenses (33,000) 76,000
Increase (Decrease) in Accounts Payable 10,000 (21,000)
Increase (Decrease) in Accrued Liabilities (78,000) (68,000)
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Net Cash Provided by Operating
Activities 1,249,000 1,772,000
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Cash Flows From Investing Activities:
(Increase) Decrease in Short-term Investments 111,000 -
Capital Expenditures, Net of Retirements (5,000) (16,000)
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Net Cash (Used) Provided by Investing Activities 106,000 (16,000)
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Cash Flows From Financing Activities:
Dividends Paid (308,000) -
Treasury Stock Purchases (252,000) (517,000)
Proceeds From Stock Options Exercised 69,000 20,000
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Net Cash (Used) Provided by Financing Activities (491,000) (497,000)
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Net Increase (Decrease) In Cash and Equivalents 864,000 1,259,000
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Cash and Cash Equivalents at Beginning of Period 4,670,000 4,761,000
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Cash and Cash Equivalents at End of Period $5,534,000 $6,020,000
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MESA LABORATORIES, INC.
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 2004 AND 2003
NOTE A. SUMMARY OF ACCOUNTING POLICIES
The summary of the Issuer's significant accounting policies are incorporated by
reference to the Company's annual report on Form 10KSB, at March 31, 2004.
The accompanying unaudited condensed financial statements reflect all
adjustments which, in the opinion of management, are necessary for a fair
presentation of the results of operations, financial position and cash flows.
The results of the interim period are not necessarily indicative of the results
for the full year.
NOTE B. STOCK BASED COMPENSATION
The Company has stock based compensation plans, which are described more fully
in Note 7 of the Company's annual report on Form 10KSB, at March 31, 2004. The
Company has adopted the disclosure-only provisions of Statement of Financial
Accounting Standards No. 123, "Accounting for Stock-Based Compensation."
Accordingly, no compensation cost has been recognized for the stock option
plans. Had compensation cost for the Company's stock option plans been
determined based on the fair value at the grant date for awards in fiscal 2005
and 2004 consistent with the provisions of SFAS No. 123, the Company's net
earnings and earnings per share for the fiscal second quarter and year-to-date
would have been reduced to the pro forma amounts indicated below:
Three Months Ended Six Months Ended
September 30, September 30,
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2004 2003 2004 2003
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Net income - as reported $ 548,000 $ 528,000 $1,174,000 $1,052,000
Less: Total stock based employee
compensation expense determined under
fair value based method for all awards,
Net of related tax effects $ 68,000 $ - $ 68,000 $ 62,000
Net income - pro forma $ 480,000 $ 528,000 $1,106,000 $ 990,000
Income per basic share - as reported $ .18 $ .17 $ .38 $ .34
Income per basic share - pro forma $ .16 $ .17 $ .36 $ .32
Income per diluted share - as reported $ .17 $ .17 $ .37 $ .33
Income per diluted share - pro forma $ .15 $ .17 $ .35 $ .31
The fair value of each option grant is estimated on the date of grant using the
Black-Scholes option-pricing model with the following weighted-average
assumptions used for grants: dividend yield of 3.59% (2005) and 0% (2004);
expected volatility of approximately 19% (2005) and 14% (2004); discount rate of
3.74% to 4.62% (2005)and 3.0% (2004); and expected lives of 5 to 10 years.
Overview
Mesa Laboratories, Inc. manufactures and distributes electronic measurement
systems for various niche applications, including renal treatment, food
processing, medical sterilization, pharmaceutical processing and other
industrial applications. Our Company follows a philosophy of manufacturing a
high quality product and providing a high level of on-going service for those
products. In order to optimize the performance of our Company and to build the
value of the Company for its shareholders, we continually follow the trend of
various key financial indicators. A sample of some of the most important of
these indicators is presented in the following table.
Key Financial Indicators
For The Six Month Ended September 30,
2004 2003 2002 2001
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Cash and Investments $7,521,000 $6,020,000 $4,684,000 $2,295,000
Trade Receivables $1,553,000 $1,686,000 $2,043,000 $2,786,000
Days Sales Outstanding 58 62 72 112
Inventory $2,043,000 $2,208,000 $2,487,000 $2,464,000
Inventory Turns 1.8 1.6 1.4 1.5
Working Capital $10,804,000 $9,607,000 $9,017,000 $7,173,000
Current Ratio 19:1 20:1 16:1 15:1
Average Return On:
Stockholder Investment(1) 14.9% 14.2% 15.1% 16.9%
Assets 14.2% 13.7% 14.3% 16.0%
Invested Capital (2) 26.8% 22.2% 21.1% 20.4%
Net Sales $4,876,000 $4,529,000 $4,484,000 $4,729,000
Gross Profit $3,055,000 $2,821,000 $2,794,000 $2,892,000
Gross Margin 63% 62% 62% 61%
Operating Income $1,766,000 $1,607,000 $1,590,000 $1,573,000
Operating Margin 36% 36% 36% 33%
Net Profit $1,174,000 $1,052,000 $1,081,000 $1,104,000
Net Profit Margin 24% 23% 24% 23%
Earnings Per Diluted
Share $ .37 $ .33 $ .32 $ .32
Capital
Expenditures(Net) $ 5,000 $ 16,000 $ 56,000 $ 6,000
Head Count 47.5 47.5 46.5 52.5
Sales Per Employee $ 205,000 $ 191,000 $ 193,000 $ 180,000
(Annualized)
(1) Average return on stockholder investment is calculated by dividing total
net income by the average of end of period and beginning of year total
stockholder's equity.
(2) Average return on invested capital (invested capital = total assets -
current liabilities - cash and short-term investments) is calculated by
dividing total net income by the average of end of period and beginning of
year invested capital.
While we continually try to optimize the overall performance and trends, the
table above does highlight various exceptions. These exceptions are usually
influenced by a more important need. A review of the table above shows a very
high Trade Receivables balance and high Days Sales Outstanding in fiscal 2001.
At the time that these indicators were showing below average performance, we had
recently completed the acquisition of Automata Instruments, Inc., and a large
amount of our administrative resources were being focused on improvements to
systems, work flows and new customer satisfaction.
Results of Operations
Net Sales
Net sales for the second quarter of fiscal 2005 increased three percent from
fiscal 2004. In real dollars, net sales of $2,337,000 in fiscal 2005 increased
$61,000 from $2,276,000 in 2004.
Net sales for the first six months of fiscal 2005 increased eight percent from
fiscal 2004. In real dollars, net sales of $4,876,000 in fiscal 2005 increased
$347,000 from $4,529,000 in 2004.
Our revenues come from two main sources, which include product revenues and
parts and service revenues. Parts and service revenues are derived from on-going
repair and recalibration or certification of our products. The certification or
recalibration of product is usually a key component of the customer's own
quality system and many of our customers operate in regulated industries, such
as food processing or medical and pharmaceutical processing. For this reason,
these revenues tend to be fairly stable and grow slowly over time. During the
six months of fiscal years 2005 and 2004 our Company had parts and service
revenue of $1,414,000 and $1,317,000. As a percentage of total revenue, parts
and service revenues were 29% in 2005 and 29% in 2004.
The performance of new product sales is dependent on several factors, including
general economic conditions in the United States and abroad, capital spending
trends and the introduction of new products. Over the past two fiscal years,
general economic conditions have been starting to improve, and capital spending
has also been improving. New products released to the market over the past two
fiscal years include the Datatrace Micropack III temperature loggers during the
middle of fiscal 2003 and the Datatrace Micropack III humidity and pressure
loggers at the end of fiscal 2004. All three loggers, temperature, humidity and
pressure, utilize a common PC Interface system and operating software. For this
reason, we believe that some customer purchasing decisions were probably delayed
into fiscal 2005, as those customers awaited introduction of the humidity and
pressure loggers. For the first six months of fiscal years 2005 and 2004 product
sales for our company were $3,462,000 and $3,212,000.
Over the fiscal second quarter and six month periods, our medical revenues
increased 14 percent 13 percent compared to the prior periods. This increase was
due to higher sales of meters, solutions and service. Currently, research and
development efforts are in process to further enhance this line of products.
During the fiscal second quarter and six month periods, sales of the Datatrace
brand of products decreased four percent for the quarter and increased two
percent over the prior year. At the end of fiscal 2004, we released our latest
version of user software and shipped initial units of the Micropack III humidity
and pressure loggers to customers. These new products will allow customers who
measure more than one parameter in their process to program and retrieve data
from the same PC Interface device. During April the company began introduction
of its new 4-20 milliamp logger. This user scalable logging device is completely
new and will allow users to log the 4-20 milliamp output of various fixed
monitors within their process and correlate that data to the product data
collected by our loggers. In this way the user may bring additional data
parameters into their analysis without compromising data integrity as required
by various regulatory bodies.
During the fiscal second quarter and six month periods, sales of the Nusonics
line of ultrasonic fluid measurement systems decreased by 26 percent and
increased by nine percent compared to the prior year periods. At this time,
Nusonics products still contribute less than 10 percent of our total sales.
Cost of Sales
Cost of sales as a percent of net sales during the second fiscal quarter
decreased 1.7 percent from fiscal 2004 to 37.9 percent. For the first six months
of the fiscal year, cost of sales as a percent of net sales decreased 0.3
percent to 37.4 percent of sales. Most of our products enjoy gross margins in
excess of 55%. Due to the fact that the dialysis products have sales
concentrations to several companies that maintain large chains of treatment
centers, the products that are sold to the renal market tend to be slightly more
price sensitive than the data logging products. Therefore, shifts in product mix
toward higher sales of Datatrace logging products will tend to produce lower
cost of good sold expense and higher gross margins while shifts toward higher
sales of medical products will normally produce the opposite effect on cost of
goods sold expense and gross margins.
Over the current fiscal quarter, our Company experienced a higher growth rate in
its medical sales which was off-set by a sharper decline in Nusonics products,
which led to a slight decrease in cost of goods sold expense as a percent of
sales compared to the prior year period.
Selling, General and Administrative
General and administrative expenses tend to be fairly fixed and stable from
year-to-year. To the greatest extent possible, we work at containing and
minimizing these costs. In the second quarter increasing costs for
Sarbanes-Oxley Act compliance and the timing of shareholder relation expenses
for the Company's Annual Meeting have combined to increase Administration costs
at a higher rate. Total administrative costs were $239,000 for the fiscal first
quarter and $187,000 in the prior year quarter, which represents a $52,000 or 28
percent increase from fiscal 2004 to fiscal 2005. Higher shareholder relation
costs and auditor's fees during the quarter accounted for much of the increase
during the quarter. For the first six months of the fiscal year, administrative
costs were $483,000 and $422,000 in the prior year period, which represents a
$61,000 or 14 percent increase from fiscal 2004 to fiscal 2005. Most of this
increase was incurred during the current quarter.
Our selling and marketing costs tend to be far more variable in relation to
sales, although there are various exceptions. Some of these exceptions include
the introduction of new products and the mix of international sales to domestic
sales. For a product line experiencing introduction of a new product, costs will
tend to be higher as a percent of sales due to higher advertising costs and
sales training programs. Our Company's international sales are usually
discounted and recorded at the net discounted price, so that a change in mix
between international and domestic sales may influence sales and marketing
costs. One other major influence on sales and marketing costs is the mix of
domestic medical sales to all other domestic sales. Domestic medical sales are
made by direct telemarketing representatives, which gives us a lower cost
structure, when compared to the independent representative sales channels
utilized by our other products.
In dollars, selling costs were $317,000 in the second fiscal quarter and
$292,000 in the same prior year quarter. As a percent of sales, selling cost
were 13.6% in the current quarter and 12.8% in the prior year quarter. In
dollars, selling costs were $635,000 in the first six months of the current
fiscal year and $642,000 in the same prior year period. As a percent of sales,
selling cost were 13.0% in the current period and 14.2% in the prior year
period. During the current fiscal quarter, most of the increase in selling
expense was due to increased costs associated with the Datatrace logging
products and is specifically associated with increased advertising and promotion
costs for those products. For the six month period, sales and marketing costs
were almost unchanged.
On October 11, 2004 Mr. John Sullivan, Ph.D., took over the newly created
position of Vice President of Sales and Marketing. John brings 15 years of
experience in various marketing management, business unit management and merger
and acquisition leadership positions at Varian, Inc. to Mesa Labs. His
experience will be very instrumental to our strategy of expanding sales through
both product line and sales channel expansion, as well as, through acquisition
of complimentary product lines. Due to the hiring of John, recruiting,
compensation and other marketing costs are expected to increase during the
second half of the current fiscal year, but at this time we cannot project how
much of this cost may be off-set by higher revenues.
Research and Development
Company sponsored research and development cost was $76,000 during the second
fiscal quarter and $83,000 during the previous year period. For the first six
months of the current fiscal year costs were $170,000 during the current period
and compared to $150,000 during the prior year period. While cost for research
and development are up for the year-to-date, the quarter costs were down due to
decreased consulting and material costs. We are currently trying to execute a
strategy of increasing the flow of internally developed products. This strategy
has led to the introduction of two new Datatrace logging products in fiscal 2004
and a third Datatrace logging product early in fiscal 2005. Work has also begun
on a new generation of our dialysate meter line of products.
Net Income
Net income increased four percent to $548,000 or $.17 per share on a diluted
basis during the second quarter from $528,000 or $.17 per share on a diluted
basis in the previous year period. Net income increased 12 percent to $1,174,000
or $.37 per share on a diluted basis for the current six month period from
$1,052,000 or $.33 per share on a diluted basis in the previous year period. Net
income growth was due primarily to the increase in revenues.
Liquidity and Capital Resources
On September 30, 2004, we had cash and short term investments of $7,521,000. In
addition, we had other current assets totaling $3,873,000 and total current
assets of $11,394,000. Current liabilities of our Company were $589,000 which
resulted in a current ratio of 19:1.
Our Company has made capital acquisitions of $5,000 during the first six months
of the current fiscal year. We have instituted a program to repurchase up to
300,000 shares of our outstanding common stock. Under the plan, the shares may
be purchased from time to time in the open market at prevailing prices or in
negotiated transactions off the market. Shares purchased will be canceled and
repurchases will be made with existing cash reserves. We do not maintain a set
policy or schedule for our buyback program. Most of our stock buybacks have
occurred during periods when the price to earnings multiple has been near
historical low points, or during times when selling activity in the stock is out
of balance with buying demand.
On November 12, 2003 our Board of Directors instituted a policy of paying
regular quarterly dividends. On June 15, 2004 and September 15, 2004, quarterly
dividends of $.05 per common share were paid to shareholders of record on June
1, 2004 and September 1, 2004.
Our Company invests its surplus capital in various interest bearing instruments,
including money market funds, short-term treasuries and municipal bonds. All
investments are fixed dollar investments with variable rates in order to
minimize the risk of principal loss. In some cases, additional guarantees of the
investment principal are provided in the form of bank letters of credit.
The Company does not currently maintain a line of credit or any other form of
debt. Nor does the Company guarantee the debt of any other entity. The Company
has maintained a long history of surplus cash flow from operations. This surplus
cash flow has been used in the past to fund acquisitions and stock buybacks and
is currently being partially utilized to fund our on-going dividend. If
interesting candidates come to our attention, we may choose to pursue new
acquisitions.
Contractual Obligations
At September 30, 2004 our only contractual obligations were open purchase orders
for routine purchases of supplies and inventory, which would be payable in less
than one year.
Forward Looking Statements
All statements other than statements of historical fact included in this annual
report regarding our Company's financial position and operating and strategic
initiatives and addressing industry developments are forward-looking statements.
Where, in any forward-looking statement, the Company, or its management,
expresses an expectation or belief as to future results, such expectation or
belief is expressed in good faith and believed to have a reasonable basis, but
there can be no assurance that the statement of expectation or belief will
result or be achieved or accomplished. Factors which could cause actual results
to differ materially from those anticipated, include but are not limited to
general economic, financial and business conditions; competition in the data
logging market; competition in the kidney dialysis market; competition in the
fluid measurement market; the discontinuance of the practice of dialyzer reuse;
the business abilities and judgment of personnel; the impacts of unusual items
resulting from ongoing evaluations of business strategies; and changes in
business strategy. We do not intend to update these forward looking statements.
You are advised to review the "Additional Cautionary Statements" provided in our
Company's most recent Form 10-KSB filing with the SEC for more information about
risks that could affect the financial results of Mesa Laboratories, Inc.
Critical Accounting Policies and Estimates
The preparation of our financial statements in conformity with accounting
principles generally accepted in the United States of America requires
management to make estimates and assumptions that affect the amounts reported in
our financial statements and accompanying notes. Actual results could differ
materially from those estimates.
We believe that there are several accounting policies that are critical to
understanding the Company's historical and future performance, as these policies
affect the reported amounts of revenue and the more significant areas involving
management's judgments and estimates. These significant accounting policies
relate to revenue recognition, research and development costs, valuation of
inventory, and valuation of long-lived assets. These policies, and the Company's
procedures related to these policies, are described in detail below.
Revenue Recognition
We sell our products directly through our sales force and through distributors.
Revenue from direct sales of our product is recognized upon shipment to the
customer. Revenue from ongoing product service and repair is fully recognized
upon completion and shipment of serviced product.
Research & Development Costs
Research and development activities consist primarily of new product development
and continuing engineering on existing products. Costs related to research and
development efforts on existing or potential products are expensed as incurred.
Valuation of Inventories
Inventories are stated at the lower of cost or market, using the first-in,
first-out method (FIFO) to determine cost. The Company's policy is to
periodically evaluate the market value of the inventory and the stage of product
life cycle, and record a reserve for any inventory considered slow moving or
obsolete.
Valuation of Long-Lived Assets and Goodwill
The Company assesses the realizable value of long-lived assets and goodwill for
potential impairment at least annually or when events and circumstances warrant
such a review. The carrying value of a long-lived asset is considered impaired
when the anticipated fair value is less than its carrying value. In assessing
the recoverability of our long-lived assets and goodwill, we must make
assumptions regarding estimated future cash flows and other factors to determine
the fair value of the respective assets. In addition, we must make assumptions
regarding the useful lives of these assets.
The above listing is not intended to be a comprehensive list of all of our
accounting policies. In many cases, the accounting treatment of a particular
transaction is specifically dictated by accounting principles, generally
accepted in the United States of America, with no need for management's judgment
in their application. There are also areas in which management's judgment in
selecting any viable alternative would not produce a materially different
result. See our audited financial statements and notes thereto which begin at
"Item 7. Financial Statements" of this Annual Report on Form 10-KSB which
contain accounting policies and other disclosures required by accounting
principles, generally accepted in the United States of America.
ITEM 4. Controls and Procedures
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a. Evaluation of Disclosure Controls and Procedures. The Company's Chief
Executive Officer and Chief Financial Officer, have evaluated the
effectiveness of the Company's disclosure controls and procedures (as such
term is defined in Rules 13a-14(c) and 15d-14(c) under the Securities
Exchange Act of 1934, as amended (the Exchange Act)) as of a date within 90
days prior to the filing date of this quarterly report (the Evaluation
Date). Based on such evaluation, such officers have concluded that, as of
the Evaluation Date, the Company's disclosure controls and procedures are
effective in alerting them, on a timely basis, to material information
relating to the Company(including its consolidated subsidiaries) required
to be included in the Company's periodic filings under the Exchange Act.
b. Changes in Internal Controls. Since the Evaluation Date, there have not
been any significant changes in the Company's internal controls or in other
factors that could significantly affect such controls.
PART II-OTHER INFORMATION
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ITEM 2. Changes in securities, use of proceeds and issuer purchases of equity securities
--------------------------------------------------------------------------------
We made the following repurchases of our common stock, by month, within the
second quarter of the fiscal year covered by this report:
Total Share Purchased Remaining Shares
Shares Avg. Price as Part of Publicly to Purchase
Purchased Paid Announced Plan Under Plan
--------- ---- -------------- ----------
July 1-31, 2004 11,000 $ 10.11 74,267 225,733
Aug. 1-31, 2004 4,445 $ 10.12 78,712 221,288
Sept. 1-30, 2004 100 $ 11.03 78,812 221,188
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Total Second Qtr. 15,545 $ 10.12
On June 19, 2003, the Board of Directors of Mesa Laboratories, Inc. adopted a
share repurchase plan which allows for the repurchase of up 300,000 of the
company's common shares. This plan will continue until the maximum is reached or
the plan is terminated by further action of the Board.
ITEM 6. Exhibits and reports on Form 8-K
--------------------------------
a) Exhibits:
31.1 Certification of Chief Executive Officer Pursuant to Section 302 of the
Sarbanes-Oxley Act of 2002
31.2 Certification of Chief Financial Officer Pursuant to Section 302 of the
Sarbanes-Oxley Act of 2002
32.1 Certification of Chief Executive Officer Pursuant to Section 906 of the
Sarbanes-Oxley Act of 2002
32.2 Certification of Chief Financial Officer Pursuant to Section 906 of the
Sarbanes-Oxley Act of 2002
b) Reports on Form 8-K:
On August 13, 2004, we furnished a report on Form 8-K under Item 9, Regulation
FD Disclosure, to announce that we issued a press release on August 10, 2004
announcing preliminary results for the first quarter period ended June 30, 2004,
and filed under Item 7, Financial Statements and Exhibits, a copy of the press
release dated August 10, 2004.
MESA LABORATORIES, INC.
SEPTEMBER 30, 2004
SIGNATURES
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Pursuant to the requirements of the Securities Exchange Act of 1934, the Issuer
has duly caused this report to be signed on its behalf by the undersigned
thereunto duly authorized.
MESA LABORATORIES, INC.
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(Issuer)
DATED: November 9, 2004 BY: /s/Luke R. Schmieder
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Luke R. Schmieder
President, Chief Executive Officer,
Treasurer and Director
DATED: November 9, 2004 BY: /s/Steven W. Peterson
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Steven W. Peterson
Vice President-Finance, Chief
Financial and Accounting Officer and
Secretary