Printronix, IRVINE
Nature of Business: Develops, manufactures and markets medium-speed computer printers. Total Employees: 950 In Orange County: 500 Stock Listing in The Times: On NASDAQ as “Prtronx” Ticker Symbol: “PNTX” Friday’s Close: $6.50 One-Week Change: Up $1 Analyst Review: “We try to find companies that are unpopular at the present time and are selling for lower than what they are worth. Printronix falls into that category. Book value is about $12, and the stock is selling for $6. That means if we bought the company today, and liquidated it, and we would not only have all of our money back, but we would get all the fixed assets for free. They have no debt and $2 per share in cash. The company was hurt by two things: it changed over its obsolete product lines to new lines and did it during a recession. But the investment they made in the new product line is paying off. Revenues will probably be close to $100 million, in fiscal ‘93, compared to $87 million in ‘92, and the earnings-per-share should be around $1.” --Marks Hinton, analyst, Eppler, Guerin & Turner Inc., Houston
SALES VS. PROFITS Dollar amounts in millions
Sales: 1989: $134.8 1990: $125.0 1991: $106.9
3 Quarters: 1991: $84.4 1992: $65.2
Profits: 1989: -$1.8 1990: $3.6 1991: -$4.4
3 Quarters: 1991: $1.3 1992: -$7.1 Corporate Outlook: “Our revenues were impacted by the recession. At the same time we were developing both the next generation line matrix products and a wide range of laser printers. Instead of cutting back on those developments and jeopardizing our future, we decided to forge ahead and fund these activities even though we knew it would cause unprofitable operations during that period. But our programs were success and our our balance sheet remains strong.”--George L. Harwood, chief financial officer
RETURN ON STOCKHOLDER INVESTMENT: 3-YEAR SUMMARY AND YEAR-TO-DATE
FISCAL YEAR ENDING MAR. 29 MAR. 29 MAR. 29 3 QTRS. 3 QTRS. ’89 ’90 ’91 ’91 ’92 52-Week High $10.63 $12.25 $14.50 $14.50 $10.00 52-Week Low $6.50 $6.50 $6.00 $6.00 $5.50 Book Value Per Share $12.37 $12.40 $12.30 $12.28 $12.00 Price Per Share $6.63 $12.38 $10.50 $8.50 $4.50 Net Earnings Per Share ($0.97) $0.86 ($0.52) $0.36 ($2.38) Price-to-Earnings Ratio N/A 14:1 N/A 24:1 N/A Avg. Return on Investor Equity N/A 7% N/A 3% N/A
Source: Printronix Inc. For more information call or write, Printronix Inc.: 17500 Cartwright Road, Irvine, Calif., 92713. (714) 863-1900
