UNITED STATES
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 (Date of earliest event reported): February 5, 2009
ESCO TECHNOLOGIES INC.
(Exact Name of Registrant as Specified in Charter)
Missouri 1-10596 43-1554045
(State or Other (Commission (I.R.S. Employer
Jurisdiction of Incorporation) File Number) Identification No.)
9900A Clayton Road, St. Louis, Missouri 63124-1186
(Address of Principal Executive Offices) (Zip Code)
Registrant's telephone number, including area code: 314-213-7200
Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions:
[ ] Written communications pursuant to Rule 425 under the Securities Act (17
CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17
CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2 (b) under the
Exchange Act (17 CFR 240.14d-2 (b))
[ ] Pre-commencement communications pursuant to Rule 13e-4 (c) under the
Exchange Act (17 CFR 240.113d-4 (c))
ITEM 2.02 RESULTS OF OPERATIONS AND FINANCIAL CONDITION
Today, February 5, 2009, the Registrant is issuing a press release (furnished
herewith as Exhibit 99.1 to this report) announcing its fiscal year 2009 first
quarter financial and operating results. See Item 7.01, Regulation FD Disclosure
below.
ITEM 7.01 REGULATION FD DISCLOSURE
Today, the Registrant is issuing a press release (Exhibit 99.1) announcing its
fiscal year 2009 first quarter financial and operating results. The Registrant
will conduct a related Webcast conference call today at 4:00 p.m. central time.
This press release will be posted on the Registrant's website located at
http://www.escotechnologies.com. It can be viewed through the "Investor
Relations" page of the web site under the tab "Press Releases," although the
Registrant reserves the right to discontinue that availability at any time.
NON-GAAP FINANCIAL MEASURES
The press release furnished herewith as Exhibit 99.1 contains financial measures
and financial terms not calculated in accordance with generally accepted
accounting principles in the United States of America ("GAAP") in order to
provide investors and management with an alternative method for assessing the
Registrant's operating results in a manner that is focused on the performance of
the Registrant's ongoing operations. The Registrant has provided definitions
below for the non-GAAP financial measures utilized in the press release,
together with an explanation of why management uses these measures, and why
management believes that these non-GAAP financial measures are useful to
investors. The press release uses the non-GAAP financial measures of "EBIT",
"EBIT margin" and "EPS-Adjusted Basis".
The Registrant defines "EBIT" as earnings before interest and taxes from
continuing operations. The Registrant defines "EBIT margin" as EBIT as a percent
of net sales. The Registrant's management evaluates the performance of its
operating segments based on EBIT and EBIT margin, and believes that EBIT and
EBIT margin are useful to investors to demonstrate the operational profitability
of the Registrant's business segments by excluding interest and taxes, which are
generally accounted for across the entire Registrant on a consolidated basis.
EBIT is also one of the measures used by management in determining resource
allocations within the Registrant and incentive compensation. The Registrant's
management believes using "EPS - Adjusted Basis" as a financial measure is
important for management and investors to understand the Company's operations
and its ability to service its debt.
The press release refers to first quarter 2008 "EPS - Adjusted Basis" which is
"EPS - GAAP Basis" from continuing operations exclusive of the effect of $20.5
million of revenues, $8.5 million of EBIT, and $0.20 earnings per share related
to electric AMI shipments to PG&E which were required to be deferred from
earlier periods for accounting revenue recognition purposes. The press release
also refers to expected 2009 "EPS-Adjusted Basis" which is "EPS- GAAP Basis"
exclusive of pre-tax intangible asset amortization expense related to TWACS NG
software, purchase accounting intangible asset amortization related to the
Registrant's acquisitions within the past three years, and the expense related
to the purchase accounting step-up of Doble Engineering Company inventory.
The Registrant believes that the presentation of these operational measures
provides important supplemental information to management and investors
regarding financial and business trends relating to the Registrant's financial
condition and results of operations. The Registrant's management believes that
these measures provide an alternative method for assessing the Registrant's
expected future performance that is useful because they facilitate comparisons
with other companies in the Utility Solutions Group segment industry, many of
which use similar non-GAAP financial measures to supplement their GAAP results.
The Registrant provides this information to investors to enable them to perform
additional analyses of present and future operating performance, compare the
Registrant to other companies, and evaluate the Registrant's ongoing financial
operations.
The presentation of the information described above is intended to supplement
investors' understanding of the Registrant's operating performance. The
Registrant's non-GAAP financial measures may not be comparable to other
companies' non-GAAP financial performance measures. Furthermore, these measures
are not intended to replace net earnings (loss), cash flows, financial position,
comprehensive income (loss), or any other measure as determined in accordance
with GAAP.
ITEM 9.01. FINANCIAL STATEMENTS AND EXHIBITS
(d) Exhibits
Exhibit No. Description of Exhibit
99.1 Press Release dated February 5, 2009
OTHER MATTERS
The information in this report furnished pursuant to Item 2.02 and Item 7.01,
including Exhibit 99.1, shall not be deemed to be "filed" for purposes of
Section 18 of the Securities Exchange Act of 1934 as amended ("Exchange Act") or
otherwise subject to the liabilities of that section, unless the Registrant
incorporates it by reference into a filing under the Securities Act of 1933 as
amended or the Exchange Act.
SIGNATURE
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.
ESCO TECHNOLOGIES INC.
Dated: February 5, 2009 By: /s/ G.E. Muenster
G.E. Muenster
Executive Vice President and
Chief Financial Officer
EXHIBIT INDEX
Exhibit No. Description of Exhibit
99.1 Press Release dated February 5, 2009
Exhibit 99.1
NEWS FROM ESCO TECHNOLOGIES
For more information contact: For media inquiries:
Patricia K. Moore David P. Garino
Director, Investor Relations (314) 982-0551
ESCO Technologies Inc.
(314) 213-7277
ESCO ANNOUNCES FIRST QUARTER RESULTS AND
----------------------------------------
RECONFIRMS TOTAL YEAR REVENUE AND EPS GUIDANCE
----------------------------------------------
ST. LOUIS, February 5, 2009 - ESCO Technologies Inc. (NYSE: ESE) today
announced its results for the first quarter ended December 31, 2008, and also
reconfirmed its Revenue and Earnings Per Share guidance for fiscal year 2009
within the ranges previously communicated.
Chairman's Commentary - First Quarter 2009
- ------------------------------------------
Vic Richey, Chairman and Chief Executive Officer, commented, "While I am
pleased with our operating performance in the first quarter in what was a very
challenging economic environment, we did have a few utility customer projects
move to the right relative to the expected timing within our original quarterly
profile. The utility customers who elected to defer spending out of December
were trying to reduce their budgetary expenditures at the end of the calendar
year. After meeting with our business unit executives in January and reviewing
the details of our current operating plans, we feel that this situation was only
temporary and therefore, our total year revenue and earnings outlook for 2009
remains consistent with our previous guidance. While we continue to face
challenges every day, we are also seeing pockets of opportunities opening up
across the business which we believe can help shield our downside risks.
"Additionally during the quarter we incurred certain R&D project costs
earlier in the year versus plan on a few near-term Space program opportunities
at VACCO, and incurred additional development and re-design costs on our RF
electric product.
"During the first quarter we generated over $21 million of cash flow from
operations which allowed us to continue to pay down debt, and we continued to
move forward withmeaningful progress in the receipt of new firm orders on both
the New York City Water and Idaho Power AMI contracts, furthering our confidence
in the second half outlook.
"We will continue our disciplined approach and diligence so that we can
execute to our 2009 Plan and demonstrate ESCO's resiliency in these challenging
economic times."
First Quarter Summary
- ---------------------
The prior year first quarter results included the cumulative recognition of
$20.5 million of revenues, $8.5 million of EBIT, and $0.20 earnings per share
related to electric power-line system (PLS) AMI shipments to PG&E which were
required to be deferred from earlier periods for accounting revenue recognition
purposes (referred to throughout as "TNG Revenue Recognition").
Net earnings and EPS are presented from "Continuing Operations" and
"Discontinued Operations." Continuing Operations represent the results of the
ongoing businesses of the Company, and Discontinued Operations represent the
2008 results of the filtration portion of Filtertek which was sold on November
25, 2007. Discontinued Operations had no impact in the 2009 first quarter.
Continuing Operations
- ---------------------
Sales were $149.2 million in the first quarter of 2009 compared to $135.0
million in the 2008 first quarter (or, compared to $114.5 million of revenue
when excluding the $20.5 million of TNG Revenue Recognition). This 10.5 percent
sales increase (or, 30.3 percent excluding TNG Revenue Recognition) in 2009
reflects all three operating segments contributing higher revenues.
EPS was $0.22 per share in the first quarter of 2009 compared to the 2008
first quarter EPS of $0.30 per share (or, $0.10 per share when excluding the
$0.20 impact of TNG Revenue Recognition).
Net cash provided by operating activities was $21.1 million during the
first quarter of 2009, enabling an $18.7 million reduction in net debt
outstanding, which at December 31, 2008 was $179.4 million with a corresponding
leverage ratio of 2.07.
Discontinued Operations
- -----------------------
Discontinued Operations for the first quarter of fiscal 2008 represent the
results of the filtration portion of Filtertek. The first quarter 2008 net loss
of $0.19 per share was primarily driven by income tax expenses related to
Filtertek's foreign operations. The majority of the prior year first quarter net
loss was offset during the fourth quarter, resulting in a net loss from
Discontinued Operations of $0.02 per share for fiscal 2008.
Sales ----- Utility Solutions Group (USG) segment sales increased $10.7
million (13 percent) for the 2009 first quarter compared to the first quarter of
2008 as a result of the following:
o Doble sales increased $13.8 million over prior year reflecting the
impact of a full quarter of operations versus one month in the 2008
first quarter;
o Fixed network RF AMI sales increased $20.8 million (112 percent) in
the 2009 first quarter primarily due to higher gas product deliveries
at PG&E and the sale of additional water AMI products;
o Fixed network PLS AMI sales decreased $27.1 million in the 2009 first
quarter as TWACS deliveries to PG&E were $0 in the current period
compared to $22.4 million in the prior year's first quarter (including
the $20.5 million of TNG Revenue Recognition sales); and,
o Sales of software and digital video security products increased a
combined $3.2 million in the 2009 first quarter.
Test segment sales increased 10.7 percent in the first quarter of 2009
primarily due to an increase in large chamber deliveries to the international
wireless and electronics end-markets.
Filtration segment sales increased slightly in the first quarter of 2009
reflecting sales increases in the defense aerospace product line, partially
offset by lower commercial aerospace product deliveries resulting from the
impact of the Boeing strike during the quarter.
Earnings Before Interest and Taxes (EBIT)
- -----------------------------------------
On a segment basis, items that impacted EBIT dollars and EBIT as a percent
of sales ("EBIT margin") during the first quarter of fiscal 2009 included the
following:
In the USG segment, EBIT for the 2009 first quarter was $10.5 million
compared to $13.4 million in the 2008 first quarter. The $2.9 million net
decrease in EBIT dollars was driven by a significant decrease in EBIT from the
PLS business resulting from significantly lower sales to PG&E described above;
additional software amortization; and additional costs to support business
development efforts related to the pursuit of international AMI market
opportunities. All of the other operating units within the USG segment had
significant increases in EBIT dollars as a result of the sales increases noted
above. The RF AMI business EBIT dollars increased 70 percent, in spite of being
negatively impacted by $0.8 million of additional design and development costs
related to the RF electric AMI product.
In the Test segment, EBIT dollars and EBIT margins were significantly
higher in 2009 due to the sales increases in the current quarter, favorable
changes in sales mix, and rigorous cost controls.
In the Filtration segment, EBIT dollars and EBIT margins decreased in 2009
due to the timing of research and development costs, and higher bid and proposal
costs being incurred related to the pursuit of a significant number of Space
related projects.
Corporate operating costs were higher in 2009 due to higher amortization
expenses related to recent acquisitions that included identifiable intangible
assets.
Effective Tax Rate
- ------------------
The effective tax rate from Continuing Operations in the first quarter of
2009 was 30.1 percent compared to 37.7 percent in the first quarter of 2008. The
2009 tax rate was favorably impacted by Congress' extension of the research tax
credit during the 2009 first quarter. The 2009 first quarter tax rate was
consistent with the Company's guidance provided in November 2008.
New Orders
- ----------
New orders received in the first quarter were $141.1 million in 2009
compared to $130.4 million in 2008, representing an 8.2 percent increase and
resulting in a backlog at December 31, 2008, of $258.8 million.
Orders from PG&E for AMI gas products in the 2009 first quarter were $31.0
million (601,000 units) bringing the total gas project-to-date units to 2.6
million, or $150 million. The entire PG&E project-to-date (gas and electric)
represents 3.2 million units, worth $200 million.
Cumulative orders-to-date for the $68.3 million New York City Water AMI
project were $8.0 million, and orders-to-date for the $25 million Idaho Power
AMI project were $4.0 million.
Business Outlook - 2009
- -----------------------
Statements contained in the preceding and following paragraphs are based on
current expectations. Statements that are not strictly historical are considered
forward-looking, and actual results may differ materially.
The Business Outlook described below excludes the impact of any future
acquisitions or divestitures, and reflects: the impact of the amortization of
identifiable intangible purchase accounting assets related to Aclara Software,
Aclara RF, Doble and LDIC; the impact of the Doble inventory step-up resulting
in "lost" profit; and the amortization of TWACS NG software.
Aclara RF Facility Relocation
- -----------------------------
Due to its significant sales growth, Aclara RF Systems Inc. (formerly
Hexagram, Inc.) will be relocating from three existing leased facilities, to a
single, newer, more efficient facility in the greater Cleveland, Ohio, area
during fiscal 2009. As a result, approximately $2.0 million in pretax
nonrecurring exit and relocation costs are expected to be incurred in the
Utility Solutions Group, primarily related to the noncash write-off of leasehold
improvements, vacant facility charges, and physical move costs.
Comtrak Technologies LLC
- ------------------------
Management is currently evaluating its strategic alternatives involving
Comtrak and is currently in negotiations with a third party to purchase certain
assets and assume certain liabilities of Comtrak. Management is planning to
formally exit this business within the next 60 days, and the results of
operations of Comtrak will be accounted for as Discontinued Operations beginning
in the second quarter of fiscal 2009. Net cash proceeds from this action will be
used to further pay down debt.
Revenues and Earnings Per Share - 2009
- --------------------------------------
In fiscal 2009, Management expects the following:
o Revenues between $680 million and $690 million;
o EPS - GAAP Basis of between $2.00 and $2.15 (which includes
approximately $0.05 per share of expenses related to the Aclara
RF facility relocation charge noted above);
o EPS - Adjusted Basis of between $2.42 and $2.57 per share; and,
EPS- Adjusted Basis excludes approximately $0.42 per share of costs related
to TWACS NG software amortization, purchase accounting intangible asset
amortization related to the Company's recent acquisitions, and Doble's purchase
accounting inventory step-up.
Management believes using "EPS - Adjusted Basis" as a financial measure is
important for investors to understand the Company's operations and its ability
to service its debt.
The full-year 2009 tax rate is expected to be 35 to 37 percent, with
quarterly variations depending on the timing and amount of discrete tax benefits
and charges.
The 2009 quarterly earnings profile is projected to be back-end loaded, but
not as severely as fiscal 2008. Management expects second quarter EPS to be in
the range of $0.34 to $0.40 per share, compared to $0.23 per share in the 2008
second quarter.
Chairman's Commentary - 2009
- ----------------------------
Mr. Richey further commented, "As noted above, I remain optimistic about
the balance of fiscal 2009, and through our rigorous oversight and disciplined
planning processes, I remain confident that we have sufficient growth
opportunities and the right contingency plans in place to allow us to execute to
our plan as we navigate our way through this challenging economic period. Having
Doble and LDIC for the full year and beginning our AMI deployments with Idaho
Power and New York City water, along with our international opportunities,
should continue to provide us with positive momentum throughout 2009."
Conference Call
- ---------------
The Company will host a conference call today, February 5, at 4 p.m.,
Central Time, to discuss the Company's first quarter operating results. A live
audio webcast will be available on the Company's web site at
www.escotechnologies.com. Please access the web site at least 15 minutes prior
to the call to register, download, and install any necessary audio software. A
replay of the conference call will be available for seven days on the Company's
web site noted above or by phone (dial 1-888-203-1112 and enter the pass code
4522938).
Forward-Looking Statements
- --------------------------
Statements in this press release regarding the amounts and timing of fiscal
2009 future revenues, results, earnings, EBIT, EPS - Adjusted Basis, EPS - GAAP
Basis, fiscal 2009 second quarter EPS, costs incurred with the Aclara RF
relocation and new building, the timing and impact of exiting the Comtrak
business, the fiscal 2009 effective annual tax rate, the timing and certainty of
utility customer spending, the success of international AMR / AMI pilots and the
success of international opportunities, the long-term success of the Company,
and any other written or oral statements which are not strictly historical are
"forward-looking" statements within the meaning of the safe harbor provisions of
the federal securities laws. Investors are cautioned that such statements are
only predictions and speak only as of the date of this release, and the Company
undertakes no duty to update. The Company's actual results in the future may
differ materially from those projected in the forward-looking statements due to
risks and uncertainties that exist in the Company's operations and business
environment including, but not limited to: the risk factors described in Item 1A
of the Company's Annual Report on Form 10-K for the fiscal year ended September
30, 2008; the effect of the American Recovery and Reinvestment Act of 2009; the
success of the Company's competitors; changes in Federal or State energy laws;
the timing and content of purchase order releases under the Company's AMI
contracts; the Company's successful performance of its AMI contracts; site
readiness issues with Test segment customers; weakening of economic conditions
in served markets; changes in customer demands or customer insolvencies;
competition; intellectual property rights; technical difficulties; unforeseen
charges impacting corporate operating expenses; the performance of the Company's
international operations; material changes in the costs of certain raw materials
including steel and copper; delivery delays or defaults by customers;
termination for convenience of customer contracts; timing and magnitude of
future contract awards; containment of engineering and development costs;
performance issues with key customers, suppliers and subcontractors; labor
disputes; changes in laws and regulations including but not limited to changes
in accounting standards and taxation requirements; costs relating to
environmental matters; uncertainty of disputes in litigation or arbitration; the
Company's successful execution of internal operating plans; and the integration
of newly acquired businesses.
ESCO, headquartered in St. Louis, is a proven supplier of special purpose
utility solutions for electric, gas, and water utilities, including hardware and
software to support advanced metering applications and fully automated
intelligent instrumentation. In addition, the Company provides engineered
filtration products to the aviation, space, and process markets worldwide and is
the industry leader in RF shielding and EMC test products. Further information
regarding ESCO and its subsidiaries is available on the Company's web site at
www.escotechnologies.com.
- tables attached -
ESCO TECHNOLOGIES INC. AND SUBSIDIARIES
Condensed Consolidated Statements of Operations (Unaudited)
(Dollars in thousands, except per share amounts)
Three Months Three Months
Ended Ended
December 31, December 31,
2008 2007
---- ---- -
Net Sales $149,171 134,957
Cost and Expenses:
Cost of sales 93,561 84,012
SG&A 40,054 33,510
Amortization of intangible assets 4,734 3,597
Interest expense 2,619 1,359
Other (income) expenses, net (118) (214)
---- ----
Total costs and expenses 140,850 122,264
------- -------
Earnings before income taxes 8,321 12,693
Income taxes 2,501 4,788
----- -----
Net earnings from continuing operations 5,820 7,905
Loss from discontinued operations,
net of tax of $325 - (115)
Loss on sale from discontinued operations,
net of tax of $4,809 - (4,974)
------ ----- ------
Net earnings from discontinued
operations - (5,089)
Net earnings $ 5,820 2,816
======== =====
Earnings per share:
Basic
Continuing operations 0.22 0.31
Discontinued operations 0.00 (0.20)
---- -----
Net earnings $ 0.22 0.11
==== ====
Diluted
Continuing operations 0.22 0.30
Discontinued operations 0.00 (0.19)
---- -----
Net earnings $ 0.22 0.11
==== ====
Average common shares O/S:
Basic 26,108 25,759
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Diluted 26,422 26,202
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ESCO TECHNOLOGIES INC. AND SUBSIDIARIES
Condensed Business Segment Information
(Unaudited)
(Dollars in thousands)
Three Months Ended
December 31,
2008 2007
---- ----
Net Sales
Utility Solutions Group $ 90,015 79,309
Test 35,489 32,065
Filtration 23,667 23,583
------ ------
Totals $149,171 134,957
======== =======
EBIT
Utility Solutions Group $ 10,525 13,408
Test 3,234 1,990
Filtration 2,863 3,649
Corporate (5,682)(1) (4,995)(2)
------ ------
Consolidated EBIT 10,940 14,052
Interest (expense)/income (2,619) (1,359)
------ ------
Earnings before income taxes $ 8,321 12,693
===== ======
Note: Depreciation and amortization expense was $7.5 million and
$5.7 million for the quarters ended December 31, 2008 and 2007.
(1) Includes $1.2 million of amortization of acquired intangible assets.
(2) Includes $0.7 million of amortization of acquired intangible assets.
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ESCO TECHNOLOGIES INC. AND SUBSIDIARIES
Reconciliation of Non-GAAP Financial Measures
(Unaudited)
EPS from Continuing Operations-Adjusted Basis Reconciliation (prior year first
- ------------------- ------------------- --------------------------------------
quarter)
- --------
Q1 08
-----
EPS - GAAP Basis $0.30
Adjustments (defined below) (0.20)
-----
EPS - Adjusted Basis $0.10
=====
Adjustments exclude the recognition of deferred revenue and profit related to
previous period electric AMI shipments to PG&E which were deferred until the
delivery of TWACS NG software version 3.0, which occurred in December 2007. This
resulted in the cumulative recognition of $20.5 million of revenues and $8.5
million of EBIT which represents $0.20 per share in the first quarter of 2008.
EPS-Adjusted Basis Reconciliation-FY 2009
- -----------------------------------------
EPS - GAAP Basis - FY 2009 Range $2.00 2.15
Adjustments (defined below) 0.42 0.42
---- ----
EPS - Adjusted Basis - FY 2009 Range $2.42 2.57
==== ===== ====
Adjustments exclude pre-tax intangible asset amortization expense related to
TWACS NG software, purchase accounting intangible amortization related to the
Company's acquisitions within the last three years, and the expense related to
the purchase accounting step-up of Doble Engineering Company inventory.
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ESCO TECHNOLOGIES INC. AND SUBSIDIARIES
Condensed Consolidated Balance Sheets (Unaudited)
(Dollars in thousands)
December 31, September 30,
2008 2008
---- ----
Assets
- ------
Cash and cash equivalents $ 28,433 28,667
Accounts receivable, net 106,292 135,436
Costs and estimated earnings on long-term
contracts 8,477 9,095
Inventories 75,900 66,962
Current portion of deferred tax assets 15,984 15,368
Other current assets 11,540 15,108
------ ------
Total current assets 246,626 270,636
Property, plant and equipment, net 71,866 72,591
Goodwill 329,775 328,878
Intangible assets, net 233,276 238,223
Other assets 18,174 17,745
------ ------
$899,717 928,073
======== =======
Liabilities and Shareholders' Equity
- ------------------------------------
Short-term borrowings and current maturities
of long-term debt $50,000 50,000
Accounts payable 41,875 49,329
Current portion of deferred revenue 19,663 18,920
Other current liabilities 43,274 50,434
------ ------
Total current liabilities 154,812 168,683
Long-term portion of deferred revenue 1,962 2,228
Deferred tax liabilities 84,091 83,515
Other liabilities 20,866 21,760
Long-term debt 165,573 183,650
Shareholders' equity 472,413 468,237
------- -------
$899,717 928,073
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ESCO TECHNOLOGIES INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
(Dollars in thousands)
Three Months Ended
December 31, 2008
-----------------
Cash flows from operating activities:
Net earnings $ 5,820
Adjustments to reconcile net earnings
to net cash provided by operating activities:
Depreciation and amortization 7,534
Stock compensation expense 1,017
Changes in operating working capital 9,590
Effect of deferred taxes (1,695)
Change in deferred revenues and costs, net 565
Pension contributions (630)
Other (1,081)
------
Net cash provided by operating activities 21,120
Cash flows from investing activities:
Additions to capitalized software (875)
Capital expenditures (1,969)
------
Net cash used by investing activities (2,844)
Cash flows from financing activities:
Proceeds from long-term debt 15,000
Principal payments on long-term debt (33,077)
Excess tax benefit from stock options exercised 782
Proceeds from exercise of stock options 400
Other (1,615)
------
Net cash provided by financing activities (18,510)
-------
Net decrease in cash and cash equivalents (234)
Cash and cash equivalents, beginning of period 28,667
------
Cash and cash equivalents, end of period $ 28,433
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ESCO TECHNOLOGIES INC. AND SUBSIDIARIES
Other Selected Financial Data
(Unaudited)
(Dollars in thousands)
Backlog And Entered Orders -
- ---------------------------- Utility
Q1 FY 2009 Solutions Test Filtration Total
---------- --------- ---- ---------- -----
Beginning Backlog - 9/30/08
continuing opers $125,543 69,823 71,463 266,829
Entered Orders 86,504 29,902 24,710 141,116
Sales (90,015) (35,489) (23,667) (149,171)
------- ------- ------- --------
Ending Backlog - 12/31/08 $122,032 64,236 72,506 258,774
======== ====== ====== =======
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