Welcome!

News Feed Item

Marine Products Corporation Announces a Correction of Previously Announced Unaudited Financial Results for the Fourth Quarter and 12 Months Ended December 31, 2013

ATLANTA, Feb. 28, 2014 /PRNewswire/ -- Marine Products Corporation (NYSE: MPX) today announced a correction of its previously announced unaudited financial results for the fourth quarter and year ended December 31, 2013 due to an error in accumulating and recording accounts payable. 

During the course of Marine Products Corporation's annual audit in preparation for the filing of its annual financial statements, the Company discovered this error, which impacted the Company's accounts payable and accrued liabilities as well as cost of goods sold and other income statement data included in its prior press release for the quarter and year ended December 31, 2013.  For this reason, investors are cautioned not to rely on the unaudited financial results for these periods as disclosed in the press release issued by Marine Products Corporation and discussed in its conference call on January 29, 2014.

The Company has determined that this error only affects the reported financial results for the quarter and year ended December 31, 2013, and not any prior quarterly or annual results.  In connection with this error, the Company's management is considering the adequacy of its internal control over financial reporting and will disclose its findings in its Form 10-K for the 12 months ended December 31, 2013.

For the quarter ended December 31, 2013, Marine Products generated net sales of $39,786,000, a 16.5 percent increase compared to $34,152,000 in the same period the prior year.  (The Company's January 29, 2014 press release previously reported $39,534,000 in net sales for the fourth quarter of 2013.) The increase in net sales was due to an increase in the number of units sold as well as the average selling price per boat, as well as higher parts and accessories sales. 

Gross profit for the quarter was $7,655,000, a 38.2 percent increase compared to gross profit of $5,538,000 in the prior year.  Gross profit as a percentage of net sales was 19.2 percent, compared to 16.2 percent of net sales in the prior year.  (The Company's January 29, 2014 press release previously reported gross profit of $8,207,000, or 20.8 percent of net sales for the fourth quarter of 2013.)  As a percentage of net sales, gross profit increased due to higher production volumes and a favorable model mix during the quarter.

Operating profit for the quarter increased by 134.6 percent to $2,756,000 compared to $1,175,000 in the fourth quarter of last year due to higher gross profit, partially offset by higher selling, general and administrative expenses.  (The Company's January 29, 2014 press release previously reported operating profit of $3,260,000 for the fourth quarter of 2013.)  Selling, general and administrative expenses increased by 12.3 percent to $4,899,000 in the fourth quarter of 2013 compared to $4,363,000 last year.  (The Company's January 29, 2014 press release previously reported selling, general and administrative expenses of $4,947,000 for the fourth quarter of 2013.)  These expenses increased due to expenses which vary with sales and profitability, such as incentive compensation and sales commissions.  As a percentage of net sales, these expenses decreased slightly during the fourth quarter of 2013 compared to the fourth quarter of 2012.  Interest income was $114,000 during the fourth quarter of 2013, a decline of 58.1 percent compared to $272,000 during the fourth quarter of 2012.

Net income for the quarter ended December 31, 2013 was $2,142,000, compared to net income of $1,064,000 for the fourth quarter of 2012.  (The Company's January 29, 2014 press release previously reported net income for the fourth quarter of 2013 of $2,408,000.)  Diluted earnings per share were $0.06 in the fourth quarter of 2013 compared to $0.03 in the fourth quarter of last year. Diluted earnings per share during the fourth quarter of 2013 were unchanged from the amount the Company previously reported in its January 29, 2014 press release.

Net sales for the twelve months ended December 31, 2013 were $168,293,000, a 13.0 percent increase compared to the prior year.  (The Company's January 29, 2014 press release previously reported $168,041,000 in net sales for 2013.)  Net income for the twelve months ended December 31, 2013 was $7,528,000, or $0.20 per diluted share, compared to net income of $6,979,000, or $0.19 per diluted share, in 2012.  (The Company's January 29, 2014 press release previously reported net income of $7,794,000, or $0.21 per diluted share for 2013.)

Based on its review, management believes that the unaudited financial results disclosed today will be consistent with those that will be reflected in its Form 10-K for the 12 months ended December 31, 2013.  Marine Products Corporation anticipates that its Form 10-K for this period will be filed by March 14, 2014.

Marine Products Corporation (NYSE: MPX) designs, manufactures and distributes premium-branded Chaparral sterndrive pleasure boats; and Robalo sport fishing boats, and continues to diversify its product line through product innovation and is prepared to consider strategic acquisition targets.  With premium brands, a solid capital structure, and a strong independent dealer network, Marine Products Corporation is prepared to capitalize on opportunities to increase its market share and to generate superior financial performance to build long-term shareholder value.  For more information on Marine Products Corporation visit our website at www.marineproductscorp.com.

Certain statements and information included in this press release constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include statements that look forward in time or express management's beliefs, expectations or hopes.  In particular, such statements include, without limitation, the belief that the financial results disclosed in its Form 10-K for the 12 months ended December 31, 2013 will be consistent with those disclosed in today's press release, that Marine Products Corporation will file its Form 10-K for the 12 months ended December 31, 2013 by March 14, 2014, that no additional accounting errors will be discovered which impact the results of any prior period, and that the Company is prepared to capitalize on opportunities to increase its market share and to generate superior financial performance to build long-term shareholder value.  Additional discussion of factors that could cause the actual results to differ materially from management's projections, forecasts, estimates and expectations is contained in Marine Products' Form 10-K, filed with the Securities and Exchange Commission for the year ending December 31, 2012.

For information contact:

BEN M. PALMER
Chief Financial Officer
(404) 321-7910
[email protected]

JIM LANDERS
Vice President, Corporate Finance
(404) 321-2162
[email protected]

 

MARINE PRODUCTS CORPORATION AND SUBSIDIARIES


































CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands except per share data)











Periods ended December 31, (Unaudited)


Fourth Quarter







Twelve Months




2013



2012


% BETTER

(WORSE)




2013



2012


% BETTER

(WORSE)


Net Sales

$

39,786


$

34,152


16.5

%


$

168,293


$

148,950


13.0

%

Cost of Goods Sold


32,131



28,614


(12.3)




138,480



121,746


(13.7)


Gross Profit


7,655



5,538


38.2




29,813



27,204


9.6


Selling, General and Administrative Expenses


4,899



4,363


(12.3)




20,307



18,443


(10.1)


Operating Profit


2,756



1,175


134.6




9,506



8,761


8.5


Interest Income


114



272


(58.1)




524



960


(45.4)


Income Before Income Taxes


2,870



1,447


98.3




10,030



9,721


3.2


Income Tax Provision


728



383


(90.1)




2,502



2,742


8.8


Net Income

$

2,142


$

1,064


101.3

%


$

7,528


$

6,979


7.9

%





































EARNINGS PER SHARE


















Basic

$

0.06


$

0.03


100.0

%


$

0.20


$

0.19


5.3

%

Diluted

$

0.06


$

0.03


100.0

%


$

0.20


$

0.19


5.3

%



















AVERAGE SHARES OUTSTANDING


















Basic


36,827



36,680






36,820



36,656




Diluted


37,237



36,820






37,144



36,804




 

MARINE PRODUCTS CORPORATION AND SUBSIDIARIES












CONSOLIDATED BALANCE  SHEETS






At December 31, (Unaudited)


(in thousands)



2013



2012

ASSETS






Cash and cash equivalents

$

5,114


$

1,648

Marketable securities


5,639



1,150

Accounts receivable, net


2,021



1,794

Inventories


28,859



28,159

Income taxes receivable


692



394

Deferred income taxes


1,096



1,283

Prepaid expenses and other current assets


1,839



1,607

  Total current assets


45,260



36,035

Property, plant and equipment, net


11,265



11,470

Goodwill 


3,308



3,308

Other intangibles, net


465



465

Marketable securities


30,949



35,773

Deferred income taxes


3,177



3,531

Other assets


8,129



6,733

  Total assets

$

102,553


$

97,315







LIABILITIES AND STOCKHOLDERS' EQUITY






Accounts payable

$

5,569


$

4,246

Accrued expenses and other liabilities


8,993



9,000

  Total current liabilities


14,562



13,246

Long-term pension liabilities


6,420



6,232

Other long-term liabilities


88



90

  Total liabilities


21,070



19,568

Common stock 


3,810



3,782

Capital in excess of par value


3,583



2,417

Retained earnings


74,943



73,120

Accumulated other comprehensive loss


(853)



(1,572)

  Total stockholders' equity


81,483



77,747

  Total liabilities and stockholders' equity 

$

102,553


$

97,315

 

SOURCE Marine Products Corporation

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
For far too long technology teams have lived in siloes. Not only physical siloes, but cultural siloes pushed by competing objectives. This includes informational siloes where business users require one set of data and tech teams require different data. DevOps intends to bridge these gaps to make tech driven operations more aligned and efficient.
Organizations planning enterprise data center consolidation and modernization projects are faced with a challenging, costly reality. Requirements to deploy modern, cloud-native applications simultaneously with traditional client/server applications are almost impossible to achieve with hardware-centric enterprise infrastructure. Compute and network infrastructure are fast moving down a software-defined path, but storage has been a laggard. Until now.
Without a clear strategy for cost control and an architecture designed with cloud services in mind, costs and operational performance can quickly get out of control. To avoid multiple architectural redesigns requires extensive thought and planning. Boundary (now part of BMC) launched a new public-facing multi-tenant high resolution monitoring service on Amazon AWS two years ago, facing challenges and learning best practices in the early days of the new service.
HyperConvergence came to market with the objective of being simple, flexible and to help drive down operating expenses. It reduced the footprint by bundling the compute/storage/network into one box. This brought a new set of challenges as the HyperConverged vendors are very focused on their own proprietary building blocks. If you want to scale in a certain way, let's say you identified a need for more storage and want to add a device that is not sold by the HyperConverged vendor, forget about it...
Digital Transformation is much more than a buzzword. The radical shift to digital mechanisms for almost every process is evident across all industries and verticals. This is often especially true in financial services, where the legacy environment is many times unable to keep up with the rapidly shifting demands of the consumer. The constant pressure to provide complete, omnichannel delivery of customer-facing solutions to meet both regulatory and customer demands is putting enormous pressure on...
The best way to leverage your CloudEXPO | DXWorldEXPO presence as a sponsor and exhibitor is to plan your news announcements around our events. The press covering CloudEXPO | DXWorldEXPO will have access to these releases and will amplify your news announcements. More than two dozen Cloud companies either set deals at our shows or have announced their mergers and acquisitions at CloudEXPO. Product announcements during our show provide your company with the most reach through our targeted audienc...
As organizations shift towards IT-as-a-service models, the need for managing and protecting data residing across physical, virtual, and now cloud environments grows with it. Commvault can ensure protection, access and E-Discovery of your data – whether in a private cloud, a Service Provider delivered public cloud, or a hybrid cloud environment – across the heterogeneous enterprise. In his general session at 18th Cloud Expo, Randy De Meno, Chief Technologist - Windows Products and Microsoft Part...
JETRO showcased Japan Digital Transformation Pavilion at SYS-CON's 21st International Cloud Expo® at the Santa Clara Convention Center in Santa Clara, CA. The Japan External Trade Organization (JETRO) is a non-profit organization that provides business support services to companies expanding to Japan. With the support of JETRO's dedicated staff, clients can incorporate their business; receive visa, immigration, and HR support; find dedicated office space; identify local government subsidies; get...
@DevOpsSummit at Cloud Expo, taking place November 12-13 in New York City, NY, is co-located with 22nd international CloudEXPO | first international DXWorldEXPO and will feature technical sessions from a rock star conference faculty and the leading industry players in the world.
DXWorldEXPO LLC announced today that ICC-USA, a computer systems integrator and server manufacturing company focused on developing products and product appliances, will exhibit at the 22nd International CloudEXPO | DXWorldEXPO. DXWordEXPO New York 2018, colocated with CloudEXPO New York 2018 will be held November 11-13, 2018, in New York City. ICC is a computer systems integrator and server manufacturing company focused on developing products and product appliances to meet a wide range of ...
With 10 simultaneous tracks, keynotes, general sessions and targeted breakout classes, @CloudEXPO and DXWorldEXPO are two of the most important technology events of the year. Since its launch over eight years ago, @CloudEXPO and DXWorldEXPO have presented a rock star faculty as well as showcased hundreds of sponsors and exhibitors!
DXWorldEXPO LLC announced today that the upcoming DXWorldEXPO | CloudEXPO New York event will feature 10 companies from Poland to participate at the "Poland Digital Transformation Pavilion" on November 12-13, 2018.
Today we can collect lots and lots of performance data. We build beautiful dashboards and even have fancy query languages to access and transform the data. Still performance data is a secret language only a couple of people understand. The more business becomes digital the more stakeholders are interested in this data including how it relates to business. Some of these people have never used a monitoring tool before. They have a question on their mind like “How is my application doing” but no id...
22nd International Cloud Expo, taking place June 5-7, 2018, at the Javits Center in New York City, NY, and co-located with the 1st DXWorld Expo will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud ...
"We're focused on how to get some of the attributes that you would expect from an Amazon, Azure, Google, and doing that on-prem. We believe today that you can actually get those types of things done with certain architectures available in the market today," explained Steve Conner, VP of Sales at Cloudistics, in this SYS-CON.tv interview at 21st Cloud Expo, held Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA.