AMCON Distributing Company (DIT, Financial) filed Quarterly Report for the period ended 2008-12-31.
Ditech Networks supplies voice processing equipment for telecommunication networks around the world. Ditech Networks' solutions incorporate advanced voice processing Session Initiation Protocol and security technologies delivered on carrier-grade scalable platforms to enhance the delivery of communications services over mobile Voice over IP and wireline networks. Ditech Networks' customers are premier network operators including Verizon Wireless Sprint/Nextel Orascom Telecom and others that collectively serve more than fe million subscribers AMCON Distributing Company has a market cap of $9.69 million; its shares were traded at around $19.61 with and P/S ratio of 0.01. The dividend yield of AMCON Distributing Company stocks is 2.35%. AMCON Distributing Company had an annual average earning growth of 11.6% over the past 5 years.
Three months
ended December
-
Incr
2008 2007 (Decr)
- - -
Wholesale distribution segment $ 208.4 $ 201.2 $ 7.2
Retail health food segment 9.0 9.5 (0.5)
- - -
$ 217.4 $ 210.7 $ 6.7
= = =
Gross profit by business segment for the three month period ended
December 2008 and December 2007 are as follows (dollars in millions):
Three months
ended December
-
Incr
2008 2007 (Decr)
- - -
Wholesale distribution segment $ 12.2 $ 11.3 $ 0.9
Retail health food segment 3.6 3.9 (0.3)
- - -
$ 15.8 $ 15.2 $ 0.6
= = =
Financing Activities. The Company used cash of $8.2 million for financing
activities during Q1 2009. Of this amount, $7.9 million related to net
payments on the Company's credit facility, $0.2 million related to principal
payments on long-term debt, and $0.1 million related to dividends on the
Company's common and preferred stock.
Cash on Hand/Working Capital. At December 2008, the Company had cash on hand
of $0.4 million and working capital (current assets less current liabilities)
of $31.2 million. This compares to cash on hand of $0.5 million and working
capital of $38.9 million at September 2008.
During Q1 2009, our peak borrowings under the Facility were $37.7 million and
our average borrowings and average availability were $32.6 and $18.3 million,
respectively. Our availability to borrow under the Facility generally
decreases as inventory and accounts receivable levels go up because of the
borrowing limitations that are placed on collateralized assets.
As part of the July 2007 Television Events & Marketing, Inc. ("TEAM")
litigation settlement, the Company became obligated to pay $46,875 in
quarterly installments through October 2010 and $31,250 in quarterly
installments thereafter through October 2011. Mr. Wright has personally
guaranteed these payment obligations, which totaled approximately $0.4
million at December 2008. AMCON pays Mr. Wright an annual fee equal to 2% of
the guaranteed principal in return for his personal guarantee. This guarantee
is secured by a pledge of the Company's shares of Chamberlin's, Akin's, HNWC,
and TSI.
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Ditech Networks supplies voice processing equipment for telecommunication networks around the world. Ditech Networks' solutions incorporate advanced voice processing Session Initiation Protocol and security technologies delivered on carrier-grade scalable platforms to enhance the delivery of communications services over mobile Voice over IP and wireline networks. Ditech Networks' customers are premier network operators including Verizon Wireless Sprint/Nextel Orascom Telecom and others that collectively serve more than fe million subscribers AMCON Distributing Company has a market cap of $9.69 million; its shares were traded at around $19.61 with and P/S ratio of 0.01. The dividend yield of AMCON Distributing Company stocks is 2.35%. AMCON Distributing Company had an annual average earning growth of 11.6% over the past 5 years.
Highlight of Business Operations:
Three months
ended December
-
Incr
2008 2007 (Decr)
- - -
Wholesale distribution segment $ 208.4 $ 201.2 $ 7.2
Retail health food segment 9.0 9.5 (0.5)
- - -
$ 217.4 $ 210.7 $ 6.7
= = =
Gross profit by business segment for the three month period ended
December 2008 and December 2007 are as follows (dollars in millions):
Three months
ended December
-
Incr
2008 2007 (Decr)
- - -
Wholesale distribution segment $ 12.2 $ 11.3 $ 0.9
Retail health food segment 3.6 3.9 (0.3)
- - -
$ 15.8 $ 15.2 $ 0.6
= = =
Financing Activities. The Company used cash of $8.2 million for financing
activities during Q1 2009. Of this amount, $7.9 million related to net
payments on the Company's credit facility, $0.2 million related to principal
payments on long-term debt, and $0.1 million related to dividends on the
Company's common and preferred stock.
Cash on Hand/Working Capital. At December 2008, the Company had cash on hand
of $0.4 million and working capital (current assets less current liabilities)
of $31.2 million. This compares to cash on hand of $0.5 million and working
capital of $38.9 million at September 2008.
During Q1 2009, our peak borrowings under the Facility were $37.7 million and
our average borrowings and average availability were $32.6 and $18.3 million,
respectively. Our availability to borrow under the Facility generally
decreases as inventory and accounts receivable levels go up because of the
borrowing limitations that are placed on collateralized assets.
As part of the July 2007 Television Events & Marketing, Inc. ("TEAM")
litigation settlement, the Company became obligated to pay $46,875 in
quarterly installments through October 2010 and $31,250 in quarterly
installments thereafter through October 2011. Mr. Wright has personally
guaranteed these payment obligations, which totaled approximately $0.4
million at December 2008. AMCON pays Mr. Wright an annual fee equal to 2% of
the guaranteed principal in return for his personal guarantee. This guarantee
is secured by a pledge of the Company's shares of Chamberlin's, Akin's, HNWC,
and TSI.
Read the The complete Report
