Escalade : Quarterly report which provides a continuing view of a company's financial position

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FORM10-Q

ESCALADE INC - ESCA

Filed: April 18, 2019 (period: March 23, 2019)

Quarterly report with a continuing view of a company's financial position

The information contained herein may not be copied, adapted or distributed and is not warranted to be accurate, complete or timely. The user assumes all risks for any damages or losses arising from any use of this information, except to the extent such damages or losses cannot be limited or excluded by applicable law. Past financial performance is no guarantee of future results.

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 10-Q

x Quarterly report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

For the quarterly period ended March 23, 2019 or

¨Transition report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from _____ to _____

Commission File Number 0-6966

ESCALADE, INCORPORATED

(Exact name of registrant as specified in its charter)

Indiana	13-2739290
(State of incorporation)	(I.R.S. EIN)
817 Maxwell Ave, Evansville, Indiana	47711
(Address of principal executive office)	(Zip Code)
812-467-4449
(Registrant's Telephone Number)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Yes x No ¨

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).

Yes x No ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.

Large accelerated filer ¨	Accelerated filer x
Non-accelerated filer ¨	Smaller reporting company x
	Emerging growth company ¨

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Yes ¨ No x

Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of the latest practicable date.

Class	Outstanding at April 17, 2019
Common, no par value	14,471,496

Source: ESCALADE INC, 10-Q, April 18, 2019

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The information contained herein may not be copied, adapted or distributed and is not warranted to be accurate, complete or timely. The user assumes all risks for any damages or losses arising from any use of this information, except to the extent such damages or losses cannot be limited or excluded by applicable law. Past financial performance is no guarantee of future results.

	INDEX
		Page
		No.
Part I.	Financial Information:
Item 1 -	Financial Statements:
	Consolidated Condensed Balance Sheets as of March 23, 2019, December 29, 2018, and March 24, 2018	3
	Consolidated Condensed Statements of Operations for the Three Months Ended March 23, 2019 and March 24, 2018	4
	Consolidated Condensed Statements of Comprehensive Income for the Three Months Ended March 23, 2019 and March 24,	5
	2018
	Consolidated Statements of Stockholders' Equity for the Three Months Ended March 23, 2019 and March 24, 2018	5
	Consolidated Condensed Statements of Cash Flows for the Three Months Ended March 23, 2019 and March 24, 2018	6
	Notes to Consolidated Condensed Financial Statements	7
Item 2 -	Management's Discussion and Analysis of Financial Condition and Results of Operations	13
Item 3 -	Quantitative and Qualitative Disclosures About Market Risk	15
Item 4 -	Controls and Procedures	15
Part II.	Other Information
Item 2 -	Unregistered Sales of Equity Securities and Use of Proceeds	16
Item 6 -	Exhibits	17
	Signature	17
	2

Source: ESCALADE INC, 10-Q, April 18, 2019

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The information contained herein may not be copied, adapted or distributed and is not warranted to be accurate, complete or timely. The user assumes all risks for any damages or losses arising from any use of this information, except to the extent such damages or losses cannot be limited or excluded by applicable law. Past financial performance is no guarantee of future results.

PART I - FINANCIAL INFORMATION
Item 1. FINANCIAL STATEMENTS
ESCALADE, INCORPORATED AND SUBSIDIARIES
CONSOLIDATED CONDENSED BALANCE SHEETS
			March 23,			December 29,			March 24,
All Amounts in Thousands Except Share Information			2019			2018			2018
			(Unaudited)			(Audited)			(Unaudited)
ASSETS
Current Assets:
Cash and cash equivalents	$		4,299	$		2,824	$		2,863
Receivables, less allowance of $548; $532; and $484; respectively			31,951			40,682			28,850
Inventories			47,744			39,122			40,114
Prepaid expenses			2,986			4,151			2,866
Prepaid income tax			1,033			1,082			501
Other current assets			-			2			33
TOTAL CURRENT ASSETS			88,013			87,863			75,227
Property, plant and equipment, net			15,523			15,498			13,903
Operating lease right-of-use assets			878			-			-
Intangible assets, net			19,447			19,785			19,368
Goodwill			26,381			26,381			21,548
Investments			-			-			20,175
Other assets			90			-			-
TOTAL ASSETS		$	150,332		$	149,527		$	150,221
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities:
Current portion of long-term debt	$		-	$		-	$		18,941
Trade accounts payable			7,756			5,631			5,188
Accrued liabilities			6,512			11,072			8,128
Current operating lease liabilities			595			-			-
TOTAL CURRENT LIABILITIES			14,863			16,703			32,257
Other Liabilities:
Long-term debt			3,662			-			3,750
Deferred income tax liability			3,409			3,409			2,452
Operating lease liabilities			288			-			-
Other liabilities			1,094			1,094			553
TOTAL LIABILITIES			23,316			21,206			39,012
Stockholders' Equity:
Preferred stock:
Authorized 1,000,000 shares; no par value, none issued
Common stock:
Authorized 30,000,000 shares; no par value, issued and outstanding - 14,471,496;
14,438,824; and 14,415,690; shares respectively			14,471			14,439			14,416
Retained earnings			112,545			113,882			99,495
Accumulated other comprehensive loss			-			-			(2,702)
TOTAL STOCKHOLDERS' EQUITY			127,016			128,321			111,209
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY		$	150,332		$	149,527		$	150,221

See notes to Consolidated Condensed Financial Statements.

3

Source: ESCALADE INC, 10-Q, April 18, 2019

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The information contained herein may not be copied, adapted or distributed and is not warranted to be accurate, complete or timely. The user assumes all risks for any damages or losses arising from any use of this information, except to the extent such damages or losses cannot be limited or excluded by applicable law. Past financial performance is no guarantee of future results.

ESCALADE, INCORPORATED AND SUBSIDIARIES

CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS (UNAUDITED)

				Three Months Ended
				March 23,			March 24,
All Amounts in Thousands Except Per Share Data				2019			2018
Net sales	$			32,102		$	32,149
Costs and Expenses
Cost of products sold				23,625			23,161
Selling, administrative and general expenses				7,745			6,950
Amortization				338			323
Operating Income				394			1,715
Other Income (Expense)
Interest expense				(68)			(189)
Equity in loss of affiliates				-			(12)
Other income (loss)				6			(23)
Income Before Income Taxes				332			1,491
Provision for Income Taxes				65			275
Net Income			$	267		$	1,216
Earnings Per Share Data:
Basic earnings per share	$			0.02		$	0.09
Diluted earnings per share	$			0.02		$	0.08
Dividends declared	$			0.125		$	0.125
See notes to Consolidated Condensed Financial Statements.
	4

Source: ESCALADE INC, 10-Q, April 18, 2019

Powered by Morningstar® Document Research℠

The information contained herein may not be copied, adapted or distributed and is not warranted to be accurate, complete or timely. The user assumes all risks for any damages or losses arising from any use of this information, except to the extent such damages or losses cannot be limited or excluded by applicable law. Past financial performance is no guarantee of future results.