Atrion Reports Second Quarter Results

ALLEN, Texas, Aug. 06, 2020 (GLOBE NEWSWIRE) -- Atrion Corporation (NASDAQ: ATRI) today announced that for the second quarter ended June 30, 2020, revenues totaled $38.0 million compared with $40.1 million for the same period in 2019. Net income for the second quarter of 2020 totaled $8.6 million as compared to $9.7 million for the same period in 2019, with diluted earnings per share for the second quarter of 2020 at $4.68 compared to $5.18 for the second quarter of 2019.

Commenting on the Company’s quarterly results for the second quarter of 2020 compared to the same period last year, David A. Battat, President & CEO, stated, “The impact of the pandemic was felt in the second quarter with revenues and operating income lower by 5% and 8%, respectively, essentially the reverse image of the first quarter when revenues were up 5% and operating income was up 6%.” Mr. Battat explained, “The current year second quarter saw hospitals suspend elective surgeries to preserve ICU beds and other resources to deal with the anticipated deluge of Covid-19 patients. As a result, sales of our products used in elective procedures were lower by $3.7 million.” Mr. Battat added, “The net impact on overall sales was limited to $2.1 million thanks to our diversified product portfolio and the tireless efforts of my co-workers who kept our operations running throughout this period.” 

Mr. Battat continued “With an effective tax rate 15% higher in this year’s quarter than the prior year’s second quarter, diluted EPS and net income were lower by 10% and 11%, respectively. During the quarter we purchased 12,158 shares of our common stock at an average cost of $641 per share. As of June 30, 2020, we continue to be debt free while holding $87.5 million in cash and short and long term investments.”

Atrion Corporation develops and manufactures products primarily for medical applications. The Company’s website is www.atrioncorp.com.

ATRION CORPORATION
UNAUDITED CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except per share data)

	Three Months Ended June 30,								Six Months Ended June 30,
		2020				2019				2020				2019
Revenues	$	37,968			$	40,103			$	81,563			$	81,717
Cost of goods sold		20,499				21,511				44,226				44,422
Gross profit		17,469				18,592				37,337				37,295
Operating expenses		7,423				7,626				15,577				15,291
Operating income		10,046				10,966				21,760				22,004
Interest and dividend income		367				581				858				1,163
Other investment income (loss)		354				161				(673	)			372
Income before income taxes		10,767				11,708				21,945				23,539
Income tax provision		(2,162	)			(2,044	)			(4,443	)			(4,437	)
Net income	$	8,605			$	9,664			$	17,502			$	19,102
Income per basic share	$	4.69			$	5.21			$	9.49			$	10.30
Weighted average basic shares   outstanding		1,835				1,854				1,844				1,854
Income per diluted share	$	4.68			$	5.18			$	9.47			$	10.25
Weighted average diluted shares   outstanding		1,839				1,864				1,849				1,863

                   

ATRION CORPORATION
CONSOLIDATED BALANCE SHEETS
(In thousands)

	June 30,			Dec. 31,
ASSETS	2020			2019
	(Unaudited)
Current assets:
Cash and cash equivalents	$	24,099		$	45,048
Short-term investments		6,574			23,766
Total cash and short-term investments		30,673			68,814
Accounts receivable		22,441			18,886
Inventories		45,805			42,093
Prepaid expenses and other		3,226			2,545
Total current assets		102,145			132,338
Long-term investments		56,871			31,772
Property, plant and equipment, net		87,867			84,606
Other assets		13,467			13,315
	$	260,350		$	262,031
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities		15,443			11,274
Line of credit		--			--
Other non-current liabilities		11,380			12,887
Stockholders’ equity		233,527			237,870
	$	260,350		$	262,031

Contact:    
Jeffery Strickland
Vice President and Chief Financial Officer
[phone]