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)      August 3, 2005

 

Hawkins, Inc.

(Exact name of registrant as specified in its charter)

 

Minnesota

 

0-7647

 

41-0771293

(State of Incorporation)

 

(Commission File Number)

 

(IRS Employer
Identification No.)

 

 

 

 

 

3100 East Hennepin Avenue
Minneapolis, MN

 

55413

(Address of Principal Executive Offices)

 

(Zip Code)

 

Registrant’s Telephone Number, Including Area Code    (612) 331-6910

 

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 (see General Instruction A.2. below):

 

o            Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

o            Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

o            Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

o            Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 



 

Item 2.02.                  Results of Operations and Financial Condition.

 

On August 3, 2005, Hawkins, Inc. issued a press release announcing financial results for its fiscal first quarter ended June 30, 2005.  A copy of the press release issued by the Registrant is furnished herewith as Exhibit 99 hereto and is incorporated herein by reference.

 

Item 9.01.                  Financial Statements and Exhibits.

 

(c)

 

Exhibit.

 

 

 

 

 

Exhibit 99 - Press Release, dated August 3, 2005, announcing financial results of Hawkins, Inc. for its fiscal first quarter ended June 30, 2005.

 

2



 

SIGNATURES

 

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.

 

 

HAWKINS, INC.

 

 

 

 

 

 

 

 

Date: August 3, 2005

By:

/s/ Marvin E. Dee

 

 

 

 

 

 

 

Marvin E. Dee

 

 

 

Vice President, Chief Financial Officer,

 

 

 

Secretary and Treasurer

 

 

3


Exhibit 99

 

FOR IMMEDIATE RELEASE

 

Contacts:

 

Marvin E. Dee

Chief Financial Officer

612/617-8571

marvin.dee@HawkinsInc.com

 

Jennifer A. Weichert

Weichert Financial Relations, Inc.

651/686-9751

weichertfr@aol.com

 

HAWKINS, INC. REPORTS

 

FISCAL 2006 FIRST QUARTER RESULTS

 

Minneapolis, MN, August 3, 2005 – Hawkins, Inc.  (Nasdaq:  HWKN) today announced sales of $35.9 million for its first quarter ended June 30, 2005, an increase of 19.7% over the $30.0 million in sales for last year’s first quarter. Net income for the first quarter of fiscal 2006 was $2.7 million, or $0.27 per share, versus net income of $2.9 million, or $0.29 per share, for the same period of fiscal 2005.

 

Chairman and Chief Executive Officer, John R. Hawkins, commented, “The actions we have taken to build our businesses, expand and enhance our product lines and focus on customer service are evidenced in this quarter’s results. Sales in all areas of Hawkins’ business grew. Industrial segment sales rose 26.4%, Water Treatment segment sales increased 13.8% and Pharmaceutical segment sales improved 4.8%. Increased selling prices for caustic soda, expanded product lines offering complementary capabilities and a growing customer base drove the improvements.”

 

Mr. Hawkins noted that gross margin, as percentage of sales, however was negatively impacted by the rising cost of caustic soda and competitive pressures, equaling 27.6% for the first quarter of fiscal 2006 compared to 28.7% a year ago.

 

Selling, general and administrative expenses continued to rise due to the higher cost of doing business as a public company in today’s environment and the ongoing implementation of an Enterprise Resource Planning system. Additionally, increases in the Industrial segment sales force and attorneys fees related to the Company’s lawsuit against the former principals of Universal Chemicals contributed to the increase in expenses.

 

“Our focus on maintaining our financial strength is evident as we ended the first quarter of fiscal 2006 with approximately $24.1 million in cash and marketable securities and no debt,” Hawkins stated. “The cornerstone of Hawkins’ success is our people and their dedication to maximizing

 



 

shareholder return. We have built a strong foundation for growth and are better positioned than ever to capitalize on opportunities in the marketplace.”

 

Hawkins, Inc. is a highly focused regional company which provides a full range of bulk industrial products complemented with the technical competence and ingenuity to formulate and blend specialty chemicals. The Company sells and services related products and equipment to safely dispense chemicals in highly controlled environments.

 

The industries in which Hawkins’ customers participate include chemical processing, electronics, energy, environmental services, food processing, metal finishing, pharmaceutical, medical devices, pulp and paper, and water treatment.

 

The Company strives to operate in concert with the environment. Its products and services are geared to improve the environment and ensure the safe handling of chemicals.

 

Hawkins is headquartered in Minneapolis, Minnesota. The Company operates fifteen facilities in Iowa, Illinois, Minnesota, Montana, Nebraska, South and North Dakota and Wisconsin and services customers in Upper Michigan, Kansas and Wyoming as well.

 

The discussion above contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995.  These statements by their nature involve substantial risks and uncertainties as described by Hawkins’ periodic filings.  Actual results may differ materially depending on a variety of factors, including, but not limited to the following:  the achievement of Hawkins’ projected operating results, the achievement of efficient volume production and related sales revenue, the ability of Hawkins to identify and successfully pursue other business opportunities, and the effectiveness of Hawkins’ internal controls.  Additional information with respect to the risks and uncertainties faced by Hawkins may be found in, and the prior discussion is qualified in its entirety by, the Risk Factors contained in the Company’s filings with the Securities and Exchange Commission including Hawkins’ Report on Form 10-K for the period ended April 3, 2005, Forms 10-Q, and other SEC filings.

 

-more-

 



 

HAWKINS, INC.

CONDENSED STATEMENTS OF INCOME

(unaudited)

 

 

 

Quarters Ended

 

 

 

June 30, 2005

 

June 30, 2004

 

 

 

 

 

 

 

Sales

 

$

35,854,527

 

$

29,955,818

 

 

 

 

 

 

 

Cost of sales

 

25,968,869

 

21,370,342

 

 

 

 

 

 

 

Gross margin

 

9,885,658

 

8,585,476

 

 

 

 

 

 

 

Selling, general and administrative expenses

 

5,898,396

 

4,204,845

 

 

 

 

 

 

 

Income from operations

 

3,987,262

 

4,380,631

 

 

 

 

 

 

 

Investment income

 

308,224

 

196,173

 

 

 

 

 

 

 

Income before income taxes

 

4,295,486

 

4,576,804

 

 

 

 

 

 

 

Provision for income taxes

 

1,546,000

 

1,647,500

 

 

 

 

 

 

 

Net income

 

$

2,749,486

 

$

2,929,304

 

 

 

 

 

 

 

Weighted average number of shares outstanding - basic

 

10,216,688

 

10,216,688

 

 

 

 

 

 

 

Weighted average number of shares outstanding - diluted

 

10,243,905

 

10,216,688

 

 

 

 

 

 

 

Earnings per share - basic and diluted

 

$

0.27

 

$

0.29

 

 

 

 

 

 

 

Cash dividends declared per common share

 

$

 

$

 

 

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