01—Abstract
Summary
Summary of the 10-K filed March 22, 2001. Cited figures are marked; the original filing is the authoritative source.
Mettler-Toledo International Inc. (MTD) reported net sales of $1,095.5 milliona for fiscal 2000, up from $1,065.5 million in 1999.
The filing states that local-currency sales grew 9% in 2000, while U.S.-dollar sales rose 3% because of a stronger U.S. dollar. Net earnings were $70.1 millionb, or $1.66 per diluted share, compared with $48.1 million in 1999. Adjusted Operating Income rose 15% to $142.8 million, or 13.0% of net sales.
Shareholders' equity increased to $178.8 millionc from $112.0 million, and the company's long-term debt declined to $237.8 million from $249.7 million. The company describes itself as the world's largest manufacturer of weighing instruments for laboratory, industrial and food retailing use, and as a leading provider of automated chemistry systems for drug discovery. Service revenue represented approximately 18% of net sales in 2000.
In 2000 the company acquired Berger Instruments, Thornton Inc. and AVS and raised its Cargoscan stake to 100%. Cash provided by operating activities was $84.7 milliond, and capital expenditures were $29.3 million.
The company has never paid dividends on its common stock, and its credit agreement restricts dividend payments. The filing also notes that a one-time payment of $4.2 million associated with an early retirement plan reduced operating cash flow in 2000, and that the company is preparing for the euro's introduction.
02—Key points
Key Highlights
- Net sales rose to $1,095.5 million in 2000 from $1,065.5 million in 1999; local-currency sales grew 9%, while U.S.-dollar sales increased 3%.
- Net earnings of $70.1 million, or $1.66 per diluted share, versus $48.1 million in 1999.
- Adjusted Operating Income increased 15% to $142.8 million, or 13.0% of net sales.
- Shareholders' equity grew to $178.8 million from $112.0 million; long-term debt decreased to $237.8 million from $249.7 million.
- Cash from operations was $84.7 million; capital expenditures were $29.3 million; 2000 acquisitions cost approximately $55.5 million.
- Service revenue was approximately 18% of 2000 net sales, supported by the largest installed base of weighing instruments in the world, per the company.
- No customer accounted for more than 3% of 2000 net sales; the company has never paid dividends on its common stock.
03—Questions
Frequently Asked Questions
Is Mettler-Toledo paying dividends?
No. The filing states the company has never paid dividends on its common stock, does not anticipate paying cash dividends in the foreseeable future, and intends to retain earnings. The credit agreement also restricts dividend payments.
How did the company perform in 2000?
Net sales were $1,095.5 million, up from $1,065.5 million in 1999. Local-currency growth was 9%, while U.S.-dollar growth was 3% because of dollar strength. Net earnings were $70.1 million, or $1.66 per diluted share, compared with $48.1 million in 1999.
What acquisitions did the company make in 2000?
The company acquired Berger Instruments (supercritical fluid chromatography for drug discovery), Thornton Inc. (ultra-pure water monitoring) and AVS (x-ray inspection), and increased its Cargoscan stake to 100%. Total 2000 acquisition spending was approximately $55.5 million.
How concentrated is the customer base?
The filing states that no single customer accounted for more than 3% of 2000 net sales, and it describes a geographically diversified revenue base: 44% from Europe, 44% from North and South America, and 12% from Asia and other countries.
What risks does the filing highlight?
The filing identifies currency exposure, particularly the Swiss franc, because Swiss franc costs are large relative to Swiss franc sales. It also cites a credit agreement with covenants that limit dividends and borrowing, and potential environmental liabilities at current and former facilities.
04—Continue