Skip to content
AnalystLens

Mettler-Toledo International Annual Report, Year Ended Dec 31, 2003

Filing Date
Filed March 15, 2004
Period End
December 31, 2003
Security
MTD
In the record · 2016–202610-K1110-Q328-K94

MTD filed 11 annual reports (10-K), 32 quarterly reports (10-Q) and 94 current reports (8-K) between 2016 and 2026.

  1. FY2016 annual report10-K · Feb ’17Feb ’17
  2. Leadership change8-K · Dec ’19Dec ’19
  3. Material agreement8-K · Dec ’21Dec ’21
  4. Leadership change8-K · Oct ’25Oct ’25

01—Abstract

Summary

Summary of the 10-K filed March 15, 2004. Cited figures are marked; the original filing is the authoritative source.

Mettler-Toledo International Inc. (MTD) reported net sales of $1,304.4 milliona for fiscal 2003, up from $1,213.7 million in 2002, with net earnings of $95.8 million ($2.11 diluted EPS), down from $100.4 million in 2002.

The filing states that net sales were flat in local currencies in 2003, with the increase in U.S. dollar-reported sales (7%) driven by currency movements. Adjusted Operating Income rose to $161.9 millionb, or 12.4% of net sales, from $136.5 million (11.2%) in 2002, helped by a lower restructuring charge ($5.4 million versus $28.7 million in 2002). Weakness in the Biopharma end market, particularly in drug discovery, and in European and U.S. retail were the main headwinds, while Asia grew strongly, with local-currency sales up 21%.

The balance sheet strengthened: shareholders' equity rose to $654.0 millionc, and total debt, net of $45.1 million cash, was $196.4 million at year-end. In November 2003 the company refinanced with a five-year $300 million credit facility and $150 million of 4.85% Senior Notes due 2010. Operating cash flow was $117.2 million.

On February 5, 2004, the company announced a share repurchase program of up to $100 milliond over the two years ending December 31, 2005. Management expects gradual improvement in customer spending in 2004, with new product launches as a key earnings driver and continued concern about Europe.

The company historically paid no dividends, and the filing notes it will evaluate that policy periodically. Management reports no material pending legal proceedings, and the stock traded on the NYSE under the symbol MTD, with a fourth-quarter 2003 high of $42.73.

02—Key points

Key Highlights

  1. Net sales rose to $1,304.4 million in 2003 from $1,213.7 million in 2002, but were flat in local currencies.
  2. Net earnings declined to $95.8 million ($2.11 diluted EPS) from $100.4 million ($2.21) in 2002, with 2002 results including a $23.1 million one-time tax gain.
  3. Adjusted Operating Income increased to $161.9 million (12.4% of net sales) from $136.5 million (11.2%), aided by a lower restructuring charge.
  4. Gross margin improved to 47.4% from 46.8%, and service revenue reached $289.7 million, about 22% of total net sales.
  5. Asia local-currency sales increased 21%, led by China, while Biopharma softness and weak European retail weighed on results.
  6. Refinanced in November 2003 with a $300 million five-year credit facility and $150 million of 4.85% Senior Notes due 2010.
  7. Announced a share repurchase program of up to $100 million over the two years ending December 31, 2005.

03—Questions

Frequently Asked Questions

  1. How did Mettler-Toledo perform financially in 2003?

    Net sales were $1,304.4 million, up from $1,213.7 million in 2002, though the filing states flat sales in local currencies. Net earnings were $95.8 million, or $2.11 per diluted share, compared with $100.4 million, or $2.21, in 2002. Adjusted Operating Income rose to $161.9 million from $136.5 million.

  2. What drove the change in profitability?

    The filing attributes the increase in Adjusted Operating Income mainly to a lower restructuring charge ($5.4 million in 2003 versus $28.7 million in 2002), along with cost rationalization benefits and productivity gains in China. Higher research and development and selling costs, and higher U.S. medical plan costs, partly offset these gains.

  3. What is the company's debt and liquidity position?

    At December 31, 2003, consolidated debt, net of $45.1 million cash, was $196.4 million, including $150 million of Senior Notes, $73.1 million drawn under the Credit Facility and $18.3 million in other local arrangements. About $218.6 million was available under the Credit Facility, and the company stated it was in compliance with all covenants.

  4. Does Mettler-Toledo pay dividends, and is it buying back stock?

    The company has historically not paid dividends on its common stock and will evaluate that policy periodically. On February 5, 2004, it announced a share repurchase program of up to $100 million over the two years ending December 31, 2005, with timing dependent on acquisition activity, market conditions and stock price.

  5. What outlook did management give for 2004?

    Management anticipates a gradual improvement in customer spending, continued strength in Asia and improving U.S. economic conditions. It remains concerned about Europe. Key earnings drivers cited include new products, growth in China, service growth, and about $4 million of further incremental savings from cost reduction programs.

04—Continue

← View all 10-K filings