SEC Filing Html Data
UNITED STATES
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 the earliest event reported)
(Exact name of registrant as specified in its charter)
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(State or other jurisdiction of incorporation)
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(Commission
File Number)
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(IRS Employer
Identification No.)
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(Address of principal executive offices)
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(Zip Code)
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Registrant’s telephone number, including area code
(972 )
448-1400
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(Former name or former address, if changed since last report.)
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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):
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Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
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Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
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Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
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Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
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Securities registered pursuant to Section 12(b) of the Act:
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Title of each class
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Trading
Symbol(s)
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Name of each exchange on which registered
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Class A
($.01 par value per share)
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Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule
12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2).
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. ☐
| Item 2.02 |
Results of Operations and Financial Condition.
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The registrant hereby furnishes the information set forth in its press release entitled “CompX Reports Fourth Quarter 2021 Results” that
the registrant issued on March 2, 2022, a copy of which is attached hereto as Exhibit 99.1 and incorporated herein by reference.
The press release the registrant furnishes as Exhibit 99.1 to this current report is not deemed “filed” for purposes of section 18 of
the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section. Registration statements or other documents filed with the U.S. Securities and Exchange Commission shall not incorporate this information by
reference, except as otherwise expressly stated in such filing.
Item 7.01 Regulation FD Disclosures.
The registrant hereby furnishes the information set forth in its press release entitled “CompX Announces Increase in Quarterly Dividend”
that the registrant also issued on March 2, 2022, a copy of which is attached hereto as Exhibit 99.2 and incorporated herein by reference.
The press release the registrant furnishes as Exhibit 99.2 to this current report is not deemed “filed” for purposes of section 18 of
the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section. Registration statements or other documents filed with the U.S. Securities and Exchange Commission shall not incorporate this information by
reference, except as otherwise expressly stated in such filing.
| Item 9.01 |
Financial Statements and Exhibits.
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(d)
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Exhibits
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Item No.
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Description
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99.1
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99.2
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104
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Cover Page Interactive Data File (embedded within the Inline XBRL document)
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SIGNATURE
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.
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CompX International Inc.
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(Registrant)
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By: /s/ Michael S. Simmons
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Date: March 2, 2022
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Michael S. Simmons
Senior Vice President and
Chief Financial Officer
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PRESS RELEASE
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FOR IMMEDIATE RELEASE:
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CONTACT:
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CompX International Inc.
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Janet G. Keckeisen
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5430 LBJ Freeway, Suite 1700
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Investor Relations
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Dallas, Texas 75240
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Tel. 972-233-1700
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DALLAS, TEXAS … March 2, 2022 … CompX International Inc. (NYSE American: CIX) announced today sales of $34.1 million for the fourth quarter of 2021 compared to $30.0 million in the same period of 2020. Operating income was $3.8 million in the fourth quarter of 2021 compared to $2.3 million in the
same period of 2020. Net income was $3.2 million, or $0.25 per diluted share, for the fourth quarter of 2021 compared to $2.3 million, or $0.17 per diluted share, in
the same period of 2020.
Net sales for the year ended December 31, 2021 were $140.8 million compared to $114.5 million in the previous year. Operating income was $20.5 million for the year ended December 31, 2021 compared to $11.8 million for 2020. Net
income for the year ended December 31, 2021 was $16.6 million, or $1.34 per diluted share, compared to $10.3 million, or $0.83 per diluted share, for the year ended December 31, 2020.
Fourth quarter 2021 net sales increased over the 2020 comparable period primarily due to higher Security Products sales, largely
increased sales to the government security and transportation markets and, to a lesser extent, higher Marine Component sales, predominantly to the towboat market. Operating income increased for the fourth quarter of 2021 compared to the fourth
quarter of 2020 as higher costs, specifically increased raw material, shipping and labor costs, were more than offset by higher sales.
Net sales increased for the full year of 2021 compared to the full year of 2020 primarily due to higher sales volumes at both of our
segments. Our net sales and operating income were negatively impacted by the COVID-19 pandemic in the second and third quarters of 2020, which significantly impacts the
comparisons for the full year. Beginning in the third quarter of 2020 and continuing through 2021, our sales generally improved at both our business segments and our operating income increased for the full year of 2021 as compared to 2020
primarily due to the favorable effect of higher sales and production volumes, partially offset by higher production costs including increased raw material, shipping and labor costs.
CompX is a leading manufacturer of security products and recreational marine components. It operates from three locations in the U.S.
and employs approximately 570 people.
-1-
Forward-Looking Statements
The statements in this press release relating to matters that are not historical facts are forward-looking statements that represent
management’s belief and assumptions based on currently available information. Although we believe the expectations reflected in such forward-looking statements are
reasonable, we cannot give any assurances that these expectations will be correct. Such statements, by their nature, involve substantial risks and uncertainties that could significantly impact expected results, and actual future results could differ
materially from those predicted. While it is not possible to identify all factors, we continue to face many risks and uncertainties. The factors that could cause our actual future results to differ materially include, but are not limited to, the
following:
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Future demand for our products,
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Changes in our raw material and other operating costs (such as zinc, brass, aluminum, steel and energy costs) and our ability to pass those costs on to our customers or
offset them with reductions in other operating costs,
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Price and product competition from low-cost manufacturing sources (such as China),
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The impact of pricing and production decisions,
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Customer and competitor strategies including substitute products,
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Uncertainties associated with the development of new products and product features,
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Future litigation,
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Our ability to protect or defend our intellectual property rights,
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Potential difficulties in integrating future acquisitions,
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Decisions to sell operating assets other than in the ordinary course of business,
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Environmental matters (such as those requiring emission and discharge standards for existing and new facilities),
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The ultimate outcome of income tax audits, tax settlement initiatives or other tax matters, including future tax reform,
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The impact of current or future government regulations (including employee healthcare benefit related regulations),
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General global economic and political conditions that introduce instability into our supply chain, impact our customers’ level of demand or our customers’ perception regarding demand or impair our ability to operate our facilities (including
changes in the level of gross domestic product in various regions of the world, natural disasters, terrorist acts, global conflicts and public health crises such as COVID-19),
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Operating interruptions (including, but not limited to labor disputes, hazardous chemical leaks, natural disasters, fires, explosions, unscheduled or unplanned
downtime, transportation interruptions, cyber-attacks and public health crises such as COVID-19); and
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Possible disruption of our business or increases in the cost of doing business resulting from terrorist activities or global conflicts.
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Should one or more of these risks materialize or if the consequences worsen, or if the underlying assumptions prove incorrect, actual results could differ
materially from those currently forecasted or expected. CompX disclaims any intention or obligation to update or revise any forward-looking statement whether as a result of changes in information, future events or otherwise.
* * * * *
-2-
COMPX INTERNATIONAL INC.
SUMMARY OF CONSOLIDATED OPERATIONS
(In millions, except per share amounts)
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Three months ended
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Year ended
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December 31,
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December 31,
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2020
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2021
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2020
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2021
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(Unaudited)
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Net sales
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$
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30.0
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$
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34.1
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$
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114.5
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$
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140.8
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Cost of sales
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22.3
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24.7
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81.7
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98.1
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Gross margin
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7.7
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9.4
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32.8
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42.7
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Selling, general and administrative expense
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5.4
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5.6
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21.0
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22.2
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Operating income
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2.3
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3.8
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11.8
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20.5
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Interest income
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0.4
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0.3
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1.7
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1.2
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Income before taxes
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2.7
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4.1
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13.5
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21.7
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Provision for income taxes
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0.4
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0.9
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3.2
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5.1
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Net income
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$
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2.3
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$
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3.2
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$
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10.3
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$
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16.6
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Basic and diluted net income
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per common share
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$
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0.17
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$
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0.25
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$
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0.83
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$
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1.34
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Weighted average diluted common
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shares outstanding
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12.5
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12.4
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12.4
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12.4
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-3-
PRESS RELEASE
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FOR IMMEDIATE RELEASE:
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CONTACT:
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CompX International Inc.
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Janet G. Keckeisen
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Three Lincoln Centre
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Investor Relations
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5430 LBJ Freeway, Suite 1700
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Tel. 972-233-1700
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Dallas, Texas 75240
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DALLAS, TEXAS . . . March 2, 2022 . . . CompX International Inc. (NYSE American: CIX) announced today a $0.05 per share increase in its
regular quarterly dividend. CompX’s board of directors has declared a regular quarterly dividend of twenty-five cents ($0.25) per share on its class A common stock, payable on March 22, 2022 to stockholders of record at the close of business on
March 14, 2022.
CompX is a leading manufacturer of security products and recreational marine components.
* * * *