Marvel's Earnings FYI

[dam60]

PRESS RELEASE: Marvel Enterp Raises Q3 EPS Guidance to $0.37 - $0.41 and FY '03 EPS Guidance to $1.38 - $1.42; Q3 2003 Financial Results Will be Released on November 4

 

Marvel Raises Q3 EPS Guidance to $0.37 - $0.41 and FY '03 EPS Guidance to

$1.38 - $1.42; Q3 2003 Financial Results Will be Released on November 4

 

NEW YORK--(BUSINESS WIRE)--Oct. 9, 2003--

Marvel Enterprises, Inc. (NYSE:MVL) announced today

that, based on preliminary figures, financial results for the third

quarter ended September 30, 2003 are anticipated to exceed the high

end of its previous financial guidance. This revised range is based

partly on assumptions for expected fees from motion picture studios

and licensees, which are management's estimates based on discussions

with license partners, and not actual figures at this time. Marvel now

anticipates its Q3 2003 earnings per share to be in the range of $0.37

- $0.41 versus the original guidance range of $0.25 - $0.30 provided

on August 12, 2003.

Based solely on the revised Q3 2003 range, the full year 2003 EPS

range has been increased to $1.38 - $1.42. Marvel plans to report Q3

financial results on November 4. At that time, management will review

detailed results for the third quarter and provide an update on Q4

2003 guidance.

Marvel's current and previous guidance range and prior year

results are presented below.

 

 

Marvel Enterprises, Inc. - Q3 2003 Guidance

----------------------------------------------------------------------

Revised Q3 Initial Q3 Actual

(in millions - except per Guidance Guidance Q3 2002

share amounts)

----------------------------------------------------------------------

Net sales $84 - $87 $60 - $65 $84.4

----------------------------------------------------------------------

Operating Income $38 - $41 $27 - $32 $27.6

----------------------------------------------------------------------

Net Income $29 - $32 $19 - $24 $6.7

----------------------------------------------------------------------

EPS attributable to common

stock $0.37 - $0.41 $0.25 - $0.30 $0.17

----------------------------------------------------------------------

Weighted average diluted

common shares 77.8 77.2 40.6

----------------------------------------------------------------------

 

The stronger than anticipated Q3 performance reflects building momentum in

Marvel's licensing division, principally consumer products, supported by the

growing entertainment exposure of the Marvel Universe of characters. License

categories such as apparel, toys and household goods continued to exceed

internal projections. License revenues in excess of minimum guarantees, or

"overages," were over $14 million in the quarter, indicating the strong

momentum in sales from the growing base of over 550 active licensees

worldwide.

 

Cash Balances Continue to Grow: Reflecting solid levels of cash collection

year-to-date, Marvel's cash and cash equivalents balance had grown to $203

million as of September 30, 2003 versus $144.3 million as of June 30, 2003.

This cash balance includes $15 million in proceeds from the exercise of

options and warrants during the quarter. With total long-term debt consisting

of $151 million in 12% Senior Notes, Marvel had a net cash position of

approximately $52 million as of September 30, 2003 compared to net debt of $7

million as of June 30, 2003. The Senior Notes are callable at Marvel's option

beginning June 15, 2004 at a price of $106 per $100 principal amount, for a

total consideration of approximately $160 million.

 

About Marvel Enterprises

 

Marvel Enterprises, Inc. is a leading global character-based entertainment

licensing company that has developed and owns a library of over 4,700

characters which have entertained generations around the world for over 60

years. Marvel's operations are focused in entertainment and consumer product

licensing and comic book publishing. Marvel's creative teams at its Marvel

Studios, Marvel Comics and Toy Biz divisions support the development of

feature films (and DVD/video), video games, TV series and toy lines based on

its characters. Marvel also licenses its characters for use in a broad and

growing range of consumer products and services including apparel,

collectibles, food and promotions. Marvel Comics is a leading global comics

publisher and an invaluable source of intellectual property; Marvel Studios

works with studios to develop feature film and entertainment projects; and Toy

Biz is a recognized leader in toy design, sales and marketing that develops

and oversees both licensee and in-house toy lines. For additional information

visit http://www.marvel.com.

 

Except for any historical information that they contain, the statements in

this news release regarding Marvel's plans are forward-looking statements that

are subject to certain risks and uncertainties, including a decrease in the

level of media exposure or popularity of Marvel's characters, financial

difficulties of Marvel's licensees, changing consumer preferences, movie- and

television-production delays and cancellations, toy-production delays or

shortfalls, continued concentration of toy retailers, toy inventory risk, the

imposition of quotas or tariffs on products manufactured in China and a

decrease in cash flow even as Marvel remains indebted to its noteholders.

These and other risks and uncertainties are described in Marvel's filings with

the Securities and Exchange Commission, including Marvel's Annual Reports on

Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K.

Marvel assumes no obligation to publicly update or revise any forward-looking

statements.

 

CONTACT: Marvel Enterprises, New York

Matt Finick, 212-576-4035

mfinick@marvel.com

or

Jaffoni & Collins Incorporated, New York

Richard Land or David Collins, 212-835-8500

mvl@jcir.com

 

KEYWORD: Publishing, Communications, New York, Earnings, North America,

Other Entertainment, TV and Radio, Motion Pictures, Entertainment, United

States

 

SOURCE: Marvel Enterprises

 

(END) Dow Jones Newswires

10-09-03 0703ET

 

 

 

 

[Foolkiller]

informative post! thanks dave.