Consolidated Graphics Posts Revenue and Income Declines
“Due to the seasonal nature of sales into the custom photo product and the insurance markets, we are optimistic that we will achieve year-over-year same-store sales growth in the March 2012 quarter. Based on current market conditions, we expect the March quarter’s revenue to be in the range of $265-$275 million which assumes year-over-year same-store sales growth of up to 5 percent,” Davis concluded,
Share Repurchase Program Update
During the quarter, the company purchased 239,456 shares of its common stock for $11.0 million pursuant to a share repurchase program authorizing the Company to purchase up to an aggregate of $100 million of the Company's common shares. Since beginning the share repurchase program in November 2010, CGX has purchased 1,531,549 shares of its common stock (13.0 percent of shares outstanding) for $69.1 million. As of December 31, 2011, the company had 10,242,578 common shares outstanding.
Additional Share Repurchase Authorization
On Feb. 6, 2012, the Board of Directors amended the share repurchase program by increasing the authorization to purchase the Company's common shares from $100 million to $170 million. Additionally, the expiration of the program was extended to Sept. 30, 2013. The amended share repurchase program enables the Company to repurchase shares of its common stock in open-market purchases as well as privately negotiated transactions, pursuant to applicable securities regulations, and subject to the terms of our bank facilities, market conditions and other factors. The board of directors may modify, suspend, extend or terminate the program at any time. Remaining authorization under the amended share repurchase program at Feb, 6, 2012, was $100.5 million.
Consolidated Graphics (CGX), headquartered in Houston, is one of North America's leading general commercial printing companies. With 70 printing businesses strategically located across 27 states, Toronto, and Prague, and a presence in Asia, CGX offers an unmatched geographic footprint, unsurpassed capabilities, and unparalleled levels of convenience, efficiency and service. With locations in or near virtually every major U.S. market, CGX provides the service and responsiveness of a local printer enhanced by the economic, geographic and technological advantages of a large national organization.