UNITED STATES
\nSECURITIES AND EXCHANGE COMMISSION
\nWashington, D.C. 20549\n\n\n
FORM 8-K\n\n
CURRENT REPORT
\nPursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934\n\n
Date of Report (Date of earliest event reported): May 19, 2010\n\n
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BRADY CORPORATION
\n(Exact name of registrant as specified in its charter)\n\n\n
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| Wisconsin | \n\n | 1-14959 | \n\n | 39-0971239 | \n
| (State or other Jurisdiction of Incorporation) | \n\n | (Commission File Number) | \n\n | (IRS Employer Identification No.) | \n
| \n | \n | \n |
| 6555 West Good Hope Road Milwaukee, Wisconsin | \n \n | 53223 | \n
| (Address of Principal Executive Offices) | \n\n | (Zip Code) | \n
Registrant’s telephone number, including area code: (414) 358-6600\n\n\n
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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\nunder any of the following provisions:\n\n
\no Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
\no Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
\no Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
\no Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
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Item 2.02 RESULTS OF OPERATIONS AND FINANCIAL CONDITION\n\n\n
On May 19, 2010, Brady Corporation (the “Corporation”) issued a press release announcing its fiscal 2010 third\nquarter financial results. A copy of the press release is being furnished to the Securities and Exchange Commission as\nExhibit 99.1 attached hereto and is incorporated herein by reference.\n\n\n
Item 9.01 FINANCIAL STATEMENTS AND EXHIBITS\n\n\n
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| \n | (d) | \n\n | Exhibits. | \n
The following is filed as an Exhibit to this Report.\n\n\n\n
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| Exhibit No. | \n\n | Description of Exhibit | \n
99.1\n | \n \n | Press Release of Brady Corporation, dated May 19, 2010, relating\nto fiscal 2010 third quarter financial results. | \n
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SIGNATURE\n\n\n\n
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be\nsigned on its behalf by the undersigned hereunto duly authorized.\n\n\n\n
BRADY CORPORATION\n\n\n
Date: May 21, 2010\n\n\n\n
/s/ Thomas J. Felmer
\nThomas J. Felmer
\nSenior Vice President &
\nChief Financial Officer
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EXHIBIT INDEX\n\n\n
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| EXHIBIT | \n\n | \n |
| NUMBER | \n\n | DESCRIPTION | \n
99.1\n | \n \n | Press Release of Brady Corporation, dated May 19, 2010, relating to\nfiscal 2010 third quarter financial results. | \n
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| For More Information: | \n\n | EXHIBIT 99.1 | \n
Investor contact: Aaron Pearce 414-438-6895\n | \n \n | \n |
Media contact: Carole Herbstreit 414-438-6882\n | \n \n | \n |
Brady reports fiscal 2010 third-quarter sales and earnings\n\n\n
MILWAUKEE (May 19, 2010)—Brady Corporation (NYSE: BRC), a world leader in identification solutions, today announced\nthird quarter sales and earnings for its fiscal quarter ended April 30, 2010.\n\n\n
Sales for the quarter were up 16.3 percent to $321.9 million compared to sales of $276.7 million in the fiscal\n2009 third quarter. Organic sales were up 8.5 percent compared to the prior year, acquisitions contributed 2.0 percent\nto sales, and the impact of foreign currency exchange added 5.8 percent to sales in the quarter. Regionally, organic\nsales grew 9.7 percent in the Americas, 6.1 percent in Europe and 9.4 percent in the Asia-Pacific region.\n\n\n
Net income for the quarter was up 31.9 percent to $23.7 million compared to $18.0 million in the same quarter last\nyear. Excluding after-tax restructuring charges, net income in the quarter was up 29.6 percent to $25.4 million\ncompared to $19.6 million in the fiscal 2009 third quarter. Earnings per diluted Class A Common Share were $0.45 in\nthe 2010 third quarter compared to $0.34 in the prior year quarter. Excluding after-tax restructuring charges,\nearnings per diluted Class A Common Share were $0.48 in the third quarter compared to $0.37 in the prior year quarter.\n\n\n
Sales for the nine–month period ended April 30, 2010 were $936.2 million compared to $921.5 million in the same\nperiod last year, up 1.6 percent. Net income for the nine-month period was up 18.5 percent to $60.4 million compared\nto $50.9 million in the same period in fiscal 2009. Nine-month earnings per diluted Class A Common Share were $1.14\ncompared to $0.96 per share in the same period last year. Results include after-tax restructuring charges of $6.9\nmillion or $0.13 per diluted Class A Common Share for the nine-month period ended April 30, 2010, and $16.8 million or\n$0.32 per diluted Class A Common Share for the nine-month period ended April 30, 2009.\n\n\n
“We are pleased to see organic sales growth return in all regions, as well as improvement in our profitability.\nWhile we remain cautious about the stability of the global economy, we continue to invest in our future with robust new\nproduct development and other organic growth programs to expand the breadth of our product offerings and increase our\nmarket share. We are also investing in initiatives to streamline our SG&A functions, similar to the lean activities\nand Brady Business Performance System that we have been using to drive improvements in the operations area,” said Brady\nPresident and Chief Executive Officer Frank M. Jaehnert.\n\n
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“Additional third quarter highlights include the acquisition of Securimed, a direct marketer of first-aid supplies\nin France. And the generation of cash flow from operations of $50.0 million increased our cash position to $207.1\nmillion at April 30, 2010. We also completed a €75 million debt offering on May 13, 2010. This, along with our\nuntapped bank revolving line of credit, provides us with significant flexibility to take advantage of future growth\nopportunities,” said Brady Chief Financial Officer Thomas J. Felmer.\n\n\n
A Web cast of a conference call regarding the company’s fiscal 2010 third quarter results will be available at\nwww.investor.bradycorp.com beginning at 9:30 a.m. Central Time today.\n\n\n
Brady Corporation is an international manufacturer and marketer of complete solutions that identify and protect\npremises, products and people. Its products help customers increase safety, security, productivity and performance and\ninclude high-performance labels and signs, safety devices, printing systems and software, and precision die-cut\nmaterials. Founded in 1914, the company has more than 500,000 customers in electronics, telecommunications,\nmanufacturing, electrical, construction, education, medical and a variety of other industries. Brady is headquartered\nin Milwaukee and employs about 7,000 people at operations in the Americas, Europe and Asia/Pacific. Brady’s fiscal\n2009 sales were approximately $1.2 billion.\n\n\n
More information is available on the Internet at www.bradycorp.com.\n\n\n
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Brady believes that certain statements in this news release are “forward-looking statements” within the meaning of the\nPrivate Securities Litigation Reform Act of 1995. All statements related to future, not past, events included in this\nnews release, including, without limitation, statements regarding Brady’s future financial position, business strategy,\ntargets, projected sales, costs, earnings, capital expenditures, debt levels and cash flows, and plans and objectives\nof management for future operations are forward-looking statements. When used in this news release, words such as\n“may,” “will,” “expect,” “intend,” “estimate,” “anticipate,” “believe,” “should,” “project” or “plan” or similar\nterminology are generally intended to identify forward-looking statements. These forward-looking statements by their\nnature address matters that are, to different degrees, uncertain and are subject to risks, assumptions and other\nfactors, some of which are beyond Brady’s control, that could cause actual results to differ materially from those\nexpressed or implied by such forward-looking statements. For Brady, uncertainties arise from the length or severity of\nthe current worldwide economic downturn or timing or strength of a subsequent recovery; future financial performance of\nmajor markets Brady serves, which include, without limitation, telecommunications, manufacturing, electrical,\nconstruction, laboratory, education, governmental, public utility, computer, transportation; difficulties in making and\nintegrating acquisitions; risks associated with newly acquired businesses; Brady’s ability to develop and successfully\nmarket new products; changes in the supply of, or price for, parts and components; increased price pressure from\nsuppliers and customers; fluctuations in currency rates versus the US dollar; unforeseen tax consequences; potential\nwrite-offs of Brady’s substantial intangible assets; Brady’s ability to retain significant contracts and customers;\nrisks associated with international operations; Brady’s ability to attract and retain key talent; Brady’s ability to\nmaintain compliance with its debt covenants; technology changes; business interruptions due to implementing business\nsystems; environmental, health and safety compliance costs and liabilities; future competition; interruptions to\nsources of supply; Brady’s ability to realize cost savings from operating initiatives; difficulties associated with\nexports; risks associated with restructuring plans; risks associated with obtaining governmental approvals and\nmaintaining regulatory compliance for new and existing products; and numerous other matters of national, regional and\nglobal scale, including those of a political, economic, business, competitive and regulatory nature contained from time\nto time in Brady’s U.S. Securities and Exchange Commission filings, including, but not limited to, those factors listed\nin the “Risk Factors” section located in Item 1A of Part I of Brady’s Form 10-K for the year ended July 31, 2009. These\nuncertainties may cause Brady’s actual future results to be materially different than those expressed in its\nforward-looking statements. Brady does not undertake to update its forward-looking statements.\n\n\n
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