Value Line, Inc. Announces Earnings
17 Juillet 2009 - 12:08AM
PR Newswire (US)
NEW YORK, July 16 /PRNewswire-FirstCall/ -- (NASDAQ:VALU) On July
16, 2009 the Board of Directors of Value Line, Inc. declared a
quarterly dividend of $0.20 per share to shareholders of record as
of July 30, 2009 to be paid on August 13, 2009. This is a $0.10 per
share, 33% reduction from the previous quarterly dividend. Value
Line, Inc., reported results for its fiscal year ended April 30,
2009. For the twelve months ended April 30, 2009 the Company's net
income of $22,953,000 or $2.30 per share was $2,597,000 or 10%
below net income of $25,550,000 or $2.56 per share for the twelve
months ended April 30, 2008. Operating income of $24,223,000 for
the twelve months ended April 30, 2009 was $10,227,000 or 30% below
operating income of $34,450,000 last fiscal year. The sharp decline
in operating income was partially offset by the Company's income
from securities transactions, which at $11,625,000 for the twelve
months ended April 30, 2009, was $5,331,000 or 85% above last
year's level of $6,294,000. The increase in income from securities
transactions was a result of management's decision to sell the
entire equity portfolio in the second quarter of fiscal year 2009.
The Company redeployed the proceeds from the equity portfolio into
short-term fixed income investments or cash equivalents and as a
result does not anticipate significant income from securities
transactions during fiscal 2010. Shareholders' equity of
$80,869,000 at April 30, 2009 was 8% lower than shareholders'
equity of $87,854,000 at April 30, 2008. The decline in earnings
occurred primarily during the third and fourth quarters of our
fiscal year ended April 30, 2009 as the economy and financial
markets declined. Net income for the fourth quarter ended April 30,
2009 was $3,617,000 or 24% less than the net income of $4,777,000
for the fourth quarter ended April 30, 2008. From time to time, the
Parent has purchased additional shares of the Company in the market
when and as the Parent has determined it to be appropriate. As
stated several times in the past, the public is reminded that the
Parent may make additional purchases from time to time in the
future. Value Line, Inc. is a leading New York based publishing and
investment management company. The Company believes The Value Line
Investment Survey is one of the most widely read independent
investment publications. Value Line also produces and publishes
other proprietary investment periodicals in both print and
electronic formats. The Company has copyright data, which it
distributes under copyright agreements for fees including certain
proprietary ranking system information and other proprietary
information used in third party products, and provides investment
management services to the Value Line family of no-load mutual
funds and institutional and individual portfolios. Safe Harbor
Statement under the Private Securities Litigation Reform Act of
1995 This report contains statements that are predictive in nature,
depend upon or refer to future events or conditions (including
certain projections and business trends) accompanied by such
phrases as "believe", "estimate", "expect", "anticipate", "will",
"intend" and other similar or negative expressions, that are
"forward-looking statements" as defined in the Private Securities
Litigation Reform Act of 1995. Actual results may differ materially
from those projected as a result of certain risks and
uncertainties, including but not limited to the following: --
dependence on key personnel; -- maintaining revenue from
subscriptions for the Company's products; -- protection of
intellectual property rights; -- changes in market and economic
conditions; -- fluctuations in the Company's assets under
management due to broadly based changes in the values of equity and
debt securities, redemptions by investors and other factors; --
dependence on Value Line Funds for investment management and
related fees; -- competition in the fields of publishing, copyright
data and investment management; -- the impact of government
regulation on the Company's business and the uncertainties of
litigation and regulatory proceedings; -- terrorist attacks; and --
other risks and uncertainties, including but not limited to the
risks described in Item 1A, "Risk Factors" of the Company's Annual
report on Form 10-K for the year ended April 30, 2009, and other
risks and uncertainties from time to time. Any forward-looking
statements are made only as of the date hereof, and the Company
undertakes no obligation to update or revise the forward-looking
statements, whether as a result of new information, future events
or otherwise. Value Line, Inc. Consolidated Condensed Summary of
Financial Results (in thousands, except per share amounts) For the
three months For the twelve months ended April 30, ended April 30,
--------------- --------------- 2009 2008 2009 2008 ---- ---- ----
---- Revenues $14,845 $19,687 $69,241 $82,678 -------- -------
------- ------- ------- Operating income $5,872 $6,732 $24,223
$34,450 ---------------- ------ ------ ------- ------- Income from
securities transactions, net ($18) $611 $11,625 $6,294
-------------- ---- ---- ------- ------ Income before income taxes
$5,854 $7,343 $35,848 $40,744 ------------- ------ ------ -------
------- Net income $3,617 $4,777 $22,953 $25,550 ---------- ------
------ ------- ------- Earnings per share, basic and fully diluted
$0.36 $0.48 $2.30 $2.56 ------------- ----- ----- ----- -----
DATASOURCE: Value Line, Inc. CONTACT: David T. Henigson, Vice
President, +1-212-907-1500
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