US ECOLOGY, INC.
CONSOLIDATED STATEMENTS OF INCOME
(in thousands, except per share data)
(unaudited)
Three Months Ended For the Year Ended
December 31, December 31,
-------------------- --------------------
2010 2009 2010 2009
--------- --------- --------- ---------
Revenue $ 39,480 $ 23,648 $ 104,836 $ 132,519
Direct operating costs 15,152 9,436 45,391 43,535
Transportation costs 9,407 6,577 20,434 52,708
--------- --------- --------- ---------
Gross profit 14,921 7,635 39,011 36,276
Selling, general and
administrative expenses 7,795 3,660 18,634 13,835
Insurance claim - (661) - (661)
--------- --------- --------- ---------
Operating income 7,126 4,636 20,377 23,102
Other income (expense):
Interest income 4 13 51 116
Interest expense (319) - (320) (2)
Foreign currency gain (loss) 1,878 (6) 1,819 (37)
Other 80 48 259 304
--------- --------- --------- ---------
Total other income 1,643 55 1,809 381
Income before income taxes 8,769 4,691 22,186 23,483
Income tax expense 4,236 2,047 9,602 9,513
--------- --------- --------- ---------
Net income $ 4,533 $ 2,644 $ 12,584 $ 13,970
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Earnings per share:
Basic $ 0.25 $ 0.15 $ 0.69 $ 0.77
Diluted $ 0.25 $ 0.15 $ 0.69 $ 0.77
Shares used in earnings
per share calculation:
Basic 18,177 18,149 18,170 18,146
Diluted 18,197 18,172 18,189 18,173
Dividends paid per share $ 0.18 $ 0.18 $ 0.72 $ 0.72
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US ECOLOGY, INC.
CONSOLIDATED BALANCE SHEETS
(in thousands)
(unaudited)
December 31, December 31,
2010 2009
------------ ------------
Assets
Current Assets:
Cash and cash equivalents $ 6,342 $ 31,347
Short-term investments - 1,395
Receivables, net 33,553 16,302
Prepaid expenses and other current assets 2,635 1,752
Deferred income taxes 455 41
------------ ------------
Total current assets 42,985 50,837
Property and equipment, net 105,822 67,485
Restricted cash 4,115 4,800
Intangible assets, net 41,740 -
Goodwill 21,790 -
Other assets 897 540
------------ ------------
Total assets $ 217,349 $ 123,662
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Liabilities and Stockholders' Equity
Current Liabilities:
Accounts payable $ 5,033 $ 4,264
Deferred revenue 3,620 1,353
Accrued liabilities 8,188 4,150
Accrued salaries and benefits 4,051 1,735
Income tax payable 2,615 201
Current portion of closure and post-closure
obligations 778 293
Current portion of capital lease obligations 7 11
------------ ------------
Total current liabilities 24,292 12,007
Long-term closure and post-closure obligations 15,995 13,070
Reducing revolving line of credit 63,000 -
Long-term capital lease obligations 3 10
Other long-term liabilities 201 -
Deferred income taxes 19,146 5,077
------------ ------------
Total liabilities 122,637 30,164
Contingencies and commitments
Stockholders' Equity
Common stock 183 183
Additional paid-in capital 61,892 61,459
Retained earnings 33,940 34,446
Accumulated other comprehensive income 676 -
Treasury stock (1,979) (2,590)
------------ ------------
Total stockholders' equity 94,712 93,498
------------ ------------
Total liabilities and stockholders' equity $ 217,349 $ 123,662
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US ECOLOGY, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
(unaudited)
For the Year Ended
December 31,
--------------------------
2010 2009
------------ ------------
Cash Flows From Operating Activities:
Net income $ 12,584 $ 13,970
Adjustments to reconcile net income to net
cash provided by operating activities:
Depreciation, amortization and accretion 9,118 9,046
Unrealized foreign currency gain (1,205) -
Deferred income taxes (286) 1,793
Stock-based compensation expense 988 655
Net loss on sale of property and equipment 171 296
Investment premium amortization 20 -
Changes in assets and liabilities (net of
effect of business acquisition):
Receivables, net (11,278) 14,435
Income tax receivable - 2,834
Other assets (618) (11)
Accounts payable and accrued liabilities 481 (1,054)
Deferred revenue 339 (3,304)
Accrued salaries and benefits 2,362 (1,160)
Income tax payable 2,413 201
Closure and post-closure obligations (158) (928)
Other (2) 14
------------ ------------
Net cash provided by operating activities 14,929 36,787
Cash Flows From Investing Activities:
Business acquisition (net of cash acquired) (77,427) -
Purchases of property and equipment (14,190) (9,405)
Purchases of short-term investments (4,998) (1,409)
Maturities of short-term investments 6,375 -
Restricted cash, net 685 (84)
Proceeds from sale of property and equipment 58 64
------------ ------------
Net cash used in investing activities (89,497) (10,834)
Cash Flows From Financing Activities:
Proceeds from reducing revolving line of
credit 63,000 -
Dividends paid (13,090) (13,068)
Deferred financing costs paid (373) -
Stock repurchases 46 (2)
Tax benefit of common stock options 10 -
Other (11) (9)
------------ ------------
Net cash provided by (used in)
financing activities 49,582 (13,079)
Effect of foreign exchange rate changes on cash (19) 0
(Decrease) Increase in cash and cash
equivalents (25,005) 12,874
Cash and cash equivalents at beginning of
period 31,347 18,473
------------ ------------
Cash and cash equivalents at end of period $ 6,342 $ 31,347
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Contact Information: Contact: Alison Ziegler Cameron Associates (212) 554-5469 alison@cameronassoc.com www.usecology.com