Audiovox 2004 Annual Report Download - page 89

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AUDIOVOX CORPORATION AND SUBSIDIARIES
Notes to Consolidated Financial Statements, Continued
November 30, 2002, 2003 and 2004
(Dollars in thousands, except share and per share data)
Years Ended November 30,
−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−−
2002 2003 2004
−−−−−−− −−−−−−− −−−−−−−−−−
Net sales $47,308 $47,818 $56,988
Gross profit 8,660 11,185 14,540
Operating income 3,356 5,754 7,257
Net income 3,486 5,895 7,304
The Company's share of income from ASA for fiscal 2002, 2003 and 2004 was
$1,743, $2,948 and $3,652, respectively. In addition, the Company received
distributions from ASA totaling $947, $1,316 and $4,131 during the years
ended November 30, 2002, 2003 and 2004, respectively.
As discussed in Note 5 of Notes to Consolidated Financial Statements, the
Company sold $3,600 of marine division assets to ASA which were acquired in
connection with the Recoton acquisition.
(8) Accrued Expenses and Other Current Liabilities
Accrued expenses and other current liabilities consists of the following:
November 30,
−−−−−−−−−−−−−−−−−−−−−−−−−
2003 2004
−−−−−−− −−−−−−−
Commissions $ 1,380 $ 1,388
Employee compensation 5,751 6,079
Professional fees and accrued settlements 500 4,746
Future warranty 8,408 7,947
Freight and duty 2,620 2,873
Other taxes payable 882 587
Royalties, advertising and other 7,904 9,783
−−−−−−− −−−−−−−
$27,445 $33,403
======= =======
(9) Financing Arrangements
The Company had the following financing arrangements:
November 30,
−−−−−−−−−−−−−−−−−−−−−−−−
2003 2004
−−−−−−− −−−−−−−
Bank Obligations
Domestic bank obligations (a) $31,709 −−
Malaysia bank obligations (b) 2,721 $ 2,209
Euro factoring obligations (c) 5,510 5,485
−−−−−−− −−−−−−−
Total bank obligations $39,940 $ 7,694
======= =======
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