Nautilus 2005 Annual Report Download - page 25

Download and view the complete annual report

Please find page 25 of the 2005 Nautilus annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 169

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148
  • 149
  • 150
  • 151
  • 152
  • 153
  • 154
  • 155
  • 156
  • 157
  • 158
  • 159
  • 160
  • 161
  • 162
  • 163
  • 164
  • 165
  • 166
  • 167
  • 168
  • 169

Table of Contents
Item 6. Selected Consolidated Financial Data
The selected consolidated financial data presented below for each year in the five-
year period ended December 31, 2005 has been derived
from our audited financial statements. The balance sheet data as of December 31, 2005 and 2004 and the statement of operations data for each
of the years in the three year period ended December 31, 2005 have been derived from our audited financial statements included herein. The
balance sheet data as of December 31, 2003, 2002, and 2001 and the statement of operations data for the years ended December 31, 2002 and
2001 have been derived from our audited financial statements not included in this document. The data presented below should be read in
conjunction with our financial statements and notes thereto and Item 7, “Management’s Discussion and Analysis of Financial Condition and
Results of Operations.” Comparability of financial results is affected by the acquisition of Schwinn Fitness in September 2001, StairMaster in
February 2002, and Pearl Izumi in July 2005. For further discussion of financial information related to the acquisition of Pearl Izumi, see Note
4 of the Notes to Consolidated Financial Statements. Also, certain amounts from previous years have been reclassified to conform to the 2005
presentation with no effect on previously reported consolidated net income or stockholders’ equity.
24
In Thousands (except per share amounts)
2005
2004
2003
2002
2001
Statement of Operations Data
Net sales
$
631,310
$
523,837
$
498,836
$
584,650
$
363,862
Cost of sales
352,496
279,043
247,020
247,598
138,470
Gross profit
278,814
244,794
251,816
337,052
225,392
Operating expenses: Selling and marketing
179,656
156,577
149,245
145,258
99,813
General and administrative
48,826
31,033
37,098
26,017
15,574
Research and development
11,160
6,754
5,670
4,485
2,229
Royalties
5,368
5,968
7,987
10,108
7,363
Total operating expenses
245,010
200,332
200,000
185,868
124,979
Operating income
33,804
44,462
51,816
151,184
100,413
Other income (expense):
Interest income, net
1,179
1,357
839
1,561
4,024
Other
—
net
310
(172
)
1,098
202
381
Total other income
—
net
1,489
1,185
1,937
1,763
4,405
Income before income taxes
35,293
45,647
53,753
152,947
104,818
Income tax expense
12,293
15,662
19,351
55,060
38,235
Net income
$
23,000
$
29,985
$
34,402
$
97,887
$
66,583
Basic earnings per share
$
0.69
$
0.92
$
1.06
$
2.84
$
1.89
Diluted earnings per share
$
0.68
$
0.90
$
1.04
$
2.79
$
1.85
Cash dividends per share
$
0.40
$
0.40
$
0.40
$
—
$
—
Basic shares outstanding
33,303
32,757
32,580
34,499
35,184
Diluted shares outstanding
33,857
33,394
33,019
35,143
35,966
Balance Sheet Data
Cash, cash equivalents, and short
-
term investments
$
7,984
$
104,585
$
72,634
$
49,297
$
51,709
Working capital
106,971
169,549
138,711
109,023
84,366
Total assets
413,286
359,641
311,935
276,653
193,905
Long
-
term obligations
5,610
200
—
—
—
Stockholders
’
equity
252,466
252,036
226,128
202,423
147,414