Toro 2012 Annual Report Download - page 39
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Please find page 39 of the 2012 Toro 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.circumstances changed and these funds were needed for our U.S.
Capital Expenditures and
operations, we would be required to accrue and pay U.S. taxes to
Other Long-Term Assets
repatriate these funds.
Fiscal 2012 capital expenditures of $43.2 million were 24.7 percent
lower compared to fiscal 2011. This decrease was primarily attribu-
Cash Dividends
table to capital expenditures in fiscal 2011 for our new manufactur-
Each quarter in fiscal 2012, our Board of Directors declared a cash
ing facility in Romania. Capital expenditures for fiscal 2013 are
dividend of $0.11 per share, which was a 10 percent increase over
planned to be approximately $60 million as we expect to continue
our cash dividend of $0.10 per share paid each quarter in fiscal
to invest in new product tooling and replacement production equip-
2011. As announced on December 11, 2012, our Board of Direc-
ment, as well as expansion of facilities.
tors recently increased our fiscal 2013 first quarter quarterly cash
Long-term assets as of October 31, 2012 were $323.1 million
dividend by 27.3 percent to $0.14 per share from the quarterly
compared to $337.8 million as of October 31, 2011, a decrease of
cash dividend paid in the first quarter of fiscal 2012.
4.4 percent. This decrease was due primarily to a decline in capital
expenditures in fiscal 2012 compared to fiscal 2011, as discussed Stock Split
previously.
On May 24, 2012, we announced that our Board of Directors
declared a two-for-one stock split of our common stock, effected in
Capital Structure
the form of a 100 percent stock dividend. The stock split was dis-
The following table details the components of our total capitaliza-
tributed or paid on June 29, 2012, to shareholders of record as of
tion and key ratios.
June 15, 2012. As a result of this action, approximately 29.4 mil-
(Dollars in millions) lion shares were issued to shareholders of record as of June 15,
October 31 2012 2011 2012. The par value of the common stock remains at $1.00 per
Long-term debt, including current portion $225.3 $227.2 share and; accordingly, approximately $29,390 was transferred
Stockholders’ equity 312.4 266.8 from retained earnings to common stock. Earnings and dividends
Debt-to-capitalization ratio 41.9% 46.0% declared per share and weighted average shares outstanding are
Our debt-to-capitalization ratio decreased in fiscal 2012 com- presented in this report after the effect of the 100 percent stock
pared to fiscal 2011 due to an increase in stockholders’ equity dividend. The two-for-one stock split is reflected in the share
from higher net earnings and lower repurchases of shares of our amounts in all periods presented in this report.
common stock in fiscal 2012 as compared to fiscal 2011.
Cash Flow
Liquidity and Capital Resources Cash flows provided by (used in) operating, investing, and financ-
Our businesses are seasonally working capital intensive and ing activities during the past three fiscal years are shown in the
require funding for purchases of raw materials used in production, following table.
replacement parts inventory, payroll and other administrative costs,
capital expenditures, establishment of new facilities, expansion and Cash Provided by (Used in)
(Dollars in millions)
upgrading of existing facilities, as well as for financing of receiv- Fiscal years ended October 31 2012 2011 2010
ables from customers that are not financed with Red Iron. We Operating activities $ 185.8 $ 113.9 $ 193.5
believe that anticipated cash generated from operations, together Investing activities (47.3) (69.3) (60.8)
with our fixed rate long-term debt, bank credit lines, and cash on Financing activities (93.0) (140.1) (142.3)
Effect of exchange rates on cash (0.5) (1.0) (0.8)
hand, will provide us with adequate liquidity to meet our anticipated
operating requirements. We believe that the funds available Net cash provided (used) $ 45.0 $ (96.5) $ (10.4)
through existing financing arrangements and forecasted cash flows Cash and cash equivalents as of fiscal year end $ 125.9 $ 80.9 $ 177.4
will be sufficient to provide the necessary capital resources for our
anticipated working capital needs, capital expenditures, invest- Cash Flows From Operating Activities. Our primary source of
ments, debt repayments, quarterly cash dividend payments, and funds is cash generated from operations. In fiscal 2012, cash pro-
stock repurchases for at least the next twelve months. As of Octo- vided by operating activities increased $71.9 million, or 63.2 per-
ber 31, 2012, cash and short-term investments held by our foreign cent, from fiscal 2011. This increase was due mainly to an
subsidiaries that are not available to fund domestic operations increase in accounts payable and accrued liabilities as of the end
unless repatriated were $13.0 million. We currently do not intend to of fiscal 2012 compared to the end of fiscal 2011, as well has
repatriate this cash held by our foreign subsidiaries; however, if higher net earnings.
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