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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
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FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report:
(Date of earliest event reported)
November 11, 2004
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CONN'S, INC.
(Exact name of registrant as specified in charter)
Delaware
(State or other Jurisdiction of Incorporation or Organization)
000-50421 06-1672840
(Commission File Number) (IRS Employer Identification No.)
3295 College Street
Beaumont, Texas 77701
(Address of Principal Executive
Offices and zip code)
(409) 832-1696
(Registrant's telephone
number, including area code)
N/A
(Former Name or Former Address, if Changed Since Last Report)
Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions:
[ ] Written communications pursuant to Rule 425 under the Securities Act
(17 CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Securities Act
(17 CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) 12 under the
Securities Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) 12 under the
Securities Act (17 CFR 240.13e-2(c))
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Item 2.02 Results of Operations and Financial Condition.
On November 11, 2004, the Company issued a press release announcing its
net sales for the quarter and nine months ended October 31, 2004. The press
release also provided updated earnings per share guidance for the quarter ended
October 31, 2004 and the year ended January 31, 2005. A copy of the press
release is furnished herewith as Exhibit 99.1 and is incorporated herein by
reference.
Item 9.01(c) Exhibits.
Exhibit 99.1 Press Release, dated November 11, 2004
All of the information contained in Item 2.02 and Item 9.01(c) in this
Form 8-K and the accompanying exhibit shall not be deemed to be "filed" for the
purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and
shall not be incorporated by reference in any filing under the Securities Act of
1933, as amended.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
CONN'S, INC.
Date: November 12, 2004 By: /s/ C. William Frank
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C. William Frank
Executive Vice President and Chief Financial
Officer
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EXHIBIT INDEX
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Exhibit No. Description
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99.1 Press Release, dated November 11, 2004
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EXHIBIT 99.1
Conn's, Inc. Reports Record Sales Results for the Quarter Ended
Oct. 31, 2004
BEAUMONT, Texas--(BUSINESS WIRE)--Nov. 11, 2004--Conn's, Inc.
(Nasdaq/NM:CONN), a specialty retailer of home appliances, consumer
electronics, home office products, bedding and lawn and garden
products, today announced its net sales results for the quarter and
nine months ended Oct. 31, 2004.
Net sales for the quarter ended Oct. 31, 2004 increased $12.1
million, or 11.8%, from $103.0 million for the third quarter of fiscal
2004 to $115.1 million for the third quarter of fiscal 2005. Same
store sales (sales recorded in stores operated for the entirety of
both periods) were up 1.5% for the third quarter. Net sales represent
net product sales, delivery charges, service revenues and commissions
from service maintenance agreement sales. Revenues from finance
charges and other will be reported in the Company's quarterly
conference call on Dec. 2, 2004.
Net sales for the nine months ended Oct. 31, 2004 increased $40.1
million, or 12.8%, from $312.4 million for the nine months ended Oct.
31, 2003 to $352.5 million for the nine months ended Oct. 31, 2004.
Same store sales (sales recorded in stores operated for the entirety
of both periods) were up 4.0% for the same period. Net sales represent
net product sales, delivery charges, service revenues and commissions
from service maintenance agreement sales. Revenues from finance
charges and other will be reported in the Company's quarterly
conference call on Dec. 2, 2004.
Thomas J. Frank, chairman and chief executive officer, stated,
"While our overall same store sales increase dropped to the lower
single digit range, we continued to experience solid double digit
increases at our total sales line. Our track, bedding and lawn and
garden product categories continued to be significant contributors to
our total product sales growth." The Company defines the track sales
as sales of smaller electronic and appliance items and other "carry
out" products that are sold inside a track located within the interior
of each store.
The Company updated its EPS guidance for earnings per diluted
share for the quarter ended Oct. 31, 2004 from a range of $0.27 to
$0.29 to a range of $0.26 to $0.27 per share. For the year ended Jan.
31, 2005, the Company left its EPS guidance for earnings per diluted
share at a range of $1.23 to $1.26 per share.
About Conn's, Inc.
The Company is a specialty retailer currently operating 49 retail
locations in Texas and Louisiana. It sells major home appliances,
including refrigerators, freezers, washers, dryers and ranges, and a
variety of consumer electronics, including projection, plasma, LCD and
DLP televisions, camcorders, VCRs, DVD players and home theater
products. The Company also sells home office equipment, lawn and
garden products and bedding, and continues to introduce additional
product categories for the home to help increase same store sales and
to respond to our customers' product needs.
Unlike many of its competitors, the Company provides in-house
credit options for its customers. Historically, it has financed over
56% of retail sales. Customer receivables are financed substantially
through an asset-backed securitization facility, from which the
Company derives servicing fee income and interest income from these
assets. The Company transfers receivables, consisting of retail
installment contracts and revolving accounts extended to its
customers, to a qualifying special purpose entity, or the issuer, in
exchange for cash and subordinated securities represented by
asset-backed and variable funding notes issued to third parties.
This press release contains forward-looking statements that
involve risks and uncertainties. Such forward-looking statements
generally can be identified by the use of forward-looking terminology
such as "may," "will," "expect," "intend," "could," "estimate,"
"should," "anticipate," or "believe," or the negative thereof or
variations thereon or similar terminology. Although the Company
believes that the expectations reflected in such forward-looking
statements will prove to be correct, the Company can give no assurance
that such expectations will prove to have been correct. The actual
future performance of the Company could differ materially from such
statements. Factors that could cause or contribute to such differences
include, but are not limited to: the Company's growth strategy and
plans regarding opening new stores and entering new markets; the
Company's intention to update or expand existing stores; the Company's
estimated capital expenditures and costs related to the opening of new
stores or the update or expansion of existing stores; the Company's
ability to introduce additional product categories; the Company's cash
flow from operations, growth trends and projected sales in the home
appliance and consumer electronics industry and the Company's ability
to capitalize on such growth; relationships with the Company's key
suppliers; the results of the Company's litigation; weather conditions
in the Company's markets; changes in the Company's stock price; and
the actual number of shares of common stock outstanding. Further
information on these risk factors is included in the Company's filings
with the Securities and Exchange Commission, including the Company's
Form 10-K filed on April 16, 2004. You are cautioned not to place
undue reliance on these forward-looking statements, which speak only
as of the date of this press release. Except as required by law, the
Company is not obligated to publicly release any revisions to these
forward-looking statements to reflect the events or circumstances
after the date of this press release or to reflect the occurrence of
unanticipated events.
CONTACT: Conn's, Inc., Beaumont
Thomas J. Frank, 409-832-1696 Ext. 3218