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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
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) September 29, 2004
RESOURCES CONNECTION, INC.
Delaware 0-32113 33-0832424
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(State or other jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.)
695 Town Center Drive, Suite 600, Costa Mesa, California 92626
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (714) 430-6400
Not applicable
(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 (see General Instruction A.2. below):
[ ] Written communications pursuant to Rule 425 under the Securities Act (17
CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17
CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the
Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13e-4(c))
Item 2.02 Results of Operations and Financial Condition.
On September 29, 2004, Resources Connection, Inc. issued a press release
announcing its financial results for the quarterly period ended August 31, 2004.
A copy of the press release is attached hereto as Exhibit 99.1.
The information in this current report on Form 8-K, including Exhibit 99.1
hereto, shall not be deemed "filed" for purposes of Section 18 of the Securities
Exchange Act of 1934, as amended, and shall not be incorporated by reference
into any registration statement or other document pursuant to the Securities Act
of 1933, as amended
Item 9.01 Financial Statements and Exhibits.
(c) Exhibits
Exhibit No. Description
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Exhibit 99.1 Press Release issued September 29, 2004
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.
RESOURCES CONNECTION, INC.
Date: September 29, 2004
By: /s/ Donald B. Murray
---------------------
Donald B. Murray
Chief Executive Officer
EXHIBIT INDEX
Exhibit No. Description
- ----------- ---------------------------------------
Exhibit 99.1 Press Release issued September 29, 2004
Exhibit 99.1
Resources Connection, Inc. Reports Record First Quarter Results
Revenue Grows 94% and Earnings Per Share Triple Quarter Over Quarter
COSTA MESA, Calif., Sept. 29 /PRNewswire-FirstCall/ -- Resources
Connection, Inc. (Nasdaq: RECN), an international professional services firm
that provides accounting and finance, human capital, information management,
supply chain management and internal audit/risk management services on a
project basis, today announced financial results for the quarter ended
August 31, 2004.
Total revenue improved 94% to $115.4 million for the first quarter of
fiscal 2005, from $59.5 million for the comparable quarter in fiscal 2004, and
8% from the previous quarter. Net income for the quarter ended August 31,
2004, was $11.6 million, or $0.46 per diluted share, compared to net income of
$3.4 million, or $0.15 per diluted share, in the August 2003 quarter.
"We are off to an excellent start both financially and operationally in
fiscal 2005, marked by continued improvements in profitability and strong
revenue growth," said Chairman and CEO, Donald Murray. "In particular, the
strength of our internal audit and finance and accounting practices continues
to grow as we assist clients working to implement long-term, cost-effective
compliance solutions in response to the ongoing demands of Sarbanes-Oxley.
Importantly, our compliance work has served as an entree into providing
additional specialized project services across each of our service lines.
This ability to remain flexible in response to the changing market needs and
those of our growing client base has been an important contributor to our
success, and we look forward to continuing this momentum throughout the rest
of the year."
"Our operating income as a percentage of revenue was greater than we
planned as demand grew faster than our internal hiring," Mr. Murray continued.
"We expect to fill several open positions that may reduce our operating income
percentage to our planned level."
ABOUT RESOURCES CONNECTION
Resources Connection, Inc. is an international professional services firm
that provides accounting and finance, human capital, information management,
supply chain management and internal audit/risk management services on a
project basis. The Company was originated as part of Deloitte in North
America. Its legacy in Europe is from Ernst & Young and in Asia Pacific from
Deloitte Touche Tohmatsu Australia and Deloitte Touche Tohmatsu Taiwan.
Resources Connection today is completely independent, autonomous and publicly
traded on NASDAQ. In addition to its project professional services, Resources
Connection has established itself as a leading business services provider for
companies seeking independent and cost effective assistance for meeting or
complying with many of the complex business and regulatory issues in today's
marketplace.
Headquartered in Costa Mesa, California, the company operates from more
than 60 domestic and international offices. The U.S. client portfolio boasts
more than 30 of the Fortune 50 companies. The company was recently named to
Forbes Best 200 Small Companies list for the second consecutive year. More
information about the company is available at
http://www.resourcesconnection.com.
Resources Connection will hold a conference call for interested analysts
and investors at 5:00 pm, EDT today, September 29, 2004. This conference call
will be available for listening via a webcast on the Company's Internet web
site, at http://www.resourcesconnection.com/.
Certain statements in this press release are "forward-looking statements"
within the meaning of Section 27A of the Securities Act of 1933 and Section
21E of the Securities Exchange Act of 1934. Such forward-looking statements
may be identified by words such as "anticipates," "believes," "can,"
"continue," "could," "estimates," "expects," "intends," "may," "plans,"
"potential," "predicts," "should," or "will" or the negative of these terms or
other comparable terminology. Such statements and all phases of Resources
Connection's operations are subject to known and unknown risks, uncertainties
and other factors, including seasonality, overall economic conditions and
other factors and uncertainties as are identified in Resources Connection's
Form 10-K for the year ended May 31, 2004 (File No. 0-32113). Readers are
cautioned not to place undue reliance on these forward-looking statements,
which speak only as of the date hereof. Resources Connection's, and its
industry's, actual results, levels of activity, performance or achievements
may be materially different from any future results, levels of activity,
performance or achievements expressed or implied by these forward-looking
statements. The Company undertakes no obligation to update the
forward-looking statements in this press release.
RESOURCES CONNECTION, INC.
SUMMARY OF OPERATIONS
(in thousands, except per share amounts)
Quarter
Ended August 31,
2004 2003
(unaudited)
Revenue $115,401 $59,541
Direct costs of services 69,934 36,055
Gross profit 45,467 23,486
Selling, general and administrative expenses 25,181 17,229
Operating income 20,286 6,257
Amortization of intangible assets 411 306
Depreciation expense 543 387
Interest income (304) (172)
Income before provision for income taxes 19,636 5,736
Provision for income taxes 8,051 2,323
Net income $11,585 $3,413
Diluted net income per share $0.46 $0.15
Diluted shares 24,980 23,449
RESOURCES CONNECTION, INC.
SELECTED BALANCE SHEET INFORMATION
(in thousands)
August 31, 2004 May 31, 2004
(unaudited)
Cash, cash equivalents and long-term
marketable securities $70,276 $69,839
Accounts receivable, less allowances $65,388 $59,766
Total assets $233,848 $226,263
Current liabilities $35,035 $41,241
Total stockholders' equity $194,125 $180,334
SOURCE Resources Connection, Inc.
-0- 09/29/2004
/CONTACT: Stephen Giusto, Chief Financial Officer of Resources
Connection, Inc., +1-714-430-6500, steve.giusto@resources-us.com/
/Web site: http://www.resourcesconnection.com /
(RECN)
CO: Resources Connection, Inc.
ST: California
IN: FIN
SU: ERN CCA