-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, MczjOhU0FSyx39qwdNsitS39JKX9K+PzGrebUoNBPB35fm8tCsf/6sIInRse8wSZ TgAU5hRPJdDRyZ6ZiXYXiw== 0000950142-98-000371.txt : 19980513 0000950142-98-000371.hdr.sgml : 19980513 ACCESSION NUMBER: 0000950142-98-000371 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19980512 ITEM INFORMATION: ITEM INFORMATION: FILED AS OF DATE: 19980512 SROS: NASD FILER: COMPANY DATA: COMPANY CONFORMED NAME: NFO WORLDWIDE INC CENTRAL INDEX KEY: 0000897940 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-ENGINEERING, ACCOUNTING, RESEARCH, MANAGEMENT [8700] IRS NUMBER: 061327424 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: SEC FILE NUMBER: 001-13707 FILM NUMBER: 98616997 BUSINESS ADDRESS: STREET 1: 2 PICKWICK PLAZA STREET 2: STE 400 CITY: GREENWICH STATE: CT ZIP: 06830 BUSINESS PHONE: 2036298888 MAIL ADDRESS: STREET 1: TWO PICKWICK PLAZA CITY: GREENWICH STATE: CT ZIP: 06830 8-K 1 FORM 8K CURRENT REPORT UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K CURRENT REPORT Filed Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report (Date of earliest event reported): May 12, 1998 NFO WORLDWIDE, INC. ------------------- (Exact name of registrant as specified in its charter) Delaware 0-21460 06-1327424 - -------------------------------------------------------------------------------- (State or other jurisdiction (Commission File Number) (IRS Employer of incorporation) Identification Number) 2 Pickwick Plaza Suite 400 Greenwich, Connecticut 06830 ---------------------------- (Address of principal executive offices) Registrant's telephone number, including area code: (203) 629-8888 Item 5. Other Events ------------ A copy of the Press Release dated May 12, 1998 is attached hereto as Exhibit 99.1 and is incorporated herein by reference. Item 7. Financial Statements, Pro Forma Financial Information and Exhibits ---------------------------------- (c) The following is an exhibit to this Report and is filed herewith: Exhibit 99.1 Press Release dated May 12, 1998 of NFO Worldwide, Inc. 2 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. NFO WORLDWIDE, INC. (Registrant) By: /s/ PATRICK G. HEALY ------------------------ Patrick G. Healy President - Corporate Product/Systems Development and Chief Financial Officer Dated: May 12, 1998 EXHIBIT INDEX NFO WORLDWIDE, INC. Current Report on Form 8-K Dated May 12, 1998 Exhibit No. Description ----------- ----------- Exhibit 99.1 Press Release dated May 12, 1998 of NFO Worldwide, Inc. EX-99.1 2 EXHIBIT 99.1 CONTACT: Patrick G. Healy President-CPSD & CFO 203-618-8502 e-mail: phealy@nfor.com NFO WORLDWIDE, INC. REPORTS RECORD FIRST QUARTER RESULTS Greenwich, CT -- May 12, 1998 -- NFO Worldwide, Inc. (NYSE:NFO) today reported its results for the first quarter ended March 31, 1998. Revenues for the first quarter increased by 20% to $50.2 million compared with $42.0 million for the same period last year. Net income increased 6% to $2.5 million from $2.4 million in the year ago quarter. Diluted earnings per share increased 9% to $0.12 from $0.11 a year ago. Currency translation decreased first quarter revenues by $1.5 million, or almost 4%, and net income by $0.4 million, or $0.02 per share. Excluding the negative currency impact, earnings per share increased 27% versus a year ago. Revenue growth in the first quarter was driven by the strong performance in the Company's international, hi-tech and financial services business units, as well as by the contributions from NFO's newest companies - CM Research, Ross-Cooper-Lund and MarketMind Technologies. Consolidated revenues, at constant exchange rates, grew by 23% over the prior year. Operating income for the quarter ended March 31, 1998 increased 4% to $4.9 million compared with $4.7 million for the same period a year ago. Currency translations negatively impacted operating income by over $.5 million, or 11%, during the quarter. Excluding the effects of the currency translations, operating income increased 15% over the prior year and net income rose 22%. William E. Lipner, Chairman, President and Chief Executive Officer, said "Despite the negative currency impact, our financial performance during the first quarter was consistent with our operating plan, and marks the start of what we believe will be another excellent year for NFO. The seasonality of business in some of our newly acquired companies also negatively impacted operating margins." Lipner added, "We were pleased to welcome to the NFO family, late in the first quarter, Ross-Cooper-Lund (RCL) and MarketMind Technologies which were acquired in early March, and CF Group which did not officially join NFO until early April. Each of these companies is outstanding in its respective field of specialization: RCL in strategically based brand research, MarketMind in continuous information tracking and CF for its leading market position in Canada. These companies are performing well and should deliver substantial strategic and financial advantages in the periods ahead." Lipner concluded, "We are aggressively pursuing our expanded business development strategy. We look forward to sharing with you the many exciting developments that will continue to drive NFO's future growth, as we strive to become the worldwide leader in the marketing information business." NFO Worldwide, Inc., is a leading provider of custom and syndicated marketing information to America's largest companies as well as the international business community. Through its pre-recruited consumer panel and other specialized databases, NFO offers access to more than 575,000 North American households (over 1.5 million people) and, through a joint venture, to over 100,000 European households. The Company provides its services to over 2,300 clients in key market segments such as packaged goods and foods, healthcare, financial services, hi- tech/telecommunications and travel & leisure. NFO operates in 24 countries and has more than 6,500 full and part-time employees. NFO WORLDWIDE, INC. Financial Summary (In thousands, except per share amounts) Three Months Ended March 31 -------------- 1998 1997 ---- ---- Revenues $50,243 $42,020 Cost of Revenues 22,281 19,116 Selling, General and 20,984 16,779 Administrative Expenses Depreciation and Amortization 2,055 1,378 ------ ------ Operating Income 4,923 4,747 Interest Expense, Net 427 9 Equity Interest in Net Loss of Affiliated Companies and Other Expenses 173 67 ------ ------ Income Before Income Taxes 4,323 4,671 and Minority Interest Provision For Income Taxes 1,665 1,901 ------ ------ Net Income Before Minority Interests 2,658 2,770 Minority Interests 177 419 ------ ------ Net Income $ 2,481 $ 2,351 ======= ======= Earnings Per Share(1) Basic $ .12 $ .12 ------ ------ Diluted $ .12 $ .11 ------ ------ Average Shares Outstanding(1) Basic 20,791 20,075 ------ ------ Diluted 21,514 20,687 ------ ------ (1) For comparability, the earnings per share and share data reflect the three-for-two stock split effected October 15, 1997. Statements in this press release relating to matters that are not historical facts are forward-looking statements. Such forward-looking statements are based on the Company's current forecasts and actual results may differ materially. To understand the risks which may affect the Company's future performance, please refer to Part I of NFO's 1997 Annual Report on Form 10-K and the "Risk Factors" section in the Company's Form 10-K filed March 30, 1998. -----END PRIVACY-ENHANCED MESSAGE-----