GlobeNewswire Inc | Aug 9, 2021 04:00PM EDT

August 09, 2021

ALLEN, Texas, Aug. 09, 2021 (GLOBE NEWSWIRE) -- Atrion Corporation (NASDAQ: ATRI) today announced that for the second quarter ended June 30, 2021, revenues totaled $42.7 million compared with $38.0 million for the same period in 2020. Net income for the second quarter of 2021 totaled $8.9 million as compared to $8.6 million for the same period in 2020, with diluted earnings per share for the second quarter of 2021 at $4.88 compared to $4.68 for the second quarter of 2020.

Commenting on results for the second quarter of 2021, David Battat, President and CEO, stated, In our press release announcing first quarter 2021 results, we highlighted that after three consecutive pandemic quarterly declines in sales during 2020, we turned the corner in early 2021 and expected continued improvements as the year progressed. I am especially pleased that we met those expectations in the second quarter of this year with sequential increases of 9% in revenues, 10% in operating income and 16% in net income. Mr. Battat continued, When comparing our quarterly results to the second quarter of 2020, revenues were up 12% while other measurements were mixed, reflecting increased manufacturing and other personnel costs to support the safety and financial needs of our employees due to the continuing pandemic.

Addressing the outlook for the remainder of 2021, Mr. Battat added, Barring major disruptions due to COVID-19, we expect the remaining quarters of the year to show increases in sales and operating income of approximately 25% compared to the same quarters in 2020. Consistent with our prior practices, we will return capital to our stockholders through increasing dividends and opportunistic purchases of our stock. Cash and short and long term investments totaled $80.0 million as of June 30, 2021, following the purchases of 17,123 shares of our common stock in the second quarter at an average price of $613 per share, for a total cost of $10.5 million.

Atrion Corporation develops and manufactures products primarily for medical applications. The Companys website is www.atrioncorp.com.

Statements in this press release that are forward looking are based upon current expectations and actual results or future events may differ materially. Such statements include, but are not limited to, Atrion's expectations regarding results for the remaining quarters of 2021 and return of capital through increasing dividends and stock repurchases. Words such as "expects," "believes," "anticipates," "forecasts," "intends," "should", "plans," "will" and variations of such words and similar expressions are intended to identify such forward-looking statements. Forward-looking statements contained herein involve numerous risks and uncertainties, and there are a number of factors that could cause actual results or future events to differ materially, including, but not limited to, the following: the risk that the COVID-19 pandemic continues to lead to material delays and cancellations of, or reduced demand for, procedures in which our products are utilized; curtailed or delayed capital spending by hospitals and other healthcare providers; disruption to our supply chain; closures of our facilities; delays in training; delays in gathering clinical evidence; diversion of management and other resources to respond to the COVID-19 outbreak; the impact of global and regional economic and credit market conditions on healthcare spending; the risk that the COVID-19 virus continues to disrupt local economies and to cause economies in our key markets to enter prolonged recessions; changing economic, market and business conditions; acts of war or terrorism; the effects of governmental regulation; the impact of competition and new technologies; slower-than-anticipated introduction of new products or implementation of marketing strategies; implementation of new manufacturing processes or implementation of new information systems; our ability to protect our intellectual property; changes in the prices of raw materials; changes in product mix; intellectual property and product liability claims and product recalls; the ability to attract and retain qualified personnel; and the loss of, or any material reduction in sales to, any significant customers. In addition, assumptionsrelating to budgeting, marketing, product development and other management decisions are subjective in many respects and thus susceptible to interpretations and periodic review which may cause us to alter our marketing, capital expenditures or other budgets, which in turn may affect our results of operations and financial condition. The foregoing list of factors is not exclusive, and other factors are set forth in the Company's filings with the Securities and Exchange Commission. The forward-looking statements in this press release are made as of the date hereof, and we do not undertake any obligation, and disclaim any duty, to supplement, update or revise such statements, whether as a result of subsequent events, changed expectations or otherwise, except as required by applicable law.

Contact: Jeffery Strickland Vice President and Chief Financial Officer (972) 390-9800

ATRION CORPORATIONUNAUDITED CONSOLIDATED STATEMENTS OF INCOME(In thousands, except per share data)

Three Months Ended Six Months Ended June 30, June 30, 2021 2020 2021 2020 Revenues $ 42,693 $ 37,968 $ 81,862 $ 81,563 Cost of goods sold 24,826 20,499 47,656 44,226 Gross profit 17,867 17,469 34,206 37,337 Operating expenses 8,072 7,423 15,480 15,577 Operating income 9,795 10,046 18,726 21,760 Interest and 183 367 399 858 dividend incomeOther investment 963 354 1,025 (673 )income (loss)Other income -- -- 66 -- Income before 10,941 10,767 20,216 21,945 income taxesIncome tax (2,017 ) (2,162 ) (3,565 ) (4,443 )provisionNet income $ 8,924 $ 8,605 $ 16,651 $ 17,502 Income per basic $ 4.89 $ 4.69 $ 9.12 $ 9.49 share Weighted averagebasic shares 1,826 1,835 1,826 1,844 outstanding Income per diluted $ 4.88 $ 4.68 $ 9.10 $ 9.47 share Weighted averagediluted shares 1,828 1,839 1,830 1,849 outstanding

ATRION CORPORATIONCONSOLIDATED BALANCE SHEETS(In thousands)

June 30, Dec. 31,ASSETS 2021 2020 (Unaudited) Current assets: Cash and cash equivalents $ 17,070 $ 22,450 Short-term investments 30,478 19,258 Total cash and short-term investments 47,548 41,708 Accounts receivable 22,682 16,445 Inventories 47,725 50,298 Prepaid expenses and other 7,873 3,868 Total current assets 125,828 112,319 Long-term investments 32,441 46,207 Property, plant and equipment, net 96,012 94,935 Other assets 13,357 13,429 $ 267,638 $ 266,890 LIABILITIES AND STOCKHOLDERS? EQUITY Current liabilities 12,699 13,636 Line of credit -- -- Other non-current liabilities 14,248 12,812 Stockholders? equity 240,721 240,442 $ 267,638 $ 266,890