SPAR Group Announces Fiscal 2010 EPS of $0.11 for the Year Ended December 31, 2010
2010 Year End Financial Highlights:
- Net revenue increased 10% to
$63.2 million compared to$57.5 million in 2009; - Gross profit increased 20% on improved margins to
$21.0 million compared to$17.5 million in 2009; - Operating income increased 9 fold to
$2.8 million compared to$322,000 in 2009; and - Net income increased 4 fold to
$2.2 million or$0.11 per share compared to$502,000 or$0.03 per share in 2009.
"We are very proud to announce the significant financial improvements for 2010 after having to overcome significant economic hurdles globally over the last two years in the consumer products industry. The worldwide slowdown forced management to rethink our strategy and create a very lean, highly efficient organization that could withstand the worst of times but have significant earnings power as the business environment improved. The hard work and positive execution by our team has enabled us to announce an increase of 332% in our net income to
Key Fourth Quarter 2010 Financial Results:
- Both domestic and international net revenues increased over 30%;
- International gross profit increased 42.5% to
$2.6 million in 2010; - Operating income increased 13 fold to
$1.7 million compared to$123,000 in 2009; - International operating income improved to
$247,000 compared to an operating loss of$504,000 last year; and - Net income increased 4 fold to
$1.2 million or$0.06 per share.
Fourth Quarter Financial Results for Period Ended
Revenue for the quarter ended
Gross profit increased
Net income for the fourth quarter of 2010 increased 294% to
Mr. Raymond further stated, "Throughout 2010, the Company increased market share in its domestic operations, through acquisition and organic growth, and in its international operations as it redeveloped key partner relationships that are expected to continue to yield sustained growth and profitability. As operating results on the domestic front have steadily increased, fourth quarter 2010 provided strong evidence that the international division will also play a vital role in
Key 2010 Year End Financial Results:
- Domestic revenue increased 38%;
- Gross profit increased 20%;
- International gross margin improved to 30% compared to 25% in 2009;
- Operating profit increased 9 fold to
$2.8 million compared to$322,000 in 2009; - Domestic operating profit improved 243% to
$3 million in 2010; and - Net income increased 4 fold to
$2.2 million or$0.11 per share compared to$502,000 or$0.03 per share in 2009.
Twelve Months Financial Results for Period Ended
Revenue for the twelve months ended
Gross profit for 2010 increased 20% to
Net income for the twelve month period ended
Balance Sheet as of
Total current assets and total assets were
The Company intends to file the Form 10-K with the
About
Certain statements in this news release and such conference call are forward-looking, including (without limitation) growing revenues and profits through organic growth and acquisitions, attracting new business that will increase
Tables Follow.
SPAR Group, Inc.
Consolidated Statement of Operations
(unaudited)
(in thousands, except per share data)
Three Months Ending Twelve Months Ending
-------------------------- --------------------------
December 31, December 31, December 31, December 31,
2010 2009 2010 2009
------------ ------------ ------------ ------------
Net revenues $ 18,738 $ 14,191 $ 63,154 $ 57,549
Cost of revenues 12,175 9,262 42,165 40,019
------------ ------------ ------------ ------------
Gross profit 6,563 4,929 20,989 17,530
Selling, general,
and administrative
expense 4,619 4,526 17,140 16,127
Depreciation and
amortization 293 280 1,018 1,081
------------ ------------ ------------ ------------
Operating income 1,651 123 2,831 322
Interest expense 171 23 310 178
Other (income) (36) (39) (21) (582)
------------ ------------ ------------ ------------
Income before
provision for
income taxes 1,516 139 2,542 726
Provision (benefit)
for income taxes 188 (77) 263 169
------------ ------------ ------------ ------------
Net income 1,328 216 2,279 557
Net (income) loss
attributable to
non-controlling
interest (133) 87 (112) (55)
------------ ------------ ------------ ------------
Net income
attributable to
SPAR Group, Inc. $ 1,195 $ 303 $ 2,167 $ 502
============ ============ ============ ============
Basic/diluted net
income per common
share:
Net income - basic
and diluted $ 0.06 $ 0.02 $ 0.11 $ 0.03
============ ============ ============ ============
Weighted average
common shares -
basic 19,290 19,139 19,209 19,139
============ ============ ============ ============
Weighted average
common shares -
diluted 21,047 19,436 20,602 19,434
============ ============ ============ ============
SPAR Group, Inc.
Consolidated Balance Sheets
(unaudited)
(in thousands, except share and per share data)
December 31,
2010 2009
--------- ---------
Assets
Current assets:
Cash and cash equivalents $ 923 $ 1,659
Accounts receivable, net 13,999 10,231
Prepaid expenses and other current assets 1,283 1,182
--------- ---------
Total current assets 16,205 13,072
Property and equipment, net 1,452 1,550
Intangibles 1,210 798
Other assets 226 1,931
--------- ---------
Total assets $ 19,093 $ 17,351
========= =========
Liabilities and equity
Current liabilities:
Accounts payable $ 1,804 $ 3,819
Accrued expenses and other current liabilities 2,733 2,226
Accrued expense due to affiliates 1,575 1,436
Customer deposits 471 477
Lines of credit and other debt 5,263 4,862
--------- ---------
Total current liabilities 11,846 12,820
Equity:
SPAR Group, Inc. equity
Preferred stock, $.01 par value:
Authorized shares - 3,000,000
Issued and outstanding shares -
554,402 - December 31, 2010 and 2009 6 6
Common stock, $.01 par value:
Authorized shares - 47,000,000
Issued and outstanding shares -
19,314,306 - December 31, 2010
19,139,365 - December 31, 2009 193 191
Treasury stock (1) (1)
Additional paid-in capital 13,549 13,099
Accumulated other comprehensive loss (142) (220)
Accumulated deficit (6,808) (8,975)
--------- ---------
Total SPAR Group, Inc. equity 6,797 4,100
Non-controlling interest 450 431
--------- ---------
Total liabilities and equity $ 19,093 $ 17,351
========= =========
Contact:James R. Segreto Chief Financial OfficerSPAR Group, Inc. (914) 332-4100 Investors:Alan Sheinwald Alliance Advisors, LLC (212) 398-3486 Email Contact OrChris Camarra Alliance Advisors, LLC (212) 398-3487 Email Contact
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