SPAR Group Records First Quarter Revenue of $21 Million, an Increase of 28% Year-Over-Year
Company Highlights
- First quarter 2012 revenue increased by 28% to
$21 million , an increase of$4.6 million over the same period in 2011. - International division revenues grew by 71% for the first quarter of 2012 compared to the same period in 2011.
- Gross Profit increased 10% year-over-year.
- Net Income increased 21% year-over-year.
- Working capital improved to
$7.6 million .
"Management's ability to effectively integrate our recently acquired subsidiaries while improving operations in established markets has led to the current increase in financial growth during a traditionally slow period in the retail merchandising business cycle," stated
Three Month Financial Results for the period ended
Three Months Ended March 31,
(in thousands)
--------------------------------------------
2012 2011 Change
----------- ----------- -------------------
Net Revenue: $ %
--------- --------
Domestic $ 9,285 $ 9,521 $ (236) (3)%
International 11,762 6,897 4,865 71%
----------- ----------- ---------
Total $ 21,047 $ 16,418 $ 4,629 28%
Gross Profit:
Domestic $ 2,960 $ 3,274 $ (314) (10)%
International 2,809 1,958 851 44%
----------- ----------- ---------
Total $ 5,769 $ 5,232 $ 537 10%
Net Income:
Domestic $ 263 $ 500 $ (237) (47)%
International 44 (247) 291 118%
----------- ----------- ---------
Total $ 307 $ 253 $ 54 21%
Net revenues for the three months ended
Domestic net revenues totaled
International net revenues totaled
Gross profit increased 10% to
The Company reported net income of
Balance Sheet as of
As of
The Company intends to file the Form 10-Q with the
About
Certain statements in this news release and such conference call are forward-looking, including (without limitation) expectations or guidance respecting customer contract expansion, growing revenues and profits through organic growth and acquisitions, attracting new business that will increase
Tables Follow
SPAR Group, Inc.
Consolidated Statements of Income and Comprehensive Income
(unaudited)
(in thousands, except per share data)
Three Months Ended
March 31,
------------------------
2012 2011
----------- -----------
Net revenues $ 21,047 $ 16,418
Cost of revenues 15,278 11,186
----------- -----------
Gross profit 5,769 5,232
Selling, general, and administrative expense 5,022 4,573
Depreciation and amortization 277 262
----------- -----------
Operating income 470 397
Interest expense 51 81
Other (income) expense (82) 9
----------- -----------
Income before provision for income taxes 501 307
Provision for income taxes 42 24
----------- -----------
Net income 459 283
Net income attributable to the non-controlling
interest (152) (30)
----------- -----------
Net income attributable to SPAR Group, Inc. $ 307 $ 253
=========== ===========
Net income per basic/diluted common share:
Net income - basic $ 0.02 $ 0.01
=========== ===========
Net income - diluted $ 0.01 $ 0.01
=========== ===========
Weighted average common shares - basic 20,117 19,639
=========== ===========
Weighted average common shares - diluted 21,467 21,347
=========== ===========
Net income 459 283
Other comprehensive income:
Foreign currency translation adjustments (42) 23
----------- -----------
Comprehensive income $ 417 $ 306
=========== ===========
SPAR Group, Inc.
Consolidated Balance Sheets
(in thousands, except share and per share data)
March 31, December 31,
2012 2011
----------- ------------
(unaudited) (note)
Assets
Current assets:
Cash and cash equivalents $ 1,666 $ 1,705
Accounts receivable, net 14,673 15,461
Prepaid expenses and other current assets 860 801
----------- ------------
Total current assets 17,199 17,967
Property and equipment, net 1,771 1,523
Goodwill 1,148 1,148
Intangibles 677 705
Other assets 195 178
----------- ------------
Total assets $ 20,990 $ 21,521
=========== ============
Liabilities and equity
Current liabilities:
Accounts payable $ 3,401 $ 1,819
Accrued expenses and other current liabilities 3,423 4,039
Accrued expense due to affiliates 1,551 1,092
Customer deposits 217 183
Lines of credit 972 3,641
----------- ------------
Total current liabilities 9,564 10,774
Long-term debt and other liabilities 438 334
----------- ------------
Total liabilities 10,002 11,108
Equity:
SPAR Group, Inc. equity
Preferred stock, $.01 par value:
Authorized and available shares - 2,445,598
Issued and outstanding shares -
None - March 31, 2012
None - December 31, 2011 - -
Common stock, $.01 par value:
Authorized shares - 47,000,000
Issued and outstanding shares -
20,130,918 - March 31, 2012
20,103,043 - December 31, 2011 201 201
Additional paid-in capital 14,098 13,940
Accumulated other comprehensive loss (214) (172)
Accumulated deficit (4,319) (4,626)
----------- ------------
Total SPAR Group, Inc. equity 9,766 9,343
Non-controlling interest 1,222 1,070
----------- ------------
Total liabilities and equity $ 20,990 $ 21,521
=========== ============
Note: The Balance Sheet at December 31, 2011 , is excerpted from the
consolidated audited financial statements as of that date but does not
include certain information and footnotes required by accounting principles
generally accepted in the United States for complete financial statements.
Contact:James R. Segreto Chief Financial OfficerSPAR Group, Inc. (914) 332-4100 Investors:Alan Sheinwald Alliance Advisors, LLC (212) 398-3486 Email ContactChris Camarra Alliance Advisors, LLC (212) 398-3487 Email Contact
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