FFI Reports First Quarter Earnings
INDIANAPOLIS, Nov. 15, 2011 /PRNewswire/ -- Fortune Industries, Inc. (NYSE AMEX: FFI) announced today results for the first quarter ended September 30, 2011.
Net income available to common stock shareholders for the first quarter ended September 30, 2011 was $0.391 million or $0.03 per share fully diluted versus $0.490 million or $0.03 per share fully diluted, for the fourth quarter fiscal year ended June 30, 2011, representing a $0.099 million decrease in net income available to common stock shareholders. However, this represents a $0.900 million increase in net income available to common stock shareholders for the same three month period in 2010.
Working capital for the first quarter ended September 30, 2011 was $3.1 million, as compared to working capital at fourth quarter fiscal year ended June 30, 2011 of $2.6 million, representing an increase of $0.500 million.
The Company reported EBITDA of $0.902 million for the first quarter ended September 30, 2011, as compared to EBITDA of $0.761 million for the fourth quarter fiscal year ended June 30, 2011, representing a $0.141 million increase in EBITDA. EBITDA increased $0.233 over this same three month period in 2010.
Revenue for the first quarter ended September 30, 2011 was $15.795 million as compared to revenue of $16.088 million for the fourth quarter fiscal year ended June 30, 2011, representing a $0.293 million decrease in revenue. Further revenue ended September 30, 2011 versus this same three month period 2010 increased $0.224 million.
Total number of worksite employees at September 30, 2011 is 15,141 as compared to 13,665 at September 30, 2010, representing a net increase of 1,476 worksite employees.
The dividends on the Series C Preferred Stock increased from $2 per share to $5 per share effective July 1, 2011. This change resulted in an increase of Preferred Stock Dividend of $0.216 million for the first quarter ended September 30, 2011 as compared to the fourth quarter fiscal year ended June 30, 2011.
"Despite the uncertainty in the marketplace and the sluggish economy, we continued to post positive earnings each quarter," stated Tena Mayberry, President and CEO. "This is no small accomplishment and can largely be attributed to our constant focus on daily operations to improve efficiencies, customer service, and ultimately our earnings. Of course new sales growth is a top priority and especially now that we are entering into our peak selling season to add new clients for calendar year 2012. We were right on target this quarter and believe we have a strong foundation to build on this fiscal year."
About Fortune Industries, Inc.
Fortune Industries, Inc. is focused as a professional employer organization (PEO) to small and medium-sized businesses in 47 states, including human resource consulting & management, employee assessment, training, and benefits administration.
Fortune Industries, Inc. is based in Indianapolis, Indiana and is publicly traded on the NYSE Amex exchange under the symbol FFI. Additional information about Fortune Industries, Inc. can be found at www.ffi.net.
This press release and other statements by Fortune Industries, Inc. may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are typically identified by words or phrases such as "believe," "expect," "estimate," "potential," or future/conditional verbs such as "will," "should," and "could" or the negative of those terms or other variations of them or by comparable terminology. The absence of such terms, however, does not mean that the statement is not forward-looking. Any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties that could cause actual results to differ materially. Factors that might cause or contribute to such differences, include, but are not limited to, the risks and uncertainties that are discussed under the heading "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" within the Company's Form 10-K for the year ended June 30, 2011. The Company undertakes no obligation to publicly update or revise any forward- looking statements, whether as a result of new information, future events or otherwise. Readers should carefully review the risk factors disclosed within the Company's Form 10-K and other documents filed by the Company with the Securities and Exchange Commission.
Consolidated Financial Information
Financial highlights are as follows:
Three Month Period Ended
(Dollars in thousands, except per share data)
COST OF REVENUES
INCOME BEFORE PROVISION FOR INCOME TAXES
Provision for income tax expense
NET INCOME FROM CONTINUING OPERATIONS
Loss from discontinued operations
Preferred stock dividends
NET INCOME AVAILABLE TO COMMON SHAREHOLDERS
BASIC INCOME PER COMMON SHARE
Basic Weighted Average Shares Outstanding
DILUTED INCOME PER COMMON SHARE
Diluted Weighted Average Shares Outstanding
SOURCE Fortune Industries, Inc.