FFI Reports Annual Results

Sep 28, 2010, 18:17 ET from Fortune Industries, Inc.

INDIANAPOLIS, Sept. 28 /PRNewswire-FirstCall/ -- Fortune Industries, Inc. (NYSE AMEX: FFI) announced today results for the fiscal year ended June 30, 2010.


Net income available to common stock shareholders for the fiscal year ended June 30, 2010 was $0.828 million or $0.06 per share fully diluted versus 2009 ten months earnings of $0.446 million or $0.03 per share fully diluted, representing a $0.382 million increase in net income available to common stock shareholders.  

Working capital for the year ended June 30, 2010 was $1.212 million, as compared to working capital at June 30, 2009 of $(1.009) million, representing an increase of $2.221 million.  This increase was largely due to the cash flow generated by operations during the fiscal year ended June 30, 2010.

The Company reported EBITDA of $1.8 million for the fiscal year ended June 30, 2010, as compared to EBITDA of $1.4 million for the ten months ended June 30, 2009, representing a $0.4 million increase in EBITDA for the current year.

Revenue for the fiscal year ended June 30, 2010 was $60.7 million as compared to revenue of $72.9 million for the ten month period ending June 30, 2009, representing a $12.2 million decrease in revenue.   Revenue for the ten month period ending June 30, 2009 included $19.4 million of revenue from the Company's non-PEO subsidiaries that were sold effective November 30, 2008.

"The previous year has been among the most difficult in our nation's economy in recent history," stated Tena Mayberry, President and CEO.  "Our achievement of doubling our earnings per share in this challenging economic environment has been the direct result of tremendous focus and effort by a strong management team.  We have successfully decreased our expenses while still maintaining the highest level of customer service, which has allowed us to achieve higher net income on comparable revenue compared to last year.  We have maintained an industry-leading client retention ratio by partnering with our customers to reduce cost and increase efficiency.  We look forward to future increased earnings as the recession slowly fades and unemployment decreases."

About Fortune Industries, Inc.

Fortune Industries, Inc. is focused as a professional employer organization (PEO) to small and medium-sized businesses in 48 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 August 31, 2008. 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:

Year Ended

Ten Months Ended

June 30, 2010

June 30, 2009

(Dollars in thousands)


Total Revenues

$    60,694

$    72,906

Operating Income



Income Before Provision for Income Taxes



Segment Data

Segment Revenues

Business Solutions

$     60,694

$     53,482

Wireless Infrastructure



Transportation Infrastructure



Ultraviolet Technologies



Electronics Integrations



Total Revenues

$      60,694

$      72,906

Operating Income (Loss)

Business Solutions

$          810

$          366

Wireless Infrastructure



Transportation Infrastructure



Ultraviolet Technologies



Electronics Integrations



Holding Company



Total Operating Income (Loss)

$           810

$           412




SOURCE Fortune Industries, Inc.