Rent-A-Wreck of America Announces Second
Quarter and Six Months Results
Business Editors
OWINGS MILLS, Md.--Nov. 19, 2001--Rent-A-Wreck of
America, Inc. announced results for the second quarter
and six-month period ended September 30, 2001.
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*T
Three Months Six Months
Ended September 30, Ended September 30,
2000 2001 2000 2001
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(in thousands except per share and number
of franchises)
(Unaudited)
Franchisees' Results
(Unaudited)
Franchisees' Revenue (1) $ 16,817 $ 17,915 $ 30,407 $ 32,573
Number of Franchised
locations 669 688 669 688
Company's Results of
Operations
Total Revenue $ 2,105 $ 2,079 $ 3,835 $ 4,128
Operating expenses 2,601 1,575 3,891 3,001
(Loss) income before
income taxes $ (464) $ 573 $ 12 $ 1,223
Net (loss) income (136) 352 157 751
(Loss) earnings per
common share
Basic $ (.04) $ .08 $ .03 $ .16
Weighted average common
shares 3,824 4,356 3,697 4,371
Diluted $ (.04) $ .06 $ .03 $ .14
Weighted average common
shares plus convertible
preferred stock, options
and warrants 3,824 5,463 5,412 5,476
EBITDA (2) 839 644 1,351 1,346
(1) The franchisees' revenue data has been derived from unaudited
reports provided by franchisees in paying license fees.
(2) "EBITDA" is earnings before interest expense, depreciation,
amortization, taxes and repurchase of options. EBITDA should
not be interpreted as a measure of operating results, cash
flow provided by operating activities, a measure of liquidity,
or as an alternative to any generally accepted accounting
principle measure of performance. The Company is reporting
EBITDA because it is a widely used financial measure of the
potential capacity of a company to incur and service debt.
Rent-A-Wreck's reported EBITDA may not be comparable to
similarly titled measures used by other companies.
