Petro Stopping Centers L.P. Announces Second Quarter Results and Conference Call
EL PASO, Texas--Aug. 12, 2002--Petro Stopping Centers L.P., one of the leading operators of full-service travel plazas in the U.S., today announced its operating results for the second quarter ended June 30, 2002.Net income for the second quarter 2002 was $2.7 million as compared to a net loss of $899,000 for the same period last year. Revenue of $229.2 million was $9.5 million lower than 2001. The decline in revenues was primarily due to a decrease in the retail selling price of fuel. EBITDA for the period increased 20.8% to $11.9 million, while same-store EBITDA increased 18.2% to $11.3 million. The improvement in earnings was due primarily to higher non-fuel profit, lower interest expense and lower general and administrative costs. No provision for income taxes is reflected in the Company's financial statements because of its organization as a partnership.
Net income for the six months ended June 30, 2002, was $1.8 million compared to a net loss of $4 million in 2001. Revenue for the period was $437.8 million compared to $474.9 million in 2001. EBITDA for the period increased 21.8% to $20.7 million, with same-store EBITDA up 17.3% or $2.9 million.
"In spite of an uncertain economy, we posted strong EBITDA growth over the first half of last year. This improved performance reflects our ongoing commitment to maintaining our high standard of quality while working to improve the efficiency of our operations," said Jack Cardwell, Petro's Chairman and Chief Executive Officer.
Jim Cardwell, Chief Operating Officer, and Edward Escudero, Vice President of Finance and Treasurer, will host an investor conference call on Tuesday, August 13, 2002, at 10:00 a.m. Eastern Time to discuss second quarter results. The phone number to access the conference call is 1-888-273-9885.
EBITDA, or operating income plus depreciation and amortization, is not a measure of financial performance under generally accepted accounting principles, but is presented because such data is used by certain investors to determine a company's ability to meet historical debt service requirements. Such data should not be considered as an alternative to net income as an indicator of our operating performance or as an alternative to cash flows as a measure of liquidity.
Petro Stopping Centers L.P. is a leading travel plaza operator, with a nationwide network of 35 company-operated and 21 franchised locations. The Company provides high-quality multi-service facilities. Most sites feature separate diesel and gasoline fueling facilities, Iron Skillet(R) restaurants, travel & convenience stores, and Petro:Lube(R) preventative maintenance and repair centers.
All statements contained in this press release that are not historical facts are forward-looking statements under the federal securities laws. These forward-looking statements are not guarantees of future performance and inherently involve certain risks, uncertainties and assumptions that are difficult to predict. While these statements are based on the Company's best estimates, actual outcomes and results may differ materially from what is expressed in, or implied by, such forward-looking statements. Petro Stopping Centers L.P. assumes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise.
PETRO STOPPING CENTERS L.P.
UNAUDITED CONSOLIDATED STATEMENT OF OPERATIONS
(in thousands)
Three Months Ended Six Months Ended
June 30, June 30,
2001 2002 2001 2002
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Net revenues:
Fuel (including motor
fuel taxes) $ 181,115 $ 168,875 $ 364,998 $ 322,966
Non-fuel 57,563 60,275 109,894 114,824
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Total net revenues 238,678 229,150 474,892 437,790
Costs and expenses:
Cost of sales
Fuel (including motor
fuel taxes) 170,500 158,786 344,710 304,140
Non-fuel 24,130 24,905 46,180 47,134
Operating expenses 29,210 29,058 57,397 57,218
General and
administrative 5,025 4,545 9,578 8,556
Depreciation and
amortization 4,347 4,003 8,780 8,461
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Total costs and
expenses 233,212 221,297 466,645 425,509
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Operating income 5,466 7,853 8,247 12,281
Equity in income (loss) of
affiliate 51 101 (43) 127
Interest income 68 20 126 30
Interest expense, net (6,484) (5,293) (12,359) (10,643)
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Net income (loss) $ (899) $ 2,681 $ (4,029) $ 1,795
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