Carey International Announces Fourth Quarter and Year End Results
12 January 1998
Carey International Announces Record Fourth Quarter and Year End Results; Quarterly Per Share Earnings Up 53% On 47% Increase In Revenues
WASHINGTON, Jan. 12 -- Carey International, Inc.
today announced record revenues and earnings for the fourth
quarter and year ended November 30, 1997.
Fourth quarter net income, adjusted for the May 1997 initial public
offering and its corresponding recapitalization, totaled $2.1 million in
1997, a 63% increase from $1.3 million in the fourth quarter of 1996.
The 1997 adjusted net income figure excludes $160,000 of merger-related
pooling expenses. On a per share basis, fourth quarter adjusted earnings
increased 53% to $0.26 from $0.17 in 1996. Revenues for the period were
$29.2 million, up 47% from $19.9 million last year. Fourth quarter
operating income nearly doubled to $3.5 million in 1997 from $1.9 million in
1996.
For the year ended November 30, 1997, adjusted net income totaled
$5.2 million, or $0.67 per share, compared to $3.6 million, or
$0.48 per share, in fiscal 1996. Annual revenues rose 32% to $86.4 million
from $65.5 million. Operating income also increased to $8.4 million in
1997 versus $5.2 million in 1996.
Vincent A. Wolfington, Chairman and CEO of Carey
International, said, "We are coming off a record year at Carey marked by a
successful IPO and strong operating performance. The Company generated
healthy internal growth of 16% for the quarter and 14% for the year, and
increased its operating margins for the year by nearly two full percentage
points. In addition, we completed four acquisitions - three in the U.S.
and one in Europe - growing revenues by $30 million on an annualized basis.
Our business is sound and the acquisition pipeline remains full. With
this in mind, we look forward to continued strong revenue and profit margin
trends in 1998."
Carey International, a leading industry consolidator, is the world's
largest chauffeured vehicle service company. The Company provides limousine,
sedan, van and minibus service through a worldwide network of owned and
operated companies, licensees and affiliates serving 420 cities in 65
countries on six continents.
The Private Securities Litigation Reform Act of 1995 provides a
"safe harbor" for certain forward-looking statements. The forward-looking
statements contained in this are subject to certain risks and
uncertainties. Actual results could differ materially from current
expectations.
CAREY INTERNATIONAL, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts)
Unaudited
Three months ended Year ended
November 30, November 30,
1997 1996 1997 1996
Revenue, net $29,161 $19,885 $86,378 $65,545
Cost of revenue 19,868 13,368 57,890 43,649
Gross profit 9,293 6,517 28,488 21,896
Selling, general and
administrative expense 5,840 4,641 20,112 16,727
Operating income 3,453 1,876 8,376 5,169
Interest expense, net (58) (399) (910) (1,736)
Gain on sales of fixed
assets 40 110 220 356
Income before provision for
income taxes 3,435 1,587 7,686 3,789
Provision for income taxes 1,465 (441) 3,163 294
Net income $ 1,970 $ 2,028 $ 4,523 $ 3,495
Pro forma earnings per
common share(1) $ 0.25 $ 0.76
Pro forma weighted
average common shares
outstanding 8,001 6,188
Adjusted net income(2) $ 2,062 $ 1,266 $ 5,242 $ 3,618
Adjusted net income
per common share(2) $ 0.26 $ 0.17 $ 0.67 $ 0.48
Adjusted weighted
average common shares
outstanding(2) 8,001 7,628 7,797 7,613
(1) Adjusted for conversion of subordinated debt and preferred stock to
common shares under Recapitalization Plan.
(2) Adjusted for the effect of the Recapitalization Plan and initial
public offering as if they occurred at the beginning of the respective
periods, and fiscal year 1997 pooling expenses of $160,000 in the
fourth quarter and $169,000 for the year.
SOURCE Carey International, Inc.