Carey International Announces Record First Quarter Results
31 March 1999
Carey International Announces Record First Quarter Results - Net Income Increases 77% on 54% Rise in Revenues -
WASHINGTON, March 31 -- Carey International, Inc.
today reported record results for the first quarter ended
February 28, 1999.
First quarter net income increased 77% to $1.7 million, or $0.17 per
diluted share, from adjusted net income of $936,000, or $0.12 per diluted
share, in the 1998 first quarter. Revenues for the 1999 first quarter were
$36.4 million, a 54% increase from the $23.7 million in the prior year
period. The strong top-line performance was fueled by internal growth of
15% over the 1998 first quarter and 39% growth in acquired revenues.
First quarter operating income increased 73% to $2.8 million from
$1.6 million in 1998.
Vincent A. Wolfington, Chairman and CEO of Carey International, said,
"Our record first quarter results demonstrate the strength of our established
worldwide service brand, our successful sales and marketing programs and
strategic acquisitions. We also benefit from our incremental
investments in technology, customer service and employee education
programs, all of which enhance our service techniques and skills.
Quarter over quarter, Carey continues to increase shareholder value by
reaching record levels of revenues, operating margins, and earnings per
share."
Mr. Wolfington continued, "Our acquisition program posted further gains
in the quarter as we acquired approximately $10 million in platform revenues
in Miami and Jacksonville, Florida. As we move ahead in 1999, we expect to
accelerate our acquisition program as we capitalize on our relationships
with industry affiliates and identify other appropriate candidates."
Carey International, a leading industry consolidator, is the world's
largest chauffeured vehicle service company. The company provides
chauffeured sedan, limousine, van and minibus service through a worldwide
network of owned and operated companies, licensees and affiliates serving 420
cities in 65 countries.
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 data)
Three months ended
February 28,
1999 1998
(Unaudited)
Revenue, net $ 36,440 $ 23,651
Cost of revenue 24,402 16,177
Gross profit 12,038 7,474
Selling, general and
administrative expense 9,232 5,848
Operating income 2,806 1,626
Other income (expense):
Interest expense (107) (114)
Interest income 117 54
Gain on sale of fixed assets 32 32
Income before provision for
income taxes 2,848 1,598
Provision for income taxes 1,193 681
Net income $ 1,655 $ 917
Net income per common share
- diluted $ 0.17 $ 0.11
Weighted average common shares
outstanding - diluted 9,886 8,064
Adjusted for Pooling Expenses (Note 1):
Net income $ 1,655 $ 936
Net income per common share
- diluted $ 0.17 $ 0.12
Weighted average common shares
outstanding - diluted 9,886 8,064
Note 1: First quarter 1998 information has been adjusted for $34,000 in
pooling expenses related to a pooling-of-interests transaction on
October 31, 1997.