Lucor, Inc. Reports 60% Increase in Revenue for Third Quarter 1999
26 October 1999
Lucor, Inc. Reports 60% Increase in Revenue for Third Quarter 1999
RALEIGH, N.C.--Oct. 26, 1999--Lucor, Inc. , the largest Jiffy Lube franchisee in the United States, today announced that it expects to post approximately $23.6 million in revenue for the three months, ended September 30, 1999, a 60% gain over $14.7 million reported for the three months ended September 30, 1998.Stephen P. Conway, Chairman and Chief Executive Officer, attributed the increase in revenue to the acquisition of 73 outlets that Lucor began operating in April and May of this year, in addition to strong same-store sales growth. "We are genuinely pleased with the performance of our new outlets. In fact, revenue from these stores, alone, increased 17% over the third quarter revenue they realized in the comparable period in 1998."
"Our existing store base also performed well during the third quarter of 1999, with same-store revenue growth of 14.4%," commented Mr. Conway.
Lucor noted that the Company will be formally announcing its financial results for the third quarter 1999 on November 12, 1999. Concluding, Conway noted, "Even with the increase in revenue, the Company does not expect to report a profit due to non-reoccurring events (i.e. Hurricane Floyd and weather-related losses in North Carolina and Virginia, technical problems with the new point-of-sale computer system, and acquisition consolidation costs carried over from the second quarter). Nonetheless, we are very pleased with our overall operating results and look forward to ending the year at record revenue levels."
At the end of the third quarter, Lucor had 192 Jiffy Lube outlets, up from 128 at the end of the last financial year. The Company has a long-range objective of 300 outlets.
About Lucor, Inc.
Headquartered in Raleigh, North Carolina, Lucor, Inc. is the largest and only publicly traded franchisee of Jiffy Lube International. Through its subsidiaries, Lucor is engaged in the automotive fast oil change, fluid maintenance lubrication, and general preventive maintenance service business at 192 service centers located in eight states - 27 service centers are located in the Raleigh-Durham area of North Carolina; 29 in the Cincinnati, Ohio area (which includes northern Kentucky); 15 in the Pittsburgh, Pennsylvania area; 16 in the Dayton, Ohio area; 5 in the Toledo, Ohio area; 18 in the Nashville, Tennessee area; 8 in the Lansing, Michigan area; 21 in the Richmond-Tidewater, Virginia area; and 53 in the Greater Atlanta, Georgia area.
Except for the historical information contained in this news release, the matters discussed in this news release are "forward-looking statements" within the meaning of the federal securities law and are not guarantees of future performance. For a variety of reasons, the Company's actual results could differ materially from any forward-looking statements made in this news release. Among the factors that could cause actual results to differ from predicted or expected results are the following: the Company's ability to effectively integrate acquired companies and the effects of increased indebtedness as a result of the Company's acquisitions; a decline in the demand for lube service, which could materially adversely affect the company's revenues; the possibility that regulatory changes and unforeseen events could impact the Company's ability to provide products and services to its customers; existing competition from national and regional competitors and the condition of the auto industry, which could result in pricing, supply and demand, and other pressures on profitability and market share; and other risks and uncertainties set forth in the company's filings with the Securities and Exchange Commission, including but not limited to the Company's annual report on Form 10-K for the year ending December 31, 1998. Consequently, the reader is cautioned to consider all forward-looking statements in light of the risks to which they are subject.