Crown Group, Inc. Q1 Earnings Per Share
15 September 2000
Crown Group, Inc. First Quarter Earnings Per Share Rise 28% On Revenues of $83 Million
DALLAS--Sept. 14, 2000--Crown Group, Inc. today announced results for the first quarter of FY2001.For the three months ended July 31, 2000, revenues increased 70% to $82.5 million, compared with $48.6 million in the first quarter of the previous fiscal year. Net income for the most recent quarter totaled $2,767,142, compared with $2,578,407 in the year-earlier period. Diluted earnings per share increased 28% to $0.32 in the quarter ended July 31, 2000, versus $0.25 in the quarter ended July 31, 1999. Earnings per share were calculated using approximately 8.6 million average diluted shares outstanding in the most recent quarter, compared with approximately 10.5 million average diluted shares outstanding in the prior-year period. The decrease in average shares outstanding was primarily due to the Company's repurchase of its shares in the open market and in private transactions throughout the past year.
Net income for the quarter ended July 31, 1999 included Crown's share of earnings generated by Casino Magic Neuquen (CMN), which approximated $741,000. In October 1999, Crown sold its interest in CMN for a pretax gain of approximately $10.7 million. Excluding CMN's earnings from last year's results, the Company's pretax income increased 79% to $5,510,784 in the first quarter of FY2001, compared with $3,077,099 in the year-earlier period.
"I am very pleased with the performance of our subsidiaries over the quarter, which was in line with management expectations," commented Edward R. McMurphy, President and Chief Executive Officer of Crown Group. "The increase in revenues and earnings was primarily attributable to strong performances by our America's Car-Mart subsidiary and Smart Choice Automotive Group, Inc., which Crown acquired in December 1999. Both Precision IBC and Concorde Acceptance also reported strong results for the quarter. I look forward to continued earnings success from the Crown companies for the remainder of the year."
(Financial Highlights Follow)
CROWN GROUP, INC. AND SUBSIDIARIES
SELECTED FINANCIAL HIGHLIGHTS
(Unaudited)
Three Months Ended July 31,
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2000 1999
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Total revenues $82,450,929 $ 48,555,936
Costs and expenses 76,940,145 45,478,837
Equity in earnings of
unconsolidated subsidiaries -- 740,802
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Income before taxes
& minority interests 5,510,784 3,817,901
Provision for income taxes 2,248,436 1,213,037
Minority interests 495,206 26,457
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Net income $ 2,767,142 $ 2,578,407
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Earnings per share:
Basic $ 0.34 $ 0.26
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Diluted $ 0.32 $ 0.25
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Weighted average number of shares outstanding:
Basic 8,179,391 10,068,220
Diluted 8,582,006 10,512,850
CROWN GROUP, INC. AND SUBSIDIARIES
(Unaudited)
Quarter Ended July 31
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REVENUE CONTRIBUTION ($000) FY2001 FY2000
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Automobile $ 77,521 $ 44,570
IBCs 1,730 1,487
Mortgage 2,402 1,841
Other 1,155 1,111
Eliminations (357) (453)
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Consolidated Revenues $ 82,451 $ 48,556
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INCOME (LOSS) BEFORE TAXES
AND MINORITY INTERESTS ($000) FY2001 FY2000
----------- ------------
Automobile $ 6,110 $ 3,753
IBCs 255 205
Mortgage 201 123
Other (1,055) (263)
----------- ------------
Income before taxes and
minority interests $ 5,511 $ 3,818
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BALANCE SHEET DATA -- July 31, 2000 (unaudited)
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Cash $ 4,053,609
Total assets 294,970,688
Stockholders' equity 60,798,901
Shares outstanding 8,085,662
Book value per share $ 7.52