Central Parking Corporation Reports Second Quarter Earnings.Business Editors NASHVILLE Nashville, city (1990 pop. 487,969), state capital, coextensive with Davidson co., central Tenn., on the Cumberland River, in a fertile farm area; inc. as a city 1806, merged with Davidson co. 1963. , Tenn.--(BUSINESS WIRE)--May 9, 2001 Central Parking Corporation (NYSE NYSE See: New York Stock Exchange :CPC (1) (Central Processing Complex) An IBM mainframe that has two or more central processors (CPs) that share memory. It is the collection of processors, memory and I/O subsystems manufactured with a single serial number, typically all contained in one cabinet. ) today announced net earnings of $6.7 million, or $0.19 per diluted di·lute tr.v. di·lut·ed, di·lut·ing, di·lutes 1. To make thinner or less concentrated by adding a liquid such as water. 2. To lessen the force, strength, purity, or brilliance of, especially by admixture. share, for the quarter ended March 31, 2001, compared with net earnings of $7.4 million, or $0.20 per diluted share, in the year-earlier period. Earnings before property-related activities for the three months ended March 31, 2001, totaled $8.1 million, or $0.23 per diluted share. Earnings for the year-earlier period totaled $9.9 million, or $0.27 per diluted share, excluding property-related activities and merger and integration-related expenses. Revenues for the second quarter of 2001 were $174.0 million versus $182.7 million in the year-earlier period. Net earnings for the six months ended March 31, 2001 totaled $18.4 million, or $0.51 per diluted share, before a change in accounting principle, versus $15.8 million, or $0.43 per diluted share, before an extraordinary item, in the year-earlier period. Earnings for the six months ended March 31, 2001 totaled $18.4 million, or $0.51 per diluted share, before a change in accounting principle, compared with $21.0 million, or $0.57 per diluted share, excluding merger and integration-related expenses, an impairment Impairment 1. A reduction in a company's stated capital. 2. The total capital that is less than the par value of the company's capital stock. Notes: 1. This is usually reduced because of poorly estimated losses or gains. 2. charge, realized gains Realized Gain A gain resulting from selling an asset at a price higher than the original purchase price. Notes: There may be tax consequences for a realized profit. on property dispositions and extraordinary items, in the year-earlier period. Revenues for the first half of fiscal 2001 totaled $351.6 million versus $368.0 million in the year-earlier period. "A priority for the Company has been restoring positive revenue momentum, and we are very encouraged by the recent results of our marketing activities," said William William, crown prince of Germany William or Frederick William, 1882–1951, crown prince of Germany, son of William II. In World War I he commanded (1914) an army on the Western Front and was nominal commander in the German attack J. Vareschi, Jr., Vice Chairman and Chief Executive Officer. "We are now starting to see an improvement in our new/lost business ratio; however, our year-to-year comparisons continue to reflect actions we took in previous quarters to close locations that were not generating a satisfactory return coupled with the normal loss of locations due to competitive business factors. If the current new/lost business trend continues, we are hopeful this will result in year over year revenue growth in the fourth quarter of this fiscal year, which will position us well for fiscal 2002." Commenting on the earnings for the second quarter, Vareschi, noted, "The lower earnings were driven by the adverse impact that the extreme weather conditions this past winter had on our operations, especially in the Northeast. We estimate that the combination of snow removal expenses and lost revenue due to inclement in·clem·ent adj. 1. Stormy: inclement weather. 2. Showing no clemency; unmerciful. in·clem weather reduced earnings by approximately $0.04 per share for the period. Although we were unable to negate ne·gate tr.v. ne·gat·ed, ne·gat·ing, ne·gates 1. To make ineffective or invalid; nullify. 2. To rule out; deny. See Synonyms at deny. 3. the short-term Short-term Any investments with a maturity of one year or less. short-term 1. Of or relating to a gain or loss on the value of an asset that has been held less than a specified period of time. impact of weather-related developments, we expect to offset the effect on total year results through an aggressive cost-reduction plan that is expected to reduce structural costs by approximately 10% with a positive impact on fiscal 2001 earnings of approximately $0.05 per diluted share. "The results for the first half clearly pose an uphill battle Uphill Battle was an metalcore band with elements of grindcore and noisecore. The group was based out of Santa Barbara, California, USA. History Uphill Battle got some recognition releasing their self-titled record on Relapse Records. to meeting our previously expressed goal of growing earnings approximately 10% year over year. Attaining this objective, realistically, is a challenging stretch, requiring flawless execution in three important areas. First, we must achieve our cost reduction plan, which we believe is very do-able. Second, the positive trend in our new/lost business ratio, which is driven by our marketing activities, must continue. We will be monitoring it closely. Third, same store sales Same Store Sales A statistic used in retail industry analysis. It compares sales of stores that have been open for a year or more. Notes: This statistic allows investors to determine what portion of new sales has come from sales growth and what portion from the opening of growth must continue at the current level of 5%. Our concern is the vulnerability of our discretionary revenues to the economic slowdown For articles with similar titles, see Slow Down (disambiguation). A slowdown is an industrial action in which employees perform their duties but seek to reduce productivity or efficiency in their performance of these duties. and higher gasoline gasoline or petrol, light, volatile mixture of hydrocarbons for use in the internal-combustion engine and as an organic solvent, obtained primarily by fractional distillation and "cracking" of petroleum, but also obtained from natural gas, by prices, which are projected to be in the $3 a gallon gallon: see English units of measurement. range. Discretionary revenues reflect our weekend and night activities, which account for approximately 17% of total revenues." Finally, Vareschi noted, "We have the continued advantage of strong cash flow from operations Cash flow from operations A firm's net cash inflow resulting directly from its regular operations (disregarding extraordinary items such as the sale of fixed assets or transaction costs associated with issuing securities), calculated as the sum of net income plus noncash expenses , which has been used to reduce debt and associated interest expense and to buy back $10.0 million in common stock, without compromising the funding of strategic capital expenditures." Central Parking Corporation, headquartered in Nashville, Tennessee “Nashville” redirects here. For other uses, see Nashville (disambiguation). Nashville is the capital and the second most populous city of the U.S. state of Tennessee, after Memphis. , is a leading provider of parking and transportation management services. The Company operates approximately 4,100 parking facilities containing approximately 1.5 million spaces at locations in 40 states, the District of Columbia District of Columbia, federal district (2000 pop. 572,059, a 5.7% decrease in population since the 1990 census), 69 sq mi (179 sq km), on the east bank of the Potomac River, coextensive with the city of Washington, D.C. (the capital of the United States). , Canada, Puerto Rico Puerto Rico (pwār`tō rē`kō), island (2005 est. pop. 3,917,000), 3,508 sq mi (9,086 sq km), West Indies, c.1,000 mi (1,610 km) SE of Miami, Fla. , the United Kingdom, the Republic of Ireland, Chile, Germany, Mexico, Poland, Spain, Venezuela and Greece. This press release contains projections and other forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. within the meaning of Section 21E of the Securities Exchange Act of 1934. These projections and statements reflect the Company's current views with respect to future events and financial performance. No assurance can be given, however, that these events will occur or that these projections will be achieved and actual results could differ materially from those projected as a result of certain factors. A discussion of these factors is included in the Company's periodic reports filed with the Securities and Exchange Commission.
CENTRAL PARKING CORPORATION
Financial Highlights
(In thousands)
(Unaudited)
Second Quarter Ended
------------------------
March 31, March 31,
2001(a) 2000(b)
------------------------
Total Revenues $ 174,034 $ 182,651
Operating earnings 16,196 18,183
Other income (expense),
net (805) (1,367)
Interest income (expense),
net (4,164) (5,102)
Earnings before extraordinary
item and change in accounting
principle $ 6,735 $ 7,380
Earnings before extraordinary
item and change in accounting
principle per share
Basic $ 0.19 $ 0.20
Diluted $ 0.19 $ 0.20
Weighted average common shares:
Basic 35,702 36,480
Diluted 35,965 37,027
Pro forma earnings per share
Basic $ 0.23 $ 0.27
Diluted $ 0.23 $ 0.27
Six Months Ended
--------------------
March 31, March 31,
2001(a) 2000(b)
--------------------
Total Revenues $ 351,599 $ 367,984
Operating earnings 41,697 38,353
Other income (expense), net (1,765) (2,205)
Interest income (expense), net (8,812) (9,764)
Earnings before extraordinary item
and change in accounting principle $ 18,416 $ 15,826
Earnings before extraordinary item
and change in accounting principle
per share
Basic $ 0.51 $ 0.43
Diluted $ 0.51 $ 0.43
Weighted average common shares:
Basic 35,857 36,498
Diluted 36,119 37,070
Pro forma earnings per share
Basic $ 0.51 $ 0.57
Diluted $ 0.51 $ 0.57
(a) Pro forma earnings per share exclude net gains (losses) on
property-related activities. Results for the six months ended
March 31, 2001 exclude a change in accounting principle loss
of $258,000 after taxes.
(b) Pro forma earnings per share exclude merger and integrations
costs related to the merger in March 1999 of Allright
Holdings, Inc., and net gains from property-related
activities. Results for six months ended March 31,2000 exclude
an extraordinary loss of $195,000 after taxes.
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