Travel Ports of America Reports First Quarter Results; 29th Consecutive Quarter of Profit; Record Net Income; Non-fuel Sales Increase.ROCHESTER, N.Y.--(BUSINESS WIRE)--Sept. 15, 1998--Travel Ports of America Inc. (Nasdaq NM:TPOA TPOA Tucson Police Officers Association TPOA The Pillar of Autumn (gaming, Halo) TPOA Tarzana Property Owners Association (California) TPOA Torrance Police Officers Association ) said that a strong increase in higher margin non-fuel sales contributed to record net income for its first quarter ended July 31, 1998, the company's 29th consecutive quarterly profit. According to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. the announcement made by President John M. Holahan, net income for the quarter increased to $0.14 per share basic/$0.11 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. , as a result of a four percent increase in sales from its restaurants, stores and repair shops, as well as a four percent increase in overall fuel sales. While diesel gallons sold increased four percent from the same period in fiscal 1998, sales dollars of diesel decreased by more than $3.8 million due to lower retail prices of diesel as a result of lower fuel costs. The lower gross profit margins Gross profit margin Gross profit divided by sales, which is equal to each sales dollar left over after paying for the cost of goods sold. gross profit margin A measure calculated by dividing gross profit by net sales. from diesel fuel were offset by an improvement in gross profit margins on non-fuel sales. For the first quarter ended July 31, 1998, the company reported sales of $52.9 million with net income of $913,000, or $0.14 per share basic/$0.11 diluted, compared with net income of $901,000, or $0.15 per share basic/$0.12 diluted on sales of $56.4 million for the first fiscal quarter of 1998. The decrease in this year's first quarter per-share data was the result of the issue of $2 million of 7.81 percent convertible senior subordinated debentures subordinated debenture An unsecured bond with a claim to assets that is subordinate to all existing and future debt. Thus, in the event that the issuer encounters financial difficulties and must be liquidated, all other claims must be satisfied before , the conversion of some 8.5 percent debentures into common stock and the exercise of warrants and stock options, which increased the number of shares outstanding, compared with the same three-month period last year. Holahan commented, "After 29 quarters of profit and two years of advancing earnings, the stock market is placing a multiple to our earnings per share of less than 10 times, which we believe is low, given our achievements. During the last three months, we have made progress in increasing gross profit margins on non-fuel sales and have continued to aggressively evaluate acquisition candidates and new sites for additional plazas. "In addition," he said, "we are still in negotiations to acquire Perk Development Corp., an owner/operator of approximately 40 Perkins Family Restaurants, out of bankruptcy." Chief Financial Officer William Burslem said that the July 31, 1998 balance sheet showed shareholder equity of $20.4 million, or approximately $2.36 per share on a diluted basis. He said that the company's earnings in the trailing twelve months In commerce, the trailing twelve months (TTM) is a moving measurement (for example, an average or a sum) over the 12 previous months, using the most recent data available. Also sometimes known as last twelve months (LTM). were $0.37 per share on a basic basis, and $0.30 per share diluted compared with $0.32 per share basic/$0.26 per share diluted for the previous twelve-month period. Travel Ports of America operates full-service travel plazas in seven states, with operations in fueling (diesel and 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 ), truck repair, restaurants, lodging and other travel services. The company currently has operations in New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of , New Jersey, Pennsylvania, New Hampshire New Hampshire, one of the New England states of the NE United States. It is bordered by Massachusetts (S), Vermont, with the Connecticut R. forming the boundary (W), the Canadian province of Quebec (NW), and Maine and a short strip of the Atlantic Ocean (E). , North Carolina North Carolina, state in the SE United States. It is bordered by the Atlantic Ocean (E), South Carolina and Georgia (S), Tennessee (W), and Virginia (N). Facts and Figures Area, 52,586 sq mi (136,198 sq km). Pop. , Maryland and Indiana. The statements in this news release that relate to future events or performance, including statements about potential acquisitions, franchising possibilities, improvements in earnings and growth rates Growth Rates The compounded annualized rate of growth of a company's revenues, earnings, dividends, or other figures. Notes: Remember, historically high growth rates don't always mean a high rate of growth looking into the future. are 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. that involve risks and uncertainties, including risks associated with uncertainties related to commercial acceptance of the company's products and services, the availability of acquisition candidates and/or financing, and other risks identified in the company's SEC filings. Actual results may differ from those described in these forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof here·of adv. Of this. hereof Adverb Formal or law of or concerning this Adv. 1. hereof - of or concerning this; "the twigs hereof are physic" .
TRAVEL PORTS OF AMERICA INC.
Consolidated Statement of Incomes
(Unaudited)
Three Months Ended
July 31,
1998 1997
Net sales and operating revenue $ 52,910,737 $56,397,785
Cost of goods sold 39,548,611 43,036,822
Gross profit 13,362,126 13,360,963
Operating expense 9,864,486 9,762,266
General and administrative expense 1,306,541 1,309,305
Interest expense 745,618 809,722
Other income, net (43,621) (58,271)
11,873,024 11,823,022
Income before taxes 1,489,102 1,537,941
Provision for taxes on income 575,800 636,700
Net income $913,302 $901,241
Per share data:
Net income per share -- Basic $0.14 $0.15
Net income per share -- Diluted $0.11 $0.12
Shares outstanding -- Basic 6,531,069 6,047,737
Shares outstanding -- Diluted 8,626,136 8,039,023
CONTACT: Allen & Caron Inc. Kent Broussard (investors) Owen Daley (media) 714/957-8440 or Travel Ports of America John M. Holahan William Burslem III 716/272-1810 |
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