Calloway's Nursery Announces Results for Second Quarter Ended June 30, 2014

FORT WORTH, Texas, Aug. 6, 2014 /PRNewswire/ -- Calloway's Nursery, Inc. (PK:CLWY) today reported revenues and operating results for the second quarter ended June 30, 2014.

Results for the Second Quarter

• Revenue was $24.6 million for 2014, compared to revenue of $19.7 million for 2013. Same-store revenue (18 stores) was $23.6 million for 2014, compared to same-store revenue of $19.7 million for 2013.
• Net income was $3.4 million for 2014, compared to net income of $2.1 million for 2013.
• Diluted net income per common share was $.41 for 2014, compared to diluted net income per common share of $.25 for 2013.
• Earnings before income taxes, depreciation and amortization and net interest expense ("EBITDA") was $5.4 million for 2014 compared to EBITDA of $3.5 million for 2013.

Results for the Six Months

• Revenue was $34.7 million for 2014, compared to revenue of $30.3 million for 2013. Same-store revenue (18 stores) was $33.2 million for 2014, compared to same-store revenue of $30.3 million for 2013.
• Net income was $3.3 million for 2014, compared to net income of $2.4 million for 2013.
• Diluted net income per common share was $.39 for 2014, compared to diluted net income per common share of $.28 for 2013.
• EBITDA was $5.5 million for 2014 compared to EBITDA of $4.2 million for 2013.

Founded in 1986, Calloway's Nursery, Inc. is an 19-store garden center chain serving the Dallas - Fort Worth (as Calloway's Nursery) and Houston (as Cornelius Nursery) markets. The company strives to make gardening fun, easy and successful for customers by offering expert advice from Texas Certified Nursery Professionals; store environments that are educational and easy to shop; weekly gardening clinics that serve both novice and expert gardeners; displays and instructions to aid gardeners with design and color development in their yards; and a product selection of the best plant varieties available.

 

CALLOWAY'S NURSERY, INC.
CONDENSED CONSOLIDATED INCOME STATEMENTS (UNAUDITED)
(Amounts in thousands, except per share amounts)
	Three-Months Ended				Six-Months Ended
	June 30,				June 30,
	2014		2013		2014		2013
Net revenue	$24,615		$19,692		$34,660		$30,319
Cost of goods sold	12,130		10,004		17,072		15,055
Gross profit	12,485		9,688		17,588		15,264
Operating expenses	5,650		4,716		9,319		8,471
Advertising expenses	513		565		1,003		964
Occupancy expenses	897		794		1,758		1,588
Depreciation and  amortization	127		127		265		258
Net interest expense	141		151		280		301
Proxy contest expense	--		75		--		75
Total expenses	7,328		6,428		12,625		11,657
Income before provision  for income taxes	5,157		3,260		4,963		3,607
Income tax expense	1,737		1,128		1,681		1,257
Net income	$ 3,420		$ 2,132		$ 3,282		$ 2,350
Weighted average  number of common  shares outstanding –  basic and diluted	8,378		8,370		8,378		8,337
Net income per  common share - basic  and diluted	$0.41		$0.25		$0.39		$0.28

 

CALLOWAY'S NURSERY, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)
(Amounts in thousands)
ASSETS
	June 30,		June 30,
	2014		2013
Cash and cash equivalents	$ 9,230		$ 6,860
Accounts receivable	496		448
Inventories	3,336		3,017
Prepaids and other assets	57		15
Deferred income taxes	90		53
Property held for sale	1,508		1,508
Total current assets	14,717		11,901
Property and equipment, net	15,069		15,970
Deferred income taxes	135		257
Other assets	155		177
Total assets	$30,076		$28,305
LIABILITIES AND SHAREHOLDERS' EQUITY
Accounts payable and accrued expenses	$8,806		$7,988
Current portion of long-term debt	912		869
Total current liabilities	9,718		8,857
Long-term debt, net of current portion	8,914		9,801
Deferred rent payable	64		26
Total liabilities	18,696		18,684
Shareholders' equity:
Common stock	86		86
Additional paid-in capital	11,082		11,082
Retained earnings (accumulated deficit)	1,620		(139)
	12,788		11,029
Less: Treasury stock, at cost	(1,408)		(1,408)
Total shareholders' equity	11,380		9,621
Total liabilities and shareholders' equity	$30,076		$28,305

 

CALLOWAY'S NURSERY, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
(Amounts in thousands)
	Six-Months Ended
	June 30,
	2014		2013
Cash flows from operating activities:
Net income	$3,282		$2,350
Adjustments to reconcile net income to net cash      provided by operating activities:
Depreciation and amortization	265		258
Net change in operating assets and liabilities	2,276		1,985
Net cash provided by operating activities	5,823		4,593
Cash flows from investing activities:
Additions to property and equipment	(35)		(1,567)
Net cash (used for) investing activities	(35)		(1,567)
Cash flows from financing activities:
Repayments of debt	(445)		(416)
Proceeds from issuance of common stock	--		82
Net cash (used for) financing activities	(445)		(334)
Net increase in cash and cash equivalents	5,343		2,692
Cash and cash equivalents at beginning of period	3,887		4,168
Cash and cash equivalents at end of period	$ 9,230		$ 6,860

 

SOURCE Calloway's Nursery, Inc.

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