PRINCETON, N.J., July 29, 2014 /PRNewswire/ -- AMREP
Corporation (the "Company") (NYSE: AXR) today reported a net loss
of $2,939,000, or $0.42 per share, for its fiscal year ended
April 30, 2014 compared to a net loss
of $2,838,000, or $0.47 per share in 2013. The results included
pretax, non-cash impairment charges related to the write-down of
certain long lived assets of $955,000
($602,000 after tax, or $0.09 per share) in 2014 and $1,511,000 ($952,000 after tax, or $0.16 per share) in 2013. The results also
included a reserve for doubtful accounts receivable primarily for
magazine wholesalers who have discontinued operations of
$2,458,000 ($1,549,000 after tax, or $0.22 per share) in 2014 and $2,000,000 ($1,260,000 after tax, or $0.21 per share) in 2013. Excluding the effect of
the impairment charges and accounts receivable reserves in both
years, the Company would have had a net loss of $788,000, or $0.11
per share, in 2014 compared to a net loss of $626,000, or $0.10
per share, in 2013.
Revenues were $87,337,000 in 2014
compared to $83,001,000 in 2013.
Revenues from Media Services operations, which include Subscription
Fulfillment Services operations conducted by the Company's Palm
Coast Data subsidiary and Newsstand Distribution and Product
Services and Staffing operations conducted by its Kable
subsidiaries, increased from $82,105,000 in 2013 to $83,619,000 in 2014. The increase was primarily
due to (i) the inclusion of revenues from Palm Coast's FulCircle
subsidiary acquired on December 31,
2012 whose full fiscal year revenues were $5,922,000 in 2014 compared to $1,759,000 for the four months ended April 30, 2013 and (ii) $1,759,000 of payments from a significant
Subscription Fulfillment customer related to the early termination
of their contract. Excluding these two items, the Media Services
operations had a $4,408,000 net
decrease in revenues for 2014 compared to 2013. Operating
expenses for the Company's Media Services business increased from
$69,880,000 in 2013 to $72,494,000 in 2014, primarily due to inclusion
of a full year of expenses for FulCircle during 2014.
Revenues from land sales at the Company's AMREP Southwest
subsidiary increased from $833,000 in
2013 to $3,634,000 in 2014.
In Rio Rancho, New
Mexico, the Company offers for sale both developed and
undeveloped lots to national, regional and local homebuilders,
commercial and industrial property developers and others. The
Company sold 89 acres of land in 2014 at an average selling price
of $41,000 per acre compared to 12
acres of land in 2013 at an average selling price of $69,000 per acre. The average gross profit
percentage on land sales before indirect costs was 23% for 2014
compared to 38% for 2013. As a result of many factors, including
the nature and timing of specific transactions and the type and
location of land being sold, revenues, average selling prices and
related average gross profits from land sales can vary
significantly from period to period and prior results are not
necessarily a good indication of what may occur in future
periods.
For additional information regarding the Company's financial
results, please refer to the Company's Annual Report on Form 10-K
filed today with the Securities and Exchange Commission.
AMREP Corporation's Media Services businesses, conducted by its
Kable and Palm Coast Data subsidiaries, distribute magazines to
wholesalers and provide subscription and product fulfillment and
related services to publishers and others, and its AMREP Southwest
subsidiary is a major holder of real estate in New Mexico.
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Schedule
1
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AMREP CORPORATION
AND SUBSIDIARIES
FINANCIAL
HIGHLIGHTS
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Twelve Months Ended
April 30,
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2014
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2013
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Revenues
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$ 87,337,000
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$ 83,001,000
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Net
(loss)(a)
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$ (2,939,000)
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$ (2,838,000)
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(Loss) per share –
Basic and
Diluted
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$
(0.42)
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$
(0.47)
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Weighted average
number of common shares outstanding
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6,988,000
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5,996,000
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(a) Results for 2014 included pretax,
non-cash impairment charges of $955,000 ($602,000
after tax, or $0.09 per share) and a
reserve for doubtful accounts receivable of $2,458,000 ($1,549,000 after tax, or $0.22 per share), while results for 2013 included
pretax, non-cash impairment charges of $1,511,000 ($952,000 after tax, or $0.16 per share) and a reserve for doubtful
accounts receivable of $2,000,000
($1,260,000 after tax, or
$0.21 per share).
SOURCE AMREP Corporation