NEW YORK, May 14 /PRNewswire-FirstCall/ -- Clark Holdings Inc. (Amex: GLA; GLA.U; GLA.WS), a non-asset-based provider of mission-critical supply chain solutions, today announced financial results for its first quarter ended March 29, 2008.
The results of operations for the quarters ended March 29, 2008 and March 31, 2007 are presented for comparative purposes as if the business combination of Global Logistics Acquisition Corporation and The Clark Group, Inc. took place on January 1, 2007.
Summarized financial results for the quarter ended March 29, 2008 are as follows (dollars in thousands): (unaudited)
Quarter Ended Quarter Ended % Change
March 29, 2008 March 31, 2007
Gross profit
Domestic $5,906 5,530 6.8%
International 1,305 1,408 (7.3%)
Consolidated 7,211 6,938 3.9% Income from operations
before interest and taxes
Consolidated 1,011 182 455.5% Interest Income/(Expense)(net) 227 (120) Pre-tax profit 1,238 62 Taxes (619) (29) Net Income 619 33 Shares Outstanding 11,750 11,300 Earnings (Loss) per share 0.05 0.00 Pro forma adjusted Earnings
(Loss) per share 0.08 (1) 0.05 (2)
(1) Excludes one-time acquisition related expenses totaling $95,000,
amortization of intangibles totaling $321,000, and a one-time
correction of vacation accrual totaling $125,000.
(2) Excludes non-recurring severance expense totaling $280,000,
and non-cash compensation expense of $570,000. First Quarter Financial Highlights * First quarter domestic revenues grew 6.2% to $16.2 million compared
to $15.2 in the first quarter of 2007
* Domestic gross profit increased 6.8% to $5.9 million compared to $5.5
million in the first quarter of 2007
* Net income of $619,000, or $0.05 per share compared to net income of
$33,000, or $0.00 per share in the first quarter of 2007
* First quarter 2008 pro-forma adjusted EPS was $0.08 compared to
pro-forma adjusted EPS of $0.05 for the first quarter of 2007
"Our overall performance in the first quarter was solid despite the current economic climate. We continue to see strong results in our domestic operations including revenue and gross profit growth of 6.2% and 6.8%, respectively," said Tim Teagan Chief Executive Officer of Clark Holdings. "Looking ahead, we are focused on improving our domestic market position through organic growth and potential acquisitions." First Quarter Results Clark Holdings reported gross revenues of $19.3 million in the first quarter of 2008, compared to gross revenues of $18.3 million in the same period last year. Domestic gross revenue increased 6.2% while international gross revenue was flat as Clark continued to reposition its international business for future growth.
Gross profit margin decreased slightly to 37.4% from 37.9%. The domestic business continued to drive growth at Clark, with domestic gross profit for the first quarter of 2008 up 6.8% to $5.9 million compared to domestic gross profit of $5.5 million in the same period last year. Domestic gross profit margin increased slightly to 36.5% from 36.3%. International gross profit for the first quarter of 2008 was $1.3 million, a 7.3% decline compared to the same period last year.
First quarter operating income was $1.0 million in the first quarter of 2008, compared to $182,000 in the same period last year. Net income in the first quarter of 2008 was $619,000, or $0.05 per share, compared to net income of $33,000, or $0.00 per share in the first quarter of 2007.
Pro-forma adjusted EPS was $0.08 in the first quarter of 2008 compared to pro-forma adjusted EPS of $0.05 in the first quarter of 2007. Pro-forma adjusted EPS for both periods excludes the impact of several one-time items.
About Clark Over its 30-year history, Clark has built a position as the leading independent provider of value-added distribution, transportation management, and international air and ocean freight forwarding services to the print media industry.
This press release may contain certain forward-looking statements including statements with regard to the future performance of Clark Holdings. Words such as "believes," "expects," "projects," and "future" or similar expressions are intended to identify forward-looking statements. These forward-looking statements inherently involve certain risks and uncertainties that are detailed in Clark Holdings' filings with the Securities and Exchange Commission. Clark Holdings undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Clark Holdings Inc.
Consolidated Balance Sheets
(Unaudited) March 29, 2008 December 31, 2007
ASSETS
Current Assets
Cash and equivalents $2,297 $2,115
Accounts receivable 7,054 6,362
Other receivables 202 358
Prepaid expenses 1,269 1,106
Deferred tax assets-current 1,240 1,240
Current assets of discontinued ops. 300 437
Total Current Assets 12,362 11,618 Investments in marketable securities
held in trust account - -
Deferred acquisition costs - -
Deferred tax assets-non-current 787 747 Property and equipment, net of
accumulated depreciation 1,389 1,413 Intangible assets 26,254 26,575
Goodwill 59,469 59,469
Other assets - -
Total Assets $100,261 $99,822 LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities
Accounts payable $6,254 $6,785
Accrued expenses and other payables 3,820 2,868
Deferred underwriting fees-current - -
Current portion of long-term debt 683 683
Deferred tax liabilities-current 279 279
Current liabilities of discontinued ops. 145 126
Total Current Liabilities 11,181 10,741 Long term debt 2,730 2,730
Deferred tax liabilities-non-current 11,790 11,844 Stockholders' Equity
Preferred stock-$0.0001 par value,
1,000,000 shares authorized, none
issued and outstanding - -
Common stock-$0.0001 par value,
400,000,000 shares authorized;
12,030,693 issued and outstanding
at December 31, 2007 and
March 29, 2008 1 1
Additional paid-in capital 72,317 72,491
Retained earnings 2,242 2,015
Total Stockholders' Equity 74,560 74,507
Total Liabilities and Stockholders'
Equity $100,261 $99,822 Clark Holdings Inc.
Consolidated Statements of Income
(Unaudited) Quarter Ended Quarter Ended
March 29, 2008 March 31, 2007 Gross Revenues $19,299 $18,330 Freight Expense (12,088) (11,392)
Gross Profit 7,211 6,938 Depreciation and Amortization (370) (370) Selling, Operating, and
Administrative Expenses (5,830) (6,386)
Income from Operations 1,011 182 Interest Income/(Expense), net 227 (120) Income before Income Taxes 1,238 62 Income Tax Expense (619) (29) Net Income $619 $33 Earnings (Loss) per Share
Basic $0.05 $0.00
Diluted $0.05 $0.00 Weighted Average Number of
Shares Outstanding:
Basic 11,750 11,300
Diluted 11,750 11,300 Pro Forma Reconciliation Income before Income Taxes $1,238 $62 Plus Acquisition Related Expenses 95 -
Plus Amortization of Intangibles 321 -
Plus One-Time Vacation Accrual 125 -
Plus Non-Recurring Severance Expense - 280
Plus Non-Cash Compensation - 570 Adjusted Income before Income Taxes 1,779 912 Income Tax Expense (783) (401) Net Income $996 $511 Pro-forma Adjusted Earnings (Loss)
per Share
Basic $0.08 $0.05
Diluted $0.08 $0.05
DATASOURCE: Clark Holdings Inc.
CONTACT: Timothy Teagan, President, CEO of Clark Holdings Inc., +1-609-396-1100; or Investors, Jeff Majtyka or Brad Edwards, or Media, Jenna Focarino, all of Brainerd Communicators, Inc, +1-212-986-6667, for Clark Holdings Inc. |