PRINCETON, N.J., July 29, 2016 /PRNewswire/ -- AMREP Corporation
(the "Company") (NYSE: AXR) today reported a net loss of
$10,224,000, or $1.27 per share, for its 2016 fiscal year ended
April 30, 2016 compared to net income
of $11,320,000, or $1.43 per share, in 2015. Results for 2016 were
solely from continuing operations. Results for 2015 consisted of
(i) a net loss from continuing operations of $3,584,000, or $0.45 per share, and (ii) net income from
discontinued operations of $14,904,000, or $1.88 per share. Revenues for 2016 were
$41,664,000 compared to $49,790,000 in 2015.
The net loss from continuing operations for 2016 included
pre-tax, non-cash impairment charges of $10,406,000 ($6,556,000 after tax, or $0.81 per share) while the results from
continuing operations for 2015 included pre-tax, non-cash
impairment charges of $2,580,000
($1,625,000 after tax, or
$0.21 per share). The 2016
impairment charges included a $7,900,000 write-down of certain long-lived
assets of the Fulfillment Services business. The remaining
2016 impairment charges of $2,506,000, as well as the 2015 impairment
charges, primarily reflected the write-down of certain real estate
inventory in New Mexico and
discontinuance of the development of certain software in the
Fulfillment Services business. Excluding the impairment
charges in both years, results of continuing operations for 2016
were a net loss of $3,668,000, or
$0.46 per share, compared to a net
loss of $1,959,000, or $0.25 per share, for 2015.
In commenting on 2016's results, the Company's Chairman,
Edward B. Cloues, II, said that
"With the booking of the non-cash impairment charges of
$10,406,000, the Company has
completed a restructuring of its business and balance sheet that
began in fiscal year 2014. We have exited three businesses
(magazine distribution, product packaging and fulfillment, and
staffing), eliminated a very significant negative working capital
position, reduced debt and balance sheet risk, and simplified our
organization. This was a major task, and it was accomplished
despite headwinds from our real estate business that was suffering
through a severe industry downturn that began several years ago and
is only now beginning to recede. Going forward, our focus will be
on running our two remaining operations – real estate and
fulfillment and contact center services – and seeking out
opportunities for growth."
AMREP Corporation, through its subsidiaries, is primarily
engaged in two business segments: its Fulfillment Services
business operated by Palm Coast Data LLC performs fulfillment and
contact center services for publications, membership organizations,
government agencies and other direct marketers, and its Real Estate
business operated by AMREP Southwest Inc. and its subsidiaries is a
major holder of real estate in the Rio
Rancho, New Mexico area.
AMREP CORPORATION
AND SUBSIDIARIES
|
FINANCIAL
HIGHLIGHTS
|
|
|
|
|
|
Twelve Months Ended
April 30,
|
|
|
|
|
|
2016
|
|
2015
|
|
|
|
|
|
Revenues
|
|
$
41,664,000
|
|
$
49,790,000
|
|
|
|
|
|
Net income
(loss):
|
|
|
|
|
Continuing Operations
|
|
$
(10,224,000)
|
|
$
(3,584,000)
|
Discontinued Operations
|
|
$
-
|
|
$
14,904,000
|
|
|
$
(10,224,000)
|
|
$
11,320,000
|
|
|
|
|
|
Earnings (loss) per
share – Basic and
Diluted:
|
|
|
|
|
Continuing Operations
|
|
$
(1.27)
|
|
$
(0.45)
|
Discontinued Operations
|
|
$
-
|
|
$
1.88
|
|
|
$
(1.27)
|
|
$
1.43
|
|
|
|
|
|
Weighted average
number of common shares outstanding
|
|
8,037,000
|
|
7,919,000
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/amrep-reports-fiscal-2016-results-300306458.html
SOURCE AMREP Corporation