American Vantage Companies Announces Results for Quarter
Tuesday, June 15, 1999 08:02 AM
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LAS VEGAS--(BUSINESS WIRE)--June 15, 1999--American Vantage Companies (Nasdaq:AVCS) announced today the results
of its operations for the third quarter ended April 30, 1999.
Casino consulting revenues were $2,490,000 for the third quarter of Fiscal 1999 as compared to $1,995,000 in the third quarter
of Fiscal 1998. Net income for the third quarter of Fiscal 1999 was $1,204,000, or $0.08 per basic share and $0.08 on a diluted
basis. Net income for the same period in the prior year was $698,000, or $0.05 per basic share and $0.04 on a diluted basis.
For the first nine months of Fiscal 1999, casino consulting revenues totaled $6,660,000 compared to $6,525,000 for the same
period in Fiscal 1998. Nine months operating income was $4,004,000 and $4,055,000 for the 1999 and 1998 periods,
respectively. Net income was $2,921,000, or $0.19 per basic share and $0.18 per share on a diluted basis, for the nine-month
period in Fiscal 1999.
Net income was $2,416,000, or $0.16 per basic share and $0.15 on a diluted basis, for the same period in Fiscal 1998.
American Vantage Companies has a contract to provide gaming consulting services to the Table Mountain Casino & Bingo
located near Fresno, Calif. through June 2000. In May 1999, the Table Mountain Tribe voted to terminate the contract.
Because management believes its contract with the Table Mountain Tribe is valid and enforceable, the Company is reviewing
its legal options and considering appropriate action.
The Company has the worldwide rights to develop and operate WCW Nitro Grill restaurants. The first Nitro Grill opened in the
Excalibur Hotel & Casino in Las Vegas in May 1999.
The Company also owns a 49% interest in the Border Grill restaurant being developed in the Mandalay Bay Resort & Casino
with Mary Sue Milliken and Susan Feniger, the hosts of the "Too Hot Tamales" show on the Food Network and the
owners/operators of the Border Grill in Southern California. The Border Grill is scheduled to open on June 18, 1999.
This news release may contain forward-looking statements, which are subject to risks and uncertainties. The Company's actual
results may differ materially from those described in any forward-looking statements. Additional information concerning
potential risk factors that could affect the Company's business and financial results are included in the Company's filings with
the Securities and Exchange Commission. They can also be found on the Company's Web site at www.americanvantage.com
and on the SEC's Web site at www.sec.gov.
American Vantage Companies
Consolidated Balance Sheets
April 30, 1999 and July 31, 1998
April 30, July 31,
1999 1998
(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents $16,794,000 $15,371,000
Consulting fee and other receivables 405,000 180,000
Refundable income taxes -- 311,000
Deferred tax asset 4,000 4,000
Deposits for restaurant operations 649,000 --
Prepaid expenses 228,000 31,000
Total current assets 18,080,000 15,897,000
Note receivable from Table Mountain Tribe 2,087,000 --
Property and equipment, net 625,000 180,000
Land held for investment or development 5,105,000 5,101,000
Investment in unconsolidated subsidiary 500,000 --
Other assets - deposits and other 10,000 9,000
$26,407,000 $21,187,000
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable $ 248,000 $ 126,000
Income taxes payable 195,000 10,000
Accrued expenses 84,000 143,000
Total current liabilities 527,000 279,000
Note payable 2,203,000 --
Commitments -- --
Stockholders' equity:
Common stock, $.01 par;
30,000,000 shares authorized;
14,956,563 and 15,086,463 shares
issued and outstanding 150,000 151,000
Preferred stock, $.01 par;
10,000,000 shares authorized;
shares issued and outstanding - none -- --
Capital in excess of par 3,173,000 3,324,000
Retained earnings 20,354,000 17,433,000
23,677,000 20,908,000
$26,407,000 $21,187,000
American Vantage Companies
Consolidated Statements of Income
Three Months Ended April 30, 1999 and 1998
(Unaudited)
1999 1998
Revenues:
Casino consulting fees $ 2,490,000 $ 1,995,000
Costs and expenses:
Casino consulting 438,000 692,000
Restaurant operations 86,000 --
Death care operations -- 8,000
General and administrative 265,000 359,000
Amortization and depreciation 9,000 36,000
Minority interest in net
income of consolidated subsidiary -- 9,000
798,000 1,104,000
Income from operations 1,692,000 891,000
Other income (expense):
Interest income 252,000 247,000
Interest expense (44,000) --
Miscellaneous 10,000 --
218,000 247,000
Income before write-off
of project costs and
advances and income taxes 1,910,000 1,138,000
Write-off of project costs and advances -- --
Income before income taxes 1,910,000 1,138,000
Income tax expense:
Current:
State 81,000 68,000
Federal 625,000 372,000
706,000 440,000
Net income $ 1,204,000 $ 698,000
Earnings per common share:
Basic $ 0.08 $ 0.05
Diluted $ 0.08 $ 0.04
Weighted average number of
common shares and common share
equivalents:
Basic 15,058,000 15,133,000
Stock options and warrants 717,000 949,000
Diluted 15,775,000 16,082,000
American Vantage Companies
Consolidated Statements of Income
Nine Months Ended April 30, 1999 and 1998
(Unaudited)
1999 1998
Revenues:
Casino consulting fees $ 6,660,000 $ 6,525,000
Costs and expenses:
Casino consulting 1,402,000 1,425,000
Restaurant operations 207,000 --
Death care operations 31,000 8,000
General and administrative 991,000 907,000
Amortization and depreciation 25,000 107,000
Minority interest in net
income of consolidated subsidiary -- 23,000
2,656,000 2,470,000
Income from operations 4,004,000 4,055,000
Other income (expense):
Interest income 745,000 705,000
Interest expense (44,000) --
Miscellaneous 10,000 10,000
711,000 715,000
Income before write-off
of project costs and
advances and income taxes 4,715,000 4,770,000
Write-off of project costs and advances -- 861,000
Income before income taxes 4,715,000 3,909,000
Income tax expense:
Current:
State 222,000 233,000
Federal 1,572,000 1,260,000
1,794,000 1,493,000
Net income $ 2,921,000 $ 2,416,000
Earnings per common share:
Basic $ 0.19 $ 0.16
Diluted $ 0.18 $ 0.15
Weighted average number of
common shares and common share
equivalents:
Basic 15,091,000 15,021,000
Stock options and warrants 829,000 1,055,000
Diluted 15,920,000 16,076,000
CONTACT: American Vantage Companies, Las Vegas
Audrey Tassinari/Roy Keefer, 702/227-9800
Quote for referenced ticker symbols: AVCS |
