News today-- Earnings are going the wrong way>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>Wednesday June 25 10:11 AM EDT
Company Press Release
Command Security Corp. reports year end results
LAGRANGEVILLE, N.Y.--(BUSINESS WIRE)--June 25, 1997--Command Security Corp.
(NASDAQ:CMMD) Wednesday reported results for its year ended March 31, 1997.
Revenues for the year decreased to $49,237,418 from the $54,995,444 reported for the year
ended March 31, 1996. Net income before tax effect increased to $309,670 from $211,109
recorded in the prior year. Net income applicable to common stockholders decreased to
$321,000 or $.05 per share from the $392,190 or $.06 per share reported in the prior year.
Gross profit as a percentage of revenue increased to 17.1% for the fiscal year ended March 31,
1997 compared to 15.4% of revenue for the prior fiscal year.
William C. Vassell, chairman of the board, commenting on the results said: ``Fiscal 1997 was a
year of consolidation for Command. After increasing revenues at a compound rate in excess of
40% per year during the 1994 through 1996 period, we focused 1997 on assimilating this growth,
strengthening the balance sheet, and establishing a strong base to form the foundation for future
growth. During the year we closed unprofitable units and eliminated low margin contracts, which
reduced revenues and somewhat impacted short term profits. We also reevaluated the life of
customer lists and increased substantially the amortization of some intangible assets (a non cash
charge) which resulted in additional expense of approximately $400,000 in fiscal 1997.
During fiscal 1997 EBITDA increased to approximately $3.3 million from the approximately $2.8
million reported in the prior fiscal year. Net working capital increased substantially during fiscal
1997 to $1,431,000 from the $219,000 reported as of the end of fiscal 1996.
Vassell added, ``We are pleased with the progress the company has made during fiscal 1997 and
look forward to resuming our rapid growth in fiscal 1998.''
Command Security Corp. provides security service through company owned offices in New York,
New Jersey, California, Illinois, Connecticut and Pennsylvania and provides back-office service
agreements to independent security companies nationwide.
COMMAND SECURITY CORP.
CONDENSED STATEMENTS OF OPERATIONS
Year Ended March 31,
1997 1996
Revenue $49,237,418 $54,995,444
Income before income
tax benefit 309,670 211,109
Income Tax Benefit 140,360 300,541
Net Income $450,030 $511,650
Preferred Stock Dividends (129,030) (119,460)
Net Income Applicable
to Common Stockholders $321,000 $392,190
Income per share $.05 $.06
Weighted average number
of common and common
equivalent shares
outstanding 6,955,548 6,663,986
Contact:
Command Security Corp.
William C. Vassell, Chairman of the Board
914/454-3703
or
H. Richard Dickinson, Chief Financial Officer
212/689-6565
or
Radcliffe & Associates Inc.
Donald Radcliffe, 212/605-0174 |
