JAMAICA, NY--(Marketwire - Jan 7, 2013) - Janel World Trade, Ltd. (OTCBB: JLWT), a full-service global provider of integrated transportation logistics, announced today the financial results for its quarter and fiscal year ended September 30, 2012.
Fourth Quarter Results
For the three months ended September 30, 2012, Janel reported revenue of $29,250,331 an increase of $2,455,909 or 9.2% compared to the three months ended September 30, 2011.
For the three months ended September 30, 2012, and after an income tax expense of $1,559,028 mainly to fully provide for a valuation allowance against the deferred tax asset for the quarter, the Company reported a net loss of $(1,818,861) or $(0.08) per fully diluted share, compared to the prior year reported net loss of $(278,373), or $(0.01) per fully diluted share. The loss from continuing operations before income taxes for the three months ending September 30, 2012 was $(32,942), an improvement of $182,008 or 85% when compared to the prior year net loss from continuing operations before income taxes of $(214,950).
Fiscal Year End Results
For the fiscal year ended September 30, 2012, Janel reported revenue of $98,702,647 an increase of $306,030 or 0.3% compared to fiscal year ended September 30, 2011.
For the fiscal year ended September 30, 2012, and after an income tax expense of $1,221,304 mainly to fully provide for a valuation allowance against the deferred tax asset (net of tax credits recorded during the fiscal year), the Company reported a net loss of $(2,678,716) or $(0.12) per fully diluted share, compared to the prior year reported net loss of $(657,697), or $(0.03) per fully diluted share. The loss from continuing operations before income taxes for the fiscal year ending September 30, 2012 was $(790,086) compared to the prior year net loss from continuing operations before income taxes of $(573,300).
Review and Outlook
"We are encouraged with our results for the quarter ended September 30, 2012," said James N. Jannello, Executive Vice President and Chief Executive Officer. "For the three months, income from continuing operations, excluding the one-time income pick-up associated with the change in the fair value of contingent consideration, was $51,537 an improvement of $235,675 compared to a loss from continuing operations of $(184,138) in the prior year. This is the second consecutive quarter where we have seen improvement in our transportation logistics operations over the corresponding prior fiscal year periods, and we plan to continue to build on our financial turnaround as we move forward."
Jannello concluded, "With the recent investments in our freezer and cold storage capabilities, we anticipate a healthy expansion in warehouse business with our current customers as well as attracting new customers. Looking ahead, and in the very short term, we are working to raise additional capital in order to grow the transportation logistics segment to profitability."
To be included in Janel's database for Corporate Press Releases and industry updates, investors are invited to send their e-mail address to: IR@janelgroup.net.
About Janel World Trade, Ltd.
Janel World Trade, Ltd. is a global provider of integrated logistics; including domestic and international freight forwarding via multi-modal carriers, leading-edge, end-to-end, supply-chain technology, customs brokerage, warehousing and distribution, and other transportation-related services. With offices throughout the U.S. (New York, New Jersey, Chicago, Los Angeles, and Atlanta) and a network of independent international agents in approximately 52 countries, the Company provides the comprehensive logistics services and technology necessary to handle its customers' shipping needs throughout the world. Cargo can be transported via air, sea or land, and Janel's national network of locations can manage the shipment and/or receipt of cargo into or out of any location in the United States. Janel is registered as an Ocean Transportation Intermediary and licensed as a FMC Licensed Freight Forwarder by the Federal Maritime Commission.
Janel World Trade, Ltd.'s headquarters is located in Jamaica, New York, adjacent to the JFK International Airport, and its common stock is listed on the OTC Bulletin Board under the symbol "JLWT." Additional information on the Company is available on its website at http://www.janelgroup.net
Forward-Looking Statements
This press release includes statements that may constitute "forward-looking" statements, usually containing the words "believe," "estimate," "project," "intend," "expect" or similar expressions. These statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements inherently involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors that would cause or contribute to such differences include, but are not limited to, the Company's dependence upon conditions in the air, ocean and land-based freight forwarding industry, the size and resources of many competitors, the need for the Company to effectively integrate acquired businesses and to successfully deliver its primary services, and other risks detailed in the Company's periodic report filings with the Securities and Exchange Commission, including its most recent Form 8-K, Form 10-Q and Form 10-K filings. By making these forward-looking statements, the Company undertakes no obligation to update these statements for revisions or changes after the date of this release.
JANEL WORLD TRADE LTD. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME
THREE MONTHS ENDED
YEAR ENDED
September 30,
September 30,
2012
2011
2012
2011
(unaudited)
(unaudited)
(audited)
(audited)
REVENUES
$
29,250,331
$
26,794,422
$
98,702,647
$
98,396,617
COST AND EXPENSES:
Forwarding expenses
26,526,103
24,563,406
88,776,713
88,868,466
Selling, general and administrative
2,566,446
2,320,194
10,114,204
9,630,818
Depreciation and amortization
106,245
94,960
392,837
337,707
Change in fair value of contingent consideration
(1,129,650
)
-
(1,129,650
)
-
TOTAL COSTS AND EXPENSES
28,069,144
26,978,560
98,154,104
98,836,991
INCOME (LOSS) FROM CONTINUING OPERATIONS
1,181,187
(184,138
)
548,543
(440,374
)
OTHER ITEMS:
Impairment loss
(1,167,070
)
-
(1,167,070
)
-
Interest and dividend income
3
957
1,647
4,089
Interest expense
(47,062
)
(31,769
)
(173,206
)
(137,015
)
TOTAL OTHER ITEMS
(1,214,129
)
(30,812
)
(1,338,629
)
(132,926
)
LOSS FROM CONTINUING OPERATIONS BEFORE INCOME TAXES
(32,942
)
(214,950
)
(790,086
)
(573,300
)
Income taxes (credits)
1,559,028
(85,356
)
1,221,304
(228,045
)
NET LOSS FROM CONTINUING OPERATIONS
$
(1,591,970
)
$
(129,594
)
$
(2,011,390
)
$
(345,255
)
Loss from discontinued operations, net of tax
(226,891
)
(148,779
)
(667,326
)
(312,442
)
NET LOSS
$
(1,818,861
)
$
(278,373
)
$
(2,678,716
)
$
(657,697
)
Preferred stock dividends
3,750
3,750
15,000
15,000
NET LOSS AVAILABLE TO COMMON SHAREHOLDERS
$
(1,822,611
)
$
(282,123
)
$
(2,693,716
)
$
(672,697
)
OTHER COMPREHENSIVE INCOME NET OF TAX:
Unrealized gain (loss) from available for sale securities
$
2,180
$
(11,220
)
$
12,968
$
(2,694
)
TOTAL COMPREHENSIVE LOSS
$
(1,820,431
)
$
(293,343
)
$
(2,680,748
)
$
(675,391
)
Basic earnings (loss) per share:
Continuing operations
$
(0.07
)
$
-
$
(0.09
)
$
(0.02
)
Discontinued operations
$
(0.01
)
$
(0.01
)
$
(0.03 )
$
(0.01
)
Total
$
(0.08
)
$
(0.01
)
$
(0.12
)
$
(0.03
)
Diluted earnings (loss) per share:
Continuing operations
$
(0.07
)
$
-
$
(0.09
)
$
(0.02
)
Discontinued operations
$
(0.01
)
$
(0.01
)
$
(0.03
)
$
(0.01
)
Total
$
(0.08
)
$
(0.01
)
$
(0.12
)
$
(0.03
)
Basic weighted average number of shares outstanding
21,732,192
20,982,192
21,705,553
20,884,602
Fully diuted weighted average number of shares outstanding
23,367,442
22,617,442
23,340,803
22,726,099
See notes to these consolidated financial statements included in the Company's Form 10-K
CONSOLIDATED BALANCE SHEETS
June 30, 2012
September 30, 2011
(unaudited)
(audited)
ASSETS
CURRENT ASSETS:
Cash and cash equivalents
$
773,868
$
474,755
Accounts receivable, net of allowance for doubtful accounts of $325,335 and $289,547, respectively
5,631,413
5,861,779
Marketable securities
65,568
52,352
Loans receivable - officers
-
92,817
Prepaid expenses and sundry current assets
128,210
114,835
Tax refund receivable
-
148,000
Assets in discontinued operations
-
635,484
TOTAL CURRENT ASSETS
6,599,059
7,380,022
PROPERTY AND EQUIPMENT, NET
511,403
459,850
OTHER ASSETS:
Intangible assets, net
1,821,526
3,271,649
Security deposits
167,049
97,299
Deferred income taxes
-
1,184,003
TOTAL OTHER ASSETS
1,988,575
4,552,951
TOTAL ASSETS
$
9,099,037
$
12,392,823
LIABILITIES AND SHAREHOLDERS' EQUITY
CURRENT LIABILITIES:
Note payable - bank
$
1,601,336
$
951,335
Note payable - other
-
100,000
Accounts payable - trade
4,450,252
4,536,815
Accrued expenses and other current liabilities
670,070
415,577
Current portion of long-term debt - bank
84,280
86,360
Current portion of long-term debt - related party
-
249,618
Liabilities in discontinued operations
-
325,601
TOTAL CURRENT LIABILITIES
6,805,938
6,665,306
LONG-TERM DEBT - BANK
221,620
298,625
LONG-TERM DEBT - RELATED PARTY
-
826,666
DEFERRED COMPENSATION
78,568
78,568
TOTAL OTHER LIABILITIES
300,188
1,203,859
STOCKHOLDERS' EQUITY
1,992,911
4,523,658
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY
$
9,099,037
$
12,392,823
See notes to these consolidated financial statements included in the Company's Form 10-K
Contact:Investor Relations
Janel World Trade
(404) 261-1196IR@janelgroup.net
View More
View More
