Delaware
(State or Other Jurisdiction
of Incorporation)
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0-27824
(Commission
File No.)
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33-0684451
(IRS Employer
Identification No.)
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560 White Plains Road, Suite 210, Tarrytown, New York | 10591 |
(Address of Principal Executive Offices) | (Zip Code) |
[ ]
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Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
[ ]
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Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
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[ ]
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Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
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[ ]
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Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
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99.1
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Press Release of the Registrant dated March 19, 2012, as attached hereto.
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99.2
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Press Release of the Registrant dated March 21, 2012, as attached hereto
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SPAR Group, Inc.
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Date: March 21, 2012
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By:
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/s/ James R. Segreto | |
James R. Segreto, Chief Financial Officer
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Exhibit
Number
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Description |
99.1
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Press Release of the Registrant dated March 19, 2012, as attached hereto.
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99.2
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Press Release of the Registrant dated March 21, 2012, as attached hereto.
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●
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Revenue for the fiscal year increased by 16% and by 26% for the fourth quarter of 2011 based on strong growth from the Company's international operations.
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Added several new subsidiaries in 2011 to expand operations in Mexico, Turkey and China that are expected to add additional $18 million in revenue in 2012.
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International division revenues grew by 55% for the fourth quarter and 34% for the fiscal year.
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Working capital improved to $7.2 million from $4.4 million year over year and cash on hand increased approximately $800,000.
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Total revenue increased 26%, led by strong growth of 55% in the International division,
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Net Income of $1.2 million,
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Gross Profit increased 11%.
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Three Months Ended December 31,
(in thousands)
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|||||||||||||||
2011
|
2010
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Change
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|||||||||||||
Net Revenue:
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$ | % | |||||||||||||
Domestic
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$ | 10,188 | $ | 10,060 | $ | 128 | 1 | % | |||||||
International
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13,411 | 8,678 | 4,733 | 55 | % | ||||||||||
Total
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$ | 23,599 | $ | 18,738 | $ | 4,861 | 26 | % | |||||||
Gross Profit:
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|||||||||||||||
Domestic
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$ | 3,721 | $ | 3,925 | $ | (204 | ) | (5 | )% | ||||||
International
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3,535 | 2,638 | 897 | 34 | % | ||||||||||
Total
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$ | 7,256 | $ | 6,563 | $ | 693 | 11 | % | |||||||
Operating Income: | |||||||||||||||
Domestic | $ | 1,213 | $ | 1,404 | $ | (191 | ) | (14 | )% | ||||||
International | 315 | 247 | 68 | 28 | % | ||||||||||
Total
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$ | 1,528 | $ | 1,651 | $ | (123 | ) | (8 | )% | ||||||
Net Income:
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|||||||||||||||
Domestic
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$ | 991 | $ | 1,143 | $ | (152 | ) | (13 | )% | ||||||
International
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213 | 52 | 161 | 307 | % | ||||||||||
Total
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$ | 1,204 | $ | 1,195 | $ | 9 | 1 | % |
●
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Total revenue increased 16%,
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Domestic revenue increased $1.2 million,
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International revenue increased $9.1 million,
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Gross profit increased $1.5 million,
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Working capital continues to show improvement at $7.2 million.
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Twelve Months Ended December 31,
(in thousands)
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|||||||||||||||
2011
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2010
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Change
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|||||||||||||
$ | % | ||||||||||||||
Net Revenue: | |||||||||||||||
Domestic
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$ | 37,809 | $ | 36,564 | $ | 1,245 | 3 | % | |||||||
International
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35,715 | 26,590 | 9,125 | 34 | % | ||||||||||
Total
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$ | 73,524 | $ | 63,154 | $ | 10,370 | 16 | % | |||||||
Gross Profit:
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|||||||||||||||
Domestic
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$ | 12,590 | $ | 13,129 | $ | (539 | ) | (4 | )% | ||||||
International
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9,906 | 7,860 | 2,046 | 26 | % | ||||||||||
Total
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$ | 22,496 | $ | 20,989 | $ | 1,507 | 7 | % | |||||||
Operating Income:
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|||||||||||||||
Domestic
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$ | 2,774 | $ | 3,044 | $ | (270 | ) | (9 | )% | ||||||
International
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111 | (213 | ) | 324 | 152 | % | |||||||||
Total
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$ | 2,885 | $ | 2,831 | $ | 54 | 2 | % | |||||||
Net Income (loss):
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|||||||||||||||
Domestic
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$ | 2,333 | $ | 2,673 | $ | (340 | ) | (13 | )% | ||||||
International
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(119 | ) | (506 | ) | 387 | 77 | % | ||||||||
Total
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$ | 2,214 | $ | 2,167 | $ | 47 | 2 | % |
SPAR Group, Inc.
Consolidated Statements of Income
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|||||||
(unaudited)
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|||||||
(in thousands, except per share data)
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Three Months Ended
December 31,
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Twelve Months Ended
December 31,
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|||||||||||||||
2011
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2010
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2011
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2010
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|||||||||||||
Net revenues
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$ | 23,599 | $ | 18,738 | $ | 73,524 | $ | 63,154 | ||||||||
Cost of revenues
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16,343 | 12,175 | 51,028 | 42,165 | ||||||||||||
Gross profit
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7,256 | 6,563 | 22,496 | 20,989 | ||||||||||||
Selling, general, and administrative expense
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5,467 | 4,619 | 18,542 | 17,140 | ||||||||||||
Depreciation and amortization
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261 | 293 | 1,069 | 1,018 | ||||||||||||
Operating income
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1,528 | 1,651 | 2,885 | 2,831 | ||||||||||||
Interest expense
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36 | 171 | 197 | 310 | ||||||||||||
Other expense (income)
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11 | (36 | ) | (11 | ) | (21 | ) | |||||||||
Income before provision for income taxes
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1,481 | 1,516 | 2,699 | 2,542 | ||||||||||||
Provision for income taxes
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291 | 188 | 362 | 263 | ||||||||||||
Net income
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1,190 | 1,329 | 2,337 | 2,279 | ||||||||||||
Net loss (income) attributable to the non-controlling interest
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14 | (133 | ) | (123 | ) | (112 | ) | |||||||||
Net income attributable to SPAR Group, Inc.
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$ | 1,204 | $ | 1,195 | $ | 2,214 | $ | 2,167 | ||||||||
Net income per basic/diluted common share:
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||||||||||||||||
Net income – basic
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$ | 0.06 | $ | 0.06 | $ | 0.11 | $ | 0.11 | ||||||||
Net income –diluted
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$ | 0.06 | $ | 0.06 | $ | 0.10 | $ | 0.11 | ||||||||
Weighted average common shares - basic
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20,101 | 19,290 | 19,958 | 19,209 | ||||||||||||
Weighted average common shares - diluted
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21,344 | 21,047 | 21,327 | 20,602 |
December 31,
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December 31,
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|||||||
2011
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2010
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|||||||
Assets
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(unaudited)
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(note)
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||||||
Current assets:
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||||||||
Cash and cash equivalents
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$ | 1,705 | $ | 923 | ||||
Accounts receivable, net
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15,461 | 13,999 | ||||||
Prepaid expenses and other current assets
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801 | 1,283 | ||||||
Total current assets
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17,967 | 16,205 | ||||||
Property and equipment, net
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1,523 | 1,452 | ||||||
Goodwill
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1,148 | 848 | ||||||
Intangibles
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705 | 362 | ||||||
Other assets
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178 | 226 | ||||||
Total assets
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$ | 21,521 | $ | 19,093 | ||||
Liabilities and equity
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Current liabilities:
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||||||||
Accounts payable
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$ | 1,819 | $ | 1,804 | ||||
Accrued expenses and other current liabilities
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4,039 | 2,733 | ||||||
Accrued expense due to affiliates
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1,092 | 1,575 | ||||||
Customer deposits
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183 | 471 | ||||||
Lines of credit and other debt
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3,641 | 5,263 | ||||||
Total current liabilities
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10,774 | 11,846 | ||||||
Long-term debt and other liabilities
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334 | - | ||||||
Total liabilities
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11,108 | 11,846 | ||||||
Equity:
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||||||||
SPAR Group, Inc. equity
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||||||||
Preferred stock, $.01 par value:
Authorized and available shares - 2,445,598 None - December 31, 2011
554,402 - December 31, 2010 |
- | 6 | ||||||
Common stock, $.01 par value:
Authorized shares - 47,000,000 20,103,043 – December 31, 2011
19,314,306 – December 31, 2010 |
201 | 193 | ||||||
Treasury stock
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- | (1 | ) | |||||
Additional paid-in capital
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13,940 | 13,549 | ||||||
Accumulated other comprehensive loss
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(172 | ) | (142 | ) | ||||
Accumulated deficit
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(4,626 | ) | (6,808 | ) | ||||
Total SPAR Group, Inc. equity
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9,343 | 6,797 | ||||||
Non-controlling interest
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1,070 | 450 | ||||||
Total liabilities and equity
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$ | 21,521 | $ | 19,093 |