Delaware
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0-27824
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33-0684451
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(State or Other Jurisdiction of Incorporation)
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(Commission File No.)
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(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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[ ]
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Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
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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 August 7, 2012, as attached hereto.
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99.2
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Press Release of the Registrant dated August 8, 2012, as attached hereto.
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SPAR Group, Inc.
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Date: August 8, 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 August 7, 2012, as attached hereto.
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99.2
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Press Release of the Registrant dated August 8, 2012, as attached hereto.
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·
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Second quarter 2012 domestic net income increased 66% to $928,000.
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·
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Second quarter consolidated net income attributable to SPAR Group, Inc. increased 41% to $0.03 per diluted share.
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·
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Consolidated revenue for the first six months of 2012 increased 40% to $45.4 million.
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·
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Consolidated net income attributable to SPAR Group, Inc. for the first six months of 2012 increased 35% to $1.0 million.
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·
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Working capital continued to improve.
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For the Three Months Ended June 30,
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For the Six Months Ended June 30,
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|||||||||||||||||||||||||||||||
Change
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Change
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2012
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2011
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$ | % | 2012 | 2011 | $ | % | |||||||||||||||||||||||||
Net Revenue:
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||||||||||||||||||||||||||||||||
Domestic
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$ | 10,881 | $ | 9,367 | $ | 1,514 | 16 | % | $ | 20,166 | $ | 18,889 | $ | 1,277 | 7 | % | ||||||||||||||||
International
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13,462 | 6,577 | 6,885 | 105 | % | 25,224 | 13,474 | 11,750 | 87 | % | ||||||||||||||||||||||
Total
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$ | 24,343 | $ | 15,944 | $ | 8,399 | 53 | % | $ | 45,390 | $ | 32,363 | $ | 13,027 | 40 | % | ||||||||||||||||
Gross Profit:
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Domestic
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$ | 3,744 | $ | 2,930 | $ | 814 | 28 | % | $ | 6,704 | $ | 6,208 | $ | 496 | 8 | % | ||||||||||||||||
International
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2,964 | 2,027 | 937 | 46 | % | 5,773 | 3,985 | 1,788 | 45 | % | ||||||||||||||||||||||
Total
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$ | 6,708 | $ | 4,957 | $ | 1,751 | 35 | % | $ | 12,477 | $ | 10,193 | $ | 2,284 | 22 | % | ||||||||||||||||
Net Income attributable to SPAR Group, Inc.:
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Domestic
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$ | 928 | $ | 560 | $ | 368 | 66 | % | $ | 1,190 | $ | 1,059 | $ | 131 | 12 | % | ||||||||||||||||
International
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(210 | ) | (51 | ) | (159 | ) | (312 | )% | (165 | ) | (297 | ) | 132 | 44 | % | |||||||||||||||||
Total
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$ | 718 | $ | 509 | $ | 209 | 41 | % | $ | 1,025 | $ | 762 | $ | 263 | 35 | % | ||||||||||||||||
Earnings per Diluted Share:
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$ | 0.03 | $ | 0.02 | $ | 0.01 | $ | 0.05 | $ | 0.04 | $ | 0.01 |
SPAR Group, Inc.
Consolidated Statements of Income and Comprehensive Income
(unaudited)
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(in thousands, except per share data)
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Three Months Ended June 30,
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Six Months Ended June 30,
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2012
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2011
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2012
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2011
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Net revenues
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$ | 24,343 | $ | 15,944 | $ | 45,390 | $ | 32,363 | ||||||||
Cost of revenues
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17,635 | 10,987 | 32,913 | 22,170 | ||||||||||||
Gross profit
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6,708 | 4,957 | 12,477 | 10,193 | ||||||||||||
Selling, general, and administrative expense
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5,634 | 4,137 | 10,655 | 8,711 | ||||||||||||
Depreciation and amortization
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293 | 265 | 570 | 528 | ||||||||||||
Operating income
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781 | 555 | 1,252 | 954 | ||||||||||||
Interest expense
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12 | 24 | 63 | 106 | ||||||||||||
Other expense (income)
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75 | (2 | ) | (7 | ) | 7 | ||||||||||
Income before provision for income taxes
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694 | 533 | 1,196 | 841 | ||||||||||||
Provision for income taxes
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58 | 29 | 101 | 53 | ||||||||||||
Net income
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636 | 504 | 1,095 | 788 | ||||||||||||
Net loss (income) attributable to the non-controlling interest
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82 | 5 | (70 | ) | (26 | ) | ||||||||||
Net income attributable to SPAR Group, Inc.
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$ | 718 | $ | 509 | $ | 1,025 | $ | 762 | ||||||||
Net income per basic/diluted common share:
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Net income – basic
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$ | 0.04 | $ | 0.03 | $ | 0.05 | $ | 0.04 | ||||||||
Net income –diluted
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$ | 0.03 | $ | 0.02 | $ | 0.05 | $ | 0.04 | ||||||||
Weighted average common shares - basic
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20,134 | 20,012 | 20,125 | 19,826 | ||||||||||||
Weighted average common shares - diluted
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22,320 | 21,656 | 22,306 | 21,387 | ||||||||||||
Net income
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$ | 636 | $ | 504 | $ | 1,095 | $ | 788 | ||||||||
Other comprehensive income:
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Foreign currency translation adjustments
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(153 | ) | 2 | (195 | ) | 25 | ||||||||||
Comprehensive income
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$ | 483 | $ | 506 | $ | 900 | $ | 813 |
SPAR Group, Inc.
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Consolidated Balance Sheets
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(in thousands, except share and per share data)
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June 30,
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December 31,
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|||||||
2012
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2011
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(unaudited)
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(note)
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Assets
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Current assets:
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Cash and cash equivalents
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$ | 1,722 | $ | 1,705 | ||||
Accounts receivable, net
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17,344 | 15,461 | ||||||
Prepaid expenses and other current assets
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701 | 801 | ||||||
Total current assets
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19,767 | 17,967 | ||||||
Property and equipment, net
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1,724 | 1,523 | ||||||
Goodwill
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1,148 | 1,148 | ||||||
Intangibles
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637 | 705 | ||||||
Other assets
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261 | 178 | ||||||
Total assets
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$ | 23,537 | $ | 21,521 | ||||
Liabilities and equity
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Current liabilities:
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Accounts payable
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$ | 3,220 | $ | 1,819 | ||||
Accrued expenses and other current liabilities
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5,035 | 4,039 | ||||||
Accrued expense due to affiliates
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1,600 | 1,092 | ||||||
Customer deposits
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424 | 183 | ||||||
Lines of credit
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1,246 | 3,641 | ||||||
Total current liabilities
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11,525 | 10,774 | ||||||
Long-term debt and other liabilities
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375 | 334 | ||||||
Total liabilities
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11,900 | 11,108 | ||||||
Equity:
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SPAR Group, Inc. equity
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Preferred stock, $.01 par value:
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Authorized and available shares - 2,445,598
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Issued and outstanding shares –
None – June 30, 2012
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None - December 31, 2011
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- | - | ||||||
Common stock, $.01 par value:
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Authorized shares - 47,000,000
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Issued and outstanding shares –
20,136,418 – June 30, 2012
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20,103,043 – December 31, 2011
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201 | 201 | ||||||
Additional paid-in capital
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14,225 | 13,940 | ||||||
Accumulated other comprehensive loss
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(367 | ) | (172 | ) | ||||
Accumulated deficit
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(3,601 | ) | (4,626 | ) | ||||
Total SPAR Group, Inc. equity
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10,458 | 9,343 | ||||||
Non-controlling interest
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1,179 | 1,070 | ||||||
Total liabilities and equity
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$ | 23,537 | $ | 21,521 |
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