x
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QUARTERLY
REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE
ACT OF
1934
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o |
TRANSITION
REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES
EXCHANGE
ACT OF
1934
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NEVADA
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86-1005291
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(State
of incorporation)
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(I.R.S.
Employer Identification Number)
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150-14
132nd
Avenue, Jamaica, NY
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11434
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(Address
of principal executive offices)
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(Zip
Code)
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CONSOLIDATED
BALANCE
SHEETS
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JUNE
30, 2006
(Unaudited)
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SEPTEMBER
30, 2005
(Audited)
|
||||||
ASSETS
|
|||||||
CURRENT
ASSETS:
|
|||||||
Cash
and cash equivalents
|
$
|
983,556
|
$
|
793,238
|
|||
Accounts
receivable, net of allowance for doubtful
|
|||||||
accounts
of $23,850 at June 30, 2006 and
|
|||||||
$26,067
at September 30, 2005
|
5,138,147
|
5,334,314
|
|||||
Marketable
securities
|
57,617
|
55,742
|
|||||
Loans
receivable - officers
|
148,694
|
146,192
|
|||||
-
other
|
37,470
|
33,835
|
|||||
Prepaid
expenses and sundry current assets
|
117,444
|
76,120
|
|||||
Deferred
compensation
|
113,090
|
-
|
|||||
TOTAL
CURRENT ASSETS
|
6,596,018
|
6,439,441
|
|||||
PROPERTY
AND EQUIPMENT, NET
|
202,227
|
242,270
|
|||||
SECURITY
DEPOSITS
|
49,418
|
49,418
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|||||
TOTAL
ASSETS
|
$
|
6,847,663
|
$
|
6,731,129
|
|||
LIABILITIES
AND STOCKHOLDERS’ EQUITY
|
|||||||
CURRENT
LIABILITIES:
|
|||||||
Accounts
payable
|
$
|
2,965,173
|
$
|
3,192,944
|
|||
Accrued
expenses and taxes payable
|
66,625
|
196,861
|
|||||
Current
portion of long-term debt
|
8,692
|
8,393
|
|||||
TOTAL
CURRENT LIABILITIES
|
3,040,490
|
3,398,198
|
|||||
OTHER
LIABILITIES:
|
|||||||
Long-term
debt
|
7,284
|
13,572
|
|||||
Deferred
compensation
|
78,568
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78,568
|
|||||
TOTAL
OTHER LIABILITIES
|
85,852
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92,140
|
|||||
STOCKHOLDERS’
EQUITY:
|
|||||||
Common
stock, $.001 par value
|
|||||||
225,000,000
shares authorized
|
|||||||
17,043,000
and 16,843,000 shares issued and outstanding
|
|||||||
at
June 30, 2006 and September 30, 2005, respectively
|
17,043
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16,843
|
|||||
Additional
paid-in capital
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953,163
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501,003
|
|||||
Retained
earnings
|
2,751,115
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2,722,945
|
|||||
TOTAL
STOCKHOLDERS’ EQUITY
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3,721,321
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3,240,791
|
|||||
TOTAL
LIABILITIES AND STOCKHOLDERS’ EQUITY
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$
|
6,847,663
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$
|
6,731,129
|
|||
NINE
MONTHS ENDED JUNE 30,
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THREE MONTHS
ENDED JUNE 30,
|
||||||||||||
2006
|
2005
|
2006
|
2005
|
||||||||||
REVENUE
|
$
|
57,107,454
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$
|
49,920,029
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$
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19,534,537
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$
|
19,946,342
|
|||||
COSTS
AND EXPENSES:
|
|||||||||||||
Forwarding
expenses
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51,140,538
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44,716,595
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17,380,945
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18,012,055
|
|||||||||
Selling,
general and administrative
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5,477,730
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4,852,794
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1,852,574
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1,665,201
|
|||||||||
Stock
based compensation
|
339,270
|
-
|
113,090
|
-
|
|||||||||
TOTAL
COSTS AND EXPENSES
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56,957,538
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49,569,389
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19,346,609
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19,677,256
|
|||||||||
INCOME
FROM OPERATIONS
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149,916
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350,640
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187,928
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269,086
|
|||||||||
OTHER
ITEMS:
|
|||||||||||||
Interest
and dividend income
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16,617
|
11,847
|
9,769
|
2,878
|
|||||||||
Interest
expense
|
(918
|
)
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(21,059
|
)
|
(261
|
)
|
(1,183
|
)
|
|||||
TOTAL
OTHER ITEMS
|
15,699
|
(9,212
|
)
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9,508
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1,695
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||||||||
|
|||||||||||||
INCOME
BEFORE INCOME TAXES
|
165,615
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341,428
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197,436
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270,781
|
|||||||||
Income
taxes
|
137,004
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147,000
|
97,290
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116,600
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|||||||||
NET
INCOME
|
$
|
28,611
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$
|
194,428
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$
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100,146
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$
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154,181
|
|||||
OTHER
COMPREHENSIVE INCOME
|
|||||||||||||
NET
OF TAX:
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|||||||||||||
Unrealized
gain (loss) from available
|
|||||||||||||
for
sale securities
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$
|
441
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$
|
6,268
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$
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(3,120
|
)
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$
|
1,831
|
||||
Basic
earnings per share
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$
|
.00169
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$
|
.01154
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$
|
.00588
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$
|
.00915
|
|||||
Fully
diluted earnings per share
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$
|
.00167
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$
|
.01154
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$
|
.00574
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$
|
.00915
|
|||||
Weighted
number of shares outstanding
|
16,925,784
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16,843,000
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17,043,000
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16,843,000
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|||||||||
Fully
diluted number of shares outstanding
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17,091,352
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16,843,000
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17,443,000
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16,843,000
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NINE
MONTHS ENDED JUNE 30,
|
|||||||
2006
|
2005
|
||||||
OPERATING
ACTIVITIES:
|
|||||||
Net
income
|
$
|
28,611
|
$
|
194,428
|
|||
Adjustments
to reconcile net income to net
|
|||||||
cash
provided by operating activities:
|
|||||||
Depreciation
and amortization
|
78,989
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64,859
|
|||||
Stock
issued in lieu of compensation
|
452,360
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-
|
|||||
Changes
in operating assets and liabilities:
|
|||||||
Accounts
receivable
|
196,167
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120,745
|
|||||
Prepaid
expenses and sundry current assets
|
(41,324
|
)
|
(35,216
|
)
|
|||
Security
deposits
|
-
|
110
|
|||||
Accounts
payable and accrued expenses
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(358,007
|
)
|
226,931
|
||||
Deferred
compensation
|
(113,090
|
)
|
-
|
||||
NET
CASH PROVIDED BY OPERATING ACTIVITIES
|
243,706
|
571,857
|
|||||
INVESTING
ACTIVITIES:
|
|||||||
Acquisition
of property and equipment, net
|
(38,946
|
)
|
(194,265
|
)
|
|||
Purchase
of marketable securities
|
(2,316
|
)
|
(1,736
|
)
|
|||
NET
CASH USED IN INVESTING ACTIVITIES
|
(41,262
|
)
|
(196,001
|
)
|
|||
FINANCING
ACTIVITIES:
|
|||||||
Increase
in loans receivable
|
(6,137
|
)
|
(11,061
|
)
|
|||
Repayment
of long-term debt, net
|
(5,989
|
)
|
(6,294
|
)
|
|||
Repayment
of (increase in ) bank borrowings
|
-
|
(800,000
|
)
|
||||
NET
CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES
|
(12,126
|
)
|
(817,355
|
)
|
|||
INCREASE
(DECREASE) IN CASH
|
190,318
|
(441,499
|
)
|
||||
CASH
- BEGINNING OF PERIOD
|
793,238
|
1,287,507
|
|||||
CASH
- END OF PERIOD
|
$
|
983,556
|
$
|
846,008
|
|||
SUPPLEMENTAL
DISCLOSURES OF CASH
|
|||||||
FLOW
INFORMATION:
|
|||||||
Cash
paid during the period for:
|
|||||||
Interest
|
$
|
918
|
$
|
21,059
|
|||
Income
taxes
|
$
|
241,653
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$
|
229,694
|
|||
Non-cash
investing activities:
|
|||||||
Unrealized
gain on marketable securities
|
$
|
441
|
$
|
6,268
|
|||
1 |
BASIS
OF PRESENTATION
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2
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UNREGISTERED
SALE OF EQUITY SECURITIES
|
3 |
INCOME
TAXES
|
a.
|
accounts
receivable valuation;
|
b.
|
the
useful lives of long-term assets;
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c.
|
the
accrual of costs related to ancillary services the company provides;
and
|
d.
|
accrual
of tax expense on an interim
basis.
|
Exhibit
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||
Number
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Description
of Exhibit
|
|
31
|
Rule
13(a)-14(a)/15(d)-14(a) Certifications.
|
|
32
|
Section
1350 Certification.
|
August
15, 2006
|
|
JANEL
WORLD TRADE, LTD.
|
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By:
/s/
James N. Jannello
|
|
James
N. Jannello
|
|
Chief
Executive Officer
|