EX-99.1 2 ex99-1.htm

 

Exhibit 99.1

 

Parks! America, Inc.

Reports Third Quarter Fiscal 2024 Financial Results

 

Management to host conference call today, August 13, 2024, at 4:30 PM ET

 

PINE MOUNTAIN, Georgia, August 13, 2024 — Parks! America, Inc. (OTCPink: PRKA), today announced the financial results for the third quarter of fiscal year 2024 ended June 30, 2024.

 

March - August 2024 Strategic Highlights

 

  ● Appointed Geoff Gannon as President
  ● Created Capital Allocation Committee composed of three directors: Andrew Kuhn, Jacob McDonough, and Todd White
  ● Authorized $0.8 million of capital expenditures for restroom building for Georgia Park
  ● Managing cash in light of ~$2.0 million of proxy contest expenses, Georgia Park’s restroom building, and severance payments

 

Year-to-Date Fiscal 2024 Segment Financial Results

 

  ● Georgia Park revenues of $4.42 million, segment income of $1.72 million, and total assets of $7.11 million, which includes cash and short-term investments of $1.61 million
  ● Missouri Park revenues of $1.29 million, segment income of $0.17 million, and total assets of $3.09 million, which includes cash and short-term investments of $0.54 million
  ● Texas Park revenues of $1.38 million, segment income of $0.10 million, and total assets of $7.96 million, which includes cash and short-term investments of $0.64 million

 

Consolidated Balance Sheet

 

The Company had total cash and short-term investments of $2.85 million as of June 30, 2024, compared to $4.10 million at the end of October 1, 2023. The Company had total debt of $3.65 million as of June 30, 2024, compared to $4.23 million at the end of October 1, 2023.

 

Conference Call and Webcast Details

 

The Company will host a conference call to review the results of the third quarter of the 2024 fiscal year today, August 13, 2024, at 4:30 pm ET.

 

The conference call will be webcast and can be accessed on the Company’s website, animalsafari.com/investor-relations. A transcript of the call will be available on the Company’s website.

 


About Parks! America, Inc.

 

Parks! America, Inc. (OTCPink: PRKA), through our wholly owned subsidiaries, owns and operates three regional safari parks and is in the business of acquiring, developing and operating local and regional entertainment assets in the United States.

 

Additional information, including our Form 10-K for the fiscal year ended October 1, 2023, is available on the Company’s website, animalsafari.com/investor-relations.

 

Cautionary Note Regarding Forward Looking Statements

 

This news release may contain “forward-looking statements” within the meaning of U.S. securities laws. Forward-looking statements include statements concerning our future plans, business strategy, liquidity, capital expenditures, sources of revenue and other similar statements that are not historical in nature. You are cautioned not to place undue reliance on these forward-looking statements, which are based on our expectations as of the date of this news release and speak only as of the date hereof. Forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause our actual results to differ significantly from those expressed or implied by such forward-looking statements. Readers are advised to consider the factors listed under the heading “Risk Factors” and the other information contained in the Company’s annual report and other reports filed from time to time with the SEC. We undertake no obligation to publicly update or revise any forward looking statements whether as a result of new information, future events or otherwise, except as required by law.

 

Contact:

Ralph Molina

Head of Investor Relations and Corporate Strategy

(706) 940-2209

 

 

 

 

PARKS! AMERICA, INC. AND SUBSIDIARIES

REPORTED AND PRO FORMA PARK REVENUES

For the Three Months and Nine Months Ended June 30, 2024 and July 2, 2023

 

   For the three months ended 
       July 2, 2023 
   June 30, 2024   Actual   Pro Forma1 
Georgia Park  $2,166,574   $1,713,205   $2,348,677 
Missouri Park   668,097    570,888    556,619 
Texas Park   522,052    517,419    508,858 
Total park revenues  $3,356,723   $2,801,512   $3,414,154 

 

   For the nine months ended 
       July 2, 2023
   June 30, 2024   Actual   Pro Forma1 
Georgia Park  $4,419,214   $4,059,002   $5,050,530 
Missouri Park   1,293,101    1,061,480    1,039,008 
Texas Park   1,377,882    1,356,174    1,334,449 
Total park revenues  $7,090,197   $6,476,656   $7,423,987 

 

1. Pro Forma Park Revenues reflect:

 

  a. The estimated impact on park revenues resulting from the tornado damage closure and phased reopening of our Georgia Park during the first six weeks of the fiscal quarter ended July 2, 2023, as well as for roughly eight weeks during the nine months ended July 2, 2023, assuming Georgia Park revenues in each respective period were flat to the comparable period in fiscal 2022; and
  b. The estimated impact of the strategic switch to a new ticketing platform early in the second quarter of fiscal 2024. We believe this change has improved the overall guest experience, lowering the overall transaction fees incurred by our guests for online ticket purchases, while also improving functionality for our park customer service teams. While this change has a net neutral impact on our profitability, we no longer directly up-charge customer transaction fees, resulting in a reduction in park revenues, with a corresponding decrease in operating expenses.

 

 

 

 

PARKS! AMERICA, INC. AND SUBSIDIARIES

BUSINESS SEGMENTS

 

   For the three months ended   For the nine months ended 
   June 30, 2024   July 2, 2023   June 30, 2024   July 2, 2023 
Total revenues:                    
Georgia  $2,200,174   $1,713,536   $4,489,128   $4,103,132 
Missouri   675,283    570,888    1,317,737    1,061,480 
Texas   573,287    565,708    1,497,704    1,422,364 
Consolidated  $3,448,744   $2,850,132   $7,304,569   $6,586,976 
                     
Income (loss) before income taxes:                    
Georgia  $1,172,530   $709,499   $1,724,017   $1,364,639 
Missouri   222,714    167,503    166,886    30,098 
Texas   107,086    82,010    102,137    19,228 
Segment EBITDA   1,502,330    959,012    1,993,040    1,413,965 
Corporate   (401,082)   (308,044)   (911,490)   (928,961)
Depreciation and amortization   230,852    222,124    672,648    648,757 
Loss on asset disposals, net   -    -    35,754    30,584 
Contested proxy and related matters   746,570    -    2,037,822    - 
Tornado expenses and write-offs, net   (53,755)   (268,776)   (53,755)   363,596 
Legal settlement   75,000    -    75,000    - 
Other income, net   31,412    3,429    101,325    64,708 
Interest expense   (46,923)   (54,514)   (147,515)   (169,739)
Consolidated  $87,070   $646,535   $(1,732,109)  $(662,964)

 

   June 30, 2024   October 1, 2023   July 2, 2023 
Total assets:               
Georgia  $7,114,797   $8,519,619   $8,445,755 
Missouri   3,085,406    3,335,794    3,169,692 
Texas   7,959,080    7,698,400    7,957,349 
Corporate   847,033    541,910    696,548 
Consolidated  $19,006,316   $20,095,723   $20,269,344 
                
Total cash & short-term               
Georgia  $1,606,283   $3,047,188   $2,066,426 
Missouri   542,270    671,423    394,968 
Texas   641,233    312,563    350,354 
Corporate   62,297    67,213    64,141 
Consolidated  $2,852,083   $4,098,387   $2,875,889 
                
Assets less cash & short-term               
Georgia  $5,508,514   $5,472,431   $6,379,329 
Missouri   2,543,136    2,664,371    2,774,724 
Texas   7,317,847    7,385,837    7,606,995 
Corporate   784,736    474,697    632,407 
Consolidated  $16,154,233   $15,997,336   $17,393,455 

 

 

 

 

PARKS! AMERICA, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS

For the Three Months and Nine Months Ended June 30, 2024 and July 2, 2023

 

   For the three months ended   For the nine months ended 
   June 30, 2024   July 2, 2023   June 30, 2024   July 2, 2023 
Park revenues  $3,356,723   $2,801,512   $7,090,197   $6,476,656 
Sale of animals   92,021    48,620    214,372    110,320 
Total revenues   3,448,744    2,850,132    7,304,569    6,586,976 
                     
Cost of sales   436,348    374,131    1,047,267    929,632 
Selling, general and administrative   1,911,148    1,825,033    5,175,752    5,172,340 
Depreciation and amortization   230,852    222,124    672,648    648,757 
Contested proxy and related matters   746,570    -    2,037,822    - 
Tornado expenses and write-offs, net   (53,755)   (268,776)   (53,755)   363,596 
Legal settlement   75,000    -    75,000    - 
Loss on asset disposals, net   -    -    35,754    30,584 
Income (loss) from operations   102,581    697,620    (1,685,919)   (557,933)
                     
Other income, net   31,412    3,429    101,325    64,708 
Interest expense   (46,923)   (54,514)   (147,515)   (169,739)
Income (loss) before income taxes   87,070    646,535    (1,732,109)   (662,964)
                     
Income tax expense (benefit)   19,200    134,500    (430,400)   (175,900)
Net income (loss)  $67,870   $512,035   $(1,301,709)  $(487,064)
                     
Income (loss) per share - basic and diluted  $0.00   $0.01   $(0.02)  $(0.01)
                     
Weighted average shares outstanding (in 000’s) - basic and diluted   75,727    75,270    75,677    75,248 

 

 

 

 

PARKS! AMERICA, INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

As of June 30, 2024, October 1, 2023 and July 2, 2023

 

   June 30, 2024   October 1, 2023   July 2, 2023 
ASSETS               
Cash  $2,026,084   $4,098,387   $2,875,889 
Short-term investments   825,999    -    - 
Accounts receivable   22,962    36,172    673,956 
Inventory   369,946    419,149    469,343 
Prepaid expenses   859,433    558,678    760,078 
Total current assets   4,104,424    5,112,386    4,779,266 
                
Property and equipment, net   14,848,121    14,910,097    15,397,446 
Intangible assets, net   35,196    52,331    71,723 
Other assets   18,575    20,909    20,909 
Total assets  $19,006,316   $20,095,723   $20,269,344 
                
LIABILITIES AND STOCKHOLDERS’ EQUITY               
Liabilities               
Accounts payable  $999,187   $79,352   $139,372 
Other current liabilities   379,498    571,343    463,733 
Current portion of long-term debt, net   793,842    767,675    758,724 
Total current liabilities   2,172,527    1,418,370    1,361,829 
                
Long-term debt, net   2,860,461    3,459,816    3,654,738 
Deferred tax liability, net   232,329    232,329    270,895 
Total liabilities   5,265,317    5,110,515    5,287,462 
                
Stockholders’ equity               
Common stock   75,727    75,518    75,518 
Capital in excess of par   5,159,762    5,102,471    5,102,471 
Retained earnings   8,505,510    9,807,219    9,803,893 
Total stockholders’ equity   13,740,999    14,985,208    14,981,882 
Total liabilities and stockholders’ equity  $19,006,316   $20,095,723   $20,269,344 

 

 

 

 

PARKS! AMERICA, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

For the Nine Months Ended June 30, 2024 and July 2, 2023

 

   For the nine months ended 
   June 30, 2024   July 2, 2023 
OPERATING ACTIVITIES:          
Net loss  $(1,301,709)  $(487,064)
Reconciliation of net loss to net cash used in operating activities:          
Depreciation and amortization expense   672,648    648,757 
Interest expense - debt financing cost amortization   8,416    4,416 
Stock-based compensation   57,500    115,000 
Interest accrued on certificates of deposit   (25,999)   - 
Deferred tax liability   -    270,895 
Tornado asset write-offs   -    271,424 
Loss (gain) loss on asset disposals   35,754    30,584 
Changes in assets and liabilities          
(Increase) decrease in accounts receivable   13,210    (669,551)
(Increase) decrease in inventory   49,203    72,643 
(Increase) decrease in prepaid expenses   (300,755)   (589,296)
Increase (decrease) in accounts payable   919,835    (128,195)
Increase (decrease) in other current liabilities   (191,845)   (58,139)
Net cash used in operating activities   (63,742)   (518,526)
           
INVESTING ACTIVITIES:          
Investments in certificates of deposit   (1,000,000)   - 
Maturity of certificate of deposit   200,000    - 
Acquisition of property and equipment   (669,791)   (1,520,980)
Investment in intangible assets   -    (5,466)
Proceeds from the disposition of property and equipment   42,833    - 
Net cash used in investing activities   (1,426,958)   (1,526,446)
           
FINANCING ACTIVITIES:          
Payments on 2020 Term Loan   (375,112)   (357,038)
Payments on 2021 Term Loan   (201,491)   (194,137)
Line-of-credit fees   (5,000)   - 
Net cash used in financing activities   (581,603)   (551,175)
           
Net decrease in cash   (2,072,303)   (2,596,147)
Cash at beginning of period   4,098,387    5,472,036 
Cash at end of period  $2,026,084   $2,875,889