EX-20 2 rpr0904.txt PRESS RELEASE DATED SEPTEMBER 23, 2004 Press Release date September 23, 2004 For Immediate Release September 23, 2004 Better Fiscal Year at Bowl America Earnings for Bowl America's fiscal year which ended June 27, 2004, increased to $.91 per share from $.70 in the prior year. The increase was caused by the sale of a money-losing bowling property in August 2003. Without the profit from the sale, earnings for this year would have been $0.66. Unusually heavy spring rains last year caused a bump in earnings. The Company has benefited from the weather at the start of its new fiscal year with both July and August profits slightly ahead of fiscal 2004. The impact of this year's Florida hurricanes should be similar to that experienced from Isabel last year. However, the first quarter of fiscal 2005 will have one fewer week of league bowling because of the later than usual Labor Day. This late start will add one week of league lineage to the fourth quarter. In addition, this is a 53-week year for financial purposes which will also add to profitability in the fourth quarter. The Board of Directors today declared a dividend of $.135. Unless circumstances change, this will be the thirty-third consecutive year of increased dividends for Bowl America. The Company will construct its new Richmond bowling center with funds currently on hand and does not see the need to borrow. Bowl America operates eighteen bowling centers in Maryland, Virginia and Florida and its stock trades on the American Stock Exchange with the symbol BWLA. The Company's SEC Form 10-K is available at www.bowlamericainc.com. Bowl America Incorporated Results of Operations (Unaudited) Thirteen weeks ended Fifty-two weeks ended June 27, June 29, June 27, June 29, 2004 2003 2004 2003 Revenues Bowling and other $4,403,442 $4,827,804 $20,154,568 $20,574,413 Food, beverage and merchandise sales 1,794,286 2,050,164 8,279,121 8,801,279 TOTAL REVENUES $6,197,728 $6,877,968 $28,433,689 $29,375,692 Operating expenses excluding depreciation and amortization 5,077,139 5,571,496 22,006,445 22,649,565 Depreciation and amortization 354,363 365,087 1,532,587 1,613,379 Net gain on sale of building 33,123 - 2,201,240 - Interest and dividend income 108,449 106,624 413,738 475,598 Earnings before taxes 907,798 1,048,009 7,509,635 5,588,346 Net Earnings $ 511,502 $ 682,009 $ 4,701,739 $ 3,583,346 Weighted average shares outstanding 5,138,511 5,134,599 5,138,559 5,145,934 EARNINGS PER SHARE .10 .14 .91 .70 Summary of Financial Position (Unaudited) Dollars in Thousands 06/27/04 06/29/03 ASSETS Total current assets including cash and short-term investments of $13,002 & $11,009 $14,181 $12,608 Property and investments 26,399 24,929 TOTAL ASSETS $40,580 $37,537 LIABILITIES AND STOCKHOLDERS' EQUITY Total current liabilities $ 3,054 $ 2,711 Other liabilities 2,629 1,873 Stockholders' equity 34,897 32,953 TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $40,580 $37,537