-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, GnLpjfIL98bEADJz2LNCVqK/UzoJlZ+BfZGnxMzMFI/fOlg+rMp7CWbWIF+Md1kX Ohxsw7s7VdgzJwP1axjZ/w== 0000708821-06-000004.txt : 20060214 0000708821-06-000004.hdr.sgml : 20060214 20060214104553 ACCESSION NUMBER: 0000708821-06-000004 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20051231 ITEM INFORMATION: Results of Operations and Financial Condition FILED AS OF DATE: 20060214 DATE AS OF CHANGE: 20060214 FILER: COMPANY DATA: COMPANY CONFORMED NAME: PAR TECHNOLOGY CORP CENTRAL INDEX KEY: 0000708821 STANDARD INDUSTRIAL CLASSIFICATION: CALCULATING & ACCOUNTING MACHINES (NO ELECTRONIC COMPUTERS) [3578] IRS NUMBER: 161434688 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-09720 FILM NUMBER: 06608052 BUSINESS ADDRESS: STREET 1: PAR TECHNOLOGY PARK STREET 2: 8383 SENECA TURNPIKE CITY: NEW HARTFORD STATE: NY ZIP: 13413 BUSINESS PHONE: 3157380600 8-K 1 form8k021406.txt FORM 8K DATED FEBRUARY 14, 2006 SECURITIES AND EXCHANGE COMMISSION Washington, D. C. 20549 FORM 8-K CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Date of Report (Date of earliest event reported): February 14, 2006 PAR TECHNOLOGY CORPORATION -------------------------- (Exact name of registrant as specified in its charter) Delaware 1-09720 16-1434688 -------- ------- ---------- (State or other (Commission File (I.R.S. Employer jurisdiction of Number) incorporation or organization) Identification Number) PAR Technology Park 8383 Seneca Turnpike New Hartford, NY 13413-4991 ------------------- ---------- (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (315) 738-0600 Not Applicable -------------- (Former Name or Former Address, if changed since Last Report) Item 2.02 Results of Operations and Financial Condition. (a) The information, including Exhibits attached hereto, in this Current Report is being furnished and shall not be deemed "filed" for the purposes of Section 18 of the Securities and Exchange Act of 1934, or otherwise subject to the liabilities of that Section. The information in this Current Report shall not be incorporated by reference into any registration statement or other document pursuant to the Securities Act of 1933, as amended, except as otherwise expressly stated in such filing. (b) On February 14, 2006, PAR Technology Corporation issued a press release announcing its results of operation for the quarterly period ending December 31, 2005. A copy of the press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference. 99.1 Press Release dated February 14, 2006. SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. PAR TECHNOLOGY CORPORATION -------------------------- (Registrant) Date: February 14, 2006 /s/RONALD J. CASCIANO --------------------------------------- Ronald J. Casciano Vice President, Chief Financial Officer and Treasurer EXHIBIT INDEX Exhibit Number Description - -------------- ----------- 99.1 Press Release dated February 14, 2006. Exhibit 99.1 CONTACT: Christopher R. Byrnes (315) 738-0600 ext. 226 cbyrnes@partech.com, www.partech.com PAR TECHNOLOGY CORPORATION REPORTS RECORD FOURTH QUARTER AND YEAR END RESULTS -QUARTERLY REVENUES GROW to RECORD $53.5 MILLION -DILUTED FOURTH QUARTER EPS of $0.22 vs. $0.13; AN INCREASE OF 69% -2005 RECORD REVENUES GROW 18% to $205.6 MILLION -DILUTED EPS INCREASES 56% FOR THE YEAR -------------------------------------------------------------- NEW HARTFORD, NY, PAR TECHNOLOGY CORPORATION (NYSE:PTC) (New Hartford, NY- February 14, 2006) PAR Technology Corporation (NYSE: PTC), a leader in providing integrated hardware, software and service solutions to the hospitality industry, and provider of Government I/T solutions and services, today reported financial results for the fourth quarter and year ended December 31, 2005. For the fourth quarter ended December 31, 2005, PAR Technology Corporation reported net revenues of $53.5 million compared to $51.4 million in the fourth quarter 2004, an increase of 4%. Net income rose 74% to $3.2 million versus the $1.9 million earned in the fourth quarter one year ago. The Company reported diluted net income per share of $0.22 for this past quarter, compared to the $0.13 reported for the same period a year earlier, growing 69%. For the year ended December 31, 2005, PAR Technology Corporation reported net revenues of $205.6 million, an 18% increase from the $174.9 million reported one year ago. The Company also reported net income of $9.4 million in 2005 versus $5.6 million last year, an increase of 67%. Diluted net income per share in 2005 was reported at $0.64, an increase of 56% compared to diluted net income per share of $0.41 reported for the year 2004. "We are very pleased by our fourth quarter and full-year results in 2005, which include record revenues for the fourth quarter and the entire year. Our continued success is attributed to significant customer retention, contract and margin expansions and core growth across all business lines," commented John W. Sammon, Chairman and CEO. "Our hospitality technology business continued its positive momentum for the fourth quarter and the year, posting revenue and earnings growth and adding new accounts like Papa Murphy's Pizza chain and the Sanibel Harbour Resort. "The quarter's results were driven by the continued healthy performance across all segments of the hospitality technology market and by the improved margins we have been realizing due to the increase in software revenues. We closed on our acquisition of PixelPoint Technologies this past October and strongly feel this is a natural progression for our business as we now can market specific software products to the table service restaurant segment of hospitality. Internationally, we will continue to facilitate our customer's new store growth, specifically in the Asia/Pacific region. The international segment experienced strong growth both for the quarter and the year." Sammon continued "Our government I/T services business also had strong results in 2005. During the quarter we signed agreements to operate a Navy communication facility in Lago Patria, Italy, which marked an expansion of our current relationship in the European theatre. In 2005 we also extended our existing program outside the military specifically with contract awards from the General Services Administration and the International Broadcasting Bureau." "As PAR Technology enters its next phase of growth and business opportunities, it is extremely gratifying to look back on what our employees have achieved during the past two years," said Sammon in closing. "Our team has created a leading competitive position in hospitality technology that combines our superior design and customer service skills, including our intimate knowledge of hospitality markets with an intense focus on meeting our customers' needs. As a result, we are now in a position to grow our leadership position in the various hospitality markets we have identified." This release contains forward-looking statements concerning the Company's strategic plans, market opportunities, cash flows, liquidity, and future growth. These forward looking statements are neither promises nor guarantees but are subject to risks and uncertainties that could cause actual results to differ materially from those set forth in the forward looking statements, including without limitation, risks in technology development and commercialization, risks in product development and market acceptance of and demand for the Company's products, risks of downturns in economic conditions generally, and in the quick service sector of the restaurant market and the hospitality technology marketplace specifically, risks of intellectual property rights and litigation, risks associated with foreign sales and high customer concentration and other risks detailed in the Company's filings with the Securities and Exchange Commission. The Company cautions investors not to place undue reliance on these statements, which are current only as of the date of this release. The Company disclaims any obligation to update or supplement these statements as a result of changing circumstances or otherwise. PAR Technology Corporation is a leading provider of professional services and enterprise business intelligence software and hardware to the hospitality industry. PAR develops, markets and supports hardware and software products that improve the ability of hospitality business professionals to make timely, fact-based business decisions. The Company is a premier provider of I/T management solutions to hotel and restaurant companies, with over 40,000 installations worldwide in 100 countries. PAR is a leader in providing computer-based system design and engineering services to the Department of Defense and Federal Government Agencies. PAR Technology Corporation's stock is traded on the New York Stock Exchange under the symbol PTC. For more information visit the Company's website at www.partech.com. PAR TECHNOLOGY CORPORATION AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (in thousands except share amounts) (unaudited) December 31, ------------------------ 2005 2004 Assets --------- ---------- Current assets: Cash and cash equivalents ..................... $ 4,982 $ 8,696 Accounts receivable-net ....................... 40,781 32,702 Inventories-net ............................... 29,562 27,047 Income tax refunds ............................ 879 -- Deferred income taxes ......................... 5,690 6,634 Other current assets .......................... 2,598 2,617 --------- --------- Total current assets ...................... 84,492 77,696 Property, plant and equipment - net ................ 8,044 8,123 Goodwill ........................................... 20,622 15,379 Intangible assets - net ............................ 9,904 9,235 Other assets ....................................... 2,087 1,319 --------- --------- $ 125,149 $ 111,752 ========= ========= Liabilities and Shareholders' Equity Current liabilities: Current portion of long-term debt ............. $ 76 $ 90 Borrowings under lines of credit .............. 3,500 10,246 Accounts payable .............................. 12,703 9,486 Accrued salaries and benefits ................. 9,725 8,072 Accrued expenses .............................. 2,203 2,998 Customer deposits ............................. 3,973 4,861 Deferred service revenue ...................... 11,332 9,083 Net liabilities of discontinued operation ..... 149 323 --------- --------- Total current liabilities ................. 43,661 45,159 --------- --------- Long-term debt ..................................... 1,948 2,005 --------- --------- Deferred income taxes .............................. 201 194 --------- --------- Other long-term liabilities ........................ 847 820 --------- --------- Commitments and contingent liabilities Shareholders' Equity: Preferred stock, $.02 par value, 1,000,000 shares authorized ................. -- -- Common stock, $.02 par value, 19,000,000 shares authorized; 15,914,958 and 15,208,698 shares issued; 14,136,654 and 13,403,184 outstanding ....... 318 304 Capital in excess of par value ................ 37,271 31,459 Retained earnings ............................. 47,442 38,010 Accumulated other comprehensive loss .......... (611) (181) Treasury stock, at cost, 1,778,304 and 1,805,514 shares .............. (5,928) (6,018) --------- --------- Total shareholders' equity ................ 78,492 63,574 --------- --------- $ 125,149 $ 111,752 ========= ========= PAR TECHNOLOGY CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME (in thousands except per share amounts) (unaudited)
For the three months For the year ended ended December 31, December 31, ---------------------- ---------------------- 2005 2004 2005 2004 --------- --------- --------- --------- Net revenues: Product ........................... $ 24,344 $ 23,291 $ 91,130 $ 77,503 Service ........................... 15,444 14,976 58,327 47,466 Contract .......................... 13,677 13,159 56,182 49,915 --------- --------- --------- --------- 53,465 51,426 205,639 174,884 --------- --------- --------- --------- Costs of sales: Product ........................... 13,435 14,874 53,443 51,287 Service ........................... 11,318 11,690 44,205 39,769 Contract .......................... 12,612 12,437 52,405 46,682 --------- --------- --------- --------- 37,365 39,001 150,053 137,738 --------- --------- --------- --------- Gross margin ................ 16,100 12,425 55,586 37,146 --------- --------- --------- --------- Operating expenses: Selling, general and administrative 8,694 6,963 30,867 22,106 Research and development .......... 2,487 2,356 9,355 6,270 Amortization of identifiable intangible assets ............... 294 245 1,030 245 --------- --------- --------- --------- 11,475 9,564 41,252 28,621 --------- --------- --------- --------- Operating income ....................... 4,625 2,861 14,334 8,525 Other income, net ...................... 248 547 743 1,134 Interest expense ....................... (103) (149) (287) (295) --------- --------- --------- --------- Income before provision for income taxes 4,770 3,259 14,790 9,364 Provision for income taxes ............. (1,538) (1,405) (5,358) (3,729) --------- --------- --------- --------- Net income ............................. $ 3,232 $ 1,854 $ 9,432 $ 5,635 ========= ========= ========= ========= Earnings per share: Basic ............................. $ .23 $ .14 $ .68 $ .43 Diluted ........................... $ .22 $ .13 $ .64 $ .41 Weighted average shares outstanding Basic ............................. 14,075 13,363 13,792 13,044 ========= ========= ========= ========= Diluted ........................... 14,775 14,180 14,648 13,845 ========= ========= ========= =========
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