Delaware
|
1-09720
|
16-1434688
|
(State or Other Jurisdiction of Incorporation)
|
(Commission File Number)
|
(IRS Employer Identification No.)
|
☐ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
☐ | Soliciting material pursuant to rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
☐ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
☐ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
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 July 27, 2016, PAR Technology Corporation issued a press release announcing its results of operations for the quarterly period ending June 30, 2016. A copy of the press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference. |
Item 9.01. | Financial Statements and Exhibits |
(d) | Exhibits. |
99.1 | PAR Technology Corporation Press Release dated July 27, 2016. |
PAR TECHNOLOGY CORPORATION
|
|
(Registrant)
|
|
Date: July 27, 2016
|
/s/Matthew J. Trinkaus
|
Matthew J. Trinkaus
|
|
Chief Accounting Officer & Corporate Controller
|
![]() |
FOR RELEASE
|
New Hartford, NY, July 27, 2016
|
CONTACT:
|
Christopher R. Byrnes (315) 738-0600 ext. 6226
cbyrnes@partech.com, www.partech.com
|
· | Revenues were reported at $52.7 million in the second quarter of fiscal 2016, compared to $58.9 million in the same period in 2015, a 10.6% decrease. |
· | GAAP net income from continuing operations in the second quarter of fiscal 2016 was $0.1 million, or $0.01 earnings per diluted share, compared to a GAAP net income from continuing operations of $1.2 million, or $0.08 earnings per diluted share in the same period in 2015. |
· | Non-GAAP net income from continuing operations in the second quarter of fiscal 2016 was $0.6 million, or $0.04 per diluted share, compared to a non-GAAP net income from continuing operations of $1.7 million, or $0.11 earnings per diluted share, in the same period in 2015. |
· | Revenue decreased to $108.0 million in the first six months of fiscal 2016, compared to $114.1 million in the same period in 2015. |
· | GAAP net income from continuing operations in the first six months of fiscal 2016 was $0.1 million or $0.01 earnings per diluted share, compared to GAAP net income from continuing operations of $1.4 million, or $0.09 earnings per diluted share, in the same period in 2015. |
· | Non-GAAP net income from continued operations in the first six months of fiscal 2016 was $1.6 million, or $0.10 earnings per diluted share, compared to non-GAAP net income from continuing operations of $2.3 million or $0.15 earnings per diluted share, in the same period in 2015. |
Assets
|
(Unaudited)
June 30,
2016
|
December 31,
2015
|
||||||
Current assets:
|
||||||||
Cash and cash equivalents
|
$
|
5,374
|
$
|
8,024
|
||||
Accounts receivable-net
|
29,462
|
29,530
|
||||||
Inventories-net
|
25,392
|
21,499
|
||||||
Note receivable
|
4,366
|
-
|
||||||
Income taxes receivable
|
223
|
-
|
||||||
Deferred income taxes
|
6,689
|
6,741
|
||||||
Other current assets
|
4,559
|
3,808
|
||||||
Total current assets
|
76,065
|
69,602
|
||||||
Property, plant and equipment - net
|
6,055
|
5,716
|
||||||
Note receivable
|
-
|
4,259
|
||||||
Deferred income taxes
|
11,038
|
11,038
|
||||||
Goodwill
|
11,051
|
11,051
|
||||||
Intangible assets - net
|
11,102
|
10,898
|
||||||
Other assets
|
3,792
|
3,687
|
||||||
Total Assets
|
$
|
119,103
|
$
|
116,251
|
||||
Liabilities and Shareholders’ Equity
|
||||||||
Current liabilities:
|
||||||||
Current portion of long-term debt
|
$
|
2,156
|
$
|
2,103
|
||||
Accounts payable
|
16,532
|
11,729
|
||||||
Accrued salaries and benefits
|
5,864
|
5,727
|
||||||
Accrued expenses
|
5,217
|
7,644
|
||||||
Customer deposits and deferred service revenue
|
11,732
|
10,819
|
||||||
Income taxes payable
|
-
|
279
|
||||||
Liabilities of discontinued operations
|
142
|
441
|
||||||
Total current liabilities
|
41,643
|
38,742
|
||||||
Long-term debt
|
476
|
566
|
||||||
Other long-term liabilities
|
8,759
|
8,883
|
||||||
Total liabilities
|
50,878
|
48,191
|
||||||
Commitments and contingencies
|
||||||||
Shareholders’ Equity:
|
||||||||
Preferred stock, $.02 par value, 1,000,000 shares authorized
|
-
|
-
|
||||||
Common stock, $.02 par value, 29,000,000 shares authorized; 17,478,622 and 17,352,838 shares issued; 15,770,513 and 15,644,729 outstanding at June 30, 2016 and December 31, 2015, respectively
|
349
|
347
|
||||||
Capital in excess of par value
|
45,977
|
45,753
|
||||||
Retained earnings
|
30,663
|
30,574
|
||||||
Accumulated other comprehensive loss
|
(2,928
|
)
|
(2,778
|
)
|
||||
Treasury stock, at cost, 1,708,109 shares
|
(5,836
|
)
|
(5,836
|
)
|
||||
Total shareholders’ equity
|
68,225
|
68,060
|
||||||
Total Liabilities and Shareholders’ Equity
|
$
|
119,103
|
$
|
116,251
|
For the three
months ended
June 30,
|
For the three
months ended
June 30,
|
For the six
months ended
June 30,
|
For the six
months ended
June 30,
|
|||||||||||||
2016
|
2015
|
2016
|
2015
|
|||||||||||||
Net revenues:
|
||||||||||||||||
Product
|
$
|
21,444
|
$
|
25,267
|
$
|
43,528
|
$
|
46,275
|
||||||||
Service
|
11,804
|
12,100
|
23,508
|
22,474
|
||||||||||||
Contract
|
19,410
|
21,561
|
40,927
|
45,397
|
||||||||||||
52,658
|
58,928
|
107,963
|
114,146
|
|||||||||||||
Costs of sales:
|
||||||||||||||||
Product
|
16,137
|
18,292
|
32,579
|
33,200
|
||||||||||||
Service
|
8,219
|
8,754
|
16,818
|
16,592
|
||||||||||||
Contract
|
17,857
|
20,189
|
37,512
|
42,663
|
||||||||||||
42,213
|
47,235
|
86,909
|
92,455
|
|||||||||||||
Gross margin
|
10,445
|
11,693
|
21,054
|
21,691
|
||||||||||||
Operating expenses:
|
||||||||||||||||
Selling, general and administrative
|
7,058
|
6,845
|
14,600
|
13,505
|
||||||||||||
Research and development
|
2,793
|
2,661
|
5,555
|
5,095
|
||||||||||||
Amoritzation of identifiable intangible assets
|
242
|
249
|
483
|
498
|
||||||||||||
10,093
|
9,755
|
20,638
|
19,098
|
|||||||||||||
Operating income from continuing operations
|
352
|
1,938
|
416
|
2,593
|
||||||||||||
Other (expense) income, net
|
(210
|
)
|
20
|
(280
|
)
|
(186
|
)
|
|||||||||
Interest income (expense), net
|
3
|
(85
|
)
|
32
|
(171
|
)
|
||||||||||
Income from continuing operations before provision for income taxes
|
145
|
1,873
|
168
|
2,236
|
||||||||||||
Provision for income taxes
|
(45
|
)
|
(629
|
)
|
(53
|
)
|
(800
|
)
|
||||||||
Income from continuing operations
|
100
|
1,244
|
115
|
1,436
|
||||||||||||
Discontinued operations
|
||||||||||||||||
Loss on discontinued operations (net of tax)
|
(26
|
)
|
(1,143
|
)
|
(26
|
)
|
(1,720
|
)
|
||||||||
Net income (loss)
|
$
|
74
|
$
|
101
|
$
|
89
|
$
|
(284
|
)
|
|||||||
Basic Earnings per Share:
|
||||||||||||||||
Income from continuing operations
|
0.01
|
0.08
|
0.01
|
0.09
|
||||||||||||
Loss from discontinued operations
|
(0.00
|
)
|
(0.07
|
)
|
(0.00
|
)
|
(0.11
|
)
|
||||||||
Net income (loss)
|
$
|
0.00
|
$
|
0.01
|
$
|
0.01
|
$
|
(0.02
|
)
|
|||||||
Diluted Earnings per Share:
|
||||||||||||||||
Income from continuing operations
|
0.01
|
0.08
|
0.01
|
0.09
|
||||||||||||
Loss from discontinued operations
|
(0.00
|
)
|
(0.07
|
)
|
(0.00
|
)
|
(0.11
|
)
|
||||||||
Net income (loss)
|
$
|
0.00
|
$
|
0.01
|
$
|
0.01
|
$
|
(0.02
|
)
|
|||||||
Weighted average shares outstanding
|
||||||||||||||||
Basic
|
15,615
|
15,584
|
15,651
|
15,541
|
||||||||||||
Diluted
|
15,670
|
15,671
|
15,717
|
15,658
|
For the three months ended June 30, 2016
|
For the three months ended June 30, 2015
|
|||||||||||||||||||||||
Reported
basis (GAAP)
|
Adjustments
|
Comparable
basis (Non-
GAAP)
|
Reported basis
(GAAP)
|
Adjustments
|
Comparable
basis (Non-
GAAP)
|
|||||||||||||||||||
Net revenues
|
$
|
52,658
|
-
|
52,658
|
$
|
58,928
|
-
|
58,928
|
||||||||||||||||
Costs of sales
|
42,213
|
-
|
42,213
|
47,235
|
85
|
47,150
|
||||||||||||||||||
Gross Margin
|
10,445
|
-
|
10,445
|
11,693
|
85
|
11,778
|
||||||||||||||||||
Operating Expenses
|
||||||||||||||||||||||||
Selling, general and administrative
|
7,058
|
572
|
6,486
|
6,845
|
346
|
6,499
|
||||||||||||||||||
Research and development
|
2,793
|
-
|
2,793
|
2,661
|
13
|
2,648
|
||||||||||||||||||
Amortization of identifiable intangible assets
|
242
|
242
|
-
|
249
|
249
|
-
|
||||||||||||||||||
Total operating expenses
|
10,093
|
814
|
9,279
|
9,755
|
608
|
9,147
|
||||||||||||||||||
Operating income from continuing operations
|
352
|
814
|
1,166
|
1,938
|
693
|
2,631
|
||||||||||||||||||
Other income, net
|
(210
|
)
|
-
|
(210
|
)
|
20
|
-
|
20
|
||||||||||||||||
Interest income (expense), net
|
3
|
26
|
29
|
(85
|
)
|
25
|
(60
|
)
|
||||||||||||||||
Income from continuing operations before provision for income taxes
|
145
|
840
|
985
|
1,873
|
718
|
2,591
|
||||||||||||||||||
Provision for income taxes
|
(45
|
)
|
(311
|
)
|
(356
|
)
|
(629
|
)
|
(266
|
)
|
(895
|
)
|
||||||||||||
Income from continuing operations
|
$
|
100
|
$
|
529
|
$
|
629
|
$
|
1,244
|
$
|
452
|
$
|
1,696
|
||||||||||||
Loss from discontinued operations, (net of tax)
|
$
|
(26
|
)
|
$
|
(26
|
)
|
$
|
(1,143
|
)
|
$
|
(1,143
|
)
|
||||||||||||
Net income
|
$
|
74
|
$
|
603
|
$
|
101
|
$
|
553
|
||||||||||||||||
Income per diluted share from continuing operations
|
$
|
0.01
|
$
|
0.04
|
$
|
0.08
|
$
|
0.11
|
||||||||||||||||
Loss per diluted share from discontinuing operations
|
$
|
(0.00
|
)
|
$
|
(0.00
|
)
|
$
|
(0.07
|
)
|
$
|
(0.07
|
)
|
||||||||||||
Income per diluted share
|
$
|
0.00
|
$
|
0.04
|
$
|
0.01
|
$
|
0.04
|
For the six months ended June 30, 2016
|
For the six months ended June 30, 2015
|
|||||||||||||||||||||||
Reported
basis (GAAP)
|
Adjustments
|
Comparable
basis (Non-
GAAP)
|
Reported basis
(GAAP)
|
Adjustments
|
Comparable
basis (Non-
GAAP)
|
|||||||||||||||||||
Net revenues
|
$
|
107,963
|
-
|
$
|
107,963
|
$
|
114,146
|
-
|
$
|
114,146
|
||||||||||||||
Costs of sales
|
86,909
|
-
|
86,909
|
92,455
|
151
|
92,304
|
||||||||||||||||||
Gross Margin
|
21,054
|
-
|
21,054
|
21,691
|
151
|
21,842
|
||||||||||||||||||
Operating Expenses
|
||||||||||||||||||||||||
Selling, general and administrative
|
14,600
|
1,749
|
12,851
|
13,505
|
706
|
12,799
|
||||||||||||||||||
Research and development
|
5,555
|
-
|
5,555
|
5,095
|
13
|
5,082
|
||||||||||||||||||
Acquisition amortization
|
483
|
483
|
-
|
498
|
498
|
-
|
||||||||||||||||||
Total operating expenses
|
20,638
|
2,232
|
18,406
|
19,098
|
1,217
|
17,881
|
||||||||||||||||||
Operating income from continuing operations
|
416
|
2,232
|
2,648
|
2,593
|
1,368
|
3,961
|
||||||||||||||||||
Other (expense) income, net
|
(280
|
)
|
-
|
(280
|
)
|
(186
|
)
|
-
|
(186
|
)
|
||||||||||||||
Interest expense
|
32
|
52
|
84
|
(171
|
)
|
51
|
(120
|
)
|
||||||||||||||||
Income from continuing operations before provision for income taxes
|
168
|
2,284
|
2,452
|
2,236
|
1,419
|
3,655
|
||||||||||||||||||
Provision for income taxes
|
(53
|
)
|
(845
|
)
|
(898
|
)
|
(800
|
)
|
(525
|
)
|
(1,325
|
)
|
||||||||||||
Income from continuing operations
|
$
|
115
|
$
|
1,439
|
$
|
1,554
|
$
|
1,436
|
$
|
894
|
$
|
2,330
|
||||||||||||
Loss from discontinued operations, (net of tax)
|
$
|
(26
|
)
|
$
|
(26
|
)
|
$
|
(1,720
|
)
|
$
|
(1,720
|
)
|
||||||||||||
Net income (loss)
|
$
|
89
|
$
|
1,528
|
$
|
(284
|
)
|
$
|
610
|
|||||||||||||||
Income per diluted share from continuing operations
|
$
|
0.01
|
$
|
0.10
|
$
|
0.09
|
$
|
0.15
|
||||||||||||||||
Loss per diluted share from discontinuing operations
|
$
|
(0.00
|
)
|
$
|
(0.00
|
)
|
$
|
(0.11
|
)
|
$
|
(0.11
|
)
|
||||||||||||
Income (loss) per diluted share
|
$
|
0.01
|
$
|
0.10
|
$
|
(0.02
|
)
|
$
|
0.04
|