Park City Group, Inc., a retail supply chain solutions company, Friday announced that it expects fiscal first quarter Earnings per Share and EBITDA to exceed expectations with improvement driven by strong revenue growth and expense management initiatives.
Highlights of fiscal first quarter preliminary results for the quarter ended September 30, 2009 are below:
• Revenue in the range of $2.6 and $2.7 million vs. $530,000 in the first quarter of fiscal 2009. The revenue increase was primarily due to the acquisition of Prescient Applied Intelligence, Inc. in January of 2009.
• Sequential quarterly EBITDA improvement of 60% with first quarter results in excess of $500,000.
• Positive Earnings per Share vs. a loss of $.13 per share in the first quarter of fiscal 2009.
Randall K. Fields, Park City Group’s Chairman and CEO commented by saying, “Our first quarter results not only validate the quality of our products and services but their growing acceptance in the marketplace,” “Looking forward, we expect to report consecutive quarterly earnings growth, though quarterly revenue growth may reflect the seasonality of our customers businesses.”
Investor should note that the projected and unaudited financial results discussed by the company are preliminary only and are subject to change as a result of the completion of the Company’s quarterly review. GAAP results are anticipated to be different than projected EBITDA results and those differences are anticipated to be material.
Investors should also recognize that the company calculates EBITDA as net income before deducting interest, taxes, depreciation and amortization. Adjusted EBITDA also excludes items such as impairment charges, charges to consolidate and integrate recently acquired businesses, costs of closing corporate facilities, non-cash stock based compensation and other non-cash charges. Although EBITDA and adjusted EBITDA are not measures of actual cash flow because they do not consider changes in assets and liabilities that may impact cash balances, the Company’s management reviews these non-GAAP financial measures internally to evaluate the Company’s performance and manage the operations. Additionally, the Company believes they are useful metrics to evaluate operating performance and has therefore included such measures in the reporting of operating results.
Park City Group is a business solutions and services provider that enables retailers and suppliers to work collaboratively as strategic partners to reduce out-of-stocks, shrink, inventory and labor to improving profits, efficiencies, and customer service. Park City solutions provide trading partners a common platform on which they can capture, manage, analyze and share critical data, bringing greater visibility throughout the supply chain, and giving them the power to make better and more informed decisions.