), a full-service global provider of integrated transportation logistics, announced today the financial results for its first quarter ended December 31, 2013.
First Quarter 2014 Results
For the three months ended December 31, 2013, Janel reported revenue of $10,837,697 a decrease of $166,141 or 1.5% compared to the three months ended December 31, 2012.
For the three months ended December 31, 2013, after a one-time non-cash charge to SG&A of $237,492 for the issuance of stock options on October 30, 2013, the Company reported a net loss from continuing operations before income taxes of $(246,279) compared to the prior year reported net loss from continuing operations before income taxes of $(177,781).
For the three months ended December 31, 2013 and after losses from discontinued operations the Company reported a net loss of $(262,656) or $(0.01) per fully diluted share, compared to the prior year reported net loss of $(201,286), or $(0.01) per fully diluted share.
Review and Outlook “During the first quarter we have made additional headway in our core business,” said William J. Lally, President and Chief Executive Officer. “Although our SG&A has increased by $80,859 when compared to the prior year, if we back out the one-time non cash option expense of $237,492 from the current quarter, our SG&A on a like comparison is down for the quarter by $156,633 when compared to the prior year. This reduced expense level with our focus on increasing revenue will help accelerate our pursuit toward profitability.”
Lally continued, “In addition, our net revenue for the current quarter which is our revenue less forwarding expenses, increased slightly when compared to the prior year. We are focused on returning the company to profitability and growing our sales.”
Lally concluded, “We are committed to turning Janel around and returning value to our shareholders.”
To be included in Janel’s database for Corporate Press Releases and industry updates, investors are invited to send their e-mail address to: IR@janelgroup.net.
About Janel World Trade, Ltd. Janel World Trade, Ltd. is a global provider of integrated logistics; including domestic and international freight forwarding via multi-modal carriers, leading-edge, end-to-end, supply-chain technology, customs brokerage, warehousing and distribution, and other transportation-related services. With offices throughout the U.S. (New York, Chicago, Los Angeles, and Atlanta) and a network of independent international agents in approximately 52 countries, the Company provides the comprehensive logistics services and technology necessary to handle its customers’ shipping needs throughout the world. Cargo can be transported via air, sea or land, and Janel’s national network of locations can manage the shipment and/or receipt of cargo into or out of any location in the United States. Janel is registered as an Ocean Transportation Intermediary and licensed as a FMC Licensed Freight Forwarder by the Federal Maritime Commission.
Janel World Trade, Ltd.‘s headquarters is located in Jamaica, New York, adjacent to the JFK International Airport, and its common stock is listed on the OTCQB Bulletin Board under the symbol “JLWT.” Additional information on the Company is available on its website at http://www.janelgroup.net
Forward-Looking Statements This press release includes statements that may constitute “forward-looking” statements, usually containing the words “believe,” “estimate,” “project,” “intend,” “expect” or similar expressions. These statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements inherently involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors that would cause or contribute to such differences include, but are not limited to, the Company’s dependence upon conditions in the air, ocean and land-based freight forwarding industry, the size and resources of many competitors, the need for the Company to effectively integrate acquired businesses and to successfully deliver its primary services, and other risks detailed in the Company’s periodic report filings with the Securities and Exchange Commission, including its most recent Form 8-K, Form 10-Q and Form 10-K filings. By making these forward-looking statements, the Company undertakes no obligation to update these statements for revisions or changes after the date of this release.
|JANEL WORLD TRADE LTD. AND SUBSIDIARIES|
|CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS|
|THREE MONTHS ENDED|
|COST AND EXPENSES:|
|Selling, general and administrative||1,749,669||1,668,810|
|Depreciation and amortization||3,772||4,769|
|TOTAL COSTS AND EXPENSES||11,059,380||11,148,342|
|LOSS FROM CONTINUING OPERATIONS||(221,683||)||(144,504||)|
|Interest expense, net of interest and dividend income||(24,596||)||(28,561||)|
|Realized loss from available for sale securities||-||(4,716||)|
|TOTAL OTHER ITEMS||(24,596||)||(33,277||)|
|LOSS FROM CONTINUING OPERATIONS BEFORE INCOME TAXES||(246,279||)||(177,781||)|
|LOSS FROM CONTINUING OPERATIONS||$||(251,279||)||$||(180,781||)|
|Loss from discontinued operations||(11,377||)||(20,505||)|
|Preferred stock dividends||3,750||3,750|
|NET LOSS AVAILABLE TO COMMON SHAREHOLDERS||$||(266,406||)||$||(205,036||)|
|OTHER COMPREHENSIVE LOSS NET OF TAX:|
|Unrealized gain from available for sale securities||$||-||$||1,063|
|(Loss) per share from continuing operations:|
|(Loss) per share from discontinued operations:|
|Net (loss) per share available to common shareholders:|
|Basic weighted average number of shares outstanding||25,201,853||21,732,192|
|Fully diuted weighted average number of shares outstanding||26,837,103||23,367,442|
|See notes to these consolidated financial statements included in the Company’s Form 10-Q|
|JANEL WORLD TRADE LTD. AND SUBSIDIARIES|
|CONSOLIDATED BALANCE SHEETS|
|December 31, 2013||September 30, 2013|
|Cash and cash equivalents||$||519,280||$||625,584|
|Accounts receivable, net of allowance for doubtful accounts of $384,102 and $394,294, respectively||4,667,189||3,615,302|
|Loans receivable - other||43,134||42,276|
|Prepaid expenses and sundry current assets||98,148||74,871|
|Assets of discontinued operations||40,910||305,454|
|TOTAL CURRENT ASSETS||5,368,661||4,663,487|
|PROPERTY AND EQUIPMENT, NET||18,150||21,922|
|TOTAL OTHER ASSETS||60,724||60,724|
|LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIENCY)|
|Note payable - bank||$||1,275,336||$||1,431,336|
|Accounts payable - trade||3,483,000||3,031,135|
|Accrued expenses and other current liabilities||282,766||311,369|
|Liabilities of discontinued operations||36,039||72,985|
|TOTAL CURRENT LIABILITIES||5,077,141||4,846,825|