Date: May 10, 2006
Source: Business Wire
Net income of $416,526
EPS of $0.12 per diluted share
Industrial Services of America, Inc. (NASDAQ:IDSA), a leading provider of logistics management services, equipment and processes for waste, recyclable commodities and other materials, announced un-audited financial results for the first quarter ending March 31, 2006. Financial results for the first quarter ending March 31, 2006 as previously reported in preliminary press release dated April 24, 2006 have not changed. A complete report is available in the Company's Form 10-Q, which is available for review at the Securities and Exchange Commission web site, www.sec.gov/edgar/searchedgar/companysearch.html
Financial Highlights:
Total revenues for the first quarter of 2006 were $14.5 million compared with total revenues for the first quarter year of 2005 of $29.7 million due to the reduction in management fee revenues.
Income before income taxes for the first quarter of 2006 was $694,211 compared to $248,482 for the first quarter of 2005.
Net income for the first quarter of 2006 was $416,526 (basic and diluted earnings of 12 cents per share) compared with net income of $149,088 (basic and diluted earnings of 4 cents per share) for the first quarter of 2005.
EBITDA for the first quarter of 2006 was $1,152,894 compared with EBITDA of $698,318 for the first quarter of 2005.
Industrial Services of America, Inc. Management's Comments
With the release of our earnings for the first quarter of 2006, we are pleased to announce that we have now recorded twelve consecutive profitable quarters. This sustained profitability continues to place us in a stronger financial position, allowing for greater flexibility to adjust to changing economic market conditions. Our goal is to remain dedicated to the recycling, management services, and equipment industry while sustaining steady growth at an acceptable profit, adding to the net worth of the Company, and providing positive returns for our stockholders.
We are benefiting from the nonferrous and ferrous markets in the United States and abroad as our recycling segment continued to maintain its momentum this past quarter. The momentum has continued into the second quarter and we expect this momentum to continue throughout the year. The reduction in management fee revenues is due to the loss of a customer, referenced in 8-K dated September 16, 2005. Income before income taxes for the first quarter of 2006 of $694,211 and the net income for the first quarter of 2006 of $416,526 are primarily due to the recycling segment.
Our Computerized Waste Services Department and our Waste Equipment Sales and Service Department continue to work closely together to provide waste equipment and management services in a more efficient manner to our customers. Certain efficiencies which have resulted from this combined effort have helped us lower our operating expenses without sacrificing our capacity to take on new business.
We have entered into a settlement agreement on a litigation matter with Andrew M. Lassak in which we have agreed to grant Mr. Lassak an option to purchase 40,000 shares of common stock at $1.25 per share with registration rights. For further information, please see the Company's Form 10-Q, which is available for review at the Securities and Exchange Commission web site, www.sec.gov/edgar/searchedgar/companysearch.html.
More information: www.isa-inc.com.
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