Date: May 11, 2011
Source: Avalon Holdings Corporation
Avalon Holdings Corporation (NYSE Amex: AWX) today announced financial results for the first quarter of 2011.
Net operating revenues increased to $9.9 million in the first quarter of 2011 compared with $8.3 million in the first quarter of 2010. The Company incurred a net loss of $.3 million in the first quarter of 2011 or $.09 per share compared with a net loss of $.6 million or $.15 per share for the first quarter of 2010.
Avalon Holdings Corporation provides waste management services to industrial, commercial, municipal and governmental customers in selected northeastern and midwestern U.S. markets. Avalon Holdings Corporation also owns the Avalon Golf and Country Club, which operates golf courses and related facilities.
| AVALON HOLDINGS CORPORATION AND SUBSIDIARIES | ||||||||
| Condensed Consolidated Statements of Operations (Unaudited) | ||||||||
| (in thousands, except per share amounts) | ||||||||
| Three Months Ended March 31, |
||||||||
| 2011 | 2010 | |||||||
| Net operating revenues | $ | 9,894 | $ | 8,330 | ||||
| Costs and expenses: | ||||||||
| Costs of operations | 8,235 | 6,985 | ||||||
| Depreciation and amortization | 419 | 420 | ||||||
| Selling, general and administrative expenses | 1,632 | 1,568 | ||||||
| Loss from operations | (392 | ) | (643 | ) | ||||
| Other income (expense): | ||||||||
| Interest expense | (3 | ) | (3 | ) | ||||
| Interest income | 2 | 8 | ||||||
| Other income, net | 66 | 55 | ||||||
| Loss before income taxes | (327 | ) | (583 | ) | ||||
| Provision for income taxes | 13 | 1 | ||||||
| Net loss | $ | (340 | ) | $ | (584 | ) | ||
| Basic and dilutive net loss per share | $ | (.09 | ) | $ | (.15 | ) | ||
| Weighted average shares outstanding | 3,803 | 3,803 | ||||||
| AVALON HOLDINGS CORPORATION AND SUBSIDIARIES | ||||||||
| Condensed Consolidated Balance Sheets | ||||||||
| (in thousands, except per share amounts) | ||||||||
| March 31, 2011 |
December 31, 2010 |
|||||||
| (Unaudited) | ||||||||
| Assets: | ||||||||
| Current Assets: | ||||||||
| Cash and cash equivalents | $ | 6,059 | $ | 5,565 | ||||
| Accounts receivable, net | 7,882 | 8,202 | ||||||
| Prepaid expenses | 287 | 341 | ||||||
| Refundable income taxes | 14 | 14 | ||||||
| Other current assets | 694 | 600 | ||||||
| Total current assets | 14,936 | 14,722 | ||||||
| Property and equipment, less accumulated depreciation and amortization of $10,496 in 2011 and $10,223 in 2010 |
27,086 | 27,265 | ||||||
| Leased property under capital leases, less accumulated depreciation and amortization of $2,262 in 2011 and $2,167 in 2010 |
5,256 | 5,314 | ||||||
| Noncurrent deferred tax asset | 8 | 8 | ||||||
| Other assets, net | 28 | 28 | ||||||
| Total assets | $ | 47,314 | $ | 47,337 | ||||
| Liabilities and Shareholders’ Equity | ||||||||
| Current Liabilities: | ||||||||
| Current portion of obligations under capital leases | $ | 1 | $ | 1 | ||||
| Accounts payable | 5,141 | 5,173 | ||||||
| Accrued payroll and other compensation | 491 | 383 | ||||||
| Accrued income taxes | 5 | — | ||||||
| Other accrued taxes | 213 | 269 | ||||||
| Deferred revenues | 2,206 | 1,988 | ||||||
| Other liabilities and accrued expenses | 351 | 318 | ||||||
| Total current liabilities | 8,408 | 8,132 | ||||||
| Obligations under capital leases | 228 | 228 | ||||||
| Shareholders’ Equity: | ||||||||
| Class A Common Stock, $.01 par value | 32 | 32 | ||||||
| Class B Common Stock, $.01 par value | 6 | 6 | ||||||
| Paid-in capital | 58,257 | 58,216 | ||||||
| Accumulated deficit | (19,617 | ) | (19,277 | ) | ||||
| Total shareholders’ equity | 38,678 | 38,977 | ||||||
| Total liabilities and shareholders’ equity | $ | 47,314 | $ | 47,337 | ||||
| AVALON HOLDINGS CORPORATION AND SUBSIDIARIES | ||||||||
| Condensed Consolidated Statements of Cash Flows (Unaudited) | ||||||||
| (in thousands) | ||||||||
| Three Months Ended March 31, |
||||||||
| 2011 | 2010 | |||||||
| Operating activities: | ||||||||
| Net loss | $ | (340 | ) | $ | (584 | ) | ||
| Reconciliation of net loss to cash provided by (used in) operating activities: |
||||||||
| Depreciation and amortization | 419 | 420 | ||||||
| Compensation costs – stock options | 41 | 22 | ||||||
| Provision for losses on accounts receivable | 3 | 1 | ||||||
| Change in operating assets and liabilities: | ||||||||
| Accounts receivable | 317 | 996 | ||||||
| Prepaid expenses | 54 | (37 | ) | |||||
| Other current assets | (94 | ) | (20 | ) | ||||
| Other assets | — | (1 | ) | |||||
| Accounts payable | (32 | ) | (1,245 | ) | ||||
| Accrued payroll and other compensation | 108 | (139 | ) | |||||
| Accrued income taxes | 5 | — | ||||||
| Other accrued taxes | (56 | ) | (67 | ) | ||||
| Deferred revenues | 218 | 251 | ||||||
| Other liabilities and accrued expenses | 33 | 91 | ||||||
| Net cash provided by (used in) operating activities | 676 | (312 | ) | |||||
| Investing activities: | ||||||||
| Capital expenditures | (182 | ) | (105 | ) | ||||
| Net cash used in investing activities | (182 | ) | (105 | ) | ||||
| Increase (decrease) in cash and cash equivalents | 494 | (417 | ) | |||||
| Cash and cash equivalents at beginning of year | 5,565 | 5,862 | ||||||
| Cash and cash equivalents at end of period | $ | 6,059 | $ | 5,445 | ||||
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