VERO BEACH, Fla., July 12, 2001, (PRIMEZONE) -- Calton, Inc. (AMEX:CN), announced today the final dollar amount of the liquidating dividend and results of operations for the second quarter and first half of fiscal 2001.
On May 31, 2001, the Company announced that its Board of Directors had authorized a special dividend of $5.00 per share, payable on July 5, 2001, to shareholders of record on June 20, 2001. At that time, the Company had indicated that the dividend would total approximately $21 million. Between May 31, 2001 and the record date of June 20, 2001, certain option holders exercised their options to acquire approximately 312,000 shares of Calton common stock, generating proceeds of approximately $1,225,000 for the Company. As a result of the exercise of these options, the total dividend on July 5, 2001 approximated $22.4 million. This dividend will reduce the Company's capacity for acquisitions, in terms of both the number of acquisitions the Company will be able to make, and the size of those acquisitions.
Anthony J. Caldarone, Chairman, President and Chief Executive Officer, announced a net loss of $1,335,000 ($.32 per basic and diluted share) for the three months ended May 31, 2001 compared to a net loss of $678,000 ($.16 per basic and diluted share) for the three months ended May 31, 2000. Mr. Caldarone also announced a net loss of $2,205,000 ($.53 per basic and diluted share) for the six months ended May 31, 2001 compared to a net loss of $1,741,000 ($.40 per basic and diluted share) for the six months ended May 31, 2000. Included in the loss for the six months ended May 31, 2000 is a $508,000 loss recognized on the sale of securities.
Revenues for the three and six months ended May 31, 2001 were $1,438,000 and $2,954,000, respectively, as compared to $655,000 and $1,209,000 for the three and six months ended May 31, 2000. Revenues in 2001 increased when compared to 2000 due to the eCalton technical staffing division, which is reporting revenues of $893,000 and $1,547,000 for the three and six months ended May 31, 2001. The Company did not operate this division until July 2000 and, accordingly, reported no revenues in the prior year.
Selling, general and administrative costs for the three months ended May 31, 2001 and May 31, 2000 were $2,406,000 and $1,618,000, respectively. Selling, general and administrative costs for the six months ended May 31, 2001 and May 31, 2000 were $4,752,000 and $3,111,000, respectively. The increase in 2001 for both the quarter and six months is primarily from increased personnel and business activities at PrivilegeONE, the operations of IGP that did not exist until June of 2000, increased professional fees, and a provision for uncollectible receivables in 2001.
Quarter ended
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May 31, 2001 May 31, 2000
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Revenue $ 1,438,000 $ 655,000
Net loss $(1,335,000) $ (678,000)
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Basic and diluted
loss per share $ (0.32) $ (0.16)
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Weighted average number of
shares outstanding
Basic and diluted 4,157,000 4,328,000
Six Months Ended
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May 31, 2001 May 31, 2000
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Revenue $ 2,954,000 $ 1,209,000
Net loss $(2,205,000) $(1,741,000)
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Basic and diluted
loss per share $ (0.53) $ (0.40)
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Weighted average number of
shares outstanding
Basic and diluted 4,147,000 4,317,000
Certain information included in this press release and Company filings (collectively, "SEC filings") under the Securities Act of 1933, as amended, and the Securities Exchange Act of 1934, as amended (as well as information communicated orally or in writing between the dates of such SEC filings) contains or may contain forward looking information that is subject to certain risks, trends and uncertainties that could cause actual results to differ materially from expected results. Among these risks, trends and uncertainties are matters related to the indemnification provisions in connection with the Company's sale of Calton Homes, Inc., national and local economic conditions, the lack of an established operating history for the Company's current business activities, conditions and trends in the Internet and technology industries in general, the effect of governmental regulation on the Company and the risks described under the caption "Certain Risks" in the Company's Annual Report on Form 10-K for the fiscal year ended November 30, 2000.