NEW YORK, Nov. 15, 2005 (PRIMEZONE) -- Pacific CMA Inc. (AMEX:PAM), an integrated provider of global freight forwarding/logistics focused on the growing China and Asian trade, today reported its financial results for the third quarter, ended September 30, 2005.
Third Quarter Highlights:
-- Revenue was $33.95 million, up 14% from the same quarter a year ago -- EBITDA soared 69% to $1.03 million from the same quarter a year ago -- Initiated a share buyback program
Total revenue for the quarter increased 14% to $33.95 million compared to $29.85 million in the third quarter a year ago. Net income for the third quarter of 2005 was $141,225 or $0.01 per fully diluted share, compared to a net income of $195,241 or $0.01 per fully diluted share in the same quarter a year ago. Third quarter profits were negatively impacted by a non-cash item of $230,670 resulting from the financing transaction announced on August 4, 2005. EBITDA(a) for the third quarter of 2005 increased 69% to $1.03 million, or $0.04 per diluted share compared to $609,444, or $0.02 per diluted share for the same period in 2004.
Revenue for the first nine-month period of 2005 totaled $88.60 million, an increase of 31% compared to $67.87 million for the same period of 2004. Net income for the nine-month period of 2005 was $521,546 or $0.02 per fully diluted share, versus $131,783 or $0.01 per fully diluted share in the same nine-month period a year ago. EBITDA for the first nine months of 2005 increased 93% to $2.24 million, or $0.09 per diluted share compared to $1.16 million, or $0.04 per diluted share for the comparable period in 2004.
"I am pleased with our results this quarter," commented Pacific CMA's Chairman and CEO Alfred Lam. We continue to deliver robust top line growth and are focused on further improving cost management and our bottom line. We are capitalizing on the strong growth prospects for manufacturing trade in China and the rest of Asia and leveraging our customized services to drive expansion."
Scott Turner, President of Pacific CMA, said, "The Company's continued progress comes from our proven business model, a strong sales organization, experienced management and our unwavering commitment to our customers. We aggressively manage all facets of the business while identifying opportunities to increase margins."
Mr. Lam added, "We believe the strength demonstrated by our third quarter results will continue and expect that we will meet or exceed our 2005 projected revenue increase of 25%."
In conjunction with the press release, Pacific CMA will host a conference call to discuss results at 10:30 AM (ET) today. Interested parties may participate in the conference call by dialing 800-792-0846 (US/Canada) or 706-634-1485 (International) and entering conference ID No. 1876890, five minutes prior to the initiation of the call. A replay of the conference call will be available from 1:30 PM (ET) on November 15, through November 22, by dialing 800-642-1687 (US/Canada) or 706-645-9291 (International) and entering conference ID No. 1876890. A Web cast of the conference call will be available on the Pacific CMA Web site at: www.pacificcma.com
About Pacific CMA
Pacific CMA is an international, non-asset based supply chain management company, providing air and ocean freight forwarding, contract logistics, and other logistics-related services. The Company's large and diverse global and local customers operate in industries with unique supply chain requirements, such as the apparel and technology industries. Its AGI Logistics (HK) Ltd. operating unit is based in Hong Kong and focuses on integrated logistics, freight forwarding and warehousing services in the Far East region and Mainland China. Its Airgate International operating unit, founded in 1995, is based in New York and primarily handles import air and ocean shipments from the Far East and Southwest Asia to the United States. The newest division, Paradigm Global Logistics, is located in Los Angeles. For more information, please refer to the Company's Web site: www.pacificcma.com.
This press release may contain statements which constitute forward looking statements within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and the Private Securities Litigation Reform Act of 1995, including statements regarding the intent, belief or current expectations of the Company, its directors, or its officers with respect to the future operating performance of the Company. These forward-looking statements are typically identified by words or phrases such as "believe," "expect," "anticipate," "plan," "estimate," "approximately," "intend," and other similar words and expressions, or future or conditional verbs such as "should," "would," "could," and "may." In addition, the Company may from time to time make such written or oral "forward-looking statements" in filings with the Securities and Exchange Commission (including exhibits thereto), in its reports to shareholders, and in other communications made by or with the approval of the Company. Investors are cautioned that any such forward looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those in the forward looking statements as a result of various factors. Important factors that could cause such differences are described in the Company's periodic filings with the Securities and Exchange Commission.
(a)The Company uses EBITDA (earnings before net interest, income taxes, depreciation and amortization) as part of its overall assessment of financial performance by comparing EBITDA between accounting periods. Pacific CMA believes that EBITDA is used by the financial community as a method of measuring the Company's performance and of evaluating the market value of companies considered to be in similar businesses. EBITDA should not be considered as an alternative to net income or cash provided by operating activities, as defined by accounting principles generally accepted in the United States ("GAAP").