VERO BEACH, Fla., March 1, 2002 (PRIMEZONE) -- Calton, Inc. (AMEX:CN) announced today results for the fourth quarter and fiscal year ended November 30, 2001.
Fourth Quarter Results
For the quarter ended November 30, 2001, the Company reported a net loss of $1.4 million ($.31 per basic and diluted share) compared to a net loss of $2.8 million ($.65 per basic and diluted share) for the quarter ended November 30, 2000. The Company reported a $990,000 loss on securities in fourth quarter of fiscal 2000 with no similar charge in fiscal 2001. Revenues of $1.0 million were earned in the fourth quarter of 2001 compared to $1.3 million in the same period last year.
Fiscal 2001 Performance
For the fiscal year ended November 30, 2001, the Company announced a net loss of $5.0 million ($1.17 per basic and diluted share) compared to a net loss of $5.9 million ($1.38 per basic and diluted share) for the fiscal year ended November 30, 2000.
Revenues increased approximately 50% from $3.5 million in fiscal 2000 to $5.3 million in fiscal 2001. The increase is primarily attributable to a full year of operations for the technical staffing division, which commenced operations in July 2000. Loss from continuing operations was $5.0 million ($1.17 per basic and diluted share) in fiscal 2001 compared to a loss of $5.2 million ($1.21 per basic and diluted share) in fiscal 2000.
The Company's cash balance at November 30, 2001 was $7.2 million, compared to $32.2 million at November 30, 2000. The majority of the reduction in cash was due to the $22,375,000 special dividend payment made to shareholders in July 2001. Calton, Inc. has no outstanding debt.
Comments from Management
Anthony J. Caldarone, Chairman, President and Chief Executive Officer, states, "During fiscal year 2001, the economic environment in the industries in which our subsidiaries operate declined dramatically. As a result, management decided that the shareholders' best interests would be met by declaring a special dividend of $5.00 per share. At $5.00 per share, the dividend paid was in excess of the trading value of the Company's stock at the time of distribution. In addition, because the dividend represented a return of capital, our shareholders received advantageous tax treatment.
"We continue to analyze potential merger and acquisition opportunities in an effort to enhance shareholder value. We are actively seeking mature private companies with seasoned management that could benefit by merging with a public entity, as well as capitalizing on our existing tax loss benefits."
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, 2001.
Fiscal Year: Fiscal Year Ended November 30,
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2001 2000
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Revenues $ 5,299,000 $ 3,534,000
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Loss from continuing operations (5,039,000) (5,158,000)
Loss from discontinued operations -- (84,000)
Loss on sale of Calton Homes, Inc. -- (654,000)
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Net loss $(5,039,000) $(5,896,000)
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Loss per share
Basic:
Loss from continuing operations $ (1.17) $ (1.21)
Loss from discontinued operations -- (0.02)
Loss from sale of Calton Homes, Inc. -- (0.15)
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Net Loss $ (1.17) $ (1.38)
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Diluted:
Loss from continuing operations $ (1.17) $ (1.21)
Loss from discontinued operations -- (0.02)
Loss from sale of Calton Homes, Inc. -- (0.15)
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Net Loss $ (1.17) $ (1.38)
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Weighted average number
of shares outstanding
Basic 4,292,000 4,276,000
Diluted 4,292,000 4,276,000
4th Quarter: Three Months Ended November 30,
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2001 2000
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Revenues $ 1,017,000 $ 1,261,000
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Loss from continuing operations (1,351,000) (2,068,000)
Loss from discontinued operations -- (84,000)
Loss on sale of Calton Homes, Inc. -- (654,000)
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Net loss $(1,351,000) $(2,806,000)
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Loss per share
Basic:
Loss from continuing operations $ (0.31) $ (0.48)
Loss from discontinued operations -- (0.02)
Loss from sale of Calton Homes, Inc. -- (0.15)
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Net Loss $ (0.31) $ (0.65)
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Diluted:
Loss from continuing operations $ (0.31) $ (0.48)
Loss from discontinued operations -- (0.02)
Loss from sale of Calton Homes, Inc. -- (0.15)
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Net Loss $ (0.31) $ (0.65)
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Weighted average number
of shares outstanding
Basic 4,292,000 4,290,000
Diluted 4,292,000 4,290,000