x |
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) |
¨ |
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) |
OF THE SECURITIES EXCHANGE ACT OF 1934. |
| Delaware (State or Other
Jurisdiction of Incorporation or Organization) |
74-3032373 (I.R.S. Employer
Identification No.) | |
| 6600 Wall Street, Mobile, Alabama (Address of Principal Executive Offices) |
36695 (Zip Code)
|
| PART I. FINANCIAL INFORMATION |
||||
| Item 1. |
Financial Statements |
|||
| 3 | ||||
| 4 | ||||
| 5 | ||||
| 6 | ||||
| Item 2. |
10 | |||
| Item 3. |
14 | |||
| PART II. OTHER INFORMATION |
||||
| Item 1. |
15 | |||
| Item 2. |
15 | |||
| Item 3. |
15 | |||
| Item 4. |
15 | |||
| Item 5. |
16 | |||
| Item 6. |
16 | |||
| June 30, 2002 |
December 31, 2001 |
|||||||
| Assets |
||||||||
| Current assets: |
||||||||
| Cash and cash equivalents |
$ |
6,370,444 |
|
$ |
2,018,643 |
| ||
| Accounts receivable, net of allowance for doubtful accounts of $631,000 and $532,000, respectively |
|
10,111,305 |
|
|
8,107,467 |
| ||
| Financing receivables, current portion |
|
908,638 |
|
|
769,423 |
| ||
| Inventories |
|
1,446,375 |
|
|
1,126,353 |
| ||
| Deferred tax assets |
|
950,129 |
|
|
|
| ||
| Prepaid expenses |
|
428,573 |
|
|
196,276 |
| ||
| |
|
|
|
|
| |||
| Total current assets |
|
20,215,464 |
|
|
12,218,162 |
| ||
| Property and equipment |
||||||||
| Land |
|
936,026 |
|
|
936,026 |
| ||
| Maintenance equipment |
|
2,352,516 |
|
|
2,114,224 |
| ||
| Computer equipment |
|
3,372,693 |
|
|
2,906,476 |
| ||
| Office furniture and equipment |
|
843,266 |
|
|
793,576 |
| ||
| Automobiles |
|
89,934 |
|
|
89,934 |
| ||
| |
|
|
|
|
| |||
| |
7,594,435 |
|
|
6,840,236 |
| |||
| Less accumulated depreciation |
|
(3,322,049 |
) |
|
(2,805,709 |
) | ||
| |
|
|
|
|
| |||
| Net property and equipment |
|
4,272,386 |
|
|
4,034,527 |
| ||
| Financing receivables |
|
852,018 |
|
|
998,797 |
| ||
| |
|
|
|
|
| |||
| Total assets |
$ |
25,339,868 |
|
$ |
17,251,486 |
| ||
| |
|
|
|
|
| |||
| Liabilities and Stockholders Equity |
||||||||
| Current liabilities: |
||||||||
| Current portion of note payable |
$ |
|
|
$ |
86,185 |
| ||
| Accounts payable |
|
1,043,780 |
|
|
1,033,349 |
| ||
| Deferred revenue |
|
1,996,037 |
|
|
1,601,130 |
| ||
| Sales, income and use taxes payable |
|
1,887,079 |
|
|
1,879,939 |
| ||
| Accrued vacation |
|
1,254,149 |
|
|
1,075,450 |
| ||
| Accrued stockholders distribution |
|
1,250,000 |
|
|
|
| ||
| Other accrued liabilities |
|
724,290 |
|
|
875,339 |
| ||
| Income taxes payable |
|
376,020 |
|
|
|
| ||
| |
|
|
|
|
| |||
| Total current liabilities |
|
8,531,355 |
|
|
6,551,392 |
| ||
| Note payable |
|
|
|
|
663,712 |
| ||
| Stockholders equity: |
||||||||
| Common stock, par value $0.001 per share; 30,000,000 shares authorized; 10,488,000 and 9,288,000 shares issued and
outstanding, respectively |
|
10,488 |
|
|
9,288 |
| ||
| Additional paid-in capital |
|
17,543,552 |
|
|
109,811 |
| ||
| Deferred compensation |
|
(250,942 |
) |
|
|
| ||
| Retained earnings (deficit) |
|
(494,585 |
) |
|
9,917,283 |
| ||
| |
|
|
|
|
| |||
| Total stockholders equity |
|
16,808,513 |
|
|
10,036,382 |
| ||
| |
|
|
|
|
| |||
| Total liabilities and stockholders equity |
$ |
25,339,868 |
|
$ |
17,251,486 |
| ||
| |
|
|
|
|
| |||
| Three months ended June 30 |
Six months ended June 30 |
|||||||||||||||
| 2002 |
2001 |
2002 |
2001 |
|||||||||||||
| Sales revenues: |
||||||||||||||||
| System sales |
$ |
8,914,120 |
|
$ |
7,027,524 |
|
$ |
17,714,352 |
|
$ |
13,794,161 |
| ||||
| Support and maintenance |
|
7,377,216 |
|
|
6,272,661 |
|
|
14,467,144 |
|
|
12,280,713 |
| ||||
| Outsourcing |
|
1,220,108 |
|
|
832,817 |
|
|
2,250,655 |
|
|
1,587,384 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| Total sales revenue |
|
17,511,444 |
|
|
14,133,002 |
|
|
34,432,151 |
|
|
27,662,258 |
| ||||
| Costs of sales: |
||||||||||||||||
| System sales |
|
6,313,630 |
|
|
5,435,651 |
|
|
12,360,414 |
|
|
10,488,037 |
| ||||
| Support and maintenance |
|
3,275,248 |
|
|
2,842,777 |
|
|
6,506,160 |
|
|
5,536,642 |
| ||||
| Outsourcing |
|
723,977 |
|
|
455,551 |
|
|
1,347,699 |
|
|
880,641 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| Total costs of sales |
|
10,312,855 |
|
|
8,733,979 |
|
|
20,214,273 |
|
|
16,905,320 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| Gross profit |
|
7,198,589 |
|
|
5,399,023 |
|
|
14,217,878 |
|
|
10,756,938 |
| ||||
| Operating expenses: |
||||||||||||||||
| Sales and marketing |
|
1,326,909 |
|
|
1,146,944 |
|
|
2,672,894 |
|
|
2,530,273 |
| ||||
| General and administrative |
|
3,108,938 |
|
|
2,342,601 |
|
|
5,983,647 |
|
|
4,590,403 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| Total operating expenses |
|
4,435,847 |
|
|
3,489,545 |
|
|
8,656,541 |
|
|
7,120,676 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| Operating income |
|
2,762,742 |
|
|
1,909,478 |
|
|
5,561,337 |
|
|
3,636,262 |
| ||||
| Other income (expense): |
||||||||||||||||
| Interest income |
|
51,338 |
|
|
31,514 |
|
|
93,867 |
|
|
55,394 |
| ||||
| Miscellaneous income |
|
63,438 |
|
|
19,111 |
|
|
108,488 |
|
|
28,313 |
| ||||
| Interest expense |
|
(9,334 |
) |
|
(29,493 |
) |
|
(23,677 |
) |
|
(45,381 |
) | ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| Total other income |
|
105,442 |
|
|
21,132 |
|
|
178,678 |
|
|
38,326 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| Income before taxes |
$ |
2,868,184 |
|
$ |
1,930,610 |
|
$ |
5,740,015 |
|
$ |
3,674,588 |
| ||||
| Income taxes |
|
486,147 |
|
|
|
|
|
486,147 |
|
|
|
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| Net income |
$ |
2,382,037 |
|
$ |
1,930,610 |
|
$ |
5,253,868 |
|
$ |
3,674,588 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| Net income per sharebasic |
$ |
0.24 |
|
$ |
0.21 |
|
$ |
0.55 |
|
$ |
0.40 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| Net income per sharediluted |
$ |
0.24 |
|
$ |
0.21 |
|
$ |
0.55 |
|
$ |
0.40 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| Weighted average shares outstanding |
||||||||||||||||
| Basic |
|
9,815,473 |
|
|
9,288,000 |
|
|
9,553,193 |
|
|
9,288,000 |
| ||||
| Diluted |
|
9,829,027 |
|
|
9,288,000 |
|
|
|||||||||