WARREN, Ohio, March 20 /PRNewswire-FirstCall/ -- Avalon Holdings Corporation today announced financial results for the fourth quarter of 2005.
Net operating revenues were $8.5 million in the fourth quarter of 2005 compared with $8.1 million in the fourth quarter of the prior year. The Company recorded income from continuing operations of $.2 million, or $.06 per share in the fourth quarter of 2005 compared with income from continuing operations of $.1 million, or $.04 per share for the prior year period. Including the results from discontinued operations, the Company recorded net income of $.3 million, or $.09 per share in the fourth quarter of 2005 compared with a net loss of $.2 million, or $.04 per share in the fourth quarter of the prior year.
For the full year of 2005, net operating revenues were $34.2 million compared with $30.0 million for the prior year period. The Company recorded income from continuing operations of $.5 million, or $.14 per share for the full year of 2005 compared with a loss from continuing operations of $.8 million, or $.22 per share for the prior year period. Including the results from discontinued operations, the Company recorded net income $.4 million for the full year of 2005, or $.10 per share compared with a net loss of $2.7 million, or $.70 per share for the prior year period.
In addition, Ronald E. Klingle, Chairman of the Board of Avalon Holdings Corporation, announced that Frank Lamanna, Chief Financial Officer and Treasurer, will be resigning to pursue a new professional opportunity. Mr. Lamanna's resignation will take effect March 24, 2006. The Board of Directors has appointed Timothy C. Coxson as interim Chief Financial Officer and Treasurer. Mr. Coxson had been the Chief Financial Officer and Treasurer of Avalon Holdings Corporation from 1998 to 2004 and has been the Director of Corporate Services since 2004. The Company plans to commence a search for a permanent Chief Financial Officer and Treasurer immediately.
Avalon Holdings Corporation provides waste management services to industrial, commercial, municipal and governmental customers. Avalon Holdings Corporation also owns the Avalon Golf and Country Club, which operates two golf courses and related facilities.
AVALON HOLDINGS CORPORATION
Condensed Consolidated Statements of Operations
(in thousands, except for per share amounts)
Three Months Ended Twelve Months Ended
December 31, December 31,
2005 2004 2005 2004
Net operating revenues $8,471 $8,053 $34,157 $30,002
Costs and expenses:
Costs of operations 7,128 6,697 28,532 24,840
Selling, general and
administrative expenses 1,261 1,324 5,577 6,377
Operating income (loss)
from continuing operations 82 32 48 (1,215)
Interest expense (4) (4) (14) (15)
Interest income 114 56 344 195
Other income, net 39 29 176 190
Income (loss) from continuing
operations before income taxes 231 113 554 (845)
Income tax provision (benefit) 13 - 13 -
Income (loss) from
continuing operations 218 113 541 (845)
Income (loss) from discontinued
operations (net of tax) 115 (282) (151) (1,810)
Net income (loss) $333 $(169) $390 $(2,655)
Income (loss) per share
from continuing operations $.06 $.04 $.14 $(.22)
Income (loss) per share from
discontinued operations $.03 $(.08) $(.04) $(.48)
Net income (loss) per share $.09 $(.04) $.10 $(.70)
Weighted average shares
outstanding 3,803 3,803 3,803 3,803
AVALON HOLDINGS CORPORATION AND SUBSIDIARIES
Condensed Consolidated Balance Sheets
(in thousands)
December 31,
2005 2004
Assets
Current Assets:
Cash and cash equivalents $7,759 $7,861
Short-term investments 4,433 1,598
Accounts receivable, net 5,639 5,299
Prepaid expenses 220 255
Other current assets 255 226
Current assets - discontinued operations 29 1,632
Total current assets 18,335 16,871
Property and equipment, net 17,571 17,774
Leased property under capital leases, net 5,740 5,519
Other assets, net 61 880
Noncurrent assets - discontinued operations 1,881 2,496
Total assets $43,588 $43,540
Liabilities and Shareholders' Equity
Current Liabilities:
Current portion of obligations
under capital leases $1 $1
Accounts payable 3,837 3,797
Accrued payroll and other compensation 469 457
Accrued income taxes 145 183
Other accrued taxes 239 210
Other liabilities and accrued expenses 1,623 1,629
Current liabilities -
discontinued operations 391 749
Total current liabilities 6,705 7,026
Other noncurrent liabilities 9 21
Obligations under capital leases 233 234
Total shareholders' equity 36,641 36,259
Total liabilities and
shareholders' equity $43,588 $43,540
