Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Jun. 28, 2020 | Aug. 03, 2020 | |
Details | ||
Registrant Name | PARKS AMERICA, INC | |
Registrant CIK | 0001297937 | |
Fiscal Year End | --09-30 | |
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 28, 2020 | |
Document Transition Report | false | |
Entity File Number | 000-51254 | |
Entity Incorporation, State or Country Code | NV | |
Entity Tax Identification Number | 91-0626756 | |
Entity Address, Address Line One | 1300 Oak Grove Road | |
Entity Address, City or Town | Pine Mountain | |
Entity Address, State or Province | GA | |
Entity Address, Postal Zip Code | 31822 | |
Entity Address, Address Description | Address of principal executive offices | |
Phone Fax Number Description | Issuer's telephone Number | |
City Area Code | 706 | |
Local Phone Number | 663-8744 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 75,021,537 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q3 |
Consolidated Balance Sheets (un
Consolidated Balance Sheets (unaudited) - USD ($) | Jun. 28, 2020 | Sep. 29, 2019 |
ASSETS | ||
Cash | $ 3,731,533 | $ 3,787,815 |
Inventory | 203,721 | 195,201 |
Prepaid expenses | 162,925 | 147,529 |
Total current assets | 4,098,179 | 4,130,545 |
Property and equipment, net | 13,827,671 | 6,620,405 |
Intangible assets, net | 0 | 600 |
Other assets | 12,144 | 11,786 |
Total assets | 17,937,994 | 10,763,336 |
Liabilities | ||
Accounts payable | 73,272 | 96,270 |
Other current liabilities | 855,164 | 384,160 |
Current portion of long-term debt, net | 354,425 | 204,355 |
Total current liabilities | 1,282,861 | 684,785 |
Long-term debt, net | 6,709,723 | 1,154,013 |
Total liabilities | 7,992,584 | 1,838,798 |
Stockholders' equity | ||
Common Stock, Value, Issued | 75,021 | 74,821 |
Capital in excess of par | 4,889,316 | 4,855,516 |
Treasury stock | (3,250) | (3,250) |
Retained earnings | 4,984,323 | 3,997,451 |
Total stockholders' equity | 9,945,410 | 8,924,538 |
Total liabilities and stockholders' equity | $ 17,937,994 | $ 10,763,336 |
Consolidated Balance Sheets (_2
Consolidated Balance Sheets (unaudited) - Parenthetical - $ / shares | Jun. 28, 2020 | Sep. 29, 2019 |
Details | ||
Common Stock, Shares Authorized | 300,000,000 | 300,000,000 |
Common Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 |
Common Stock, Shares, Issued | 75,021,537 | 74,821,537 |
Common Stock, Shares, Outstanding | 75,021,537 | 74,821,537 |
Consolidated Statements of Oper
Consolidated Statements of Operations (unaudited) - USD ($) shares in Thousands | 3 Months Ended | 9 Months Ended | ||
Jun. 28, 2020 | Jun. 30, 2019 | Jun. 28, 2020 | Jun. 30, 2019 | |
Details | ||||
Net sales | $ 3,203,527 | $ 2,116,149 | $ 4,917,457 | $ 4,104,657 |
Sale of animals | 16,681 | 20,312 | 41,193 | 52,525 |
Total net sales | 3,220,208 | 2,136,461 | 4,958,650 | 4,157,182 |
Cost of sales | 288,400 | 198,006 | 538,165 | 447,968 |
Selling, general and administrative | 1,032,128 | 886,002 | 2,646,973 | 2,450,050 |
Depreciation and amortization | 150,833 | 115,199 | 385,833 | 345,597 |
Tornado damage and expenses, net | 0 | 70,944 | (24,373) | 70,944 |
(Gain) loss on disposal of operating assets, net | 0 | 15,847 | 0 | 15,847 |
Income from operations | 1,748,847 | 850,463 | 1,412,052 | 826,776 |
Other income, net | 3,293 | 5,843 | 18,797 | 21,361 |
Interest expense | (64,165) | (18,811) | (99,077) | (57,632) |
Income before income taxes | 1,687,975 | 837,495 | 1,331,772 | 790,505 |
Income tax provision | 421,800 | 218,800 | 344,900 | 221,500 |
Net income | $ 1,266,175 | $ 618,695 | $ 986,872 | $ 569,005 |
Income per share - basic and diluted | $ 0.02 | $ 0.01 | $ 0.01 | $ 0.01 |
Weighted average shares outstanding (in 000's) - basic and diluted | 75,021 | 74,821 | 74,945 | 74,782 |
Consolidated Statements Changes
Consolidated Statements Changes in Stockholders' Equity (unaudited) - USD ($) | Common Stock | Additional Paid-in Capital | Treasury Stock | Retained Earnings | Total |
Stockholders' Equity at Sep. 30, 2018 | $ 74,721 | $ 4,837,116 | $ (3,250) | $ 2,900,913 | $ 7,809,500 |
Shares Outstanding at Sep. 30, 2018 | 74,721,537 | ||||
Net Income (Loss) | $ 0 | 0 | 0 | (15,483) | (15,483) |
Stockholders' Equity at Dec. 30, 2018 | $ 74,721 | 4,837,116 | (3,250) | 2,885,430 | 7,794,017 |
Shares Outstanding at Dec. 30, 2018 | 74,721,537 | ||||
Net Income (Loss) | $ 0 | 0 | 0 | (34,207) | (34,207) |
Stockholders' Equity at Mar. 31, 2019 | $ 74,821 | 4,855,516 | (3,250) | 2,851,223 | 7,778,310 |
Shares Outstanding at Mar. 31, 2019 | 74,821,537 | ||||
Stock Issued During Period, Value, New Issues | $ 100 | 18,400 | 0 | 0 | 18,500 |
Stock Issued During Period, Shares, New Issues | 100,000 | ||||
Net Income (Loss) | $ 0 | 0 | 0 | 618,695 | 618,695 |
Stockholders' Equity at Jun. 30, 2019 | $ 74,821 | 4,855,516 | (3,250) | 3,469,918 | 8,397,005 |
Shares Outstanding at Jun. 30, 2019 | 74,821,537 | ||||
Stockholders' Equity at Sep. 29, 2019 | $ 74,821 | 4,855,516 | (3,250) | 3,997,451 | 8,924,538 |
Shares Outstanding at Sep. 29, 2019 | 74,821,537 | ||||
Net Income (Loss) | $ 0 | 0 | 0 | (89,151) | (89,151) |
Stockholders' Equity at Dec. 29, 2019 | $ 74,821 | 4,855,516 | (3,250) | 3,908,300 | 8,835,387 |
Shares Outstanding at Dec. 29, 2019 | 74,821,537 | ||||
Net Income (Loss) | $ 0 | 0 | 0 | (190,152) | (190,152) |
Stockholders' Equity at Mar. 29, 2020 | $ 75,021 | 4,889,316 | (3,250) | 3,718,148 | 8,679,235 |
Shares Outstanding at Mar. 29, 2020 | 75,021,537 | ||||
Stock Issued During Period, Value, New Issues | $ 200 | 33,800 | 0 | 0 | 34,000 |
Stock Issued During Period, Shares, New Issues | 200,000 | ||||
Net Income (Loss) | $ 0 | 0 | 0 | 1,266,175 | 1,266,175 |
Stockholders' Equity at Jun. 28, 2020 | $ 75,021 | $ 4,889,316 | $ (3,250) | $ 4,984,323 | $ 9,945,410 |
Shares Outstanding at Jun. 28, 2020 | 75,021,537 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (unaudited) - USD ($) | 9 Months Ended | |
Jun. 28, 2020 | Jun. 30, 2019 | |
OPERATING ACTIVITIES: | ||
Net income | $ 986,872 | $ 569,005 |
Reconciliation of net income to net cash provided by operating activities: | ||
Depreciation and amortization expense | 385,833 | 345,597 |
Interest expense - debt financing cost amortization | 2,625 | 1,680 |
Interest expense - loan discount amortization | 2,997 | 0 |
Tornado damage asset write-offs | 0 | 51,721 |
(Gain) loss on disposal of operating assets, net | 0 | 15,847 |
Stock-based compensation | 34,000 | 18,500 |
Changes in assets and liabilities | ||
(Increase) decrease in inventory | 1,480 | (23,600) |
(Increase) decrease in prepaid expenses | (15,396) | 7,169 |
Increase (decrease) in accounts payable | (22,998) | (34,922) |
Increase (decrease) in other current liabilities | 432,004 | 197,151 |
Net cash provided by operating activities | 1,807,417 | 1,148,148 |
INVESTING ACTIVITIES: | ||
Acquisition of property and equipment | (461,465) | (432,501) |
Acquisition of Aggieland Safari | (6,373,500) | 0 |
Proceeds from the disposition of property and equipment | 0 | 3,324 |
Net cash used in investing activities | (6,834,965) | (429,177) |
FINANCING ACTIVITIES: | ||
Payments on 2018 Term Loan | (154,446) | (147,030) |
Proceeds from 2020 Term Loan | 5,000,000 | 0 |
Proceeds from Paycheck Protection Program Loans | 188,087 | 0 |
Debt financing costs | (62,375) | 0 |
Net cash provided by (used in) financing activities | 4,971,266 | (147,030) |
Net increase (decrease) in cash | (56,282) | 571,941 |
Cash at beginning of period | 3,787,815 | 2,674,260 |
Cash at end of period | 3,731,533 | 3,246,201 |
Supplemental Cash Flow Information: | ||
Cash paid for interest | 92,352 | 56,570 |
Cash paid for income taxes | 124,000 | 282,900 |
Non-Cash Investing and Financing Activities: | ||
Note to Aggieland Safari Seller | $ 728,500 | $ 0 |
Note 1 - Organization
Note 1 - Organization | 9 Months Ended |
Jun. 28, 2020 | |
Notes | |
Note 1 - Organization | NOTE 1. ORGANIZATION Parks! America, Inc. (Parks! or the Company) was originally incorporated on July 30, 1954 as Painted Desert Uranium & Oil Co., Inc. in Washington State. On October 1, 2002, Painted Desert Uranium & Oil Co., Inc. changed its name to Royal Pacific Resources, Inc. and its corporate domicile to the State of Nevada. On December 19, 2003, Royal Pacific Resources, Inc. acquired the assets of Great Western Parks LLC pursuant to a Share Exchange Agreement that resulted in the Company assuming control and changing the corporate name to Great American Family Parks, Inc. The acquisition was accounted for as a reverse acquisition in which Great Western Parks was considered to be the acquirer of Royal Pacific Resources for reporting purposes. On June 11, 2008, the Company changed its name from Great American Family Parks, Inc. to Parks! America, Inc. The Company owns and operates through wholly owned subsidiaries three regional theme parks and is in the business of acquiring, developing and operating local and regional theme parks and attractions in the United States. The Companys wholly owned subsidiaries are Wild Animal Safari, Inc. a Georgia corporation (Wild Animal Georgia), Wild Animal, Inc., a Missouri corporation (Wild Animal Missouri), and Aggieland-Parks, Inc., a Texas corporation (Aggieland Wild Animal Texas). Wild Animal Georgia owns and operates the Wild Animal Safari theme park in Pine Mountain, Georgia (the Georgia Park). Wild Animal Missouri owns and operates the Wild Animal Safari theme park located in Strafford, Missouri (the Missouri Park). Aggieland Wild Animal Texas owns and operates the Aggieland Wild Animal Safari theme park near Bryan/College Station, Texas (the Texas Park). The Company acquired the Georgia Park on June 13, 2005, the Missouri Park on March 5, 2008, and the Texas Park on April 27, 2020. The Parks are open year round but experience increased seasonal attendance, typically beginning in the latter half of March through early September. On a historical basis, the Companys net sales for the third and fourth quarter of the last two fiscal years represented approximately 67% to 68% of annual net sales. COVID-19 In March 2020, the World Health Organization characterized COVID-19, a disease caused by a novel strain of a coronavirus, as a pandemic. The rapid spread of COVID-19 has resulted in governmental authorities throughout the United States implementing a variety of containment measures with the objective of slowing the spread of the virus, including travel restrictions, shelter-in-place orders and business shutdowns. The COVID-19 pandemic and these containment measures have had, and could continue to have, a material impact on the Companys business. The rapid acceleration of the COVID-19 pandemic in the United States occurred at the beginning of the Companys annual high season. The Company began to see a significant reduction in paid attendance at its Georgia and Missouri Parks beginning the week of March 9, 2020. Effective April 3, 2020, the Companys Georgia and Missouri Parks were closed as a result of shelter-in-place mandates in Georgia and Missouri. Also note that prior to the Companys acquisition of the Texas Park, its operations were suspended for the majority of April 2020 due to a shelter-in-place mandate in Texas. In compliance with respective state issued guidelines, the Georgia Park and the Texas Park each reopened on May 1, 2020, and the Missouri Park reopened on May 4, 2020. Attendance levels have been strong at each of the Companys three Parks from mid-May through the end of June 2020, which has continued through July. However, there may be longer-term negative impacts to the Companys business, results of operations and cash flows, and financial condition as a result of the COVID-19 pandemic. These negative impacts include changes in customer behavior and preferences causing significant volatility or reductions in Park attendance, increases in operating expenses to comply with additional hygiene-related protocols, limitations in our ability to recruit and maintain staffing, limitations on our employees ability to work and travel, and significant changes in the economic or political conditions in the areas the Companys Parks are located. Despite the Companys efforts to manage these impacts, the ultimate impact may be material, and will depend on a number of factors beyond its control, including the duration and severity of the COVID-19 pandemic and actions by governmental authorities taken to contain its spread and mitigate its public health effects. |
Note 2 - Significant Accounting
Note 2 - Significant Accounting Policies | 9 Months Ended |
Jun. 28, 2020 | |
Notes | |
Note 2 - Significant Accounting Policies | NOTE 2. SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation: These unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Companys Annual Report on Form 10-K for the fiscal year ended September 29, 2019. Principles of Consolidation: Accounting Method: Estimates and Assumptions: Fiscal Year End: Financial and Concentrations Risk: Trade Accounts Receivable: Inventory: Property and Equipment: June 28, 2020 September 29, 2019 Depreciable Lives Land $ 6,486,180 $ 2,507,180 not applicable Mineral rights 466,000 - 25 years Ground improvements 2,174,701 1,142,926 7-25 years Buildings and structures 3,721,729 3,023,569 10-39 years Animal shelters and habitats 2,029,639 1,412,802 10-39 years Park animals 1,174,284 559,425 5-10 years Equipment - concession and related 307,771 184,441 3-15 years Equipment and vehicles - yard and field 541,124 451,459 3-15 years Vehicles - buses and rental 256,461 219,910 3-5 years Rides and entertainment 208,148 204,778 5-7 years Furniture and fixtures 10,427 10,427 5-10 years Projects in process 33,568 100,616 Property and equipment, cost 17,410,032 9,817,533 Less accumulated depreciation (3,582,361) (3,197,128) Property and equipment, net $ 13,827,671 $ 6,620,405 Depreciation expense for the three months ended June 28, 2020 and June 30, 2019 totaled $150,633 and $114,999, respectively, and depreciation expense for the nine months ended June 28, 2020 and June 30, 2019 totaled $385,233 and $344,997, respectively. Intangible assets: Impairment of Long-Lived Assets: Other Current Liabilities: June 28, 2020 September 29, 2019 Deferred revenue $ 278,755 $ 100,704 Accrued income taxes 174,489 - Accrued sales taxes 123,238 31,674 Accrued advertising 94,149 76,251 Accrued wages and payroll taxes 79,709 111,150 Accrued property taxes 53,369 59,723 Other accrued liabilities 51,455 4,658 Other current liabilities $ 855,164 $ 384,160 Financial Instruments: Revenue Recognition: Revenues from Contracts with Customers The Companys major source of income is from park admissions, retail and concessions sales at its parks. Revenues from park admission fees are generally recognized upon receipt of payment at the time of the customers visit to the parks. Park admission fee revenues from advance online ticket purchases are deferred until the customers visit to the parks. Revenue from retail and concessions sales is generally recognized upon the concurrent receipt of payment and delivery of goods or services to the customer. The Company periodically sells surplus animals created from the natural breeding process that occurs within the parks. All animal sales are reported as a separate revenue line item. Sales taxes billed and collected are not included in revenue. Deferred revenues from advance online admission tickets were $278,755 and $100,704 as of June 28, 2020 and September 29, 2019, respectively. Advertising and Market Development: Stock Based Compensation: Income Taxes: Basic and Diluted Net Income (Loss) Per Share: Basic and diluted net income (loss) per share is computed by dividing net income (loss) available to common stockholders by the applicable weighted average number of common shares outstanding in each period. Dividend Policy: Recent Accounting Pronouncements: Income Taxes (Topic 740) Simplifying the Accounting for Income Taxes (Update 2019-12) Except as noted, the Company does not expect recently issued accounting standards or interpretations to have a material impact on the Companys financial position, results of operations, cash flows or financial statement disclosures. |
NOTE 3. ACQUISITION
NOTE 3. ACQUISITION | 9 Months Ended |
Jun. 28, 2020 | |
Notes | |
NOTE 3. ACQUISITION | NOTE 3. ACQUISITION On April 27, 2020, the Company, through a newly formed subsidiary, Aggieland-Parks, Inc., a Texas corporation, acquired substantially all the assets of Aggieland Safari LLC, Ferrill Creek Ranch LLC, and Vernell Investments LLC (combined the Aggieland Assets), primarily consisting of the Aggieland Safari Adventure Zoo and Safari Park (Aggieland Safari), including animal inventory, real estate, mineral rights, and certain equipment and other assets necessary to operate Aggieland Wild Animal Texas. Aggieland Wild Animal Texas is situated on 250 acres of a 450-acre property, located approximately 25 miles northeast of Bryan/College Station, Texas and 120 miles northwest of downtown Houston. The total purchase price for the Aggieland Assets was $7,102,000, after determination of the fair value of the seller note. The transaction was financed with a $5,000,000 loan (the 2020 Term Loan) from First Financial Bank, N.A. (First Financial), a seller note with a face value of $750,000 (the Aggieland Seller Note), and cash totaling $1,375,000. The 2020 Term Loan is secured by substantially all of the Aggieland Assets, as well as guarantees from the Company and its subsidiaries. The 2020 Term Loan bears interest at a rate of 5.0% per annum, has a maturity date of April 27, 2031, with interest only payable monthly through April 2021. The Aggieland Seller Note represents a deferred portion of the purchase price, bears no interest, has a maturity date of June 30, 2021 and is secured by a second priority subordinated lien and security interest in the acquired mineral rights and the animal inventory. The Company applied a 2.5% discount rate to determine a fair value of $728,500 for the Aggieland Seller Note as of April 27, 2020. The following table sets forth the purchase consideration paid to the members of Aggieland Safari and the amount of assets acquired and liabilities assumed as of the acquisition date: Sources of consideration paid to Aggieland Safari Members: Cash advances $ 125,000 Cash at closing 1,250,000 2020 Term Loan 5,000,000 Aggieland Seller Note 728,500 Less cash received (1,500) Total consideration $ 7,102,000 Preliminary purchase price allocation: Inventories $ 10,000 Property and equipment 7,131,000 Deferred revenue (39,000) Total net assets acquired $ 7,102,000 The purchase price has been preliminarily allocated based on an estimate of the fair value of assets acquired and liabilities assumed as of the acquisition date. The determination of estimated fair value requires management to make significant estimates and assumptions. The final valuation of assets acquired and liabilities assumed is expected to be completed as soon as possible but no later than one year from the acquisition date. The Company will adjust its estimates as needed upon the final valuation. The following table presents supplemental pro forma information for the nine month period ended June 28, 2020 as if the acquisition had occurred at the beginning of the Companys 2019 fiscal year. The unaudited pro forma information includes adjustments for depreciation expense on property and equipment acquired, interest expense on debt incurred related to the acquisition, and the related income tax effects, as well as the elimination of property and equipment impairment charges recorded by Aggieland Safari prior to the acquisition. The pro forma financial information is not necessarily indicative of the results of operations that would have occurred had the transaction been effected at the beginning of the Companys 2019 fiscal year. For the nine months ended June 28, 2020 Total net sales $ 5,617,050 Net income $ 803,860 Income per share - basic and diluted $ 0.01 |
NOTE 4. LONG-TERM DEBT
NOTE 4. LONG-TERM DEBT | 9 Months Ended |
Jun. 28, 2020 | |
Notes | |
NOTE 4. LONG-TERM DEBT | NOTE 4. LONG-TERM DEBT On April 27, 2020, the Company acquired Aggieland Wild Animal Texas., see NOTE 3. ACQUISITION, financing the transaction with the 2020 Term Loan from First Financial and the Aggieland Seller Note. The 2020 Term Loan in the original principal amount of $5,000,000 from First Financial, is secured by substantially all of the Aggieland Wild Animal Texas assets, as well as guarantees from the Company and its subsidiaries. The 2020 Term Loan bears interest at a rate of 5.0% per annum, has a maturity date of April 27, 2031, with interest only payable monthly through April 2021. The Company paid a total of approximately $62,375 in fees and expenses in connection with the 2020 Term Loan. The Aggieland Seller Note represent a deferred portion of the purchase price, has a face value of $750,000, bears no interest, has a maturity date of June 30, 2021, and is secured by a second priority subordinated lien and security interest in the acquired mineral rights and the animal inventory. The Company applied a 2.5% discount rate to determine a fair value of $728,500 for the Aggieland Seller Note as of April 27, 2020 and the resulting $21,500 discount will be amortized as interest expense over the 14 month period until the note matures. Including the remaining unamortized discount, the recorded value of the Aggieland Seller Note as of June 28, 2020 was $731,497. As a result of the significant negative economic impacts and uncertainties caused by the COVID-19 pandemic, Wild Animal Georgia and Wild Animal Missouri each applied for Paycheck Protection Program (PPP) loans. On April 14, 2020 and April 16, 2020, the Company received two unsecured PPP loans totaling $188,087. Including accrued interest, the principal outstanding on the Companys PPP loans was $188,479 as of June 28, 2020. The PPP was established under the Coronavirus Aid, Relief, and Economic Security (CARES) Act, which was signed into law on March 27, 2020, and is administered by the U.S. Small Business Administration (the SBA). The term of the PPP loans is two years, with an interest rate of 1.0% per annum. All payments are deferred for the first six month term of the PPP loans, with accrued interest being added to the principal during the payment deferral period. After the initial six-month deferral period, monthly principal and interest payments will be due until maturity for any portion of the PPP loans not forgiven. Under the terms of the CARES Act, some or all of the PPP loan proceeds are eligible to be forgiven. The amount of the loans eligible to be forgiven are based on the use of the proceeds for payroll costs, mortgage interest, rent or utility costs, and the maintenance of employee and compensation levels, subject to limitations and ongoing rulemaking by the SBA. While not assured, the Company anticipates a substantial portion of its PPP loan proceeds will be used for costs that are eligible for forgiveness, based on the current SBA guidelines. On July 11, 2018, the Company, through its wholly owned subsidiary Wild Animal Georgia, completed a refinancing transaction (the 2018 Refinancing) with Synovus Bank (Synovus). The 2018 Refinancing included a term loan in the original principal amount of $1,600,000 (the 2018 Term Loan). The 2018 Term Loan bears interest at a rate of 5.0% per annum and is payable in monthly payments of approximately $22,672, based on a seven year amortization period. The 2018 Term Loan has a maturity date of June 11, 2021, with an option to renew at 5.0% per annum for an additional 49 month term. The 2018 Term Loan is secured by a security deed on the assets of Wild Animal Georgia. The Company paid a total of approximately $15,680 in fees and expenses in connection with the 2018 Refinancing. Interest expense of $64,165 and $18,811 for the three months ended June 28, 2020 and June 30, 2019, respectively, includes $1,505 and $560 of amortization of debt financing costs, respectively. Interest expense of $99,077 and $57,632 for the nine months ended June 28, 2020 and June 30, 2019, respectively, includes $2,625 and $1,680 of amortization of debt financing costs, respectively. In addition, interest expense for the three months and nine months ended June 28, 2020 includes $2,997 of loan discount amortization expense in each period. The following table represents the aggregate of the Companys outstanding long-term debt: As of June 28, 2020 September 29, 2019 Loan principal outstanding $ 7,155,281 $ 1,371,248 Less: unamortized debt financing costs (72,630) (12,880) Less: unamortized discount on note payable (18,503) - Gross long-term debt 7,064,148 1,358,368 Less current portion of long-term debt, net of unamortized costs and discount (354,425) (204,355) Long-term debt $ 6,709,723 $ 1,154,013 As of June 28, 2020, the scheduled future principal maturities of the Companys long-term debt by fiscal year are as follows: 2020 $ 52,694 2021 1,242,904 2022 702,502 2023 661,959 2024 696,447 thereafter 3,798,775 Total $ 7,155,281 |
NOTE 5. LINES OF CREDIT
NOTE 5. LINES OF CREDIT | 9 Months Ended |
Jun. 28, 2020 | |
Notes | |
NOTE 5. LINES OF CREDIT | NOTE 5. LINE OF CREDIT On July 11, 2018, the Company, through its wholly owned subsidiary Wild Animal Georgia, completed the 2018 Refinancing with Synovus. The 2018 Refinancing includes a line of credit of up to $350,000 (the 2018 LOC). The 2018 LOC bears interest at a rate of 4.75% and interest only payments are due monthly. The 2018 LOC is secured by a security deed on the assets of Wild Animal Georgia. The 2018 LOC matures on July 11, 2021, with an option to renew for an additional three-year term. If necessary, the Company intends to utilize the 2018 LOC to fund seasonal working capital needs. As of June 28, 2020 and September 29, 2019, respectively, there was no outstanding balance against the Companys LOC. When applicable, any advance on a Company LOC is recorded as a current liability. |
NOTE 6. STOCKHOLDERS' EQUITY
NOTE 6. STOCKHOLDERS' EQUITY | 9 Months Ended |
Jun. 28, 2020 | |
Notes | |
NOTE 6. STOCKHOLDERS' EQUITY | NOTE 6. STOCKHOLDERS EQUITY Shares of common stock issued for service to the Company are valued based on market price on the date of issuance. On December 5, 2019, the Company declared its annual compensation award to four Directors for their service on the Board of Directors. Each Director was awarded $8,500, to be paid all in shares, all in cash or a combination thereof, at each Directors election. All four Directors elected to receive shares of the Companys common stock, totaling 50,000 each, based on the closing stock price of $0.17 per share on December 5, 2019. The total award cost of $34,000 was reported as an expense in the first quarter of the 2020 fiscal year, and the Company distributed each award on January 8, 2020. On January 14, 2019, the Company declared its annual award to five Directors for their service on the Board of Directors. Each Director was awarded 25,000 shares at $0.185 per share or the cash equivalent of $4,625. Four Directors elected to receive shares of the Companys common stock, while the estate of one Director elected to receive its award in cash. The total award cost of $23,125 was reported as an expense in the second quarter of the 2019 fiscal year, and the Company distributed each award on January 16, 2019. Officers, Directors and their controlled entities own approximately 52.0% of the outstanding common stock of the Company as of June 28, 2020. |
Note 7. - Significant Transacti
Note 7. - Significant Transactions With Related Parties | 9 Months Ended |
Jun. 28, 2020 | |
Notes | |
Note 7. - Significant Transactions With Related Parties | NOTE 7. SIGNIFICANT TRANSACTIONS WITH RELATED PARTIES Employment Agreements: Effective June 1, 2020, the Company and Dale Van Voorhis, the Companys Chairman and Chief Executive Officer, entered into the 2020 Van Voorhis Employment Agreement. Pursuant to the 2020 Van Voorhis Employment Agreement, Mr. Van Voorhis receives an initial base annual compensation in the amount of $100,000 per year, subject to annual review by the Board of Directors. The 2020 Van Voorhis Employment Agreement has a term of two years and entitles Mr. Van Voorhis to participate in any deferred compensation plan the Company may adopt during the term of his employment with the Company. Effective January 1, 2019, the Company and Todd R. White, the Companys Chief Financial Officer, entered into the 2019 White Employment Agreement. The 2019 White Employment Agreement has a term of three years, with minimum annual compensation of $70,000 in year one, $75,000 in year two and $80,000 in year three, and entitles Mr. White to participate in any deferred compensation plan the Company may adopt during the term of his employment with the Company. Effective May 1, 2018, the Company entered into an employment agreement with Michael D. Newman (the Newman Employment Agreement) to serve as the Companys Vice President of Safari Operations. Mr. Newman had been the general manager of Wild Animal Georgia since February 2011. Pursuant to the Newman Employment Agreement, Mr. Newman received an initial base annual compensation of $95,000 per year, subject to annual review by the Board of Directors. Mr. Newman also received a $5,000 signing bonus. Effective May 1, 2020, Mr. Newmans annual compensation was set at $108,000. The Newman Employment Agreement has a term of five years and entitles Mr. Newman to participate in any deferred compensation plan the Company may adopt during the term of his employment with the Company. Each of the foregoing employment agreements contains provisions for severance compensation in the event an agreement is (i) terminated early by the Company without cause ($291,700 in aggregate) or (ii) in the event of a change in control of the Company ($506,700 in aggregate), as well as disability and death payment provisions ($141,500 in aggregate). Effective July 1, 2017, the Company and James Meikle, then the Companys President and Chief Operating Officer, entered into the 2017 Meikle Employment Agreement. The 2017 Meikle Employment Agreement had a term of two years, with an initial base annual compensation in the amount of $135,000 per year. On November 28, 2018, Mr. Meikle passed away. Pursuant to the death benefit terms of the 2017 Meikle Employment Agreement, during the three month period ended December 30, 2019, the Company recorded a provision of approximately $88,000, which was distributed to his estate on January 15, 2020. |
Note 8 - Income Taxes
Note 8 - Income Taxes | 9 Months Ended |
Jun. 28, 2020 | |
Notes | |
Note 8 - Income Taxes | NOTE 8. INCOME TAXES For the nine month period ended June 28, 2020, the Company reported pre-tax income of $1,331,772. For the fiscal year ending September 27, 2020, the Company expects to generate pre-tax income and to record a tax provision at a blended effective federal and state income tax rate of approximately 26.0%. The Company recorded a net income tax provision of $344,900 for the nine month period ended June 28, 2020, comprised of a federal expense of $263,200 and a State of Georgia expense of $81,700. The Companys net income tax provision for the nine month period ended June 30, 2019 was a tax expense of $221,500, comprised of a federal expense of $151,400 and a State of Georgia expense of $70,100. |
NOTE 9. COMMITMENTS AND CONTING
NOTE 9. COMMITMENTS AND CONTINGENCIES | 9 Months Ended |
Jun. 28, 2020 | |
Notes | |
NOTE 9. COMMITMENTS AND CONTINGENCIES | NOTE 9. COMMITMENTS AND CONTINGENCIES On May 21, 2019, the Companys Missouri Park was struck by a tornado and sustained property damage, primarily to the walk about, the more traditional zoo-like section of the park, as well as to several auxiliary buildings. The park was closed at the time of this event and no employees were injured. While a few animals sustained non-life threatening injuries, no animals were killed or escaped. As a result of the tornado damage, through September 29, 2019, the Company had written-off $56,339 related to the net book value of property destroyed and damaged, and incurred $24,105 of cleanup and repair expenses. Through September 29, 2019, the Company had capitalized $66,376 of expenditures related to improvements associated with the tornado damage. The Company capitalized an additional $82,585 of improvements associated with the tornado damage during the nine months ended June 28, 2020. On April 15, 2020, the Company received $24,373 of insurance proceeds, partially offsetting the costs and expenses incurred in the recovery from the tornado damage. On August 14, 2019, Marlton Wayne LP (Marlton) filed a complaint in the Eighth Judicial District Court, Clark County, Nevada (A-19-800214-8), (the "Complaint"), seeking ten categories of documents from the Company. This Complaint followed a letter from Marlton sent on July 22, 2019, demanding an inspection of certain books and records of the Company. On March 13, 2020, the Company and Marlton entered into an agreement to dismiss the case without prejudice, with each party reserving their respective rights as related to attorney fees. Except as described above, the Company is not a party to any pending legal proceeding, nor is its property the subject of a pending legal proceeding, that is not in the ordinary course of business or otherwise material to the financial condition of its business. None of the Companys directors, officers or affiliates is involved in a proceeding adverse to its business or has a material interest adverse to its business. |
NOTE 10. BUSINESS SEGMENTS
NOTE 10. BUSINESS SEGMENTS | 9 Months Ended |
Jun. 28, 2020 | |
Notes | |
NOTE 10. BUSINESS SEGMENTS | NOTE 10. BUSINESS SEGMENTS The Company manages its operations on an individual location basis. Discrete financial information is maintained for each Park and provided to management for review and as a basis for decision-making. The primary performance measures used to allocate resources are Park earnings before interest and tax expense, and free cash flow. The following tables present financial information regarding each of the Companys reportable segments: For the three months ended For the nine months ended June 28, 2020 June 30, 2019 June 28, 2020 June 30, 2019 Total net sales: Georgia $ 2,376,593 $ 1,795,262 $ 3,906,651 $ 3,614,584 Missouri 464,540 341,199 672,924 542,598 Texas 379,075 - 379,075 - Consolidated $ 3,220,208 $ 2,136,461 $ 4,958,650 $ 4,157,182 Income (loss) before income taxes: Georgia $ 1,666,295 $ 1,094,596 $ 2,077,917 $ 1,784,071 Missouri 123,448 (65,389) (190,241) (377,141) Texas 126,432 - 126,432 - Segment total 1,916,175 1,029,207 2,014,108 1,406,930 Corporate (167,328) (178,744) (602,056) (580,154) Other income, net 3,293 5,843 18,797 21,361 Interest expense (64,165) (18,811) (99,077) (57,632) Consolidated $ 1,687,975 $ 837,495 $ 1,331,772 $ 790,505 As of June 28, 2020 September 29, 2019 Total assets: Georgia $ 7,266,668 $ 7,910,710 Missouri 2,819,823 2,690,572 Texas 7,597,895 - Corporate 253,608 162,054 Consolidated $ 17,937,994 $ 10,763,336 |
NOTE 10. SUBSEQUENT EVENTS
NOTE 10. SUBSEQUENT EVENTS | 9 Months Ended |
Jun. 28, 2020 | |
Notes | |
NOTE 10. SUBSEQUENT EVENTS | NOTE 10. SUBSEQUENT EVENTS The Company has analyzed its operations subsequent to June 28, 2020 to the date these financial statements were issued and has determined that no material subsequent events have occurred from the date of these unaudited consolidated financial statements through the date of filing. |
Note 2 - Significant Accounti_2
Note 2 - Significant Accounting Policies: Basis of Presentation (Policies) | 9 Months Ended |
Jun. 28, 2020 | |
Policies | |
Basis of Presentation | Basis of Presentation: These unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Companys Annual Report on Form 10-K for the fiscal year ended September 29, 2019. |
Note 2 - Significant Accounti_3
Note 2 - Significant Accounting Policies: Principles of Consolidation (Policies) | 9 Months Ended |
Jun. 28, 2020 | |
Policies | |
Principles of Consolidation | Principles of Consolidation: |
Note 2 - Significant Accounti_4
Note 2 - Significant Accounting Policies: Accounting Method (Policies) | 9 Months Ended |
Jun. 28, 2020 | |
Policies | |
Accounting Method | Accounting Method: |
Note 2 - Significant Accounti_5
Note 2 - Significant Accounting Policies: Estimates and Assumptions (Policies) | 9 Months Ended |
Jun. 28, 2020 | |
Policies | |
Estimates and Assumptions | Estimates and Assumptions: |
Note 2 - Significant Accounti_6
Note 2 - Significant Accounting Policies: Fiscal Year End (Policies) | 9 Months Ended |
Jun. 28, 2020 | |
Policies | |
Fiscal Year End | Fiscal Year End: |
Note 2 - Significant Accounti_7
Note 2 - Significant Accounting Policies: Financial and Concentrations Risk (Policies) | 9 Months Ended |
Jun. 28, 2020 | |
Policies | |
Financial and Concentrations Risk | Financial and Concentrations Risk: |
Note 2 - Significant Accounti_8
Note 2 - Significant Accounting Policies: Trade Accounts Receivable (Policies) | 9 Months Ended |
Jun. 28, 2020 | |
Policies | |
Trade Accounts Receivable | Trade Accounts Receivable: |
Note 2 - Significant Accounti_9
Note 2 - Significant Accounting Policies: Inventory (Policies) | 9 Months Ended |
Jun. 28, 2020 | |
Policies | |
Inventory | Inventory: |
Note 2 - Significant Account_10
Note 2 - Significant Accounting Policies: Property and Equipment (Policies) | 9 Months Ended |
Jun. 28, 2020 | |
Policies | |
Property and Equipment | Property and Equipment: June 28, 2020 September 29, 2019 Depreciable Lives Land $ 6,486,180 $ 2,507,180 not applicable Mineral rights 466,000 - 25 years Ground improvements 2,174,701 1,142,926 7-25 years Buildings and structures 3,721,729 3,023,569 10-39 years Animal shelters and habitats 2,029,639 1,412,802 10-39 years Park animals 1,174,284 559,425 5-10 years Equipment - concession and related 307,771 184,441 3-15 years Equipment and vehicles - yard and field 541,124 451,459 3-15 years Vehicles - buses and rental 256,461 219,910 3-5 years Rides and entertainment 208,148 204,778 5-7 years Furniture and fixtures 10,427 10,427 5-10 years Projects in process 33,568 100,616 Property and equipment, cost 17,410,032 9,817,533 Less accumulated depreciation (3,582,361) (3,197,128) Property and equipment, net $ 13,827,671 $ 6,620,405 Depreciation expense for the three months ended June 28, 2020 and June 30, 2019 totaled $150,633 and $114,999, respectively, and depreciation expense for the nine months ended June 28, 2020 and June 30, 2019 totaled $385,233 and $344,997, respectively. |
Note 2 - Significant Account_11
Note 2 - Significant Accounting Policies: Intangible assets (Policies) | 9 Months Ended |
Jun. 28, 2020 | |
Policies | |
Intangible assets | Intangible assets: |
Note 2 - Significant Account_12
Note 2 - Significant Accounting Policies: Impairment of Long-Lived Assets (Policies) | 9 Months Ended |
Jun. 28, 2020 | |
Policies | |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets: |
Note 2 - Significant Account_13
Note 2 - Significant Accounting Policies: Other Current Liabilities (Policies) | 9 Months Ended |
Jun. 28, 2020 | |
Policies | |
Other Current Liabilities | Other Current Liabilities: June 28, 2020 September 29, 2019 Deferred revenue $ 278,755 $ 100,704 Accrued income taxes 174,489 - Accrued sales taxes 123,238 31,674 Accrued advertising 94,149 76,251 Accrued wages and payroll taxes 79,709 111,150 Accrued property taxes 53,369 59,723 Other accrued liabilities 51,455 4,658 Other current liabilities $ 855,164 $ 384,160 |
Note 2 - Significant Account_14
Note 2 - Significant Accounting Policies: Financial Instruments (Policies) | 9 Months Ended |
Jun. 28, 2020 | |
Policies | |
Financial Instruments | Financial Instruments: |
Note 2 - Significant Account_15
Note 2 - Significant Accounting Policies: Revenue Recognition (Policies) | 9 Months Ended |
Jun. 28, 2020 | |
Policies | |
Revenue Recognition | Revenue Recognition: Revenues from Contracts with Customers The Companys major source of income is from park admissions, retail and concessions sales at its parks. Revenues from park admission fees are generally recognized upon receipt of payment at the time of the customers visit to the parks. Park admission fee revenues from advance online ticket purchases are deferred until the customers visit to the parks. Revenue from retail and concessions sales is generally recognized upon the concurrent receipt of payment and delivery of goods or services to the customer. The Company periodically sells surplus animals created from the natural breeding process that occurs within the parks. All animal sales are reported as a separate revenue line item. Sales taxes billed and collected are not included in revenue. Deferred revenues from advance online admission tickets were $278,755 and $100,704 as of June 28, 2020 and September 29, 2019, respectively. |
Note 2 - Significant Account_16
Note 2 - Significant Accounting Policies: Advertising and Market Development (Policies) | 9 Months Ended |
Jun. 28, 2020 | |
Policies | |
Advertising and Market Development | Advertising and Market Development: |
Note 2 - Significant Account_17
Note 2 - Significant Accounting Policies: Stock Based Compensation (Policies) | 9 Months Ended |
Jun. 28, 2020 | |
Policies | |
Stock Based Compensation | Stock Based Compensation: |
Note 2 - Significant Account_18
Note 2 - Significant Accounting Policies: Income Taxes (Policies) | 9 Months Ended |
Jun. 28, 2020 | |
Policies | |
Income Taxes | Income Taxes: |
Note 2 - Significant Account_19
Note 2 - Significant Accounting Policies: Basic and Diluted Net Income (Loss) Per Share (Policies) | 9 Months Ended |
Jun. 28, 2020 | |
Policies | |
Basic and Diluted Net Income (Loss) Per Share | Basic and Diluted Net Income (Loss) Per Share: Basic and diluted net income (loss) per share is computed by dividing net income (loss) available to common stockholders by the applicable weighted average number of common shares outstanding in each period. |
Note 2 - Significant Account_20
Note 2 - Significant Accounting Policies: Dividend Policy (Policies) | 9 Months Ended |
Jun. 28, 2020 | |
Policies | |
Dividend Policy | Dividend Policy: |
Note 2 - Significant Account_21
Note 2 - Significant Accounting Policies: Recent Accounting Pronouncements (Policies) | 9 Months Ended |
Jun. 28, 2020 | |
Policies | |
Recent Accounting Pronouncements | Recent Accounting Pronouncements: Income Taxes (Topic 740) Simplifying the Accounting for Income Taxes (Update 2019-12) Except as noted, the Company does not expect recently issued accounting standards or interpretations to have a material impact on the Companys financial position, results of operations, cash flows or financial statement disclosures. |
Note 2 - Significant Account_22
Note 2 - Significant Accounting Policies: Property and Equipment: Property, Plant and Equipment (Tables) | 9 Months Ended |
Jun. 28, 2020 | |
Tables/Schedules | |
Property, Plant and Equipment | June 28, 2020 September 29, 2019 Depreciable Lives Land $ 6,486,180 $ 2,507,180 not applicable Mineral rights 466,000 - 25 years Ground improvements 2,174,701 1,142,926 7-25 years Buildings and structures 3,721,729 3,023,569 10-39 years Animal shelters and habitats 2,029,639 1,412,802 10-39 years Park animals 1,174,284 559,425 5-10 years Equipment - concession and related 307,771 184,441 3-15 years Equipment and vehicles - yard and field 541,124 451,459 3-15 years Vehicles - buses and rental 256,461 219,910 3-5 years Rides and entertainment 208,148 204,778 5-7 years Furniture and fixtures 10,427 10,427 5-10 years Projects in process 33,568 100,616 Property and equipment, cost 17,410,032 9,817,533 Less accumulated depreciation (3,582,361) (3,197,128) Property and equipment, net $ 13,827,671 $ 6,620,405 |
Note 2 - Significant Account_23
Note 2 - Significant Accounting Policies: Other Current Liabilities: Other Current Liabilities (Tables) | 9 Months Ended |
Jun. 28, 2020 | |
Tables/Schedules | |
Other Current Liabilities | June 28, 2020 September 29, 2019 Deferred revenue $ 278,755 $ 100,704 Accrued income taxes 174,489 - Accrued sales taxes 123,238 31,674 Accrued advertising 94,149 76,251 Accrued wages and payroll taxes 79,709 111,150 Accrued property taxes 53,369 59,723 Other accrued liabilities 51,455 4,658 Other current liabilities $ 855,164 $ 384,160 |
NOTE 3. ACQUISITION_ Schedule o
NOTE 3. ACQUISITION: Schedule of Purchase consideration (Tables) | 9 Months Ended |
Jun. 28, 2020 | |
Tables/Schedules | |
Schedule of Purchase consideration | Sources of consideration paid to Aggieland Safari Members: Cash advances $ 125,000 Cash at closing 1,250,000 2020 Term Loan 5,000,000 Aggieland Seller Note 728,500 Less cash received (1,500) Total consideration $ 7,102,000 Preliminary purchase price allocation: Inventories $ 10,000 Property and equipment 7,131,000 Deferred revenue (39,000) Total net assets acquired $ 7,102,000 |
NOTE 3. ACQUISITION_ Schedule_2
NOTE 3. ACQUISITION: Schedule of Supplemental pro forma information (Tables) | 9 Months Ended |
Jun. 28, 2020 | |
Tables/Schedules | |
Schedule of Supplemental pro forma information | For the nine months ended June 28, 2020 Total net sales $ 5,617,050 Net income $ 803,860 Income per share - basic and diluted $ 0.01 |
NOTE 4. LONG-TERM DEBT_ Schedul
NOTE 4. LONG-TERM DEBT: Schedule of Debt (Tables) | 9 Months Ended |
Jun. 28, 2020 | |
Tables/Schedules | |
Schedule of Debt | As of June 28, 2020 September 29, 2019 Loan principal outstanding $ 7,155,281 $ 1,371,248 Less: unamortized debt financing costs (72,630) (12,880) Less: unamortized discount on note payable (18,503) - Gross long-term debt 7,064,148 1,358,368 Less current portion of long-term debt, net of unamortized costs and discount (354,425) (204,355) Long-term debt $ 6,709,723 $ 1,154,013 |
NOTE 4. LONG-TERM DEBT_ Sched_2
NOTE 4. LONG-TERM DEBT: Schedule of Maturities of Long-term Debt (Tables) | 9 Months Ended |
Jun. 28, 2020 | |
Tables/Schedules | |
Schedule of Maturities of Long-term Debt | 2020 $ 52,694 2021 1,242,904 2022 702,502 2023 661,959 2024 696,447 thereafter 3,798,775 Total $ 7,155,281 |
NOTE 10. BUSINESS SEGMENTS_ Sch
NOTE 10. BUSINESS SEGMENTS: Schedule of Revenue by Reporting Segments (Tables) | 9 Months Ended |
Jun. 28, 2020 | |
Tables/Schedules | |
Schedule of Revenue by Reporting Segments | For the three months ended For the nine months ended June 28, 2020 June 30, 2019 June 28, 2020 June 30, 2019 Total net sales: Georgia $ 2,376,593 $ 1,795,262 $ 3,906,651 $ 3,614,584 Missouri 464,540 341,199 672,924 542,598 Texas 379,075 - 379,075 - Consolidated $ 3,220,208 $ 2,136,461 $ 4,958,650 $ 4,157,182 Income (loss) before income taxes: Georgia $ 1,666,295 $ 1,094,596 $ 2,077,917 $ 1,784,071 Missouri 123,448 (65,389) (190,241) (377,141) Texas 126,432 - 126,432 - Segment total 1,916,175 1,029,207 2,014,108 1,406,930 Corporate (167,328) (178,744) (602,056) (580,154) Other income, net 3,293 5,843 18,797 21,361 Interest expense (64,165) (18,811) (99,077) (57,632) Consolidated $ 1,687,975 $ 837,495 $ 1,331,772 $ 790,505 As of June 28, 2020 September 29, 2019 Total assets: Georgia $ 7,266,668 $ 7,910,710 Missouri 2,819,823 2,690,572 Texas 7,597,895 - Corporate 253,608 162,054 Consolidated $ 17,937,994 $ 10,763,336 |
Note 1 - Organization (Details)
Note 1 - Organization (Details) | 9 Months Ended |
Jun. 28, 2020 | |
Details | |
Entity Incorporation, Date of Incorporation | Jul. 30, 1954 |
Entity Information, Former Legal or Registered Name | Painted Desert Uranium & Oil Co., Inc. |
Entity Incorporation, State or Country Code | NV |
Note 2 - Significant Account_24
Note 2 - Significant Accounting Policies: Property and Equipment: Property, Plant and Equipment (Details) - USD ($) | 9 Months Ended | |
Jun. 28, 2020 | Sep. 29, 2019 | |
Land | ||
Property, Plant and Equipment, Gross | $ 6,486,180 | $ 2,507,180 |
Mineral rights | ||
Property, Plant and Equipment, Gross | $ 466,000 | 0 |
Depreciable Lives | 25 years | |
Ground Improvements | ||
Property, Plant and Equipment, Gross | $ 2,174,701 | 1,142,926 |
Depreciable Lives | 25 years | |
Buildings and structures | ||
Property, Plant and Equipment, Gross | $ 3,721,729 | 3,023,569 |
Depreciable Lives | 39 years | |
Animal shelters and habitats | ||
Property, Plant and Equipment, Gross | $ 2,029,639 | 1,412,802 |
Depreciable Lives | 39 years | |
Park animals | ||
Property, Plant and Equipment, Gross | $ 1,174,284 | 559,425 |
Depreciable Lives | 10 years | |
Equipment - concession and related | ||
Property, Plant and Equipment, Gross | $ 307,771 | 184,441 |
Depreciable Lives | 15 years | |
Equipment and vehicles - yard and field | ||
Property, Plant and Equipment, Gross | $ 541,124 | 451,459 |
Depreciable Lives | 15 years | |
Vehicles - buses and rental | ||
Property, Plant and Equipment, Gross | $ 256,461 | 219,910 |
Depreciable Lives | 5 years | |
Rides and entertainment | ||
Property, Plant and Equipment, Gross | $ 208,148 | 204,778 |
Depreciable Lives | 7 years | |
Furniture and Fixtures | ||
Property, Plant and Equipment, Gross | $ 10,427 | 10,427 |
Depreciable Lives | 10 years | |
Projects in process | ||
Property, Plant and Equipment, Gross | $ 33,568 | 100,616 |
Property, Plant and Equipment, Gross | 17,410,032 | 9,817,533 |
Less accumulated depreciation | (3,582,361) | (3,197,128) |
Property and equipment, net | $ 13,827,671 | $ 6,620,405 |
Note 2 - Significant Account_25
Note 2 - Significant Accounting Policies: Other Current Liabilities: Other Current Liabilities (Details) - USD ($) | Jun. 28, 2020 | Sep. 29, 2019 |
Details | ||
Deferred revenue | $ 278,755 | $ 100,704 |
Accrued income taxes | 174,489 | 0 |
Accrued sales taxes | 123,238 | 31,674 |
Accrued advertising | 94,149 | 76,251 |
Accrued wages and payroll taxes | 79,709 | 111,150 |
Accrued property taxes | 53,369 | 59,723 |
Other accrued liabilities | 51,455 | 4,658 |
Other current liabilities | $ 855,164 | $ 384,160 |
NOTE 3. ACQUISITION_ Schedule_3
NOTE 3. ACQUISITION: Schedule of Purchase consideration (Details) | 9 Months Ended |
Jun. 28, 2020USD ($) | |
Details | |
Sources of consideration paid - Cash advances | $ 125,000 |
Sources of consideration paid - Cash at closing | 1,250,000 |
Sources of consideration paid - 2020 Term Loan | 5,000,000 |
Sources of consideration paid - Aggieland Seller Note | 728,500 |
Sources of consideration paid - Less cash received | (1,500) |
Sources of consideration paid - Total consideration | 7,102,000 |
Preliminary purchase price allocation - Inventories | 10,000 |
Preliminary purchase price allocation - Property and equipment | 7,131,000 |
Preliminary purchase price allocation - Deferred revenue | (39,000) |
Preliminary purchase price allocation - Total net assets acquired | $ 7,102,000 |
NOTE 3. ACQUISITION_ Schedule_4
NOTE 3. ACQUISITION: Schedule of Supplemental pro forma information (Details) | 9 Months Ended |
Jun. 28, 2020USD ($)$ / shares | |
Details | |
Pro Forma Information - Total net sales | $ 5,617,050 |
Pro Forma Information - Net income | $ 803,860 |
Pro Forma Information - Income per share - basic and diluted | $ / shares | $ 0.01 |
NOTE 4. LONG-TERM DEBT (Details
NOTE 4. LONG-TERM DEBT (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Jun. 28, 2020 | Jun. 30, 2019 | Jun. 28, 2020 | Jun. 30, 2019 | |
Interest Paid, Excluding Capitalized Interest, Operating Activities | $ 64,165 | $ 18,811 | $ 99,077 | $ 57,632 |
Interest expense - debt financing cost amortization | 1,505 | $ 560 | 2,625 | 1,680 |
Interest expense - loan discount amortization | 2,997 | $ 2,997 | $ 0 | |
2018 Term Loan | ||||
Debt Instrument, Issuance Date | Jul. 11, 2018 | |||
Debt Instrument, Face Amount | $ 1,600,000 | $ 1,600,000 | ||
Debt Instrument, Description | 2018 Term Loan | |||
Debt Instrument, Interest Rate, Stated Percentage | 5.00% | 5.00% | ||
Debt Instrument, Maturity Date | Jun. 11, 2021 | |||
Debt Instrument, Collateral | secured by a security deed on the assets of Wild Animal – Georgia | |||
Debt Instrument, Fee Amount | $ 15,680 | $ 15,680 |
NOTE 4. LONG-TERM DEBT_ Sched_3
NOTE 4. LONG-TERM DEBT: Schedule of Debt (Details) - USD ($) | Jun. 28, 2020 | Sep. 29, 2019 |
Details | ||
Term Loan principal outstanding | $ 7,155,281 | $ 1,371,248 |
Less: unamortized debt closing costs | (72,630) | (12,880) |
Less: unamortized discount on note payable | (18,503) | 0 |
Gross long-term debt | 7,064,148 | 1,358,368 |
Less current portion of long-term debt, net of unamortized debt closing costs | (354,425) | (204,355) |
Long-term debt | $ 6,709,723 | $ 1,154,013 |
NOTE 4. LONG-TERM DEBT_ Sched_4
NOTE 4. LONG-TERM DEBT: Schedule of Maturities of Long-term Debt (Details) | Jun. 28, 2020USD ($) |
Details | |
Long-Term Debt, Maturity, Year One | $ 52,694 |
Long-Term Debt, Maturity, Year Two | 1,242,904 |
Long-Term Debt, Maturity, Year Three | 702,502 |
Long-Term Debt, Maturity, Year Four | 661,959 |
Long-Term Debt, Maturity, Year Five | 696,447 |
Long-Term Debt, Maturity, after Year Five | 3,798,775 |
Long-term Debt | $ 7,155,281 |
NOTE 5. LINES OF CREDIT (Detail
NOTE 5. LINES OF CREDIT (Details) - 2018 Refinancing with Synovus | 9 Months Ended |
Jun. 28, 2020USD ($) | |
Debt Instrument, Issuance Date | Jul. 11, 2018 |
Line of Credit Facility, Description | 2018 Refinancing with Synovus |
Line of Credit Facility, Maximum Borrowing Capacity | $ 350,000 |
Line of Credit Facility, Interest Rate Description | interest at a rate of 4.75% and interest only payments are due monthly |
Debt Instrument, Interest Rate, Stated Percentage | 4.75% |
Debt Instrument, Maturity Date | Jul. 11, 2021 |
Note 8 - Income Taxes (Details)
Note 8 - Income Taxes (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Jun. 28, 2020 | Jun. 30, 2019 | Jun. 28, 2020 | Jun. 30, 2019 | |
Details | ||||
Income before income taxes | $ 1,687,975 | $ 837,495 | $ 1,331,772 | $ 790,505 |
Net Income Tax (Benefit) | 344,900 | 221,500 | ||
Federal Income Tax Expense (Benefit) | 263,200 | 151,400 | ||
State of Georgia Income Tax (Benefit) Expense | $ 81,700 | $ 70,100 |
NOTE 10. BUSINESS SEGMENTS_ S_2
NOTE 10. BUSINESS SEGMENTS: Schedule of Revenue by Reporting Segments (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Jun. 28, 2020 | Jun. 30, 2019 | Jun. 28, 2020 | Jun. 30, 2019 | |
Georgia | ||||
Total net sales: | $ 2,376,593 | $ 1,795,262 | $ 3,906,651 | $ 3,614,584 |
Income (loss) before income taxes: | 1,666,295 | 1,094,596 | 2,077,917 | 1,784,071 |
Total assets: | 7,266,668 | 7,910,710 | ||
Missouri | ||||
Total net sales: | 464,540 | 341,199 | 672,924 | 542,598 |
Income (loss) before income taxes: | 123,448 | (65,389) | (190,241) | (377,141) |
Total assets: | 2,819,823 | 2,690,572 | ||
Texas | ||||
Total net sales: | 379,075 | 0 | 379,075 | 0 |
Income (loss) before income taxes: | 126,432 | 0 | 126,432 | 0 |
Total assets: | 7,597,895 | 0 | ||
Total net sales: | 3,220,208 | 2,136,461 | 4,958,650 | 4,157,182 |
Income (loss) before income taxes: | 1,687,975 | 837,495 | 1,331,772 | 790,505 |
Total assets: | 17,937,994 | 10,763,336 | ||
Segment total | ||||
Income (loss) before income taxes: | 1,916,175 | 1,029,207 | 2,014,108 | 1,406,930 |
Corporate | ||||
Income (loss) before income taxes: | (167,328) | (178,744) | (602,056) | (580,154) |
Total assets: | 253,608 | 162,054 | ||
Other income (expense), net | ||||
Income (loss) before income taxes: | 3,293 | 5,843 | 18,797 | 21,361 |
Interest expense | ||||
Income (loss) before income taxes: | $ (64,165) | $ (18,811) | $ (99,077) | $ (57,632) |