Exhibit 99.1
FOR IMMEDIATE RELEASE
Wednesday, March 7, 2007
1511 N. Westshore Blvd., Suite 900
Tampa, Florida 33607
(813) 830-7700
www.ablest.com
SYMBOL: AIH
TRADED: AMEX
ABLEST ANNOUNCES 2006 OPERATING RESULTS
TAMPA, FL., Mar. 7 — Ablest Inc. (Amex: AIH) today announced that revenue for the fifty-three week 2006 fiscal year increased 2.4 percent to $140.8 million from $137.5 million in the corresponding fifty-two week prior fiscal year. Operating income for the fiscal year 2006 was $2.4 million as compared to operating income of $3.1 million for the similar period last year, a decrease of 21.1 percent. For the fifty-three week fiscal year ended December 31, 2006, the company reported net income of $1.3 million or $0.45 per diluted share compared to net income of $536,000 or $0.18 per diluted share for the fifty-two week fiscal year ended December 25, 2005. In the fourth quarter of 2005, the company recorded a $1.2 million income tax adjustment relating to an Internal Revenue Service audit of its previously filed 2001 tax return.
Revenues for the fiscal fourth quarter ended December 31, 2006 decreased 7.95 percent to $35.9 million from revenue of $39.0 million in the fiscal fourth quarter of 2005. Operating income for the fiscal fourth quarter ended December 31, 2006 decreased 34.6 percent to $747,000 compared to $1.1 million in the corresponding quarter of 2005. Net income was $310,000 or $0.10 per diluted share, compared to a net loss of $669,000 or $0.23 per diluted share for the similar period last year.
Kurt R. Moore, president and chief executive officer, said, “Revenue was impacted by slowdowns in the homebuilding, furniture and consumer products markets. Net income reflected increased selling, general and administrative expenses from new commercial branch offices, and deployment of new front and back-office computer systems. Although the revenue trend experienced in the fourth quarter of 2006 is continuing in the first quarter of 2007, we are confident investments in new branches and technology will yield improved results as 2007 progresses.”
With respect to the ongoing deliberations of the Special Committee of the Board of Directors formed on January 18, 2007, Richard W. Roberson, the Chairman of the Special Committee, said, “The Special Committee continues to evaluate the buyout proposal received from a group led by members of senior management, as well as other strategic alternatives for the company. The committee is also evaluating an indication of interest received from a potential third-party acquirer.” Mr. Roberson stated, “The Special Committee currently does not intend to make any further public announcements regarding its review of possible strategic alternatives until its evaluation process has been completed,” adding that, “no assurances can be given as to whether any particular strategic alternatives will be pursued or implemented.”
Ablest Inc. provides its clients with staffing solutions, managed services and vendor-on-premise (VOP) programs. Staffing solutions include clerical, industrial and information technology personnel provided through Ablest Staffing Services and Ablest Technology Services. Ablest supplies more than 35,000 field employees and consultants to approximately 2,000 businesses annually through 61 locations in the Eastern and Southwestern United States.
Statements made in this news release, other than those concerning historical information, should be considered forward-looking and are subject to certain risks and uncertainties which could cause actual results to differ materially from those projected. Such risks and uncertainties include, but are not limited to, negative developments with significant customers, new regulations, loss of key personnel or any significant economic downturn, as well other risks and uncertainties disclosed from time to time in the Company’s periodic reports on Forms 10-K and 10-Q filed with the Securities and Exchange Commission.
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