Press Release dated September 26, 2008
For Immediate Release September 26, 2008
BOWL AMERICA REPORTS FISCAL YEAR EARNINGS
Bowl America Incorporated today reported earnings per share for its fiscal
year ended June 29, 2008, declined to $.69 from $.82 in the prior year.
Fourth quarter earnings per share were $.11, down from $.14 in the comparable
quarter last year.
The Company's Falls Church location, temporarily closed in February 2007,
reopened in the fiscal 2008 fourth quarter and is adding to cash flow.
However, management believes that the persistent unstable economic climate
will put pressure on customers' discretionary spending while operating
expenses for the Company continue to rise. The Company first noted the
decline in traffic in June 2007 and has been working to offset the effects.
A more detailed explanation of results is available in the Company's S.E.C.
Form 10-K filing available through the website www.bowlamericainc.com.
Irvin Clark, Senior Vice President, General Manager and a director of the
Company died September 7, 2008. His bowling experience began in the 1930's
in his father's bowling center. He had been a vital part of Bowl America's
management for over 30 years and became General Manager in 1998.
Fiscal 2008 was the 36th year of increased per share dividends and included
a $.10 per share special dividend on the fiftieth anniversary of the opening
of the first Bowl America location. The Board of Directors declared a
quarterly $.15 dividend on September 25, 2008. Bowl America operates 19
bowling centers and its stock trades on the American Stock Exchange with the
symbol BWLA.
***
Bowl America Incorporated
Results of Operations
(Unaudited)
Thirteen Thirteen Fifty-two Fifty-two
weeks ended weeks ended weeks ended weeks ended
06/29/08 07/01/07 06/29/08 07/01/07
Operating Revenues
Bowling and other $4,832,388 $4,943,891 $21,430,757 $22,876,620
Food, beverage and
merchandise sales 2,069,983 1,995,755 8,673,089 9,097,716
_________ _________ __________ __________
TOTAL REVENUES $6,902,371 $6,939,646 $30,103,846 $31,974,336
Operating expenses
excluding depreciation
and amortization 5,937,479 5,679,453 24,026,527 24,562,793
Depreciation and
amortization 388,590 489,407 1,764,226 1,918,595
Investment loss - - 267,237 (3,613)
Net gain on sale of
Assets 45,368 15,557 45,368 15,557
Interest and dividend
income 188,223 221,742 811,205 863,983
Earnings before taxes 809,893 1,008,085 5,436,903 6,368,875
Net Earnings $ 579,530 $ 718,153 $ 3,534,540 $ 4,188,943
Weighted average shares
outstanding 5,135,690 5,135,716 5,135,693 5,136,499
EARNINGS PER SHARE .11 .14 .69 .82
Summary of Financial Position
Dollars in Thousands
06/29/08 07/01/07
ASSETS
Total current assets including cash and
short-term investments of $8,404 & $9,013 $11,558 $10,728
Property and investments 32,499 35,107
______ ______
TOTAL ASSETS $44,057 $45,835
LIABILITIES AND STOCKHOLDERS' EQUITY
Total current liabilities $ 3,170 $ 3,062
Other liabilities 2,672 3,436
Stockholders' equity 38,215 39,337
______ ______
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $44,057 $45,835