Exhibit 99.1 Press Release dated July 28, 2009.
RELEASE: NEW HARTFORD, NY, July 28, 2009
CONTACT: Christopher R. Byrnes (315) 738-0600 ext. 226
cbyrnes@partech.com, www.partech.com
PAR TECHNOLOGY CORPORATION
-REPORTS SECOND QUARTER RESULTS-
- --------------------------------------------------------------------------------
NEW HARTFORD, NY, PAR TECHNOLOGY CORPORATION (NYSE:PTC)
New Hartford, NY--July 28, 2009--PAR Technology Corporation (NYSE: PTC) today
announced results for the second quarter ended June 30, 2009.
PAR reported second quarter revenues of $54.5 million, a 4.8% decrease from the
$57.2 million reported in the same period a year ago. Net income of $238,000 was
reported for the second quarter 2009, compared with net income of $674,000 in
the second quarter of 2008. Diluted earnings per share were $0.02 for the second
quarter of 2009, compared to diluted earnings per share of $0.05 for the second
quarter of last year.
For the six months ended June 30, 2009, PAR reported revenues of $114.9 million,
a 5.1% increase from the $109.3 million reported one year ago. The Company
reported net income of $485,000 for the first six months of 2009 versus a net
loss of $71,000 reported for the first six months of 2008 that resulted in
earnings per diluted share of $0.03 in 2009 and $0.00 per diluted share over the
same period in 2008.
John W. Sammon, PAR Chairman & CEO commented, "Overall, we experienced steady
performance in this difficult economic environment. A few sectors of our
business struggled while the remaining filled in to achieve our results. We
believe the steps taken over the last year across all our business lines have
enabled us to put the Company on solid footing allowing future growth as the
economy recovers."
Sammon added, "Our Springer-Miller subsidiary (hotels/resorts/spas) continued to
be the most impacted by the current recession, especially in high end resort
markets. Sales to the independent table-serve market continue to be challenging
in this economic environment. Fortunately, we have seen continued strength in
certain segments of the quick-serve restaurant market which traditionally
account for the largest portion of our total business. PAR's government business
again provided a strong foundation for our business by delivering a solid
quarterly performance. Finally, our Logistics Management business continued to
show promise as we added important new accounts in the emerging "cold chain"
market."
Certain Company information in this release or by its spokespersons from time to
time may contain forward-looking statements. Any statements in this document
that do not describe historical facts are forward-looking statements.
Forward-looking statements are made pursuant to the safe harbor provisions of
the Private Securities Litigation Reform Act of 1995. Investors are cautioned
that all forward-looking statements involve risks and uncertainties, including
without limitation, delays in new product introduction, risks in technology
development and commercialization, risks in product development and market
acceptance of and demand for the Company's products, risks of downturns in
economic conditions generally, and in the quick service sector of the restaurant
market specifically, risks of intellectual property rights associated with
competition and competitive pricing pressures, risks associated with foreign
sales and high customer concentration, and other risks detailed in the Company's
filings with the Securities and Exchange Commission.
ABOUT PAR TECHNOLOGY
PAR Technology Corporation creates and markets products that help hospitality
operators around the world to better manage money, materials, people and the
guest experience. PAR has provided hardware, software and services to the
world's largest restaurant chains and their franchisees for almost 30 years.
Today the Company's extensive offering includes technology solutions for the
full spectrum of hospitality operations, from boutique hotels and independent
table service restaurants to international QSR chains, all backed by PAR's
global service network. The Company has over 50,000 installations in 105
countries worldwide. PAR is also a leader in providing computer-based system
design and engineering services to the Department of Defense and various federal
agencies. Through PAR Logistics Management Systems, the Company is a provider of
best of breed integrated solutions for shipping asset management and tracking.
PAR Technology Corporation's stock is traded on the New York Stock Exchange
under the symbol PTC. For more information visit the Company's website at
www.partech.com.
PAR TECHNOLOGY CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(in thousands, except share amounts)
(unaudited)
June 30, December 31,
2009 2008
--------- -----------
Assets
Current assets:
Cash and cash equivalents ....................... $ 8,103 $ 6,227
Accounts receivable-net ......................... 38,310 53,582
Inventories-net ................................. 41,875 41,132
Income tax refunds .............................. 240 208
Deferred income taxes ........................... 5,273 5,301
Other current assets ............................ 2,659 3,588
--------- ---------
Total current assets ........................ 96,460 110,038
Property, plant and equipment - net .................. 6,737 6,879
Deferred income taxes ................................ 989 1,525
Goodwill ............................................. 26,005 25,684
Intangible assets - net .............................. 7,604 8,251
Other assets ......................................... 1,583 1,611
--------- ---------
Total Assets .............................. $ 139,378 $ 153,988
========= =========
Liabilities and Shareholders' Equity
Current liabilities:
Current portion of long-term debt ............... $ 2,830 $ 1,079
Borrowings under lines of credit ................ 5,500 8,800
Accounts payable ................................ 10,759 15,293
Accrued salaries and benefits ................... 7,938 8,360
Accrued expenses ................................ 2,752 3,962
Customer deposits ............................... 2,276 6,157
Deferred service revenue ........................ 14,363 16,318
--------- ---------
Total current liabilities ................... 46,418 59,969
--------- ---------
Long-term debt ....................................... 3,600 5,852
--------- ---------
Other long-term liabilities .......................... 1,867 1,910
--------- ---------
Shareholders' Equity:
Preferred stock, $.02 par value,
1,000,000 shares authorized ................... -- --
Common stock, $.02 par value,
29,000,000 shares authorized;
16,258,195 and 16,189,718 shares issued;
14,605,440 and 14,536,963 outstanding ........ 325 324
Capital in excess of par value .................. 40,733 40,173
Retained earnings ............................... 53,153 52,668
Accumulated other comprehensive loss ............ (1,209) (1,399)
Treasury stock, at cost, 1,652,755 shares ....... (5,509) (5,509)
--------- ---------
Total shareholders' equity .................. 87,493 86,257
--------- ---------
Total Liabilities and Shareholders' Equity $ 139,378 $ 153,988
========= =========
PAR TECHNOLOGY CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share amounts)
(unaudited)
For the three months For the six months
ended June 30, ended June 30,
-------------------------------- --------------------------------
2009 2008 2009 2008
-------------- -------------- -------------- --------------
Net revenues:
Product ...................................... $ 17,178 $ 20,751 $ 37,415 $ 37,648
Service ...................................... 19,065 17,729 39,046 34,144
Contract ..................................... 18,216 18,754 38,466 37,549
-------------- -------------- -------------- --------------
54,459 57,234 114,927 109,341
-------------- -------------- -------------- --------------
Costs of sales:
Product ...................................... 11,485 12,612 24,553 22,037
Service ...................................... 13,385 12,877 27,862 25,360
Contract ..................................... 17,227 17,713 36,463 35,553
-------------- -------------- -------------- --------------
42,097 43,202 88,878 82,950
-------------- -------------- -------------- --------------
Gross margin ........................... 12,362 14,032 26,049 26,391
-------------- -------------- -------------- --------------
Operating expenses:
Selling, general and administrative .......... 8,647 8,742 18,242 17,803
Research and development ..................... 3,048 3,890 6,357 8,011
Amortization of identifiable intangible assets 368 389 733 779
-------------- -------------- -------------- --------------
12,063 13,021 25,332 26,593
-------------- -------------- -------------- --------------
Operating income (loss) ........................... 299 1,011 717 (202)
Other income, net ................................. 156 229 263 543
Interest expense .................................. (82) (121) (222) (470)
-------------- -------------- -------------- --------------
Income (loss) before provision for income taxes 373 1,119 758 (129)
(Provision) benefit for income taxes .............. (135) (445) (273) 58
-------------- -------------- -------------- --------------
Net income (loss) ................................. $ 238 $ 674 $ 485 $ (71)
============== ============== ============== ==============
Earnings (loss) per share
Basic ........................................ $ .02 $ .05 $ .03 $ (.00)
Diluted ...................................... $ .02 $ .05 $ .03 $ (.00)
Weighted average shares outstanding
Basic ........................................ 14,501 14,394 14,487 14,386
============== ============== ============== ==============
Diluted ...................................... 14,787 14,798 14,757 14,386
============== ============== ============== ==============