EXHIBIT 99.1
(CENTRAL PARKING CORPORATION LOGO)
NEWS
2401 21st Avenue South, Suite 200, Nashville, TN 37212 (615) 297-4255
Fax: (615) 297-6240
Investor Contact: Mark Shapiro Media Contact: Richard Jonardi
Senior Vice President and Communications Manager
Chief Financial Officer (615) 297-4255
(615) 297-4255 rjonardi@parking.com
mshapiro@parking.com
CENTRAL PARKING REPORTS IMPROVED FISCAL SECOND QUARTER RESULTS
NASHVILLE, TN. (APRIL 28, 2004) - Central Parking Corporation (NYSE:CPC) today
announced that earnings from continuing operations for the quarter ended March
31, 2004, increased to $3.5 million, or $0.10 per diluted share compared with a
loss of $6.9 million, or $0.19 per diluted share in the second fiscal quarter of
2003. Net earnings for the second quarter of fiscal 2004 were $3.5 million, or
$0.10 per diluted share compared with a net loss of $9.2 million, or $0.25 per
diluted share for the second quarter of the previous fiscal year. For the second
quarter of 2004, total revenues increased 5.0% to $290.8 million, while revenues
excluding reimbursed management costs increased 1.6% to $177.0 million compared
with the year-earlier period.
Earnings from continuing operations for the six months ended March 31,
2004 were $12.9 million, or $0.36 per diluted share compared with a loss of $1.8
million, or $0.05 per diluted share in the first half of fiscal 2003. Net
earnings for the first half of fiscal 2004 were $11.9 million, or $0.33 per
share compared with a loss of $2.3 million, or $0.06 per share in the
year-earlier period. Total revenues increased 5.3% to $588.1 million for the
first half of 2004, while revenues excluding reimbursed management costs
increased 2.2% to $361.5 million.
During the second quarter, the Company continued its program of
opportunistic property sales completing more than $6 million of sale
transactions. Year-to-date, property sales through March 31, 2004 totaled more
than $30 million with all of the proceeds used to reduce debt. Pre-tax gain on
property sales included in results from continuing operations totaled $3.3
million, or $0.05 per diluted share for the second quarter and $4.5 million, or
$.08 per diluted share for the year-to-date period.
"Operating results for the second quarter continued the positive trends
seen in the first quarter," said Monroe J. Carell, Jr., Chairman and Chief
Executive Officer. "Profits from continuing operations increased due to higher
comparable sales, primarily in the New York region; lower expenses, particularly
in payroll and rent expense; and property-related gains. Partially offsetting
those results were losses and non-cash impairments of approximately $2.6
million, net of tax, or $0.07 per share, reported by our 50%-owned,
non-consolidated affiliate in Mexico. We expect earnings from our Mexican
investment to be reduced by less than $0.01 per diluted share for the remainder
of fiscal 2004."
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April 28, 2004
Mr. Carell continued, "As in the first quarter, we again demonstrated
an ability to execute to our plan by improving margins through leveraging fixed
costs and by reducing debt. Improved cash flow from operations, lower capital
expenditures and successful property sales allowed us to reduce our debt by more
than $23 million in the quarter, bringing the total debt reduction for the first
half of 2004 to more than $61 million.
"As the economy strengthens we expect to see gradual improvement in
office occupancy rates in many central business districts. That trend, along
with our efforts to maintain a reduced level of expenses, should produce
favorable year over year comparisons in the second half. As a result, we
continue to expect that earnings from continuing operations, excluding
property-related gains or losses, for the full year will be in the range of
$0.55 to $0.65 per share," Carell concluded.
A conference call regarding this release is scheduled for Thursday, April 29,
2004, beginning at 10:00 a.m. (ET). Investors and other interested parties may
listen to the teleconference by accessing the online, real-time webcast and
broadcast of the call at www.parking.com or www.fulldisclosure.com.
Central Parking Corporation, headquartered in Nashville, Tennessee, is
a leading global provider of parking and transportation management services. The
Company operates approximately 3,700 parking facilities containing approximately
1.6 million spaces at locations in 38 states, the District of Columbia, Canada,
Puerto Rico, the United Kingdom, the Republic of Ireland, Mexico, Chile, Peru,
Colombia, Venezuela, Germany, Switzerland, Poland, Spain and Greece.
This press release contains historical and forward-looking information.
The words "expect," "should," "believe," "anticipate," "project," "plan,"
"estimate," "objective," "outlook," "assumptions," "guidance," "forecast,"
"goal," "intend," "will likely result," or "will continue" and similar
expressions identify forward-looking statements. The forward-looking statements
are made pursuant to the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. The Company believes the assumptions underlying
these forward-looking statements are reasonable; however, any of the assumptions
could be inaccurate, and therefore, actual results may differ materially from
those projected in the forward-looking statements. The factors that may result
in actual results differing from such forward-looking information include, but
are not limited to: the Company's ability to achieve the goals described in this
release and other communications, including but not limited to, continued
efforts to maintain reduced operating costs and further reductions in the
Company's indebtedness, as well as continued improvement in same store sales,
which is dependent on improvements in general economic conditions and office
occupancy rates; the loss or renewal on less favorable terms, of management
contracts and leases; the timing of pre-opening, start-up and break-in costs of
parking facilities; the Company's ability to cover the fixed costs of its leased
and owned facilities and its overall ability to maintain adequate liquidity
through its cash resources and credit facilities; the Company's ability to
comply with the terms of the Company's credit facilities (or obtain waivers for
non-compliance); interest rate fluctuations; acts of war or terrorism; temporary
changes in demand due to weather patterns; higher premium and claims costs
relating to the Company's insurance programs, including medical, liability and
workers' compensation; the Company's ability to renew and obtain performance and
surety bonds on favorable terms; and the impact of litigation, including but not
limited to, the securities class action lawsuits pending against the Company;
and increased regulation or taxation of parking operations.
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April 28, 2004
Readers are cautioned not to place undue reliance on these
forward-looking statements, which speak only as of the date of this release. The
Company undertakes no obligation to publicly update or revise any
forward-looking statements contained herein to reflect events or circumstances
occurring after the date of this release or to reflect the occurrence of
unanticipated events. We have provided additional information in our Annual
Report on Form10-K for our fiscal year ended September 30, 2003 filed with the
Securities and Exchange Commission, which readers are encouraged to review,
concerning other factors that could cause actual results to differ materially
from those indicated in the forward-looking statements.
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April 28, 2004
CENTRAL PARKING CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF EARNINGS
(UNAUDITED)
Amounts in thousands, except per share data
QTD ENDED MARCH 31, YTD ENDED MARCH 31,
2004 2003 2004 2003
--------- --------- --------- ---------
Revenues:
Parking $ 146,054 $ 145,001 $ 297,608 $ 294,065
Management contracts 30,941 29,275 63,903 59,570
--------- --------- --------- ---------
176,995 174,276 361,511 353,635
Reimbursement of management contract expenses 113,835 102,722 226,559 204,703
--------- --------- --------- ---------
Total revenues 290,830 276,998 588,070 558,338
Costs and expenses:
Cost of parking 134,205 139,380 267,171 272,106
Cost of management contracts 14,594 17,486 28,968 32,096
General and administrative 18,279 20,785 37,109 41,442
Non-compete amortization 11 50 22 144
--------- --------- --------- ---------
167,089 177,701 333,270 345,788
Reimbursed management contract expenses 113,835 102,722 226,559 204,703
--------- --------- --------- ---------
Total costs and expenses 280,924 280,423 559,829 550,491
Property-related gains (losses), net 3,294 (3,300) 4,536 (3,179)
--------- --------- --------- ---------
Operating earnings (losses) 13,200 (6,725) 32,777 4,668
Other income (expenses):
Interest income 1,178 1,151 2,425 2,350
Interest expense (4,071) (5,594) (8,341) (8,548)
Interest expense -subordinated debentures (1,045) (1,045) (2,089) (2,089)
Gain on sale of non-operating assets -- 3,241 -- 3,241
Equity in partnership and joint venture earnings (2,535) 878 (1,988) 1,546
--------- --------- --------- ---------
Earnings from continuing operations before minority
interest and income taxes 6,727 (8,094) 22,784 1,168
Minority interest, net of tax (644) (1,075) (1,657) (2,360)
--------- --------- --------- ---------
Earnings from continuing operations before income taxes 6,083 (9,169) 21,127 (1,192)
Income tax (expense) benefit (2,601) 2,256 (8,206) (643)
--------- --------- --------- ---------
Earnings (loss) from continuing operations 3,482 (6,913) 12,921 (1,835)
--------- --------- --------- ---------
Discontinued operations, net of tax 53 (2,237) (992) (449)
--------- --------- --------- ---------
Net earnings (loss) $ 3,535 $ (9,150) $ 11,929 $ (2,284)
========= ========= ========= =========
Basic earnings (loss) per share:
Earnings (loss) from continuing operations $ 0.10 $ (0.19) $ 0.36 $ (0.05)
Discontinued operations, net of tax 0.00 (0.06) (0.03) (0.01)
--------- --------- --------- ---------
Net earnings (loss) $ 0.10 $ (0.25) $ 0.33 $ (0.06)
========= ========= ========= =========
Diluted earnings (loss) per share:
Earnings (loss) from continuing operations $ 0.10 $ (0.19) $ 0.36 $ (0.05)
Discontinued operations, net of tax 0.00 (0.06) (0.03) (0.01)
--------- --------- --------- ---------
Net earnings (loss) $ 0.10 $ (0.25) $ 0.33 $ (0.06)
========= ========= ========= =========
Weighted average shares used for basic per share data 36,238 35,980 36,198 35,974
Effect of dilutive common stock options 285 -- 166 --
--------- --------- --------- ---------
Weighted average shares used for dilutive per share data 36,523 35,980 36,364 35,974
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April 28, 2004
CENTRAL PARKING CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
Amounts in thousands
MARCH 31, SEPTEMBER 30,
2004 2003
--------- ------------
ASSETS
Current assets:
Cash and cash equivalents $ 34,807 $ 31,572
Management accounts receivable 35,261 34,174
Accounts receivable - other 7,041 15,440
Current portion of notes receivable 5,532 8,220
Prepaid expenses 16,311 11,424
Assets held for sale 37,533 39,417
Refundable income taxes 3,826 5,483
--------- ---------
Total current assets 140,311 145,730
Notes receivable, less current portion 40,529 40,879
Property, equipment and leasehold improvements, net 373,069 414,265
Contract and lease rights, net 92,996 102,315
Goodwill, net 230,312 230,312
Investment in and advances to partnerships and joint ventures 10,518 13,649
Other assets 45,420 42,297
--------- ---------
Total Assets $ 933,155 $ 989,447
========= =========
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Current portion of long-term debt and capital lease obligations $ 15,503 $ 3,623
Accounts payable 73,486 80,128
Accrued expenses 44,761 43,661
Management accounts payable 23,144 22,392
--------- ---------
Total current liabilities 156,894 149,804
Long-term debt and capital lease obligations, less current portion 193,200 266,961
Subordinated debentures 78,085 78,085
Deferred rent 26,033 27,569
Deferred income taxes 3,733 3,010
Other liabilities 16,459 16,303
--------- ---------
Total liabilities 474,404 541,732
--------- ---------
Minority interest 29,646 31,189
Shareholders' equity:
Common stock 364 362
Additional paid-in capital 248,515 246,559
Accumulated other comprehensive income, net (140) 78
Retained earnings 181,071 170,232
Other (705) (705)
--------- ---------
Total shareholders' equity 429,105 416,526
--------- ---------
Total Liabilities and Shareholders' Equity $ 933,155 $ 989,447
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April 28, 2004
CENTRAL PARKING CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(UNAUDITED)
Amounts in thousands
YTD MARCH 31,
2004 2003
--------- ---------
Cash flows from operating activities:
Net earnings $ 11,929 $ (2,284)
Loss (earnings) from discontinued operations 992 449
--------- ---------
Earnings from continuing operations 12,921 (1,835)
Adjustments to reconcile net earnings (loss) from continuing operations to net cash
provided (used) by operating activities - continuing operations:
Depreciation and amortization 16,604 17,139
Equity in partnership and joint venture earnings 1,974 (1,261)
Distributions from partnerships and joint ventures 943 591
Gain on sale of non operating assets -- (3,241)
Property-related losses (gains), net (4,536) 3,179
Loss on derivatives related to refinancing -- 918
Decrease in fair value of derivatives -- 12
Deferred income taxes 701 (3,968)
Minority interest, net of tax 1,657 2,360
Changes in operating assets and liabilities:
Management accounts receivable (1,087) 801
Accounts receivable - other 8,399 4,373
Prepaid expenses (4,887) (2,857)
Other assets (5,592) (1,237)
Accounts payable, accrued expenses and other liabilities (9,868) 4,436
Management accounts payable 752 3,175
Deferred rent (1,536) (771)
Refundable income taxes 1,657 --
Income taxes payable -- (8,698)
--------- ---------
Net cash provided by operating activities - continuing operations 18,102 13,116
Net cash provided (used) by operating activities - discontinued operations 526 (2,600)
--------- ---------
Net cash provided by operating activities 18,628 10,516
--------- ---------
Cash flows from investing activities:
Proceeds from disposition of property and equipment 50,916 17,200
Purchase of property, equipment and leasehold improvements (5,591) (34,573)
Purchase of contract and lease rights -- (7,857)
Other investing activities 3,139 8,452
--------- ---------
Net cash provided (used) by investing activities 48,464 (16,778)
--------- ---------
Cash flows from financing activities:
Dividends paid (1,090) (1,081)
Net (repayments) under revolving credit agreement (49,000) (83,000)
Proceeds from issuance of notes payable, net of issuance costs 1,851 175,000
Principal repayments on long-term debt and capital lease obligations (14,732) (76,761)
Payment to minority interest partners (2,845) (3,597)
Proceeds from issuance of common stock and exercise of stock options 2,082 528
--------- ---------
Net cash (used) provided by financing activities (63,734) 11,089
--------- ---------
Foreign currency translation (123) 1
--------- ---------
Net decrease in cash and cash equivalents 3,235 4,828
Cash and cash equivalents at beginning of period 31,572 33,498
--------- ---------
Cash and cash equivalents at end of period $ 34,807 $ 38,326
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Key Financial Metrics
(In thousands)
QTD Ended March 31, YTD Ended March 31,
2004 2003 2004 2003
-------- -------- -------- --------
Net earnings (loss) $ 3,535 $ (9,150) $ 11,929 $ (2,284)
Interest expense 5,116 6,639 10,430 10,637
Income tax expense (benefit) 2,702 (3,746) 7,545 (342)
Depreciation/amortization 7,400 8,552 15,657 16,390
Minority interest, net of tax 644 1,075 1,657 2,360
-------- -------- -------- --------
EBITDA $ 19,397 $ 3,370 $ 47,218 $ 26,761
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In addition to disclosing financial results prepared in accordance with GAAP,
the Company discloses information regarding EBITDA. EBITDA is a non-GAAP
financial measure defined as earnings before interest, taxes, depreciation/
amortization, minority interest, and cumulative effect in accounting changes.
The Securities and Exchange Commission ("SEC") recently adopted new rules
concerning the use of non-GAAP financial measures. As required by the SEC, the
Company provides the above reconciliation to net earnings (loss) which is the
most directly comparable GAAP measure. The Company presents EBITDA as it is a
common alternative measure of performance which is used by management as well as
investors when analyzing the financial position and operating performance of the
Company. As EBITDA is a non-GAAP financial measure, it should not be considered
in isolation or as a substitute for net earnings (loss) or any other GAAP
measure. Because EBITDA is not calculated in the same manner by all companies,
the Company's definition of EBITDA may not be consistent with that of other
companies.
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