FOR IMMEDIATE RELEASE
Wednesday, May 17, 2000
CALPROP REPORTS FIRST QUARTER RESULTS
Company Reports $573,085 Loss in First Quarter
Marina Del Rey, CA, May 17, 2000 -- Calprop Corporation (OTCBB:CLPO), a
California and Colorado home builder, in reporting financial results for the
three month period ended March 31, 2000, today reported that it has incurred a
net loss from operations for the three month period ended March 31, 2000.
"For the three month period ended March 31, 2000, Calprop recognized a net
loss of $(573,085). As a result of continued robust sales in our Northern
California and Colorado markets, our backlog increased to 158 units,
$46,350,000, up 41.5% from 145 units, $32,750,000, a year ago. Presently,
Calprop is developing ten projects as compared to ten projects at this time a
year ago. Both the backlog and projects under development are the basis for
anticipated profitability," said Victor Zaccaglin, Calprop's chairman and chief
executive officer.
For the first quarter, Calprop's revenues were $7.6 million, a decrease of
$199,496 or 2.6% from $7.8 million of revenues in the first quarter a year ago.
A loss from development operations was $(322,839) for the first quarter compared
to income of $736,453 in the same quarter a year ago. A net loss for the first
quarter of 2000 was $(573,085) or $(0.06) per share on 10,291,673 weighted
average shares and common stock equivalents, compared with a net income of
$328,193, or $0.03 per share on 10,582,745 weighted average shares and common
stock equivalents, in the same quarter a year ago. The reduction in results were
primarily driven by a reduction in construction gross margin, $500,000 in
recognized warranty costs, $153,935 loss on the sale of land, and an increase of
$276,445 in general and administrative expenses from the same period in the
previous year.
Calprop Corporation, based in Marina Del Rey, California, builds quality
homes in some of the most desirable communities in both Northern and Southern
California and Colorado. The Company's common stock is traded on the OTCBB under
the symbol CLPO.OB.
For additional information:
contact: Mark F. Spiro, clpo.com
email: markspiro@mindspring.com
(Tables Follow)
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CALPROP CORPORATION
CONSOLIDATED BALANCE SHEETS
ASSETS
(Unaudited)
March 31,
2000 December 31,
(Unaudited) 1999
------------ -----------
Real estate development $86,005,858 $79,070,791
Other assets:
Cash and cash equivalents 953,862 1,405,663
Prepaid expenses 69,454 84,219
Deferred and other assets 6,500,000 6,500,000
Other assets 798,227 756,970
----------- -----------
Total other assets 8,321,543 8,746,852
----------- -----------
Total assets $94,327,401 $87,817,643
=========== ===========
LIABILITIES AND STOCKHOLDERS' EQUITY
Trust deeds and notes payable $55,106,332 $48,216,139
Related party notes 24,194,797 24,860,032
----------- -----------
Total trust deeds and notes payable 79,301,129 73,076,171
Accounts payable and accrued liabilities 7,368,062 6,391,621
Warranty reserves 473,591 358,287
----------- -----------
Total liabilities 87,142,782 79,826,079
----------- -----------
Minority interest -- 228,191
Stockholders' equity:
Common stock, no par value Authorized -
20,000,000 shares Issued and outstanding -
10,290,535 and 10,293,735 shares at March
31, 2000 and December 31, 1999, respectively 10,290,535 10,293,735
Additional paid-in capital 25,849,961 25,849,961
Deferred Compensation (167,127) (170,327)
Stock Purchase Loans (502,603) (496,934)
Accumulated deficit (28,286,147) (27,713,062)
----------- -----------
Total stockholders' equity 7,184,619 7,763,373
----------- -----------
Total liabilities and stockholders equity $94,327,401 $87,817,643
=========== ===========
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CALPROP CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
Three Months Ended
March 31,
-----------------------------
2000 1999
------------ ------------
Development operations:
Real estate sales $ 7,583,363 $ 7,782,859
Cost of real estate sales 7,906,202 7,046,406
------------ ------------
Income (loss) from development operations (322,839) 736,453
Other income 38,051 25,203
------------ ------------
Other expenses:
General and administrative expenses 636,005 359,560
Interest expense 16,762 8,016
------------ ------------
Total other expenses 652,767 367,576
------------ ------------
------------ ------------
Minority interests (226,393) 65,887
------------ ------------
(Loss) income before benefit for income taxes (711,162) 328,193
Benefit for income taxes 138,077 --
------------ ------------
Net (loss) income ($ 573,085) $ 328,193
============ ============
Basic and diluted net loss per share $(0.06) $0.03
============ ============
Weighted average number of common shares
and common stock equivalents adjusted for
stock dividends 10,291,673 10,582,745
Units
Single family homes 33 33
Townhomes -- --
------------ ------------
Total 33 33
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