FOR IMMEDIATE RELEASE
Monday, May 3, 1999
CALPROP REPORTS FIRST QUARTER RESULTS
COMPANY REPORTS $328,193 IN PROFITS FOR FIRST QUARTER
-----------------------------------------------------
MARINA DEL REY, CA, MAY 3, 1999 -- Calprop Corporation (OTCBB:CLPO), a
California and Colorado home builder, in reporting financial results for the
three month period ended March 31, 1999, today reported that it has earned a net
profit from operations for the three month period ended March 31, 1999.
"For the three month period ended March 31, 1999, Calprop recognized a
profit from operations. This is our fourth profitable quarter in succession as
the Northern and Southern California and Colorado markets continue to provide
robust housing sales. We closed $7.8 million in product this quarter more than
doubling our effort of a year ago, $2.8 million. Our backlog continues to
increase at 145 units, $32,750,000 , up 9.8% from 144 units, $29,835,000 a year
ago. Presently, Calprop is developing ten projects as compared to five projects
at this time a year ago. The increase in both backlog and projects under
development is the basis for anticipated continued profitability," said Victor
Zaccaglin, Calprop's chairman and chief executive officer.
For the first quarter, Calprop's revenues were $7.8 million, an increase of
$5.0 million or 177.4% from $2.8 million of revenues in the first quarter a year
ago. Income from development operations was $736,453 for the first quarter
compared to a loss of ($82,503) in the same quarter a year ago. Net income for
the first quarter of 1999 was $328,193 or $0.03 per share on 10,582,745 weighted
average shares and common stock equivalents, compared with a net loss of
($494,163), or ($0.05) per share on 9,531,639 weighted average shares and common
stock equivalents, in the same quarter a year ago. The improved results were
primarily driven by an increase in construction gross margin and sales revenue.
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.
For additional information:
contact: Mark F. Spiro, (310) 306-4314
website: clpo.com
email: CLBP22C@prodigy.com
(TABLE FOLLOWS)
3
CALPROP CORPORATION
CONSOLIDATED BALANCE SHEETS
ASSETS
(Unaudited)
March 31, December 31,
1999 1998
--------- ------------
Real estate development $ 72,266,868 $ 65,282,197
Other assets:
Cash and cash equivalents 1,212,285 1,590,403
Prepaid expenses 75,378 88,775
Deferred and other assets 4,800,000 4,800,000
Other assets 664,836 760,514
------------- -------------
Total other assets 6,752,499 7,239,692
------------- -------------
Total assets $ 79,019,367 $ 72,521,889
------------- -------------
------------- -------------
LIABILITIES AND STOCKHOLDERS' EQUITY
Trust deeds and notes payable $43,723,942 $37,524,507
Related party notes 21,838,291 20,870,286
------------- -------------
Total trust deeds and notes payable 65,562,233 58,394,793
Accounts payable and accrued liabilities 3,961,171 5,056,010
Warranty reserves 321,028 284,624
------------- -------------
Total liabilities 69,844,432 63,735,427
------------- -------------
Minority interest 392,828 326,941
Stockholders' equity:
Common stock, no par value
Authorized - 20,000,000 shares
Issued and outstanding - 10,274,935 and 10,284,135 shares
at March 31, 1999 and December 31, 1998, respectively 10,274,935 10,284,135
Additional paid-in capital 25,851,130 25,851,130
Deferred compensation (231,930) (241,130)
Stock purchase loans (479,741) (474,134)
Accumulated deficit (26,632,287) (26,960,480)
------------- -------------
Total stockholders' equity 8,782,107 8,459,521
------------- -------------
Total liabilities and stockholders' equity $79,019,367 $72,521,889
------------- -------------
------------- -------------
- more -
4
CALPROP CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
THREE MONTHS ENDED
MARCH 31,
-------------------------------------
1999 1998
----------- -----------
Development operations:
Real estate sales $7,782,859 $2,805,786
Cost of real estate sales 7,046,406 2,888,289
----------- -----------
Income (loss) from development operations 736,453 (82,503)
Other income 25,203 35,981
----------- -----------
Other expenses:
General and administrative expenses 359,560 385,976
Interest expense 8,016 68,567
----------- -----------
Total other expenses 367,576 454,543
----------- -----------
Minority interests 65,887 (6,902)
----------- -----------
Net income (loss) $ 328,193 $(494,163)
----------- -----------
----------- -----------
Basic and diluted net loss per share $0.03 $(0.05)
----- -------
----- -------
Weighted average number of common shares and
common stock equivalents adjusted for stock dividends 10,582,745 9,531,639
UNITS
Single family homes 33 17
Townhomes -- --
--- ---
TOTAL 33 17
# # #
5