Exhibit 99.1
[CD&L LOGO]
Contacts: Russell Reardon, CFO
CD&L, Inc.
(201) 487-7740
FOR IMMEDIATE RELEASE
CD&L Reports 15% Year Over Year Revenue Growth
* EBITDA Up By More Than 40% *
SOUTH HACKENSACK, N.J., May 20, 2004 - CD&L, Inc. (Amex:CDV), announced first
quarter 2004 revenue of $46,482,000, which is $6.2 million higher than the same
three months in 2003. Net income was $ 169,000 or $.02 per basic common share
compared to net income for the same 2003 period of $606,000 or $.08 per basic
common share. The 2003 net income included a $1,034,000 pre-tax gain on the sale
of the Sureway note receivable.
The Company's Group President, Michael Brooks, said "CD&L's cost of
goods sold as a percentage of revenue had improved resulting in a gross profit
margin of 18.5% for the three months just ended compared to the 2003 first
quarter gross margin of 18.0%. Our Company's SG&A expense increased partially as
a result of the Company's increased revenue, but remained flat at 16.2% of
revenue."
Russ Reardon, the Company's CFO, stated that "the Company's earnings
before interest, depreciation, amortization and taxes ("EBITDA") reached
$1,063,000 in the first quarter 2004 versus the same quarter of 2003 of $736,000
representing an improvement of 44.4%."
CD&L, Inc. operates 70 facilities in 21 states providing last mile
delivery solutions to various industries. The Company has over 1,493 employees
and utilizes approximately 2,450 independent contractors to provide
time-sensitive delivery services to thousands of customers across the country.
Certain statements in this news release may be "forward-looking statements"
within the meaning of Section 27A of the Securities and Exchange Act of 1933.
These forward-looking statements include comments on the Company's improved
operating performance, business development program, and increased revenues and
earnings. Statements regarding future developments are based upon current
expectations and involve certain risks and uncertainties that could cause actual
results and developments to differ materially from the forward-looking
statements. Potential risks include the risk that the Company's operating
performance will not improve, or that its business development program will be
unsuccessful, or that revenues or earnings will decrease as well as other risks
specified in the Company's SEC filings.
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CD&L, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share data)
(Unaudited)
For the Three Months Ended
March 31,
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2004 2003
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Revenue $ 46,482 $ 40,307
Cost of revenue 37,884 33,043
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Gross profit 8,598 7,264
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Costs and Expenses:
Selling, general, and administrative expenses 7,535 6,528
Depreciation and amortization 221 217
Other (income), net (11) (1,101)
Interest expense 571 610
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Total Costs and Expenses 8,316 6,254
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Income before provision for income taxes 282 1,010
Provision for income taxes 113 404
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Net income $ 169 $ 606
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Net income per share:
Basic $ .02 $ .08
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Diluted $ .02 $ .07
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Basic weighted average common shares outstanding 7,659 7,659
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Diluted weighted average common shares outstanding 8,238 8,170
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CD&L, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands, except share information)
March 31, December 31,
2004 2003
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(Unaudited) (Note 1)
ASSETS
CURRENT ASSETS:
Cash and cash equivalents $ 697 $ 1,697
Accounts receivable, net 18,738 18,786
Prepaid expenses and other current assets 2,940 4,068
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Total current assets 22,375 24,551
EQUIPMENT AND LEASEHOLD IMPROVEMENTS, net 1,279 1,446
GOODWILL, net 11,531 11,531
INTANGIBLE ASSETS AND DEFERRED FINANCING COSTS, net
1,956 437
OTHER ASSETS 1,062 2,387
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Total assets $ 38,203 $ 40,352
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LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Short-term borrowings $ 3,799 $ 5,767
Current maturities of long-term debt 2,043 2,585
Accounts payable, accrued liabilities and bank overdrafts
14,981 14,392
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Total current liabilities 20,823 22,744
LONG-TERM DEBT, net of current maturities 11,395 11,785
OTHER LONG-TERM LIABILITIES 233 240
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Total liabilities 32,451 34,769
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COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS' EQUITY:
Preferred stock, $.001 par value; 2,000,000 shares
authorized; no shares issued and outstanding -- --
Common stock, $.001 par value; 30,000,000 shares
authorized; 7,688,027 shares issued at March 31, 2004 and
December 31, 2003 8 8
Additional paid-in capital 12,883 12,883
Treasury stock, 29,367 shares at cost (162) (162)
Accumulated deficit (6,977) (7,146)
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Total stockholders' equity 5,752 5,583
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Total liabilities and stockholders' equity $ 38,203 $ 40,352
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