NEWS RELEASE
FOR IMMEDIATE RELEASE
The Banker’s Store reports financial results for the 2007 third quarter
BOWLING GREEN, Ky. (April 16, 2007) – The Banker’s Store, Inc. (OTC: BSTR.OB), today announced results for the three and nine months ending Feb. 28, 2007.
The Banker’s Store provides nearly everything community banks and financial institutions need to do business. It markets equipment, software and services primarily through its Bowling Green-based B.G. Banking Equipment division.
For the fiscal 2007 third quarter, revenues grew 13 percent over the comparable FY 2006 quarter to $698,516. The quarter’s loss was $7,450, or $0.00 per diluted share), compared with the 2006 third quarter loss of ($29,473), or ($0.00) per diluted share.
CEO Vince Buckman said the company’s 2007 third quarter results reflected the completion of several projects that had taken longer to complete due to construction delays. Banking equipment sales rose 8 percent to $606,672, while sales in the office equipment division increased 74 percent to $91,844, compared with the year-earlier quarter.
For the nine-month FY 2007 period, sales were $1.79 million, compared with $1.92 million in the year-earlier period. The 2007 nine-month loss was ($213,133, or $0.01 per diluted share), compared with earnings of $27,275, or $0.00 per share, for the same period in 2006.
Last October with the hiring of a new CEO and CFO, the company began pursuing a strategy of growth through acquisitions of and mergers with regional banking service company competitors. The company has been actively identifying several potential acquisition candidates, evaluating capital structure alternatives and making other personnel and structural changes.
The company’s cash position remained strong at $475,585 at quarter’s end, and debt was negligible.
“I’m encouraged by the progress we’ve made in many areas – most particularly, our appointment as a Kimball Office dealer serving corporations and financial institutions in Bowling Green and Southern Kentucky,” said Buckman. The BG Office Equipment division is Kentucky’s sixth dealer for Kimball Office, a Kimball International, Inc., division that provides a broad line of quality casegoods, seating, and systems products used in a variety of office settings.
“We continue to work toward achieving our vision – that is, the development of a
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larger and more potent Banker’s Store that provides an expanded array of products and services to help our customers do business more efficiently and economically,” Buckman said.
The company’s full regulatory filing can be retrieved from the Securities and Exchange Commission’s Edgar site at www.sec.gov.
About The Banker’s Store
Primarily through its B.G. Banking Equipment division, The Banker’s Store sells, services and maintains a variety of equipment used within the banking industry, including ATMs, imaging equipment and digital security systems. It also sells new and refurbished safe deposit boxes, safes, banking office furniture and other specialized equipment. The Banker’s Store trades Over the Counter under the symbol BSTR.OB. More information about the company can be found at www.bankersstore.com.
Safe Harbor Statement
This news release may include forward-looking statements as defined by the Private Securities Litigation Act of 1995. These statements are subject to various risks and uncertainties, many of which are outside the control of the Company. A discussion of these factors can be found in the Company’s latest annual report on Form 10-K filed with the Securities and Exchange Commission. The Banker’s Store undertakes no obligation to update forward-looking statements for revisions or changes.
For more information:
Terry McWilliams, president, Mozaic Investor Relations, Inc., 502-410-2113 (terrym@mozaicir.com)
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FINANCIAL STATEMENTS FOLLOW
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THE BANKER'S STORE, INC. AND SUBSIDIARIES |
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CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS |
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FEBRUARY 28, 2007 AND 2006 |
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(unaudited) |
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9 MONTHS ENDED |
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3 MONTHS ENDED |
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FEB. 28, |
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FEB. 28, |
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2007 |
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2006 |
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2007 |
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2006 |
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Revenue |
$1,789,397 |
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$1,923,504 |
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$698,516 |
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$616,867 |
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Cost of goods sold |
1,279,538 |
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1,311,814 |
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451,866 |
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500,714 |
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Gross profit |
509,859 |
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611,690 |
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246,650 |
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116,153 |
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Selling, general and administrative expenses |
714,698 |
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559,159 |
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252,149 |
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160,738 |
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Income (loss) from operations |
(204,839) |
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52,531 |
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(5,499) |
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(44,585) |
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Other income (expense): |
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Interest & other income |
4,377 |
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2,966 |
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1,258 |
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1,200 |
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Interest expense |
(12,671) |
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(12,584) |
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(3,209) |
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(4,140) |
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Total other income (expense) |
(8,294) |
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(9,618) |
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(1,951) |
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(2,940) |
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Income before income tax provision |
(213,133) |
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42,913 |
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(7,450) |
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(47,525) |
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Income tax provision |
-- |
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15,638 |
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(18,052) |
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Net income |
$(213,133) |
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$27,275 |
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$(7,450) |
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$(29,473) |
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Basic earnings (loss) per common share |
$(0.01) |
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$0.00 |
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$ (0.00) |
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$(0.00) |
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Diluted earnings (loss) per share |
$ (0.01) |
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$0.00 |
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$ (0.00) |
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$(0.00) |
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Weighted average number of basic common shares |
14,954,781 |
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14,954,715 |
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14,954,781 |
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14,954,715 |
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