DAYTONA BEACH, Fla., July 16 /PRNewswire-FirstCall/ --
Consolidated-Tomoka Land Co. (NYSE Amex: CTO) today reported net
income of $187,809 or $.03 earnings per basic share for the quarter
ended June 30, 2009, compared with net income of $2,171,192 or $.38
earnings per basic share for the same period in 2008. Earnings
before depreciation, amortization and deferred taxes (EBDDT)
totaled $.20 per basic share in 2009's second quarter, compared
with $.71 per basic share in the corresponding period in 2008. For
the six months ended June 30, 2009, net income totaled $510,015 or
$.09 earnings per basic share and EBDDT totaled $.35 per basic
share. The comparable numbers for the first six months of 2008 were
net income of $2,327,316 or $.41 earnings per basic share and EBDDT
of $.77 per basic share. EBDDT is being provided to reflect the
impact of the Company's business strategy of investing in income
properties utilizing tax deferred exchanges. This strategy
generates significant amounts of depreciation and deferred taxes.
The Company believes EBDDT is useful, along with net income, to
understanding the Company's operating results. William H. McMunn,
president and chief executive officer, stated, "The Company was
able to generate a profit for the quarter despite having only one
land sale because of its established business plan. The plan
emphasizes low debt and stable income produced by an income
properties portfolio of net-lease credit tenants. We believe our
strategy, when compared to that of our peers, best protects
long-term shareholder value. Quarterly results were negatively
impacted by increased proxy contest expenses and stock option
expenses resulting primarily from our stock's price increase, which
collectively totaled over $2.5 million, or approximately $.27 per
basic share, net of tax, compared with 2008's same period. We
believe that our Company is well-positioned to weather the current
real estate and overall economic downturns. Management continues to
position the Company for the eventual economic upturn by focusing
on long-range land planning and land use improvements."
Consolidated-Tomoka Land Co. is a Florida-based company primarily
engaged in converting Company owned agricultural lands into a
portfolio of net lease income properties strategically located in
the Southeast, through the efficient utilization of 1031
tax-deferred exchanges. The Company has low long-term debt and
generates over $9 million annually before tax cash flow from its
real estate portfolio. The Company also engages in selective
self-development of targeted income properties. The Company's
adopted strategy is designed to provide the financial strength and
cash flow to weather difficult real estate cycles. Visit our
website at http://www.ctlc.com/. "Safe Harbor" Certain statements
contained in this press release (other than statements of
historical fact) are forward-looking statements. The words
"believe," "estimate," "expect," "intend," "anticipate," "will,"
"could," "may," "should," "plan," "potential," "predict,"
"forecast," "project," and similar expressions and variations
thereof identify certain of such forward-looking statements, which
speak only as of the dates on which they were made. Forward-looking
statements are made based upon management's expectations and
beliefs concerning future developments and their potential effect
upon the Company. There can be no assurance that future
developments will be in accordance with management's expectations
or that the effect of future developments on the Company will be
those anticipated by management. The Company wishes to caution
readers that the assumptions which form the basis for
forward-looking statements with respect to or that may impact
earnings for the year ended December 31, 2009, and thereafter
include many factors that are beyond the Company's ability to
control or estimate precisely. These risks and uncertainties
include, but are not limited to, the strength of the real estate
market in the City of Daytona Beach in Volusia County, Florida; the
impact of a prolonged recession or further downturn in economic
conditions; our ability to successfully execute acquisition or
development strategies; any loss of key management personnel;
changes in local, regional and national economic conditions
affecting the real estate development business and income
properties; the impact of environmental and land use regulations;
the impact of competitive real estate activity; variability in
quarterly results due to the unpredictable timing of land sales;
the loss of any major income property tenants; and the availability
of capital. Additional information concerning these and other
factors that could cause actual results to differ materially from
those forward-looking statements is contained from time to time in
the Company's Securities and Exchange Commission filings,
including, but not limited to, the Company's Annual Report on Form
10-K. Copies of each filing may be obtained from the Company or the
SEC. While the Company periodically reassesses material trends and
uncertainties affecting its results of operations and financial
condition, the Company does not intend to review or revise any
particular forward-looking statement referenced herein in light of
future events. Disclosures in this press release regarding the
Company's current quarter's financial results are preliminary and
are subject to change in connection with the Company's preparation
and filing of its Form 10-Q for the quarter ended June 30, 2009.
The financial information in this release reflects the Company's
preliminary results subject to completion of the quarterly review
process. The final results for the quarter may differ from the
preliminary results discussed above due to factors that include,
but are not limited to, risks associated with final review of the
results and preparation of financial statements. This release
refers to certain non-GAAP financial measures. As required by the
SEC, the Company has provided a reconciliation of these measures to
the most directly comparable GAAP measures with this release.
Non-GAAP measures as the Company has calculated them may not be
comparable to similarly titled measures reported by other
companies. EARNINGS NEWS RELEASE QUARTER ENDED JUNE 30, JUNE 30,
2009 2008 REVENUES $5,263,530 $6,133,734 NET INCOME $187,809
$2,171,192 BASIC & DILUTED EARNINGS PER SHARE: NET INCOME $0.03
$0.38 SIX MONTHS ENDED JUNE 30, JUNE 30, 2009 2008 REVENUES
$9,109,457 $10,072,230 NET INCOME $510,015 $2,327,316 BASIC &
DILUTED EARNINGS PER SHARE: NET INCOME $0.09 $0.41 RECONCILIATION
OF NET INCOME TO EARNINGS BEFORE DEPRECIATION, AMORTIZATION AND
DEFERRED TAXES QUARTER ENDED JUNE 30, JUNE 30, 2009 2008 NET INCOME
$187,809 $2,171,192 ADD BACK: DEPRECIATION & AMORTIZATION
685,270 664,831 DEFERRED TAXES 260,631 1,248,616 EARNINGS BEFORE
DEPRECIATION, AMORTIZATION AND DEFERRED TAXES $1,133,710 $4,084,639
BASIC WEIGHTED AVERAGE SHARES OUTSTANDING 5,723,268 5,727,515 BASIC
EBDDT PER SHARE $0.20 $0.71 RECONCILIATION OF NET INCOME TO
EARNINGS BEFORE DEPRECIATION, AMORTIZATION AND DEFERRED TAXES SIX
MONTHS ENDED JUNE 30, JUNE 30, 2009 2008 NET INCOME $510,015
$2,327,316 ADD BACK: DEPRECIATION & AMORTIZATION 1,368,157
1,289,761 DEFERRED TAXES 113,863 815,599 EARNINGS BEFORE
DEPRECIATION, AMORTIZATION AND DEFERRED TAXES $1,992,035 $4,432,676
BASIC WEIGHTED AVERAGE SHARES OUTSTANDING 5,724,879 5,726,848 BASIC
EBDDT PER SHARE $0.35 $0.77 EBDDT - EARNINGS BEFORE DEPRECIATION,
AMORTIZATION, AND DEFERRED TAXES. EBDDT IS NOT A MEASURE OF
OPERATING RESULTS OR CASH FLOWS FROM OPERATING ACTIVITIES AS
DEFINED BY U.S. GENERALLY ACCEPTED ACCOUNTING PRINCIPLES. FURTHER,
EBDDT IS NOT NECESSARILY INDICATIVE OF CASH AVAILABILITY TO FUND
CASH NEEDS AND SHOULD NOT BE CONSIDERED AS AN ALTERNATIVE TO CASH
FLOW AS A MEASURE OF LIQUIDITY. THE COMPANY BELIEVES, HOWEVER, THAT
EBDDT PROVIDES RELEVANT INFORMATION ABOUT OPERATIONS AND IS USEFUL,
ALONG WITH NET INCOME, FOR AN UNDERSTANDING OF THE COMPANY'S
OPERATING RESULTS. EBDDT IS CALCULATED BY ADDING DEPRECIATION,
AMORTIZATION AND THE CHANGE IN DEFERRED INCOME TAXES TO NET INCOME
AS THEY REPRESENT NON-CASH CHARGES. CONSOLIDATED BALANCE SHEETS
JUNE 30, DECEMBER 31, 2009 2008 ASSETS $ $ Cash 712,735 388,787
Restricted Cash -- 462,765 Investment Securities 4,948,011
5,260,868 Refundable Income Taxes 413,344 -- Notes Receivable
4,003,693 4,153,693 Land and Development Costs 19,821,489
18,973,138 Intangible Assets 4,799,234 5,009,819 Other Assets
5,661,464 6,048,126 40,359,970 40,297,196 Property, Plant &
Equipment: Land, Timber and Subsurface Interests 13,196,544
12,643,391 Golf Buildings, Improvements & Equipment 11,777,719
11,750,711 Income Properties Land, Buildings & Improvements
119,285,746 116,517,534 Other Building, Equipment and Land
Improvements 3,224,292 3,207,845 Construction in Process --
1,217,549 Total Property, Plant and Equipment 147,484,301
145,337,030 Less, Accumulated Depreciation and Amortization
(13,642,811) (12,488,163) Net - Property, Plant and Equipment
133,841,490 132,848,867 TOTAL ASSETS 174,201,460 173,146,063
LIABILITIES Accounts Payable 134,035 706,095 Accrued Liabilities
7,408,839 7,204,749 Accrued Stock Based Compensation 1,545,988
1,190,725 Pension Liability 2,847,605 3,127,230 Income Taxes
Payable -- 1,236,206 Deferred Income Taxes 33,430,299 33,316,436
Notes Payable 11,632,843 8,550,315 TOTAL LIABILITIES 56,999,609
55,331,756 SHAREHOLDERS' EQUITY Common Stock 5,723,268 5,727,515
Additional Paid in Capital 5,131,246 5,217,955 Retained Earnings
108,920,998 109,556,103 Accumulated Other Comprehensive Loss
(2,573,661) (2,687,266) TOTAL SHAREHOLDERS' EQUITY 117,201,851
117,814,307 TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY 174,201,460
173,146,063 DATASOURCE: Consolidated-Tomoka Land Co. CONTACT: Bruce
W. Teeters, Sr. Vice President, Phone: +1-386-274-2202, Facsimile:
+1-386-274-1223 Web Site: http://www.ctlc.com/
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