CES Synergies, Inc. Reports First Quarter Results
19 Mayo 2014 - 7:58AM
Marketwired
CES Synergies, Inc. Reports First Quarter Results
CRYSTAL SPRINGS,
FL--(Marketwired - May 19, 2014) - CES
Synergies, Inc. (OTCQB:
CESX) announced results for the quarter ended March
31, 2014.
Revenues for the three months ended March 31, 2014 were $3.8
million, a 12% increase as compared to revenues of $3.4 million in
the comparable 2013 period. During the first quarter of 2014,
remediation contributed $0.9 million to consolidated revenue and
demolition contributed $2.8 million. Gross margin was 17% in
the first quarter compared to 26% in the first quarter of
2013. The Company reported an operating loss of $0.5 million
as compared to operating income of $0.1 million in the first
quarter of last year. CES recorded a net loss for the first
quarter of 2014 of $0.6 million or a loss of $0.01 per basic and
diluted share.
Clyde A. Biston, Chairman and Chief Executive Officer of CES
Synergies commented, "We were pleased to achieve increased revenues
in the quarter, primarily related to new contract
activity. Gross margin performance was impacted in the quarter
by increased use of subcontractors and higher job site and other
indirect costs, but for the balance of 2014 we expect our gross
margins to improve. During the quarter, we made strategic
investments in the business to drive our long term growth,
including adding high quality business development executives and
enhancing our equipment, technology and facilities. These
enhancements have significantly improved our positioning to see a
broader scope of opportunities."
Mr. Biston continued, "We are seeing a pick-up in construction
activity and our pipeline is robust. Examples of contracts
secured during the first quarter include a contract with the
Florida Department of Transportation (FDOT) for demolition services
as well as a demolition and remediation project with the
Hillsborough County Court Annex in Tampa. Our goal is to build
upon our positioning as an established leader in the region while
making select acquisitions to grow geographically."
About CESX: CES Synergies, Inc., through its subsidiary, Cross
Environmental Services, Inc., is a specialty environmental services
company providing quality environmental contracting solutions,
demolition and remediation services to commercial and industrial
customers, as well as federal, state and municipal
entities. More information may be found at the Company's
website: www.crossenv.com.
This release contains certain statements that are, or may be
deemed to be, forward-looking statements within the meaning of
section 27A of the Securities Act of 1933 and section 21E of the
Securities Exchange Act of 1934, and are made in reliance upon the
protections provided by such Acts for forward-looking
statements. We have identified forward-looking statements by
using words such as "expect," "believe," and "should." Although we
believe our expectations are reasonable, our operations involve a
number of risks and uncertainties that are beyond our control, and
these statements may turn out not to be true. Risk factors
associated with our business, including some of the facts set forth
herein, are detailed in the Company's Form SEC filings.
|
CES Synergies and Subsidiaries |
Consolidated Statements of Operations |
|
|
|
Three month period ended March 31, |
|
|
|
2014 |
|
|
2013 |
|
|
|
|
(unaudited |
) |
|
|
(unaudited |
) |
Revenues |
|
$ |
3,812,585 |
|
|
$ |
3,399,967 |
|
Cost of sales |
|
|
3,160,075 |
|
|
|
2,503,516 |
|
Gross profit |
|
|
652,510 |
|
|
|
896,451 |
|
|
|
|
|
|
|
|
|
|
|
General and administrative expenses |
|
|
1,175,644 |
|
|
|
794,771 |
|
Operating Income (loss) |
|
|
(523,134 |
) |
|
|
101,680 |
|
|
|
|
|
|
|
|
|
|
Other income (expense) net |
|
|
(52,122 |
) |
|
|
(35,232 |
) |
|
|
|
|
|
|
|
|
|
Net income (loss) |
|
$ |
(575,256 |
) |
|
$ |
66,448 |
|
Net income (loss) per basic and diluted share |
|
$ |
(0.01 |
) |
|
$ |
415.29 |
|
Weighted average number of shares |
|
|
|
|
|
|
|
|
outstanding - Basic and Diluted |
|
|
46,549,000 |
|
|
|
160 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CES Synergies, Inc. and Subsidiaries |
Consolidated Balance Sheets |
|
|
|
|
|
|
|
March 31, 2014 |
|
December 31, 2013 |
ASSETS |
Current assets |
|
|
|
|
|
|
|
Cash |
|
$ |
72,682 |
|
$ |
250,359 |
|
Advances to employees |
|
|
15,069 |
|
|
20,223 |
|
Contracts receivable (net of allow. for bad debt) |
|
|
3,294,390 |
|
|
3,965,709 |
|
Inventory |
|
|
168,378 |
|
|
153,990 |
|
Cost and estimated earnings in excess of billings on
uncompleted contracts |
|
|
946,282 |
|
|
809,548 |
|
|
|
Total current assets |
|
|
4,496,801 |
|
|
5,199,829 |
Property and equipment, net |
|
|
2,101,568 |
|
|
2,160,818 |
Goodwill |
|
|
1,446,855 |
|
|
1,446,855 |
Other assets |
|
|
7,855 |
|
|
29,505 |
TOTAL ASSETS |
|
$ |
8,053,079 |
|
$ |
8,837,007 |
|
|
|
|
|
|
|
LIABILITIES AND STOCKHOLDERS' EQUITY |
Current liabilities |
|
|
|
|
|
|
|
Accounts payable |
|
$ |
1,329,890 |
|
$ |
1,260,709 |
|
Accrued payroll |
|
|
116,083 |
|
|
123,356 |
|
Billings in excess of costs and estimated earnings on
uncompleted contracts |
|
|
415,424 |
|
|
518,612 |
|
Current portion long-term debt |
|
|
472,372 |
|
|
472,372 |
|
|
|
Total current liabilities |
|
|
2,333,769 |
|
|
2,375,049 |
Long-term debt, net of current portion |
|
|
4,531,675 |
|
|
4,731,468 |
|
|
Total long-term liabilities |
|
|
4,531,675 |
|
|
4,731,468 |
Stockholders' equity |
|
|
|
|
|
|
|
Common stock, authorized $0.001 par value, 250,000,000
shares, at March 31, 2014, 75,000,000 shares at December 31,
2013 |
|
|
|
|
|
|
|
|
Issued: 46,549,000 shares, at March 31, 2014; 46,525,000
shares, at December 31, 2013 |
|
|
46,549 |
|
|
46,525 |
|
Additional paid in capital |
|
|
994,079 |
|
|
954,702 |
|
Retained earnings |
|
|
147,007 |
|
|
722,263 |
|
|
|
Total stockholders' equity |
|
|
1,187,635 |
|
|
1,730,490 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY |
|
$ |
8,053,079 |
|
$ |
8,837,007 |
|
|
|
|
|
|
|
Company Contact: John TostanoskiPresident CES
Synergies, Inc. (813) 783-1688 jt@crossenv.comInvestor
Contact:John Nesbett/Jen BelodeauInstitutional Marketing Services
(IMS)(203) 972-9200jnesbett@institutionalms.com
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