DALLAS, MAY 7, 2001 (PRIMEZONE) -- ABATIX Corp. (Nasdaq:ABIX) today announced that revenues for the three months ended March 31, 2001 of $12,133,000 increased 7% from revenues of $11,362,000 for the first quarter of 2000. Net earnings of $196,000 or $.11 per share for the first quarter of 2001 increased 275% from 2000 net earnings of $52,000 or $.03 per share. The 7% increase in revenue from 2000 is primarily attributable to the focused effort to expand the customer base in the first quarter, primarily sales to environmental contractors. Earnings increased primarily due to the increase in sales volume and a decrease in interest expense.
Mr. Terry W. Shaver, President, stated "We are very pleased with the increase in earnings this quarter and anticipate a strong 2001 as long as the economy remains stable. We will continue to focus on expanding our product lines in all of our locations to support revenue growth and better serve our customers, while focusing on niche growth markets in the environmental and construction industries. In addition, we are continuing to focus on our internal operations by aligning general and administrative costs with revenues to improve operating profits."
Mr. Shaver concluded, "While many companies have abandoned or downsized their e-commerce initiatives, we have maintained our steady forward progress to offer a viable technology solution for customers. We expect our first-class solution will be available to current and potential customers in the fourth quarter of this year."
Except for the historical information contained herein, the matters set forth in this release are forward looking and involve a number of risks and uncertainties. Among the factors that could cause actual results to differ materially are the following: inability to hire and train quality people, funding of environmental related projects, general economic and commercial real estate conditions in the local markets, restrictions on trade with foreign countries, changes in interest rates, inability to pass on price increases to customers, unavailability of products and strong competition. In addition, further increases in oil prices or shortages in oil supply could significantly impact the Company's petroleum based products and its ability to supply those products at a reasonable price. Furthermore, lack of acceptance of our proposed e-commerce solution or the impairment of goodwill resulting from the 1999 acquisitions could cause actual results to differ materially.
ABATIX Corp. is a full line supplier to the construction tool, industrial safety, hazardous materials and asbestos abatement industries. The Company currently has seven distribution centers in Dallas and Houston, Texas, in San Francisco and Los Angeles, California, in Phoenix, Arizona, in Seattle, Washington and in Las Vegas, Nevada. These distribution centers serve customers throughout the Southwest, Midwest, Pacific Coast, Alaska and Hawaii.
ABATIX CORP.
SELECTED FINANCIAL INFORMATION
(Unaudited)
Three Months Ended
March 31,
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2001 2000
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Net sales $ 12,132,882 $ 11,361,744
Cost of sales 8,745,413 8,191,890
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Gross profit 3,387,469 3,169,854
Selling, general and
administrative expenses 2,929,928 2,937,410
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Operating profit 457,541 232,444
Other expense, net 130,752 144,533
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Earnings before income taxes 326,789 87,911
Income tax expense 130,716 35,604
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Net earnings $ 196,073 $ 52,307
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Basic and diluted earnings per share $ .11 $ .03
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Basic and diluted weighted average
shares outstanding 1,711,148 1,711,148
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As of
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March 31, December 31,
2001 2000
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Current assets $ 13,942,761 $ 12,075,248
Total assets $ 15,809,834 $ 14,042,437
Current liabilities $ 8,982,433 $ 7,411,109
Total stockholders' equity $ 6,827,401 $ 6,631,328