BAB, Inc. Reports Profit for 2nd Quarter FY 2012

DEERFIELD, Ill.--(BUSINESS WIRE)--BAB, Inc. (OTCBB: BABB), announced its financial results for the second quarter ended May 31, 2012.

For the quarter ended May 31, 2012, BAB had revenues of $826,000 and net income of $267,000, or $0.04 per share, versus revenues of $793,000 and net income of $144,000, or $0.02 per share, for the same quarter last year. The Company received $172,000 of franchise settlement revenue of which $171,000 was from a single settlement in the quarter ended May 31, 2012 versus $12,000 in 2011. The Company had no company-owned store sales for the quarter ended May 31, 2012 versus $106,000 for the quarter ended May 31, 2011.

For the six months ended May 31, 2012, BAB had revenues of $1,393,000 and net income of $277,000, or $0.04 per share, versus revenues of $1,512,000 and net income of $179,000, or $0.02 per share for the same period in 2011. The Company received $173,000 for settlement fees in the six months ended May 31, 2012 versus $26,000 of such revenues in 2011. The Company had no company-owned store sales for the six months ended May 31, 2012 versus $200,000 for the six months ended May 31, 2011.

Total operating expenses for the quarter ended May 31, 2012, were $543,000, 65.7% of net sales, versus $648,000, 81.7% of net sales, in 2011. There were no company-owned store expenses in the quarter ended May 31, 2012 versus $102,000 in quarter ended May 31, 2011. Total operating expenses for the six months ended May 31, 2012 were $1,099,000, 78.9% of net sales, versus $1,331,000, 88.0% of net sales, for six months ended May 31, 2011. There were no company-owned store expenses in the six months ended May 31, 2012 versus $202,000 for the six months ended May 31, 2011.

BAB, Inc. operates, franchises, and licenses Big Apple Bagels®, My Favorite Muffin® SweetDuet Frozen Yogurt & Gourmet Muffins™, Jacobs Bros. Bagels® and Brewster's ® Coffee. The Company's stock is traded on the OTCBB under the symbol BABB and its web site can be visited at www.babcorp.com.

(TABLE FOLLOWS)

 
BAB, INC.
CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
 
         
    Quarter Ended   Six Months Ended
    05/31/12   05/31/11   % Change   05/31/12   05/31/11   % Change
                         
REVENUES                        
                         
Royalty fees from franchised stores   $489,081     $463,424     5.5 %   $932,002     $862,644     8.0 %
Franchise and area development fee revenue   37,500     60,000     N/M     42,500     144,300     -70.5 %
Net sales by company-owned stores   0     105,962     -100.0 %   0     199,695     -100.0 %
Licensing fees and other income   299,205     163,383     83.1 %   418,776     305,742     37.0 %
    825,786     792,769     4.2 %   1,393,278     1,512,381     -7.9 %
                         
OPERATING COSTS AND EXPENSES                        
Food, beverage and paper costs   0     36,291     -100.0 %   0     69,153     -100.0 %
Store payroll and other operating expenses   0     65,605     -100.0 %   0     132,851     -100.0 %
Selling, general and administrative   537,766     538,684     -0.2 %   1,089,547     1,114,874     -2.3 %
Depreciation and amortization   4,782     6,963     -31.3 %   9,566     14,386     -33.5 %
    542,548     647,543     -16.2 %   1,099,113     1,331,264     -17.4 %
                         
Income from operations   283,238     145,226     95.0 %   294,165     181,117     62.4 %
                         
Interest expense   (1,812 )   (2,127 )   -14.8 %   (3,624 )   (4,253 )   -14.8 %
Interest/other income   668     958     -30.3 %   1,374     2,048     -32.9 %
Current tax   15,000     0     N/M     15,000     0     N/M  
                         
NET INCOME   $267,094     $144,057     85.4 %   $276,915     $178,912     54.8 %
                         
Earnings per share - basic   $0.04     $0.02     N/M     $0.04     $0.02     N/M  
Average number of shares outstanding   7,263,508     7,263,508         7,263,508     7,263,508      
                         
Earnings per share - diluted   $0.04     $0.02     N/M     $0.04     $0.02     N/M  
Average number of shares outstanding   7,265,510     7,264,945         7,265,707     7,264,240      
                                 

###

Comments:

comments powered by Disqus

Franchise News Room »


News By Industry »


Featured Opportunities

One Cannabis
Get A Piece Of The Booming Cannabis Market Without Headaches.
The Joint Corp.
The Joint® Chiropractic is reinventing chiropractic care. Our vision is to become the largest, most respected provider of chiropractic services...
Denny's
Denny's is America's largest full-service family restaurant chain, consisting of 168 company-owned units and 1,692 franchised units, with operations...
Scooter's Coffee
The success of the Scooter's Coffee franchise is based upon a commitment to quality products, fast and accurate service, and always delivering...
Liberty Tax Service
A leading income tax preparation franchise in the U.S. and Canada.
Share This Page

Subscribe to Franchising Express

A Franchise Update Media Production
Franchise Update Media
P.O. Box 20547
San Jose, CA 95160
PH. (408) 402-5681
In Loving Memory Of Timothy Gardner (1987-2014)

Copyright © 2001 - 2018.
All Rights Reserved.