DEERFIELD, Ill. - October 09, 2013 - (BUSINESS WIRE) - BAB, Inc. (OTCBB: BABB) announced its financial results for its third quarter ended August 31, 2013.
For the quarter ended August 31, 2013, BAB had revenues of $617,000 and net income of $108,000, or $0.01 per share, versus revenues of $587,000 and net income of $63,000, or $0.01 per share, for the same quarter last year.
For the nine months ended August 31, 2013, BAB had revenues of $1,810,000 and net income of $168,000, or $0.02 per share, versus revenues of $1,980,000 and net income of $340,000 or $0.05 per share for the same period in 2012. For the nine months ended August 31, 2012, the Company received a $171,000 payment for the buyout of the Franchise Agreement from its Minot, ND franchisee so the franchisee could pursue its other business interests associated with the local energy boom. In that acceptance by the Company of the voluntary buyout is unique, no such transaction occurred nor was such income earned in the nine months ended August 31, 2013.
Total operating expense for the quarter ended August 31, 2013, was $489,000 versus $523,000 in 2012. For the nine months ended August 31, 2013, total operating expense was $1,620,000 versus $1,622,000 in 2012.
BAB, Inc. franchises and licenses Big Apple Bagels®, My Favorite Muffin®, SweetDuet Frozen Yogurt & Gourmet Muffins® 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.
|CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS|
|Quarter Ended||Nine Months Ended|
|Royalty fees from franchised stores||446,603||463,113||-3.6%||1,334,047||1,395,115||-4.4%|
|Franchise and area development fee revenue||35,000||5,000||600.0%||45,000||47,500||-5.3%|
|Licensing fees and other income||135,143||118,826||13.7%||430,935||537,602||-19.8%|
|Selling, general and administrative||485,054||517,961||-6.4%||1,607,088||1,607,508||0.0%|
|Depreciation and amortization||4,367||4,713||-7.3%||13,078||14,279||-8.4%|
|Total Operating Expense||489,421||522,674||-6.4%||1,620,166||1,621,787||-0.1%|
|Income before interest, other and taxes||127,325||64,265||98.1%||189,816||358,430||-47.0%|
|Current tax expense||(17,795)||0||N/M||(17,795)||(15,000)||N/M|
|Earnings per share - basic||0.01||0.01||N/M||0.02||0.05||N/M|
|Average number of shares outstanding||7,263,508||7,263,508||7,263,508||7,263,508|
|Earnings per share - diluted||0.01||0.01||N/M||0.02||0.05||N/M|
|Average number of shares outstanding||7,269,680||7,265,934||7,267,880||7,265,786|
Michael K. Murtaugh
F: (847) 405-8140