DAYTONA BEACH, FLORIDA - Consolidated-Tomoka Land Co.
(AMEX-CTO) today reported net income of $1,115,940 or
$.20 earnings per basic share for the quarter ended June
30, 2007, compared with net income of $3,739,534 or $.66
earnings per basic share for the same period in 2006.
Earnings before depreciation, amortization and deferred
taxes (EBDDT) totaled $.28 per share in 2007's second
quarter, compared with $.76 per share in 2006. For the
six months ended June 30, 2007, net income totaled $.09
earnings per basic share and EBDDT totaled $.34 per
share. The comparable numbers for the first six months
of 2006 were net income of $1.03 earnings per basic
share and EBDDT of $1.44 per share. Significantly
decreased stock option accruals in 2006 unfavorably
affected the first six months of 2007 compared to the
same period in 2006.
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 decrease in sales closings in the
second quarter of 2007, compared to those recorded in
the second quarter of 2006, was due to normal contract
timing issues rather than an indication of any change in
market activity. Historically, the bulk of the Company’s
sales closings are concentrated in the fourth quarter of
each year. Interest in the Company’s real estate remains
healthy, and management’s priority for the remainder of
the year will be to close as many pending contracts as
possible.”
Consolidated-Tomoka Land Co. is a Florida-based
Company primarily engaged in converting Company owned
agricultural lands into a portfolio of income properties
strategically located throughout the Southeast, and the
development, management and sale of targeted real estate
properties. Visit our website at
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, 2007, 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; 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, 2007. 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.
Date: July 18, 2007
Contact: Bruce W. Teeters, Sr. Vice President
Phone: (386) 274-2202
Facsimile: (386) 274-1223
