CARMEL, IN -- (Marketwire) -- 02/20/13 -- KAR Auction Services, Inc. (NYSE: KAR) today reported its fourth quarter financial results for the period ended December 31, 2012. For the fourth quarter of 2012, the company reported revenue of $493.7 million as compared with revenue of $479.8 million for the fourth quarter of 2011, an increase of 3%. Adjusted EBITDA for the quarter ended December 31, 2012 increased 7% to $119.9 million, as compared with Adjusted EBITDA of $112.1 million for the quarter ended December 31, 2011. Net income for the fourth quarter of 2012 increased 58% to $22.9 million, or $0.16 per diluted share, as compared with net income of $14.5 million, or $0.11 per diluted share, in the fourth quarter of 2011. Adjusted net income per share for the fourth quarter of 2012 was $0.27 versus adjusted net income per share of $0.21 for the fourth quarter of 2011, an increase of 29%.
For the year ended December 31, 2012, the company reported revenue of $1,963.4 million as compared with revenue of $1,886.3 million for the year ended December 31, 2011, an increase of 4%. Adjusted EBITDA for the year ended December 31, 2012 increased 3% to $500.2 million as compared with Adjusted EBITDA of $487.2 million for the year ended December 31, 2011. Net income for the year ended December 31, 2012 increased 27% to $92.0 million, or $0.66 per diluted share, as compared with net income of $72.2 million, or $0.52 per diluted share for the year ended December 31, 2011. Adjusted net income per share for year ended December 31, 2012 was $1.07 versus adjusted net income per share of $1.16 for the year ended December 31, 2011, a decrease of 8%.
Adjusted net income for both the fourth quarter and full year 2012, exclude a $5.4 million net loss ($9.1 million pre-tax) due to costs incurred for processing vehicles damaged in Superstorm Sandy.
KAR's Board of Directors also announced a cash dividend today of $0.19 per share on the Company's common stock. The dividend is payable on April 4, 2013, to stockholders of record as of the close of business on March 25, 2013.
In October 2012, Superstorm Sandy damaged property throughout the Eastern United States with the most significant damage concentrated in New Jersey and New York. As a direct result of Superstorm Sandy's effect on New York City and neighboring communities, damage from the storm is estimated at over $70 billion. Although the damage from Superstorm Sandy was widespread, the most significant damage was concentrated on the eastern seaboard of the United States. KAR and its subsidiaries did not experience significant damage to its properties or vehicles stored on our properties for our customers. Certain auction activities were delayed due to power outages, temporary loss of internet access and the inability of customers to attend the auctions immediately following the damage created by Superstorm Sandy.
IAA provides salvage auction services to substantially all of the major automobile insurance companies in the United States. Contracts with IAA's insurance customers require IAA to provide services in the event of catastrophic events like Superstorm Sandy. Typically these catastrophic events create a temporary increase in the number of cars processed and sold. The nature of the damage, the need to service our customers in a short period of time and the geographic concentration in a heavily populated, high cost area, led to substantially increased costs incurred to handle the significantly greater volumes of vehicles. IAA has experienced a number of catastrophic events over the last 10 years, most notably Hurricane Katrina, and none of these individual catastrophic events has resulted in a net loss to IAA.
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