News Column

BAB, Inc. Reports Profit for 2nd Quarter FY 2014

July 7, 2014

DEERFIELD, Ill.--(BUSINESS WIRE)-- BAB, Inc.(OTCBB: BABB), announced its financial results for the second quarter ended May 31, 2014.

For the quarter ended May 31, 2014, BAB had revenues of $769,000 and net income of $272,000, or $0.04 per share, versus revenues of $658,000 and net income of $125,000, or $0.02 per share, for the same quarter last year. For the quarter ended May 31, 2014, the Company received a $200,000 International Master Franchise Agreement.

For the six months ended May 31, 2014, BAB had revenues of $1,306,000 and net income of $303,000, or $0.04 per share, versus revenues of $1,193,000 and net income of $60,000, or $0.01 per share for the same period in 2013. As noted above, the Company received a $200,000 International Master Franchise Agreement in 2014 versus no such agreement in the same period in 2013.

Total operating expenses for the quarter ended May 31, 2014, were $482,000, versus $531,000, in 2013. The primary cost reduction for the second quarter 2014 compared to 2013 has been payroll and payroll related expenses. Total operating expenses for the six months ended May 31, 2014 were $986,000 versus $1,131,000 for the six months ended May 31, 2013. The primary cost reduction for 2014 has been payroll and payroll related expenses.

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.

(TABLE FOLLOWS)

 
BAB, INC.
CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
           
                   
Quarter EndedSix Months Ended
05/31/14   05/31/13   % Change05/31/14   05/31/13   % Change
 
REVENUES
 
Royalty fees from franchised stores $456,007$467,525 -2.5 % $852,713$887,444 -3.9 %
Franchise and area development fee revenue 200,000 10,000 1900.0 % 235,000 10,000 2250.0 %
Licensing fees and other income 113,334     180,632   -37.3 % 218,499     295,792   -26.1 %
Total Revenue 769,341 658,157 16.9 % 1,306,212 1,193,236 9.5 %
 
OPERATING COSTS AND EXPENSES
 
Selling, general and administrative 477,174 527,118 -9.5 % 977,259 1,122,034 -12.9 %
Depreciation and amortization 4,553     4,367   4.3 % 9,114     8,711   4.6 %
Total Expense 481,727 531,485 -9.4 % 986,373 1,130,745 -12.8 %
 
Income from operations 287,614 126,672 127.1 % 319,839 62,491 411.8 %
 
Interest expense (1,137 ) (1,482 ) -23.3 % (2,274 ) (2,964 ) -23.3 %
Interest/other income 118 248 -52.4 % 266 555 -52.1 %
Current tax (15,000 ) 0 N/M (15,000 ) 0 N/M
           
NET INCOME$271,595     $125,438   116.5%$302,831     $60,082   404.0%
 
Earnings per share - basic $0.04$0.02 N/M $0.04$0.01 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$0.01 N/M
Average number of shares outstanding 7,265,931 7,267,558 7,266,091 7,266,718
 





BAB, Inc.

Michael K. Murtaugh, (847) 948-7520

Fax: (847) 405-8140

www.babcorp.com

Source: BAB, Inc.


For more stories on investments and markets, please see HispanicBusiness' Finance Channel



Source: Business Wire


Story Tools






HispanicBusiness.com Facebook Linkedin Twitter RSS Feed Email Alerts & Newsletters