Barrett Business Services, Inc. Announces Net Income and Revenues for Second Quarter 1997
PORTLAND, Ore., Aug. 4 /PRNewswire/ -- Barrett Business Services, Inc.
(Nasdaq: BBSI) reported today net income of $1,254,000 for the second quarter
ended June 30, 1997. Earnings per share for the 1997 second quarter were
$.19, the same amount as the 1996 second quarter. Net income for the six
months ended June 30, 1997 amounted to $2,084,000. Earnings per share for the
1997 six-month period were $.31, the same amount as 1996.
Revenues for the second quarter ended June 30, 1997 totaled $70.5 million,
an increase of approximately $18.6 million or 35.8% over the same quarter a
year ago. Revenues for the six months ended June 30, 1997 were $133.2 million,
an increase of 40.2% over the comparable 1996 period. The internal growth
rates of revenues were 25.1% for both the 1997 second quarter and six-month
period ended June 30, 1997.
(Unaudited) (Unaudited)Second Quarter Six Months
Ended Ended
June 30, June 30,
Results of Operations 1997 1996 1997 1996
(in thousands,
except per share amounts)
Revenues:
Staffing services $38,403 $27,091 $71,134 $49,719
Professional employer services 32,052 24,780 62,101 45,337
70,455 51,871 133,235 95,056
Cost of revenues:
Direct payroll costs 54,164 39,160 102,203 71,878
Payroll taxes and benefits 6,794 4,989 13,253 9,322
Workers' compensation 1,973 1,213 3,828 1,983
Safety incentives 381 362 704 709
63,312 45,724 119,988 83,892
Gross margin 7,143 6,147 13,247 11,164
Selling, general and
administrative expenses 4,857 3,939 9,372 7,567
Amortization of intangibles 275 209 592 369
Income from operations 2,011 1,999 3,283 3,228
Other income 45 106 123 210
Income before taxes 2,056 2,105 3,406 3,438
Provision for income taxes 802 800 1,322 1,306
Net income $1,254 $1,305 $2,084 $2,132
Primary earnings per share $.19 $.19 $.31 $.31
Primary weighted average number
of common stock equivalent
shares outstanding 6,736 6,978 6,768 6,883
William W. Sherertz, President and Chief Executive Officer commented that
"We are very pleased with our results for the quarter. The strong growth in
revenues has enabled us to continue to increase our reserves for workers'
compensation."
The following summarizes the unaudited balance sheets at June 30, 1997 and
December 31, 1996:
($ in thousands) June 30, Dec. 31,1997 1996
Assets
Cash $459 $1,901
Receivables, net 22,686 19,057
Note receivable -- 324
Prepaids and other 1,485 914
Deferred tax asset 1,433 1,279
Total current assets 26,063 23,475
Intangibles, net 12,785 10,226
Property and equipment, net 3,641 3,111
Restricted marketable securities 6,074 5,707
Other 143 127
$48,706 $42,646
Liabilities and Stockholders' Equity
Advances on credit line $1,896 $ --
Current portion of long-term debt 70 36
Income taxes payable 223 --
Accounts payable 715 667
Accrued payroll and benefits 9,967 7,354
Accrued workers' compensation claims 2,488 2,240
Customer safety incentives 1,005 1,015
Other accrued liabilities 559 606
Total current liabilities 16,923 11,918
Long-term debt, net 819 838
Customer deposits 939 890
Long-term workers' compensation claims 608 613
Other long-term liabilities 1,014 --
Redeemable common stock -- 2,825
Stockholders' equity 28,403 25,562
$48,706 $42,646
Barrett Business Services, Inc. is a human resource management company
with offices in Washington, Oregon, Idaho, California, Arizona, Michigan,
Maryland and Delaware. Barrett reported revenues of $215.8 million and net
income of $5.0 million for 1996.
SOURCE Barrett Business Services Inc.
CONTACT: William W. Sherertz, President and CEO of Barrett Business Services, Inc., 503-220-0988
Released August 4, 1997