House & Home
Wed, November 17, 2010Tue, November 16, 2010Mon, November 15, 2010Fri, November 12, 2010Thu, November 11, 2010Wed, November 10, 2010Tue, November 9, 2010Mon, November 8, 2010Sat, November 6, 2010Fri, November 5, 2010Thu, November 4, 2010Wed, November 3, 2010Tue, November 2, 2010Mon, November 1, 2010Fri, October 29, 2010Thu, October 28, 2010Wed, October 27, 2010Tue, October 26, 2010Mon, October 25, 2010Fri, October 22, 2010Thu, October 21, 2010Wed, October 20, 2010Tue, October 19, 2010Mon, October 18, 2010Fri, October 15, 2010Thu, October 14, 2010Wed, October 13, 2010Tue, October 12, 2010Mon, October 11, 2010Sun, October 10, 2010Fri, October 8, 2010Thu, October 7, 2010Wed, October 6, 2010Tue, October 5, 2010Mon, October 4, 2010The Sports Club Company, Inc. Announces Operating Results for the Third Quarter and Nine Months Ended September 30, 2010
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Published in House and Home on Wednesday, October 27th 2010 at 3:21 GMT by Market Wire🞛 This publication is a summary or evaluation of another publication
LOS ANGELES--([ BUSINESS WIRE ])--The Sports Club Company, Inc. (Pink Sheets: SCYL) today announced financial results for the third quarter and nine months ended September 30, 2010.
Revenues from operations for the third quarter ended September 30, 2010 were $13,019,000 compared to $13,324,000 for the third quarter ended September 30, 2009, a decrease of $305,000 or 2.3%. After Preferred Stock dividends of $299,000 for the third quarter ended September 30, 2010 and the third quarter ended September 30, 2009, the net loss attributable to common stockholders for the third quarter ended September 30, 2010 was $478,000 or $0.02 per basic and diluted share, compared to a net loss attributable to common stockholders for the third quarter ended September 30, 2009 of $542,000 or $0.02 per basic and diluted share. The weighted average number of basic and diluted shares outstanding for the third quarter ended September 30, 2010 and third quarter ended September 30, 2009 was 21,907,000 shares.
Revenues from operations for the nine months ended September 30, 2010 were $39,682,000 compared to $41,449,000 for the nine months ended September 30, 2009, a decrease of $1,767,000 or 4.3%. After Preferred Stock dividends of $894,000 for the nine months ended September 30, 2010 and the nine months ended September 30, 2009, the net loss attributable to common stockholders for the nine months ended September 30, 2010 was $2,152,000 or $0.10 per basic and diluted share, compared to a net loss attributable to common stockholders for the nine months ended September 30, 2009 of $1,995,000 or $0.09 per basic and diluted share. The weighted average number of basic and diluted shares outstanding for the nine months ended September 30, 2010 was 21,907,000 shares compared to 21,818,000 shares for the nine months ended September 30, 2009.
All statements in this press release other than statements of historical fact are forward looking statements within the meaning of the asafe harbora provisions of the Private Securities Litigation Reform Act of 1995. These statements are based on managementa™s current expectations and beliefs and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in this press release. The forward looking statements speak only as of the date of this press release, and the Company expressly disclaims any obligations to release publicly, update or revise any forward looking statement contained herein if there are changes in the Companya™s expectations or if any events, conditions or circumstances on which any such forward looking statement is based.
The Sports Club Company, based in Los Angeles, California operates and owns luxury sports and fitness complexes under the brand name The Sports Club/LA in Los Angeles, Orange County and Beverly Hills California, and at Rockefeller Center in New York City.
-Tables to Follow-
| THE SPORTS CLUB COMPANY, INC. | ||||||||
| CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||
| December 31, 2009 and September 30, 2010 | ||||||||
| (in thousands, except share and per share amounts) | ||||||||
ASSETS | ||||||||
| Dec. 31, | Sep. 30, | |||||||
| 2009 | 2010 | |||||||
| (Audited) | (Unaudited) | |||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 1,509 | $ | 1,038 | ||||
| Restricted cash | 1,067 | 1,079 | ||||||
Accounts receivable, net of allowance for doubtful accounts of $340 and $308 at December 31, 2009 and September 30, 2010, respectively | 726 | 739 | ||||||
| Inventories | 327 | 325 | ||||||
| Prepaid expenses and other current assets | 445 | 556 | ||||||
| Total current assets | 4,074 | 3,737 | ||||||
| Property and equipment, net | 53,793 | 52,272 | ||||||
| Goodwill | 7,315 | 7,315 | ||||||
| Restricted cash | 75 | 75 | ||||||
| Other assets | 1,891 | 1,361 | ||||||
| $ | 67,148 | $ | 64,760 | |||||
| LIABILITIES AND STOCKHOLDERSa™ DEFICIT | ||||||||
| Current liabilities: | ||||||||
| Current installments of notes payable and equipment financing loans | $ | 1,575 | $ | 1,656 | ||||
| Accounts payable | 716 | 454 | ||||||
| Accrued liabilities | 3,222 | 3,718 | ||||||
| Deferred lease obligations | 374 | 374 | ||||||
| Deferred revenues | 4,589 | 4,488 | ||||||
Redeemable Convertible Preferred Stock, Series B, $.01 par value, 10,500 shares authorized; 9,252 shares issued and outstanding at December 31, 2009 and September 30, 2010 | 11,991 | 12,615 | ||||||
| Total current liabilities | 22,467 | 23,305 | ||||||
| Notes payable and equipment financing loans, less current installments | 74,642 | 73,390 | ||||||
| Deferred lease obligations, less current portion | 5,555 | 5,471 | ||||||
| Deferred revenues, less current portion | 273 | 266 | ||||||
| Total liabilities | 102,937 | 102,432 | ||||||
| Commitments and contingencies | ||||||||
| Stockholdersa™ deficit: | ||||||||
Convertible Preferred Stock, Series C, $.01 par value, 5,000 shares authorized; 4,005 shares issued and outstanding at December 31, 2009 and September 30, 2010 (liquidation preference of $5,300 and $5,569 at December 31, 2009 and September 30, 2010, respectively) | 5,300 | 5,569 | ||||||
Common Stock, $.01 par value, 80,000,000 shares authorized; 21,907,210 shares issued and outstanding at December 31, 2009 and September 30, 2010 | 219 | 219 | ||||||
| Additional paid-in capital | 104,747 | 103,853 | ||||||
| Accumulated deficit | (146,055 | ) | (147,313 | ) | ||||
| Total Stockholdersa™ deficit | (35,789 | ) | (37,672 | ) | ||||
| $ | 67,148 | $ | 64,760 | |||||
| THE SPORTS CLUB COMPANY, INC. | ||||||||||||||||
| CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||||||||
| Three Months Ended and Nine Months Ended September 30, 2009 and 2010 | ||||||||||||||||
| (in thousands, except per share amounts) | ||||||||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||
| September 30, | September 30, | |||||||||||||||
| 2009 | 2010 | 2009 | 2010 | |||||||||||||
| Revenue: | (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | ||||||||||||
| Membership revenue | $ | 9,452 | $ | 9,329 | $ | 29,067 | $ | 27,924 | ||||||||
| Products and services | 3,872 | 3,690 | 12,382 | 11,758 | ||||||||||||
| Total revenue | 13,324 | 13,019 | 41,449 | 39,682 | ||||||||||||
| Operating expenses: | ||||||||||||||||
| Club operating costs | 6,401 | 6,314 | 19,603 | 19,425 | ||||||||||||
| Cost of products and services | 2,867 | 2,871 | 9,258 | 8,861 | ||||||||||||
| Selling and marketing | 386 | 419 | 1,505 | 1,511 | ||||||||||||
| General and administrative | 1,362 | 1,168 | 4,712 | 3,835 | ||||||||||||
| Impairment charge | 83 | 12 | 89 | 72 | ||||||||||||
| Depreciation and amortization | 993 | 968 | 3,000 | 2,920 | ||||||||||||
| Total operating expenses | 12,092 | 11,752 | 38,167 | 36,624 | ||||||||||||
| Income from operations | 1,232 | 1,267 | 3,282 | 3,058 | ||||||||||||
| Other expense: | ||||||||||||||||
| Interest, net | (1,437 | ) | (1,409 | ) | (4,271 | ) | (4,204 | ) | ||||||||
| Minority interests | (38 | ) | (37 | ) | (112 | ) | (112 | ) | ||||||||
| Net loss before provision (benefit) for income taxes | (243 | ) | (179 | ) | (1,101 | ) | (1,258 | ) | ||||||||
| Provision (benefit) for income taxes | -- | -- | -- | -- | ||||||||||||
| Net loss | (243 | ) | (179 | ) | (1,101 | ) | (1,258 | ) | ||||||||
| Dividends on Preferred Stock | 299 | 299 | 894 | 894 | ||||||||||||
| Net loss attributable to common stockholders | $ | (542 | ) | $ | (478 | ) | $ | (1,995 | ) | $ | (2,152 | ) | ||||
| Net loss per share attributable to common stockholders: | ||||||||||||||||
| Basic and diluted | $ | (0.02 | ) | $ | (0.02 | ) | $ | (0.09 | ) | $ | (0.10 | ) | ||||
Weighted average number of common shares outstanding: | ||||||||||||||||
| Basic and diluted | 21,907 | 21,907 | 21,818 | 21,907 | ||||||||||||
