-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, VCiYuGV0YHzHPahuqmL9uqhoDPqfFmIBAx3XLrHZ+T9RjVOPoyqCYkS7ZEdViGTx tNnn/Pas4Vki3sGt2LW/vw== 0000891092-03-002830.txt : 20031021 0000891092-03-002830.hdr.sgml : 20031021 20031021085812 ACCESSION NUMBER: 0000891092-03-002830 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20031020 ITEM INFORMATION: Regulation FD Disclosure FILED AS OF DATE: 20031021 FILER: COMPANY DATA: COMPANY CONFORMED NAME: BESTWAY INC CENTRAL INDEX KEY: 0000004344 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-EQUIPMENT RENTAL & LEASING, NEC [7359] IRS NUMBER: 810332743 STATE OF INCORPORATION: DE FISCAL YEAR END: 0731 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-08568 FILM NUMBER: 03948845 BUSINESS ADDRESS: STREET 1: 7800 STEMMONS STE 320 CITY: DALLAS STATE: TX ZIP: 75247 BUSINESS PHONE: 2146306655 MAIL ADDRESS: STREET 1: 7800 STEMMONS FRWY SUITE 320 CITY: DALLAS STATE: TX ZIP: 75217 FORMER COMPANY: FORMER CONFORMED NAME: BESTWAY RENTAL INC DATE OF NAME CHANGE: 19920703 FORMER COMPANY: FORMER CONFORMED NAME: AMARCO RESOURCES CORP DATE OF NAME CHANGE: 19880403 8-K 1 e15928_8k.txt FORM 8-K SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report (Date of earliestevent reported): October 20, 2003 Bestway, Inc. (Exact name of registrant as specified in its charter) Delaware 000-08568 81-0332743 (State or other (Commission (IRS employer jurisdiction of file number) identification no.) incorporation or organization) 7800 Stemmons Freeway, Suite 320 Dallas, Texas 75247 (Address and zip code of principal executive offices) Registrant's telephone number,including area code: (214) 630-6655 Item 9. Regulation FD Disclosure The information set forth under this Item 9 "Regulation FD Disclosure" is intended to be furnished under Item 12 "Results of Operations and Financial Condition" in accordance with SEC Release No. 33-8216. This information is not deemed to be "filed" for purposes of Section 18 of the Securities Exchange Act of 1934 and is not incorporated by reference into any registration statement filed under the Securities Act of 1933. On October 20, 2003, Bestway, Inc., a Delaware corporation, issued a press release announcing its financial and operating results for the fourth quarter and full year ended July 31, 2003. A copy of the press release is attached as Exhibit 99.1 to this Current Report on Form 8-K. [SIGNATURE PAGE FOLLOWS] SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. BESTWAY, INC. By: /s/ Beth A. Durrett ---------------------------------------- Beth A. Durrett, Chief Financial Officer Date: October 20, 2003 EX-99.1 3 e15928ex99_1.txt PRESS RELEASE Exhibit 99.1 Bestway, Inc. Reports Improved Performance for 2003 Fourth Quarter and Year End Results Same Store Revenues Up 11.7% DALLAS, Oct. 20 /PRNewswire-FirstCall/ -- Bestway, Inc. (Nasdaq: BSTW), today announced improved financial results for its fourth quarter and full year ended July 31, 2003. The Company had total revenues for the quarter ended July 31, 2003 of $9,125,742 compared to $8,166,022 for the comparable period in 2002. Same store revenues (revenues in stores operated for the entirety of both periods) during the fourth quarter of 2003 increased 11.7% above the comparable quarter of 2002. Net income and diluted earnings per share for the fourth quarter were $94,553 or $.05 per share, respectively, compared to net loss of $777,981 or $.48 per share a year ago. Proforma net loss for the fourth quarter of 2002 was decreased to $714,894 or $.44 per share to reflect the required adoption of Statement of Financial Accounting Standards No. 142, under which the Company discontinued amortization of goodwill. Revenue for the full year ended July 31, 2003 increased 5.9% to $35,506,828 compared to $33,533,928 the prior year. This revenue growth was accomplished in spite of having fourteen more stores for much of the prior year. Same store revenue increased 12.0% compared to the preceding year. Net income and diluted earnings per share for the full year were $47,588 or $.03 per share, respectively, compared to net loss of $742,079 or $.45 per share a year ago. Proforma net loss for the full year ended 2002 was decreased to $489,730 or $.30 per share to reflect the required adoption of Statement of Financial Accounting Standards No. 142, under which the Company discontinued amortization of goodwill. "The fact that we achieved double digit growth in same store revenue four consecutive quarters in fiscal year 2003 is a testament to both our operating philosophy and the dedication of all our associates," said David A. Kraemer, President and Chief Executive Officer. "We are excited to have achieved profitability in 2003 and look forward to continued progress in the coming year." Bestway, Inc. owns and operates a total of sixty-nine rent-to-own stores located in the southeastern United States. These stores generally offer high quality brand name merchandise such as home entertainment equipment, appliances, furniture and computers under flexible rental purchase agreements that generally allow the customer to obtain ownership of the merchandise at the conclusion of an agreed upon rental period. This press release and the guidance above contain various "forward-looking statements" that involve risks and uncertainties. Forward-looking statements represent the Company's expectations or beliefs concerning future events. Any forward-looking statements made by or on behalf of the Company are subject to uncertainties and other factors that could cause actual results to differ materially from such statements. These uncertainties and other factors include, but are not limited to, (i) the ability of the Company to open or acquire additional rental-purchase stores on favorable terms, (ii) the ability of the Company to improve the performance of such acquired stores and to integrate such opened or acquired stores into the Company's operations, (iii) the impact of state and federal laws regulating or otherwise affecting rental- purchase transactions, (iv) the impact of general economic conditions in the United States and (v) the impact of terrorist activity, threats of terrorist activity and responses thereto on the economy in general and the rental- purchase industry in particular. Undo reliance should not be placed on any forward-looking statements made by or on behalf of the Company as such statements speak only as of the date made. The Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, the occurrence of future events or otherwise. BESTWAY, INC. SELECTED BALANCE SHEET DATA (Unaudited) July 31, July 31, 2003 2002 Cash and cash equivalents $305,869 $506,175 Prepaid expenses and other assets 234,908 364,957 Rental merchandise, net 13,858,064 13,440,857 Property and equipment, net 2,732,798 3,666,949 Total assets 20,002,168 21,304,413 Accounts payable 751,328 671,365 Debt 9,451,299 10,967,192 Total liabilities 11,683,375 13,180,698 Stockholders' Equity 8,318,793 8,123,715 BESTWAY, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) Three Months Ended Twelve Months Ended July 31, July 31, 2003 2002 2003 2002 Revenues: Rental income $8,976,796 $7,931,991 $34,338,236 $32,664,020 Sales of merchandise 148,946 234,031 1,168,592 869,908 9,125,742 8,166,022 35,506,828 33,533,928 Cost and operating expenses: Depreciation and amortization: Rental merchandise 1,775,910 1,617,706 6,868,366 6,671,484 Other 353,341 462,335 1,480,329 1,831,646 Cost of merchandise sold 138,380 231,028 1,257,532 814,433 Salaries and wages 2,744,668 2,728,608 10,433,146 9,857,770 Advertising 370,239 128,779 1,649,104 1,130,535 Occupancy 595,167 597,315 2,383,807 2,536,071 Other operating expenses 2,829,907 3,345,412 10,679,849 10,788,044 Interest expense 175,269 168,916 694,185 794,433 (Gain) loss on sale of property and equipment (2,741) 40,545 (9,827) 24,402 (Gain) loss on sale of assets 0 (15,673) 0 50,122 8,980,140 9,304,971 35,436,491 34,498,940 Income (loss) before income taxes 145,602 (1,138,949) 70,337 (965,012) Income tax expense (benefit) 51,049 (360,968) 22,749 (222,933) Net income (loss) $94,553 $(777,981) $47,588 $(742,079) Basic earnings (loss) per share $0.06 $(0.48) $0.03 $(0.45) Diluted earnings (loss) per share $0.05 $(0.48) $0.03 $(0.45) Weighted average common shares outstanding 1,677,972 1,630,205 1,669,955 1,648,322 Diluted weighted average common shares outstanding 1,828,226 1,630,205 1,774,409 1,648,322 SOURCE Bestway, Inc. -0- 10/20/2003 /CONTACT: Beth A. Durrett, Chief Financial Officer, bdurrett@bestwayrto.com , or David A. Kraemer, President and Chief Executive Officer, both of Bestway, Inc., +1-214-630-6655/ (BSTW) -----END PRIVACY-ENHANCED MESSAGE-----