-----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, Wy1PF8W3aUCiJtpNYqhFBzCYzxvFcZhAHAfOiJyQvRX/yp4M3Tc+dxJMNUQAjpc0 P4GABCbUpcrk5twX49i5ZQ== 0000006207-06-000011.txt : 20060629 0000006207-06-000011.hdr.sgml : 20060629 20060629105522 ACCESSION NUMBER: 0000006207-06-000011 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20060627 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20060629 DATE AS OF CHANGE: 20060629 FILER: COMPANY DATA: COMPANY CONFORMED NAME: AMREP CORP CENTRAL INDEX KEY: 0000006207 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-BUSINESS SERVICES, NEC [7389] IRS NUMBER: 590936128 STATE OF INCORPORATION: OK FISCAL YEAR END: 0430 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-04702 FILM NUMBER: 06932128 BUSINESS ADDRESS: STREET 1: 641 LEXINGTON AVENUE STREET 2: 6TH FLOOR CITY: NEW YORK STATE: NY ZIP: 10022 BUSINESS PHONE: 2127054700 MAIL ADDRESS: STREET 1: 641 LEXINGTON AVE STREET 2: 6TH FLOOR CITY: NEW YORK STATE: NY ZIP: 10022 FORMER COMPANY: FORMER CONFORMED NAME: AMERICAN REALTY & PETROLEUM CORP DATE OF NAME CHANGE: 19671019 8-K 1 axr8k0606.txt UNITED STATES 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 earliest event reported): June 27, 2006 ------------- AMREP CORPORATION - -------------------------------------------------------------------------------- (Exact Name of Registrant as Specified in Charter) Oklahoma 1-4702 59-0936128 - -------------------------------- ----------------------- --------------------- (State or Other Jurisdiction of (Commission File (IRS Employer Incorporation or Organization) Number) Identification Number) 212 Carnegie Center, Suite 302, Princeton, New Jersey 08540 - -------------------------------------------------------------------------------- (Address of Principal Executive Offices) (Zip Code) Registrant's telephone number, including area code: (609) 716-8200 --------------- - -------------------------------------------------------------------------------- (Former Address of Principal Executive Offices, if Changed Since Last Report) Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below): [ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) [ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) [ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) [ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) Item 2.02 Results of Operations and Financial Condition. ---------------------------------------------- On June 27, 2006, AMREP Corporation issued a press release that reported its results of operations for the three and twelve month periods ended April 30, 2006. The press release is being furnished with this Current Report on Form 8-K as Exhibit 99.1 and is incorporated herein by reference. The information in this Form 8-K and the exhibit attached hereto shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, except as shall be expressly set forth by specific reference in such filing. Item 9.01 Financial Statements and Exhibits. ---------------------------------- (c) Exhibits: 99.1 Press Release, dated June 27, 2006, issued by AMREP Corporation. 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 hereunto duly authorized. AMREP CORPORATION Date: June 29, 2006 By: /s/ Peter M. Pizza ------------------ --------------------- Peter M. Pizza Vice President and Chief Financial Officer 2 EXHIBIT INDEX ------------- Exhibit Number Description - ------ ----------- 99.1 Press release, dated June 27, 2006, issued by AMREP Corporation. 3 EX-99 2 axr8k06press.txt Exhibit 99.1 FOR: AMREP Corporation 212 Carnegie Center, Suite 302 Princeton, New Jersey 08540 CONTACT: Peter M. Pizza Vice President and Chief Financial Officer (609) 716-8210 (609) 716-8255 (fax) AMREP REPORTS RECORD FOURTH QUARTER AND YEAR 2006 RESULTS --------------------------------------------------------- Princeton, New Jersey, June 27, 2006 - AMREP Corporation (NYSE: AXR) today reported net income of $10,389,000, or $1.56 per share, for its fiscal year 2006 fourth quarter ended April 30, 2006 compared to net income of $4,743,000, or $0.72 per share, in the same period of fiscal 2005. Results for the fourth quarter of 2006 were entirely from continuing operations, while the prior year's results included a net loss from discontinued operations of $23,000. Fourth quarter 2006 revenues were $47,846,000 versus $36,152,000 in the fourth quarter of fiscal 2005. For all of fiscal 2006, the Company reported net income of $26,050,000, or $3.93 per share, compared to net income of $15,525,000, or $2.35 per share, in fiscal 2005. The 2006 results consisted of net income from continuing operations of $22,494,000, or $3.39 per share, and net income from discontinued operations of $3,556,000, or $0.54 per share, versus net income from continuing operations of $15,588,000, or $2.36 per share, and a net loss from discontinued operations of $63,000, or $0.01 per share, in the prior year. Fiscal 2006 revenues were $148,296,000 compared to $134,506,000 in fiscal 2005. The Company's fourth quarter and full year 2006 net income and earnings per share were all records for any quarterly or annual period. Net income from discontinued operations in 2006 reflected the first quarter gain from the disposition of the primary assets of the Company's El Dorado, New Mexico water utility subsidiary, which were taken through condemnation proceedings. Revenues at the Company's AMREP Southwest real estate subsidiary increased from $12,013,000 and $37,385,000 in the fourth quarter and full year of fiscal 2005 to $26,562,000 and $59,169,000 in the corresponding periods of fiscal 2006, resulting in significantly higher gross profits in both 2006 periods versus the comparable periods of the prior year. These substantial revenue increases were due to increased sales in 2006 of both developed and undeveloped lots in the Company's principal market of Rio Rancho, New Mexico. The average gross profit percentage on land sales increased to 62% in the fourth quarter of 2006 from 56% in the same period of 2005 because of the sale of a substantially greater number of undeveloped lots, which generally have significantly higher gross profit margins than developed lots. For all of fiscal 2006, the average gross profit percentage on land sales decreased to 54% from 55% in fiscal 2005, reflecting the relative mix of lots sold in each year. As a result of the increased revenues from land sales in 2006 and the higher gross profit contribution, the pretax profit contribution from real estate operations improved significantly in both reported periods of 2006 compared to the prior year. Revenues and related gross profits from land sales can vary significantly from period to period as a result of many factors, including the nature and timing of specific transactions, and prior results are not necessarily a good indication of what may occur in future periods. Revenues from the Company's Kable Media Services, Inc. subsidiary decreased from $24,038,000 and $96,913,000 in the fourth quarter and full year of fiscal 2005 to $21,164,000 and $88,463,000 in the same periods of fiscal 2006. These revenue declines were principally caused by customer losses that occurred in earlier periods at Kable's Colorado fulfillment services business that was acquired from Electronic Data Systems Corporation in fiscal 2003, resulting in 12% and 10% revenue decreases in the Fulfillment Services segment in the fourth quarter and full year of fiscal 2006 compared to the same periods of fiscal 2005. The Fulfillment Services segment is nearly ready to implement a new information systems platform for its business, which it believes will provide customers with a product that will be state-of-the-art. This system has been under development for more than three years and reflects Kable's desire to expand and broaden its fulfillment business. As for Newsstand Distribution Services, revenues in that segment decreased by 14% in the fourth quarter of 2006 compared to the same period in the prior year due to lower gross billings of magazines reflecting reduced distribution volumes for several publisher clients and the effect of a customer loss that occurred in an earlier period, while for the full year 2006 such revenues increased by 1% primarily because decreases in gross billings to existing customers were offset by additional revenues generated by new business. Kable's net revenue declines in the fourth quarter and full year of 2006 were offset in part by reductions in operating costs, mostly associated with decreased variable payroll and benefit costs within the Fulfillment Services segment. As a result of all of these factors, the pretax profit contribution from Media Services decreased in both the fourth quarter and full year 2006 compared to 2005. AMREP Corporation's AMREP Southwest Inc. subsidiary is a major landholder and leading developer of real estate in Rio Rancho, New Mexico, and its Kable Media Services, Inc. subsidiary distributes magazines to wholesalers and provides subscription fulfillment and related services to publishers and others. ----------------------- (Financial Data Follows) AMREP CORPORATION AND SUBSIDIARIES FINANCIAL HIGHLIGHTS (UNAUDITED) Three Months Ended April 30, ---------------------------- 2006 2005 ---- ---- Revenues $ 47,846,000 $ 36,152,000 Net income (loss): Continuing operations $ 10,389,000 $ 4,766,000 Discontinued operations - (23,000) ------------------ ------------------ $ 10,389,000 $ 4,743,000 ------------------ ------------------ Earnings per share - Basic and Diluted: Continuing operations $ 1.56 $ 0.72 Discontinued operations 0.00 0.00 ------------------ ------------------ $ 1.56 $ 0.72 ------------------ ------------------ Weighted average number of common shares outstanding 6,640,000 6,622,000 ------------------ ------------------ Twelve Months Ended April 30, ----------------------------- 2006 2005 ---- ---- Revenues $ 148,296,000 $ 134,506,000 Net income (loss): Continuing operations $ 22,494,000 $ 15,588,000 Discontinued operations 3,556,000 (63,000) ------------------ ------------------ $ 26,050,000 $ 15,525,000 ------------------ ------------------ Earnings (loss) per share - Basic and Diluted: Continuing operations $ 3.39 $ 2.36 Discontinued operations 0.54 (0.01) ------------------ ------------------ $ 3.93 $ 2.35 ------------------ ------------------ Weighted average number of common shares outstanding 6,633,000 6,616,000 ------------------ ------------------ #### -----END PRIVACY-ENHANCED MESSAGE-----