FY 2012 Annual Financial Highlights
FY 2012 Q4 Financial Highlights
ST. LOUIS--(BUSINESS WIRE)--
The Marketing Alliance, Inc. (OTC: MAAL) (“TMA”), a provider of
services and distributor of products to independent insurance agencies
throughout the United States, today announced financial results for its
fiscal fourth quarter and year ended March 31, 2012.
Timothy M. Klusas, TMA’s President, stated, “We feel that the 2012
fiscal year was a significant one for TMA’s customers and shareholders,
marked by double-digit percentage increases in revenues, operating
income, and Operating EBITDA excluding investments. Net Income was off
in part due to less investment income than last year. We continued to
pursue a capital-efficient distribution model for our insurance
distribution business whose results are due to helping independent
insurance agencies become more successful and providing this group of
entrepreneurs more ways and tools to grow their businesses. This year we
also took a step forward in our plan to deploy additional capital in
operating businesses when we acquired the assets of an earth moving and
excavating business in July of 2011. I would like to highlight a few key
Mr. Klusas concluded, “We continue to seek appropriate means to grow our
top-line, operate more efficiently, and deploy our capital for the
benefits of the shareholders and customers. This includes working with
our insurance distribution business to add more products to our network
and expanding the services that we offer to our member agencies. The
more effectively we can grow this network, the more we can take
advantage of the economies-of-scale that we have developed over the past
six years. We have also been pleased with the progress being made in the
excavating business, which we acquired using free cash flow. While still
a relatively small portion of TMA’s revenue, we feel the business has
the potential to expand. While we remain cautious, we are continuing to
pursue potential avenues for growth, but only consistent with our plan
to add value for our shareholders.”
Fiscal 2012 Financial Review*
* Copies of The Marketing Alliance’s audited financial statements are
available upon request (see contact information below)
Fiscal 2012 Fourth Quarter Financial Review
About The Marketing Alliance, Inc.
Headquartered in St. Louis, MO, TMA is one of the largest organizations
providing support to independent insurance brokerage agencies, with a
goal of providing members value-added services on a more efficient basis
than they can achieve individually.
Investor information can be accessed through the shareholder section of
TMA’s website at http://www.themarketingalliance.com/si_who.cfm.
TMA’s common stock is quoted on the OTC Markets (http://www.otcmarkets.com)
under the symbol “MAAL”.
Forward Looking Statement
Investors are cautioned that forward-looking statements involve risks
and uncertainties that may affect TMA's business and prospects. Any
forward-looking statements contained in this press release represent our
estimates only as of the date hereof, or as of such earlier dates as are
indicated, and should not be relied upon as representing our estimates
as of any subsequent date. These statements involve a number of risks
and uncertainties, including, but not limited to, general changes in
economic conditions. While we may elect to update forward-looking
statements at some point in the future, we specifically disclaim any
obligation to do so.
Note: * - Operating EPS and Net EPS stated after giving effect to the
10% stock split for shareholders of record as of June 15, 2011 and paid
July 15, 2011 for all periods. Shares outstanding increased to 2,091,736
as of March 31, 2012, from 1,901,578 with this stock split and have been
retroactively adjusted to account for the split.
Consolidated Selected Balance Sheet Items
Other Non Current Assets
Note – Operating EBITDA (excluding investments)
FY 2012 Operating EBITDA (excluding investments) was determined by
adding FY 2012 Operating Income of 4,558,349 and Depreciation and
Amortization Expense of 344,939 for a sum of 4,903,288.
FY 2011 Operating EBITDA (excluding investments) was determined by
adding FY 2011 Operating Income of 4,119,136 and Depreciation and
Amortization Expense of 96,592 for a sum of 4,215,728.
The Company uses Operating EBITDA as a measure of operating performance.
However, Operating EBITDA is not a recognized measurement under U.S.
generally accepted accounting principles, or GAAP, and when analyzing
its operating performance, investors should use Operating EBITDA in
addition to, and not as an alternative for, income as determined in
accordance with GAAP. Because not all companies use identical
calculations, its presentation of Operating EBITDA may not be comparable
to similarly titled measures of other companies and is therefore limited
as a comparative measure. Furthermore, as an analytical tool, Operating
EBITDA has additional limitations, including that (a) it is not intended
to be a measure of free cash flow, as it does not consider certain cash
requirements such as tax payments; (b) it does not reflect changes in,
or cash requirements for, its working capital needs; and (c) although
depreciation and amortization are non-cash charges, the assets being
depreciated and amortized often will have to be replaced in the future,
and Operating EBITDA does not reflect any cash requirements for such
replacements, or future requirements for capital expenditures or
contractual commitments. To compensate for these limitations, the
Company evaluates its profitability by considering the economic effect
of the excluded expense items independently as well as in connection
with its analysis of cash flows from operations and through the use of
other financial measures.
The Company believes Operating EBITDA is useful to an investor in
evaluating its operating performance because it is widely used to
measure a company’s operating performance without regard to certain
non-cash or unrealized expenses (such as depreciation and amortization)
and expenses that are not reflective of its core operating results over
time. The Company believes Operating EBITDA presents a meaningful
measure of corporate performance exclusive of its capital structure, the
method by which assets were acquired and non-cash charges, and provides
additional useful information to measure performance on a consistent
basis, particularly with respect to changes in performance from period
The Marketing Alliance, Inc.Timothy M. Klusas, President, (314)
RelationsThe Equity Group Inc.Adam Prior, Vice
President, (212) firstname.lastname@example.orgTerry
Downs, Account Executive, (212) email@example.com
Source: The Marketing Alliance, Inc.