2008-08-15 14:40:00
Total year-over-year quarterly revenue increases 36.5% to $44.8 million
WOOD RIVER, Ill., Aug. 15 /EMWNews/ -- YTB International,
Inc. (OTC Bulletin Board: YTBLA) ("YTB" or the "Company"), a provider of
Internet-based travel booking services for travel agencies and home-based
independent representatives in the United States, Puerto Rico, Bermuda, the
Bahamas, the U.S. Virgin Islands, and Canada, today announced its financial
results for the three and six month periods ended June 30, 2008.
Total revenue for the quarter ended June 30, 2008 increased 36.5% to
$44.8 million, compared to $32.8 million for the second quarter last year.
Total revenue for the six months ended June 30, 2008 increased 53.6% to
$87.5 million, compared to $57.0 million for the same six-month period last
year.
Scott Tomer, Chief Executive Officer of YTB, commented on the second
quarter results, stating, "Our Company has experienced dramatic growth over
the last 12 months, and we have witnessed an equally dramatic growth in the
revenues achieved during that period. Like many rapidly growing companies,
we have had to increase our spending to ensure that we have the proper
infrastructure in place to support this growth, and to ensure that the
quality of services that we provide does not suffer. We have worked to
narrow our net loss on a sequential basis, and are committed to identifying
areas for cost savings and improved efficiencies within our business."
Net loss for the second quarter of 2008 was $199,577, or $0.00 per
diluted share, compared to net income of $1.7 million, or $0.02 per diluted
share, for the second quarter of 2007. On a sequential basis, the Company
significantly reduced its net loss from $3.5 million, or $0.03 per diluted
share for the first quarter of 2008, compared to the second quarter of
2008. The loss in the second quarter of 2008 is primarily attributable to a
change in the mix of marketing commissions, increased costs associated with
infrastructure growth, as well as costs associated with the ongoing
implementation of new business strategies company-wide.
Net loss for the six months ended June 30, 2008 was $3.7 million, or
$0.04 per diluted share, compared to a net loss of $0.5 million, or $0.01
per diluted share, for the same period of 2007.
As of June 30, 2008, the Company had $0.6 million in cash and cash
equivalents. Net cash provided by operating activities in the first half of
2008 was $4,694,635 as compared to cash provided by operating activities of
$3,902,411 in the first half of 2007.
Mr. Tomer continued, "We are very proud to have once again been named
as one of the country's leading travel agencies in Travel Weekly's 2008
Power List during the quarter, with the highest 2007 over 2006 percentage
increase in travel booked of all companies on the list. Our improvement in
travel bookings represented an 83.7 percent improvement, and this is a
remarkable accomplishment. We understand that the rapid growth of our
company is unsettling to many entrenched traditional travel industry
companies, but we are also equally aware of the very real benefits of our
business model. As we look to the coming quarters, we will continue to work
diligently to increase shareholder value, and to ensure that we continue to
provide the best products and services to the marketplace."
About YTB International
YTB International, Inc. was recognized as the 26th largest seller of
travel in the U.S. in Travel Weekly's 2008 Power List, based on 2007 annual
retail value of travel services booked. The Company provides Internet-based
travel booking services for home-based independent representatives in the
United States, Puerto Rico, the Bahamas, Canada, Bermuda, and the U.S.
Virgin Islands.
The Company operates through three subsidiaries: YourTravelBiz.com,
Inc., YTB Travel Network, Inc., and REZconnect Technologies, Inc.
YourTravelBiz.com focuses on marketing online travel websites through a
nationwide network of independent business people, known as 'Reps.' YTB
Travel Network establishes and maintains travel vendor relationships,
processes travel transactions of online travel agents and affiliates,
provides online booking systems, collects travel commissions and pays
travel commissions. Each RTA directs consumers to the YTB Internet-based
travel website. The REZconnect Technologies division operates as a travel
vendor relationship management company and host agency for traditional
brick and mortar travel agencies. For more information, visit
http://www.ytbi.com/investor.
Statements about the Company's future expectations, including future
revenues and earnings, and all other statements in this press release other
than historical facts are "forward-looking statements" within the meaning
of Section 27A of the Securities Act of 1933, Section 21E of the Securities
Exchange of 1934, and as that term is defined in the Private Litigation
Reform Act of 1995. Such forward-looking statements involve risks and
uncertainties and are subject to change at any time, and the Company's
actual results could differ materially from expected results. The Company
undertakes no obligation to update forward-looking statements to reflect
subsequently occurring events or circumstances.
(Tables Follow)
This document is available on the KCSA Strategic Communications at
http://www.kcsa.com.
YTB International, Inc.
Condensed Consolidated Statements of Income
Three months ended
June 30, June 30,
2008 2007
Net revenues $44,774,310 $32,806,146
Operating expenses:
Operating expenses (exclusive of
depreciation and amortization shown below) 44,312,869 31,000,102
Depreciation and amortization 676,167 263,943
Total operating expenses 44,989,036 31,264,045
Income (loss) from operations (214,726) 1,542,101
Other income (expense)
Interest and dividend income 82,891 131,018
Interest expense (37,074) (1,315)
Foreign currency translation loss (17,148) -
Total other income 28,669 129,703
Income (loss) before income tax provision (186,057) 1,671,804
Income tax provision 13,520 -
Net income (loss) $(199,577) $1,671,804
Net income (loss) per share:
Weighted-average shares outstanding -
basic for Class A and Class B 103,183,276 96,529,578
Weighted-average shares outstanding -
diluted for Class A and Class B 103,183,276 105,887,781
Net income (loss) per share - basic for
Class A and Class B (amounts for Class A
and Class B shares are the same under the
two-class method.) $(0.00) $0.02
Net income (loss) per share - diluted for
Class A and Class B (amounts for Class A
and Class B shares are the same under the
two-class method.) $(0.00) $0.02
YTB International, Inc.
Condensed Consolidated Statements of Income
Six months ended
June 30, June 30,
2008 2007
Net revenues $87,501,877 $56,984,627
Operating expenses:
Operating expenses (exclusive of
depreciation and amortization shown below) 89,968,254 57,188,498
Depreciation and amortization 1,211,829 477,975
Total operating expenses 91,180,083 57,666,473
Loss from operations (3,678,206) (681,846)
Other income (expense):
Interest and dividend income 152,198 180,554
Interest expense (54,097) (3,926)
Foreign currency translation loss (17,603) -
Total other income 80,498 176,628
Loss before income tax provision (3,597,708) (505,218)
Income tax provision 119,520 -
Net loss $(3,717,228) $(505,218)
Net loss per share:
Weighted-average shares outstanding -
basic for Class A and Class B 103,020,872 95,801,451
Weighted-average shares outstanding -
diluted for Class A and Class B 103,020,872 95,801,451
Net loss per share - basic for Class A and
Class B (amounts for Class A and Class B
shares are the same under the two-class
method.) $(0.04) $(0.01)
Net loss per share - diluted for Class A and
Class B (amounts for Class A and Class B
shares are the same under the two-class
method.) $(0.04) $(0.01)
YTB International, Inc.
Condensed Consolidated Balance Sheets
June 30, December 31,
2008 2007
(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents $632,205 $1,730,570
Other current assets, net 33,119,185 39,039,546
Total current assets 33,751,390 40,770,116
Long-term investments, net 950,000 1,000,000
Property and equipment, net 20,727,692 15,432,502
Intangible assets, net 2,358,437 2,395,151
Goodwill 3,128,441 2,979,322
Other assets, net 100,443 316,895
TOTAL ASSETS $61,016,403 $62,893,986
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities $42,832,076 $44,417,965
Other long-term liabilities:
Long-term debt, less current maturities 208,298 219,641
Other liabilities 925,281 947,946
Total other long-term liabilities 1,133,579 1,167,587
TOTAL LIABILITIES 43,965,655 45,585,552
TOTAL STOCKHOLDERS' EQUITY 17,050,748 17,308,434
TOTAL LIABILITIES AND STOCKHOLDERS'
EQUITY $61,016,403 $62,893,986
Investor Contacts:
Yemi Rose / Garth Russell
KCSA Strategic Communications
212-896-1233/ 212-896-1250
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