MIAMI--(BUSINESS WIRE)--DRYCLEAN USA, Inc. today reported revenues and earnings for the six and three month periods ended December 31, 2007. For the first six months of fiscal 2008, the Company’s revenues decreased by 15.3% to $10,381,524 from $12,255,000 for the same period of fiscal 2007. Net earnings decreased by 32.0% to $292,310 or $.04 per diluted share compared to net earnings of $429,958 or $.06 per diluted share for the same period of fiscal 2007.

For the second quarter of fiscal 2008, revenues decreased by 11.0% to $5,644,880 from $6,342,802 in the comparable period of fiscal 2007. Net earnings for the period decreased by 26.3% to $179,266 or $.03 per diluted share compared to $243,179 or $.03 per diluted share for the second quarter of fiscal 2007.

In light of the tightening of the economy, the Board of Directors felt it prudent to eliminate the dividend that the Company has been paying semi-annually.

Venerando J. Indelicato, Chief Financial Officer of DRYCLEAN USA Inc., stated that: “The slowdown in the economy and the reduction of large contract orders for commercial and industrial laundry equipment during the first six months of fiscal 2008 affected the Company’s revenues. In reviewing this year’s results, it should be noted that the first six months of fiscal 2007 achieved record results.” Mr. Indelicato also indicated that the Company continues to focus on the laundry equipment business for growth and is aggressively bidding large contract orders.

DRYCLEAN USA, Inc. through its subsidiaries is one of the nation’s leading distributors of industrial laundry, dry cleaning machines and steam boilers. Its subsidiary, DRYCLEAN USA License Corp, is one of the largest franchise and license operations in the dry cleaning industry, currently consisting of over 400 franchised and license stores in the United States, the Caribbean and Latin America.

This press release contains certain information that is subject to a number of known and unknown risks and uncertainties that may cause actual results and trends to differ materially from those expressed or implied by the forward-looking statements. Information concerning those factors are discussed in Company reports filed with the Securities and Exchange Commission.

 

DRYCLEAN USA, Inc. and Subsidiaries
DRYCLEAN USA, Inc. and Subsidiaries
Summary Unaudited Consolidated Statements of Income
		Six months ended						Three months ended
		December 31,						December 31,
			2007			2006			2007			2006
Revenues		$	10,381,524		$	12,255,000		$	5,644,880		$	6,342,802
Earnings before income taxes			461,074			694,306			284,502			393,049
Provision for income taxes			168,764			264,348			105,236			149,870
Net earnings		$	292,310		$	429,958		$	179,266		$	243,179
Basic and diluted earnings per share		$	.04		$	.06		$	.03		$	.03
Weighted average shares outstanding:
Basic			7,034,307			7,034,450			7,034,307			7,034,450
Diluted			7,037,472			7,037,818			7,037,333			7,038,532