U.S. SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities and Exchange Act of 1934
Date of Report (Date of earliest event reported): November 14, 2003
STREICHER MOBILE FUELING, INC.
(Exact name of registrant as specified in its charter)
Florida
(State or other jurisdiction of incorporation)
000-21825 65-0707824
(Commission File Number) (IRS Employer Identification No.)
Streicher Mobile Fueling, Inc.
800 W. Cypress Creek Rd., Suite 580
Fort Lauderdale, Florida 33309
(Address of principal executive office) (Zip Code)
Registrant's telephone number, including area code (954) 308-4200
ITEM 12. RESULTS OF OPERATIONS AND FINANCIAL CONDITION
On November 14, 2003, Streicher Mobile Fueling, Inc., issued a press
release reporting operating results for the first fiscal quarter ended
September 30, 2003. The text of that press release is as follows:
SMF [logo] Streicher Mobile Fueling, Inc.
800 West Cypress Creek Road, Suite 580
Fort Lauderdale, Florida 33309
NEWS RELEASE
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CONTACT: RICHARD E. GATHRIGHT KEVIN MCGRATH
CHAIRMAN AND CHIEF EXECUTIVE OFFICER CAMERON ASSOCIATES, INC.
954-308-4200 212-245-8800
STREICHER MOBILE FUELING REPORTS RESULTS
FOR FIRST QUARTER ENDED SEPTEMBER 30, 2003
FT. LAUDERDALE, FL, NOVEMBER 14, 2003 - STREICHER MOBILE FUELING, INC. (NASDAQ:
FUEL and FUELW), an outsourcing value added refueling and fuel management
service for vehicle and equipment fleets, today announced the results for the
three months ended September 30, 2003 as follows:
(All amounts in 000's, except per share data)
(Unaudited)
3 Months Ended
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9/30/03 9/30/02
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Total Revenues $ 19,417 $ 17,079
Gross Profit $ 822 $ 1,393
Operating Income $ 488 $ 313
Net Income $ 206 $ 103
EBITDA (1) $ 824 $ 677
Basic and Diluted Net Income Per Share $ 0.03 $ 0.01
Basic Weighted Average Shares Outstanding 7,248 7,214
Diluted Weighted Average Shares Outstanding 7,505 7,223
Gallons of Fuel Delivered 13,300 11,900
(1) Earnings before interest, taxes, depreciation and amortization
The Company's revenues increased by $2.3 million, or 13.7%, on deliveries of
13.3 million gallons of fuel during the three months ended September 30, 2003,
compared with 11.9 million gallons delivered in the three months ended
September 30, 2002. The volume increase of 1.4 million gallons, or 11.8%, in the
current quarter resulted in $1.6 million of the increase in revenues. This
increase in gallons delivered was due to the addition of new accounts.
2
Additionally, the average wholesale price of fuel was higher in the three months
ended September 30, 2003 resulting in increased revenues of $700,000.
Gross profit decreased $571,000 in the three months ended September 30, 2003
compared to the three months ended September 30, 2002. Of the reduction in gross
profit, $221,000 resulted from a decrease in the average service charge per
gallon of fuel delivered which was only partially offset by a 1.4 million gallon
increase in the volume delivered during the three months ended September 30,
2003. This decrease in the average service charge was due to the lowering of
prices in response to an extremely aggressive pricing scheme undertaken by a
large competitor which discontinued operations in the quarter. Gross profit also
declined as a result of a $202,000 increase insurance costs and a $148,000
increase in direct operating expenses from the same period last year.
In connection with the Company's August 2003 refinancing of its equipment debt,
the Company negotiated a settlement with its primary equipment lender and
received a $757,000 cash discount by prepaying the $2,204,800 outstanding
balance on August 29, 2003. This discount was recorded as gain on extinguishment
of debt and is included in operating profit and net income for the three months
ended September 30, 2003.
Net income for the three months ended September 30, 2003 was $206,000 compared
to $103,000 for the prior year period, an increase of $103,000, resulting
primarily from the August 2003 $757,000 gain on extinguishment of debt, which
was partially offset by the lower gross profit of $571,000 during the current
year quarter. Additionally, EBITDA increased to $824,000 from $677,000 reported
for the prior period largely due to the gain on extinguishment of debt.
Richard E. Gathright, Chairman, CEO and President of the Company commented,
"We are pleased with our progress of closing new and
profitable business. The negative price environment created
by our former principal competitor is abating and we are
beginning to see price increases in our markets. Our overall
financial position has greatly improved by the recently
completed $6.925 million placement of five-year notes. Our
additional fleet capacity provides for low cost entry into
planned new markets. We are heavily focused on marketing our
superior level of services to those prospective customers who
recognize the overall cost savings from mobile fueling."
ABOUT STREICHER MOBILE FUELING, INC.
SMF provides mobile fueling and fuel management out-sourced services, primarily
to businesses operating fleets of vehicles and equipment. SMF's specialized
truck fleet delivers fuel to customers' locations, refueling vehicles and
equipment and/or resupplying storage facilities at competitive service fees and
fuel prices. The proprietary SMF electronic fuel tracking system is used to
measure, record, and track fuel dispensed to each vehicle and tank fueled at a
customer location allowing verification of the amount and type of fuel delivered
and providing customers with customized fleet fuel data for management analysis
and tax reporting. SMF conducts operations in six states.
3
FORWARD LOOKING STATEMENTS
This press release includes "forward-looking statements" within the meaning of
the safe harbor provision of the Private Securities Litigation Reform Act of
1995. For example, predictions or statements of belief or expectation concerning
the future financial performance of the Company after this financing are
"forward looking statements" which should not be relied upon. Such
forward-looking statements are based on the current beliefs of the Company and
its management based on information known to them at this time. Because these
statements depend on various assumptions as to future events, they should not be
relied on by shareholders or other persons in evaluating the Company. Although
management believes that the assumptions reflected in such forward-looking
statements are reasonable, actual results could differ materially from those
projected. There are numerous risks and uncertainties which could cause actual
results to differ from those anticipated by the Company, including but not
limited to those cited in the "Certain Factors Affecting Future Operating
Results" section of the Company's Form 10-K for the year ended June 30, 2003.
* * * * * *
In accordance with General Instruction B.6 of Form 8-K, the information in
this Current Report on Form 8-K is being furnished under Item 12 and shall not
be deemed "filed" for the purposes of Section 18 of the Securities Exchange Act
of 1934 ("Exchange Act") or otherwise subject to the liability of that section,
nor shall such information be deemed incorporated by reference in any filing
under the Securities Act of 1933 or the Exchange Act, regardless of the general
incorporation language of such filing, except as shall be expressly set forth by
specific reference in such filing.
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.
STREICHER MOBILE FUELING, INC.
Date: November 17, 2003 By:/s/RICHARD E. GATHRIGHT
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Richard E. Gathright, President