Fairchild Year-End Net Loss: $21.3 Million
January 3, 2006
Filed under Uncategorized
The Fairchild Corporation (NYSE:FA) says results for the year ended September 30, 2005, include a net loss of $21.3 million, or $0.84 per share, as compared to net earnings of $3.4 million, or $0.13 per share, for the year ended September 30, 2004.
The company's loss from continuing operations was $33.1 million for the year ended September 30, 2005, as compared to a loss from continuing operations of $7.7 million for the year ended September 30, 2004. The results for the year ended September 30, 2005, included a $1.0 million overall tax provision, as compared to a $24.2 million overall income tax benefit in the year ended September 30, 2004.
The company said revenues were up by $24.4 million, or 7.4%, compared to the year ended September 30, 2004. The improvement was due in part to a 5.9% increase in revenues in the Sports & Leisure segment, by foreign sales benefiting from favorable foreign exchange rates, and by a 12.1% increase in revenues at the company's Aerospace segment.
The business of Fairchild consists of three segments: sports & leisure, aerospace, and real estate operations. Fairchild's sports and leisure segment, known as Fairchild Sports, is comprised of Hein Gericke, PoloExpress and Intersport Fashions West. Fairchild Sports designs and sells motorcycle protective apparel, helmets, and a large selection of technical accessories, for motorcyclists. Together, Hein Gericke and PoloExpress operate 232 retail shops in Germany, the United Kingdom, Austria, Belgium, France, Italy, Luxembourg, the Netherlands, and Switzerland. Intersport Fashions West, located in Tustin, Calif., is a designer and distributor of motorcycle protective apparel, boots and helmets.
Fairchild reported cash and unrestricted short-term investments of $23.3 million at September 30, 2005. The company recently announced it has signed a definitive agreement to sell its shopping center for approximately $95 million.