SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported): April 27, 2005
PAR TECHNOLOGY CORPORATION
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(Exact name of registrant as specified in its charter)
Delaware 1-09720 16-1434688
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(State or other (Commission File (I.R.S. Employer
jurisdiction of Number) incorporation or
organization) Identification Number)
PAR Technology Park
8383 Seneca Turnpike
New Hartford, NY 13413-4991
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (315) 738-0600
Not Applicable
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(Former Name or Former Address, if changed since Last Report)
Item 2.02 Results of Operations and Financial Condition.
(a) The information, including Exhibits attached hereto, in this Current Report
is being furnished and shall not be deemed "filed" for the purposes of
Section 18 of the Securities and Exchange Act of 1934, or otherwise subject
to the liabilities of that Section. The information in this Current Report
shall not be incorporated by reference into any registration statement or
other document pursuant to the Securities Act of 1933, as amended, except
as otherwise expressly stated in such filing.
(b) On April 27, 2005, PAR Technology Corporation issued a press release
announcing its results of operation for the quarterly period ending March
31, 2005. A copy of the press release is attached hereto as Exhibit 99.1
and is incorporated herein by reference.
99.1 Press Release dated April 27, 2005.
SIGNATURES
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 thereunto duly authorized.
PAR TECHNOLOGY CORPORATION
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(Registrant)
Date: April 27, 2005
/s/RONALD J. CASCIANO
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Ronald J. Casciano
Vice President, Chief Financial Officer
and Treasurer
EXHIBIT INDEX
Exhibit Number Description
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99.1 Press Release dated April 27, 2005.
CONTACT: Christopher R. Byrnes (315) 738-0600 ext. 226
cbyrnes@partech.com, www.partech.com
PAR TECHNOLOGY CORPORATION
-REPORTS RECORD FIRST QUARTER RESULTS-
|X| RECORD REVENUES FOR 1ST QUARTER
|X| REVENUES RISE 29%
|X| EPS GROWS 75%
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NEW HARTFORD, NY, PAR TECHNOLOGY CORPORATION (NYSE:PTC)
New Hartford, NY--April 27, 2005--PAR Technology Corporation (NYSE:PTC) today
announced results from operations for the first quarter ended March 31, 2005.
PAR reported record first quarter revenues of $48.8 million, a 29% increase over
the $37.9 million reported in the same period a year ago. Net income for the
first quarter of $1.3 million was reported compared with net income of $736,000
in the first quarter of 2004, a 77% increase. The Company reported diluted
earnings per share of $0.14 for the first quarter of 2005, an increase of 75%
when compared to diluted earnings per share of $0.08 for the first quarter of
last year.
PAR experienced significant revenue growth in both of its businesses. PAR's
hospitality technology revenues grew 30% from a year ago along with the
Company's Government business raising revenues by 26% over the first quarter of
2004.
John W. Sammon, PAR Chairman and CEO commented, "We are pleased with our results
for the first three months of 2005. Our business units continue to execute at a
high level and with operational excellence. We believe our growth is indicative
of the value our integrated solutions deliver to our customers. The sustained
success in our results continues to reflect well on our strategy, which includes
increasing the software content of the revenue mix to improve product and
service margins. Our innovative products and services have extended our
technology leadership in the marketplace by best addressing the current and
emerging requirements of our customers."
Sammon concluded, "We exceeded expectations for first quarter performance and
posted record revenues for the quarter. This success is attributed to stronger
than anticipated market demand for our integrated solutions and the continued
improvements in execution Company wide. We remain confident we are well
positioned to deliver positive results for the balance of the year."
Statements in this release or by the Company's spokespersons from time to time
may contain forward-looking statements. Any statements in this document that do
not describe historical facts are forward-looking statements. Forward-looking
statements are made pursuant to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995. Investors are cautioned that all
forward-looking statements involve risks and uncertainties, including without
limitation, delays in new product introduction, risks in technology development
and commercialization, risks in product development and market acceptance of and
demand for the Company's products, risks of downturns in economic conditions
generally, and in the quick service sector of the hospitality technology market
specifically, risks of intellectual property rights associated with competition
and competitive pricing pressures, risks associated with foreign sales and high
customer concentration, and other risks detailed in the Company's filings with
the Securities and Exchange Commission.
ABOUT PAR TECHNOLOGY
PAR Technology Corporation is a leading provider of professional services and
enterprise business intelligence software and hardware to the hospitality
industry. PAR develops, markets and supports hardware and software products that
improve the ability of hospitality business professionals to make timely,
fact-based business decisions. The Company is a premier provider of I/T
management solutions to hotel and restaurant companies, with over 40,000
installations worldwide in 100 countries. PAR is a leader in providing
computer-based system design and engineering services to the Department of
Defense and Federal Government Agencies. PAR Technology Corporation's stock is
traded on the New York Stock Exchange under the symbol PTC. For more information
visit the Company's website at www.partech.com.
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PAR TECHNOLOGY CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(in thousands except share amounts)
(unaudited)
March 31, December 31,
2005 2004
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Assets
Current assets:
Cash ...................................... $ 3,362 $ 8,696
Accounts receivable-net ................... 33,292 32,702
Inventories - net .............................. 27,450 27,047
Deferred income taxes ..................... 6,689 6,634
Other current assets ...................... 2,785 2,617
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Total current assets .................. 73,578 77,696
Property, plant and equipment - net ............ 7,972 8,123
Goodwill ....................................... 15,379 15,379
Intangible assets - net ........................ 9,001 9,235
Other assets ................................... 1,672 1,319
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$ 107,602 $ 111,752
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Liabilities and Shareholders' Equity
Current liabilities:
Current portion of long-term debt ......... $ 68 $ 90
Borrowings under lines of credit ............... 2,555 10,246
Accounts payable .......................... 10,869 9,486
Accrued salaries and benefits ............. 7,747 8,072
Accrued expenses .......................... 2,694 2,998
Customer deposits ......................... 4,468 4,861
Deferred service revenue .................. 10,037 9,083
Net liabilities of discontinued operation . 290 323
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Total current liabilities ............. 38,728 45,159
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Long-term debt ................................. 2,008 2,005
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Deferred income taxes .......................... 592 194
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Other long-term liabilities .................... 1,190 820
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Commitments and contingent liabilities
Shareholders' equity:
Preferred stock, $.02 par value,
1,000,000 shares authorized ............. -- --
Common stock, $.02 par value,
19,000,000 shares authorized;
10,188,082 and 10,139,132 shares issued;
8,984,406 and 8,935,456 outstanding ..... 204 203
Capital in excess of par value ............ 31,900 31,560
Retained earnings ......................... 39,316 38,010
Accumulated other comprehensive loss ...... (318) (181)
Treasury stock, at cost, 1,203,676 shares (6,018) (6,018)
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Total shareholders' equity ............ 65,084 63,574
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$ 107,602 $ 111,752
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PAR TECHNOLOGY CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
(in thousands except per share amounts)
(unaudited)
For the three months
ended March 31,
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2005 2004
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Net revenues:
Product ........................... $ 21,001 $ 16,239
Service ........................... 13,402 10,307
Contract .......................... 14,354 11,352
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48,757 37,898
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Costs of sales:
Product ........................... 12,876 11,037
Service ........................... 10,447 8,945
Contract ............................... 13,565 10,530
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36,888 30,512
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Gross margin ................ 11,869 7,386
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Operating expenses:
Selling, general and administrative 7,393 5,016
Research and development .......... 2,278 1,343
Amortization of identifiable
intangible assets ................ 246 --
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9,917 6,359
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Operating income ....................... 1,952 1,027
Other income, net ...................... 233 211
Interest expense ....................... (78) (73)
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Income before provision for income taxes 2,107 1,165
Provision for income taxes ............. (801) (429)
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Net income $ ........................... 1,306 $ 736
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Earnings per share:
Basic: ............................ $ .15 $ .09
Diluted: .......................... $ .14 $ .08
Weighted average shares outstanding
Basic: ............................ 8,954 8,570
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Diluted: .......................... 9,541 9,129
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