Skip navigation
In spite of sales gain, Centerplate records bigger 4th-Q net loss due to reduced income tax benefit

In spite of sales gain, Centerplate records bigger 4th-Q net loss due to reduced income tax benefit

STAMFORD, CONN. —Sports and entertainment foodservice management specialist Centerplate Inc. reported a widened net loss in the fourth quarter, citing a reduced income tax benefit from the year earlier that was unable to offset an 8.8-percent sales gain to $158 million.

Centerplate, based here, posted a net loss of $3.1 million, or 14 cents per share, for the fourth quarter ended Jan. 2, compared with a net loss of $2.2 million, or 10 cents per share, in the same quarter a year earlier. The latest quarter was hurt by a reduced income tax benefit of $720,000, versus a benefit of $2.5 million in the year-earlier quarter. However, the company’s operating income more than doubled in the latest period to $1.7 million, from $611,000 a year earlier. —Sports and entertainment foodservice management specialist Centerplate Inc. reported a widened net loss in the fourth quarter, citing a reduced income tax benefit from the year earlier that was unable to offset an 8.8-percent sales gain to $158 million.

Net revenues were driven by sales in the National Football League sector that rose by $11.4 million, a result of five additional games played during the quarter, compared with 2005. At convention center accounts, sales for the quarter improved by $2.3 million, and new contracts in the sector accounted for an additional $2.4 million in sales, the company reported. —Sports and entertainment foodservice management specialist Centerplate Inc. reported a widened net loss in the fourth quarter, citing a reduced income tax benefit from the year earlier that was unable to offset an 8.8-percent sales gain to $158 million.

For the full year, also ended Jan. 2, Centerplate recorded both increased profits and sales. The company posted a profit of $3.5 million, or 15 cents per share, compared with a net loss of $4.6 million, or 20 cents per share, in fiscal 2005. The company’s swing to a profit in 2006 was because of a one-time charge of $5.8 million in April 2005 related to the company’s refinanced credit facility, it reported. —Sports and entertainment foodservice management specialist Centerplate Inc. reported a widened net loss in the fourth quarter, citing a reduced income tax benefit from the year earlier that was unable to offset an 8.8-percent sales gain to $158 million.

Adjusted earnings before interest, income taxes, depreciation and amortization, or EBITDA, increased 7.6 percent to $57.5 million for the year, compared with $53.5 million a year earlier. —Sports and entertainment foodservice management specialist Centerplate Inc. reported a widened net loss in the fourth quarter, citing a reduced income tax benefit from the year earlier that was unable to offset an 8.8-percent sales gain to $158 million.

The company said net sales for the year rose 5.9 percent to $681.1 million, from $643.1 million in fiscal year 2005. —Sports and entertainment foodservice management specialist Centerplate Inc. reported a widened net loss in the fourth quarter, citing a reduced income tax benefit from the year earlier that was unable to offset an 8.8-percent sales gain to $158 million.

Janet L. Steinmayer, president and chief executive of Centerplate, noted that sales at Centerplate’s convention center accounts rose $15.3 million for the year, primarily the result of an increased number of events held at those facilities. She also noted that sales at its Major League Baseball locations rose $9.2 million because of increased attendance and per-capita spending. —Sports and entertainment foodservice management specialist Centerplate Inc. reported a widened net loss in the fourth quarter, citing a reduced income tax benefit from the year earlier that was unable to offset an 8.8-percent sales gain to $158 million.

Steinmayer further indicated that arena sales were positively impacted by the resolution of the National Hockey League lockout as well as an increase in the number of college basketball tournaments also held at those facilities. —Sports and entertainment foodservice management specialist Centerplate Inc. reported a widened net loss in the fourth quarter, citing a reduced income tax benefit from the year earlier that was unable to offset an 8.8-percent sales gain to $158 million.

“2006 was a great year for Centerplate, capped by a very strong fourth quarter,” she said. “For the full year, we increased revenues, made great strides with our core strategic initiatives, strengthened our management team and implemented an enhanced organizational structure to better serve our customers.” —Sports and entertainment foodservice management specialist Centerplate Inc. reported a widened net loss in the fourth quarter, citing a reduced income tax benefit from the year earlier that was unable to offset an 8.8-percent sales gain to $158 million.

Steinmayer said the company’s plan for 2007 includes a commitment to “delivering creative, value-added solutions and partnering with clients on initiatives that are attractive and profitable” to both the client and Centerplate. —Sports and entertainment foodservice management specialist Centerplate Inc. reported a widened net loss in the fourth quarter, citing a reduced income tax benefit from the year earlier that was unable to offset an 8.8-percent sales gain to $158 million.

Centerplate, which counts Yankee Stadium and the New Orleans Superdome among its varied accounts, named Steinmayer its chief executive in March 2006 following the resignation of Paul W. MacPhail, its previous chief executive. Before her appointment, Steinmayer, who has been with the company since 1993, served as its president and general counsel. —Sports and entertainment foodservice management specialist Centerplate Inc. reported a widened net loss in the fourth quarter, citing a reduced income tax benefit from the year earlier that was unable to offset an 8.8-percent sales gain to $158 million.

Hide comments

Comments

  • Allowed HTML tags: <em> <strong> <blockquote> <br> <p>

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.
Publish