Exhibit 99.1
Pure Cycle Corporation Announces
Financial
Results for its Second Quarter Ended
February
28, 2018
Denver,
Colorado – April 4, 2018 – Pure Cycle Corporation
(NASDAQ Capital Market: PCYO) (“Pure Cycle” or the
“Company”) today reported financial results for its
second quarter ended February 28, 2018.
"We are
pleased to report our results for our fiscal three and six months
ended February 28, 2018. The first six months of our fiscal year
2018 was highlighted with the announcement of the groundbreaking of
the development of our Sky Ranch property," commented Mark Harding,
President of Pure Cycle Corporation. "Along with our previous
announcement of entering into agreements with three national home
builders for the sale of approximately 500 lots in the first phase
of the Sky Ranch development, we anticipate revenues from the lot
sales by end of this fiscal year," continued Mr.
Harding.
We will
file our Form 10-Q on Friday, April 6, 2018 and will host a
conference call on Monday, April 9, 2018, at 12PM Eastern (10AM
Mountain) to discuss these results. Call details are below.
Additionally, we will post a detailed slide presentation, which
overviews the Company and presents summary financial results on our
website and can be accessed at www.purecyclewater.com.
The
following table summarizes results of operations for the three and
six months ended February 28, 2018 and 2017:
|
|
Period Ended February 28,
|
|
|
In 000's (except per share)
|
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
$845
|
$237
|
$1,855
|
$436
|
|
Cost
of revenues
|
(214)
|
(169)
|
(644)
|
(314)
|
|
Gross
profit
|
631
|
68
|
1,211
|
122
|
|
Operating
expenses:
|
|
|
|
|
|
General
and administrative
|
(520)
|
(449)
|
(1,181)
|
(893)
|
|
Other
|
(125)
|
(74)
|
(245)
|
(148)
|
|
Loss
from operations
|
(14)
|
(455)
|
(215)
|
(919)
|
|
Other
(expenses) income:
|
|
|
|
|
|
Oil
and gas royalties and lease income, net
|
63
|
77
|
115
|
150
|
|
Other
loss
|
(3)
|
(3)
|
(5)
|
(5)
|
|
Interest
income
|
53
|
66
|
107
|
140
|
|
Net
income (loss) from continuing operations
|
99
|
(315)
|
2
|
(634)
|
|
Net
income (loss) from discontinued operations
|
1
|
(2)
|
2
|
(21)
|
|
Net
income (loss) before taxes
|
100
|
(317)
|
4
|
(655)
|
|
Taxes
|
-
|
-
|
-
|
-
|
|
Net
income (loss) after taxes
|
$100
|
$(317)
|
$4
|
$(655)
|
|
Income
(loss) per share
|
*
|
$(0.01)
|
*
|
$(0.03)
|
*
Denotes less than $0.01 per share
Revenues increased
approximately 257% and 325% during the three and six months ended
February 28, 2018 as compared to the three and six months ended
February 28, 2017, respectively. The increases are primarily
attributable to an increase in frack water sales.
Our
summarized financial position as of February 28, 2018 and August
31, 2017 are as follows:
|
|
|
|
|
|
|
|
|
|
|
Assets
|
|
|
|
|
Cash,
cash equivalents and marketable securities
|
$20,220
|
$25,630
|
$(5,410)
|
|
Other
current assets
|
2,596
|
1,494
|
1,102
|
|
Total
current assets
|
22,816
|
27,124
|
(4,308)
|
|
Long-term
investments
|
1,428
|
188
|
1,240
|
|
Investments
in water and water systems, net
|
34,907
|
34,576
|
331
|
|
Land
and mineral interests
|
7,354
|
6,248
|
1,106
|
|
Other
long-term assets
|
3,360
|
1,652
|
1,708
|
|
Total
assets
|
$69,865
|
$69,788
|
$77
|
|
|
|
|
|
|
Liabilities and
Shareholders' Equity
|
|
|
|
|
Current
liabilities
|
$609
|
$940
|
$(331)
|
|
Other
long-term liabilities
|
428
|
1,342
|
(914)
|
|
Total
liabilities
|
1,037
|
2,282
|
(1,245)
|
|
Total
shareholders' equity
|
68,828
|
67,506
|
1,322
|
|
Total
liabilities and shareholders' equity
|
$69,865
|
$69,788
|
$77
|
SECOND QUARTER 2018 EARNINGS CALL
When:
12:00PM Eastern (10 AM Mountain on April 9, 2018)
Call in
number: 877-407-8033 (no passcodes required)
Replay
available until: April 23, 2018 at 12:00PM ET
Replay
call in number 877-481-4010 #27534
Company Information
Pure
Cycle owns land and water assets in the Denver, Colorado
metropolitan area. Pure Cycle provides water and wastewater
services to customers located in the Denver metropolitan area,
including the design, construction, operation and maintenance of
water and wastewater systems.
Additional
information including our recent press releases and Annual Reports
are available at www.purecyclewater.com,
or you may contact our President, Mark W. Harding, at 303-292-3456
or at info@purecyclewater.com.
Forward-Looking Statements
This
press release contains forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of
1934, as amended. Forward-looking statements are all statements,
other than statements of historical facts, included in this press
release that address activities, events or developments that we
expect or anticipate will or may occur in the future, such as
statements about expected revenues from lot sales. The words
“anticipate,” “likely,” “may,”
“should,” “could,” “will,”
“believe,” “estimate,”
“expect,” “plan,” “intend” and
similar expressions are intended to identify forward-looking
statements. Investors are cautioned that forward-looking statements
are inherently uncertain and involve risks and uncertainties that
could cause actual results to differ materially. Factors that could
cause actual results to differ from projected results include,
without limitation: the completion of finished lots may involve
unexpected delays; the demand for housing in the Denver
metropolitan area; the risk factors discussed in Part I,
Item 1A of our most recent Annual Report on Form 10-K;
and those factors discussed from time to time in our press
releases, public statement and documents filed or furnished with
the U.S. Securities and Exchange Commission. Except as required by
law, we disclaim any obligation to update publicly any
forward-looking statements, whether as a result of new information,
future events or otherwise.