Date: March 11, 2008
Source: Industrial Services of America, Inc.
Industrial Services of America, Inc. Provides 2007 Guidance and Initial 2008 Outlook
Plans to continue share repurchase program
Industrial Services of America, Inc. (NASDAQ: IDSA), a leading provider of recyclable commodities, logistics management services, equipment and processes for waste, today provided financial guidance for fiscal 2007 and discussed its outlook for the first quarter of 2008.
For the full year ending Dec. 31, 2007:
Earnings per share are expected to be approximately $0.71 per basic and diluted share, an increase of 16% over the previous year's earnings. The 2007 earnings per share also includes settlement costs of 4.7 cents per share for the resolution of a legal matter in the fourth quarter and a 3.6 cent per share cost related to a management employment contract in the third quarter.
Total revenue will be approximately $76,956,000 for the year, reflecting a 24% increase over fiscal 2006.
Shipments of ferrous materials were 81,947 gross tons, compared with 76,331 gross tons in fiscal 2006, while shipments of non-ferrous or recyclable materials were 28,840,349 pounds, compared with 22,258,977 pounds in fiscal 2006.
First quarter 2008 outlook:
Based on actual results from the first two months of the first quarter and projected trends, business is expected to remain strong, reflecting continuing demand domestically and internationally as well as increased prices for ferrous and other commodities. First quarter 2008 earnings are expected to be in the range of $0.28 to $0.30 per share. First quarter 2007 earnings were $0.22 per share, and $0.12 per share in first quarter 2006.
"First quarter earnings are expected to be strong, reflecting a robust commodity industry and the global factors supporting industry growth," said Harry Kletter, Chairman and Chief Executive Officer. "We have positioned ourselves to benefit from these demand and pricing trends."
He added: "While understanding that our results vary from quarter to quarter depending on shipping schedules and other factors unique to the commodities business, we plan to build upon our strengths as we add state of the art processing equipment and implement other programs over the coming months that will effectively utilize our commodities expertise."
The Company plans to continue its share repurchase program, as market conditions and buying opportunities allow. Since the repurchase of up to 200,000 shares of Common Stock was authorized by the Board in November 2005, the Company has repurchased more than 55,000 shares at times, prices and amounts determined by the Company.
The Company said it intends to report 2007 financial results and file its Form 10-K annual report on March 31, 2008.
Industrial Services of America, Inc. is a Louisville, Ky.-based logistics management services company servicing commercial, industrial and logistics customers nationwide. The company provides scrap processing, waste and recycling management services, and equipment sales and service. It also actively participates in international markets, exporting non-ferrous metals and other recyclable materials. The company's stock trades on NASDAQ under the symbol IDSA. Additional information is available at www.isa-inc.com.
This news release contains forward-looking statements that involve risks and uncertainties that could cause actual results to differ from predicted results. Specific risks include varying demand for waste managing systems, equipment and services, competitive pressures in the waste managing systems and equipment, competitive pressures in the waste managing business, loss of customers and fluctuations in the price of recycled materials. Further information on factors that could affect the Company's results is detailed in the Company's filings with the Securities and Exchange Commission. The Company undertakes no obligation to publicly release the results of any revisions to the forward-looking statements.