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 29, 2008
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 29, 2008, PAR Technology Corporation issued a press release
announcing its results of operation for the quarterly period ending March
31, 2008. 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 29, 2008.
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 29, 2008
/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 29, 2008.
Exhibit 99.1 Press Release dated April 29, 2008.
RELEASE: NEW HARTFORD, NY, April 29, 2008
CONTACT: Christopher R. Byrnes (315) 738-0600 ext. 226
cbyrnes@partech.com, www.partech.com
PAR TECHNOLOGY CORPORATION
-REPORTS FIRST QUARTER RESULTS-
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NEW HARTFORD, NY, PAR TECHNOLOGY CORPORATION (NYSE:PTC)
New Hartford, NY--April 29, 2008--PAR Technology Corporation (NYSE:PTC) today
announced results from operations for the first quarter ended March 31, 2008.
PAR reported first quarter revenues of $52.1 million, a 9% increase over the
$47.8 million reported in the same period a year ago. A net loss for the first
quarter of $744,000 was reported compared with a net loss of $1.3 million in the
first quarter of 2007. The Company reported diluted loss per share of $0.05 for
the first quarter of 2008, compared to diluted loss per share of $0.09 for the
first quarter of last year.
John W. Sammon, PAR Chairman and CEO commented, "As anticipated, our revenues in
the first quarter of 2008 were impacted by the continued third party software
delays surrounding our largest hospitality customer. Additionally, overall
revenue in North America was particularly challenging for us in the first
quarter due to traditional seasonality issues and the typical decision delays
leading up to McDonald's international convention which was held earlier this
month. While our first quarter hospitality results were not unexpected, we were
pleased with the strong performance of our Government I/T business in the first
quarter."
Sammon commented further, "In our hospitality technology business, we continue
to invest in our growth strategy involving advanced software products and
channel expansion both domestically and internationally. With success of these
investments, we expect to broaden our customer base and improve profitability.
We continue to enjoy excellent customer relationships as reflected this quarter
in McDonald's awarding us their Technology Supplier of the Year."
Sammon concluded by stating, "We have a strong foundation business with the
largest and most prestigious accounts in the growing hospitality sector and the
infrastructure to deliver our hospitality solutions worldwide. Our government
business is solid with consistent year to year performance. We are currently
investing to position our company for future growth and profitability and with
an anticipated improvement in our McDonald's business, we are confident of a
return to profitability this 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 creates and markets products that help hospitality
operators around the world to better manage money, materials, people and the
guest experience. PAR has provided hardware, software and services to the
world's largest restaurant chains and their franchisees for almost 30 years.
Today the Company's extensive offering includes technology solutions for the
full spectrum of hospitality operations, from boutique hotels and independent
table service restaurants to international QSR chains, all backed by PAR's
global service network. The Company has over 45,000 installations in 105
countries worldwide. PAR is also 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,
2008 2007
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Assets
Current assets:
Cash and cash equivalents ........................ $ 3,493 $ 4,431
Accounts receivable-net .......................... 39,283 43,608
Inventories-net .................................. 41,720 40,319
Income tax refunds ............................... 1,302 521
Deferred income taxes ............................ 5,314 5,630
Other current assets ............................. 3,835 3,370
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Total current assets ......................... 94,947 97,879
Property, plant and equipment - net ................... 7,350 7,669
Deferred income taxes ................................. 759 503
Goodwill .............................................. 26,718 26,998
Intangible assets - net ............................... 9,561 9,899
Other assets .......................................... 2,237 3,570
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Total Assets ............................ $ 141,572 $ 146,518
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Liabilities and Shareholders' Equity
Current liabilities:
Current portion of long-term debt ................ $ 849 $ 772
Borrowings under lines of credit ................. 4,604 2,500
Accounts payable ................................. 12,708 16,978
Accrued salaries and benefits .................... 8,302 9,919
Accrued expenses ................................. 3,162 3,860
Customer deposits ................................ 4,202 3,898
Deferred service revenue ......................... 14,241 14,357
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Total current liabilities .................... 48,068 52,284
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Long-term debt ........................................ 6,681 6,932
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Other long-term liabilities ........................... 2,560 2,315
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Shareholders' Equity:
Preferred stock, $.02 par value,
1,000,000 shares authorized .................... -- --
Common stock, $.02 par value,
29,000,000 shares authorized;
16,058,818 and 16,047,818 shares issued;
14,406,063 and 14,395,063 outstanding .......... 321 321
Capital in excess of par value ................... 39,376 39,252
Retained earnings ................................ 49,707 50,451
Accumulated other comprehensive income ........... 368 472
Treasury stock, at cost, 1,652,755 shares ........ (5,509) (5,509)
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Total shareholders' equity .................. 84,263 84,987
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Total Liabilities and Shareholders'Equity $ 141,572 $ 146,518
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PAR TECHNOLOGY CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share amounts)
(unaudited)
For the three months
ended March 31,
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2008 2007
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Net revenues:
Product ...................................... $ 16,897 $ 16,706
Service ...................................... 16,415 15,529
Contract ..................................... 18,795 15,601
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52,107 47,836
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Costs of sales:
Product ...................................... 9,425 10,308
Service ...................................... 12,483 12,166
Contract ..................................... 17,840 14,554
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39,748 37,028
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Gross margin ................................. 12,359 10,808
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Operating expenses:
Selling, general and administrative .......... 9,061 8,709
Research and development ..................... 4,121 3,814
Amortization of identifiable intangible assets 390 390
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13,572 12,913
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Operating loss .................................... (1,213) (2,105)
Other income, net ................................. 314 240
Interest expense .................................. (348) (222)
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Loss before provision for income taxes ............ (1,247) (2,087)
Benefit for income taxes .......................... 503 779
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Net loss .......................................... $ (744) $ (1,308)
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Loss per share
Basic ........................................ $ (.05) $ (.09)
Diluted ...................................... $ (.05) $ (.09)
Weighted average shares outstanding
Basic ........................................ 14,379 14,320
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Diluted ...................................... 14,379 14,320
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