UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE
ACT OF 1934
FOR THE QUARTERLY PERIOD ENDED JULY 31, 1999
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OF 15(D) OR THE SECURITIES EXCHANGE
ACT OF 1934
Commission File Number 000-21825
STREICHER MOBILE FUELING, INC.
(Exact name of registrant as specified in its charter)
FLORIDA 65-0707824
(State of Incorporation) (IRS Employer Identification Number)
2720 NW 55TH COURT, FORT LAUDERDALE, FLORIDA, 33309
(Address of principal executive offices) (Zip Code)
(954) 739-3880
(Issuer's telephone number, including area code)
Check whether the issuer filed all reports required to be filed by
Section 13 or 15(d) of the Exchange Act during the past 12 months (or for such
shorter period that the registrant was required requirements for the past 90
days. Yes X . No .
--- ---
As of August 31, 1999, 2,633,800 shares of the issuer's common stock were
outstanding.
<PAGE>
STREICHER MOBILE FUELING, INC.
FORM 10-Q
INDEX
<TABLE>
<CAPTION>
FORM 10-Q PART AND ITEM NO.
<S> <C>
Part I-Financial Information
Item 1. Unaudited Financial Statements
Consolidated Balance Sheets as of
July 31, 1999 and January 31, 1999...........................3
Consolidated Statements of Operations for the three
and six months ended July 31, 1999 and 1998..................5
Consolidated Statements of Cash Flows for the six
months ended July 31, 1999 and 1998 .........................6
Notes to Consolidated Financial Statements...................7
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations..........................8
Part II - Other Information
Items 1 - 6..................................................................12
Signatures...................................................................14
</TABLE>
2
<PAGE>
STREICHER MOBILE FUELING, INC. AND SUBSIDIARIES
UNAUDITED CONSOLIDATED BALANCE SHEETS
<TABLE>
<CAPTION>
JULY 31 JANUARY 31
ASSETS 1999 1999
------ ------------ ------------
<S> <C> <C>
Current Assets:
Cash and cash equivalents $ 679,683 $ 122,961
Accounts receivable, net of allowance for doubtful
accounts of $89,100 and $79,900 respectively 7,650,843 5,774,912
Inventories 123,714 81,336
Prepaid expenses and other current assets 286,382 246,538
------------ ------------
Total current assets 8,740,622 6,225,747
Property and Equipment:
Land 247,609 233,803
Leasehold improvements 189,684 189,684
Fuel trucks and automobiles 10,872,037 10,150,453
Machinery and equipment 902,680 894,146
Furniture and fixtures 79,157 69,779
Construction in process 7,638 138,910
------------ ------------
12,298,805 11,676,775
Less accumulated depreciation and amortization (2,603,126) (2,186,515)
------------ ------------
9,695,679 9,490,260
Note receivable from related party 445,848 445,956
Other assets 62,561 32,186
------------ ------------
Total assets $ 18,944,710 $ 16,194,149
============ ============
</TABLE>
3
<PAGE>
STREICHER MOBILE FUELING, INC. AND SUBSIDIARIES
UNAUDITED CONSOLIDATED BALANCE SHEETS
(CONTINUED)
<TABLE>
<CAPTION>
JULY 31 JANUARY 31
LIABILITIES AND SHAREHOLDERS' EQUITY 1999 1999
- ------------------------------------ ------------ ------------
<S> <C> <C>
Current Liabilities:
Bank line of credit payable $ 6,287,002 $ 4,570,789
Current portion of long-term debt 1,535,188 1,411,984
Accounts payable 2,454,964 1,970,099
Accrued expenses 620,779 477,475
Customer deposits 119,895 119,895
------------ ------------
Total current liabilities 11,017,828 8,550,242
Long-term Liabilities:
Long-term debt, excluding current portion 3,946,139 4,284,271
------------ ------------
Total liabilities 14,963,967 12,834,513
------------ ------------
Shareholders' Equity:
Preferred stock -- --
Common stock 26,030 25,750
Additional paid-in capital 5,285,695 5,195,758
Accumulated deficit (1,330,982) (1,861,872)
------------ ------------
Total shareholders' equity 3,980,743 3,359,636
------------ ------------
Total liabilities and shareholders' equity $ 18,944,710 $ 16,194,149
------------ ------------
</TABLE>
4
<PAGE>
STREICHER MOBILE FUELING, INC. AND SUBSIDIARIES
UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS
FOR THE THREE AND SIX MONTH PERIODS ENDED JULY 31, 1999 AND 1998
<TABLE>
<CAPTION>
THREE MONTH PERIOD SIX MONTH PERIOD
ENDED JULY 31, ENDED JULY 31,
---------------------------- ----------------------------
1999 1998 1999 1998
------------ ------------ ------------ ------------
<S> <C> <C> <C> <C>
Fuel sales and service revenues $ 11,826,904 $ 7,105,989 $ 21,821,265 $ 14,444,358
Fuel taxes 5,903,118 3,936,956 11,426.389 7,876,751
------------ ------------ ------------ ------------
Total revenues 17,730,022 11,042,945 33,247,654 22,321,109
Cost of fuel sales and service 10,328,457 6,156,043 18,924,426 12,632,958
Fuel taxes 5,903,118 3,936,956 11,426,389 7,876,751
------------ ------------ ------------ ------------
Total cost of sales 16,231,575 10,092,999 30,350,815 20,509,709
Gross profit 1,498,447 949,946 2,896,839 1,811,400
Operating expenses 976,883 962,775 1,889,953 1,803,538
------------ ------------ ------------ ------------
Operating income (loss) 521,564 (12,829) 1,006,886 7,862
Loss on disposal of assets (794) -- (3,385) --
Interest expense (259,097) (197,731) (502,646) (357,159)
Interest and other income 19,096 20,249 30,035 45,780
------------ ------------ ------------ ------------
Income (loss) before
income taxes 280,769 (190,311) 530,890 (303,517)
Income tax expense -- -- -- --
------------ ------------ ------------ ------------
Net income (loss) $ 280,769 $ (190,311) $ 530,890 $ (303,517)
------------ ------------ ------------ ------------
Basic income (loss) per share $ 0.11 $ (0 .07) $ 0.21 $ (0.12)
------------ ------------ ------------ ------------
Diluted income (loss)
per share $ 0.10 $ (0.07) $ 0.20 $ (0.12)
------------ ------------ ------------ ------------
Basic weighted average
common shares outstanding 2,592,172 2,575,000 2,583,728 2,575,000
------------ ------------ ------------ ------------
Diluted weighted average
common shares outstanding 2,767,124 2,575,000 2,673,334 2,575,000
------------ ------------ ------------ ------------
</TABLE>
5
<PAGE>
STREICHER MOBILE FUELING, INC, AND SUBSIDIARIES
UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE SIX MONTH PERIODS ENDED JULY 31, 1999 AND 1998
<TABLE>
<CAPTION>
1999 1998
----------- -----------
<S> <C> <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss) $ 530,890 $ (303,517)
Adjustments to reconcile net loss to net cash
used in operating activities:
Loss on disposal of equipment 3,385 --
Depreciation and amortization 496,802 364,484
Provision for doubtful accounts 32,500 35,000
Changes in operating assets and liabilities:
(Increase) Decrease in accounts receivable (1,908,430) 13,454
(Increase) Decrease in inventories (42,378) 58,550
(Increase) Decrease in prepaid expenses and other current assets (39,844) (16,327)
(Increase) Decrease in deferred income tax asset -- (4,544)
(Increase) Decrease in other assets (30,375) 11,971
Increase (Decrease) in accounts payable and accrued expenses 628,170 (704,723)
----------- -----------
Net cash used in operating activities (329,280) (545,652)
----------- -----------
CASH FLOWS FROM INVESTING ACTIVITIES:
Proceeds from sale of investment -- 69,227
Purchases of property and equipment (736,217) (2,652,609)
Proceeds from disposal of equipment 30,609 --
Collection of related party note 108 33,204
----------- -----------
Net cash used in investing activities (705,500) (2,550,178)
----------- -----------
CASH FLOWS FROM FINANCING ACTIVITIES:
Net borrowings under line of credit 1,716,213 326,612
Borrowings under long-term debt 533,812 2,172,940
Principal payments on long-term debt (748,739) (482,982)
Net proceeds from issuance of common stock 90,216 --
----------- -----------
Net cash provided by financing activities 1,591,502 2,016,570
----------- -----------
NET INCREASE (DECREASE) IN CASH AND
CASH EQUIVALENTS 556,722 (1,079,260)
CASH AND CASH EQUIVALENTS, beginning of period 122,961 1,411,134
CASH AND CASH EQUIVALENTS, end of period $ 679,683 $ 331,874
----------- -----------
SUPPLEMENTAL DISCLOSURE OF CASH FLOW
INFORMATION:
Cash paid for-
Interest $ 492,964 $ 318,587
----------- -----------
Income taxes $ -- $ 4,544
----------- -----------
</TABLE>
6
<PAGE>
STREICHER MOBILE FUELING, INC.
NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS
(1) NATURE OF OPERATIONS
The Company delivers mechanized mobile fleet fueling and electronic fuel
management primarily to customers that operate large fleets of vehicles (such as
governmental agencies, utilities, major trucking lines, hauling and delivery
services, and national courier services). At July 31, 1999, the Company had
operations in Florida, Georgia, Tennessee, California, Louisiana and Texas.
(2) BASIS OF PRESENTATION
The consolidated financial statements include the accounts of Streicher
Mobile Fueling, Inc. and its wholly owned subsidiaries, Streicher West, Inc.,
Streicher Realty, Inc. and Mobile Computer Systems, Inc. All significant
intercompany balances and transactions have been eliminated in consolidation.
The unaudited consolidated financial statements included herein have been
prepared in accordance with the instructions to Form 10-Q and do not include all
the information and footnotes required by generally accepted accounting
principles; however, they do include all adjustments of a normal recurring
nature which, in the opinion of management, are necessary to present fairly the
results of operations of the Company for the interim periods presented. Certain
amounts have been reclassified to conform with current quarter presentation.
These interim financial statements should be read in conjunction with the
Company's audited financial statements and related notes for the year ended
January 31, 1999 included in the Company's Annual Report on Form 10-K for the
year ended January 31, 1999. The results of operations for the interim periods
presented are not necessarily indicative of the results to be expected for the
entire year.
(3) COMMITMENTS AND CONTINGENCIES
At July 31, 1999, the Company had purchase commitments, exercisable over
the next ten months, for 12 custom fuel delivery vehicles costing approximately
$1.9 million.
(4) EARNINGS (LOSS) PER SHARE
Basic earnings per share are computed by dividing income available to
common shareholders by the weighted-average number of common shares outstanding
during the period. Diluted earnings per share are computed by dividing income
available to common shareholders by the weighted-average number of common shares
outstanding during the period increased to include the number of additional
common shares that would have been outstanding if the dilutive potential common
shares had been issued. The dilutive effect of outstanding options is reflected
in diluted earnings per share by application of the treasury stock method. For
loss periods, weighted average common share equivalents are excluded from the
calculation as their effect would be antidilutive.
Options to purchase 1,250,052 shares of common stock, at prices ranging
from $3.00 to $6.00 per share, were outstanding for the quarter ended July 31,
1999 and were included in the computation of diluted earnings per share because
the option exercise prices were less than the average market price of common
shares for the quarter. Options and warrants to purchase 1,372,500 shares of
common stock, at prices ranging from $6.56 to $9.49 per share, were outstanding
for the quarter ended July 31, 1999, but were not included in the computation of
diluted earnings per share because the option and warrant exercise prices were
greater than the average market prices of common shares for the quarter.
7
<PAGE>
MANAGEMENT'S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS
This Form 10-Q contains "forward-looking statements" which involve risks
and uncertainties. The Company's actual results could differ materially from
those in the forward-looking statements as a result of certain factors,
including those set forth under the caption "Certain Factors Affecting Future
Operating Results" in Item 7 of the Company's Annual Report in Form 10-K for the
fiscal year ended January 31, 1999. The following Management's Discussion and
Analysis of Financial Condition and Results of Operations should be read in
conjunction with the Company's financial statements and notes thereto included
elsewhere in this Form 10-Q and the above described factors set forth in the
Company's Form 10-K.
GENERAL
The Company derives all of its revenue from providing mobile fueling
services. Revenue is comprised principally of sales of gasoline and diesel fuel
and related delivery charges. Cost of sales is comprised principally of the cost
of fuel and delivery costs (primarily payroll and equipment costs). Included in
both revenue and cost of sales are Federal and state fuel taxes, which are
generally paid by the Company when it pays for its fuel and are billed by the
Company to its customers upon billing for the related fuel and delivery charges.
RESULTS OF OPERATIONS
THREE MONTHS ENDED JULY 31, 1999 COMPARED TO THREE MONTHS ENDED
JULY 31, 1998
REVENUES
Revenues for the three months ended July 31, 1999 increased 60.9% to $17.7
million, compared to $11.0 million for the same quarter a year ago. This
increase was due primarily to an increase in volume of fuel delivered and
increases in the average wholesale price per gallon of gasoline and diesel fuel.
For the three months ended July 31, 1999, the Company delivered 14.9 million
gallons of fuel compared to 9.7 million gallons for the same quarter of the
prior year, an increase of 53.6%. The increase in volume was attributable to an
increase in services to existing customers, acquisition of new customers in
existing locations and the introduction of mobile fueling operations into
additional metropolitan areas. The Company's revenue levels will fluctuate based
on the cost of fuel in a given period. The Company's sales price to its
customers is adjusted upward or downward for increases or decreases in fuel
costs each week. Significant changes in revenue levels between periods are
possible even if the volume of fuel delivered remains relatively stable.
GROSS PROFIT
Gross profit for the three months ended July 31, 1999 increased 57.7%, to
$1,498,000, compared to $950,000 for the same quarter a year ago. This increase
is primarily due to the higher volume of fuel delivered. The gross profit per
gallon on fuel sold in the three months ended July 31, 1999 was 10.03 cents
compared to a gross profit per gallon of 9.75 cents for the same period a year
ago. This slight improvement was due to greater efficiency in the purchasing of
fuel, modest increases in the fuel price markup and certain changes in the mix
of customers, offset by increases in payroll and equipment ownership costs.
OPERATING EXPENSES
Operating expenses for the three months ended July 31, 1999 increased 1.5%,
to $977,000, compared to $963,000 for the same quarter a year ago. This increase
is primarily attributable to modest increases in payroll and related
administrative costs, increases in insurance costs, additional marketing related
costs and increases in financial/public relations fees.
8
<PAGE>
INTEREST EXPENSE
Interest expense for the three months ended July 31, 1999 increased 30.8%,
to $259,000, compared to $198,000 for the same quarter a year ago. This increase
is a result of increases in the Company's outstanding borrowings for to the
purchase of additional equipment and to provide funds necessary to support
increases in sales.
INCOME TAXES
The Company recognized no income tax benefit or expense for the three months
ended July 31, 1999 or 1998. The Company has sufficent net operating loss
carryforwards to offset its current period earnings.
NET INCOME (LOSS)
Net income for the three months ended July 31, 1999 was $281,000 or $0.11
per share, compared to a net loss of $190,000 or $.07 per share for the three
months ended July 31, 1998. The increase in net income is due to the combination
of factors discussed above.
SIX MONTHS ENDED JULY 31, 1999 COMPARED TO SIX MONTHS ENDED JULY 31, 1998
REVENUES
Revenues for the six months ended July 31, 1999 increased 48.9% to $33.2
million, compared to $22.3 million for the same period a year ago. This increase
was due primarily to an increase in volume of fuel delivered and increases in
the average wholesale price per gallon of gasoline and diesel fuel. For the six
months ended July 31, 1999, the Company delivered 28.8 million gallons of fuel
compared to 19.2 million gallons for the same period of the prior year, an
increase of 50.0%. The increase in volume was attributable to an increase in
services to existing customers, acquisition of new customers in existing
locations and the introduction of mobile fueling operations into additional
metropolitan areas. The Company's revenue levels will fluctuate based on the
cost of fuel in a given period. The Company's sales price to its customers is
adjusted upward or downward for increases or decreases in fuel costs each week.
Significant changes in revenue levels between periods are possible even if the
volume of fuel delivered remains relatively stable.
GROSS PROFIT
Gross profit for the six months ended July 31, 1999 increased 60.0%, to
$2,897,000, compared to $1,811,000 for the same period a year ago. This increase
is primarily due to the higher volume of fuel delivered. The gross profit per
gallon on fuel sold in the six months ended July 31, 1999 was 10.05 cents
compared to a gross profit per gallon of 9.43 cents for the same period a year
ago. This improvement was due to greater efficiency in the purchasing of fuel,
modest increases in the fuel price markup and certain changes in the mix of
customers, offset by increases in payroll and equipment ownership costs.
OPERATING EXPENSES
Operating expenses for the six months ended July 31, 1999 increased 5.5%,
to $1.9 million, compared to $1.8 million for the same period a year ago. This
increase is primarily attributable to modest increases in payroll and related
administrative costs, increases in insurance costs, increases in marketing
expenses and other costs and increases in financial/public relations fees.
INTEREST EXPENSE
Interest expense for the six months ended July 31, 1999 increased 40.9%, to
$503,000, compared to $357,000 for the same period a year ago. This increase is
a result of increases in the Company's outstanding borrowings for the purchase
of additional equipment to support its expansion and to provide the funds
necessary to support increases in sales.
9
<PAGE>
INCOME TAXES
The Company recognized no income tax benefit or expense for the six months
ended July 31, 1999. The Company has sufficent net operating loss carryforwards
to offset its current period earnings.
NET INCOME (LOSS)
Net income for the six months ended July 31, 1999 was $531,000 or $0.21 per
share, compared to a net loss of $304,000 or $.12 per share for the same period
a year ago. The increase in net income is due to the combination of factors
discussed above.
LIQUIDITY AND CAPITAL RESOURCES
The Company's business requires it to expend considerable amounts of funds
for fuel, labor and equipment costs before any payments are received from the
Company's customers. The fuel purchased by the Company for resale to its
customers must generally be paid for within 10 to 15 days of purchase, labor
costs and related taxes are funded bi-weekly and equipment related costs are
generally satisfied within 30 days. The Company bills its customers weekly and
generally collects the majority of its accounts within 35 to 40 days. Days sales
outstanding at July 31, 1999 totaled 38 days compared to 37 days sales
outstanding at July 31, 1998.
During the past two years, the Company has relied on bank borrowings and the
proceeds of its December 1996 initial public offering to fund increases in
accounts receivable, provide the funds necessary to acquire additional custom
fuel delivery trucks and fund operating losses incurred through December 1998.
The Company has operated profitably since January 1999 and anticipates that its
cash reserves of approximately $750,000 (at August 15, 1999) and line of credit
availability will provide sufficient working capital to operate for at least the
next twelve months.
The Company has outstanding borrowings of $6.3 million as of July 31, 1999
under its $7.5 million line of credit. This line permits the Company to borrow
up to 85% of the total amount of eligible accounts receivable. Based on eligible
receivables outstanding at July 31, 1999 the line has been fully drawn as of
that date. Interest is payable monthly at 1.0% over the prime rate (9.0% as of
July 31, 1999). The line of credit matures on April 30, 2001 and is secured by
substantially all of the Company's assets. The credit agreement contains
customary covenants such as the maintenance of certain financial ratios and
minimum net worth and working capital requirements. As of July 31, 1999, the
Company was in compliance with these requirements.
Custom fuel trucks are ordered in advance of need and require a minimal down
payment with the balance due upon delivery. It is expected that this balance
will be funded through a combination of available cash and financing. In the
past, the Company has financed approximately 85% to 95% of the purchase price of
fuel trucks. The Company is unable to estimate the amount of cash required for
the acquisition of fuel trucks as such amount is dependent upon the terms and
conditions of financing available, if any, to the Company at the time of
delivery. At July 31, 1999, the Company had purchase commitments for 12 custom
fuel delivery vehicle costing approximately $1.9 million. A significant portion
of the Company's outstanding debt bears interest at variable interest rates. The
Company's financial results will be impacted by significant increases or
decreases in interest rates.
YEAR 2000 ISSUE
Historically, certain computer programs, as well as certain hardware were
designed to utilize a two-digit date field and consequently, they may not be
able to properly recognize dates in the Year 2000. This could result in
significant system failures. The Company relies on computer-based equipment in
conducting its normal business activities. Certain of these computer-based
programs and equipment may not have been designed to function properly with
respect to the application of dating systems relating to the Year 2000.
10
<PAGE>
In response, the Company has developed a "Year 2000" Plan and established
an internal group to identify and assess potential areas of risk and to make
any required modifications to its computer systems and equipment used in its
product supply and distribution activities. The Year 2000 Plan is comprised of
various phases, including assessment, remediation, testing and contingency
plan development. After the assessment phase has been completed and evaluated,
the remediation, testing and certification phases will be implemented to
ensure that business activities will continue to operate safely, reliably, and
without interruption after 1999. Based upon the results of these assessments
contingency plans will be developed to the extent deemed necessary.
The Company is also monitoring the compliance efforts of significant
suppliers and other third parties with whom it does business to ensure that
operations will not be adversely affected by the Year 2000 compliance problems
of others. There is no assurance that there will not be an adverse effect on the
Company if vendors, suppliers, customers, state and federal governmental
authorities and other third parties do not convert their respective systems in a
timely manner and in a way that is compatible with the Company's information
systems. However, management believes that ongoing communication with and
assessment of the compliance efforts and status of these third parties will
minimize these risks.
The Company believes that it can provide the resources necessary to ensure
Year 2000 compliance and expects to complete its Year 2000 Plan within a time
frame that will enable its computer-based programs and equipment to function
without significant disruption in the Year 2000. The Company believes that the
assessment and remediation phases of its Year 2000 Plan are now complete. The
testing phase will be completed by September 30, 1999. Thereafter, contingency
plans, if necessary and appropriate, will be developed as needed.
At July 31, 1999, the Company has incurred third party costs of
approximately $7,500 related to Year 2000 compliance matters and estimates that
the total future third party software and equipment costs related to Year 2000
compliance activities, based upon information developed to date, will be
approximately $6,000, which will be expensed as incurred. These costs have been
and will continue to be funded through operating cash flows and are not deemed
material to the operations of the Company. The cost of the remediation
activities and the completion dates are based on management's best estimates.
Although the Company anticipates minimal business disruption will occur as
a result of Year 2000, in the event the computer based programs and equipment of
the Company, or that owned and operated by third parties, should fail to
function properly, possible consequences include but are not limited to, loss of
communications links with field offices; loss of electric power; an inability to
timely process commercial transactions or engage in normal automated or
computerized business activities.
To date, the Company has not established a contingency plan for possible
Year 2000 issues. As noted above, in the event the Company, after completion of
the assessment, remediation and testing phases of the Year 2000 Plan and review
of the results of monitoring the compliance efforts and status of third parties,
determines that contingency plans are necessary, the Company will establish
contingency plans based on its assessment of outside risks. The Company
anticipates that contingency plans, if deemed necessary, will be in place by
October 31, 1999.
The discussion of the Company's efforts, and management's expectations,
relating to Year 2000 compliance contains forward-looking statements. Presently,
the Company does not anticipate that the Year 2000 issues will have a material
adverse effect on the operations or financial performance of the Company.
However, there can be no assurance that the Year 2000 will not adversely affect
the Company and its business.
11
<PAGE>
PART II. OTHER INFORMATION
ITEM 1
LEGAL PROCEEDINGS
None.
ITEM 2
CHANGES IN SECURITIES
In July 1999, the Company issued to Emerson Bennett & Associates, in
consideration of investment banking and advisory services, warrants to purchase
25,000 shares of common stock. The warrants were issued in reliance upon the
exemption set forth in Section 4(2) of the Securities Act of 1933, as amended,
on the basis that they were issued under circumstances not involving a public
offering.
ITEM 3
DEFAULTS UPON SENIOR SECURITIES
None.
ITEM 4
SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
The Company held its Annual Shareholders Meeting on July 30, 1999. The issues
submitted to a vote of the security holders and the results of the voting are as
follows:
1) Proposal to elect five nominees to the Board of Directors
FOR AGAINST
--- -------
Stanley H. Streicher 2,405,194 5,500
E. Scott Golden 2,405,194 5,500
Joseph M. Murphy 2,405,194 5,500
John H. O'Neil, Jr. 2,405,194 5,500
C. Rodney O'Connor 2,405,194 5,500
The Board consists of five directors. All nominees were elected to serve
for a one year period.
2) Proposal to increase the number of shares available for grant under the
Employee Stock Option Plan from 250,000 to 500,000 shares.
FOR AGAINST ABSTAIN NON VOTES
--- ------- ------- ---------
1,789,954 11,276 78,076 531,039
The proposal was approved.
12
<PAGE>
3) Proposal to ratify the appointment of KPMG as the Company's independent
certified public accountants.
FOR AGAINST ABSTAIN
--- ------- -------
2,396,668 9,100 4,576
The proposal was approved.
ITEM 5
OTHER INFORMATION
None.
ITEM 6
EXHIBITS AND REPORTS ON FORM 8-K
(a) Exhibits: Financial Data Schedule: Ex. 27
(b) Reports on Form 8-K: None
13
<PAGE>
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 hereunto duly authorized.
STREICHER MOBILE FUELING, INC.
August 31, 1999 By: /s/ STANLEY H. STREICHER
------------------------------------------------
Stanley H. Streicher
Chief Executive Officer
August 31, 1999 By: /s/ WALTER B. BARRETT
------------------------------------------------
Walter B. Barrett
Vice President, Finance and Chief Financial Officer
14
<PAGE>
EXHIBIT INDEX
EXHIBIT DESCRIPTION
- ------- -----------
EX. 27 Financial Data Schedule
<TABLE> <S> <C>
<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> JAN-31-2000
<PERIOD-START> MAY-01-1999
<PERIOD-END> JUL-31-1999
<CASH> 679,683
<SECURITIES> 0
<RECEIVABLES> 7,739,943
<ALLOWANCES> (89,100)
<INVENTORY> 123,714
<CURRENT-ASSETS> 8,740,622
<PP&E> 12,298,805
<DEPRECIATION> (2,603,126)
<TOTAL-ASSETS> 18,944,710
<CURRENT-LIABILITIES> 11,017,828
<BONDS> 0
0
0
<COMMON> 26,030
<OTHER-SE> 3,954,713
<TOTAL-LIABILITY-AND-EQUITY> 18,944,710
<SALES> 33,247,654
<TOTAL-REVENUES> 33,247,654
<CGS> 30,350,815
<TOTAL-COSTS> 30,350,815
<OTHER-EXPENSES> 1,889,953
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 502,646
<INCOME-PRETAX> 530,890
<INCOME-TAX> 0
<INCOME-CONTINUING> 530,890
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 530,890
<EPS-BASIC> .21
<EPS-DILUTED> .20
</TABLE>
