<PAGE> 1
UNITED STATES
Page 1 of 8
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-QSB
(Mark one)
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended: July 31, 1995
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the transition period from ____________ to ____________
Commission File Number 06425
AMACAN RESOURCES CORPORATION
(Exact name of registrant as specified in its charter)
Utah 87-0284979
(State or other jurisdiction of (I.R.S. Employer
Incorporation or organization) Identification No.)
1399 South Seventh East
Salt Lake City, Utah 84105
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (801) 486-9911
Not Applicable
(Former name, former address and former fiscal year,
if changed since last report)
Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the preceding 12 months (or for such shorter period that the registrant was
required to file such reports) and (2) has been subject to such filing
requirements for the past 90 days.
Yes X No
--- ---
Indicate the number of shares outstanding of each of the issuer's classes of
common stock, as of the latest practicable date.
<TABLE>
<CAPTION>
Class Outstanding at August 31, 1995
-------------------------- ------------------------------
<S> <C>
Common capital stock, $.25
par value 2,723,714
</TABLE>
<PAGE> 2
PART I. FINANCIAL INFORMATION Page 2 of 8
ITEM I. FINANCIAL STATEMENTS
AMACAN RESOURCES CORPORATION AND SUBSIDIARY
CONDENSED CONSOLIDATED BALANCE SHEETS
July 31, 1995 and April 30, 1995
(Unaudited)
<TABLE>
<CAPTION>
July 31, April 30,
1995 1995
--------- ---------
<S> <C> <C>
ASSETS
------
Current assets:
Cash-Checking and savings $ 92,662 $ 84,851
Investment in certificate
of deposit 440,436 436,686
Accounts receivable 15,333 18,711
--------- ---------
Total current assets 548,431 540,248
Interests in oil and gas properties,
and equipment, at cost net of
accumulated depreciation and
depletion at July, 1995 and
April, 1995 of $3,315,981
and $3,305,850, respectively 240,937 250,505
--------- ---------
$ 789,368 $ 790,753
========= =========
LIABILITIES AND STOCKHOLDERS' EQUITY
------------------------------------
Current liabilities:
Accounts payable and accrued
liabilities $ 48,838 $ 42,940
--------- ---------
Total current liabilities 48,838 42,940
--------- ---------
Deferred compensation payable 30,260 38,210
Stockholders' equity:
Capital stock 680,929 680,929
Additional paid-in capital 89,504 89,504
Retained earnings (deficit) (60,163) (60,830)
--------- ---------
Total stockholders' equity 710,270 709,603
--------- ---------
$ 789,368 $ 790,753
========= =========
</TABLE>
See accompanying notes to financial statements.
<PAGE> 3
Page 3 of 8
AMACAN RESOURCES CORPORATION AND SUBSIDIARY
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
Three Months Ended July 31, 1995 and 1994
(Unaudited)
<TABLE>
<CAPTION>
1995 1994
----------- -----------
<S> <C> <C>
Revenue:
Oil and gas $ 41,510 $ 49,391
Interest income 3,750 3,887
----------- -----------
45,260 53,278
----------- -----------
Costs and expenses:
Depreciation and depletion 10,131 12,452
Operating costs 12,652 14,242
Taxes other than income taxes 5,838 6,758
Other costs and expenses 15,702 18,501
----------- -----------
Total costs and expenses 44,323 51,953
----------- -----------
Earnings before provision
for taxes 937 1,325
Provision for income taxes 270 --
----------- -----------
Net earnings 667 1,325
Retained earnings (deficit),
beginning (60,830) (49,448)
----------- -----------
Retained earnings (deficit),
ending $ (60,163) $ (48,123)
=========== ===========
Earnings (loss) per share $ .0002 $ .0005
=========== ===========
Dividends None None
Average shares outstanding 2,723,714 2,723,714
Sales of unregistered securities None None
</TABLE>
See accompanying notes to financial statements.
<PAGE> 4
Page 4 of 8
AMACAN RESOURCES CORPORATION AND SUBSIDIARY
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
Three Months Ended July 31, 1995 and 1994
(Unaudited)
<TABLE>
<CAPTION>
1995 1994
-------- ---------
<S> <C> <C>
Cash flows from operating activities:
Net earnings (loss) $ 667 $ 1,325
Adjustments to reconcile
net earnings (loss) to net cash
provided by operating activities:
Depreciation depletion
and amortization 10,131 12,452
(Increase) decrease in
accounts receivable 3,378 (695)
Increase (decrease) in
accounts payable and
accrued liabilities 5,898 12,503
Increase (decrease) in
deferred compensation
payable (7,950) (8,185)
-------- ---------
Net cash provided by operating
activities 12,124 17,400
-------- ---------
Cash flows from investing activities:
Capital expenditures (563) (4,084)
Investments in certificates
of deposit (3,750) --
Investments in commercial
paper -- (355,000)
-------- ---------
Net cash used in investing
activities ( 4,313) (359,084)
-------- ---------
Increase (decrease) in cash and
cash equivalents 7,811 (341,684)
Cash and cash equivalents,
beginning of period 84,851 502,861
-------- ---------
Cash and cash equivalents,
end of period $ 92,662 $ 161,177
======== =========
</TABLE>
See accompanying notes to financial statements.
<PAGE> 5
Page 5 of 8
AMACAN RESOURCES CORPORATION AND SUBSIDIARY
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
July 31, 1995
(Unaudited)
Note A -- Basis of Presentation
The accompanying unaudited condensed consolidated financial statements have
been prepared in accordance with generally accepted accounting principles
for interim financial information and with the instructions to Form 10-Q
and Article 10 of Regulation S-X. Accordingly, they do not include all of
the information and footnotes required by generally accepted accounting
principles for complete financial statements. In the opinion of management,
all adjustments (consisting of normal recurring accruals) considered
necessary for a fair presentation have been included. Operating results for
the three month periods ended July 31, 1995 are not necessarily indicative
of the results that may be expected for the year ended April 30, 1995. The
unaudited condensed consolidated financial statements should be read in
conjunction with the consolidated financial statements and footnotes
thereto included in the Company's annual report on Form 10-KSB for the year
ended April 30, 1995.
Note B -- Supplemental Disclosures of Cash Flow Information
The Company paid cash of $1,050 during the period ended July 31, 1995 for
interest recognized on deferred compensation.
<PAGE> 6
Page 6 of 8
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
General Condition
The Company's principal activities have consisted of production from oil and gas
reserves during the interim period since April 30, 1995.
Liquidity and Capital Resources
The Company's liquidity is provided by operations and equity securities. During
the quarter ended July 31, 1995, the Company has applied capital generated from
operations to the development and maintenance of oil and gas reserves.
The working capital reflected in the financial statements does not take into
consideration the working capital available from production of the Company's oil
and gas reserves until such reserves have been produced and sold. It is because
of the production of oil and gas reserves that the Company has demonstrated the
ability to generate adequate working capital.
Results of Operations - Quarters Ended July 31, 1995 and 1994
During the most recent quarter the company reported net earnings of $667
compared with $1,325 for the same quarter of the prior year. The significant
reasons are discussed below:
Revenue
Oil and gas revenue - decreased (from $49,391 to $41,510) primarily
because of decreased gas production (from 13,333 MCF to 10,392 MCF).
Prices received for production of the Company's oil and gas reserves
were materially unchanged.
Interest income - decreased (from $3,887 to $3,750) primarily because
the average rate of interest decreased compared with the same quarter
of the previous year.
Cost and Expenses
Depreciation and depletion - decreased (from $12,452 to $10,131)
because of decreased gas production. (See comment on oil and gas
revenue above.)
<PAGE> 7
Page 7 of 8
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS, CONTINUED
Cost and Expenses, Continued
Operating costs - decreased (from $14,242 to $12,652) because of
decreased costs charged by the operator of the Company's oil and gas
wells.
Taxes other than income taxes - decreased (from $6,758 to $5,838)
because of decreased revenue subject to state production taxes compared
with the same quarter of the previous year.
Other costs and expenses - decreased (from $18,501 to $15,702)
primarily because of decreased professional costs and office expenses
of the Company's subsidiary compared with the same quarter of the
previous year.
<PAGE> 8
Page 8 of 8
PART II: OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8K
(a) Exhibits -Exhibit No. 27 Financial Data Schedule (EDGAR)
(b) Reports on 8K - There were no reports on Form 8K filed for the
three months ended July 31, 1995.
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.
AMACAN RESOURCES CORPORATION
----------------------------
(Registrant)
By /s/ Lamar H. Holley
-------------------------------
Lamar H. Holley, Vice-President
and Chief Financial Officer
Date: September 14, 1995
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM AMACAN
RESOURCES CORPORATION CONDENSED CONSOLIDATED BALANCE SHEET AND STATEMENT OF
OPERATIONS AS OF AND FOR THE THREE MONTHS ENDED JULY 31, 1995 AND IS QUALIFIED
IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> APR-30-1996
<PERIOD-END> JUL-31-1995
<CASH> 92662
<SECURITIES> 440436
<RECEIVABLES> 15333
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 548431
<PP&E> 3556918
<DEPRECIATION> 3315981
<TOTAL-ASSETS> 789368
<CURRENT-LIABILITIES> 48838
<BONDS> 30260
<COMMON> 0
0
770433
<OTHER-SE> (60,163)
<TOTAL-LIABILITY-AND-EQUITY> 789368
<SALES> 41510
<TOTAL-REVENUES> 45260
<CGS> 0
<TOTAL-COSTS> 28936
<OTHER-EXPENSES> 23530
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 937
<INCOME-TAX> (270)
<INCOME-CONTINUING> 667
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 667
<EPS-PRIMARY> (.002)
<EPS-DILUTED> (.002)
</TABLE>
