================================================================================
THIS DOCUMENT IS A COPY OF THE FORM 10Q FILED ON MAY 16, 1996 PURSUANT TO A
RULE 201 TEMPORARY HARDSHIP EXEMPTION
================================================================================
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
___________
Form 10-Q
(X) QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE
THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 1996
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 0-12329
LCS INDUSTRIES, INC.
------------------------------------------------------
(Exact name of registrant as specified in its charter)
Delaware 13-2648333
- ------------------------ ------------------------------------
(State of incorporation) (I.R.S. Employer Identification No.)
120 Brighton Road, Clifton, New Jersey 07012-1694
- --------------------------------------------------------------------------------
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (201) 778-5588
-----------------------------
N/A
- --------------------------------------------------------------------------------
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, and (2) has been subject to such filing
requirements for the past 90 days. Yes ( X ) No ( )
APPLICABLE ONLY TO CORPORATE ISSUERS:
The number of shares outstanding of the registrant's Common Stock, par
value of $.01 per share, as of May 3, 1996, was 4,397,622.
<PAGE>
LCS INDUSTRIES, INC.
AND SUBSIDIARIES
INDEX
PART I FINANCIAL INFORMATION
Item 1. Financial Statements
Consolidated Balance Sheets
As of March 31, 1996 (Unaudited) and
September 30, 1995
Consolidated Statements of Operations
For the Three Months and Six Months Ended
March 31, 1996 and 1995 (Unaudited)
Consolidated Statements of Cash Flows
For the Six Months Ended
March 31, 1996 and 1995 (Unaudited)
Notes to Consolidated Financial Statements
(Unaudited)
Item 2. Management's Discussion and Analysis
of Financial Condition and Results of Operations
PART II OTHER INFORMATION
Item 4. Submission of Matters to a Vote of
Security-Holders
Item 6. Exhibits and Reports on Form 8-K
<PAGE>
<TABLE>
<CAPTION>
LCS INDUSTRIES, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
March 31, September 30,
1996 1995
------------ ------------
(Unaudited)
<S> <C> <C>
ASSETS
Current assets:
Cash and cash equivalents ......................... $ 18,612,890 $ 8,630,831
Investments - held-to-maturity .................... 199,859 199,859
Accounts receivable (less allowance
for doubtful accounts: March 31 - $672,000
and September 30 - $624,000) .................. 20,942,357 23,815,919
Prepaid expenses and other current assets ......... 1,139,475 1,891,837
Deferred taxes .................................... 299,000 263,250
------------ ------------
Total current assets ............................ 41,193,581 34,801,696
------------ ------------
Investments - available-for-sale, net ................ 811,596 797,583
Property and equipment, net .......................... 6,825,085 5,222,513
Goodwill (net of accumulated amortization: March 31 -
$376,700 and September 30, - $233,500) ........... 7,710,499 7,853,675
Other assets ......................................... 982,543 1,061,166
------------ ------------
$ 57,523,304 $ 49,736,633
============ ============
(Continued)
<PAGE>
<CAPTION>
LCS INDUSTRIES, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS -- Continued
March 31, September 30,
1996 1995
------------ ------------
(Unaudited)
<S> <C> <C>
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable .................................. $ 12,074,893 $ 15,105,009
Accrued salaries and commissions .................. 1,621,509 2,076,999
Other accrued expenses ............................ 3,308,401 2,352,477
Income taxes payable .............................. 235,914 --
Current portion of long-term debt ................. 866,984 567,294
Current portion of capital lease obligations ...... 431,980 516,989
Deferred revenue .................................. 7,922,540 3,614,331
------------ ------------
Total current liabilities ....................... 26,462,221 24,233,099
------------ ------------
Long-term debt, net of current portion ............... 3,776,766 2,804,790
Capital lease obligations, net of current portion .... 445,973 631,475
Deferred taxes ....................................... 56,000 19,750
Stockholders' equity:
Preferred stock $.01 par value; authorized
1,000,000 shares; issued - none
Common stock $.01 par value; authorized
15,000,000 shares; issued March 31 - 4,582,241
shares and September 30 - 4,347,886 shares .... 45,822 43,479
Common stock issuable ............................. 1,945,983 2,407,521
Additional paid-in capital ........................ 6,517,144 5,431,455
Retained earnings ................................. 18,551,672 14,451,854
------------ ------------
27,060,621 22,334,309
Less: treasury stock, at cost, 187,766 shares .... (207,953) (207,953)
marketable securities valuation adjustment.. (70,324) (78,837)
------------ ------------
Total stockholders' equity ...................... 26,782,344 22,047,519
------------ ------------
$ 57,523,304 $ 49,736,633
============ ============
See Notes to Consolidated Financial Statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
LCS INDUSTRIES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
For the Three and Six Months Ended March 31,
(Unaudited)
Three Months Six Months
---------------------------- ----------------------------
1996 1995 1996 1995
------------ ------------ ------------ ------------
<S> <C> <C> <C> <C>
Net sales ............................. $ 22,347,757 $ 18,385,185 $ 48,001,814 $ 37,121,142
Cost of sales ......................... 15,451,671 12,486,573 32,920,594 25,710,927
------------ ------------ ------------ ------------
Gross profit ....................... 6,896,086 5,898,612 15,081,220 11,410,215
Selling and administrative expenses ... 4,003,831 3,352,603 8,035,507 6,709,695
Other (income) expense:
Dividend and interest income ....... (209,986) (77,294) (392,681) (132,486)
Interest expense ................... 92,840 53,696 193,299 96,924
------------ ------------ ------------ ------------
Income before income taxes ............ 3,009,401 2,569,607 7,245,095 4,736,082
Provision for income taxes ............ 1,235,000 1,056,000 2,962,000 1,939,000
------------ ------------ ------------ ------------
Net income ............................ $ 1,774,401 $ 1,513,607 $ 4,283,095 $ 2,797,082
============ ============ ============ ============
Per common and common equivalent share:
Primary earnings ...................... $ .35 $ .33 $ .85 $ .63
============ ============ ============ ============
Fully diluted earnings ................ $ .34 $ .33 $ .82 $ .61
============ ============ ============ ============
Dividends ............................. $ .025 $ .017 $ .044 $ .028
============ ============ ============ ============
See Notes to Consolidated Financial Statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
LCS INDUSTRIES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
For the Six Months Ended March 31,
(Unaudited)
1996 1995
------------ ------------
<S> <C> <C>
Increase (Decrease) in cash and cash equivalents
Cash flows from operating activities:
Net income ........................................ $ 4,283,095 $ 2,797,082
------------ ------------
Adjustments to reconcile net income to net cash
provided by operating activities:
Depreciation and amortization .................. 1,141,705 885,257
Deferred income taxes .......................... (5,000) (45,000)
Provision for doubtful accounts receivable ..... 60,000 45,000
Gain on sale of fixed assets ................... -- (3,000)
------------ ------------
Total adjustments .............................. 1,196,705 882,257
Changes in operating assets and liabilities:
Accounts receivable ............................ 2,813,562 680,638
Prepaid expenses and other current assets ...... 752,362 (399,808)
Accounts payable and accrued expenses .......... (2,529,682) (1,732,187)
Income taxes payable ........................... 235,914 649,645
Deferred revenue ............................... 4,308,209 --
Other, net ..................................... 78,623 (76,170)
------------ ------------
Total adjustments and changes .................. 6,855,693 4,375
------------ ------------
Net cash provided by operating activities ...... 11,138,788 2,801,457
------------ ------------
Cash flows from financing activities:
Changes in long-term debt and capital
leases (including current portion):
Borrowings ................................. 1,785,000 --
Repayments ................................. (783,845) (803,982)
Dividends paid ................................. (183,022) (109,838)
Exercise of stock options ...................... 547,493 283,059
Employee stock purchase plan proceeds .......... 78,746 28,500
------------ ------------
Net cash provided (used in) financing activities 1,444,372 (602,261)
------------ ------------
Cash flows from investing activities:
Additions to property and equipment ............ (2,601,101) (511,807)
Proceeds from sales of equipment ............... -- 93,938
Net sales of marketable securities ............. -- 200,727
------------ ------------
Net cash used in investing activities .......... (2,601,101) (217,142)
------------ ------------
Cash and cash equivalents:
Net increase in cash and cash equivalents ...... 9,982,059 1,982,054
Cash and cash equivalents at beginning of period 8,630,831 1,679,489
------------ ------------
Cash and cash equivalents at end of period ..... $ 18,612,890 $ 3,661,543
============ ============
Continued on next page.
<PAGE>
<CAPTION>
LCS INDUSTRIES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
For the Six Months Ended March 31,
(Unaudited)
Continued from previous page.
1996 1995
---------- ----------
<S> <C> <C>
Supplementary disclosures of cash flow information:
Cash paid during the period for:
Interest ...................................... $ 102,107 $ 74,457
Income taxes .................................. $2,248,738 $1,350,565
</TABLE>
Supplemental disclosures of non-cash investing
and financing activities:
Capital lease obligations:
For the six months ended March 31, 1995 a capital lease obligation of
$152,525 was incurred for the leasing of equipment. There were no capital
lease obligations entered into during the six months ended March 31, 1996.
Valuation adjustment:
For the six months ended March 31, 1996, the account was adjusted to
reflect an increase in market values of $8,513, net of deferred income
taxes. During the six month period ended March 31, 1995, $25,158, net of
taxes, was added to the marketable securities valuation adjustment. This
represents the additional net unrealized losses on the investments -
available-for-sale, net, during the period.
Acquisition of business:
During the six month periods ended March 31, 1996 and 1995, $ 461,538 and
$506,250 of common stock issuable was converted into 34,621 and 63,613
issued shares of the Company's common stock, in accordance with the terms
of the Catalog Resources, Inc. purchase agreement, as amended.
Stock dividends:
The March 31, 1995 financial statements reflect the 2 for 1 stock split
(2,061,087 shares) paid as a stock dividend on October 24, 1995. On January
5, 1996, 360 shares of common stock were paid as dividends upon exchange of
150 shares of the Company's "old" common stock.
See Notes to Consolidated Financial Statements.
<PAGE>
LCS INDUSTRIES, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)
1) In the opinion of management, the accompanying unaudited financial statements
include all adjustments (consisting only of normal recurring accruals) which are
necessary for a fair presentation of results for the periods indicated. Certain
information and footnote disclosures normally included in complete financial
statements prepared in accordance with generally accepted accounting principles
have been omitted. Therefore, these financial statements should be read in
conjunction with the financial statements and the footnotes included in the
Company's Annual Report on Form 10-K for the year ended September 30, 1995. The
results of operations for the six months ended March 31, 1996 and 1995 are not
necessarily indicative of the results for the full year. The September 30, 1995
Balance Sheet was derived from the audited Balance Sheet at that date.
2) Certain reclassifications have been made to the 1995 financial statements in
order to conform to the fiscal 1996 presentations.
3) For the three and six month periods ended March 31, 1996 and 1995, earnings
per share have been calculated based on the weighted average shares outstanding
using the treasury stock method for stock options, which are considered common
stock equivalents, and the number of shares currently issuable in connection
with the acquisition of Catalog Resources, Inc. Earnings per share and the
weighted average number of shares outstanding for the three and six month
periods ended March 31, 1995 have been restated to reflect the 2 for 1 stock
split paid as a 100% stock dividend on October 24, 1995.
4) At the Company's annual meeting held on January 23, 1996, shareholders
approved an increase of 9,000,000 shares in the authorized number of shares of
Common Stock, par value $.01, to 15,000,000 shares.
5) In March, 1996, Catalog Resources, Inc. entered into a $2.5 million five year
term loan to substantially fund the expansion of its warehouse and office
facilities. Initial proceeds of $1.785 million were received at the closing. The
remainder is expected to be received in June, 1996.
<PAGE>
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations.
Results of Operations
Three Months ended March 31, 1996
Sales increased 22% in the quarter ended March 31, 1996 to
$22,348,000 from $18,385,000 for the comparable quarter of the prior year. This
improvement is accounted for by a 91% increase in computer services, a 22%
increase in fulfillment services and a 14% increase in list marketing. Computer
services' increase reflects the revenues related to the $40 million contract to
provide computer services through the building of a marketing database for a
major non-U.S. communications company. The contract extends through June, 1998,
subject to early termination provisions. Revenue is recognized on the
percentage-of-completion method of accounting measured by the percentage of
labor hours incurred to date to the total labor hours required for the contract.
The fulfillment services increase reflects a 62% increase in continuity
fulfillment services, a 95% increase in outbound telemarketing partially offset
by decreases of 19% in the catalog fulfillment operation and 61% in inbound
telemarketing. The continuity fulfillment services' increase reflects revenues
from new customers added since the prior fiscal period and increased volume from
continuing customers. The catalog fulfillment decrease includes a 43% decrease
in revenues from an existing customer. This decline was partially offset by
increased revenues from other customers and additions to the customer base. The
decrease in inbound telemarketing is part of the Company's strategic plan to
de-emphasize this service. The list marketing revenue increase resulted
primarily from increased volumes with continuing customers.
Gross profit increased 17% to $6,896,000 for the current quarter from
$5,899,000 in the comparable quarter of 1995. Gross profit margin was 31% in the
current quarter compared to 32% in 1995. The increase in gross profit amount
resulted primarily from the increased sales volumes. The decrease in gross
profit margin resulted primarily from the margin derived from the catalog
fulfillment operations' reduced revenues offset by the margin associated with
the increased computer services' revenues, as described above.
Selling and administrative expenses increased 19% to $4,004,000 in
the current quarter from $3,352,000 in the comparable quarter of 1995. Selling
and administrative expenses, as a percentage of sales, were 18% in each period.
The increase in amount of selling and administrative expenses reflect increased
expenses associated with the facility expansion at the catalog fulfillment
operation, the costs associated with both the continuity fulfillment and list
services' incremental revenues partially offset by the minimal incremental
selling and administrative costs associated with the incremental computer
services' revenues.
Net dividend and interest income of $117,000 was realized in the
current quarter compared to $24,000 in the comparable 1995 quarter. Dividend and
interest income increased $133,000 in the current fiscal quarter as a result of
a higher level of funds available for short-term investment partially offset by
lower interest rates during the current quarter. The increase in interest
expense quarter over quarter of $39,000 resulted from the $2,532,000 in
long-term debt recorded at September 30, 1995 for the future payments required
in connection with the acquisition of Catalog Resources, Inc. The unsecured line
of credit available to the Company was not utilized in either quarter.
Net income was $1,774,000 ($.34 per share-fully diluted) in the
current quarter compared to $1,514,000 ($.33 per share-fully diluted) in the
comparable 1995 quarter.
<PAGE>
Six Months ended March 31, 1996
Sales increased 29% for the six months ended March 31, 1996 to
$48,002,000 from $37,121,000 for the comparable period of the prior year. This
improvement is represented by a 121% increase in computer services, a 29%
increase in fulfillment services and a 13% increase in list marketing sales. The
increase in computer services' sales reflects the revenues related to the
non-U.S. communications company $40 million contract, as described in the
section above. The fulfillment increase includes a 70% increase in continuity
fulfillment, a 141% increase in outbound telemarketing partially offset by a 5%
decrease in catalog fulfillment sales and a 56% decrease in inbound
telemarketing. Explanations of these fluctuations are the same as described in
the current quarter section above with the catalog fulfillment operations'
decline from an existing customer amounting to 34% for the period.
Gross profit increased 32% to $15,081,000 for the six month period
from $11,410,000 in the comparable period of 1995. Gross profit margin was 31%
in each six month period. The increase in gross profit amount resulted primarily
from the increased sales volumes. The higher gross profit margin derived from
the incremental computer services' sales was offset by a lower gross profit
margin derived from the catalog fulfillment operation.
Selling and administrative expenses increased 19% to $8,036,000 from
$6,710,000 in 1995. Selling and administrative expenses, as a percentage of
sales, were 17% for the current six month period and 18% in the prior year. The
increase in the amount of selling and administrative expenses, when compared to
the 29% revenue gain for the six month period, and the decrease in these costs,
as a percentage of sales, are due primarily to the minimal incremental selling
and administrative expenses associated with the incremental computer services'
revenues partially offset by administrative salaries and related expenses
associated with the facility expansion at the catalog fulfillment operation.
Net dividend and interest income of $199,000 was realized in the
current six month period compared to $36,000 in the comparable period in 1995.
Dividend and interest income increased $260,000 in the current six month period
as a result of a higher level of funds available for short-term investment. The
increase in interest expense period over period of $96,000 resulted from the
debt recorded at September 30, 1995, as described above. The unsecured line of
credit availble was not utilized in either period.
Net income was $4,283,000 ($.82 per share-fully diluted) in the
current period compared to $2,797,000 ($.61 per share-fully diluted) in the
comparable 1995 period.
Financial Condition, Liquidity and Capital Resources
Working capital was $14,731,000 at March 31, 1996. Fluctuations in
the components of working capital resulted primarily from the increase in cash
and cash equivalents and decreases in accounts payable and accrued personnel
costs partially offset by decreases in accounts receivable and prepaid expenses
and other current assets and increases in other accrued expenses and deferred
revenues.
For the six month period, cash generated by operations increased
$8,337,000 over such amounts generated in the comparable period of the prior
year. This increase was primarily the result of increases in net income of
$1,486,000 and deferred revenue of $4,308,000 and decreases in accounts
receivable of 2,133,000 and prepaid expenses and other current assets of
$1,152,000 partially offset by a decrease in accounts payable and accrued
expenses of $797,000.
<PAGE>
In the six month period ended March 31, 1996, financing activities
provided funds of $1,444,000 compared to a use of funds of $602,000 in 1995. In
both periods, the repayment of debt was the primary use of funds and amounted to
$784,000 in 1996 and $804,000 in 1995. In March, 1996, $1,785,000 was borrowed
under the terms of a $2.5 million five year term loan to substantially fund the
expansion of warehouse and office facilities at Catalog Resources, Inc. (CRI).
Cash used for investing activities, in the current period, increased $2,384,000
compared to 1995 due to additions to property and equipment primarily for the
CRI expansion described above.
Pursuant to the purchase agreement, as amended, with CRI, the Company
is obligated to pay to CRI's selling shareholders, in cash or stock, up to an
aggregate of $10,000,000. Under such purchase agreement, the Company paid
$1,012,500 (one-half in cash and one-half in stock) on January 1, 1996. Further,
such amounts will be payable each January 1 through 2002 totaling a maximum of
$6,075,000. The discounted value of these future payments was recorded at
September 30, 1995 since it is probable that the future earnings levels will be
attained which will require the maximum payments to be made.
Management believes cash generated from current operations and other
liquid assets combined with the available bank credit line and the five year
term loan mentioned above will be sufficient to meet cash flow needed during the
fiscal year.
<PAGE>
PART II OTHER INFORMATION
Item 4. Submission of Matters to a Vote of Security Holders.
(a) The annual meeting of shareholders was held on January 23, 1996.
(b) Shareholders elected to the Board of Directors Mr. Joseph R.
Barbaro. Mr. Arnold J. Scheine, Mr. Marvin Cohen and Mr. Bernard Ouziel
continued as members of the Board of Directors.
(c) The election of Mr. Barbaro was by a vote of 3,442,335 for and
20,601 withheld. There were 652,867 broker non-votes.
(d) Deloitte & Touche LLP was elected to serve as the Company's
independent auditors by a vote of 3,451,196 for, 9,240 against and 2,500
abstentions. There were 652,867 broker non-votes.
(e) Amendment to the Restated Certificate of Incorporation to increase
the number of authorized shares of Common Stock by nine million (9,000,000)
shares from six (6,000,000) shares was approved by a vote of 3,342,567 for,
111,557 against and 5,212 abstentions. There were 656,467 broker non-votes.
(f) Adjustment of options granted under the 1993 Non-Employee Stock
Option Plan in the event of a subdivision, recapitalization or consolidation of
the shares of the Company's Common Stock or the payment of stock dividends and
stock splits was approved by a vote of 3,417,758 for, 35,222 against and 8,156
abstentions. There were 654,267 broker non-votes.
Item 6. Exhibits and Reports on Form 8-K.
(a) Exhibit 11 - Computation of earnings per share
(b) Reports on Form 8-K - LCS Industries, Inc. did not file any reports
on Form 8-K during the quarter ended March 31, 1996.
<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, thereunto duly authorized.
Date: Clifton, New Jersey
May 13, 1996
LCS INDUSTRIES, INC.
(Registrant)
By: /s/ Arnold J. Scheine
------------------------------
Arnold J. Scheine
President
(Chief Executive Officer)
By: /s/ Pat R. Frustaci
------------------------------
Pat R. Frustaci
Vice President-Finance
(Chief Financial Officer)
LCS INDUSTRIES, INC. AND SUBSIDIARIES
COMPUTATION OF EARNINGS PER SHARE AND
COMMON EQUIVALENT SHARE
For the Three and Six Months Ended March 31,
(Unaudited)
<TABLE>
<CAPTION>
Three Months Six Months
---------------------------------------------
1996 1995 1996 1995
--------- --------- --------- ---------
<S> <C> <C> <C> <C>
Primary earnings per share:
Weighted average shares outstanding ....... 4,305,825 4,003,614 4,248,833 3,967,712
Weighted average - dilutive stock options . 717,609 442,202 704,546 379,448
Shares issuable in connection with the
acquisition of Catalog Resources, Inc. . 109,339 109,339 109,339 109,339
--------- --------- --------- ---------
5,132,773 4,555,155 5,062,718 4,456,499
========= ========= ========= =========
Net income ................................ $1,774,401 $1,513,607 $4,283,095 $2,797,082
Primary earnings per share and common
equivalent share ....................... $ .35 $ .33 $ .85 $ .63
--------- --------- --------- ---------
Fully diluted earnings per share:
Weighted average shares outstanding ....... 4,305,825 4,003,614 4,248,833 3,967,712
Weighted average - dilutive stock options . 807,598 487,510 842,210 508,120
Shares issuable in connection with the
acquisition of Catalog Resources, Inc. . 109,339 109,339 109,339 109,339
--------- --------- --------- ---------
5,222,762 4,600,463 5,200,382 4,585,171
========= ========= ========= =========
Net income ................................ $1,774,401 $1,513,607 $4,283,095 $2,797,082
Fully diluted earnings per share and common
equivalent share ....................... $ .34 $ .33 $ .82 $ .61
========= ========= ========= =========
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> SEP-30-1996
<PERIOD-END> MAR-31-1996
<CASH> 18,612,890
<SECURITIES> 199,859
<RECEIVABLES> 21,614,357
<ALLOWANCES> 672,000
<INVENTORY> 168,732
<CURRENT-ASSETS> 41,193,581
<PP&E> 15,538,335
<DEPRECIATION> 8,713,250
<TOTAL-ASSETS> 57,523,304
<CURRENT-LIABILITIES> 26,462,221
<BONDS> 0
0
0
<COMMON> 45,822
<OTHER-SE> 26,736,522
<TOTAL-LIABILITY-AND-EQUITY> 57,523,304
<SALES> 0
<TOTAL-REVENUES> 48,001,814
<CGS> 0
<TOTAL-COSTS> 32,920,594
<OTHER-EXPENSES> 8,035,507
<LOSS-PROVISION> 60,000
<INTEREST-EXPENSE> 193,299
<INCOME-PRETAX> 7,245,095
<INCOME-TAX> 2,962,000
<INCOME-CONTINUING> 4,283,095
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 4,283,095
<EPS-PRIMARY> .85
<EPS-DILUTED> .82
</TABLE>
