SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
(Mark One)
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended JUNE 30, 1995
[ ] 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 0-18466
ENVIRONMENTAL SERVICES OF AMERICA, INC.
(Exact name of registrant as specified in its charter)
DELAWARE 87-0377081
(I.R.S. Employer incorporation or (State or other jurisdiction of
organization) Identification No.)
937 EAST HAZELWOOD AVENUE, BLDG. 2, RAHWAY, NJ 07065
(Address of principal executive offices) Zip Code)
(908) 381-9229
(Registrant's telephone number, including area code)
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
Number of shares outstanding of the issuer's class of common stock, $.02
par value, as of August 2, 1995: 3,806,722
<PAGE>
PART I - FINANCIAL INFORMATION
Item 1 - FINANCIAL STATEMENTS.
Environmental Services of America, Inc. and Subsidiaries Consolidated
Financial Statements For the Six and Three Months Ended June 30, 1995
(Unaudited).
INDEX TO FINANCIAL STATEMENTS
PAGE #
Index to Financial Statements F-1
Consolidated Balance Sheets - June 30, 1995
(Unaudited) and December 31, 1994 F-2 to F-3
Consolidated Statements of Operations - for the six
months ended June 30, 1995 and 1994 (Unaudited) F-4
Consolidated Statements of Cash Flows - for the three
months ended June 30, 1995 and 1994 (Unaudited) F-5
Consolidated Statements of Operations - for the six
months ended June 30, 1995 and 1994 (Unaudited) F-6
Notes to Consolidated Financial Statements F-7 to F-8
F-1
<PAGE>
<TABLE>
ENVIRONMENTAL SERVICES OF AMERICA, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
ASSETS
<CAPTION>
June 30, December 31,
1995 1994
CURRENT ASSETS: (Unaudited)
<S> <C> <C>
Cash and cash equivalents $ 359,765 $ 600,272
Accounts receivable (net of allow-
ance for doubtful accounts of
$469,605 at June 30, 1995
and $469,605 at December 31, 1994) 8,809,674 10,821,411
Prepaid expenses, taxes and deposits 1,351,108 771,666
Other current assets 341,831 384,024
Total current assets 10,862,378 12,541,373
PROPERTY AND EQUIPMENT, net of
accumulated depreciation and
amortization 7,660,865 7,319,713
GOODWILL, net of accumulated
amortization 1,527,976 1,555,719
OTHER ASSETS:
Deferred permit costs 262,017 290,809
Customer list 131,738 151,838
Other 272,471 453,666
Total other assets 666,226 896,313
Total assets $20,717,445 $22,313,118
</TABLE>
See accompanying Notes
F-2
<PAGE>
<TABLE>
ENVIRONMENTAL SERVICES OF AMERICA, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS (CONTINUED)
LIABILITIES AND STOCKHOLDERS' EQUITY
<CAPTION>
June 30, December 31,
1995 1994
CURRENT LIABILITIES: (Unaudited)
<S> <C> <C>
Current portion of long-term debt $ 835,558 $ 1,148,149
Notes Payable - bank 1,800,000 1,650,000
Accounts payable and accrued expenses 7,028,770 8,127,843
Income taxes payable -- 140,909
Total current liabilities 9,664,328 11,066,901
LONG-TERM DEBT:
Notes payable, net of current
maturities 2,686,531 2,459,052
Other long-term liabilities 273,000 273,000
2,959,531 2,732,052
Total liabilities 12,623,859 13,798,953
STOCKHOLDERS' EQUITY
Preferred stock,$.01 par value
"Series B"- 6% cumulative, convertible,
2,000,000 shares authorized, 10,258
shares issued and outstanding 103 103
"Series C" convertible, 20,000 shares
authorized, 3,200 shares issued and
outstanding 32 32
Common stock,$.02 par value-authorized
10,000,000 shares; 3,801,722 shares
issued and outstanding 76,035 76,035
Paid-in capital in excess of par 5,819,579 5,819,579
Retained earnings 2,197,837 2,618,416
Total stockholders' equity 8,093,586 8,514,165
Total liabilities and
stockholders' equity $20,717,445 $22,313,118
</TABLE>
See accompanying Notes
F-3
<PAGE>
<TABLE>
ENVIRONMENTAL SERVICES OF AMERICA, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
<CAPTION>
For the Six For the Six
Months ended Months ended
June 30, June 30,
1995 1994
<S> <C> <C>
Net sales $17,865,677 $13,629,406
Cost of sales 11,699,596 8,734,111
Gross profit on sales 6,166,081 4,895,295
Selling, general and administrative
expenses 5,850,398 4,126,739
Depreciation and amortization 810,456 570,290
6,660,854 4,697,029
Income (loss) from operations (494,773) 198,266
Other income (expenses):
Net non-operating income (expenses) 31,918 16,952
Interest Income (261,311) (132,166)
(229,393) (115,214)
Income (loss) before provision for
income taxes (benefit) (724,166) 83,052
Provision for income taxes (benefit) (303,587) 35,628
Net income (loss) $ (420,579) $ 47,424
Earnings (loss) per common share $ (.10) $ .01
Weighted average number of common
shares and equivalent shares
outstanding 4,425,606 4,036,557
</TABLE>
See accompanying Notes
F-4
<PAGE>
<TABLE>
ENVIRONMENTAL SERVICES OF AMERICA, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
<CAPTION>
For the Three For the Three
Months ended Months ended
June 30, June 30,
1995 1994
<S> <C> <C>
Net sales $ 8,530,929 $ 7,861,553
Cost of sales 5,577,981 4,945,429
Gross profit on sales 2,952,948 2,916,124
Selling, general and administrative
expenses 2,916,987 2,285,677
Depreciation and amortization 419,004 308,619
3,335,991 2,594,296
Income (loss) from operations (383,043) 321,828
Other income:
Net non-operating income (expenses) 19,162 14,210
Interest Income (138,707) (97,998)
(119,545) (83,788)
Income (loss) before provision for
income taxes (502,588) 238,040
Provision for income taxes (210,685) 100,599
Net income $ (291,903) $ 137,441
Earnings per common share $ (.07) $ .03
Weighted average number of common
shares and equivalent shares
outstanding 4,425,606 4,152,480
</TABLE>
See accompanying Notes
F-5
<PAGE>
<TABLE>
ENVIRONMENTAL SERVICES OF AMERICA, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
<CAPTION>
For the Three For the Three
Months Ended Months Ended
June 30, June 30,
CASH FLOWS FROM OPERATING ACTIVITIES: 1995 1994
<S> <C> <C>
Net income (loss) $ (420,579) $ 47,424
Adjustments to reconcile net income to
net cash provided by operating
activities:
Depreciation and amortization 810,456 570,290
(Increase)/decrease in accounts receivable 2,011,737 (444,708)
(Increase)/decrease in prepaid expenses,
and other current assets (573,249) 411,048
(Decrease) in accounts payable and
accrued expenses (1,099,073) (199.483)
(Decrease) in income taxes payable ( 140,909) ( 5,071)
Total Adjustments 1,008,962 332,076
Net Cash Provided by Operating
Activities 588,383 379,500
CASH FLOWS FROM INVESTING ACTIVITIES:
Additions to property and equipment, net (1,074,973) (913,906)
(Increase)/decrease in other assets 181,195 ( 39,171)
Acquisition of subsidiaries -- (519,474)
Net Cash (Used In) Investing Activities (893,778) (1,472,551)
CASH FLOWS FROM FINANCING ACTIVITIES:
Increase/(decrease) in bank line of credit 150,000 (1,200,000)
Issuance of long term debt 1,360,903 2,355,957
Payments of long-term debt (1,446,015) (486,427)
Issuance of Series C preferred stock -- 320,000
Other -- (10,000)
Net Cash Provided by Financing
Activities 64,888 979,530
NET (DECREASE) IN CASH AND CASH
EQUIVALENTS (240,507) (113,521)
CASH AND CASH EQUIVALENTS - Beginning 600,272 514,369
CASH AND CASH EQUIVALENTS - Ending $ 359,765 $ 400,848
SUPPLEMENTAL DISCLOSURE OF CASH FLOW
INFORMATION
Cash paid during the period for:
Income taxes $ 95,561 $ 17,024
Interest $ 261,481 $ 139,090
</TABLE>
See accompanying Notes
F-6
<PAGE>
ENVIRONMENTAL SERVICES OF AMERICA, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
Note 1 - BASIS OF PRESENTATION:
In the opinion of the Company, all adjustments (which consist only of
normal recurring accruals) necessary for the fair presentation of the
balance sheet as of June 30, 1995 and the related statements of operations
for the six and three month periods ended June 30, 1995 and 1994 have been
included in the accompanying condensed consolidated financial statements. The
results of operations for the six and three month periods ended June 31, 1995
and 1994 are not necessarily indicative of the results to be expected for the
entire year.
The condensed consolidated financial statements should be read in
conjunction with the Company's Annual Report on Form 10-K for the year ended
December 31, 1994, which is incorporated herein by reference.
Earnings or loss per share of common stock is calculated based on the
weighted average number of shares and equivalent shares outstanding during the
period.
Note 2 - ACQUISITIONS:
Effective April 1, 1994, Environmental Services of America-IN, Inc.,
("ENSA-IN") and Environmental Services of America-MO, Inc. ("ENSA-MO"), newly
formed subsidiaries of the Company, acquired substantially all of the assets of
Industrial Fuels and Resources, Inc. and Industrial Fuels and Resources of
Missouri, Inc., respectively, which operated two treatment, storage, and
disposal facilities. The total cost of the acquisition was $1,336,126 which
approximated the fair value of the net assets acquired. The transaction was
accounted for as a purchase and, accordingly, the financial statements include
the operations of ENSA-IN and ENSA-MO beginning April 1,1994.
On August 12, 1994 ENSA Environmental, Inc., a newly formed subsidiary of
the Company, acquired certain assets and assumed certain liabilities of Earth
Science Technologies, Inc., an environmental consulting and remediation
business. The total cost of the acquisition was $674,194. The financial
statements include the operations of ENSA Environmental, Inc. beginning
August 12, 1994.
F-7
<PAGE>
ENVIRONMENTAL SERVICES OF AMERICA, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
The following summarized pro forma information assumes the acquisitions
had occurred at January 1, 1994 and does not purport to be indicative of what
would have occured had the acquisitions been made as of that date:
Six Months Ended Six Months Ended
June 30, 1995 June 30, 1994
(Unaudited) (Unaudited)
Net sales $17,865,677 $16,286,490
Net loss $ (420,579) $ (197,913)
Loss per common share $ (.10) $ (.05)
Note 3 - NEW OFFICES:
In January, 1995, the Company acquired for $262,500 secured indebtedness
of Envirovision, Inc. and subsequently foreclosed upon the collateral securing
such indebtedness, primarily accounts receivable and contracts in process. To
complete certain of the contracts in process, the Company employed a number of
former employees of Envirovision and began consulting, remediation, and
ancillary operations in Congers, New York and Baltimore, Maryland.
F-8
<PAGE>
Item 2 - Management's Discussion and Analysis of Financial Condition and
Results of Operations
Environmental Services of America, Inc. (the "Company"), a Delaware
corporation, and subsidiaries are engaged in the business of providing for the
identification, remediation, transportation and disposal of hazardous waste and
non-hazardous waste, and providing remedial engineering and environmental
consulting as well as air quality testing, analysis and monitoring for private
and public entities. The Company's stock is listed on NASDAQ and trades in the
NASDAQ National Market System under the symbol "ENSA".
The services provided by the Company fit generally within three categories:
(i) environmental remediation services; (ii) hazardous waste management
services; and (iii) environmental engineering, air testing, air monitoring and
consulting services. The following is a description of the services provided.
* ENVIRONMENTAL REMEDIATION SERVICES: ENSI, Inc., which maintains offices in
New Jersey and Pennsylvania, provides comprehensive environmental
management, transportation and cleanup services to generators and handlers
of hazardous waste materials primarily in the mid-Atlantic states. Tri-S,
Incorporated ("TRI-S"), based in Ellington, Connecticut, performs similar
services in the New England states. Additionally, in August, 1994, the
Company began conducting remedial activities from its office in Louisville,
Kentucky. In January, 1995, the Company added two additional offices in
Congers, New York and Baltimore, Maryland.
* HAZARDOUS WASTE MANAGEMENT SERVICES: The Company's hazardous waste
management services include waste treatment and resource recovery,
transportation, and transfer, storage and disposal coordination. Such
services are provided by the Company's three treatment storage and
disposal ("TSD") facilities located in Canastota, New York, South Bend,
Indiana and Scott City, Missouri, all of which are RCRA Part B permitted.
Transportation and disposal coordination are also provided, to a lesser
extent, by other offices of the Company.
* ENVIRONMENTAL ENGINEERING, AIR TESTING, AIR MONITORING, AND CONSULTING
SERVICES: The Company's consulting arm operating as ENSA Environmental,
Inc. ("ENSA-ENV"), maintains nine offices located in Pennsylvania, New
York, New Jersey, Vermont, Kentucky, Illinois, West Virginia, and Ohio. The
Company offers specialized environmental professional services including,
hydrogeological and geophysical consulting services, remedial design
engineering, and construction management. In addition, ENSA Environmental,
Inc., performs air quality testing, monitoring, analysis and consulting
services, and designs and installs continuous emission monitoring systems
from its Pennsylvania and Illinois offices.
1
<PAGE>
Management's discussion and analysis is based upon the unaudited
consolidated financial statements of the Company and its subsidiaries for the
six and three month periods ended June 30, 1995 and 1994, and include the
accounts of the Company and its wholly-owned subsidiaries, after elimination of
all significant inter-company balances and transactions.
Effective April 1, 1994, Environmental Services of America-IN, Inc.
"ENSA-IN") and Environmental Services of America-MO, Inc. ("ENSA-MO") (newly
formed subsidiaries of the Company) acquired substantially all of the assets of
Industrial Fuels and Resources, Inc. and Industrial Fuels and Resources of
Missouri, Inc., respectively ("IFR"). The acquisition was accounted for as a
purchase, and, accordingly, the Company's consolidated statements of operations
include the operating results of ENSA-IN and ENSA-MO beginning April 1, 1994.
Net assets of $1,336,126 were acquired and were recorded attheir fair market
value at the effective date of the acquisition.
Effective August 12, 1994, the Company's wholly-owned subsidiary, ENSA-ENV
acquired specific assets and assumed certain liabilities of Earth Science
Technologies, Inc. ("EST"). EST operated five offices providing consulting and,
to a lesser extent, remediation services in the Midwestern United States. The
purchase price was $674,194 which included the forgiveness of loans granted to
EST, issuance of shares of the Company's common stock and acquisition costs. The
transaction was treated as a purchase for financial statement purposes.
Accordingly, the Company's financial statements include the operations of EST
beginning August 12, 1994.
2
<PAGE>
Results of Operations:
The following table presents items in the Consolidated Statements of
Operations for the six month and three month periods ended June 30, 1995 and
1994 as a percentage of net sales:
Percentage of Net Sales Percentage of Net Sales
Six Months Ended Six Months Ended
June 30, June 30,
1995 1994 1995 1994
Net sales 100.0% 100.0% 100.0% 100.0%
Cost of sales 65.5 64.1 65.4 62.9
Gross profit on sales 34.5 35.9 34.6 37.1
Selling, general &
administrative expenses 32.7 30.2 34.2 29.1
Depreciation & amortization 4.6 4.2 4.9 3.9
Income (loss) from operations (2.8) 1.5 (4.5) 4.1
Net non-operating income 0.2 0.1 0.2 0.1
Interest expense (1.5) (1.0) (1.6) (1.2)
Income (loss) before
provision for income taxes (4.1) 0.6 (5.9) 3.0
Provision for
income taxes (benefit) (1.7) 0.3 (2.5) 1.3
Net income (loss) (2.4)% 0.3% (3.4)% 1.7%
NET SALES - The following table sets forth the sources of net sales
attributable to the four service areas of the Company (rounded to the nearest
$000s). The Company provides its services on an integrated basis, and in many
instances, services in one area of its business support or lead to a project
undertaken in another area. In the tables below, revenue derived from a
particular service as part of a multi-faceted project are attributed to the
operating subsidiary which actually performs the service as the general
contractor.
3
<PAGE>
<TABLE>
<CAPTION>
% Increase
(Decrease)
Six Months Six Months Six Months
Ended Ended Ended
June 30, 1995 June 30, 1994 June 30,1995
Service Segment Net Sales Net Sales Over 1994
<S> <C> <C> <C> <C> <C>
Hazardous waste
management $ 6,263,000 35.1% $ 5,043,000 37.0% 19.5%
Environmental
remediation 5,869,000 32.8% 4,800,000 35.2% 22.3%
Environmental
engineering
air testing,
and consulting 5,734,000 32.1% 3,786,000 27.8% 51.5%
Total $17,866,000 100.0% $13,629,000 100.0% 31.1%
</TABLE>
<TABLE>
<CAPTION>
% Increase
(Decrease)
Three Three Three Months
Months Ended Months Ended Ended
June 30, 1995 June 30, 1994 June 30,1995
Service Segment Net Sales Net Sales Over 1994
<S> <C> <C> <C> <C> <C>
Hazardous waste
management $2,989,000 35.0% $3,522,000 44.8% (15.1)%
Environmental
remediation 2,673,000 31.3% 2,345,000 29.8% 14.0%
Environmental
engineering
air testing,
and consulting 2,869,000 33.7% 1,994,000 25.4% 43.8%
Total $8,531,000 100.0% $7,861,000 100.0% 8.5%
</TABLE>
For the six months ended June 30, 1995, net sales were $17,866,000 a 31.1
percent increase over the same period in 1994. During 1994, the Company
acquired two TSD facilities as well as four consulting and remediation offices
all of which are located in the Midwest. In addition, in January, 1995, the
Company began operating two new remediation and consulting offices in Congers,
New York and Baltimore, Maryland.
Compared to the first half of the prior year, the Company's sales increased
$4,237,000; the new acquisitions and office start ups generated sales of
$6,272,060.
4
<PAGE>
Compared to the second quarter of 1994, sales provided by the Company's TSD
facilities decreased 15.1%. Severe weather in the fourth quarter of 1994
created a backlog of hazardous waste material for processing which resulted in
high second quarter sales. This did not occur in 1995 due to the mild weather.
In addition, sales are influenced by waste minimization and low industry
demand.
In late 1994, the Company ceased it's air testing, consulting, and
monitoring operations in Louisiana and California. Additionally, in
Pennsylvania and Illinois the Company consolidated it's remaining air service
centers into it's existing operations.
COST OF SALES - As a percentage of sales, cost of sales for the first half
of 1995 was 65.5 percent, which represents a slight increase over the cost over
the cost of sales as a percentage of sales experienced in the first half of
1994. The market for environmental services remains extremely competitive.
The Company is constantly trying to maintain it's margins in this tough
competitive arena by taking advantage of economies of scale now available,
particularly with the Company's subcontractors and facilities utilized for the
ultimate disposal of waste.
GROSS PROFIT ON SALES - Compared to the prior year, the Company's gross
profit on sales rose to $1,270,786 to $6,166,081 in the first half of 1995.
The increase is primarily attributable to the increase in sales experienced in
the first quarter of 1995. The gross profit on sales in the second quarter of
1995 was $2,952,948 or 34.6 percent of sales, compared to $2,916,124 or 37.1
percent of sales in the second quarter of 1994. Sales increases in the quarter
were offset by increases in the cost of sales.
SELLING, GENERAL AND ADMINISTRATIVE EXPENSES - For the second quarter of
1995, selling, general, and administrative expenses were $2,916,987, a $631,310
or 27.6 percent increase over the second quarter of 1994. Similarly, for the
six months ended June 30, 1995, selling, general and administrative expenses
increased $1,723,659 or 41.8 percent compared to 1994.
The primary reason for the increase was the Company's acquisition of new
offices during 1994 and 1995, which accounted for selling, general, and
administrative expense increases of $502,436 for the second quarter of 1995 and
$1,414,293 for the first half of 1995.
5
<PAGE>
In July, 1995 the Company eliminated approximately twelve administrative
and support personnel, executive management accepted pay cuts, and the Company
employed other cost cutting measures in an effort to further reduce its operting
expenses. The Company is prepared to make further reductions in the future if
appropriate.
INTEREST EXPENSE - Interest expense rose $129,145 to $261,311 in the first
half of 1995, as compared to the first quarter of 1994. The acquisition of two
TSD facilities in April, 1994, and the $1,400,000 improvement to its New York
TSD facility, were the primary factors contributing to the Company's $3,570,000
growth in net property, plant, and equipment over the eighteen months ended June
30, 1995. Additional debt was assumed when acquiring these assets.
NET LOSS - For the six months ended June 30, 1995, the Company had a net
loss of $420,579 ($.10 loss per share), compared to net income of $47,424
($.01 income per share) for the first six months of 1994. For the three months
ended June 30, 1995, the company had a net loss of $291,903 ($.07 loss per
share) compared to a $137,441 ($.03 income per share) for the second quarter of
1994. The losses are primarily attributable to the insufficient volume of sales
generated necessary to offset the increases in selling, general, and
administrative expenses and interest expense.
Liquidity and Capital Resources:
At June 30, 1995, the Company s current ratio was 1.12 to 1.00, compared to
1.13 to 1.00 at December 31, 1994.
Accounts receivable at June 30, 1995 was $8,809,674, a decrease of 18.6
percent from December 31, 1994. The decrease in receivables is primarily due to
sales declines in the first half of 1995, coupled with intensified collection
efforts by the Company. The Company has one receivable for $689,125 which
originated prior to 1995 for which it is pursuing collection plus related costs.
The Company expects to receive full payment plus interest; however, it is not
likely that the receivable will be repaid in the short-term.
In June, 1994, the Company obtained new bank financing whereby a credit
facility of $5,000,000 was provided to the Company in the form of a $2,000,000
term loan and $3,000,000 line of credit. The proceeds from the $2,000,000 term
loan were used to reduce the Company s previously outstanding line of credit. At
June 30, 1995 and December 31, 1994 $1,800,000 and $1,650,000, respectively,
were outstanding on the line of credit; as of August 2, 1995, $1,800,000 was
outstanding.
6
<PAGE>
Management estimates that during 1995, the Company may be required to
invest $428,000 in working capital at its TSD facilities in Indiana and
Missouri for operational needs. Additionally, during 1995 the Company will
expend another $400,000 for the remaining necessary improvements at its New York
TSD facility.
The Company is seeking increases in its bank financing during 1995 to
increase its available working capital. The Company believes that additional
bank financing and net cash generated from operations will satisfy its cash
needs through fiscal year 1995.
7
<PAGE>
PART II - OTHER INFORMATION
Item 1 LEGAL PROCEEDINGS.
None.
Item 2 CHANGES IN SECURITIES.
None.
Item 3 DEFAULTS UPON SENIOR SECURITIES.
None.
Item 4 SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
None.
Item 5 OTHER INFORMATION.
None.
Item 6 EXHIBITS AND REPORTS ON FORM 8-K.
(a) Exhibits.
None.
(b) Reports on Form 8-K.
None.
8
<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.
ENVIRONMENTAL SERVICES OF AMERICA, INC.
By /s/Jon Colin
Jon Colin, President and Chief Executive Officer
August 4, 1995
Date
By /s/Kathleen P. LeFevre, C.P.A.
Kathleen P. LeFevre, C.P.A. Chief Financial Officer
August 4, 1995
Date
<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.
ENVIRONMENTAL SERVICES OF AMERICA, INC.
By
Jon Colin, President and Chief Executive Officer
August 4, 1995
Date
By
Kathleen P. LeFevre, C.P.A. Chief Financial Officer
August 4, 1995
Date
<PAGE>
<TABLE> <S> <C>
<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1995
<PERIOD-END> JUN-30-1995
<CASH> 359,765
<SECURITIES> 0
<RECEIVABLES> 8,809,674
<ALLOWANCES> 469,605
<INVENTORY> 0
<CURRENT-ASSETS> 10,862,378
<PP&E> 7,660,865
<DEPRECIATION> 0
<TOTAL-ASSETS> 20,717,445
<CURRENT-LIABILITIES> 9,664,328
<BONDS> 0
<COMMON> 76,035
135
0
<OTHER-SE> 8,017,416
<TOTAL-LIABILITY-AND-EQUITY> 20,717,445
<SALES> 0
<TOTAL-REVENUES> 17,865,677
<CGS> 0
<TOTAL-COSTS> 11,699,596
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> (261,311)
<INCOME-PRETAX> (724,166)
<INCOME-TAX> (303,587)
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (420,579)
<EPS-PRIMARY> (.10)
<EPS-DILUTED> 0
</TABLE>
