<PAGE>
FORM 10-Q
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarter ended June 30, 1996 Commission file number 33-13627
SARKIS CAPITAL, INC.
Delaware 75-2168244
(State or other jurisdiction of (I.R.S. Employer I.D.#)
incorporation or organization)
421 E. Airport Freeway, Irving, Texas 75062
(Address of principal executive office) (Zip Code)
Registrant's telephone number, including area code (214)-255-5533
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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 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.
Class Outstanding at June 30, 1996
(Common stock, $0.01 par value) 1,500,000
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SARKIS CAPITAL, INC.
INDEX
PAGE NUMBER
PART I FINANCIAL INFORMATION
Balance Sheet - June 30, 1996 and
June 30, 1995 1
Statement of Loss - Three months ended June 30,
1996 and June 30, 1995 - Period March 18, 1987
(date of inception) to June 30, 1996 2
Statement of Cash Flow - June 30, 1996 and
June 30, 1995 3
Notes to Financial Statements 4
Management's Discussion and Analysis of
Financial Condition and Results of
Operation 5
PART II OTHER INFORMATION
Item 5. Exhibits and Reports on Form 8-K 6
SIGNATURES 7
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SARKIS CAPITAL, INC.
PART I - FINANCIAL INFORMATION
BALANCE SHEET
ASSETS
<TABLE>
<CAPTION>
June 30, 1996 June 30, 1995
Unaudited Unaudited
<S> <C> <C>
Current assets:
Cash $ 132 $ 596
Other Assets:
Organization costs (less accumulated
amortization of $15,385 in 1993 and
$15,385 in 1993 $ -0- $ -0-
$ 132 $ 596
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities:
Due to shareholder $ 6,600 $ 6,100
Stockholders' Equity:
Preferred stock-par value of $0.01
per share; authorized 1,000,000 shares;
issued and outstanding -0- -0-
Common stock-par value of $0.01 per
share; authorized 20,000,000, issued
1,500,000 15,000 15,000
Additional paid-in capital 9,000 9,000
Net income (loss) (30,468) (29,504)
( 6,468) ( 5,504)
Total Liabilities $ 132 $ 596
</TABLE>
The accompanying notes are an integral part of these financial statements
1
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SARKIS CAPITAL, INC.
STATEMENT OF OPERATIONS
<TABLE>
<CAPTION>
For period March
Three Months 18, 1987 (date Three months
ended of inception) ended
June 30, 1996 to June 30, 1995
(Unaudited) June 30, 1996 (Unaudited)
<S> <C> <C> <C>
REVENUES $ -0- $ -0- $ -0-
EXPENSES:
Selling, general and
administrative 300 31,625) 239
Operating gain (loss) (300) (31,625) (239)
Other income: 2 1,157 3
Interest income
Net gain (loss) $ (298) $ (30,468) $ (236)
Gain (loss) per common share $ .00 $ (.02) $ .00
Weighted average number of
shares outstanding $1,500,000 $1,500,000 $1,500,000
</TABLE>
The accompanying notes are an integral part of the financial statements.
2
<PAGE>
SARKIS CAPITAL, INC.
STATEMENT OF CASH FLOW
<TABLE>
<CAPTION>
June 30 June 30
1996 1995
(Unaudited) (Unaudited)
<S> <C> <C>
Cash beginning balance $ -0- $ -0-
Net profit (loss) (30,468) (29,504)
Items using no funds outlay
Amortization-organization -0- 15,385
Total from operations (30,468) (14,119)
Other sources (uses) of funds
Organization costs -0- (15,385)
Accounts payable 6,600 6,100
Common stock 15,000 15,000
Capital contributed 9,000 9,000
Total source (use) of funds 30,600 14,715
Net increase (decrease) in cash 132 596
Cash ending balance $ 132 $ 596
</TABLE>
The accompanying notes are an integral part of these financial statements.
3
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SARKIS CAPITAL, INC.
NOTES TO FINANCIAL STATEMENTS
(Unaudited)
Note 1. Basis of Presentation
The financial information included herein is unaudited, and reflects all
adjustments which are, in the opinion of management, necessary for a fair
statement of results.
The results of operations for the quarter ended June 30, 1996 are not
necessarily indicative of the results expected for a full year.
4
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SARKIS CAPITAL, INC.
MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND RESULTS OF OPERATION
The following is management's discussion and analysis of certain signi-
ficant factors which have affected the Company's financial condition and
operation results for the period included in the accompanying financial
statements.
Results of Operation and Financial Condition
For the quarter ended June 30, 1996, the Company has been in the
development stage and did not receive any operating revenues. During this
period, expenses consisted of Bank Service Fees and Franchise Filing Fees,
and combined with interest received on money market funds the Company had a
net loss of $298. The total operating advances through this quarter of
$6,600 are to be repaid to S. J. Kechejian, M.D. when the Company merges with
another company.
Management believes that Sarkis Capital's cash on hand and interest
earnings thereon may not be sufficient to meet cash requirements through the
remainder of the fiscal year ending March 31, 1997. An additional operating
advance may be required during the fiscal year.
5
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SARKIS CAPITAL, INC.
PART II - OTHER INFORMATION
Item 5. Exhibits and Reports on Form 8-K
None.
6
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SIGNATURES
Pursuant to the requirements of the Section 13 or 15 (d) 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.
DATED: July 31, 1996 By: Sarkis J. Kechejian, M.D.
Sarkis J. Kechejian, M.D.
President, Director and
Treasurer
7
<TABLE> <S> <C>
<ARTICLE> 5
<RESTATED>
<MULTIPLIER> 1
<S> <C> <C>
<PERIOD-TYPE> 3-MOS 3-MOS
<FISCAL-YEAR-END> MAR-31-1996 MAR-31-1995
<PERIOD-END> JUN-30-1996 JUN-30-1995
<CASH> 132 596
<SECURITIES> 0 0
<RECEIVABLES> 0 0
<ALLOWANCES> 0 0
<INVENTORY> 0 0
<CURRENT-ASSETS> 0 0
<PP&E> 0 0
<DEPRECIATION> 0 0
<TOTAL-ASSETS> 132 596
<CURRENT-LIABILITIES> 6,600 6,100
<BONDS> 0 0
<COMMON> 15,000 15,000
0 0
0 0
<OTHER-SE> (21,468) (20,504)
<TOTAL-LIABILITY-AND-EQUITY> (6,468) (5,504)
<SALES> 0 0
<TOTAL-REVENUES> 0 0
<CGS> 0 0
<TOTAL-COSTS> 0 0
<OTHER-EXPENSES> 298 236
<LOSS-PROVISION> 0 0
<INTEREST-EXPENSE> 0 0
<INCOME-PRETAX> 0 0
<INCOME-TAX> 0 0
<INCOME-CONTINUING> 0 0
<DISCONTINUED> 0 0
<EXTRAORDINARY> 0 0
<CHANGES> 0 0
<NET-INCOME> (298) (236)
<EPS-PRIMARY> 0 0
<EPS-DILUTED> 0 0
</TABLE>
