SOURCE: Janel World Trade, Ltd.

Janel World Trade, Ltd.

February 13, 2014 16:16 ET

Janel World Trade Ltd. Reports Fiscal First Quarter 2014 Results

Company Focused on Core Transportation Logistics and Returning to Profitability

JAMAICA, NY--(Marketwired - Feb 13, 2014) -  Janel World Trade, Ltd. (OTCQB: JLWT), a full-service global provider of integrated transportation logistics, announced today the financial results for its first quarter ended December 31, 2013.

First Quarter 2014 Results

For the three months ended December 31, 2013, Janel reported revenue of $10,837,697 a decrease of $166,141 or 1.5% compared to the three months ended December 31, 2012.

For the three months ended December 31, 2013, after a one-time non-cash charge to SG&A of $237,492 for the issuance of stock options on October 30, 2013, the Company reported a net loss from continuing operations before income taxes of $(246,279) compared to the prior year reported net loss from continuing operations before income taxes of $(177,781).

For the three months ended December 31, 2013 and after losses from discontinued operations the Company reported a net loss of $(262,656) or $(0.01) per fully diluted share, compared to the prior year reported net loss of $(201,286), or $(0.01) per fully diluted share.

Review and Outlook
"During the first quarter we have made additional headway in our core business," said William J. Lally, President and Chief Executive Officer. "Although our SG&A has increased by $80,859 when compared to the prior year, if we back out the one-time non cash option expense of $237,492 from the current quarter, our SG&A on a like comparison is down for the quarter by $156,633 when compared to the prior year. This reduced expense level with our focus on increasing revenue will help accelerate our pursuit toward profitability."

Lally continued, "In addition, our net revenue for the current quarter which is our revenue less forwarding expenses, increased slightly when compared to the prior year. We are focused on returning the company to profitability and growing our sales."

Lally concluded, "We are committed to turning Janel around and returning value to our shareholders."

To be included in Janel's database for Corporate Press Releases and industry updates, investors are invited to send their e-mail address to: IR@janelgroup.net.

About Janel World Trade, Ltd.
Janel World Trade, Ltd. is a global provider of integrated logistics; including domestic and international freight forwarding via multi-modal carriers, leading-edge, end-to-end, supply-chain technology, customs brokerage, warehousing and distribution, and other transportation-related services. With offices throughout the U.S. (New York, Chicago, Los Angeles, and Atlanta) and a network of independent international agents in approximately 52 countries, the Company provides the comprehensive logistics services and technology necessary to handle its customers' shipping needs throughout the world. Cargo can be transported via air, sea or land, and Janel's national network of locations can manage the shipment and/or receipt of cargo into or out of any location in the United States. Janel is registered as an Ocean Transportation Intermediary and licensed as a FMC Licensed Freight Forwarder by the Federal Maritime Commission.

Janel World Trade, Ltd.'s headquarters is located in Jamaica, New York, adjacent to the JFK International Airport, and its common stock is listed on the OTCQB Bulletin Board under the symbol "JLWT." Additional information on the Company is available on its website at http://www.janelgroup.net

Forward-Looking Statements
This press release includes statements that may constitute "forward-looking" statements, usually containing the words "believe," "estimate," "project," "intend," "expect" or similar expressions. These statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements inherently involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors that would cause or contribute to such differences include, but are not limited to, the Company's dependence upon conditions in the air, ocean and land-based freight forwarding industry, the size and resources of many competitors, the need for the Company to effectively integrate acquired businesses and to successfully deliver its primary services, and other risks detailed in the Company's periodic report filings with the Securities and Exchange Commission, including its most recent Form 8-K, Form 10-Q and Form 10-K filings. By making these forward-looking statements, the Company undertakes no obligation to update these statements for revisions or changes after the date of this release.

   
JANEL WORLD TRADE LTD. AND SUBSIDIARIES  
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS  
             
    THREE MONTHS ENDED  
    December 31,  
    2013     2012  
    (unaudited)     (unaudited)  
                 
REVENUES   $ 10,837,697     $ 11,003,838  
COST AND EXPENSES:                
  Forwarding expenses     9,305,939       9,474,763  
  Selling, general and administrative     1,749,669       1,668,810  
  Depreciation and amortization     3,772       4,769  
    TOTAL COSTS AND EXPENSES     11,059,380       11,148,342  
                 
LOSS FROM CONTINUING OPERATIONS     (221,683 )     (144,504 )
OTHER ITEMS:                
  Interest expense, net of interest and dividend income     (24,596 )     (28,561 )
  Realized loss from available for sale securities     -       (4,716 )
    TOTAL OTHER ITEMS     (24,596 )     (33,277 )
LOSS FROM CONTINUING OPERATIONS BEFORE INCOME TAXES     (246,279 )     (177,781 )
Income taxes     5,000       3,000  
LOSS FROM CONTINUING OPERATIONS   $ (251,279 )   $ (180,781 )
Loss from discontinued operations     (11,377 )     (20,505 )
NET LOSS   $ (262,656 )   $ (201,286 )
Preferred stock dividends     3,750       3,750  
NET LOSS AVAILABLE TO COMMON SHAREHOLDERS   $ (266,406 )   $ (205,036 )
OTHER COMPREHENSIVE LOSS NET OF TAX:                
Unrealized gain from available for sale securities   $ -     $ 1,063  
COMPREHENSIVE LOSS   $ (266,406 )   $ (203,973 )
(Loss) per share from continuing operations:                
    Basic   $ (0.01 )   $ (0.01 )
    Diluted   $ (0.01 )   $ (0.01 )
(Loss) per share from discontinued operations:                
    Basic   $ -     $ -  
    Diluted   $ -     $ -  
Net (loss) per share available to common shareholders:                
    Basic   $ (0.01 )   $ (0.01 )
    Diluted   $ (0.01 )   $ (0.01 )
Basic weighted average number of shares outstanding     25,201,853       21,732,192  
Fully diuted weighted average number of shares outstanding     26,837,103       23,367,442  
 
See notes to these consolidated financial statements included in the Company's Form 10-Q
 
 
 
JANEL WORLD TRADE LTD. AND SUBSIDIARIES  
CONSOLIDATED BALANCE SHEETS  
           
    December 31, 2013   September 30, 2013  
    (unaudited)      
ASSETS              
CURRENT ASSETS:              
  Cash and cash equivalents   $ 519,280   $ 625,584  
  Accounts receivable, net of allowance for doubtful accounts of $384,102 and $394,294, respectively     4,667,189     3,615,302  
  Loans receivable - other     43,134     42,276  
  Prepaid expenses and sundry current assets     98,148     74,871  
  Assets of discontinued operations     40,910     305,454  
    TOTAL CURRENT ASSETS     5,368,661     4,663,487  
               
PROPERTY AND EQUIPMENT, NET     18,150     21,922  
OTHER ASSETS:              
  Security deposits     60,724     60,724  
    TOTAL OTHER ASSETS     60,724     60,724  
               
TOTAL ASSETS   $ 5,447,535   $ 4,746,133  
LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIENCY)              
CURRENT LIABILITIES:              
  Note payable - bank   $ 1,275,336   $ 1,431,336  
  Accounts payable - trade     3,483,000     3,031,135  
  Accrued expenses and other current liabilities     282,766     311,369  
  Liabilities of discontinued operations     36,039     72,985  
    TOTAL CURRENT LIABILITIES     5,077,141     4,846,825  
               
DEFERRED COMPENSATION     78,568     78,568  
    TOTAL OTHER LIABILITIES     78,568     78,568  
               
STOCKHOLDERS' EQUITY (DEFICIENCY)     291,826     (179,260 )
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY (DEFIENCY)   $ 5,447,535   $ 4,746,133  
 
See notes to these consolidated financial statements included in the Company's Form 10-Q

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