AMERICAN ECOLOGY CORPORATION
CONSOLIDATED STATEMENTS OF INCOME
(in thousands, except per share data)
(unaudited)
Three Months Ended Six Months Ended
June 30, June 30,
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2007 2006 2007 2006
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Revenues $ 41,267 $ 29,924 $ 80,231 $ 51,446
Transportation costs 19,760 11,459 36,931 16,516
Other direct operating costs 9,854 7,940 20,133 14,695
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Gross profit 11,653 10,525 23,167 20,235
Selling, general and administrative
expenses 3,474 3,061 7,073 6,544
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Operating income 8,179 7,464 16,094 13,691
Other income (expense):
Interest income 150 205 361 393
Interest expense (1) (1) (2) (2)
Other 48 174 52 458
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Total other income 197 378 411 849
Income before tax 8,376 7,842 16,505 14,540
Income tax expense 3,292 2,915 6,486 5,434
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Net income $ 5,084 $ 4,927 $ 10,019 $ 9,106
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Earnings per share:
Basic $ 0.28 $ 0.27 $ 0.55 $ 0.51
Dilutive $ 0.28 $ 0.27 $ 0.55 $ 0.50
Shares used in earnings
per share calculation:
Basic 18,216 18,116 18,213 17,997
Dilutive 18,254 18,257 18,254 18,132
Dividends paid per share $ 0.15 $ 0.15 $ 0.30 $ 0.30
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AMERICAN ECOLOGY CORPORATION
CONSOLIDATED BALANCE SHEETS
(in thousands)
(unaudited)
June 30, December 31,
2007 2006
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Assets
Current Assets:
Cash and cash equivalents $ 3,755 $ 3,775
Short-term investments 4,245 6,120
Receivables, net 33,035 27,692
Prepaid expenses and other current assets 3,949 2,639
Income tax receivable - 650
Deferred income taxes 932 2,166
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Total current assets 45,916 43,042
Property and equipment, net 59,891 55,460
Restricted cash 4,791 4,691
Deferred income taxes 581 848
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Total assets $ 111,179 $ 104,041
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Liabilities and Stockholders' Equity
Current Liabilities:
Accounts payable $ 4,730 $ 6,866
Deferred revenue 4,025 3,612
Accrued liabilities 7,344 3,544
Accrued salaries and benefits 1,975 1,943
Customer advances 961 1,866
Income tax payable 334 -
Current portion of closure and post closure
obligations 1,567 656
Current portion of long-term debt 6 6
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Total current liabilities 20,942 18,493
Long-term closure and post closure obligations 11,504 12,160
Long-term debt 21 24
Other long-term liabilities - 9
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Total liabilities 32,467 30,686
Contingencies and commitments
Stockholders' Equity
Common stock 182 182
Additional paid-in capital 58,337 57,532
Retained earnings 20,193 15,641
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Total stockholders' equity 78,712 73,355
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Total liabilities and stockholders' equity $ 111,179 $ 104,041
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AMERICAN ECOLOGY CORPORATION
CONSOLIDATED STATEMENT OF CASH FLOWS
(in thousands)
(unaudited)
For the Six Months
Ended June 30,
------------------
2007 2006
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Cash Flows From Operating Activities:
Net income $ 10,019 $ 9,106
Adjustments to reconcile net income to net cash
provided by operating activities:
Depreciation, amortization and accretion 4,681 3,846
Net gain on sale of property and equipment (48) -
Deferred income taxes 1,501 4,866
Stock-based compensation expense 278 113
Accretion of interest income (107) (233)
Changes in assets and liabilities:
Receivables (5,277) (8,272)
Income tax receivable 650 (103)
Other assets (1,310) (201)
Deferred revenue 413 2,099
Accounts payable and accrued liabilities 685 (1,100)
Accrued salaries and benefits 32 (301)
Income tax payable 334 -
Closure and post closure obligations (274) (729)
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Net cash provided by operating activities 11,577 9,091
Cash Flows From Investing Activities:
Purchases of short-term investments (18,341) (20,340)
Purchases of property and equipment (8,551) (10,780)
Restricted cash (100) (4,538)
Maturities of short-term investments 20,323 27,582
Proceeds from sale of property and equipment 15 4
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Net cash used in investing activities (6,654) (8,072)
Cash Flows From Financing Activities:
Dividends paid (5,467) (5,375)
Proceeds from stock option exercises 326 1,777
Tax benefit of common stock options 201 551
Other (3) (1)
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Net cash used in financing activities (4,943) (3,048)
Decrease in cash and cash equivalents (20) (2,029)
Cash and cash equivalents at beginning of period 3,775 3,641
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Cash and cash equivalents at end of period $ 3,755 $ 1,612
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Contact Information: For Immediate Release Contact: Alison Ziegler Cameron Associates (212) 554-5469 alison@cameronassoc.com www.americanecology.com