New Hartford, NY- August 15, 2017 — PAR Technology Corporation (NYSE: PAR) today announced results from operations for the second quarter ended June 30, 2017.
Summary of Fiscal 2017 Second Quarter and Year-to-Date Financial Results
- Revenues were reported at $62.3 million in the second quarter of fiscal 2017, compared to $52.7 million in the same period in 2016, an 18.2% increase.
- GAAP net income in the second quarter of fiscal 2017 was $2.0 million, or $0.12 per diluted share, an increase from GAAP net income of $0.1 million or $0.01 earnings per diluted share in the same period in 2016.
- Non-GAAP net income in the second quarter of fiscal 2017 was $2.6 million, or $0.16 per diluted share, compared to a non-GAAP net income of $0.6 million, or $0.04 earnings per diluted share, in the same period in 2016.
- Revenue increased to $128.1 million in the first six months of fiscal 2017, compared to $108.0 million in the same period in 2016, an 18.7% increase.
- GAAP net income in the first six months of fiscal 2017 was $3.2 million or $0.20 earnings per diluted share, compared to GAAP net income of $0.1 million, or $0.01 earnings per diluted share, in the same period in 2016.
- Non-GAAP net income in the first six months of fiscal 2017 was $4.7 million, or $0.29 per diluted share, compared to non-GAAP net income of $1.6 million or $0.10 earnings per diluted share, in the same period in 2016.
A reconciliation and description of non-GAAP financial measures to their comparable GAAP financial measures are included in the tables following this news release.
“I am pleased with our results in the quarter as they demonstrate our focus on growing revenues, investing in our future, and executing upon our growth strategy of being a software-driven solutions company,” stated Dr. Donald H. Foley, PAR Technology President and Chief Executive Officer. “In the quarter we recognized higher revenue from our Tier 1 customers due to accelerated hardware deployments and one-time system integration projects. These accelerated hardware deployments and projects wound down this quarter and while we anticipate our business will achieve our annual goals, we do not expect this pace in the second half of the year.”
Foley continued, “Both our restaurant/retail and government segments contributed to the bottom line increase in the quarter. Our recurring software revenue more than doubled from last year’s quarter in our Restaurant/Retail segment. We continue to collect additional validation that our restaurant/retail solutions meet the needs of our customers. We added a number of impressive new software customers to our install base during the second quarter, and are conducting pilots at a number of additional accounts. In our Government segment, we continue to see lower contract revenues at higher margins as we consciously execute our plan to transition our business to higher value added Intelligence, Surveillance & Reconnaissance (ISR) contracts.”
“In closing, we appreciate and value the support we have received from our customers, vendors and shareholders. It is gratifying to see positive results come out of the hard work of our dedicated employees. Even more exciting are the opportunities we believe the future will offer us and I look forward to reporting back to you as the year progresses.”
Certain Company information in this release or statements made by its spokespersons from time to time may contain forward-looking statements. Any statements in this document that do and not describe historical facts are forward-looking statements. Forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that all forward-looking statements involve risks and uncertainties, including without limitation, delays in new product introduction, risks in technology development and commercialization, risks in product development and market acceptance of and demand for the Company’s products, risks of downturns in economic conditions generally, and in the quick service sector of the restaurant market specifically, risks of intellectual property rights associated with competition and competitive pricing pressures, risks associated with foreign sales and high customer concentration, and other risks detailed in the Company’s filings with the Securities and Exchange Commission.
About PAR Technology Corporation
PAR Technology Corporation’s stock is traded on the New York Stock Exchange under the symbol PAR. PAR’s Hospitality segment has been a leading provider of restaurant and retail technology for more than 35 years. PAR offers technology solutions for the full spectrum of restaurant operations, from large chain and independent table service restaurants to international quick service chains. Products from PAR also can be found in retailers, cinemas, cruise lines, stadiums and food service companies. PAR’s Government Business is a leader in providing computer-based system design, engineering and technical services to the Department of Defense and various federal agencies. For more information visit http://www.partech.com or connect with us on Facebook and Twitter.
There will be a conference call at 10:00 a.m. (Eastern) on August 15, 2017, during which the Company’s management will discuss the financial results for the second quarter of 2017. To participate in the call, please call 844-419-5412, approximately 10 minutes in advance. No passcode is required to participate in the live call or to listen to the replay version. Individual & Institutional Investors will have the opportunity to listen to the conference call/event over the internet by visiting PAR’s website at www.partech.com. Alternatively, listeners may access an archived version of the presentation call through August 22, 2017 by dialing 855-859-2056 and using conference ID 65566533.