Net Income of $312,000 in 2018 Down 34.8% Versus $478,000 in 2017
New York, NY, March 29, 2018 – Saker Aviation Services, Inc. (OTCQB:SKAS), an
aviation services company specializing in ground-based services to the general aviation
marketplace, today announced its financial results for the twelve months ended
December 31, 2018.
Revenue and net income in the twelve months ended December 31, 2018 of $11,118,452
and $311,536, respectively, were down 7.5 percent and 34.8 percent, respectively, as
compared to revenue of $12,016,031 and $477,628 in the twelve months ended
December 31, 2017.
“The fatal helicopter accident in the East River in March continued its lingering impact on
our results in 2018.” stated Ron Ricciardi, the Company’s President & CEO. “Though the
flight had nothing to do with our Heliport, a large operator from our facility was involved.
That operator understandably took their focus from regular business while fully
cooperating with the resulting investigation. There was also a related impact on demand
for other operators at our Heliport. We anticipate that effect of this accident will mitigate
as we enter 2019.”
The Company also reported Adjusted EBITDA1 of $998,694 for the twelve months ended
December 31, 2018, a decrease of $654,933 as compared to Adjusted EBITDA of
$1,653,627 in the twelve months ended December 31, 2017. Please see footnote 1 below
for the Company’s definition of Adjusted EBITDA, a description of why the Company uses
Adjusted EBITDA and important disclaimers regarding Adjusted EBITDA, which is a non-
GAAP measure. A reconciliation of Adjusted EBITDA to the appropriate GAAP measure
is also included in footnote 1.
About Saker Aviation Services, Inc.
Saker Aviation Services (www.SakerAviation.com), through our subsidiaries, operates in
the aviation services segment of the general aviation industry, in which we serve as the
operator of a heliport, a fixed base operation (“FBO”), and as a consultant for a seaplane
base that we do not own. FBOs provide ground-based services, such as fueling, aircraft
storage, and aircraft maintenance for general aviation, commercial and military aircraft,
and other miscellaneous services.
Saker Aviation Services, Inc.
Ronald J. Ricciardi
President & CEO
Note Regarding Forward-Looking Statement
This press release contains “forward-looking statements” within the meaning of Section
27A of the Securities Act and Section 21E of the Securities Exchange Act of 1934, as
amended (the “Exchange Act”). Forward-looking statements can be identified by words
such as “anticipates,” “intends,” “plans,” “seeks,” “believes,” “estimates,” “expects” and
similar references to future periods. These statements may include projections of
revenue, provisions for doubtful accounts, income or loss, capital expenditures,
repayment of debt, other financial items, statements regarding our plans and objectives
for future operations, acquisitions, divestitures and other transactions, statements of
future economic performance, statements of the assumptions underlying or relating to
any of the foregoing statements and statements other than statements of historical fact.
Forward-looking statements are based on the Company’s current expectations and
assumptions regarding its business, the economy and other future conditions. Because
forward-looking statements relate to the future, they are subject to inherent uncertainties,
risks and changes in circumstances that are difficult to predict. The Company’s actual
results may differ materially from those contemplated by the forward-looking statements.
The Company therefore cautions readers of this press release against relying on any of
these forward-looking statements because they are neither statements of historical fact
nor guarantees or assurances of future performance. Important factors that could cause
actual results to differ materially from those in the forward-looking statements include the
Company’s services and pricing, general economic conditions, its ability to raise
additional capital, its ability to obtain the various approvals and permits for the acquisition
and operation of FBOs and the other risk factors contained under Item 1A of the
Company’s Annual Report on Form 10-K for the year ended December 31, 2018.
Any forward-looking statement made in this press release speaks only as of the date on
which it is made. Factors or events that could cause the Company’s actual results to differ
may emerge from time to time and it is not possible to predict all of them. The Company
undertakes no obligation to publicly update any forward-looking statement, whether as a
result of new information, future developments or otherwise, except as may be required
-FINANCIAL TABLES TO FOLLOW –
1 Explanation of Adjusted EBITDA, a Non-GAAP Financial Measure
The Company defines Adjusted EBITDA as earnings before interest, taxes, depreciation
and amortization, as adjusted for stock based compensation expense and other income
and expense items. The Company believes that Adjusted EBITDA, which is a financial
measure that is not defined by Generally Accepted Accounting Principles (“GAAP”), is a
useful performance metric because it eliminates non-cash and/or non-recurring charges
to earnings. It is important to note that non-GAAP measures such as Adjusted EBITDA
should be considered in addition to, not as a substitute for or superior to, net income,
cash flows, or other measures of financial performance prepared in accordance with
GAAP. A reconciliation of net income to Adjusted EBITDA is as follows for the twelve
months ended December 31, 2018 and 2017.