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BARRIE, Ontario, May 9, 2013 (GLOBE NEWSWIRE) -- Student Transportation Inc., ("STI" or the "Company") (TSX:STB) (Nasdaq:STB) today reported fiscal year results for the third quarter and first nine months of fiscal year 2013, ended March 31, 2013. All financial results are reported in US dollars, except as otherwise noted.
"The good thing about our contracted business is we can forecast most of the 180 school days of revenue we will receive during the fiscal year pretty well, but the exceptions seem to be in which quarter weather events will occur. Except for the impacts of weather, our results for the first nine months of fiscal 2013 are in line with internal expectations and as our history has shown we will make up those lost days. I can also say we are right on plan with another strong finish for our year end in June," said Denis J. Gallagher, Chairman and Chief Executive Officer.
Third quarter revenue and adjusted EBITDA* were $120.5 million and $25.9 million, respectively, compared to $113.3 million and $25.5 million for the third quarter of fiscal 2012. The reported net income for the third quarter of fiscal 2013 was $1.8 million, or $0.02 per share compared to $3.0 million or $0.05 per share for the third quarter of fiscal 2012. Revenue for the first nine months of fiscal 2013 increased to $301.4 million from $265.5 million for the fiscal 2012 interim period and adjusted EBITDA* increased to $50.8 million from $46.8 million for the prior year interim period. Net loss for the first nine months of fiscal 2013 amounted to $2.9 million or $0.04 net loss per share compared to a net loss of $7.0 million or $0.11 net loss per share per share for the first nine months of fiscal 2012.
"We came into the third quarter with a $2.0 million revenue deferral primarily due to Superstorm Sandy and various early winter storms. We then saw that revenue deferral increase to $5.0 million by the end of the third quarter due to the continuation of the severe snow storms that hit the Northeast and Mid West in the third quarter. While these storms have made a winter that seems to be never ending, we are fortunate to have solid contracts in place that provide for a fixed number of school days from July to June. That's why I have always noted that it takes 12 months to make a year," said Gallagher. "That certainly is appropriate today as we are already making up days currently and fully expect to recover the contracted $5.0 million revenue deferral of missed school days which are made up in the fourth quarter of the current fiscal year. As is the case in past years, when this happens we will be running right through the end of the school year in making up these days and our results will be as we expected. Our fixed costs are expensed as incurred so the "make up days" see a substantial amount of that revenue fall to the bottom line. Our year-to-date revenues have increased $35.9 million, or 13.5%. As we add back the revenue deferral, we once again anticipate being right on plan with the 15% increase in annualized revenues for fiscal 2013 that we have previously stated along with similar or slightly improved margins over last year."