Franchise Services of North America Inc. (FSNA) announced its financial results for the second quarter ended March 31, 2012 and new franchise locations. Revenue and the net loss for the quarter ended March 31, 2012 were $3,750,905 and $92,766 respectively, as compared to revenue of $3,782,161 and a net loss of $6,107 for the quarter ended March 31, 2011.
Tom McDonnell, the company's co-chairman and co-CEO, stated, "While we are disappointed with the increase in net loss as compared to the prior year, during our fiscal second quarter of 2012 we continued to experience a decrease in incremental run-off claims from the insurance portfolios that were moved to a first dollar program."
Sandy Miller, the company's co-chairman and co-CEO, added, "Though franchise sales activity continues to be challenging, we are pleased to announce the sale of a new U-Save franchise in Tyler, Texas and a Practicar franchise in Huntsville, Ontario. The sale of Tyler, Texas was completed and the revenue was reflected in our fiscal second quarter ended March 31, 2012, and the sale of Huntsville, Ontario was completed and the revenue will be reflected in our fiscal third quarter ending June 30, 2012."
FSNA is a publicly traded company listed on the TSX Venture Exchange. The company and its subsidiaries own U-Save Car & Truck Rental, U-Save Car Sales, Rent-A-Wreck of Canada, Practicar, Auto Rental Resource Center ("ARRC"), Xpress Rent A Car and Peakstone Financial Services.
U-Save, together with its subsidiary ARRC, has more than 1,100 locations throughout the United States. Having primarily serviced the local market for the past 30 years, the company said that it is expanding into the airport market with plans for the opening of airport locations in the top 30 markets in the U.S. and the major airports in Canada. U-Save currently services 31 airport markets in 12 different states and seven countries.
The Rent-A-Wreck system operates a network of 61 franchises from coast-to-coast in Canada, providing a range of vehicle rental, leasing and sales options to its customers.
View here the company's full-year results for 2011.
The service, available in San Francisco, Oakland, and Los Angeles, was soft launched earlier in the year.