WINMARK CORPORATION ANNOUNCES FIRST QUARTER RESULTS
Minneapolis, MN (April 13, 2004) -- Winmark Corporation (Nasdaq: WINA) announced today net income for the quarter ended March 27, 2004 of $1,360,300 (or $.21 per share diluted) compared to net income of $1,122,200 (or $.18 per share diluted) in the first quarter of 2003.
John L. Morgan, Chairman and Chief Executive Officer, stated, “The increase in earnings is partly due to higher revenue from royalties. This increase is the result of the hard work of our franchisees coming out of a difficult retail environment.” Mr. Morgan continued, “Starting in the second quarter of 2004, we will offer equipment leasing options to our franchise systems and other small businesses. We are excited about this new way to help our franchisees.”
Winmark Corporation provides financial services and develops franchises for retail stores that buy, sell, trade and consign used and new merchandise. At March 27, 2004, there were 812 franchise and retail stores in operation under the Company’s brands and an additional 33 franchises awarded but not open. Of the stores in operation, there were 445 Play It Again SportsÒ, 213 Once Upon A ChildÒ, 112 Plato’s ClosetÒ and 42 Music Go RoundÒ storres.
This press release contains forward-looking statements within the meaning of the safe harbor provisions of Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), relating to future events or the future financial performance of the Company including statements with respect to offering financial services to our franchisees and other small businesses. Such forward-looking statements are only predictions or statements of intention subject to risks and uncertainties and actual events or results from such activities could differ materially from those anticipated. Because actual results may differ, shareholders and prospective investors are cautioned not to place undue reliance on such forward-looking statements.