INTL FCStone 2005 Annual Report Download - page 54

INTERNATIONAL ASSETS HOLDING CORPORATION AND SUBSIDIARIES
Notes to the Consolidated Financial Statements—(Continued)
September 30, 2005 and 2004
corresponding decreases in liability for income tax. Since these lease adjustments resulted in timing
differences of rental charges, they increased the Company’s deferred tax balances by $11,029 and $30,409
for the years ended September 30, 2003 and 2004 respectively. The Company also recorded an unrelated
$15,264 reclassification from income tax receivable to deferred income tax asset related to the timing of
deductibility of certain debt issuance costs of the convertible note at September 30, 2004. The combined
effect of these amounts was an increase to deferred tax asset of $30,409.
The combined result of the restatements was that total stockholders’ equity at September 30, 2004 decreased
by $176,124 to $24,573,241 while net income for the year then ended was reduced by $2,643,562 to a net loss of
$118,207. The accumulated deficit at September 30, 2004 increased by $2,659,602 to $2,666,067 and additional
paid-in capital increased by $2,483,478 to $27,168,617. There was no effect on the total cash flows of the
Company.
Notes 3, 19, 20, 25 and 26 reflect the results of the above restatement adjustments.
The table below summarizes the impact of the restatement on the year ended September 30, 2004 and
financial information for the year ended September 30, 2005 is presented for comparative purposes:
Year
Ended
Sept. 30,
2004
Year
Ended
Sept. 30,
2004
Year
Ended
Sept. 30,
2004
Year
Ended
Sept. 30,
2005
previously
reported
adjustment
restatement as restated
(All figures below are in $ except the weighted average
number of common shares outstanding)
Interest expense ................................. 730,670 2,483,478 3,214,148 1,335,461
Netrevenues.................................... 21,307,059 (2,483,478) 18,823,581 24,804,570
Occupancyandequipmentrental.................... 502,633 10,104 512,737 802,862
Non-interest expenses ............................ 16,933,965 10,104 16,944,069 20,685,359
Income(loss)beforeincometaxes .................. 4,373,094 (2,493,582) 1,879,512 4,119,211
Incometaxexpense .............................. 1,847,739 149,980 1,997,719 1,483,897
Netincome(loss) ................................ 2,525,355 (2,643,562) (118,207) 2,613,635
Net income (loss) per share - basic .................. 0.50 (0.02) 0.36
Netincome(loss)pershare-diluted ................. 0.41 (0.02) 0.33
Weighted average number of common shares
outstanding:
Diluted ........................................ 6,111,223 (1,020,919) 5,090,304 8,023,891
Deferred income tax asset, net ...................... 332,429 30,409 362,838 82,285
Income taxes receivable ........................... 57,881 (57,881)
Total assets ..................................... 67,719,753 (27,472) 67,692,281 147,019,152
Incometaxespayable............................. 112,917 111,479 224,396 1,152,521
Other liabilities ................................. 37,519 37,173 74,692 333,592
Total liabilities .................................. 42,970,388 148,652 43,119,040 118,947,248
Additional paid-in capital ......................... 24,685,139 2,483,478 27,168,617 28,050,077
Accumulated deficit .............................. (6,465) (2,659,602) (2,666,067) (52,432)
Total stockholders’ equity ......................... 24,749,365 (176,124) 24,573,241 28,071,904
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