Bluegreen CEO Ties New CPA Regs to Lower Q2

BOCA RATON, FL-George F. Donovan, president and CEO of locally based timeshare developer Bluegreen Corp., blames new accounting rules for lower net income and revenue figures his company reported for the second quarter.

Net income totaled $6.6 million or 21 cents per diluted share versus $14.9 million or 48 cents in the same period last year. On a non-GAAP basis, however, Donovan says net income was $12.7 million or 41 cents per diluted share.

Total sales under the new rules were $141.9 million compared to $159.3 million in second quarter 2005. Bluegreen Resorts’ sales separately were $91.4 million versus $97 million last year at this time. Bluegreen Communities’ sales separately were $50.6 million compared to $62.3 million a year ago. “As previously announced, these lower sales at Bluegreen Communities reflected the sellout or near sellout of several communities prior to the end of the second quarter,” Donovan explains.