First Aviation Announces Continued Revenue Growth.WESTPORT Westport, residential town (1990 pop. 24,407), Fairfield co., SW Conn., on Long Island Sound at the mouth of the Saugatuck River; settled 1645–50, inc. 1835. It serves as a popular residence for New York City commuters. Westport has a summer theater. , Conn.--(BUSINESS WIRE)--Dec. 9, 1998--First Aviation Services, Inc. (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on : FAVS FAVS Fabbrica Armi Valle Susa FAVS Fighter Attack Visual System ), a leading provider of services to aircraft operators worldwide, today announced net income for the third quarter ended October October: see month. 31, 1998 of $0.8 million, or $0.09 per share. The results compare favorably fa·vor·a·ble adj. 1. Advantageous; helpful: favorable winds. 2. Encouraging; propitious: a favorable diagnosis. 3. to second quarter results of $0.7 million or $0.08 per share. Revenues continued to grow. For the third quarter, revenues increased $2.1 million, or 5.6%, to $39.3 million, compared to $37.2 million for the second quarter and $34.6 million for the first quarter of the fiscal year. Gross profit for the third quarter grew by $0.6 million to $7.1 million as compared to $6.5 million reported for the second quarter and $5.4 million in the first quarter. Gross margin also increased to a record 17.9%, from 17.4% and 15.6% in the second and first quarters, respectively. Income from operations for the third quarter was $1.6 million versus $1.5 million for the second quarter, and $0.7 million for the first quarter. Compared to the third quarter of the prior fiscal year, revenues declined by $0.2 million to $39.3 million from $39.5 million. Gross profit, however, rose to $7.1 million from $6.8 million reported for the third quarter of the prior fiscal year, an increase of $0.3 million or 4.4%. Gross margin for the third quarter of fiscal 1999 was a record 17.9%, as compared to 17.1% for the third quarter of the prior fiscal year. Income from operations for the third quarter was $0.8 million lower when compared to the $2.4 million of operating income Operating Income The profit realized from a business' own operations. Notes: This would not include income from things such as investments in other firms. Also referred to as operating profit or recurring profit. reported for the third quarter of the prior fiscal year. Net income for the third quarter of fiscal year 1998 was $1.6 million, compared to $0.8 million for this quarter, a decline of $0.8 million. Mr. Michael Michael, archangel Michael (mī`kəl) [Heb.,=who is like God?], archangel prominent in Christian, Jewish, and Muslim traditions. In the Bible and early Jewish literature, Michael is one of the angels of God's presence. C. Culver cul·ver n. A dove or pigeon. [Middle English, from Old English culufre, from Vulgar Latin *columbra, from Latin columbula, diminutive of columba, dove.] , President & CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. , stated that "We have now reported three consecutive quarters of increasing revenues and gross profit. Our backlog Backlog The total value of sales orders waiting to be fulfilled. Notes: This figure is used mainly in the manufacturing industry. Increases or decreases in a company's backlog indicate the future direction of sales and earnings. increased to $27.4 million at October 31, 1998 from $19.8 million at the end of the second quarter. We are continuing to make investments in areas that will enhance the company's long-term Long-term Three or more years. In the context of accounting, more than 1 year. long-term 1. Of or relating to a gain or loss in the value of a security that has been held over a specific length of time. Compare short-term. prospects, including advertising, marketing, IT and people. We are starting to see the benefits of our strategy. FAvS has been awarded several major new contracts for which we incurred the acquisition expenses such as marketing and bid preparation costs, the largest of which is the 5-year United States Navy United States Navy Major branch of the U.S. military forces, charged with defending the nation at sea and maintaining security on the seas wherever U.S. interests extend. The Continental Navy was established by the Continental Congress in 1775. T-56 repair contract, worth potentially $189 million." FAvS will continue its protest of the portion of the Kelly Kel·ly , Ellsworth Born 1923. American abstract painter and sculptor whose works are characterized by flat color areas with sharply defined edges. Kelly, Emmett 1898-1979. AFB AFB abbr. acid-fast bacillus AFB Acid-fast bacillus, also 1. Aflatoxin B 2. Aorto-femoral bypass T-56 work not included in the Navy contract. The Company filed a complaint in Federal District Court against the United States Air Force United States Air Force (USAF) Major component of the U.S. military organization, with primary responsibility for air warfare, air defense, and military space research. It also provides air services in coordination with the other military branches. U.S. on the acquisition strategy for the Propulsion Propulsion The process of causing a body to move by exerting a force against it. Propulsion is based on the reaction principle, stated qualitatively in Newton's third law, that for every action there is an equal and opposite reaction. Business Area at Kelly Air Force Base Kelly Air Force Base was a United States Air Force base located in San Antonio, Texas. In 2001, the runway and land west of the runway became "Kelly Field Annex" and control of it was transferred to the adjacent Lackland Air Force Base. . While this strategy has resulted in additional short-term Short-term Any investments with a maturity of one year or less. short-term 1. Of or relating to a gain or loss on the value of an asset that has been held less than a specified period of time. costs, the Company believes that First Aviation's long-term growth can be protected by current investments. For the nine months ended October 31, 1998 revenues were $111.2 million, a decline of $2.8 million, or 2.5% from the $114.0 million recorded for the nine months ended October 31, 1997. Nine months gross profit grew to $18.9 million, an increase of $0.8 million, or 4.4%, from the $18.1 million reported for the comparable period of the prior fiscal year. Gross margin for the nine months ended October 31, 1998 was 17.0%, as compared to 15.9% for the comparable period of the prior fiscal year. For the nine months ended October 31, 1998 income from operations, before restructuring restructuring - The transformation from one representation form to another at the same relative abstraction level, while preserving the subject system's external behaviour (functionality and semantics). and other one-time one-time adj. 1. or one·time a. Occurring or undertaken only once: a one-time winner in 1995. b. charges was $3.8 million, as compared to $7.0 million reported for the first nine months of the prior fiscal year. First Aviation is a worldwide leader in providing services to aircraft operators of some of the most widely used military, commercial and general aviation aircraft as well as to operators of industrial engines. Its operations include National Airmotive Corporation located in Oakland and Long Beach, California Long Beach is a city located in southern Los Angeles County, California, USA, on the Pacific coast. It borders Orange County on its southeast edge. It is about 20 miles (30 km) south of downtown Los Angeles. , as well as Houston, Texas “Houston” redirects here. For other uses, see Houston (disambiguation). Houston (pronounced /'hjuːstən/) is the largest city in the state of Texas and the , and Aircraft Parts International, the fastest growing supplier of aircraft parts and services to the general aviation and commercial airline markets in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. , headquartered in Memphis, Tennessee For the ancient Egyptian capital, see . Memphis is a city in the southwest corner of Tennessee, and the county seat of Shelby County. Memphis rises above the Mississippi River on the 4th Chickasaw Bluff just below the mouth of the Wolf River. . Forward-Looking Statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. The Company from time to time may discuss forward-looking information. Except for the historical information contained in this release, all forward looking information are estimates of the Company's management and are subject to the various risks and uncertainties including the Company's ability to obtain parts from its principal supplier on a timely basis and other items that are beyond the Company's control and may cause results to differ from management expectations. -0-
First Aviation Services Inc.
Consolidated Condensed Statements of Operations
(in thousands, except per share amounts)
Three Months Nine Months
Ended October 31, Ended October 31,
1998 1997 1998 1997
--------- --------- --------- ----------
Net sales $ 39,331 $ 39,543 $ 111,192 $ 113,966
Cost of sales 32,275 32,784 92,254 95,849
--------- --------- --------- ----------
Gross profit 7,056 6,759 18,938 18,117
Selling, general and
administrative
expenses 5,415 4,329 15,134 11,231
Restructuring charge
and other
non-recurring
charges -- -- 2,778 --
--------- --------- --------- ----------
Income from
operations 1,641 2,430 1,026 6,886
Net interest expense
and other 493 245 1,368 1,139
--------- --------- --------- ----------
Income/(loss) before
provision for
income taxes
and extraordinary
item 1,148 2,185 (342) 5,747
Provision/(benefit)
for income taxes 344 549 (103) 1,441
--------- --------- --------- ----------
Income/(loss) before
extraordinary item 804 1,636 (239) 4,306
Extraordinary item:
Loss on early
extinguishment
of debt (net of
income tax
benefit) -- -- -- (108)
--------- --------- --------- ----------
Net income/(loss) 804 1,636 (239) 4,198
Preferred stock
dividends -- -- -- 11
--------- --------- --------- ----------
Net income/(loss)
available to
common
stockholders $ 804 $ 1,636 $ (239) $ 4,187
========= ========= ========== ==========
Basic net income/
(loss) per common
share:
Net income/(loss)
available to
common
stockholders
before
extraordinary item $ 0.09 $ 0.18 $ (0.03) $ 0.52
Extraordinary
item -- -- -- (0.01)
--------- --------- --------- ----------
Basic net income/
(loss) per share
available to
common
stockholders $ 0.09 $ 0.18 $ (0.03) $ 0.51
========= ========= ========== ==========
Shares used in
computation of
basic net income
available to
common
stockholders 8,984,678 8,915,971 8,966,893 8,287,330
========= ========= ========== ==========
Net income/(loss)
per share --
assuming dilution:
Net income/(loss)
available to
common
stockholders
before
extraordinary item $ 0.09 $ 0.18 N/A $ 0.50
Extraordinary
item -- -- -- (0.01)
--------- --------- --------- ----------
Net income per share
available to
common
stockholders --
assuming dilution $ 0.09 $ 0.18 N/A $ 0.49
========= ========= ========== ==========
Shares used in
computation of net
income available
to common
stockholders --
assuming dilution 9,094,443 9,065,807 N/A 8,587,970
========= ========= ========== ==========
First Aviation Services Inc.
Consolidated Condensed Balance Sheets (Unaudited)
(in thousands)
October 31, January 31,
1998 1998
--------- ---------
Assets
Current assets:
Cash and cash equivalents $ 137 $ 237
Accounts receivable, net 28,945 27,841
Inventories 48,173 43,311
Deferred income taxes, prepaid
expenses and other 4,523 4,005
--------- ---------
Total current assets 81,778 75,394
Plant and equipment, net 8,485 5,027
Goodwill, net and other assets 1,969 2,102
--------- ---------
$ 92,232 $ 82,523
========= =========
Liabilities and stockholders'
equity
Current liabilities:
Accounts payable $ 16,926 $ 14,106
Accrued compensation and other
accrued liabilities 4,971 4,777
Income taxes payable 1,948 2,776
Short term credit line 4,950 --
--------- ---------
Total current liabilities 28,795 21,659
Revolving line of credit and
capital lease obligations 16,605 13,866
Minority interest 1,041 1,041
--------- ---------
Total liabilities 46,441 36,566
Stockholders' equity:
Common stock 90 89
Additional paid-in capital 38,455 38,378
Retained earnings 7,246 7,490
--------- ---------
Total equity 45,791 45,957
--------- ---------
$ 92,232 $ 82,523
========= =========
|
|
||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion