Fountain Powerboat Industries, Inc. Reports Increased Revenues and Operating Profit in Fiscal 3rd Quarter.Business Editors WASHINGTON Washington, town, England Washington, town (1991 pop. 48,856), Sunderland metropolitan district, NE England. Washington was designated one of the new towns in 1964 to alleviate overpopulation in the Tyneside-Wearside area. , N.C.--(BUSINESS WIRE)--May 11, 2001 Fountain fountain, natural or artificially conveyed flow of water. In ancient Greece columnar shrines were built over springs and dedicated to deities or nymphs. In ancient Rome fountains fed by the great aqueduct system furnished water in the streets, in the villa gardens, Powerboat Industries, 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 :FPWR FPWR Fire Precautions (Workplace) Regulations 1997 (UK) ), a leader in high performance sport boats, sport cruisers This is a so far incomplete list of cruisers 1860-present. It includes protected, light, armoured, battle-, heavy and missile cruisers. Dates are launching dates. Argentina
Revenue for the third quarter was $10.0 million, a 12.8% increase over the second quarter. 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. improved from a $1.1 million loss in the second quarter to a $163,000 profit in the third quarter. Net loss was $10,629 or $.002 per share, compared to a net profit of $156,363 or $.033 per share. The second quarter net profit included the sale of the Company airplane airplane, aeroplane, or aircraft, heavier-than-air vehicle, mechanically driven and fitted with fixed wings that support it in flight through the dynamic action of the air. and the full and final payment of all claims arising from the hurricane hurricane, tropical cyclone in which winds attain speeds greater than 74 mi (119 km) per hr. Wind speeds reach over 190 mi (289 km) per hr in some hurricanes. damage. "The improved revenue is the result of increased sales of Fountain boats, including our new wide beam cruisers and fish boats, by our dealer network," Fountain chairman and 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. Reggie Fountain said in a statement. Mr. Fountain also said, "While sales are up this quarter, they were still down significantly compared to the third quarter last year. This reflects the decline in consumer confidence in the economy and the negative effect the OMC OMC Organisation Mondiale du Commerce (French: WTO) OMC Organización Mundial del Comercio (Spanish: World Trade Organization) OMC Organização Mundial do Comércio bankruptcy bankruptcy, in law, settlement of the liabilities of a person or organization wholly or partially unable to meet financial obligations. The purposes are to distribute, through a court-appointed receiver, the bankrupt's assets equitably among creditors and, in most had on the entire marine industry. Looking forward, we believe the lower interest rates, the warmer weather and the increasing demand for our new wide beam cruisers and fish boats will contribute to a positive impact on the 4th quarter." The gross margin for the 3rd quarter was $2.0 million or 20.1% of net sales Net Sales The amount a seller receives from the buyer after costs associated with the sale are deducted. Notes: This amount is calculated by subtracting the following items from gross sales: merchandise returned for credit, allowances for damaged or missing goods, freight compared to $2.5 million or 17.6% of net sales for the 3rd quarter last year. This improvement in gross margin percentage was due to improved production efficiency and the higher gross margin provided by the cruisers. Selling expenses were $1.35 million for the quarter compared to $1.94 million last year. Advertising, racing and boat show expenses were lower and the major reasons for the reduced expense. Reduced general and administrative expense for airplane and accounting and legal fees resulted in expenses being $208,000 less this quarter than the same period last year. Safe harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. for forward looking statements: Statements made in this press release that state the Company's or management's intentions, beliefs, expectations, or predictions for the future are subject to certain risks and uncertainties, and actual results and events may differ materially from those projected, forecasted, or estimated.
FOUNTAIN POWERBOAT INDUSTRIES, INC. AND SUBSIDIARY
CONSOLIDATED CONDENSED BALANCE SHEETS
(Unaudited)
ASSETS
March 31, June 30,
2001 2000
----------- -----------
CURRENT ASSETS:
Cash and cash equivalents $ 243,542 $ 1,983,439
Accounts receivable, net 978,523 1,701,643
Inventories 5,864,817 7,880,136
Prepaid expenses 575,801 574,615
Current deferred tax assets 1,437,911 1,481,666
Deferred cost of sales 64,678 -
----------- -----------
Total Current Assets 9,165,272 13,621,499
----------- -----------
PROPERTY, PLANT AND EQUIPMENT 39,000,256 37,686,040
Less: Accumulated depreciation (19,857,838) (18,752,789)
----------- -----------
19,142,418 18,933,251
----------- -----------
OTHER ASSETS 961,947 876,334
----------- -----------
TOTAL ASSETS $29,269,637 $33,431,084
----------- -----------
FOUNTAIN POWERBOAT INDUSTRIES, INC. AND SUBSIDIARY
CONSOLIDATED CONDENSED BALANCE SHEETS
(Unaudited)
LIABILITIES AND STOCKHOLDERS' EQUITY
(Continued)
March 31, June 30,
2001 2000
----------- -----------
CURRENT LIABILITIES:
Current maturities - long-term debt $ 2,562,465 $ 2,613,534
Current maturities - capital lease 13,989 12,999
Accounts payable 5,083,408 4,993,717
Accrued expenses 1,639,318 2,504,603
Dealer territory service accrual 1,092,663 907,230
Customer deposits 55,278 322,040
Deferred sales 167,174 -
Allowance for boat repurchases 200,000 200,000
Reserve for warranty expense 590,000 590,000
----------- -----------
Total Current Liabilities 11,404,295 12,144,123
----------- -----------
LONG-TERM DEBT, less current portion 5,352,311 8,151,546
CAPITAL LEASE, less current maturities 62,950 63,940
DEFERRED TAX LIABILITY 904,415 1,180,817
COMMITMENTS AND CONTINGENCIES (NOTE 6) - -
----------- -----------
Total Liabilities 17,723,971 21,540,426
----------- -----------
STOCKHOLDERS' EQUITY:
Common stock, $.01 par value,
200,000,000 shares authorized,
4,732,608 shares issued 47,326 47,326
Additional paid-in capital 10,303,640 10,303,640
Retained earnings 1,305,448 1,650,440
----------- -----------
11,656,414 12,001,406
Less: Treasury stock (110,748) (110,748)
----------- -----------
Total Stockholders' Equity 11,545,666 11,890,658
----------- -----------
$ 29,269,637 $ 33,431,084
----------- -----------
FOUNTAIN POWERBOAT INDUSTRIES, INC. AND SUBSIDIARY
CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS
(Unaudited)
For The For The
Three Months Ended Nine Months Ended
March 31 March 31
------------------- -----------------
2001 2000 2001 2000
-------- -------- -------- --------
NET SALES $9,966,147 $14,306,940 $32,491,111 $40,486,130
----------
COST OF SALES 7,960,103 11,789,264 27,557,859 32,607,955
------------- --------- ---------- ---------- ----------
Gross Profit 2,006,044 2,517,676 4,933,252 7,878,175
EXPENSES
--------
Selling Expense 1,313,178 1,941,220 4,225,376 5,160,257
Selling expense
- related parties 38,692 - 196,067 -
General &
Administrative 491,473 699,508 1,969,170 2,305,590
--------- ---------- ---------- ----------
Total Expenses 1,843,343 2,640,728 6,390,613 7,465,847
--------- ---------- ---------- ----------
OPERATING INCOME (LOSS) 162,701 (123,052) (1,457,361) 412,328
-----------------------
NON-OPERATING
INCOME/(EXPENSE)
----------------
Other income (expense) 16,867 1,100,818 1,654,400 1,146,379
Interest expense (125,548) (249,694) (656,216) (777,180)
--------- ---------- ---------- ----------
INCOME (LOSS) BEFORE TAX 54,020 728,072 (459,177) 781,527
------------------------
CURRENT TAX EXPENSE - 184,612 - 184,612
-------------------
DEFERRED TAXES (BENEFIT) 64,649 (14,733) (114,186) 27,067
--------- ---------- ---------- ----------
NET INCOME (LOSS) (10,629) 558,193 (344,991) 569,848
-----------------
EARNINGS (LOSS) PER SHARE (.002) .118 (.073) .120
--------- ---------- ----------- ----------
WEIGHTED AVERAGE
SHARES OUTSTANDING 4,732,608 4,732,608 4,732,608 4,732,608
------------------ --------- ---------- ---------- ----------
DILUTED EARNINGS PER SHARE N/A N/A N/A N/A
--- --- --- ---
DILUTED WEIGHTED AVERAGE
SHARES OUTSTANDING N/A N/A N/A N/A
--- --- --- ---
FOUNTAIN POWERBOAT INDUSTRIES, INC. AND SUBSIDIARY
CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS
(Unaudited)
Nine Months
Ended March 31,
2001 2000
---------------------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net Income (Loss) $ (344,991) $ 569,848
Adjustments to reconcile net income
(loss) to net Cash provided by
operating activities:
Depreciation Expense 1,718,518 1,747,766
Gain on sale of fixed assets (500,446) -
Net deferred taxes (232,647) 27,067
Change in assets and liabilities:
(Increase) decrease in accounts receivable 723,120 (1,095,333)
(Increase) decrease in inventory 2,015,319 (1,887,533)
(Increase) decrease in prepaid expense (1,186) 260,749
Increase (decrease) in deferred sales 102,496
Increase (decrease) in accounts payable 89,691 1,069,294
Increase (decrease) in accrued expenses (865,285) (185,516)
Increase (decrease) in dealer territory (561,481)
Service accrual 185,433
Increase (decrease) in customer deposits (266,762) (43,014)
----------- ----------
Net Cash Provided by (Used in)
Operating Activities $ 2,623,260 $ (98,153)
----------- ----------
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of property plant and equipment (3,178,160) (713,066)
Proceeds from sale of fixed assets 1,750,920 -
(Increase) in other assets (85,612) (89,823)
Net Cash Provided by (Used) Investing
Activities $(1,512,852) $ (802,889)
----------- ----------
CASH FLOWS FROM FINANCING ACTIVITIES:
Repayment of long-term debt (2,850,305) (1,165,259)
----------- -----------
Net Cash Provided by (Used in) Financing
Activities $(2,850,305) $(1,165,259)
----------- -----------
Net increase (decrease) in cash $(1,739,897) $(2,066,301)
Cash and Cash Equivalents at
beginning of year $ 1,983,439 $ 2,217,301
----------- -----------
Cash and Cash Equivalents at end of period $ 243,542 $ 151,000
==========================
|
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion