ARMSTRONG, Iowa, July 15, 2016 /PRNewswire/ -- Art's Way
Manufacturing Co., Inc. (NASDAQ: ARTW), a diversified,
international manufacturer and distributor of equipment serving
agricultural, research, water treatment and steel cutting needs,
announces its financial results for the second quarter and year to
date of fiscal 2016.
In conjunction with the release, the Company has scheduled a
conference call for Monday, July 18th, 2016 at 10:00 AM CT. Marc
H. McConnell, Chairman of the Board of Directors of Art's
Way Manufacturing, and Carrie
Majeski, President and Chief Executive Officer will be
leading the call to discuss the second quarter and year to date
fiscal 2016 financial results.
What: Art's Way Manufacturing, Inc. Second Quarter and
Year to Date Fiscal 2016 Financial Results.
When: Monday, July 18th,
2016 10:00 AM CT.
How: Live via phone by dialing (877) 358-7309. Code:
Art's Way Manufacturing. Participants to the conference call should
call in at least 5 minutes prior to the start time. A replay
of the call will be archived on the Company's website for 12
months. www.artsway-mfg.com/
|
For the Three
Months Ended
(Consolidated)
|
|
|
May 31,
2016
|
May 31,
2015
|
Change
|
Sales
|
$
|
5,741,000
|
$
|
7,804,000
|
-26.4%
|
Operating Income
(Loss)
|
$
|
(33,000)
|
$
|
414,000
|
-108.0%
|
Net Income
(Loss)
|
$
|
(57,000)
|
$
|
232,000
|
-124.6%
|
EPS
(Basic)
|
$
|
(0.01)
|
$
|
0.06
|
-116.7%
|
EPS
(Diluted)
|
$
|
(0.01)
|
$
|
0.06
|
-116.7%
|
Weighted Average
Shares Outstanding:
|
|
|
|
|
|
Basic
|
|
4,101,810
|
|
4,067,775
|
|
Diluted
|
|
4,101,810
|
|
4,062,294
|
|
|
For the Six Months
Ended
(Consolidated)
|
|
|
May 31,
2016
|
May 31,
2015
|
Change
|
Sales
|
$
|
12,133,000
|
$
|
15,093,000
|
-19.6%
|
Operating
Income
|
$
|
116,000
|
$
|
743,000
|
-84.4%
|
Net Income
|
$
|
24,000
|
$
|
400,000
|
-94.0%
|
EPS
(Basic)
|
$
|
0.01
|
$
|
0.10
|
-90.0%
|
EPS
(Diluted)
|
$
|
0.01
|
$
|
0.10
|
-90.0%
|
Weighted Average
Shares Outstanding:
|
|
|
|
|
|
Basic
|
|
4,088,073
|
|
4,055,698
|
|
Diluted
|
|
4,088,073
|
|
4,057,073
|
|
Sales: Our consolidated corporate sales for the
three and six-month period ended May 31,
2016 were $5,741,000 and
$12,133,000 compared to $7,804,000 and $15,093,000 during the same respective periods in
2015, a $2,063,000 or 26.4% decrease
for the second fiscal quarter, and a $2,960,000 or 19.6% decrease year-to-date. The
decreases in revenue are primarily due to the decreased demand for
our agricultural products that we have been experiencing for the
last year, but is somewhat offset by increases in revenues in our
modular buildings segment. Consolidated gross margin for the three
and six-month periods ended May 31,
2016 was 26.1% and 26.4% compared to 28.3% and 28.2% for the
same respective period in fiscal 2015. Our efforts to
decrease fixed costs and more closely match our expense load with
our current demand have helped to minimize the negative pressures
on our gross margins with the decreased revenue levels in 2016
compared to the same periods in 2015.
Income: Consolidated net income (loss) was
$(57,000) for the three-month period
ended May 31, 2016, compared to
$232,000 for the same period in
2015. Consolidated net income for the six-month period ended
May 31, 2016 was $24,000 compared to $400,000 for the same period in 2015. The
decreases are primarily due to the decreases in revenue described
above.
Earnings per Share: Loss per basic and diluted share for
the second quarter of fiscal 2016 was ($0.01), compared to earnings per share of
$0.06 for the same period in fiscal
2015. Earnings per basic and diluted share for the first
six-months of fiscal 2016 were $0.01
compared to $0.10 for the same period
in fiscal 2015.
Chairman of the Art's Way Board of Directors, Marc H. McConnell reports, "The continued
weakness in the agricultural economy has resulted in decreased
demand for products manufactured by us and our peers over the last
several quarters. While we have made very significant
adjustments to our cost structure and business overall this year,
generating adequate revenue to produce profitability has proven to
be quite difficult. We have, however, continued to improve
our balance sheet, reduce borrowings, and ultimately further
prepare our business for both a longer period of weakness in the
agricultural sector and to better position us for opportunity we
see ahead of us thereafter. We continue to focus every day on
the initiatives that will improve both our company and its enduring
profitability going forward."
About Art's Way Manufacturing, Inc.
Art's Way manufactures and distributes farm machinery niche
products including animal feed processing equipment, sugar beet
defoliators and harvesters, land maintenance equipment, crop
shredding equipment, round hay balers, plows, hay and forage
equipment, manure spreaders, reels for combines and swathers, and
top and bottom drive augers, as well as pressurized tanks and
vessels, modular animal confinement buildings and laboratories and
specialty tools and inserts. After-market service parts are also an
important part of the Company's business. The Company has four
reporting segments: agricultural products; pressurized tanks and
vessels; modular buildings; and tools.
For more information, including an archived
version of the conference call, contact: Carrie Majeski, Chief Executive Officer
712-864-3131
investorrelations@artsway-mfg.com
Or visit the Company's website at
www.artsway-mfg.com/
Cautionary Statements
This news release includes "forward-looking statements" within
the meaning of the federal securities laws. Statements made in this
release that are not strictly statements of historical facts,
including our expectations regarding: (i) our business position;
(ii) the impact of cost-cutting measures; (iii) future results; and
(iv) the benefits of our business model, are forward-looking
statements. Statements of anticipated future results are
based on current expectations and are subject to a number of risks
and uncertainties, including, but not limited to: customer demand
for our products; credit-worthiness of our customers; our ability
to operate at lower expense levels; our ability to complete
projects in a timely and efficient manner in accordance with
customer specifications; our ability to renew or obtain financing
on reasonable terms; domestic and international economic
conditions; factors affecting the strength of the agricultural
sector; the cost of raw materials; unexpected changes to
performance by our operating segments; and other factors detailed
from time to time in our Securities and Exchange Commission
filings. Actual results may differ markedly from management's
expectations. The Company cautions readers not to place undue
reliance upon any such forward-looking statements. We do not
intend to update forward-looking statements other than as required
by law.
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/arts-way-manufacturing-announces-second-quarter-and-year-to-date-fiscal-2016-financial-results-300299398.html
SOURCE Art's Way Manufacturing Co., Inc.