Collins Industries, Inc. (Nasdaq: COLL) today reported results for the second fiscal quarter which ended April 30, 2000. Sales for the quarter ended April 30, 2000 increased 10% to $51,514,144 compared to $46,766,843 for the same period last year. This increase was principally due to higher ambulance and terminal truck sales and was partially offset by weaker bus sales.
Net income for the quarter ended April 30, 2000 was $904,574 ($.12 per share – diluted) compared to $1,515,708 ($.20 per share – diluted) for the same period last year. Net income for the quarter ended April 30, 2000 decreased principally due to lower contributions from bus products and higher selling costs associated with the expanded distribution network for ambulance products. Additionally, because of production constraints at Ford Motor Company, various chassis types from Ford were on allocation during the quarter. This resulted in the production and sale of ambulance products with an overall lower average margin. Ford has indicated that they do not expect chassis allocations to be an ongoing issue.
Sales for the six months ended April 30, 2000 increased 19% to $101,227,399 compared to $84,940,875 for the same period in fiscal 1999. Net income for the six months ended April 30, 2000 decreased to $1,907,835 ($.25 per share – diluted) compared to $2,186,556 ($.29 per share – diluted) in the same period last year. The sales increase principally resulted from higher sales of ambulance and terminal truck products. Increased profit contributions from both ambulance and terminal truck products for the six months ended April 30, 2000 were offset by lower profit contributions from bus products.
The Company’s sales backlog at April 30, 2000 remained strong at $78.8 million compared to $59.6 million at October 31, 1999 and $77.2 million at April 30, 1999.
Donald Lynn Collins, President and CEO said, “We are satisfied with our overall top line results and believe we will have a bottom line improvement in the second half of the year.” With regard to chassis, he added, “Although there can be no assurances, we don’t expect chassis allocations to be a long term problem.”
Collins Industries, Inc. is a leading manufacturer of ambulance, small school buses, commercial buses and terminal trucks. The Company sells its products throughout the United States and to a lesser extent, abroad.
This press release contains historical and forward-looking information. The forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform act of 1995. The Company believes the assumptions underlying these forward-looking statements due to certain risks and uncertainties, including, but not limited to, changes in product demand, the availability of chassis, adequate direct labor pools, changes in competition, interest rate fluctuations, development of new products, various inventory risks due to changes in market conditions, changes in tax and other governmental rules and regulations applicable to the Company, substantial dependence on their parties for product quality, reliability and timely fulfillment of order and other risks as indicated in the Company’s filings with the Securities and Exchange Commission. The Company undertakes no obligation to publicly release any revisions to any forward-looking statements contained herein to reflect events or circumstances occurring after the date released or to reflect the occurrence of unanticipated events.
Collins Industries, Inc.
(In thousands of dollars, except share and per share amounts)
Three Months Ended Six Months Ended
April 30, April 30,
2000 1999 2000 1999
Sales $51,514 $46,767 $101,227 $84,941
income taxes $1,282 $2,462 $2,840 $3,527
Income tax expense $377 $946 $932 $1,340
Net income $905 $1,516 $1,908 $2,187
Earnings per share:
Basic $0.13 $0.21 $0.26 $0.30
Diluted $0.12 $0.20 $0.25 $0.29
and common equivalent
Basic 7,212,406 7,345,677 7,212,406 7,383,950
Diluted 7,536,642 7,444,991 7,545,755 7,443,081