Supreme Industries Reports Second-Quarter Earnings
GOSHEN, Ind.--July 31, 2001--Supreme Industries, Inc., (AMEX:STS) a leading manufacturer of specialized vehicles including truck bodies and shuttle buses, today announced earnings for its second quarter, which ended June 30, 2001.Second-quarter net income for 2001 was $1.6 million, or $0.15 per share, on revenues of $59.3 million. Last year's second-quarter net income was $2.2 million, or $0.20 per share, on revenues of $70.6 million.
Net income for the first six months of 2001 was $2.8 million, or $0.26 per share, on revenues of $115.2 million. For the comparable period last year, net income was $5.0 million, or $0.44 per share, on revenues of $144.5 million.
"The challenging market environment discussed in our first-quarter press release continues to negatively affect our truck body business," said Omer Kropf, President of Supreme Corporation, Supreme Industries' operating subsidiary. "While overall quote activity is improving, it has not yet resulted in any significant increase in revenues. Order intake in the bus division continues strong, showing an overall quarterly increase of approximately 70 percent over last year. Total backlog stands at $51.1 million compared to $54.8 million at March 31, 2001. "
The company's balance sheet continued to improve, with long-term debt at $23.4 million, stockholders' equity at $53.0 million, and book value per share of $4.92 at June 30, 2001. The comparable figures at December 31, 2000, were $31.0 million for long-term debt, $50.8 million for stockholders' equity, and $4.56 for book value per share.
"We are particularly focused on improving Supreme's operational performance through efficiency gains and lower operating costs," Mr. Kropf added. "These efforts are already visible through improvements in the second-quarter gross margin, which increased to 16.3 percent from 15.3 percent in the second quarter of last year. In addition, we believe that our truck body market share position is improving and favorably positions us to benefit from a rebound in our industry."
Supreme Industries, Inc., is a nationwide manufacturer of specialized truck bodies that are produced to the specifications of its customers. Supreme also manufactures the StarTrans(R) line of special-purpose "shuttle-type" buses. The Company's transportation equipment products are used by a wide variety of industrial and commercial customers.
This press release contains forward-looking statements, other than historical facts, that reflect the view of the Company's management with respect to future events. Although management believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that the expectations reflected in such forward-looking statements are reasonable, and can give no assurance that such expectations will prove to have been correct. Important factors that could cause actual results to differ materially from such expectations include, without limitation, limitations on the availability of chassis on which the Company's product is dependent, availability of raw materials, and severe interest rate increases. The Company assumes no obligation to update the forward-looking statements or to update the reason actual results could differ from those contemplated by such forward-looking statements.
(Tables follow)
Supreme Industries, Inc., and Subsidiaries
Consolidated Statements of Income
Three Months Ended Six Months Ended
June 30, June 30,
2001 2000 2001 2000
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Revenues $ 59,323,744 $ 70,567,710 $115,210,555 $144,530,104
Costs and expenses:
Cost of sales 49,640,730 59,778,157 96,896,905 121,162,021
Selling,
general and
administrative 6,277,125 6,365,189 12,272,622 13,368,121
Interest 628,199 782,435 1,371,125 1,661,927
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56,546,053 66,925,782 110,540,652 136,192,068
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Income before
income taxes 2,777,691 3,641,929 4,669,903 8,338,036
Income taxes 1,177,000 1,466,000 1,895,000 3,353,000
------------ ------------ ------------ ------------
Net income $1,600,691 $2,175,929 $2,774,903 $4,985,036
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(1)Earnings Per Share
Basic $.15 $.20 $.26 $.44
Diluted $.15 $.20 $.26 $.44
(1)Shares used
in the computation
of earnings per share:
Basic 10,798,796 11,156,888 10,820,063 11,228,730
Diluted 10,867,778 11,158,489 10,876,689 11,248,964
(1) All per share amounts have been restated for all common stock
dividends paid.
Supreme Industries, Inc., and Subsidiaries
Consolidated Balance Sheets
June 30, December 31,
2001 2000
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Assets
Current assets $55,065,525 $59,551,413
Property, plant and equipment, net 40,002,804 41,394,132
Intangible assets, net 1,017,016 1,095,456
Other assets 992,232 932,514
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Total assets $97,077,577 $102,973,515
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Liabilities and Stockholders' Equity
Current liabilities $23,386,697 $24,316,266
Long-term debt 18,753,198 25,859,972
Deferred income taxes 1,984,466 1,984,466
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Total liabilities 44,124,361 52,160,704
Total stockholders' equity 52,953,216 50,812,811
------------ ------------
Total liabilities and
stockholders' equity $97,077,577 $102,973,515
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