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Prab Reports Third Quarter Results

25 August 1998

Prab Reports Third Quarter Results

    KALAMAZOO, Mich.--Aug. 25, 1998--PRAB INC. reports third quarter sales of $4,796,000 and earnings of $314,000 for the period ended July 31, 1998.
    This compares with sales of $4,186,000 and earnings of $239,000 in the same period a year ago. Nine month sales of $13,471,000 and earnings of $674,000 for the current year compares with sales of $11,737,000 and earnings of $464,000 for the same period a year ago. Operating income of $1,235,000 for the first nine months of 1998 increased 29 percent when compared to $957,000 in the same period a year ago. Higher net profits resulted primarily from higher sales and lower interest expense in the period.
    The order backlog of $4,674,000 at the end of the third quarter ended July 31, 1998, compares with $4,732,000 at the end of the previous quarter ended April 30, 1998, and $5,032,000 at the end of the third quarter a year ago.
    Prab Inc. designs and manufactures conveyors, metal scrap reclamation systems and bulk material handling equipment. The company sells its products worldwide through a network of factory sales engineers, manufacturers' agents, and distributors.

                              Prab Inc.
                     Summary of Financial Results
           (in thousands of dollars except per share data)

                        Third Quarter Ended      Nine Months Ended
                              July 31,                July 31, 
                         1998          1997      1998         1997
                        ____________________    ___________________
Sales                   $ 4,796      $ 4,186    $13,471     $11,737
Net income                  314          239        674         464
Per share               $  0.14      $  0.11    $  0.30     $  0.21