Monaco Coach Reports Record Q4 and 1999 Fiscal Year End Results
27 January 2000
Monaco Coach Reports Record Fourth Quarter and 1999 Fiscal Year End Results
COBURG, Ore., Jan. 27 -- Monaco Coach Corporation
today reported record revenue and earnings for its fourth quarter and fiscal
year ended January 1, 2000. Fourth quarter earnings per share were 58 cents,
an increase of 45.0% from the same period last year, on revenue of
$191.7 million. Net income for the fourth quarter rose to $11.2 million.
Fourth quarter operating income was $18.3 million, an increase of 35.6% over
the same period last year.
For the fiscal year ended January 1, 2000, earnings per share were
$2.26 on revenue of $780.8 million, an increase of 89.9% and 31.3%
respectively over 1998 results. Net income rose to $43.8 million, a 93.0%
increase over 1998 results. Operating income totaled $72.8 million, an
increase of 82.0% over 1998 results.
"We successfully reached several goals during 1999 that are key elements
of our carefully developed business plan," stated Kay L. Toolson, Monaco
Chairman and Chief Executive Officer. "We made great strides towards
broadening our product line and increasing our manufacturing capacity and
flexibility. We also initiated further expansion in Elkhart, Indiana which
will allow us to grow our diesel motorhome production and took significant
steps towards extending our wide retail distribution network."
Toolson continued, "Our overall market share grew during the fourth
quarter. In the class A motorhome market, our share increased to 11.9%
through November 1999, an increase of 17.2% over the same period in 1998. We
continued to increase our lead as the number one diesel class A motorhome
manufacturer, with a 23.2% share of the market through November 1999. In the
towable recreational vehicle market, our share increased to 1.8% through
November 1999, an increase of 9.4% over the same period in 1998."
Monaco Executive Vice President and Chief Financial Officer John Nepute
added, "The move into our enlarged Coburg, Oregon manufacturing facilities is
nearing completion and we intend to increase unit production there over the
next several months. We added four models to our product offerings, including
two new diesel motorhomes, a new gasoline powered motorhome and a new towable
product during 1999. Each of these products targets a specific, attractive
price point in the market."
Fourth quarter unit sales of Monaco Coach Corporation products totaled
2,307 units, an increase of 14.4% from the same period last year. Fourth
quarter motor home sales totaled 1,446 units, and fourth quarter towable
recreational vehicles totaled 861 units.
1999 total unit sales reached 9,502, an increase of 36.0% from 1998
results. For the fiscal year ended January 1, 2000, motor home unit sales
totaled 6,233 units, and towable unit sales totaled 3,269 units.
Headquartered in Coburg, Oregon, with additional manufacturing facilities
in Indiana, Monaco Coach Corporation is one of the nation's leading
manufacturers of recreational vehicles. The company offers customers luxury
recreational vehicle models under the Monaco, Holiday Rambler and McKenzie
Towables brand names. Additional financial details are available at
http://www.monaco-online.com under the heading "Investor Relations."
The statement in this report regarding increased production rates in
Coburg, Oregon is a forward-looking statement. A number of factors could
cause actual results to differ materially from this statement, including
slower than anticipated sales of new and existing products, a general slowdown
in the economy, new product introductions by competitors, or an inability to
increase production to meet demand due to a tight labor market or other
factors. Please refer to the Company's SEC reports, including but not limited
to the report on Form 10-K for the year ended January 1, 2000 for additional
factors.
For more information, contact: John Nepute, Chief Financial Officer, or
Mike Duncan, Investor Relations Manager, Monaco Coach Corporation,
541-686-8011.
Monaco Coach Corporation
(Unaudited: dollars in thousands, except per share data)
Three months ended Twelve months ended
Jan 1, 2000 Jan 2, 1999 Jan 1, 2000 Jan 2, 1999
Net Sales $191,742 $169,724 $780,815 $594,802
Gross Profit 30,770 24,406 122,279 82,232
Operating Income 18,251 13,457 72,843(a) 40,016
Income Before Taxes 18,190 13,111 71,842(b) 38,762
Net Income 11,199 7,670 43,761 22,669
Earnings per share:
Basic 0.59 0.41 2.33 1.21
Diluted 0.58 0.40 2.26 1.19
Weighted Average of Common
Shares Outstanding:
Basic 18,868,958 18,710,334 18,808,963 18,658,003
Diluted 19,406,418 19,144,894 19,366,969 19,081,984
Units Sold: 2,307 2,017 9,502 6,985
(a) Includes a $1.75 million benefit from an adjustment of 1998 incentive
based compensation.
(b) Includes a $639,000 expense from write off of debt issuance costs due
to payoff of Long-term Note Payable.
Balance Sheet
Jan 1, 2000 Jan 2, 1999
Assets
Current $137,946 $106,901
Property & Equipment 89,439 61,655
Notes Receivable 0 769
Other (Including Goodwill) 19,342 20,802
Total Assets $246,727 $190,127
Liabilities
Current $99,058 $83,225
Deferred Tax Liability 4,330 3,309
Long-term Notes Payable 0 5,400
Total Liabilities 103,388 91,934
Stockholders' Equity 143,339 98,193
Total Liabilities &
Stockholders' Equity $246,727 $190,127