Glas-Aire Industries Group, Ltd. Reports Record Annual & Q4 Results
1 May 2000
Glas-Aire Industries Group, Ltd. Reports Record Annual & Fourth Quarter Results; Sales Up 47%; Earnings Up 62%
VANCOUVER, British Columbia, May 1 Glas-Aire Industries
Group, Ltd. ("Glas-Aire") (Nasdaq: GLAR) a majority owned subsidiary of
Regency Affiliates, Inc. ("Regency") (OTC Bulletin Board: RAFF), today
announced record results for the year ended January 31, 2000. Glas-Aire is a
leading designer and manufacturer of high quality thermoformed accessories for
the automotive market.
Sales for the fiscal year ended January 31, 2000 rose 46.5% to a record
$9.7 million from $6.6 million in FY 1999. Gross profit for the FY 2000
increased 34.5% to $2.9 million, compared with $2.1 million in FY 1999.
Income before income taxes for the year was $1,209,000, a 51.1%% increase
compared with $800,000 for the prior period. The Company reported net income
of $0.39 per share, compared to $0.26 per share in the prior year. The
reported per share earnings for both fiscal years reflect the stock dividend
announced on March 10, 2000. Sales and gross profit for the three months
ended January 31, 2000 also increased 44% and 27%, respectively, over the
similar period in the prior year.
Commenting on the Company's annual results, William Ponsoldt, Chairman and
Chief Executive Officer, said, "We are extremely pleased with the Company's
performance. The Company continues to increase its sales and net income
through new product development and sales to new customers. The results for
FY 2000 include equity earnings on its investment in Regency of $254,000.
Regency has owned 51% of Glas-Aire since September 1999, and the relationship
has been beneficial to both companies."
He continued "Glas-Aire completed its plant expansion of approximately
7,000 square feet in 1999 and more than doubled its professional labor force.
It is well positioned for continued strong top and bottom line growth. We
expect continued strong growth in the coming year through increased sales and
acquisitions."
Glas-Aire designs and makes sunroof wind deflectors, hood deflectors,
rear-air deflectors and door visors for cars, light trucks and vans.
Glas-Aire sells its products in the United States, Canada, Japan and the
United Kingdom. The Company is based in Vancouver, British Columbia and also
has a distribution center in Bellingham, Washington.
This press release includes forward-looking statements as defined in the
private Securities Litigation Reform Act of 1995. Readers are cautioned not
to place undue reliance on these forward-looking statements, as they are
subject to various risks and uncertainties which may cause actual results to
vary significantly. These risks include (but are not limited to) those
related to: dependence on component suppliers to keep us with rising industry
demand and the Company's growing supply requirements on a timely basis; timely
product upgrades and the ability to manage growth and ramp-up production
effectively as needed; continuing product demand; the impact of competitive
products and pricing on the Company's and its customers' products and markets;
development and growth of anticipated markets for the Company's and its
customer's products; changing economic and other risk factors detailed in the
Company's most recent annual report, its prospectuses and other filings with
the Securities and Exchange Commission. The Company assumes no obligation to
update the information in this release.
For further information please visit the following websites:
http://www.glasaire.com
http://www.regencyaffiliates.com