Glas-Aire Industries Group, Ltd. 20% Increase in Sales for the 1st Quarter of Fiscal 2001
20 June 2000
Glas-Aire Industries Group, Ltd. Reports a 20% Increase in Sales for the First Quarter of Fiscal 2001
VANCOUVER, British Columbia - Glas-Aire Industries Group, Ltd. a majority
owned subsidiary of Regency Affiliates, Inc., today announced a 20% increase in
sales over the similar quarter last year. Glas-Aire is a leading designer and
manufacturer of high quality thermoformed accessories for the automotive market.
Sales for the first quarter in fiscal 2001 rose 20% or $367,000 over the
similar quarter last year, and gross profit and net income of the Company
increased $305,000 (24%) and $61,000 (60%) respectively over the prior year
first quarter ended April 30, 1999. Earnings per share were $.08 compared to
$.05 in the prior year. The Company's results in the current quarter include
earnings from the Company's investment in Regency.
The Company's sales orders are at an all-time record high and are expected
to continue well into the third quarter unless the demand for mid to high-end
automobiles and trucks is unfavorably influenced by continued high gasoline
prices. The Company has added new customers in North America and continues to
realize increased business from its Japanese customers. This increase in
sales was achieved in spite of an order holdback by one of the Company's
largest customers. The hold back is expected to be temporary and could result
in increased sales in the second and third quarter of this fiscal year.
The Company also announced that it has completed the installation of the
quality assurance systems necessary for QS9000/IS9001 certification and
expects to receive such certification within the next few weeks. Alex Ding,
President of the Company commented, "This quality certification will make us
more competitive and will help pave the way into the European automotive
market".
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 that may cause actual results to
vary significantly. These risks include (but are not limited to) those
related to: dependence on component suppliers to keep up 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 customer's 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.