Collins Industries Posts Third Quarter 2006 Results and Declares 4th Quarter Dividend
August 28 2006 - 5:00PM
PR Newswire (US)
HUTCHINSON, Kan., Aug. 28 /PRNewswire-FirstCall/ -- Collins
Industries, Inc. (OTC:CNSI) today reported results for its Third
Quarter of 2006. Sales for the quarter ended July 31, 2006
increased 11% to a record third quarter $89.2 million compared to
$80.6 million for the same period last year. The Company's net
income increased in the third quarter to $3.5 million ($0.56 per
share - diluted) for the quarter ended July 31, 2006 compared to
$1.6 million ($0.26 per share - diluted) for the same period last
year. This income improvement was principally led by increased
revenues and gross profits. Sales for the nine months ended July
31, 2006 increased 19% to $229.5 million compared to $193.4 million
for the same period last year. The net income for the nine months
ended July 31, 2006 increased to $7.6 million ($1.20 per share -
diluted) from $0.90 million ($0.14 per share - diluted) in the same
period last year. This income improvement was principally led by
increased revenues and gross profits. The prior year period
included nonrecurring expenses for severance costs associated with
the retirement of two executives and the restatement of financial
statements for fiscal years 2002 and 2003 and interim quarterly
statements for 2004, along with substantially increased audit fees
for fiscal 2004 financial statements. These nonrecurring expenses
totaled $1.29 million after tax ($0.21 per share - diluted.) Donald
Lynn Collins, President and CEO, said, "Results for the third
quarter maintain us on track for a highly successful fiscal 2006
and support our belief that benefits continue to be realized from
our investments in technology and engineering." He further stated,
"As earlier announced, we are currently engaged in a process of
exploring a sale of the company." The Company's sales backlog at
July 31, 2006 was $109.9 million compared to $116.0 million at July
31, 2005. The backlog as of July 31, 2006 included $11.8 million of
a previously reported $28 million order for terminal trucks from
the United States Postal Service received in July 2005, which will
be primarily produced and delivered by November of 2006. In
addition, the company announced today that it had declared its
thirty ninth consecutive regular quarterly cash dividend. The
dividend will be $0.05 per share, paid to shareholders of record as
of September 6, 2006 and will be payable on September 15, 2006. The
ex-dividend date will be September 1, 2006. The Company has paid a
quarterly cash dividend for the past 38 consecutive quarters,
exclusive of special dividends paid in 1998, 2000 and 2001. The
Company will release the 3rd Quarter 2006 financial statements and
footnotes to its Company website (
http://www.collinsindustries.com/ ) and to the Pink Sheets website
( http://www.pinksheets.com/ ). Collins Industries, Inc. is a
leading manufacturer of ambulances (including medical attack
vehicles, rescue vehicles and fire emergency vehicles), North
America's largest producer of Type "A" small school buses, the
nation's second largest manufacturer of terminal trucks and a
leader in the road construction and industrial sweeper markets.
Since 1971, the Company has grown to approximately 1000 employees
in six plants comprising over one million combined square feet of
manufacturing space. The Company sells its products throughout the
United States and abroad. This press release contains historical
and forward-looking information. The forward-looking statements are
made pursuant to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995. The Company believes the
assumptions underlying these forward-looking statements are
reasonable; however, any of the assumptions could be inaccurate,
and therefore, actual results may differ materially from those
projected in the forward-looking statements due to certain risks
and uncertainties, including, but not limited to, the availability
of key raw materials, components and chassis, changes in funds
budgeted by Federal, state and local governments, changes in
competition, various inventory risks due to changes in market
conditions, changes in product demand, substantial dependence on
third parties for product quality, interest rate fluctuations,
adequate direct labor pools, development of new products, changes
in tax and other governmental rules and regulations applicable to
the Company, reliability and timely fulfillment of orders and other
risks as indicated in the Company's prior filings with the
Securities and Exchange Commission. The Company undertakes no
obligation to publicly release any revisions to any forward-looking
statements contained herein to reflect events or circumstances
occurring after the date released or to reflect the occurrence of
unanticipated events. Financial Summary (In thousands of dollars,
except per share amounts) (Unaudited) Three Months Ended Nine
Months Ended July 31, July 31, 2006 2005 2006 2005 Sales $89,240
$80,618 $229,532 $193,459 Income before income taxes 5,542 2,709
12,071 1,403 Income tax expense 2,050 1,060 4,470 530 Net income
$3,492 $1,649 $7,601 $873 Earnings per share: Basic $0.60 $0.27
$1.29 $0.15 Diluted $0.56 $0.26 $1.20 $0.14 Weighted average
outstanding common and common equivalent shares: Basic 5,821,875
6.053,430 5,914,465 5,936,733 Diluted 6,265,846 6,289,658 6,335,267
6,257,081 DATASOURCE: Collins Industries, Inc. CONTACT: Cletus
Glasener, CFO and Vice President of Finance of Collins Industries,
+1-620-663-5551 Web site: http://www.collinsindustries.com/
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