-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, NdH1IHGiPKngxO8oMUJ1o5dPcFOWbepiLFyZardWKohYEAYstSdmIpy9t6QnKdjd cJmtVjJbnm7RB6GAWbUozw== 0000940397-02-000053.txt : 20020730 0000940397-02-000053.hdr.sgml : 20020730 20020730135656 ACCESSION NUMBER: 0000940397-02-000053 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20020729 ITEM INFORMATION: Other events ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 20020730 FILER: COMPANY DATA: COMPANY CONFORMED NAME: COACHMEN INDUSTRIES INC CENTRAL INDEX KEY: 0000021212 STANDARD INDUSTRIAL CLASSIFICATION: MOTOR HOMES [3716] IRS NUMBER: 351101097 STATE OF INCORPORATION: IN FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-07160 FILM NUMBER: 02714492 BUSINESS ADDRESS: STREET 1: 2831 DEXTER DR CITY: ELKHART STATE: IN ZIP: 46514 BUSINESS PHONE: 2192620123 MAIL ADDRESS: STREET 1: 2831 DEXTER DR CITY: ELKHART STATE: IN ZIP: 46514 8-K 1 coa8kjuly.txt SECOND QUARTER EARNINGS UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 DATE OF REPORT (DATE OF EARLIEST EVENT REPORTED): JULY 29, 2002 - -------------------------------------------------------------------------------- COACHMEN INDUSTRIES, INC. - -------------------------------------------------------------------------------- (Exact name of registrant as specified in its charter) INDIANA 1-7160 35-1101097 - -------------------------------------------------------------------------------- (State or other (Commission File (IRS Employer jurisdiction Number) Identification No.) of incorporation) 2831 Dexter Drive ELKHART, INDIANA 46514 - -------------------------------------------------------------------------------- (Address of principal executive offices) (Zip Code) REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE: (574) 262-0123 - -------------------------------------------------------------------------------- NOT APPLICABLE - -------------------------------------------------------------------------------- (Former name or former address, if changed since last report) 2 ITEM 5. OTHER EVENTS. On July 29, 2002, the Company filed a press release announcing second quarter results. A copy of the press release is attached as Exhibit 99.1 to this Form 8-K and incorporated by reference herein. ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS. (c) The following exhibits are filed as a part of this Report: 99.1 Press Release dated July 29, 2002 announcing second quarter results. 2 3 SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. COACHMEN INDUSTRIES, INC. By: /S/ RICHARD M. LAVERS Richard M. Lavers Executive Vice President, General Counsel and Secretary Date: July 30, 2002 3 4 EXHIBIT INDEX EXHIBIT SEQUENTIALLY NUMBER DESCRIPTION NUMBERED PAGE - ------ ----------- ------------- 99.1 Press Release dated July 29, 2002 5 4 EX-99.1 3 coa2qpr.txt PRESS RELEASE 5 EXHIBIT 99.1 COACHMEN INDUSTRIES, INC. 2831 DEXTER DRIVE P.O. BOX 3300 ELKHART, INDIANA 46515 574/262-0123 FAX 574/262-8823 NEWS RELEASE For immediate release Monday, July 29, 2002 COACHMEN INDUSTRIES, INC. REPORTS GAIN IN SECOND QUARTER EARNINGS; AFFIRMS OUTLOOK FOR 2002 o SECOND QUARTER EARNINGS OF $0.22 PER SHARE MARK SIGNIFICANT IMPROVEMENT OVER $0.09 PER SHARE IN YEAR-EARLIER PERIOD. o RV SALES UP 18.6%; RV PRE-TAX INCOME UP 155%. o PRODUCTION AND BACKLOGS INCREASING IN RECREATIONAL VEHICLES AND MODULAR HOUSING. o CASH FLOW FOR FIRST HALF TOTALS $24.3 MILLION WITH $63.9 MILLION IN CASH AND SECURITIES AT END OF QUARTER. ELKHART, IND. - Coachmen Industries, Inc. (NYSE: COA) today announced sharply higher earnings for the second quarter of 2002 compared with a year ago, a performance that is consistent with the Company's expectation for a return to profitability for the full year 2002. Coachmen reported earnings of $3.6 million, or $0.22 per share, for the quarter, compared with earnings of $1.4 million, or $0.09 per share in the year-earlier period, which included amortization of goodwill of $0.3 million. Sales for the second quarter increased to $172.7 million versus $162.4 million in the second quarter of 2001, reflecting strong RV shipments, but weaker results for modular telecommunications structures. Claire C. Skinner, Chairman, Chief Executive Officer and President, remarked, "As we had publicly forecast, we returned to profitability in the second quarter and believe we are on track to report a solid profit for the full year. Our year-to-date performance has improved significantly over last year, and the trends in our two business groups are becoming increasingly positive. The momentum in our RV business continues to improve aided by the uptrend in our market share. Coachmen's share of wholesale - MORE - 6 Coachmen Industries, Inc. Reports Second Quarter Results Page 2 July 29, 2002 - -------------------------------------------------------------------------------- shipments through June is 6.8%, a 9.7% increase from its 2001 full-year share. As a result of the positive response by our dealers and consumers to our new design and product changes and an improving overall market for recreational vehicles, our RV segment is delivering strong gains from the year-ago period. Coachmen's recreational vehicle wholesale shipments through June are up 17.5%, compared to a 14.6% growth rate for the entire industry. Primarily as a result of the decreased demand for commercial structures in the telecommunications industry, the results of our Modular Housing and Building group continue to be down from year-ago levels. However, incoming orders for housing and non-telecom structures started strengthening during the second quarter, giving us some reasonable optimism about the prospects for this segment, as well, during the second half of this year." THREE MONTHS ENDED YEAR TO DATE JUNE 30, JUNE 30, 2002 2001 2002 2001 ------------------ ------------------------ SALES Recreational Vehicle $ 111,382 $ 93,914 $ 220,903 $ 200,178 Modular Housing/Building 61,323 68,445 106,259 115,105 ------- ------ ------- ------- Total $ 172,705 $ 162,359 $ 327,162 $ 315,283 ========= ========= ========= ========= PRE-TAX INCOME/(LOSS) Recreational Vehicle $ 1,110 $ (1,998) $ 537 $ (7,509) Modular Housing/Building 3,970 5,723 3,458 6,198 Other 327 (1,478) 516 (4,234) ------- ------- ------ ------ Total $ 5,407 $ 2,247 $ 4,511 (5,545) ========= ======== ========= ====== RECREATIONAL VEHICLE SEGMENT The Company's Recreational Vehicle segment continues to benefit from the improving trend in both wholesale and retail purchases that began industry-wide during the fourth quarter of 2001 and is accelerating as 2002 progresses. Coachmen is experiencing even higher levels of demand for its broad line of recreational vehicles as a result of the extensive redesign and brand strategy changes made during 2001. Based on industry reports, Coachmen once again is the top-selling brand of combined travel trailers/fifth wheels during the first five months of 2002. Coachmen's daily production rate for all of its brands in units continues to increase on a sequential basis and was up 21% versus the second quarter a year ago. In June, production hit its highest level of the year thus far, up 71% from the year-ago period. Coachmen began shipping Class A and Class C products from its recently reopened motor home facility in June, and plans to continue to increase production at all of its Coachmen plants during the third quarter. Dealer response to Coachmen's 2003 product line has been overwhelmingly positive. The Company held its annual dealer seminar last week in Orlando showcasing its 2003 product line, which resulted in a substantial number of new orders from dealers. - MORE - 7 Coachmen Industries, Inc. Reports Second Quarter Results Page 3 July 29, 2002 - -------------------------------------------------------------------------------- MODULAR HOUSING AND BUILDING SEGMENT The Company's Modular Housing and Building segment reported lower sales but remained profitable in the second quarter. Lower demand for commercial modular structures used in the telecom industry continues to impact the overall performance of this segment. However, during the second quarter, residential modular home production and shipments increased. Late in the quarter, the Company introduced its new line of log homes under the AmerilogTM brand, which will open a whole new market of growth opportunities for the Company. Coachmen continues to expect an improvement in the results for this business segment during the remainder of the year. Backlogs began increasing during the last two months of the second quarter, and the demand from builders and consumers for the Company's modular homes is continuing to improve thus far in the third quarter. BALANCE SHEET/CASH FLOW As of June 30, 2002, the Company had cash and marketable securities of $63.9 million and shareholders' equity of $211.8 million. Cash flow was $24.3 million for first six months. Capital expenditures totaled $1.2 million for the second quarter. Joseph P. Tomczak, Executive Vice President and Chief Financial Officer, said, "We are pleased with our improved performance during the second quarter and are encouraged by the trends for our overall business. Most importantly, we have returned to profitability. Our gross margins and cash flow are increasing, operating expenses are below 2001 levels, and our balance sheet remains strong. As our industry position continues to improve, we are well poised to improve our performance throughout the remainder of this year and into 2003." OUTLOOK Chairman Skinner said, "Our second quarter results were consistent with our expectations of generating positive year-to-year earnings comparisons for the remainder of the year. We continue to anticipate reporting earnings of approximately $0.75 per share for the full year. Reaching that level of earnings is another solid step toward our ultimate goal of achieving a full recovery in margins and our historical levels of profitability." Founded in 1964, Coachmen Industries, Inc. is one of the nation's leading manufacturers of recreational vehicles with well-known brand names including Coachmen(R), Georgie Boy(R), Shasta(R) and Viking(R). Coachmen Industries is also the largest modular home producer in the nation with its All American Homes(R) and Mod-U-Kraf(R) subsidiaries. Modular commercial and telecommunications structures are manufactured by the Company's Miller Building Systems subsidiary. Coachmen is a publicly held company with stock listed on the New York Stock Exchange (NYSE) under the COA ticker symbol. - MORE - 8 Coachmen Industries, Inc. Reports Second Quarter Results Page 4 July 29, 2002 - -------------------------------------------------------------------------------- THIS RELEASE CONTAINS FORWARD-LOOKING STATEMENTS WITHIN THE MEANING OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995. INVESTORS ARE CAUTIONED NOT TO PLACE UNDUE RELIANCE ON FORWARD-LOOKING STATEMENTS, WHICH ARE INHERENTLY UNCERTAIN. ACTUAL RESULTS MAY DIFFER MATERIALLY FROM THAT PROJECTED OR SUGGESTED DUE TO CERTAIN RISKS AND UNCERTAINTIES INCLUDING, BUT NOT LIMITED TO THE POTENTIAL FLUCTUATIONS IN THE COMPANY'S OPERATING RESULTS, THE CONDITION OF THE TELECOMMUNICATIONS INDUSTRY WHICH PURCHASES MODULAR STRUCTURES, THE AVAILABILITY AND THE PRICE OF GASOLINE, THE COMPANY'S DEPENDENCE ON CHASSIS SUPPLIERS, INTEREST RATES, COMPETITION, GOVERNMENT REGULATIONS, LEGISLATION GOVERNING THE RELATIONSHIPS OF THE COMPANY WITH ITS RECREATIONAL VEHICLE DEALERS, THE IMPACT OF CONSUMER CONFIDENCE AND ECONOMIC UNCERTAINTY ON HIGH-COST DISCRETIONARY PRODUCT PURCHASES AND OTHER RISKS IDENTIFIED IN THE COMPANY'S SEC FILINGS. For more information: Joseph P.Tomczak Executive Vice President and Chief Financial Officer 574-262-0123 - MORE - 9 Coachmen Industries, Inc. Reports Second Quarter Results Page 5 July 29, 2002 - -------------------------------------------------------------------------------- COACHMEN INDUSTRIES, INC. CONSOLIDATED STATEMENTS OF OPERATIONS (IN THOUSANDS, EXCEPT PER SHARE DATA) (UNAUDITED) THREE MONTHS ENDED YEAR TO DATE JUNE 30, JUNE 30, 2002 2001 2002 2001 ------- ------- ------- ------ NET SALES $ 172,705 $ 162,359 $ 327,162 $ 315,283 GROSS PROFIT - $ 28,422 28,059 48,402 44,181 GROSS PROFIT - % 16.5% 17.3% 14.8% 14.0% GS&A - $ 23,507 24,580 44,898 48,129 GS&A - % 13.6% 15.1% 13.7% 15.3% Operating Income/(Loss) - $ 4,915 3,479 3,504 (3,948) Operating Income/(Loss) - % 2.8% 2.1% 1.1% (1.3)% Other (Income)/Expense (492) 1,232 (1,007) 1,597 Pre-Tax Profit/(Loss) - $ 5,407 2,247 4,511 (5,545) Pre-Tax Profit/(Loss) - % 3.1% 1.4% 1.4% (1.8)% Tax Expense/(Benefit) 1,844 823 1,538 (2,029) Net Income/(Loss) 3,563 1,424 2,973 (3,516) Earning/(Loss) per share - Basic & Diluted 0.22 0.09 0.18 (0.22) Weighted Average Shares Outstanding Basic 16,112 15,778 16,065 15,773 Diluted 16,228 15,855 16,188 15,773 - MORE - 10 Coachmen Industries, Inc. Reports Second Quarter Results Page 6 July 29, 2002 - -------------------------------------------------------------------------------- COACHMEN INDUSTRIES, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (IN THOUSANDS) (UNAUDITED) ASSETS 6/30/02 12/31/01 - ------ ------- -------- Current Assets - -------------- Cash and temporary cash investments $ 52,699 $ 28,416 Marketable securities 11,181 12,180 Accounts receivable 33,953 23,756 Inventories 77,155 80,477 Prepaid expenses and other 7,893 9,059 Deferred income taxes 7,115 7,319 ----- ----- Total Current Assets 189,996 161,207 Property & equipment, net 77,486 80,233 Goodwill and other, net 18,954 18,954 Other 24,403 28,166 ------ ------ Total Assets $ 310,839 $ 288,560 ========= ========= LIABILITIES AND SHAREHOLDERS' EQUITY 6/30/02 12/31/01 - ------------------------------------ ------- -------- Current Liabilities - ------------------- Current portion of long-term debt $ 914 $ 917 Accounts payable, trade 33,153 18,944 Accrued income taxes 2,194 494 Other accruals 41,213 38,846 ------ ------ Total Current Liabilities 77,474 59,201 Long-term debt 10,777 11,001 Deferred income taxes 2,158 1,257 Other 8,636 8,461 ----- ----- Total liabilities 99,045 79,920 Shareholder's Equity 211,794 208,640 ------- ------- Total Liabilities and Shareholders' Equity $ 310,839 $ 288,560 ========= ========= - MORE - 11 Coachmen Industries, Inc. Reports Second Quarter Results Page 7 July 29, 2002 - -------------------------------------------------------------------------------- COACHMEN INDUSTRIES, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (IN THOUSANDS) (UNAUDITED) SIX MONTHS ENDED JUNE 30, 2002 2001 ---- ---- CASH FLOW FROM OPERATIONS $ 20,756 $ 27,568 CASH FLOW FROM/(USED IN) ACQUISITION & INVESTING ACTIVITIES 4,585 (4,269) Net Borrowings (227) 239 Issuance/Purchase of Stock 777 525 Dividends (1,608) (1,579) ------ ------ CASH FLOW FROM/(USED IN) FINANCING ACTIVITIES (1,058) (815) INCREASE IN CASH AND TEMPORARY CASH INVESTMENTS 24,283 22,484 Beginning of Period Cash and Temporary Cash Investments 28,416 2,614 ------ ----- ENDING CASH AND TEMPORARY CASH INVESTMENTS $ 52,699 $ 25,098 ======== ======== - END - -----END PRIVACY-ENHANCED MESSAGE-----