8-K

                               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 October 16, 2006

                   ART'S-WAY MANUFACTURING CO., INC.
        (Exact Name of Registrant As Specified In Its Charter)

       Delaware                      0-05131            42-0920725
(State Or Other Jurisdiction of    (Commission         (IRS Employer
Incorporation or Organization)      File No.)         Identification
                                                        Number)

                              P.O. Box 288
                           Armstrong, IA 50514
            (Address of Principal Executive Offices) (Zip Code)

                            (712) 864-3131
                          (Telephone Number)

                            Not Applicable
      (Former name or former address, if changed since last report.)

Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any
of the following provisions:

[ ]Written communications pursuant to Rule 425 under the Securities Act
   (17 CFR 230.425)

[ ]Soliciting material pursuant to Rule 14a-12 under the Exchange Act
   (17 CFR 240.14a-12)

[ ]Pre-commencement communications pursuant to Rule 14d-2(b) under the
   Exchange Act (17 CFR 240.14d-2(b))

[ ]Pre-commencement communications pursuant to Rule 13e-4(c) under the
   Exchange Act (17 CFR 240.13e-4(c))

ITEM 2.02   Results of Operations and Financial Condition

Art's-Way Manufacturing Co., Inc (the "Company") issued a press release on
October 16, 2006 with earnings information on the Compnay's quarter ended
August 31, 2006.  The press release is furnished with this Form 8-K as
Exhibit 99.1.

Item 9.01   Financial Statements and Exhibits

Exhibit 99.1 Press Release, dated August 31, 2006, issued by the Company.

The information contained in this Currrent Report under Item 2.02,
including the exhibit referenced in Item 9.01, is being "furnished" pursuant
to "Item 2.02 Results of Operations and Fiancial Condition" of Form 8-K and,
as such, shall not be deemed to be "filed" for the purposes of Section 18 of
the Securities and Exchange Act of 1934, as amended, or otherwise subject to
the liabilities of the Section.  The information in Item 2.02 of this Current
Report shall not be incorporated by reference into any registration statement
or other document pursuant to the Securities Act of 1933, as amended, except
as shall be expressly set forth by specific reference in such filing.


                                SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, as
amended, the registrant has duly caused this reprot to be signed on its behalf
by the undersigned hereunto duly authorized.

			                     Art's-Way Manufacturing Co., Inc.
Date: October 16, 2006
					     By:____________________
                                                Carrie L. Majeski
                                                Chief Financial Officer

EX-99

                               Exhibit 99.1

NASDAQ:ARTW CONTACT: Carrie Majeski (712) 864-3131

ART'S-WAY THIRD QUARTER AND 9 MONTH RESULTS

ARMSTRONG, IOWA - Art's-Way Manufacturing Co., Inc., today (October 16,
2006) released the following results for the third fiscal quarter and
nine months ended August 31, 2006.

Highlights:
	    "   Year to date sales were 25% ahead of the same period in
                2005.
            "	As of August 31, 2006 order backlog increased to $4,210,000
                compared to $2,629,000 a year ago, Art's-Way Vessels, Inc.
                attributed $1,894,000 of the overall increase and Art's-Way
                Scientific, Inc. attributed $1,336,000 of the overall increase.

    (all figures in thousands of dollars except per share amounts)

                                              Quarter Ended
                                      August 31, 2006	August 31, 2005

Net Sales . . . . . . . . . . .	            $ 6,056         $ 4,190
Gross Profit  . . . . . . . . .               1,400           1,069
Income from Operations . . . .                  416             454
Interest and Other Expense. . .                  82	         62
Income before Income Taxes . .                  334             392
Income Tax Expense . . . . . .                  154             133
Net Income . . . . . . . . . .                  180             259
Basic Income Per Share (a). . .             $	.09         $	.13
Diluted Income Per Share (b) .                  .09             .13

                                              Nine Months Ended
                                      August 31, 2006   August 31, 2005

Net Sales . . . . . . . . . .               $14,470	    $11,582
Gross Profit . . . . . . . .                  4,065           3,346
Income from Operations . . .                  1,217           1,308
Interest and Other Expense .                    223             147
Income before Income Taxes .                    994           1,160
Income Tax Expense . . . . .                    388             409
Net Income . . . . . . . . .                    606             751
Basic Income Per Share (a) .                $	.31         $   .39
Diluted Income Per Share (b).                   .31             .38

(a)   Basic income per share based on the weighted average number of
shares outstanding 1,973,176 and 1,958,611 for the quarter; and
1,970,037 and 1,947,009 for the nine months ended August 2006 and 2005,
respectively.
(b)   Diluted income per share based on the weighted average number of
shares outstanding 1,979,701 and 1,974,656 for the quarter; and
1,978,092 and 1,968,595 for the nine months ended August 2006 and 2005,
respectively.

The third quarter and year to date net sales were 45% and 25%
respectively, higher than for the comparable periods one year ago. In
addition to the sales from our two new subsidiaries, we experienced a
shift in sales in 2006. Art's Way Manufacturing's sales of grinder
mixers were spread more evenly in 2006 compared to 2005 when we shipped
a large amount of grinders in the first quarter.

Consolidated revenues increased $1,866,000 for the third quarter of 2006.
Art's-Way Manufacturing's revenues increased $614,000, Art's-Way Vessel's
(acquired in October of 2005) revenues increased $1,151,000, and
Art's-Way Scientific's (acquired in August of 2006) revenues increased
$101,000. Year to date revenues of $14,470,000 for 2006 represent an
increase of $2,888,000 over the same period in 2005. Sales increased by
$151,000 for Art's-Way Manufacturing, $2,636,000 for Art's-Way Vessels
and $101,000 for Art's-Way Scientific. Art's-Way Manufacturing's
consolidated gross profit of 28% year to date has remained stable
compared to the same period one year ago of 29%.

Art's-Way Manufacturing's gross profit is down from 29% to 26% year to date.
Quarterly gross profit is down 2.4%. This decline is due to a reduction
in sales of grinder mixers which have a slightly higher margin than some
of our other product offerings. Art's-Way Vessel's higher gross margin
offset Art's-Ways declining gross margin.

Consolidated operating expenses as a percent of sales increased by 1% for
the quarter ended August 2006. Year to date operating expenses increased
$810,000 compared to 2005 or by 2% of sales. Of this amount $667,000
relates directly to the addition of Art's-Way Vessels and $77,000 relates
directly to the addition of Art's-Way Scientific.

Art's-Way Manufacturing's consolidated engineering expenses were down
$74,000 for the first nine months of 2006 as compared to 2005. In 2005
we hired an outside engineering firm to aid in the development of an
exportable beet harvester.

Art's-Way Manufacturing's selling expenses were up for the first nine
months of 2006 by $86,000 over the same period one year ago. This
increase is mainly due to an increase in commission, advertising and
trade show expenses.

We experienced an increase in interest expense of $96,000 in the first
nine months of 2006 as a result of the rising prime interest rate over
the past 21 months and an additional borrowing of $1,500,000 during the
second quarter of fiscal 2006.

The order backlog at the end of September 2006 was $ 4,210,000 compared
to $2,629,000 one year ago. Art's-Way Manufacturing's order backlog as
of September 22, was $980,000 while Art's-Way Vessel's was $1,894,000
and Art's-Way Scientific's was $1,336,000.

In 2005 our backlog included approximately $1,850,000 in blower orders
for Art's-Way Manufacturing's OEM dealers. This year, CNH has extended
its order writing period to its dealers and has not submitted a firm
purchase order. We estimate Art's-Way Manufacturing's backlog will
increase by approximately $1,300,000 once we receive a firm purchase
orders. This estimate is based on preliminary forecasts by CNH and H&S
Manufacturing.

Gehl, one of our main competitors in the grinder mixer market, announced
in April, that it was ceasing operation of its agricultural product
lines. We feel that we are in an excellent position to capture some of
this market share and are optimistic that this will increase our grinder
mixer sales.

Art's-Way manufactures and distributes farm machinery niche products
including animal feed processing equipment, sugar beet and potato
harvesting equipment, edible bean equipment, land maintenance equipment,
finished mowing, crop shredding equipment and seed planting equipment.
Art's-Way also produces haylage machinery for several original equipment
manufacturers (OEM's). Starting in fiscal 2004, the Company is
manufacturing moldboard plows under its own label under a license
agreement with CNH. After market service parts are also an important
part of the Company's business. Our wholly owned subsidiary Art's-Way
Vessels Inc. manufactures pressurized tanks and vessels. Our wholly
owned subsidiary Art's-Way Scientific Inc. manufactures modular
buildings.

This news release includes "forward-looking statements" within the
meaning of the federal securities laws. Statements of anticipated future
results are based on current expectations and are subject to a number of
risks and uncertainties, including but not limited to, quarterly
fluctuations in results, customer demand for the Company's products,
domestic and international economic conditions, the management of growth
and other risks detailed from time to time in the Company's Securities
and Exchange Commission filings. Actual results may differ markedly from
management's expectations. The Company cautions readers not to place
undue reliance upon any such forward-looking statements.