New York
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001-11398
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11-2520310
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(State or Other Jurisdiction
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(Commission
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(IRS Employer
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of Incorporation)
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File Number)
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Identification No.)
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60 Heartland Boulevard, Edgewood, New York
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11717
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(Address of Principal Executive Offices)
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(Zip Code)
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o |
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
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o
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Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
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o
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Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
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o
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Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e 4(c))
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Item 2.02.
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Results of Operations and Financial Condition.
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Item 9.01.
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Financial Statement and Exhibits.
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(d) Exhibits:
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Exhibit
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Description
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99.1
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Press Release dated August 9, 2011, reporting the Registrant’s financial results for its quarter ended June 30, 2011.
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Dated: August 9, 2011
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CPI AEROSTRUCTURES, INC
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By:
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/s/ Vincent Palazzolo
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Vincent Palazzolo
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Chief Financial Officer
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Exhibit
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Description
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99.1
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Press release dated August 9, 2011, reporting the Registrant’s financial results for its quarter ended June 30, 2011.
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CPI AEROSTRUCTURES ANNOUNCES RECORD 2011 SECOND QUARTER RESULTS
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·
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Revenue increased 38.9% to $17,426,223 from $12,544,625;
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·
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Gross margin was 24.4% compared to 26.7%;
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·
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Pre-tax income increased 14.7% to $2,094,816 compared to $1,826,254; and,
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·
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Net income increased 30.3% to $1,570,816 or $0.22 per diluted share, compared to $1,205,254, or $0.18 per diluted share.
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·
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Revenue increased 42.0% to $33,435,831 from $23,550,154;
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·
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Gross margin was 24.2% compared to 25.9%;
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·
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Pre-tax income increased 31.2% to $4,106,865 compared to $3,130,068;
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·
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Net income increased 42.2% to $2,938,865 or $0.41 per diluted share compared to $2,066,068 or $0.32 per diluted share; and,
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·
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Unawarded solicitations remain at a high level with open solicitations totaling a maximum realizable value of approximately $446 million.
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·
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The exercise of options, by Northrop Grumman Corporation under a previously awarded purchase order for Outer Wing Panel Kits for the E-2D Hawkeye and the C-2A Greyhound aircraft. The new orders, valued at $11.2 million, increased the firm, funded requirements under this program to approximately $35.9 million.
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·
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An $8.3 million award from Spirit AeroSystems for work on wing leading edge assemblies for the Gulfstream G650 aircraft.
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·
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A $2.85 million award to provide structural assemblies to Sikorsky Aircraft for use as spares for its BLACK HAWK military helicopter.
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·
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In May, we amended our credit agreement with Sovereign Bank from an aggregate of $4,000,000 to an aggregate of $10,000,000 and extended the term to August 2014.
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·
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Additionally, we are gearing up for a move to a 171,000 square feet facility which is nearly three times larger than our current facility.
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·
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We have also increased employee count to enable us to meet customer delivery schedules.”
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Vincent Palazzolo
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Investor Relations Counsel:
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Chief Financial Officer
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The Equity Group Inc.
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CPI Aero
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Lena Cati (212) 836-9611
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(631) 586-5200
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Linda Latman (212) 836-9609
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www.cpiaero.com
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www.theequitygroup.com
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For the Three Months Ended June 30,
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For the Six Months Ended June 30,
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||||
2011
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2010
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2011
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2010
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||
(Unaudited)
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(Unaudited)
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Revenue
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$ | 17,426,223 | $ | 12,544,625 | $ | 33,435,831 | $ | 23,550,154 | ||||||||
Cost of Sales
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13,181,422 | 9,193,296 | 25,340,926 | 17,449,743 | ||||||||||||
Gross profit
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4,244,801 | 3,351,329 | 8,094,905 | 6,100,411 | ||||||||||||
Selling, general and administrative expenses
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2,082,464 | 1,484,741 | 3,882,887 | 2,870,368 | ||||||||||||
Income from operations
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2,162,337 | 1,866,588 | 4,212,018 | 3,230,043 | ||||||||||||
Interest expense
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67,521 | 40,334 | 105,153 | 99,975 | ||||||||||||
Income before provision for income taxes
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2,094,816 | 1,826,254 | 4,106,865 | 3,130,068 | ||||||||||||
Provision for income taxes
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524,000 | 621,000 | 1,168,000 | 1,064,000 | ||||||||||||
Net income
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$ | 1,570,816 | $ | 1,205,254 | $ | 2,938,865 | 2,066,068 | |||||||||
Earnings per common share – basic
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$ | 0.23 | $ | 0.18 | $ | 0.43 | $ | 0.33 | ||||||||
Earnings per common share – diluted
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$ | 0.22 | $ | 0.18 | $ | 0.41 | $ | 0.32 | ||||||||
Shares used in computing earnings per common share:
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||||||||||||||||
Basic
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6,847,357 | 6,558,316 | 6,821,437 | 6,299,284 | ||||||||||||
Diluted
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7,148,591 | 6,790,911 | 7,124,603 | 6,465,290 |
June 30, 2011
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December 31, 2010
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|||||||
ASSETS
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||||||||
Current Assets:
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||||||||
Cash
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$ | 669,725 | $ | 823,376 | ||||
Accounts receivable, net
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4,445,461 | 6,152,544 | ||||||
Costs and estimated earnings in excess of billings on uncompleted contracts
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60,881,222 | 47,165,166 | ||||||
Prepaid expenses and other current assets
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619,029 | 606,369 | ||||||
Total current assets
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66,615,437 | 54,747,455 | ||||||
Property and equipment, net
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1,275,851 | 881,915 | ||||||
Deferred income taxes
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941,000 | 668,000 | ||||||
Other assets
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29,313 | 159,817 | ||||||
Total Assets
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$ | 68,861,601 | $ | 56,457,187 | ||||
LIABILITIES AND SHAREHOLDERS’ EQUITY
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||||||||
Current Liabilities:
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||||||||
Accounts payable
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$ | 8,308,744 | $ | 8,267,330 | ||||
Accrued expenses
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259,989 | 301,941 | ||||||
Current portion of long-term debt
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819,416 | 685,008 | ||||||
Line of credit
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7,800,000 | 800,000 | ||||||
Deferred income taxes
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1,023,006 | 182,000 | ||||||
Income taxes payable
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182,000 | 134,006 | ||||||
Total current liabilities
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18,393,155 | 10,370,285 | ||||||
Long-term debt, net of current portion
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1,009,537 | 1,190,097 | ||||||
Other liabilities
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206,157 | 226,362 | ||||||
Total Liabilities
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19,608,849 | 11,786,744 | ||||||
Commitments
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||||||||
Shareholders’ Equity
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||||||||
Common stock - $.001 par value; authorized 50,000,000 shares,
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||||||||
issued 7,048,570 and 6,911,570 shares, respectively, and
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||||||||
outstanding 6,915,313 and 6,789,736 shares, respectively
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7,049 | 6,912 | ||||||
Additional paid-in capital
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35,063,276 | 33,272,237 | ||||||
Retained earnings
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15,356,789 | 12,417,924 | ||||||
Accumulated other comprehensive loss
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(34,136 | ) | (45,404 | ) | ||||
Treasury stock, 133,257 and 121,834 shares, respectively (at cost)
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(1,140,226 | ) | (981,226 | ) | ||||
Total Shareholders’ Equity
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49,252,752 | 44,670,443 | ||||||
Total Liabilities and Shareholders’ Equity
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$ | 68,861,601 | $ | 56,457,187 |