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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91 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) |
o | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
o | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b) |
o | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c) |
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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Corrected Press Release dated August 8, 2013, reporting the Registrant’s financial results for its quarter ended June 30, 2013.
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Dated: August 9, 2013
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CPI AEROSTRUCTURES, INC
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By: | /s/Vincent Palazzolo |
Vincent Palazzolo | |
Cheif Financial Officer |
Exhibit
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Description
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99.1
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Corrected Press Release dated August 8, 2013, reporting the Registrant’s financial results for its quarter ended June 30, 2013.
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CPI AEROSTRUCTURES ANNOUNCES 2013 SECOND QUARTER RESULTS
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•
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Revenue was $21,110,452 compared to $20,854,627;
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•
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Gross margin was 20.1% compared to 27.7%;
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•
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Pre-tax income was $2,584,276 compared to $4,024,019; and,
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•
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Net income was $1,784,276 or $0.21 per diluted share, compared to $2,696,019 or $0.36 per diluted share.
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•
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Revenue was $41,037,885 compared to $40,575,722;
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•
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Gross margin was 21.1% compared to 26.5%;
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•
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Pre-tax income was to $5,005,551 compared to $6,734,338; and,
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•
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Net income was $3,455,551or $0.41 per diluted share compared to $4,615,338 or $0.63 per diluted share.
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-
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Revenue generated from government subcontracts increased by 9.2% to approximately $27.6 million, due to $5 million higher revenue from the A-10 program, $2 million higher revenue from our program with UTC Aerospace, offset by a $6 million decrease from the E-2D program.
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-
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Revenue generated from commercial subcontracts increased by 12% to approximately $13.1 million, primarily due to increased production rates on the G650 program.
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-
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As anticipated, revenue generated from prime government contracts substantially decreased to approximately $0.3 million, as we have transitioned away from being a government prime contractor.”
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-
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The adjustment for the Spirit program is the result of price reductions given as part of the agreement to increase the program value and extend its life until 2019.
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-
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The Northrop Grumman adjustment is a reserve against anticipated price reductions that may be necessary upon completion of a government price analysis.
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-
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Boeing adjustment is due to negotiations for engineering changes.
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-
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The adjustment for the C-5 TOP program was the result of excess time and work required on wing tip panels.
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·
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Revenue and earnings to be lower than 2012 and more similar to those of 2011.
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·
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Commercial programs to generate a larger percentage of our overall revenue as compared to 2012.
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·
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Product shipments to be greater than in 2012, or any other year, as many of our programs have transitioned from development to production.
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·
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Increased shipments, combined with less spending for startup costs associated with new contracts and a decline in non-recurring expenses on our maturing programs, to result in positive cash flow from operations of approximately $3 million.”
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Contact:
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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
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(631) 586-5200
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(212) 836-9611
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www.cpiaero.com
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www.theequitygroup.com
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For the Three Months Ended
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For the Six Months Ended
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|||
June 30,
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June 30,
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|||
2013
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2012
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2013
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2012
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(Unaudited)
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(Unaudited)
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|||
Revenue
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$21,110,452
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$20,854,627
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$41,037,885
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$40,575,722
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Cost of sales
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16,874,205
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15,085,983
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32,361,068
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29,842,692
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|
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Gross profit
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4,236,247
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5,768,644
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8,676,817
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10,733,030
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Selling, general and administrative expenses
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1,496,272
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1,570,231
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3,374,195
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3,675,112
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|
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Income from operations
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2,739,975
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4,198,413
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5,302,622
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7,057,918
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Interest expense
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155,699
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174,394
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297,071
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323,580
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|
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Income before provision for income taxes
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2,584,276
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4,024,019
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5,005,551
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6,734,338
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Provision for income taxes
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800,000
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1,328,000
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1,550,000
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2,119,000
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|
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Net income
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1,784,276
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2,696,019
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3,455,551
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4,615,338
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Other comprehensive income (loss), net of tax
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||||
Change in unrealized gain (loss)- interest rate swap
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13,679
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(7,058)
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17,390
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(32,336)
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|
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Comprehensive income
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$1,797,955
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$2,688,961
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$3,472,941
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$4,583,002
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Income per common share – basic
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$0.21
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$0.37
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$0.41
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$0.65
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Income per common share – diluted
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$0.21
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$0.36
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$0.41
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$0.63
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Shares used in computing income per common share:
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||||
Basic
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8,391,954
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7,222,554
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8,384,844
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7,087,732
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Diluted
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8,456,156
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7,414,273
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8,452,064
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7,280,294
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June 30,
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December 31,
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2013
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2012
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(Unaudited)
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(Audited)
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|
ASSETS
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||
Current Assets:
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Cash
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$447,377
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$2,709,803
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Accounts receivable, net
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11,218,297
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6,774,346
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Costs and estimated earnings in excess of billings on uncompleted
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||
Contracts
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111,303,474
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108,909,844
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Deferred income taxes
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526,000
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534,000
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Prepaid expenses and other current assets
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567,970
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426,063
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Total current assets
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124,063,118
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119,354,056
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Plant and equipment, net
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3,116,922
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2,907,476
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Deferred income taxes
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1,002,000
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1,001,000
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Other assets
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108,080
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1,620,984
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Total Assets
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$128,290,120
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$124,883,516
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LIABILITIES AND SHAREHOLDERS’ EQUITY
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||
Current Liabilities:
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Accounts payable
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$7,444,132
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$13,286,558
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Accrued expenses
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291,457
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943,356
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Billings in excess of costs and estimated earnings on uncompleted contracts
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420,561
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656,853
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Current portion of long-term debt
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1,069,710
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1,100,564
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Line of credit
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29,950,000
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23,450,000
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Income tax payable
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354,530
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106,000
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Deferred income taxes
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100,000
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102,000
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Total current liabilities
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39,630,390
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39,645,331
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Long-term debt, net of current portion
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2,684,135
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3,209,873
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Deferred income taxes
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852,000
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867,000
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Other liabilities
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569,417
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567,113
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Total Liabilities
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43,735,942
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44,289,317
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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 8,391,954 and 8,371,439 shares, respectively, and
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||
outstanding 8,391,954 and 8,371,439 shares, respectively
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8,392
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8,371
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Additional paid-in capital
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50,267,690
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49,780,673
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Retained earnings
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34,301,533
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30,845,982
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Accumulated other comprehensive loss
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(23,437)
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(40,827)
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Total Shareholders’ Equity
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84,554,178
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80,594,199
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Total Liabilities and Shareholders’ Equity
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$128,290,120
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$124,883,516
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