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ART’S WAY MANUFACTURING ANNOUNCES ITS FISCAL YEAR 2010 ANNUAL SHAREHOLDER MEETING

PRESS RELEASE April 21, 2011
FOR IMMEDIATE RELEASE

 

ARMSTRONG, IOWA, April 21, 2011 – Art’s Way Manufacturing Co., Inc., (NASDAQ:ARTW) a leading manufacturer and distributor of farm machinery in the United States and internationally, announces it will hold its fiscal year 2010 Annual Shareholder Meeting on Thursday, April 28, 2011. Registration starts are 9:45AM and the meeting begins at 10:00 AM Central Time. The meeting will be held at Art’s Way Manufacturing headquarters located at 5556 Highway 9, Armstrong, Iowa. The Company will present its financial results and business highlights for fiscal year 2010 and will outline the Company’s outlook for 2011 and beyond.

 

J. Ward McConnell Jr., Executive Chairman of the Board of Directors said “We welcome all shareholders to attend the annual meeting to review with us our fiscal year 2010 financial results, discuss our long term growth plans and business development strategies, and tour our ever improving manufacturing facility.”

 

About Art’s Way Manufacturing, Inc.

 

Art’s Way manufactures and distributes farm machinery niche products including animal feed processing equipment, sugar beet defoliators and harvesters, land maintenance equipment, crop shredding equipment, round hay balers, plows, hay and forage equipment, manure spreaders and top and bottom drive augers. After-market service parts are also an important part of the Company’s business. The Company has two wholly owned subsidiaries. Art’s Way Vessels, Inc. manufactures pressurized tanks and vessels; Art’s Way Scientific, Inc. manufactures modular animal confinement buildings and modular laboratories.

 

For More Information, Contact: Jim Drewitz, Investor Relations

 

830-669-2466 jim@jdcreativeoptions.com

 

Or visit the Company’s website at www.artsway-mfg.com

 

Safe Harbor Statement

 

Some of the statements contained in this news release that are not purely historical statements discuss future expectations or state other forward-looking information related to financial results and business outlook for 2011. Those statements are subject to known and unknown risks, uncertainties and other factors that could cause the actual results to differ materially from those contemplated by the statements. The “forward-looking” information is based on management’s current intent, belief, expectations, estimates and projections regarding our company and our industry. You should be aware that those statements only reflect our predictions. Actual events or results may differ substantially. Important factors that could cause our actual results to be materially different from the forward-looking statements are disclosed under the heading “Forward Looking Statements” in our annual report on Form 10-K for the year ended November 30, 2010 and our quarterly report on Form 10-Q for the quarter ended February 28, 2011. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. The forward-looking statements in this release are made only as of the date hereof and we undertake no obligation to update publicly any forward-looking statement for any reason, even if new information becomes available or other events occur in the future.

 

-END-

 

Art’s Way Manufacturing Announces First Quarter Results


Conference Call Scheduled For April 14th, 2011 At 10:00 AM Central Time

 

ARMSTRONG, Iowa, April 12, 2011 /PRNewswire/ — Art’s Way Manufacturing Co., Inc. (NASDAQ: ARTW), a leading manufacturer and distributor of agricultural machinery, equipment and services today announced its first quarter financial results for the three months ended February 28, 2011.

 

In conjunction with the release, the Company has scheduled a conference call for April 14th, 2011 at 10:00 AM Central Time. J. Ward McConnell, Jr., Executive Chairman of the Board of Directors of Art’s Way Manufacturing will be leading the call and discussing first quarter financial results, the status of the Company and an outlook for the balance of 2011.

 

What: Art’s Way Manufacturing First Quarter Financial Results

 

When: April 14th, 2011 10:00 AM Central Time.

 

How: Live via phone by dialing (800) 624-7038. Code: Art’s Way Manufacturing. Participants to the conference call should call in at least 5 minutes prior to the start time.

 

Historical selected financial data related to all operations:

 

&nbsp For the Three Months Ended
&nbsp February 28, 2011 February 28, 2010
Revenue $ 4,664,000 $ 5,580,000
Operating Income $ (659,000) $ 123,000
Net Income (Loss) $ (485,000) $ 34,000
EPS (Basic) $ (0.12) $ 0.01
EPS (Diluted) $ (0.12) $ 0.01
Weighted avg. shares outstanding: &nbsp &nbsp &nbsp &nbsp
Basic &nbsp 4,010,068 &nbsp 3,990,352
Diluted &nbsp 4,010,068 &nbsp 3,991,900

 

Revenue: Total revenue decreased 16% from $5.58 million for the first fiscal quarter of 2010 to $4.66 million for the three months ended February 28, 2011. Art’s Way Manufacturing Co., Inc. and Art’s Way Vessels, Inc. increased their three-month revenue by 2% and 114% respectively. These increases were offset by a 74% decrease in revenue for Art’s Way Scientific Co., Inc. during this same time period.

 

Income: We incurred an operating loss of $659,000 for the first fiscal quarter of 2011, compared to operating income of $123,000 for the same period in 2010. Net loss for the first fiscal quarter of 2011 was $485,000 compared to net income of $34,000 for the same period in 2010.

 

Consolidated gross profit margin for the first fiscal quarter of 2011 was 10%, compared to 24% for the same period one year ago. Each of our segments saw a decrease in gross profit margin, except Art’s Way Vessels, Inc., when compared to the same period in 2010.

 

The gross profit margin of Art’s Way Manufacturing decreased from 29% in the first fiscal quarter of 2010 to 17% in the three-month period ending February 28, 2011. This decrease in gross margin for the quarter was primarily due to the expenses associated with preparing our West Union, Iowa facility for production and the carrying cost of the facility. We currently have two production lines established and are working to increase the efficiency of those lines and train the new employees at this facility. We are also in the planning stages of transferring two additional lines.

 

The gross profit margin of Art’s Way Vessels increased from -35% in the first fiscal quarter of 2010 to -19% in the three-month period ending February 28, 2011. We hired a Production Manager on February 17, 2011. We expect this hire to result in more efficient production and improved cost control, which we believe will lead to higher gross margins at Art’s Way Vessels. In addition, we believe it will allow our General Manager to focus on sales opportunities.

 

The gross profit margin of Art’s Way Scientific decreased from 24% in the first fiscal quarter of 2010 to -3% in the three-month period ending February 28, 2011. This decrease in gross profit margin, resulted from sluggish and erratic sales, which we believe was due to general economic conditions.

 

Earnings per Share: We incurred a loss per basic share of $-0.12 for the three months ended February 28, 2011 as compared to earnings per basic share of $0.01 for the three months ended February 28, 2010.

 

J. Ward McConnell Jr., Executive Chairman of the Board of Directors said, “It is important to note that both Art’s Way Manufacturing and Art’s Way Vessels had increases to sales in the first quarter. Art’s Way Scientific – Buildings for Science – had a decrease of $1,276,000. Scientific has been experiencing longer than expected approval processes as a result of the economic downturn and the lack of government stimulus funding. Many of Scientific’s customers are government entities and universities. These organizations are struggling not only with funding, but many are facing budget cuts. On the positive side, we continue to have exceptional interest in our modular laboratories, and, as a result of the lack of funding, customers are turning to Scientific for leasing alternatives. We currently have three laboratories leased and are building more for the express purpose of leasing. We believe this will allow us to generate revenue from the lease and sell the facility when funding becomes available or re-lease for another project. Scientific’s lease and contract manufacturing backlog is climbing slowly and we are confident we are the ‘supplier of choice’ and can grow this segment by both leasing and sole-source manufacturing.

 

“As for Art’s Way Vessels, I am pleased to report we have hired Mr. Larry Cornell as Production Manager in charge of production and plant efficiency. Pat O’Neill, General Manager, will lead our sales team. Mr. Cornell, a 30-year manufacturing veteran, brings an extensive background in welding shops, project and manufacturing management. He has a track record of success and is a proven leader who is committed to the company’s mission of providing customers with pressure vessels that are built with consistent quality, delivered in a timely manner and priced competitively. He will be a great asset as we move forward with building a stronger Vessels division.”

 

“The biggest setback this quarter was our gross margins at Art’s Way Manufacturing, but this was expected and hopefully is a temporary occurrence. The decrease in gross margin for the quarter is primarily due to increased start up costs in West Union. In 2010, we purchased 29 acres, 190,000 square foot manufacturing/office facility in West Union, Iowa. We have moved a significant amount of inventory to this location and are in the process of preparing the building for additional production. Many of our costs have gone up for this new facility while we have not yet realized the increase in production for the facility. We currently have two production lines set up and are working to increase the efficiency of those lines and train new employees. This is an outstanding facility. We expect to realize its benefits in the future and long term, as we believe it will allow us to gain valuable production space, increase production and will allow us to accommodate future acquisitions.”

 

We believe the long-term market opportunity is exceptional for our Company and we are optimistic about the remainder of the year.

 

About Art’s Way Manufacturing Co., Inc.

 

Art’s Way manufactures and distributes farm machinery niche products including animal feed processing equipment, sugar beet defoliators and harvesters, land maintenance equipment, crop shredding equipment, plows, hay and forage equipment, manure spreaders and top and bottom drive augers. After-market service parts are also an important part of the Company’s business.

 

We have two wholly-owned subsidiaries. Art’s Way Vessels, Inc. manufactures pressurized tanks and vessels; Art’s Way Scientific, Inc. manufactures modular animal confinement buildings and modular laboratories.

 

For More Information, Contact: Jim Drewitz, Investor Relations

 

830-669-2466 jim@jdcreativeoptions.com

 

Or visit the Company’s website at www.artsway-mfg.com

 

This news release includes “forward-looking statements” within the meaning of the federal securities laws. Statements made in this release that are not strictly statements of historical facts, including: (i) our goal to increase production at our West Union, Iowa facility and transfer two additional lines to that facility, and the expected short and long term benefits of the West Union, Iowa Facility; (ii) the anticipated increase in demand for modular science laboratories; (iii) the anticipated benefits from hiring a Production Manager at Art’s Way Vessels; and (iv) our belief regarding the Company’s long-term market opportunity and performance during the remainder of the year, are forward-looking statements. 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 cost of raw materials, the management of growth, the availability of investment opportunities, and other factors 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.

 

ART’S WAY MANUFACTURING CO., INC. FIRST QUARTER EARNINGS CALL SCHEDULED FOR APRIL 14, 2011

 

FOR IMMEDIATE RELEASE NEWS
April 7,2011 NASDAQ: ARTW

 

Armstrong, Iowa – April 7, 2011 – Art’s Way Manufacturing Co., Inc. (NASDAQ: ARTW), a leading manufacturer and distributor of agricultural machinery, equipment and services, today announced that it will host a live conference call to review the financial results for its first fiscal quarter of 2011 at 10:00 a.m. Central Time on April 14, 2011. J. Ward McConnell Jr., Executive Chairman of the Art’s Way Board of Directors, will be leading the call. Participants should dial 800-624-7038 and reference Conference Code Art’s Way Manufacturing. Participants should call in at least 5 minutes prior to the start time.

 

Art’s Way expects to issue a press release containing summary financial information for the first quarter on April 12, 2011.

 

Following the conference call, a replay will be available on the Investor Relations page of the Art’s Way website. The replay will remain available for 12 months.

 

About Art’s Way Manufacturing Co., Inc.

 

Art’s Way manufactures and distributes farm machinery niche products including animal feed processing equipment, sugar beet defoliators and harvesters, land maintenance equipment, crop shredding equipment, round hay balers, plows, hay and forage equipment, manure spreaders and top and bottom drive augers. After-market service parts are also an important part of the Company’s business. The Company has two wholly owned subsidiaries. Art’s Way Vessels, Inc. manufactures pressurized tanks and vessels; Art’s Way Scientific, Inc. manufactures modular animal confinement buildings and modular laboratories.

 

For More Information, Contact: Jim Drewitz, Investor Relations

830-669-2466 jim@jdcreativeoptions.com

Or visit the Company’s website at www.artsway-mfg.com

 

ART’S WAY MANUFACTURING ANNOUNCES STRONG FINANCIAL RESULTS FOR THE FISCAL YEAR 2010

FOR IMMEDIATE RELEASE

Net Income For Fiscal Year 2010 Increases 38%

 

Conference Call Scheduled For Thursday, February 24, 2011
At 10:00 AM Eastern

 

ARMSTRONG, IOWA, February 22, 2011 – Art’s Way Manufacturing Co., Inc., (NASDAQ:ARTW) a leading manufacturer and distributor of farm machinery in the United States and internationally, announced its financial results for the fiscal year ended November 30, 2010. Additionally, the Company has scheduled a conference call Thursday, February 24, 2011 at 10:00 AM Eastern Time to discuss the results and other information material to the Company’s business.

 

What: Art’s Way Manufacturing Fiscal Year 2010 Financial Results Conference Call

 

When: Thursday, February 24, 2011 – 10:00 AM Eastern Time

 

How: Live via phone by dialing 800-624-7038. Code: Art’s Way Manufacturing. Participants to the conference call should call in at least 5 minutes prior to the start time.

 

J. Ward McConnell, Jr., Chairman of the Board of Art’s Way Manufacturing, will be leading the call and discussing fiscal year 2010 financial results, the current state of the Company’s operations and the long-term outlook for the balance of 2011.

 

Highlights:

 

    • Net income for fiscal year 2010 increases 38%

 

    • Revenue increased 10.1%, from $26.3 million in fiscal 2009 to $28.9 million fiscal year 2010

 

    • Earnings per diluted and basic share ended for fiscal 2010 were $0.26, an increase of $0.07 from 2009

 

    • As of February 10, 2011, consolidated order back log was approximately $14,845

 

&nbsp For the Fiscal Year Ended
November 30
&nbsp 2010 2009 Change
Revenue $ 28,951,378 $ 26,296,133 10.1%
Operating Income $ 1,895,028 $ 708,389 167.5%
Net Income $ 1,053,497 $ 762,250 38.2%
EPS (Basic) $ 0.26 $ 0.19 36.8%
EPS (Diluted) $ 0.26 $ 0.19 36.8%
Weighted avg. shares outstanding: &nbsp &nbsp &nbsp &nbsp
Basic &nbsp 3,993,337 &nbsp 3,988,478 &nbsp
Diluted &nbsp 4,011,754 &nbsp 3,990,357 &nbsp

Revenue: Total revenue increased 10.1%, from $26.3 million in fiscal 2009 to $29.0 million for the fiscal year ended November 30, 2010. The increase was mainly due to increased revenues from Art’s Way Scientific, which was heavily impacted by the economic conditions during fiscal year 2009.

 

Income: Operating income increased from $708,000 in fiscal 2009 to $1,895,000 for the fiscal year ended November 30, 2010, while net income for the fiscal year ended November 30, 2010 increased from $762,000 to $1,054,000. The increase was primarily attributable to the strong operating income in the Company’s agriculture segment.

 

Earnings per Share: Earnings per diluted and basic share ended November 30, 2010 were $0.26, an increase of $0.07 from 2009 earnings per diluted and basic share.

 

J. Ward McConnell Jr., Executive Chairman of the Board of Directors said “Art’s Way Manufacturing outstanding results in 2010 reflect strong execution of our strategy as we achieved annual revenue growth of 10% and income growth of 38%. Operationally, we successfully integrated our acquisitions, which contributed to recognizing revenue. Art’s Way Scientific – Buildings For Science – saw significant growth as companies and universities found alternative funding for their laboratories and scientific buildings when the government stimulus funds were not distributed or not distributed in an expeditious manner.

 

“Looking forward, the global agricultural sector is in turmoil which provide an outstanding opportunity for North American farmers. As the economy continues to shows signs of recovery, the North American agricultural sector is robust, our business fundamentals remain exceptionally strong and we believe the Company is well positioned to aggressively move forward into 2011 and beyond.

 

“I want to thank all of our dedicated and hard working employees and our loyal shareholders for their support.”

 

About Art’s Way Manufacturing, Inc.

 

Art’s Way manufactures and distributes farm machinery niche products including animal feed processing equipment, sugar beet defoliators and harvesters, land maintenance equipment, crop shredding equipment, round hay balers, plows, hay and forage equipment, manure spreaders and top and bottom drive augers. After-market service parts are also an important part of the Company’s business. The Company has two wholly owned subsidiaries. Art’s Way Vessels, Inc. manufactures pressurized tanks and vessels; Art’s Way Scientific, Inc. manufactures modular animal confinement buildings and modular laboratories.

 

For More Information, Contact: Jim Drewitz, Investor Relations

 

830-669-2466 Jim Drewitz

 

Or visit the Company’s website at www.artsway-mfg.com

 

This news release includes “forward-looking statements” within the meaning of the federal securities laws. Statements made in this release that are not strictly statements of historical facts, including: (i) our expectation that long-term demand for farming equipment will increase; (ii) our goal to improve leverage and profitability; (iii) our expectations relating to projects for Art’s Way Scientific; and (iv) our belief that we are well-positioned for market opportunities, are forward-looking statements. 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 cost of raw materials, the management of growth, the availability of investment opportunities, and other factors 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.

 

-END-

 

ART’S WAY MANUFACTURING ANNOUNCES CASH DIVIDEND ON THE COMPANY’S COMMON STOCK

FOR IMMEDIATE RELEASE

November 9, 2010

 

ARMSTRONG, IOWA, November 9, 2010 – Art’s Way Manufacturing Co., Inc., (NASDAQ:ARTW) a leading manufacturer and distributor of agricultural machinery, equipment and services announces the Board of Directors of the corporation approved a cash dividend on the Company’s common stock. The dividend of $0.06 is payable on November 30, 2010, to shareholders of record on November 12, 2010. Art’s Way Manufacturing has paid a dividend each year since 2005.

 

J. Ward McConnell Jr., Executive Chairman of the Board of Directors said, “We are very pleased to be continuing our legacy of dividend payouts. We have a track record of paying dividends and delivering long-term value to our shareholders is a top priority of the Company.

 

“The agricultural sector is robust, our business fundamentals remain strong and we believe the Company is well positioned to aggressively move forward into 2011. We want to thank all of our loyal shareholders for their support.”

 

About Art’s Way Manufacturing, Inc.

 

Art’s Way manufactures and distributes farm machinery niche products including animal feed processing equipment, sugar beet defoliators and harvesters, land maintenance equipment, crop shredding equipment, round hay balers, plows, hay and forage equipment, manure spreaders and top and bottom drive augers. After-market service parts are also an important part of the Company’s business. The Company has two wholly owned subsidiaries. Art’s Way Vessels, Inc. manufactures pressurized tanks and vessels; Art’s Way Scientific, Inc. manufactures modular animal confinement buildings and modular laboratories.

 

For More Information, Contact: Jim Drewitz, Investor Relations

 

830-669-2466 Jim Drewitz

 

Or visit the Company’s website at www.artsway-mfg.com

 

This news release includes “forward-looking statements” within the meaning of the federal securities laws. Statements made in this release that are not strictly statements of historical facts, including: (i) our expectation that long-term demand for farming equipment will increase; (ii) our goal to improve leverage and profitability; (iii) our expectations relating to projects for Art’s Way Scientific; and (iv) our belief that we are well-positioned for market opportunities, are forward-looking statements. 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 cost of raw materials, the management of growth, the availability of investment opportunities, and other factors 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.

 

-END-

 

ART’S WAY MANUFACTURING ANNOUNCES 88.9% INCREASE IN REVENUES OVER THE THIRD QUARTER OF 2009

FOR IMMEDIATE RELEASE NEWS
October 11, 2010 NASDAQ:ARTW

Conference Call Scheduled For October 13, 2010 At 10:00 AM CT

 

ARMSTRONG, IOWA, October 11, 2010 – Art’s Way Manufacturing Co., Inc. (NASDAQ: ARTW), a leading manufacturer and distributor of agricultural machinery, equipment and services announces its financial results for the three and nine months ended August 31, 2010.

 

 

In conjunction with the release, the Company has scheduled a conference call for October 13, 2010 at 10:00 AM CDT. J. Ward McConnell, Jr., Executive Chairman of the Board of Directors of Art’s Way Manufacturing, will be leading the call and discussing third quarter and nine month financial results and an outlook for the balance of 2010.

 

What: Art’s Way Manufacturing Third Quarter & Nine Month Financial Results.

 

When: October 13, 2010 10:00 AM CT.

 

How: Live via phone by dialing (800) 624-7038. Code: Art’s Way Manufacturing. Participants to the conference call should call in at least 5 minutes prior to the start time.

 

 

Financial Highlights For the Three and Nine Months Ended August 31, 2010:

 

    • Net sales for the three months ended August 31, 2010 were $10.6 million.

 

    • Operating income for the three months ended August 31, 2010 increased 495.9% over 2009.

 

    • Operating income for the nine months ended August 31, 2010 increased 166.8% over the same period in 2009.

 

    • Earnings Per Share for the nine months were $0.22 versus $0.05 for the same period in 2009.

 

 

For the Three Months Ended
(Consolidated)
August 31, 2010 August 31, 2009 Change
Revenue $ 10,581,783 $ 5,600,464 88.9%
Operating Income $ 1,270,882 $ 213,259 495.9%
Net Income $ 751,802 $ 64,725 1061.5%
EPS (Basic) $ 0.19 $ 0.02
EPS (Diluted) $ 0.19 $ 0.02
Weighted avg. shares outstanding:
Basic 3,992,182 3,990,352
Diluted 4,003,766 3,999,950

 

 

For the Nine Months Ended
(Consolidated)
August 31, 2010 August 31, 2009 Change
Revenue $ 22,909,802 $ 19,406,975 18%
Operating Income $ 1,606,163 $ 602,033 166.8%
Net Income $ 886,707 $ 181,238 389.3%
EPS (Basic) $ 0.22 $ 0.05
EPS (Diluted) $ 0.22 $ 0.05
Weighted avg. shares outstanding:
Basic 3,991,381 3,987,856
Diluted 4,000,863 3,989,623

 

Revenue: Our consolidated corporate sales for the three- and nine- month periods ended August 31, 2010 were $10,582,000 and $22,910,000 respectively, compared to $5,600,000 and $19,407,000 during the same respective periods in 2009, a $4,982,000 increase for the quarter and $3,503,000 increase year-to-date, or 88.9%, and 18.0% respectively. While all three divisions had increases in year-to-date sales, the largest increase can be attributed to our modular buildings segment.

 

Art’s Way Manufacturing, our agricultural products segment, had sales for the third fiscal quarter of $7,725,000, compared to $4,993,000 during the same period of 2009, a 54.7% increase. Year-to-date sales were $15,927,000, up from $15,868,000 as of August 31, 2009, a 0.4% increase and a significant improvement over year-to-date results as of the end of the second fiscal quarter. Although we have experienced decreased sales of Miller Pro products and OEM blowers, we have increased our sales of augers and beet equipment which yield higher profit margins. Our year-to-date gross profit was $4,348,000 compared to $4,145,000 for the same period in 2009.

 

Art’s Way Vessels, our pressurized tank segment, had sales for the third fiscal quarter of $502,000, compared to $242,000 for the same period in 2009, a 107.7% increase. Year-to-date sales were $1,245,000 in fiscal 2010, compared to $616,000 for the same period in 2009, a 101.9% increase. Our year-to-date gross profit was -$55,000 compared to -$131,000 for the same period in 2009

 

Art’s Way Scientific, our modular buildings segment, had third fiscal quarter sales of $2,355,000, compared to $365,000 for the same period in fiscal 2009, a 544.2% increase. Year-to-date sales were $5,738,000 in fiscal 2010, compared to $2,923,000 for the same period in 2009, a 96.3% increase. These increases are primarily due to higher demand during 2010, which we believe has resulted from improved economic conditions. Our year-to-date gross profit was $1,180,000 compared to $72,000 for the same period in 2009

 

Income: Consolidated operating income increased 495.9%, from $213,000 for the three months ended August 31, 2009 to $1,271,000, for the three months ended August 31, 2010, while net income for the three months ended August 31, 2010 increased 1061.5%, from $65,000 in 2009 to $752,000. Operating income for the nine months ended August 31, 2010 increased 166.8%, to $1,606,000 from $602,000 for the same period in 2009. Net income for the nine months ended August 31, 2010 increased 389.3% to $887,000 from $181,000 for the same period in 2009.

 

Earnings per Share: Earnings per basic and diluted share increased 850% for the three months ended August 31, 2010 to $0.19 per share from $0.02 per share for the same period in 2009.

 

 

J. Ward McConnell Jr., Executive Chairman of the Board of Directors said, “Factors including stronger demand from customers, the expansion of our customer base, the introduction of new products, improved operational efficiency and reduced costs from increased productivity, and continued overall economic recovery have propelled our third quarter and nine months performance. Agricultural product prices continued to improve last quarter giving a large boost to U.S. farm income. With the higher incomes and robust prices we saw significantly more interest in new and replacement equipment than we have in some time, all of which creates sales opportunities for our expanding agricultural equipment line. We are seeing a longer-term trend as farmland and product prices improve, and we think more capital will be spent in the agricultural sector over the next few years. So while we are pleased with short-term results at Art’s Way we think the trends will be positive for ARTW’s operations longer term.

 

“We are pleased with the strong sales growth achieved during the quarter and nine months at Art’s Way Vessels and the continuing strength in our vessel sales. Our goal is to continue to improve the leverage in our operating model and generate higher profitability.

 

“As for Art’s Way Scientific – Buildings For Science – the increase in revenue was a result of our team aggressively working on the installation of several larger projects. Although the Government Economic Stimulus package never really materialized, there are institutions that have found alternative financing and we are now in discussions about scaled back versions of their intended projects. Additionally, Scientific has remained nimble during this time period and is now able to provide customers with temporary lease space for their expanding program needs or to support research during a major renovation project. We now have 3 modular building units that will be leased for a 12-month to 24-month term, which in the future can be re-leased or sold to other institutions.

 

“We are confident in our business strategy and believe we have positioned the Company well to take advantage of the market opportunities and to reap the rewards of our foresight in the coming years.”

 

About Art’s Way Manufacturing, Inc.

 

Art’s Way manufactures and distributes farm machinery niche products including animal feed processing equipment, sugar beet defoliators and harvesters, land maintenance equipment, crop shredding equipment, round hay balers, plows, hay and forage equipment, manure spreaders and top and bottom drive augers. After-market service parts are also an important part of the Company’s business. The Company has two wholly owned subsidiaries. Art’s Way Vessels, Inc. manufactures pressurized tanks and vessels; Art’s Way Scientific, Inc. manufactures modular animal confinement buildings and modular laboratories.

 

For More Information, Contact: Jim Drewitz, Investor Relations

 

830-669-2466 jim@jdcreativeoptions.com

 

Or visit the Company’s website at www.artsway-mfg.com/

 

This news release includes “forward-looking statements” within the meaning of the federal securities laws. Statements made in this release that are not strictly statements of historical facts, including: (i) our expectation that long-term demand for farming equipment will increase; (ii) our goal to improve leverage and profitability; (iii) our expectations relating to projects for Art’s Way Scientific; and (iv) our belief that we are well-positioned for market opportunities, are forward-looking statements. 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 cost of raw materials, the management of growth, the availability of investment opportunities, and other factors 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.

 

-END-

ART’S WAY MANUFACTURING INTRODUCES NEW GRINDER MIXER

FOR IMMEDIATE RELEASE For More Information, Contact:
August 31, 2010 Jim Drewitz, Investor Relations
830-669-2466

The Company Unveiled The New Model 6520 At The Farm Progress Show

 

ARMSTRONG, IA August 31, 2010 – Art’s Way Manufacturing, Inc. (Nasdaq: ARTW), a leading manufacturer and distributor of niche agricultural machinery, equipment and services, is pleased to announce they unveiled the next generation of grinder mixers with the introduction of their new, Model 6520 Grinder Mixer at the Farm Progress Show in Boone, Iowa.

 

The Model 6520 features:

 

The largest tank in the industry – 165 bushel capacity.

 

Fully self-contained hydraulics – no tractor hydraulic requirements.

 

Discharge augers driven by hydraulic orbit motors.

 

High capacity, 10” diameter hydraulic driven discharge system – Elimination of bevel gears.

 

Remote control system for auger positioning, tank discharge and operation of the grinder mixer.

 

Double hammers in hammermill for a more consistent grind and less power requirements

 

A prototype of the 6520 has been in use in Tracy, Minnesota by Dan Lanou. Dan said, “The improvements are very innovative. The machine has cut our unload time nearly in half through the use of remote control operations and the increased auger size.”

 

J. Ward McConnell, Jr., Executive Chairman of the Board, said, “At Art’s Way we listened to our customers and responded to their needs. When we showed a prototype to some of our customers they said it is exactly what they wanted. We have made an enormous improvement in the unload system

 

About Art’s Way Manufacturing, Inc.

 

Art’s Way manufactures and distributes farm machinery niche products including animal feed processing equipment, sugar beet defoliators and harvesters, land maintenance equipment, crop shredding equipment, round hay balers, plows, hay and forage equipment, manure spreaders and top and bottom drive augers. After market, service parts are also an important part of the Company’s business. We have two wholly owned subsidiaries. Art’s Way Vessels Inc. manufactures pressurized tanks and vessels

 

For More Information, Contact: Jim Drewitz, Investor Relations

 

830-669-2466 jim@jdcreativeoptions.com

 

Or visit the Company’s website at www.artsway-mfg.com.

 

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.

 

-END-

 

ART’S WAY MANUFACTURING ANNOUNCES SIX MONTH NET INCOME INCREASE OF 15.8% OVER THE SAME PERIOD IN 2009

FOR IMMEDIATE RELEASE NEWS
July 13, 2010 NASDAQ:ARTW

Conference Call Scheduled For July 14, 2010 At 10:00 AM CDT

 

ARMSTRONG, IOWA, July 13, 2010 – Art’s Way Manufacturing Co., Inc. (NASDAQ:ARTW), a leading manufacturer and distributor of agricultural machinery, equipment and services announces its financial results for the three and six months ended May 31, 2010.

 

In conjunction with the release, the Company has scheduled a conference call for July 14, 2010 at 10:00 AM CDT. J. Ward McConnell, Jr., Executive Chairman of the Board of Directors of Art’s Way Manufacturing, will be leading the call and discussing second quarter and six month financial results and an outlook for the balance of 2010.

 

What: Art’s Way Manufacturing Second Quarter & Six Month Financial Results

 

When: July 14, 2010 10:00 AM CDT.

 

How: Live via phone by dialing (800) 624-7038. Code: Art’s Way Manufacturing. Participants to the conference call should call in at least 5 minutes prior to the start time.

 

Financial Highlights For the Three and Six Months Ended May 31, 2010:

 

    • Net sales for the three months ended May 31, 2010 were $6.7 million.

 

    • Net income for the six months ended May 31, 2010 increased 15.8% over the same period in 2009.

 

    • Consolidated order backlog as of May 31, 2010 was $13,639,000, compared to $10,511,000 on May 31, 2009.

 

 

&nbsp For the Three Months Ended
(Consolidated)
&nbsp
&nbsp May 31, 2010 May 31, 2009 Change
Revenue $ 6,748,178 $ 7,115,645 -5.2%
Operating Income $ 211,854 $ 291,137 -27.2%
Net Income $ 100,408 $ 112,918 -11.1%
EPS (Basic) $ 0.03 $ 0.03 &nbsp
EPS (Diluted) $ 0.03 $ 0.03 &nbsp
Weighted avg. shares outstanding: &nbsp &nbsp &nbsp &nbsp &nbsp
Basic &nbsp 3,991,586 &nbsp 3,986,830 &nbsp
Diluted &nbsp 4,006,068 &nbsp 3,989,086 &nbsp
&nbsp For the Six Months Ended
(Consolidated)
&nbsp
&nbsp May 31, 2010 May 31, 2009 Change
Revenue $ 12,328,019 $ 13,806,511 -10.7%
Operating Income $ 335,281 $ 388,774 -13.8%
Net Income $ 134,905 $ 116,513 15.8%
EPS (Basic) $ 0.03 $ 0.03 &nbsp
EPS (Diluted) $ 0.03 $ 0.03 &nbsp
Weighted avg. shares outstanding: &nbsp &nbsp &nbsp &nbsp &nbsp
Basic &nbsp 3,990,975 &nbsp 3,986,594 &nbsp
Diluted &nbsp 4,000,216 &nbsp 3,987,198 &nbsp

Revenue: Our consolidated corporate sales for the three- and six-month period ended May 31, 2010 were $6,748,000 and $12,328,000, respectively, compared to $7,116,000 and $13,807,000 during the same respective periods in 2009, a $368,000 decrease for the quarter and $1,478,000 decrease year-to-date, or 5.2% and 10.7% decreases, respectively. While both Scientific and Vessels had increases in sales, they were offset by the decreases at Manufacturing.

 

Art’s Way Manufacturing, our agricultural products segment, had revenues for the three months ended May 31, 2010 of $4,606,000, compared to $6,165,000 during the same period of 2009, a 25.3% decrease. This decrease was largely due to lower sales of OEM blowers and Miller Pro equipment, but was offset by increased sales of grinder mixers, augers and manure spreaders. Year-to-date sales were down to $8,202,000 from $10,874,000 as of May 31, 2009, a 24.6% decrease. Year to date Miller Pro sales decreased by $1,460,000, which were offset by auger sales of $1,028,000. Another factor in the reduced sales was a $1,636,000 reduction in OEM blower sales. Our year-to-date gross margin for this segment was 26.8% compared to 23.8% as of May 31, 2009.

 

Art’s Way Vessels, our pressurized vessels segment, had revenues for the three months ended May 31, 2010 of $480,000, compared to $226,000 for the same period in 2009, a 113.0% increase. Year-to-date sales were $743,000, compared to $375,000 as of May 31, 2009, a 98.3% increase. A large portion of this increase was due to a sale for $250,000 to Adamson Global Technology, which is wholly-owned and operated by J. Ward McConnell, Jr., our Executive Chairman of the Board of Directors. Gross margins for the second fiscal quarter of 2010 was 12.8%, compared to -30.2% in fiscal 2009. Year-to-date gross margin was -4.1% compared to -38.1% as of May 31, 2009. These increases can be attributed to the segment’s larger sales volume.

 

Art’s Way Scientific, our modular buildings segment, had revenues for the three months ended May 31, 2010 of $1,662,000, compared to $725,000 for the same period in fiscal 2009, a 129.4% increase. Sales at Scientific slowed significantly during the second fiscal quarter of 2009 due to unfavorable economic conditions, and began to improve in the fourth fiscal quarter. Year-to-date sales were $3,384,000 in fiscal 2010, compared to $2,558,000 for the same period in 2009, a 32.3% increase. Gross margin for the quarter ended May 31, 2010 was 19.2% compared to -6.6% for the same period in 2009. Year-to-date gross margin was 21.4% in 2010 compared to 12.9% for 2009. During 2009, costs increased due to cost overruns on two projects, which negatively impacted our margins.

 

Income: Consolidated operating income decreased 27.2%, from $291,000 to $212,000, for the three months ended May 31, 2010, while net income for the three months ended May 31, 2010 decreased 11.1%, from $113,000 to $100,000. Operating income for the six months ended May 31, 2010 decreased 13.8%, from $389,000 to $335,000.

 

Earnings per Share: Earnings per basic share have remained consistent for both the three and six months ended May 31, 2010 and the three and six months ended May 31, 2009.

 

J. Ward McConnell Jr., Executive Chairman of the Board of Directors said, “We remain concerned about consumer spending based on many economic indicators, most recently the substantial drop in the Consumer Confidence Index which demonstrates the fragile state of the economic recovery. Despite very difficult economic times in the agricultural sector, segments of our business are improving, particularly sales of certain seasonal agricultural and farming products, our overall backlog, net income and gross margins. Coming out of an extremely challenging year following one of the industry’s worst economic downturns, our overall operating results are improving based on our ability to deliver quality products with a customer service focus. We continue to focus on growing sales and improving our execution, discipline and profitability by tightly managing our variable costs. In June, we continued our ‘roll-up strategy’ by announcing the acquisition of the M&W Hay Baler product line. The family of simple-to-use round hay balers from M&W includes nine different models in four different series to handle most any haying application. The M & W round hay baler line is a respected brand in the industry and we are extremely pleased to add this line to the Art’s Way family.

 

“In the big picture, the environment for modular science laboratories is improving nicely with government spending windows shortening. Improving markets for vessels, modular laboratories and for some of our farming equipment, will help us continue on the path of prudently investing in new or acquired products to bring further profitable growth in the balance of 2010 and beyond.”

 

About Art’s Way Manufacturing, Inc.

 

Art’s Way manufactures and distributes farm machinery niche products including animal feed processing equipment, sugar beet defoliators and harvesters, land maintenance equipment, crop shredding equipment, round hay balers, plows, hay and forage equipment, manure spreaders and top and bottom drive augers. After-market service parts are also an important part of the Company’s business. We have two wholly owned subsidiaries. Art’s Way Vessels, Inc. manufactures pressurized tanks and vessels; Art’s Way Scientific, Inc. manufactures modular animal confinement buildings and modular laboratories.

 

For More Information, Contact: Jim Drewitz, Investor Relations

 

830-669-2466 Jim Drewitz

 

Or visit the Company’s website at www.artsway-mfg.com/

 

This news release includes “forward-looking statements” within the meaning of the federal securities laws. Statements made in this release that are not strictly statements of historical facts, including: (i) our beliefs regarding improvements in sales and operating results; (ii) the increase in demand for farming equipment, pressurized vessels and modular science laboratories; and (iii) our continued efforts to grow sales, improve execution and profitability, manage variable costs, and make investments designed to fuel future growth, are forward-looking statements. 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 cost of raw materials, the management of growth, the availability of investment opportunities, and other factors 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.

 

-END-

 

ART’S WAY MANUFACTURING ANNOUNCES ACQUISITION COMPLETION OF M&W ROUND HAY BALER PRODUCT LINE FROM ALAMO GROUP, INC.

FOR IMMEDIATE RELEASE For More Information, Contact
June 15, 2010 Jim Drewitz, Investor Relations
830-669-2499


ART’S WAY MANUFACTURING ANNOUNCES ACQUISITION COMPLETION OF M&W ROUND HAY BALER PRODUCT LINE FROM ALAMO GROUP, INC.

 

ARMSTRONG, Iowa, June 15, 2010 – Art’s Way Manufacturing, Inc. (NASDAQ: ARTW), a leading manufacturer and distributor of niche agricultural machinery, equipment and services, is pleased to announce the Company completed the acquisition of the M&W round hay baler product line of Gibson City, IL, www.mw-gear.com , an Alamo Group Inc. company (NYSE: ALG).

 

The family of simple-to-use round hay balers from M&W includes nine different models in four different series to handle most any haying application. Depending on model, M&W balers form a 4′ x 4′, 4′ x 5′, 5′ x 5′, or 5′ x 6′ bale to fit a wide range of haying operations. M&W balers feature fewer moving parts, when compared to “like” competitive balers, helping keep maintenance costs minimal. Operation is simple due to fewer moving parts; an “open-throat” chamber design that reduces the risk of bale starting problems; and an easy push button tying mechanism. As a result, operator fatigue and time spent in the field is reduced. Push button twine tying is standard on the 4407, 4500, 5506, and 5600 balers. The 4497, 4590, 5596, and 5690 feature either push button twine or net wrap tying systems to fit a wider range of haying operations. Unlike competitive belt balers, the M&W bale chamber is nearly fully enclosed which reduces leaf loss, resulting in a higher quality bale.

 

J. Ward McConnell, Jr., Chairman of the Board, said, “The M&W round hay baler line is one of the most respected brands in the industry and we are extremely pleased to add this line to the Art’s Way family. We believe the M&W line will be earnings accretive immediately, hold a compelling valuation, is an outstanding fit with our industry-leading niche Ag equipment and is another important element in our ‘roll-up strategy’.

 

“This vertical acquisition allows us to expand our product line, improve our leadership position, build our asset base for revenue growth and increase shareholder value. Additionally, there is a loyal and dedicated group of M&W dealers nationwide who will now be introduced to Art’s Way complete product line.”

 

About Art’s Way Manufacturing, Inc.

 

Art’s Way manufactures and distributes farm machinery niche products including animal feed processing equipment, sugar beet defoliators and harvesters, land maintenance equipment, crop shredding equipment, round hay balers, plows, hay and forage equipment, manure spreaders and top and bottom drive augers. After market, service parts are also an important part of the Company’s business. We have two wholly owned subsidiaries. Art’s Way Vessels Inc. manufactures pressurized tanks and vessels; Art’s Way Scientific Inc. manufactures modular animal confinement buildings and modular laboratories.

 

For More Information, Contact:         Jim Drewitz, Investor Relations

830-669-2466

 

Or visit the Company’s website at www.artsway-mfg.com

 

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.

 

-END-

 

ART’S WAY MANUFACTURING PROMOTES DAN PALMER TO PRESIDENT OF ART’S WAY SCIENTIFIC – BUILDINGS FOR SCIENCE

FOR IMMEDIATE RELEASE For More Information, Contact:
May 12, 2010 Jim Drewitz, Investor Relations
830-669-2466

 

ARMSTRONG, Iowa, May 12, 2010 – Art’s Way Manufacturing, Inc. (NASDAQ: ARTW), a leading manufacturer and distributor of niche agricultural machinery, equipment and services, is pleased to announce the promotion of Dan Palmer to President of Art’s Way Scientific – Buildings for Science. Previous, Mr. Palmer served as General Manager.

 

J. Ward McConnell, Jr., Executive Chairman of the Board, said, “ Dan Palmer’s leadership and experience has enabled Art’s Way Scientific to grow and serve the needs of the scientific community. Dan’s judgment, expertise and industry contacts are tremendous assets. He as proven to be a key member of the management team as we continue to focus on providing short term and long term solutions that help the scientific community deal with their laboratory needs and the Government’s financial stimulus program. I am confident Dan’s vision, talent and dedication will continue to re-enforce our position as the industry leader in designing and manufacturing custom-design, modular science laboratories.”

 

About Art’s Way Scientific, Inc. –Buildings For Science –

 

Art’s Way Scientific, Inc. is a wholly owned subsidiary of Art’s Way Manufacturing, Inc. It is the recognized leading supplier of modular laboratories for biocontainment, animal science, public health and security requirements. Art’s Way Scientific custom designs, manufactures, delivers, and installs laboratories and research facilities to meet customers’ critical requirements. For more information, visit our website at www.buildingsforscience.com.

 

About Art’s Way Manufacturing, Inc.

 

Art’s Way manufactures and distributes farm machinery niche products including animal feed processing equipment, sugar beet defoliators and harvesters, land maintenance equipment, crop shredding equipment, plows, hay and forage equipment, manure spreaders and top and bottom drive augers. After market, service parts are also an important part of the Company’s business. We have two wholly owned subsidiaries. Art’s Way Vessels Inc. manufactures pressurized tanks and vessels; Art’s Way Scientific Inc. manufactures modular animal confinement buildings and modular laboratories.

 

For More Information, Contact: Jim Drewitz, Investor Relations

830-669-2466

 

Or visit the Company’s website at www.artsway-mfg.com

 

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.

 

-END-

 

Corporate - Art's Way Mfg