Google PlusLinkedINYouTube

ART’S WAY MANUFACTURING CLOSES ON 190,000 SQ. FT. FACILITY IN WEST UNION, IOWA

FOR IMMEDIATE RELEASE For More Information, Contact
May 5, 2010 Jim Drewitz, Investor Relations
830-669-2499

 

The $1.3 Million Warehouse And Factory Expansion Will Create 45 Jobs

 

ARMSTRONG, Iowa, May 5, 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 closed on the 190,000 square foot facility in West Union, Iowa on April 30, 2010. The Company paid $1,270,000 for the building. A grant and loan of $65,000 from Iowa Economic Development Board will help offset expenses associated with building repairs and machinery and equipment. Art’s Way is also eligible to receive $158,000 for job training. Art’s Way continues to work with the Iowa Finance Authority, to obtain long term financing of the facility with industrial development bonds.

 

J. Ward McConnell, Jr., Executive Chairman of the Board, said, “We are very pleased to have acquired this facility. Our plans for this facility will be a combination of production of our ag lines and warehouse for finished products. We first intend to start shipping over some of our finished goods for distribution and then move over production lines of our forage boxes and hay rakes. The addition of this facility will allow us to gain valuable production space and will certainly allow us to accommodate any future acquisition. The West Union area has a very deep talent pool, and the $1.3 million factory and warehouse expansion will create approximately 45 new jobs. We are delighted to be part of the West Union community.”

 

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-

 

Art’s Way Manufacturing Announces First Quarter Profit Increase Of $30,000 Over First Quarter 2009

FOR IMMEDIATE RELEASE NEWS
April 12, 2010 NASDAQ:ARTW

Strong Operating Performance Leads To Highest Earnings Since The Downturn Began

 

Conference Call Scheduled For April 16th, 2010 At 10:00 AM Central

 

ARMSTRONG, IOWA, April 12, 2010 – Art’s Way Manufacturing Co., Inc. (NASDAQ:ARTW), a leading manufacturer and distributor of agricultural machinery, equipment and services announces its first quarter financial results for the three months ended February 28, 2010.

 

In conjunction with the release, the Company has scheduled a conference call for April 16th, 2010 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 2010.

 

What: Art’s Way Manufacturing First Quarter Financial Results

 

When: April 16th, 2010 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.

 

Financial Highlights For the Three Months Ended February 28, 2010:

 

 • Net income for the quarter increased 858% over first quarter 2009.
 • Operating income for the quarter increased 26.4% over first quarter 2009.
 • Consolidated order backlog as of February 28, 2010 was $17,450,000 compared to $13,127,000 on February 28, 2009.

 

For the Three Months Ended
February 28, 2010 February 28, 2009 Change
Revenue $ 5,579,841 $ 6,690,866 -16.6%
Operating Income $ 123,427 $ 97,637 26.4%
Net Income $ 34,425 $ 3,595 857.6%
EPS (Basic) $ 0.01 $ 0
EPS (Diluted) $ 0.01 $ 0
Weighted avg. shares outstanding:
Basic 3,990,352 3,986,352
Diluted 3,991,900 3,986,352

 

Revenue: Total revenue decreased 16.6% from $6.69 million for the first fiscal quarter of 2009 to $5.58 million for the three months ended February 28, 2010. Art’s Way Vessels, Inc. increased its three month revenue by 76.1%. This increase was offset by a 23.6% decrease in the revenue for Art’s Way Manufacturing Co., Inc. and a 6.1% decrease in revenue for Art’s Way Scientific, Inc. decreased during the first fiscal quarter of 2010.

 

Income: Operating income increased 26.4% from $98,000 for the first fiscal quarter of 2009 to $123,000 for the three months ended February 28, 2010, while net income for the same period increased 857.6%, from $3,600 to $34,000. The most significant reason for these increases is improvement in gross margins.

 

Consolidated gross profit margin for the first fiscal quarter of 2010 was 23.8%, compared to 19.7% for the same period one year ago. Each of our segments saw an increase in gross profit margin when compared to the same period in 2009.

 

The gross profit margin of Art’s Way Manufacturing increased from 21.5% in the first fiscal quarter of 2009 to 28.2% in the three-month period ending February 28, 2010. After the purchase of the Miller Pro product line, we had many orders that we were unable to produce in a timely fashion. In order to satisfy our customers, we agreed to sell these goods at lower prices initially quoted in 2007. As a result of our production delays caused by the integration of this product line, we shipped goods in the first and second quarters of 2009 that were priced at the end of 2007 and manufactured with materials purchased at the higher costs of 2008. We have completed our commitments on the 2007 pricing, and do not anticipate any additional production delays. During the first quarter of 2010 our products were more appropriately priced compared to our material costs and, as a result, we saw an increase in our gross margins.

 

The gross profit margin of Art’s Way Vessels increased from -50.2% in the first fiscal quarter of 2009 to -34.9% in the three-month period ending February 28, 2010. This increase was due to our increased sales, which help defray the fixed manufacturing expenses, such as depreciation and manufacturing overhead.

 

The gross profit margin of Art’s Way Scientific increased from 20.6% in the first fiscal quarter of 2009 to 23.5% in the three-month period ending February 28, 2010. The increase in gross profit margin at Art’s-Way Scientific was primarily due to cost overruns in the first and second quarter of 2009.

 

Earnings per Share: Earnings per basic share for the three months ended February 28, 2010 increased to $0.01 as compared to $0.00 for the three months ended February 28, 2009.

 

J. Ward McConnell Jr., Executive Chairman of the Board of Directors said, “We are very pleased with our strong start to the fiscal year, particularly with our net income and gross margins. Despite coming out of an extremely challenging year following one of the industry’s worst economic downturns, our 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. As noted in recent news releases, we also continue to fund our investments in capital expenditures and acquisitions that are designed to fuel future growth for years to come.

 

“The environment for agricultural machinery and modular science laboratories spending is accelerating and I am excited about the short and long term future of Art’s Way.”

 

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

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 ability to meet our production schedule; (ii) the increase in demand for agricultural machinery 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 PURCHASES AUGER PRODUCTION BUILDING IN SALEM, SOUTH DAKOTA.

FOR IMMEDIATE RELEASE For More Information, Contact:
March 31, 2010 Jim Drewitz, Public Relations

 

Company Had Been Leasing The 15,000 Sq. Ft. Facility Since December 2008

 

ARMSTRONG, Iowa, March 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 have purchased the 15,000 square foot production facility they have been leasing to produce portable grain augers in Salem, South Dakota. The Company closed on the plant purchase on March 29, 2010 and paid approximately $ 194,000.

 

J. Ward McConnell, Jr., Executive Chairman of the Board, said, “The auger business opened up to us with the closing of the Feterl business and the purchase of this facility is a smart and cost effective move for us. At Art’s Way, we are committed to customer service and helping farmers grow their business. They know they can trust us to deliver. This facility and the experienced, knowledgeable local work force has allowed us to offer a top quality line of 8”, 10”and 12” diameter Commercial Top Drive Augers as well as Commercial Swing and Galvanized Commercial Swing Drive Augers in lengths from 34 feet to over 120 feet. We not only manufacture augers, we also carry a complete supply of replacement parts for Art’s Way auger and parts for auger not produced by Art’s Way.

 

“We are filling new orders every day, and expect to continue gain market share each quarter. As of March 31, 2010 our auger backlog stands at $2.8 million.”

 

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-

 

ART’S WAY MANUFACTURING AWARDED GRANT FROM THE IOWA ECONOMIC DEVELOPMENT BOARD TO PURCHASE 190,000 SQ. FT. FACILITY IN WEST UNION, IOWA

FOR IMMEDIATE RELEASE For More Information, Contact:
March 24, 2010 Jim Drewitz, Public Relations

 

The $1.4 Million Warehouse And Factory Expansion Will Create 40 Jobs.

 

ARMSTRONG, Iowa, March 24, 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 is planning to purchase a 190,000 square foot facility in West Union, Iowa. A grant and loan of $65,000 from Iowa Economic Development Board will help offset expenses associated with building repairs and machinery and equipment. Art’s Way is also eligible to receive $158,000 for job training. The Board provides incentives that range from loans to tax credits to growing companies like Art’s Way Manufacturing.

 

J. Ward McConnell, Jr., Executive Chairman of the Board, said, “We are very pleased to receive this grant from The Iowa Economic Development Board as it reinforces the strength, importance and industry leadership of Art’s Way Manufacturing. Our entire team has worked extremely hard to demonstrate to the Iowa Economic Development Board that we are worthy of this funding. Our plans for this facility will be a combination of warehouse for finished products and production of some of our ag lines. The addition of this facility will allow us to gain valuable production space and will certainly allow us to accommodate any future acquisition. The $1.4 million warehouse and factory expansion will create approximately 40 new jobs. We are doing final due diligence but expect to close on the facility around April 30, 2010.”

 

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-

ART’S WAY MANUFACTURING ANNOUNCES FINANCIAL RESULTS FOR THE FISCAL YEAR 2009

FOR IMMEDIATE RELEASE
NEWS
February 22, 2010 NASDAQ:ARTW

Backlog for 2010 versus 2009 increases 16% to $ 17.4 million

 

Conference Call Scheduled For Thursday, February 25, 2010 At 10:00 AM Eastern

 

ARMSTRONG, IOWA, February 22, 2010 – 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, 2009. Additionally, the Company has scheduled a conference call Thursday, February 25, 2010 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 2009 Financial Results Conference Call

 

When: Thursday, February 25, 2010 – 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 2009 financial results, the current state of the Company’s operations and the long-term outlook for the balance of 2010.

 

Highlight:

 

* As of February 2010, order backlog is approximately $17,436,000, a 16% increase over the same time period in 2009, which was approximately $ 15,012,000.

 

For the Fiscal Year Ended
November 30
2009 2008 Change
Revenue  $ 26,296,133  $ 32,041,138 -17.9%
Operating Income  $ 708,389  $ 2,766,260 -74.4%
Net Income  $ 762,250  $ 1,829,567 -58.3%
EPS (Basic)  $ 0.19  $ 0.46 -58.7%
EPS (Diluted)  $ 0.19  $ 0.46 -58.7%
Weighted avg. shares
outstanding:
Basic 3,988,478 3,973,816
Diluted 3,990,357 3,990,500

 

Revenue: Total revenue decreased 17.9%, from $32.04 million in fiscal 2008 to $26.3 million for the fiscal year ended November 30, 2009. The decrease was mainly due to the unfavorable economic conditions for a majority of the fiscal year 2009, which we believe caused many of our customers to forego or postpone purchases of agricultural equipment.

 

Income: Operating income decreased from $2.77 million in fiscal 2008 to $708,000 for the fiscal year ended November 30, 2009, while net income for the fiscal year ended November 30, 2009 decreased from $1.83 million to $762,000. These decreases were due largely to reduced sales and lower gross margins, which were the result of the high cost of steel during a greater portion of fiscal 2009 versus fiscal 2008.

 

Earnings per Share: Earnings per diluted and basic share ended November 30, 2009 were $0.19, a decrease of $0.27 from 2008 earnings per diluted and basic share.

 

J. Ward McConnell, Jr., Executive Chairman of the Board of Directors said, “Amidst a global recession, starting in the third quarter of 2008 and throughout most of 2009, Art’s Way Manufacturing revenue was negatively influenced by the lack of revenue at Art’s Way Scientific. Their revenue was significantly impacted by the delays in government funding of grants for new modular laboratories as a result of the slow release of the economic stimulus package. Companies and universities postponed many decisions to build scientific buildings until the stimulus funds were released, which is just now beginning to happen. In the coming quarters we expect Art’s Way Scientific – Buildings For Science – to garner a proportionate part of the new laboratories being constructed as the stimulus funds are distributed.

 

“Despite these tough times, we are committed to our strategies of controlling costs, growing our product line mix, like the addition of our auger and manure spreader lines, and improving our product structure to create higher gross profits. We feel this strategic business plan is definitely on target and will prove successful long term as the economic recovery progresses.

 

“The Company’s Board of Directors declared an annual cash dividend of $0.06 payable on November 30, 2009, to shareholders of record on November 16, 2009. I am proud to say Art’s Way Manufacturing has paid a dividend each year since 2005.”

 

Mr. McConnell concluded by saying “I want to assure our shareholders, we have taken aggressive measures to align our business with current market conditions. We are monitoring these initiatives closely to ensure we achieve our future expected financial results. Our strong financial position including our lack of short term debt and our growing backlog of over $17 million will allow us to continue making calculated improvements to our product line and grow our market share for years to come. 2010 is going to be a better year.”

 

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. 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

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

This news release includes “forward-looking statements” within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Statements made in this release that are not strictly statements of historical facts, including: (i) statements relating to demand for new laboratory construction, (ii) statements regarding the impact of our strategic business plan on our long-term financial results and (iii) statements relating to future contemplated strategic improvements to our product lines, constitute forward-looking statements. Such statements of anticipated future results are based on certain assumptions by management and 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 CONTINUES TO GROW PRODUCT LINE BY OFFERING NEW 16 FOOT PULL TYPE GRADER BLADE

FOR IMMEDIATE RELEASE For More Information, Contact:
March 10, 2010 Jim Drewitz, Public Relations
830-669-2466

16 Foot Is A New Model To The Current Lineup Of Pull Type Graders

 

ARMSTRONG, Iowa, March 10, 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 is expanding their industry leading pull type graders by adding a 16 foot blade to their lineup of 9’, 12’ and 14’ models. The new 16’ blade will be available approximately May 1, 2010. The Company is taking orders now.

 

Standard features include: 16 foot blade, 15 degree blade tilt for slop cuts, 42 degree blade angle with blade swing, 15” ground clearance, 30 “ blade height, replaceable high carbon steel cutting edge, 4 hydraulic cylinders and hoses, 3 hydraulic tractor valves (angle, tilt, raise), swivel hitch, 11L X 15 tires, 6- bolt hubs, box scraper ends, weight box and storage parking jack.

 

J. Ward McConnell, Jr., Chairman of the Board, said, “We are pleased to announce we have expanded our robust product line with the introduction of this new 16 foot grader blade. In the past couple of years we have been aggressive introducing new products and we look forward to building on the strength of the Art’s Way brand throughout 2010. We remain committed to staying alert and responsive to the needs and requests of our consumers. I know our dealers will be very excited to offer to their customers this new 16 foot addition to our line of pull type graders.”

 

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-

Art’s Way Manufacturing Announces Acquisition Completion of Manure Spreader Product Line of Roda Manufacturing

FOR IMMEDIATE RELEASE
January 20, 2010
News

 

ARMSTRONG, Iowa, January 20, 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 previously announced acquisition of the manure spreader product line of Roda Manufacturing, Inc., Hull, Iowa. www.rodamfg.com. At closing, Art’s Way Manufacturing paid approximately $1,189,000.

The product line includes The H Series – a non-commercial, high quality, low maintenance pull-type manure spreader that comes in 400, 600 and 800 bushels. The V Series – a commercial spreader with removable vertical beaters, adjustable apron speed and a reversible apron. The HV Series – combines the best of both the H and V Series. These units are rugged, reliable and available in 20′, 22′ and 24′ box length with either horizontal or vertical beater options. They also feature a durable one-piece frame design and a triple apron.

J. Ward McConnell, Jr., Chairman of the Board, said, “Our entire team is extremely pleased to complete this product line acquisition because we believe it will be earnings accretive immediately, hold a compelling valuation, is an outstanding fit with our industry leading forage equipment and is a key element in our ‘roll-up strategy’. This vertical acquisition allows us to expand and round out our product line, improve our niche manufacturing leadership position, build our asset base for revenue growth and increase shareholder value. I know our dealers will be very excited to be able to offer this outstanding line of manure spreaders to their customers.”

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 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.  In this release, forward-looking statements generally relate to: (i) the Company’s ability to meet its production schedule; (ii) the Company’s intent to focus on driving revenue, controlling costs and strengthening its balance sheet; (iii) the expected impact of worldwide economic conditions; and (iv) intent to monitor market opportunities; and (vi) the Company’s growth potential in its industry.  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 and acceptance of its product lines, current domestic and international economic conditions, the Company’s ability to manage growth, incorrect assumptions by management with respect to production cycles and market conditions, unexpected production delays 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 CONTRACT FOR MODULAR SWINE FACILITY FOR THE UNIVERSITY OF GEORGIA

FOR IMMEDIATE RELEASE
November 16, 2009
News

ARMSTRONG, Iowa, November 16, 2009 – Art’s Way Manufacturing, Inc. (NASDAQ: ARTW), announces its wholly owned subsidiary, Art’s Way Scientific, Inc. – Buildings For Science – will be providing 6 modular swine facilities for breeding, gestation, farrowing, nursery and finisher operations. The complex will be used to train undergraduate and graduate students in all aspects of swine production. Research projects will include trials on nutrition, physiology and meat quality. The contract is valued at approximately $1.3 million.

The facility, developed for the University of Georgia in association with the Office of University Architects and Department of Animal & Dairy Sciences, will have some unique environmental features. Methane gas generated on-site will be used to fire the boilers that treat animal wastes and minimize odors. Exhaust fans are being connected to a biofilter in order to increase air quality. Rain water will be captured and reused to help keep the animal buildings clean. Waste water from the process will be spread on adjoining fields for irrigation.

Dan Palmer, General Manager of Art’s Way Scientific said, “We are very pleased to have been awarded this contract. With swine, specific attention needs to be paid to the management of effective environmental conditions, cleanable surfaces ventilation, animal pens, manure management and the quantity and quality of food and water. Our unique and modular designs address all of these key issues.”

J. Ward McConnell, Jr., Executive Chairman of the Board, said, “I am gratified Art’s Way Scientific’s design, manufacturing, pricing and customer service was evaluated and chosen to construct this innovative research center. With this order and other opportunities we are bidding on, we are confident Art’s Way Scientific will continue to contribute to the Company’s overall revenue and income growth in 2009 and beyond. We continue to focus on exceeding our customers’ expectations and increasing shareholder value.”

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.

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 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.  In this release, forward-looking statements generally relate to: (i) the Company’s ability to meet its production schedule; (ii) the Company’s intent to focus on driving revenue, controlling costs and strengthening its balance sheet; (iii) the expected impact of worldwide economic conditions; and (iv) intent to monitor market opportunities; and (vi) the Company’s growth potential in its industry.  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 and acceptance of its product lines, current domestic and international economic conditions, the Company’s ability to manage growth, incorrect assumptions by management with respect to production cycles and market conditions, unexpected production delays 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 TO ACQUIRE MANURE SPREADER PRODUCT LINE OF RODA MANUFACTURING

FOR IMMEDIATE RELEASE
October 23, 2009
News

 

ARMSTRONG, Iowa, October 12, 2009 – Art’s Way Manufacturing, Inc. (NASDAQ: ARTW), a leading manufacturer and distributor of agricultural machinery, equipment, and services, is pleased to announce the Company has signed a letter of intent to acquire the manure spreader product line of Roda Manufacturing, Inc., Hull, Iowa. www.rodamfg.com.

The product line includes The H Series – a non-commercial, high quality, low maintenance pull-type manure spreader that comes in 400, 600 and 800 bushels. The V Series – a commercial spreader with removable vertical beaters, adjustable apron speed and a reversible apron. The HV Series – combines the best of both the H and V Series. Rugged, reliable and available in 20’, 22’ and 24’ box length with either horizontal or vertical beater options. It also features a durable one-piece frame design and a triple apron.

The acquisition is anticipated to close not later than January 5, 2010.

J. Ward McConnell, Jr., Chairman of the Board, said, “This product line acquisition candidate absolutely fits Art’s Ways business model, which has the objective of completing strategic and vertical acquisitions that allows us to expand our product line, improve our niche manufacturing leadership position, build our asset base for revenue growth and increase shareholder value. I know our dealers will be very excited to be able to offer this outstanding line of manure spreaders to their customers.”

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 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.  In this release, forward-looking statements generally relate to: (i) the Company’s ability to meet its production schedule; (ii) the Company’s intent to focus on driving revenue, controlling costs and strengthening its balance sheet; (iii) the expected impact of worldwide economic conditions; and (iv) intent to monitor market opportunities; and (vi) the Company’s growth potential in its industry.  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 and acceptance of its product lines, current domestic and international economic conditions, the Company’s ability to manage growth, incorrect assumptions by management with respect to production cycles and market conditions, unexpected production delays 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 FINANCIAL RESULTS FOR THIRD QUARTER AND NINE MONTHS

FOR IMMEDIATE RELEASE
October 12, 2009
News

 

Conference Call Scheduled for 9:00 AM Central Time, Wednesday, October 14, 2009

ARMSTRONG, Iowa, October 12, 2009 – Art’s Way Manufacturing, Inc. (NASDAQ: ARTW), a leading manufacturer and distributor of agricultural machinery, equipment, and services announced its financial results for the three and nine months ended August 31, 2009.

In conjunction with the release, the Company has scheduled a conference call Wednesday, October 14, 2009 at 9:00 AM Central Time.

What: Art’s-Way Manufacturing Third Quarter & Nine Months Financial Results Conference Call

When: Wednesday, October 14, 2009 – 9:00 AM Central Time

How: Live via phone by dialing 1 (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., 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, the status of the Company and an outlook for the balance of 2009.

Financial Highlights For the Three and Nine Months Ended August 31, 2009:

  • Net sales for the three months ended August 31, 2009 were $5.6 million.
  • Net sales for the nine months ended August 31, 2009 were $19.4 million.
  • As of September 2009, order backlog is $6.2 million.

 

For the Three Months Ended
August 31, 2009 August 31, 2008 Change
Revenue $5,600,464      $9,420,696 -40.6%
Operating Income $213,169      $870,484 -75.5%
Net Income $67,725      $538,389 -87.4%
EPS (Basic) $0.02      $0.14 -85.7%
EPS (Diluted) $0.02      $0.13 -84.6%
Weighted avg. shares outstanding:
Basic 3,990,352      3,972,548
Diluted 3,999,950      3,989,880
For the Nine Months Ended
August 31, 2009 August 31, 2008 Change
Revenue $19,406,975      $23,855,763 -18.6%
Operating Income $602,033      $2,723,604 -77.9%
Net Income $181,238      $1,904,275 -90.5%
EPS (Basic) $0.05      $0.48 -89.6%
EPS (Diluted) $0.05      $0.48 -89.6%
Weighted avg. shares outstanding:
Basic 3,987,856      3,971,676
Diluted 3,989,623      3,994,024

Revenue: Our consolidated net sales for the nine-month period ended August 31, 2009 were $19,407,000 compared to $23,856,000 for the same period in fiscal 2008.  Consolidated net sales for the three-month period ended August 31, 2009 were $5,600,000 compared to $9,421,000 for the same period in fiscal 2008.

Art’s-Way Manufacturing, our agricultural products segment, had net sales of approximately $4,993,000 and $15,868,000 for the three- and nine-month periods ended August 31, 2009, respectively, compared to $6,685,000 and $15,878,000 for the same respective periods in fiscal 2008, which represents a decrease of 25.3% and 0.1%, respectively.  The three-month and nine-month decrease in sales for Art’s-Way Manufacturing was largely due to the decreased sales of sugar beet harvesters and grinder mixers.  This decrease, however, was partially offset by the sales from the Miller Pro products, and also the sales of augers, which we started producing in the current fiscal year.

Art’s-Way Vessels, our pressurized vessels segment, had net sales of approximately $242,000 and $616,000 for the three- and nine-month periods ended August 31, 2009, respectively, compared to $25,000 and $228,000 for the same respective periods in fiscal 2008, which represents an increase of 868.0% and 170.2%, respectively.  This was an expected increase due to the ongoing process of rebuilding sales that were lost during the period after the termination of our lease.

Art’s-Way Scientific, our modular buildings segment, had net sales of approximately $366,000 and $2,923,000 for the three- and nine-month periods ended August 31, 2009, respectively, compared to $2,711,000 and $7,750,000 for the same respective periods in fiscal 2008.  The decrease in net sales for Art’s-Way Scientific was the result of engineering delays during the second and third quarter and, more significantly, a decrease in demand for modular buildings, which management believes was largely due to the impact of current economic conditions on the capital budgets of potential customers.

Gross Profit: Consolidated gross profit margin for the three- and nine-month periods ended August 31, 2009 was 23.2% and 21.1%, respectively, compared to 23.4% and 28.6% for the same respective periods in the 2008 fiscal year, primarily due to decreases in gross profit margin at Art’s-Way Manufacturing and Art’s-Way Scientific.  The gross profit margin of Art’s-Way Manufacturing increased from 26.1% to 31.0% in the three-month period ending August 31, 2008 compared to the same period in 2009, but decreased to 24.4% from 31.4% in the nine-month period ending August 31, 2009 compared to the same period in 2008, primarily due to pricing commitments in effect during the first and second quarter.  After the purchase of the Miller Pro product line, we had many orders that we were unable to produce in a timely fashion.  In order to satisfy our customers, we agreed to sell these goods at the lower prices quoted in 2007.  As a result of our production delays caused by the integration of this product line, we shipped goods in the first and second quarters of 2009 that were priced at the end of 2007 and manufactured with materials purchased at the higher prices of 2008.  We have completed our commitments on the 2007 pricing, and do not anticipate any additional production delays.

The gross profit margin of Art’s-Way Vessels increased from -640.0% and -159.2% in the three- and nine-month periods ended August 31, 2008 to 5.0% and -21.3% for the same respective periods in 2009.  This increase was due to our increased sales, which help defray the fixed manufacturing expenses, such as depreciation and manufacturing overhead.  The gross profit margin of Art’s-Way Scientific decreased from 27.1% and 28.4% in the three- and nine–month periods ended August 31, 2008, respectively, to -70.5% and 2.5% for the same respective periods in 2009.  The decrease in gross profit margin at Art’s-Way Scientific was primarily due to the decrease in revenue explained above.  In addition, gross profit margins at Art’s-Way Scientific were negatively impacted during the first and second quarter by unanticipated cost overruns on a project that was substantially completed during the third quarter.

Earnings Per Share:  Earnings per diluted share for the three months ended August 31, 2009 decreased to $0.02 as compared to $0.13 for the three months ended August 31, 2008, a decrease of 84.6% or $0.11. Earnings per share basic and diluted share for the nine months ended August 31, 2009 decreased 89.6% from $0.48 for the nine-month period ended August 31, 2008 to $0.05 for the nine-month period ended August 31, 2009.

J. Ward McConnell Jr., Executive Chairman of the Board of Directors said, “This has been a mixed quarter and nine months. We had improvements with Vessels and Augers but government grants have not come through, as yet, to stimulate new orders for Scientific.  The broad based economic downturn has had a serious impact on our top and bottom lines.  Additionally, since any improvements appear to be slow and uncertain, we expect the economic conditions to continue to adversely affect earnings throughout our fiscal year.

“Our top priorities for the remainder of the year remain unchanged.  We will continue to work hard to rein in costs, right-size our businesses and improve our sales pipeline.  As we look ahead, while the recovery may be slow and uneven, our continued focus will be on driving revenue, controlling costs and strengthening our balance sheet which will position us to take advantage of the coming economic recovery.”

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 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.  In this release, forward-looking statements generally relate to: (i) the Company’s ability to meet its production schedule; (ii) the Company’s intent to focus on driving revenue, controlling costs and strengthening its balance sheet; (iii) the expected impact of worldwide economic conditions; and (iv) intent to monitor market opportunities; and (vi) the Company’s growth potential in its industry.  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 and acceptance of its product lines, current domestic and international economic conditions, the Company’s ability to manage growth, incorrect assumptions by management with respect to production cycles and market conditions, unexpected production delays 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