Supreme Industries, Inc.
(NYSE Amex: STS)
a leading manufacturer of specialized commercial vehicles, including truck bodies, shuttle buses, armored vehicles and homeland response vehicles, today announced financial results for its second quarter and first half ended June 26, 2010.
During the second quarter, the Company experienced improved demand for all major product lines including truck, bus and armored vehicles. Sales order backlog at June 26, 2010, was up 35% to $91.7 million, versus $68.1 million at year-end 2009, and up 50% from $61.2 million a year ago.
Net sales for the 2010 second quarter increased 27% to $60.5 million, compared with $47.6 million in the prior-year quarter. For the first six months of 2010, net sales increased 13% to $109.0 million, versus $96.2 million in 2009’s first half.
Compared with last year’s second quarter, sales in Supreme’s core dry-freight and armored vehicle divisions improved 39% and 52%, respectively. The Company’s bus division posted a 5% sales increase versus the prior-year period. Net sales also improved in each of the Company’s primary product lines during the first half of 2010, with dry-freight and armored vehicles reporting 10% and 11% gains, respectively. Bus sales increased 24% versus the first six months of 2009.
The second-quarter loss from continuing operations before income taxes was $18,000, compared with the pre-tax loss of $1.5 million for the year-ago quarter. For the first half of 2010, the Company reported a loss from continuing operations before income taxes of $2.4 million, versus the 2009 pre-tax loss of $4.4 million. The Company did not record an income tax benefit for the three and six months ended June 26, 2010, due to having fully utilized its loss carryback benefits in 2009. This resulted in a valuation allowance for the potential future tax benefits of the net operating loss. Accordingly, the after-tax loss from continuing operations was $18,000, or breakeven on a per-share basis, compared with an after-tax loss of $0.9 million, or $0.07 per share, in 2009’s second quarter. For the first six months of 2010, the after-tax loss from continuing operations was $2.4 million, or $0.17 per share, compared with an after-tax loss of $2.1 million, or $0.15 per share, in 2009’s comparable period.