WEST PALM BEACH, Fla., Feb. 14, 2013 (GLOBE NEWSWIRE) -- Forward Industries, Inc. (Nasdaq:FORD), a designer and distributor of custom carry and protective solutions, today announced financial results for its first fiscal quarter ended December 31, 2012.
Fiscal 2013 First Quarter Financial Results – Compared to the 2013 quarter first quarter results:
- Net sales increased $0.8 million, or 13%, to $7.0 million in the 2013 quarter due primarily to higher sales of diabetic products, which increased $1.2 million. Sales of Other Products decreased $0.3 million, or 13%, to $1.8 million.
- Gross profit increased $0.3 million to $1.5 million, or 22% of net sales, in the 2013 quarter due primarily to the higher sales level achieved and cost savings realized from the restructure of our Asia-based sourcing and quality assurance operations.
- Sales and marketing expenses increased $0.2 million, or 65%, to $0.5 million in the 2013 quarter due primarily to higher personnel costs resulting from the restructure of our sales and sales support teams.
- General and administrative expenses decreased $0.3 million, or 25%, to $1.1 million in the 2013 quarter due primarily to lower professional fees and personnel costs resulting from the restructure of our executive, finance, and IT teams.
- Other income, net, increased to $0.2 million in the 2013 quarter from $28 thousand in the 2012 quarter due primarily to net realized and unrealized gains on investments in marketable securities.
- Net income from continuing operations was $0.2 million, or $0.02 per basic and diluted share, in the 2013 quarter compared to a net loss of $0.5 million, or $(0.06) per basic and diluted share, in the 2012 quarter.
- Net loss from discontinued operations was $42 thousand, or $(0.01) per basic and diluted share, in the 2013 quarter, compared to $1.0 million, or $(0.13) per basic and diluted share, in the 2012 quarter.
Robert Garrett, Jr., Forward's Chief Executive Officer, commented: "Our financial results for the first quarter of Fiscal 2013 reflect the progress we have made towards our goal of improving our operating performance and returning our company to sustainable profitability. Since initiating our restructuring plan in June 2012 we have significantly lowered our total operating expenses through headcount reductions, office closures, relocation of our corporate headquarters, and other cost rationalization initiatives, even after reinvesting a portion of the cost savings to expand and restructure our sales and sales support teams. Although we continue to confront some legacy costs associated with the closure of our retail division and relocation to West Palm Beach, we believe the operational restructuring we embarked upon is largely complete.