Sales during the period totaled $128 million versus $96.1 million the year prior. The Charlotte Mich.-based company reported that its Specialty Chassis & Vehicles (SCV) unit reported lower first-quarter revenue and operating income compared to the previous year despite despite sales of motorhome and bus chassis edging up 6.8% to $21.8 million from $20.4 million.
Spartan incurred a net loss of $2.1 million, or 6 cents per share, versus a net loss of $4.3 million, or 13 cents per share a year ago.
CEO John Sztykiel noted, “In the first quarter of 2014, our DSV and Delivery & Service (SCV) segments reported operating profits while we continued to improve the performance of our Emergency Response (ER) group. DSV reported a $2.6 million operating profit and continued on their path to operating cost reductions. SCV was profitable for the quarter despite the anticipated drop in defense-related aftermarket parts revenue, demonstrating our focus on disciplined execution.”
Other highlights from the first quarter include:
• Gross margin of 10% of sales versus 6.6%.
• Operating loss of $3.5 million compared to an operating loss of $6.8 million.
• Cash balance of $27.2 million at March 31, 2014, compared to $16.6 million at March 31, 2013.
• Order backlog increased to $274 million at March 31, 2014, from $242.7 million at Dec. 31, 2013.
To view the full report click here.
Spartan Motors Inc., parent to Spartan Chassis Inc., today (Feb. 24) announced that Lori Wade has been named CFO and treasurer, effective immediately. According to a press release, Wade has served as Spartan’s Interim CFO and Treasurer since early 2013.
John Sztykiel, CEO of Spartan Motors, stated, “Lori performed exceptionally well in the interim role and has proven herself to be the right choice for CFO. She has strengthened the finance organization and has been an important leader in our performance improvement efforts over the past several months. Spartan is fortunate to have Lori as a member of its senior leadership team.”
Wade joined Spartan in February 2008 as the company’s executive director of finance. Prior to joining Spartan, she spent more than 21 years at Eaton Corp. where she served as Truck Group Worldwide Sarbanes-Oxley manager and various other controller and financial management positions. She holds a bachelor’s in accounting from Northwest Missouri State University.
Spartan Motors Inc., parent to industry supplier Spartan Chassis Inc., reported an 11.7% increase in revenue during its third quarter, ended Sept. 30.
Sales during the period totaled $126.1 million compared to $112.9 million a year ago. After an income tax provision of $1.3 million to adjust income tax expense for 2013 to a projected 20% rate for the year, Spartan reported net income of $0.6 million, or 2 cents per diluted share, versus a net loss of $0.3 million, or 1 cent per diluted share, in the third quarter of 2012.
Third-quarter operating income totaled $1.8 million compared with an operating loss of $0.3 million the year prior. Spartan reported a cash balance of $20 million as of September 30, up from $15.6 million at June 30, 2013.
Spartan CEO John Sztykiel noted, “The third quarter was another quarter in which we executed the plan, the “I” in DRIVE (Integrated Operational Improvement), and delivered improved operating results. All three of our segments, Emergency Response (ER), Delivery and Service (DSV), and Specialty Vehicles (SV), posted operating income, a reflection that DRIVE is delivering positive results across Spartan Motors. Our backlog grew by 37.8% compared to Q3 2012, and we improved our cash position by $4.4 million from June 30, 2013, both positive indicators as we close out 2013.
“DRIVE is working, and we are moving forward. This progress is expected to lead to better operating performance in the fourth quarter of 2013 and into 2014. With our major operational initiatives showing positive results and our greatest challenges behind us, we are shifting more attention to generating diversified growth.”
For the first nine months, Spartan reported revenue of $343.1 million versus $346.1 million in the same period of 2012. The decline in revenue from the prior year was due to the disruption caused by Utilimaster’s move of walk-in van production to Bristol, Ind., in the first quarter of 2013 and the completion of a large field service solutions program in mid-2012. Spartan booked an operating loss of $3.9 million for 2013 year-to-date, compared to operating income of $0.2 million for the first three quarters of 2012.
To view the full report click here.
Spartan Motors Inc., parent to Spartan Chassis Inc, reported lower net income for its second quarter on an increase in revenue, boosted by improved motorhome sales.
The Charlotte, Mich.-based firm posted sales of $120.9 million, up 5.7% from $114.4 million a year ago. Net income totaled $0.7 million, or 2 cents per diluted share, compared to net income of $2.4 million, or 7 cents per diluted share, in the year prior.
For the six months, Spartan reported sales of $270 million versus $233.2 million the previous year while the company incurred a net loss of $3.6 million compared with net income of $0.3 million.
The Specialty Vehicle (SV) segment drove Spartan’s revenue growth for the second quarter. Demand for the company’s custom chassis grew, particularly for RV and bus applications, which led to a revenue increase of 42.9% year-over-year. Operating income for the SV segment rose sharply to $3.9 million from $0.6 million in the second quarter of 2012. Growth in operating income was due to higher revenue in the most recent quarter, as well as the operational improvement actions taken in this segment over the past year.
John Sztykiel, president and CEO of Spartan Motors Inc., stated, “For Spartan, the second quarter of 2013 was about demonstrating operational improvement in every market segment from the first quarter of 2013 and backlog growth, both sequentially and year-over-year. The Company generated improved results by implementing the D (Diversified Growth) and I (Integrated Operational Improvement) in DRIVE. We expect improved results in the third and fourth quarters of 2013 as we execute our DRIVE strategy and deliver on our shareholder commitments.”
He added, “Eighteen months ago, the motorhome and bus chassis business was a serious drag on Spartan’s earnings. In early 2012, we began executing the DRIVE strategy in a disciplined manner, increasing revenue and operating profit. The success we have demonstrated in the SV segment should enhance confidence that we will successfully address the operational challenges we are working through in the Emergency Response Vehicles and Delivery & Service Vehicles units.”
Gross margin for the second quarter of 2013 was 12.9% of sales versus 16.4% for the second quarter of 2012. Operating expenses were reduced by $0.3 million from the second quarter of 2012, to $14.6 million from $14.9 million.
The company also reported on its relocation of Utilimaster operations from Wakarusa, Ind., to nearby Bristol.
John Forbes, president of Utilimaster, noted, “Production launch activities at Bristol continued throughout the second quarter. Production increased from 93 units in the first quarter of 2013 to 914 units in the second quarter. Daily vehicle output continues to increase and we are meeting delivery commitments to our customers. Our team continues to make progress on materials storage and distribution, improving production processes and increasing daily unit volumes in our operations.”
To view the entire report click here.
Spartan Motors Inc., parent to motorhome supplier Spartan Chassis Inc., will announce its second-quarter results prior to the market opening on Aug. 1.
The company will also host a webcast of its conference call on the same day at 10 a.m. EDT to discuss its financial results with analysts and institutional investors.
To access the conference call go to www.spartanmotors.com and click on “Shareholders,” then “Webcasts.” If unable to participate during the live webcast, the call will be archived on the company’s website.
The ongoing move of Utilimaster Corp. from Wakarusa, Ind., to nearby Bristol dragged down earnings of parent company Spartan Motors Inc. for the first quarter of 2013. But, according to a report by the Elkhart Truth, the company expects the move to pay off in the long run and is expanding Utilimaster’s product offerings.
“We completed the move of Utilimaster’s walk-in van business from Wakarusa to Bristol,” during the quarter, wrote John Sztykiel, president and chief executive of Spartan. “Our high-volume line is now running at expected rates. Now we are adding the lower-volume, mixed-model line, which should ramp up to expected rates during the second quarter. We are excited to see more than 12 months of hard work come to fruition in the form of a high-quality product coming off the line, 100% complete,” he wrote in the company’s quarterly results announcement May 8.
Company revenues were down 19.1% from the same quarter last year and the company posted a net loss of 13 cents per share, much of that attributed to the Utilimaster move.
John Forbes, Utilimaster president, said production in Bristol started in mid-February, moving from a “sprawling, 16-building campus with a 2 1/2-mile-long production line and outdoor inventory storage to one, efficient, self-contained facility.”
The company has figured out better ways to produce vehicles, an effort it expects to save $4 million a year when all is said and done. “The Bristol project represents a shift in culture as well as production methods and location,” Forbes said in the company announcement.
To read the entire article click here.
Spartan Motors Inc., parent to Spartan Chassis Inc., announced that its board has declared a cash dividend of 5 cents per share of common stock.
The Charlotte, Mich.-based manufacturer of custom chassis, emergency response and delivery and service vehicles reported its semi-annual dividend will be payable on June 27 to shareholders of record at the close of business on May 23.
“The approval of this semi-annual dividend reflects the board’s confidence in Spartan’s operations, financial strength and strategic direction. This marks the 20th consecutive year that Spartan has paid a cash dividend to shareholders, a record we are very proud of,” said John Sztykiel, CEO of Spartan Motors. “The board is committed to providing shareholders a consistent return component for their investment and builds the dividend into its annual capital plan.”
Spartan Motors on Wednesday (May 8) reported a net loss for its first quarter on a 19% decline in sales.
Spartan Motors Inc., parent to Spartan Chasis Inc., reported a net loss for its first quarter, ended March 31, on a 19% decline in revenue.
Sales during the three-month period totaled $96.1 million versus $118.8 million in the first quarter of 2012 due to a decline in sales in the Delivery & Service (DSV) segment. Spartan posted a net loss of $4.3 million, 13 cents per diluted share, compared to a net loss of $2 million, or 6 cents per diluted share a year ago, primarily due to the impact of lower revenue, an accrual for a product recall and costs related to the move of walk-in van production to Bristol, Ind.
John Sztykiel, president and CEO of Charlotte, Mich.-based Spartan Motors, stated, “As we indicated in our fourth quarter 2012 press release and conference call, we expected an operating loss in the first quarter of 2013. Most of the loss during the quarter was due to lower DSV revenue and expenses incurred to move and start walk-in van production at Bristol. During the first quarter, we moved the bulk of our Utilimaster business 22 miles to a much more efficient plant and began ramping up production. Our relocation plan was aggressive and complex, so it is not surprising that we encountered some growing pains during the launch phase at Bristol.”
He added, “We believe the first quarter will prove to be the most difficult quarter of 2013 and is now behind us. Although meeting our targets for the rest of the year is not without its own challenges, I have confidence in our people, our plan and our ability to turn strong backlog growth of 41.1% from the end of 2012, into a profitable second quarter and full year 2013.”
Sales in the company’s Specialty Vehicle segment, which services the RV industry, totaled $29.3 million in the first quarter of 2013 versus $26.1 million in the first quarter of 2012, an increase of 12.3%. The revenue increase was due to higher sales of recreational vehicle chassis and aftermarket parts and accessories (APA), more than offsetting a net decline in production of other specialty vehicles. Chassis sales rose by $2 million to $20.4 million in the first quarter of 2013 while APA sales totaled $6.9 million, up $2.2 million from the first quarter of 2012.
Other highlights included:
• Emergency Response (ER) revenue rose 2.9% to $34.9 million from $33.9 million.
• Delivery & Service (DSV) revenue declined 45.7% to $31.9 million from $58.8 million.
• Gross margin of 6.6% of sales versus 11.6% in the first quarter of 2012.
• Operating loss of $6.8 million compared to an operating loss of $3.4 million in Q1 2012.
• Consolidated order backlog at March 31, 2013, increased 41.1% to $228.6 million versus $162.0 million at December 31, 2012, and up 64.5% from $135.7 million at March 31, 2012.
• Cash balance of $16.6 million at March 31, 2013, compared to $21.7 million at December 31, 2012.
Looking forward, Spartan’s interim CFO Lori Wade noted, “We expect the company to be modestly profitable in the second quarter of 2013, with improving profitability during the second half of 2013. We expect Spartan to be profitable for the year as a whole. For the year, we expect to realize mid-single-digit revenue growth.
To view the entire report click here.
Spartan Motors Inc., parent to industry supplier Spartan Chassis Inc., will announce its first quarter results prior to the market opening on May 8.
The Charlotte, Mich.-based company will also host a webcast of its conference call on the same day at 10 a.m. ET to discuss its financial results with analysts and institutional investors.
To access the conference call go to www.spartanmotors.com and click on “Shareholders,” then “Webcasts.” If you are unable to participate during the live webcast, the call will be archived at www.spartanmotors.com.
Spartan Motors Inc., parent to Spartan Chassis Inc., today (March 6) announced that Joseph M. Nowicki is stepping down as CFO and treasurer to accept a position with another company. Lori L. Wade has been named Interim CFO and treasurer, effective March 22.
“Joe Nowicki was instrumental in building our finance team and in leading our business transformation,” said John Sztykiel, CEO of Spartan Motors, Inc. “Due to Joe’s financial leadership, Spartan has a solid balance sheet with great liquidity. We wish him the very best in his new position.
“I am pleased that Lori Wade has agreed to take on the additional duties of interim CFO. She knows our business well and has the support of the entire company in her new role, and particularly the support of a tremendous finance team.”
Wade has served as the company’s executive director of finance since February 2008. Prior to joining Spartan, she spent more than 21 years at Eaton Corp. where she served as worldwide Sarbanes-Oxley manager, logistics center controller and other financial management positions.
Charlotte, Mich.-based Spartan Motors Inc. reported a net loss on higher revenue for its fourth quarter.
The company, parent to Spartan Chassis Inc., said fourth-quarter revenue totaled $124.5 million compared to $111.2 million a year ago, an increase of 12.0%. For the three-month period, Spartan reported a net loss of $2.5 million, or 7 cents per diluted share, compared to net income of $0.7 million, or 2 cents per diluted share.
Excluding pre-tax restructuring charges of $1.4 million and a $1.9 million earn-out accrual related to the 2009 purchase of Utilimaster Corp., Spartan posted an adjusted net income of $0.5 million, or 1 cent per diluted share, in the fourth quarter of 2012.
For the full year, Spartan posted revenue of $470.6 million, an increase of 10.5% from 2011 revenue of $426 million. The company reported a net loss of $2.5 million, or 7 cents per diluted share, compared to net income of $0.8 million, or 2 cents per diluted share, in 2011.
Results for 2012 include pre-tax restructuring charges of $9.1 million and an earn-out accrual of $2.9 million, while for 2011 Spartan incurred pre-tax restructuring charges of $2.8 million and a $1.0 million earn-out accrual. On an adjusted basis, excluding restructuring charges and the Utilimaster earn-out, Spartan’s 2012 earnings were $6.3 million, or $0.19 per diluted share compared to $3.6 million, or $0.11 per diluted share in 2011, an increase of 75.0%.
CEO John Sztykiel stated, “The fourth quarter and full year 2012 reflected Spartan’s diversified growth strategy, with fourth-quarter revenues rising 12% over last year and full-year revenues up 10.5% from 2011. We also posted full-year adjusted earnings growth compared to 2011 and a total order backlog that increased 20.0% from year end 2011. Revenue growth was a result of Spartan’s brand strength, new product initiatives and market recovery. In addition to generating revenue growth, we did a very good job of managing operating expenses and the balance sheet.
“Although we posted sales and adjusted earnings growth in 2012, our results also show that we have more work to do on improving operations, particularly the gross margin.”
Spartan also reported that Utilimaster’s relocation from Wakarusa, Ind., to Bristol continues, with most of the physical move to be completed by the end of the first quarter of 2013. Production of walk-in vans is expected to begin at the end of the first quarter of 2013 with the move substantially completed during the second quarter.
Spartan closed the sale on 15 of the 16 buildings at its Wakarusa, Ind., complex to Forest River Inc. The company retains one building at Wakarusa, currently held for sale.
To view the entire report click here.
Charlotte, Mich.-based Spartan Motors Inc., parent to Spartan Chassis Inc., will announce its fourth quarter and full year 2012 results prior to the market opening on Feb. 12.
According to a press release, the company will also host a webcast of its conference call on the same day at 10 a.m. Eastern to discuss its financial results with analysts and institutional investors.
To access the live webcast visit www.spartanmotors.com. For those unable to participate during the live webcast, the call will be archived on Spartan’s website (click on “Shareholders,” then “Webcasts”).
Both Utilimaster Corp. and the town it’s leaving got a boost this week with the sale of the company’s former buildings in Wakarusa.
As reported by the South Bend Tribune, Spartan Motors Inc., Utilimaster’s parent company, sold 13 of its Wakarusa buildings to Forest River, according to FM Stone Commercial, which negotiated the sale. The buildings sit on 91 acres along Indiana 19 in Wakarusa, and Utilimaster already is using two of the buildings.
Utilimaster will temporarily use three buildings in Wakarusa for its truck body operation, according to Spartan Motors.
Officials from Forest River, a Berkshire Hathaway Inc. company, did not return a call to The Tribune.
On Wednesday, Jeff Troxel, town manager for Wakarusa, said the announcement was good news for the community. He said he believes Forest River already has moved its Prime Time RV business into the Wakarusa campus.
Troxel is hopeful Forest River will make full use of the former Utilimaster campus.
And if that happens, more workers will be coming into Wakarusa to help replace the 600 to 800 people who normally came to the Utilimaster facilities.
To read the entire article click here.
Elkhart, Ind.-based real estate firm FM Stone Commercial, which represented Forest River Inc. in its acquisition of Spartan Motors Inc.’s Utilimaster Corp. facility in Wakarusa, Ind., reports that 13 of the 14 industrial buildings on State Road 19 were sold in the transaction.
According to a press release, the buildings purchased by Forest River encompass 510,350 square feet in the complex currently being vacated by Utilimaster. Spartan is relocating its Utilimaster operations to Bristol, located 20 miles northeast of Wakarusa.
The buildings were on the market for just over nine months. Buildings range in size from 10,590 square feet to 90,270 square feet and were part of one of Wakarusa’s largest manufacturing facilities.
The remaining building on the Wakarusa campus is still available for sale through FM Stone Commercial. The three-story, 30,150-square-foot office building on 4.18 acres features an elevator, a climate-controlled computer room, covered loading dock, six rest rooms, heavy power, and geo-thermal heating and air conditioning.
The move to Bristol will consolidate Utilimaster’s operations into one 425,000-square-foot facility from its current campus of multiple buildings. Spartan Motors, parent to Spartan Chassis Inc., said the new facility will streamline operations and is expected to save up to $4 million annually.
Spartan Motors Inc. announced the sale of the majority of its Utilimaster Corp. manufacturing facility in Wakarusa, Ind., to Forest River Inc.
According to a news release, the transaction was pursuant to Spartan’s announcement on Feb. 14, 2012, that it will relocate the company’s Utilimaster operations to Bristol, Ind., from Wakarusa.
“The sale of the Wakarusa facility represents an important step in the transition of Utilimaster’s operations to Bristol,” said John Sztykiel, president and CEO of Charlotte, Mich.-based Spartan Motors, parent to Spartan Chassis Inc. “As we finalize the move and ramp up production, we expect the new, modern plant to support Utilimaster’s long-term growth and enable us to achieve our potential in delivery and service vehicles.”
The move to Bristol, located 20 miles east of Wakarusa, will consolidate Utilimaster’s operations into one facility from its current campus of 16 buildings. Spartan said that moving into a single plant, combined with lean manufacturing practices, will help enable Utilimaster improve product quality and manufacturing efficiency by reducing operating costs and eliminating non-value-added steps.
Forest River, based in Elkhart, is a subsidiary of Berkshire Hathaway Inc. and is one of the largest manufacturers of RVs. With multiple manufacturing facilities throughout the Midwest and West Coast, Forest River also produces park model trailers, destination trailers, cargo trailers, commercial vehicles, buses, pontoons, restroom trailers and mobile offices.