General Kinetics Announces Quarterly Results

Apr 17, 2001, 01:00 ET from General Kinetics Incorporated

    CHANTILLY, Va., April 17 /PRNewswire/ -- General Kinetics Incorporated
 (OTC Bulletin Board:   GKIN) announces the following results of operations for
 the quarter and nine months ended February 28, 2001:
 
                                                 Quarter Ended   Quarter Ended
                                                  Feb 28, 2001   Feb 29, 2000
                                                  (Unaudited)     (Unaudited)
 
     Revenues                                      $1,526,900     $1,832,200
     Operating income/(loss)                          (23,700)      (298,500)
 
     Income/(loss):
       Before extraordinary item                       96,100       (356,500)
       Extraordinary item                               --           278,800
     Net income/(loss)                                 96,100        (77,700)
 
     Diluted earnings/(loss) per share:
       Before extraordinary item                        0.004          (0.05)
       Extraordinary item                               --               .04
     Diluted earnings/(loss) per share                 $0.004         $(0.01)
 
 
                                                   Nine Months    Nine Months
                                                      Ended          Ended
                                                   Feb 28, 2001   Feb 29, 2000
                                                   (Unaudited)    (Unaudited)
 
     Revenues                                      $6,240,900     $6,883,700
     Operating income/(loss)                           41,900       (389,000)
 
     Income/(loss):
       Before extraordinary item                       51,500       (623,100)
       Extraordinary item                               --           278,800
     Net income (loss)                                 51,500       (344,300)
 
     Diluted earnings/(loss) per share:
       Before extrordinary item                         0.002          (0.09)
       Extraordinary item                               --               .04
     Diluted earnings/(loss) per share                 $0.002         $(0.05)
 
     For the quarter ended February 28, 2001 the Company reported net income of
 $96,100 on sales of approximately $1.5 million, as compared to a net loss of
 $77,700 on sales of approximately $1.8 million in the quarter ended February
 29, 2000. The net income for the current quarter included $175,000 in "other
 income" related to the payment of notes receivable that had been fully
 reserved in the prior fiscal year. The gross margin percentage increased from
 2% for the quarter ended February 29, 2000 to 19% for the quarter ended
 February 28, 2001. The primary reasons for the increase in gross profit
 margins were the steps taken to address production issues identified during
 fiscal 2000 by making changes in plant supervision and adding new scheduling
 and planning procedures.
     Larry Heimendinger, Chairman of the Board of GKI, observed, "We are
 continuing to take step to address production issues and increase gross margin
 percentages. We are attempting to stabilize the level of shipments at a
 profitable level through these production changes and an increased sales
 effort."
     General Kinetics Incorporated, headquartered in Chantilly, Virginia,
 designs, produces and markets Precision Electronic Enclosures.
 
 

SOURCE General Kinetics Incorporated
    CHANTILLY, Va., April 17 /PRNewswire/ -- General Kinetics Incorporated
 (OTC Bulletin Board:   GKIN) announces the following results of operations for
 the quarter and nine months ended February 28, 2001:
 
                                                 Quarter Ended   Quarter Ended
                                                  Feb 28, 2001   Feb 29, 2000
                                                  (Unaudited)     (Unaudited)
 
     Revenues                                      $1,526,900     $1,832,200
     Operating income/(loss)                          (23,700)      (298,500)
 
     Income/(loss):
       Before extraordinary item                       96,100       (356,500)
       Extraordinary item                               --           278,800
     Net income/(loss)                                 96,100        (77,700)
 
     Diluted earnings/(loss) per share:
       Before extraordinary item                        0.004          (0.05)
       Extraordinary item                               --               .04
     Diluted earnings/(loss) per share                 $0.004         $(0.01)
 
 
                                                   Nine Months    Nine Months
                                                      Ended          Ended
                                                   Feb 28, 2001   Feb 29, 2000
                                                   (Unaudited)    (Unaudited)
 
     Revenues                                      $6,240,900     $6,883,700
     Operating income/(loss)                           41,900       (389,000)
 
     Income/(loss):
       Before extraordinary item                       51,500       (623,100)
       Extraordinary item                               --           278,800
     Net income (loss)                                 51,500       (344,300)
 
     Diluted earnings/(loss) per share:
       Before extrordinary item                         0.002          (0.09)
       Extraordinary item                               --               .04
     Diluted earnings/(loss) per share                 $0.002         $(0.05)
 
     For the quarter ended February 28, 2001 the Company reported net income of
 $96,100 on sales of approximately $1.5 million, as compared to a net loss of
 $77,700 on sales of approximately $1.8 million in the quarter ended February
 29, 2000. The net income for the current quarter included $175,000 in "other
 income" related to the payment of notes receivable that had been fully
 reserved in the prior fiscal year. The gross margin percentage increased from
 2% for the quarter ended February 29, 2000 to 19% for the quarter ended
 February 28, 2001. The primary reasons for the increase in gross profit
 margins were the steps taken to address production issues identified during
 fiscal 2000 by making changes in plant supervision and adding new scheduling
 and planning procedures.
     Larry Heimendinger, Chairman of the Board of GKI, observed, "We are
 continuing to take step to address production issues and increase gross margin
 percentages. We are attempting to stabilize the level of shipments at a
 profitable level through these production changes and an increased sales
 effort."
     General Kinetics Incorporated, headquartered in Chantilly, Virginia,
 designs, produces and markets Precision Electronic Enclosures.
 
 SOURCE  General Kinetics Incorporated