National R.V. Holdings, Inc. Reports First Quarter Results

Apr 19, 2001, 01:00 ET from National R.V. Holdings, Inc.

    PERRIS, Calif., April 19 /PRNewswire/ -- National R.V. Holdings,
 Inc. (NYSE:   NVH), today reported results for the first quarter ended
 March 31, 2001.  Net sales for the quarter were $62.4 million compared to
 $106.8 million for the first quarter of 2000.  Net loss for the quarter was
 $1.9 million compared to net income of $5.5 million for the same quarter last
 year.  The loss per diluted share was $0.19 compared to income of $0.52 last
 year (after adjusting for the cumulative effect on prior years of a change in
 accounting principle).
     Wholesale shipments of the Company's gas motorhome products were down 54%
 from 489 units for the first quarter last year to 225 units this year.
 Shipments of the Company's motorhomes built on diesel chassis declined 37% to
 241 units for the first quarter compared to 383 last year.  Unit sales of the
 Company's towable products increased 97% to 284 units from 144 units for the
 first quarter last year.
     Gross margins during the quarter continued to be adversely impacted by
 warranty reserves, inefficiencies attributable to operating at reduced
 production levels and by continued sales discounting.
     Cash decreased by approximately $11 million during the first quarter, due
 primarily to an increase in inventories as the Company prepared for the FMCA
 show held the first week of April, and to capital expenditures during the
 quarter of approximately $3 million -- primarily related to the purchase of
 the Florida parts and service facility.  Capital expenditure plans for the
 remainder of the year are targeted at about $2 million.
 
     National R.V. Holdings, Inc. is a leading manufacturer of Class "A" motor
 homes.  From its Perris, California facility, the Company designs,
 manufactures and markets National R.V. Class "A" motor homes under brand names
 including Tradewinds, Dolphin, Islander, Sea Breeze, Sea View, Surf Side,
 Marlin, Tropi-Cal, and Caribbean, and travel trailers under brand names
 including Sea Breeze, Palisades, Splash and Rage'n.  From its Junction City
 facility, the Company designs, manufactures and markets Country Coach high-end
 (Highline) Class "A" motor homes under brand names including Affinity, Allure,
 Intrigue and Magna, and bus conversions under the Country Coach Prevost brand.
 
     This release and other statements by the Company contain forward-looking
 statements within the meaning of the Private Securities Litigation Reform Act
 of 1995.  Investors are cautioned that forward-looking statements are
 inherently uncertain.  Actual performance and results may differ materially
 from that projected or suggested herein due to certain risks and uncertainties
 including, without limitation, the cyclical nature of the recreational vehicle
 industry; seasonality and potential fluctuations in the Company's operating
 results; the Company's dependence on chassis suppliers; potential liabilities
 under repurchase agreements; competition; government regulation; warranty
 claims; product liability; dependence on certain dealers and concentration of
 dealers in certain regions; and the California energy crisis.  Certain risks
 and uncertainties that could cause actual results to differ materially from
 that projected or suggested are set forth in the Company's filings with the
 Securities and Exchange Commission (SEC) and the Company's public
 announcements, copies of which are available from the SEC or from the Company
 upon request.
 
 
                            NATIONAL R.V. HOLDINGS, INC.
                          CONSOLIDATED STATEMENT OF INCOME
                        (In thousands except per share data)
                                    (Unaudited)
                                                            Three Months
                                                          Ended March 31,
                                                       2001           2000
     Net sales                                        $62,380       $106,840
     Cost of goods sold                                60,187         90,573
       Gross profit                                     2,193         16,267
     Selling expenses                                   3,039          3,374
     General and administrative expenses                2,364          2,436
     Amortization of intangibles                          103            103
       Operating income                                (3,313)        10,354
     Other expense (income):
       Interest expense                                     1              1
       Interest income                                   (221)          (254)
       Other                                               --              8
         Income before income taxes
          and cumulative effect of
          change in accounting principle               (3,093)        10,599
       Provision for income taxes                      (1,198)         3,917
     Income before cumulative
      effect of accounting change                      (1,895)         6,682
     Cumulative effect on prior years
      of change in accounting principle,
      net of tax                                           --         (1,213)
     Net income                                       $(1,895)        $5,469
     Earnings per common share
      and common equivalent shares:
       Basic:
         Income before cumulative effect
          of accounting change                        $(0.20)          $0.67
         Cumulative effect of accounting change            --         (0.12)
         Net income                                   $(0.20)          $0.55
         Weighted average number of shares              9,663         10,034
 
       Diluted:
         Income before cumulative effect of
          accounting change                           $(0.19)          $0.64
         Cumulative effect of accounting change            --         (0.12)
         Net income                                   $(0.19)          $0.52
         Weighted average number of shares              9,983         10,544
 
 
                          NATIONAL R.V. HOLDINGS, INC.
                           CONSOLIDATED BALANCE SHEET
                                 (In thousands)
                                  (Unaudited)
                                                      March 31,      Dec. 31,
                                                        2001            2000
                   ASSETS
     Current Assets:
       Cash                                            $5,724        $16,696
       Trade receivables, less allowance
        for doubtful accounts of $321                  16,945         15,109
       Inventories                                     72,534         63,639
       Deferred income taxes                            6,035          6,035
       Prepaid expenses                                 1,668          2,100
         Total current assets                         102,906        103,579
     Goodwill                                           6,436          6,539
     Property, plant and equipment, net                46,520         44,460
     Other                                              1,096          1,096
                                                     $156,958       $155,674
           LIABILITIES AND STOCKHOLDERS' EQUITY
     Current liabilities:
       Current portion of long-term debt                  $20            $20
       Accounts payable                                12,765         12,550
       Accrued expenses                                17,915         14,946
         Total current liabilities                     30,700         27,516
     Deferred income taxes                              2,801          2,801
     Long-term debt                                        59             64
     Commitments and contingencies
     Stockholders' equity:
       Preferred stock - $.01 par value;
        5,000 shares authorized, 4,000
        issued and outstanding                             --             --
       Common stock - $.01 par value;
        25,000,000 shares authorized,
        10,595,536 and 10,588,886 issued,
        Respectively                                      106            106
     Additional paid-in capital                        47,800         47,800
     Accumulated earnings                              90,753         92,648
     Less cost of treasury stock -
      932,900 shares                                 (15,261)       (15,261)
        Total stockholders' equity                    123,398        125,293
                                                     $156,958       $155,674
 
 
     Please direct questions to investors@nrvh.com.
 
     The conference call to review first quarter results will be webcast today,
 April 19, 2001, at 2 PM (EST). The link can be found on the Company's web site
 at http://www.nrvh.com/, and will be available for 90 days.
 
 

SOURCE National R.V. Holdings, Inc.
    PERRIS, Calif., April 19 /PRNewswire/ -- National R.V. Holdings,
 Inc. (NYSE:   NVH), today reported results for the first quarter ended
 March 31, 2001.  Net sales for the quarter were $62.4 million compared to
 $106.8 million for the first quarter of 2000.  Net loss for the quarter was
 $1.9 million compared to net income of $5.5 million for the same quarter last
 year.  The loss per diluted share was $0.19 compared to income of $0.52 last
 year (after adjusting for the cumulative effect on prior years of a change in
 accounting principle).
     Wholesale shipments of the Company's gas motorhome products were down 54%
 from 489 units for the first quarter last year to 225 units this year.
 Shipments of the Company's motorhomes built on diesel chassis declined 37% to
 241 units for the first quarter compared to 383 last year.  Unit sales of the
 Company's towable products increased 97% to 284 units from 144 units for the
 first quarter last year.
     Gross margins during the quarter continued to be adversely impacted by
 warranty reserves, inefficiencies attributable to operating at reduced
 production levels and by continued sales discounting.
     Cash decreased by approximately $11 million during the first quarter, due
 primarily to an increase in inventories as the Company prepared for the FMCA
 show held the first week of April, and to capital expenditures during the
 quarter of approximately $3 million -- primarily related to the purchase of
 the Florida parts and service facility.  Capital expenditure plans for the
 remainder of the year are targeted at about $2 million.
 
     National R.V. Holdings, Inc. is a leading manufacturer of Class "A" motor
 homes.  From its Perris, California facility, the Company designs,
 manufactures and markets National R.V. Class "A" motor homes under brand names
 including Tradewinds, Dolphin, Islander, Sea Breeze, Sea View, Surf Side,
 Marlin, Tropi-Cal, and Caribbean, and travel trailers under brand names
 including Sea Breeze, Palisades, Splash and Rage'n.  From its Junction City
 facility, the Company designs, manufactures and markets Country Coach high-end
 (Highline) Class "A" motor homes under brand names including Affinity, Allure,
 Intrigue and Magna, and bus conversions under the Country Coach Prevost brand.
 
     This release and other statements by the Company contain forward-looking
 statements within the meaning of the Private Securities Litigation Reform Act
 of 1995.  Investors are cautioned that forward-looking statements are
 inherently uncertain.  Actual performance and results may differ materially
 from that projected or suggested herein due to certain risks and uncertainties
 including, without limitation, the cyclical nature of the recreational vehicle
 industry; seasonality and potential fluctuations in the Company's operating
 results; the Company's dependence on chassis suppliers; potential liabilities
 under repurchase agreements; competition; government regulation; warranty
 claims; product liability; dependence on certain dealers and concentration of
 dealers in certain regions; and the California energy crisis.  Certain risks
 and uncertainties that could cause actual results to differ materially from
 that projected or suggested are set forth in the Company's filings with the
 Securities and Exchange Commission (SEC) and the Company's public
 announcements, copies of which are available from the SEC or from the Company
 upon request.
 
 
                            NATIONAL R.V. HOLDINGS, INC.
                          CONSOLIDATED STATEMENT OF INCOME
                        (In thousands except per share data)
                                    (Unaudited)
                                                            Three Months
                                                          Ended March 31,
                                                       2001           2000
     Net sales                                        $62,380       $106,840
     Cost of goods sold                                60,187         90,573
       Gross profit                                     2,193         16,267
     Selling expenses                                   3,039          3,374
     General and administrative expenses                2,364          2,436
     Amortization of intangibles                          103            103
       Operating income                                (3,313)        10,354
     Other expense (income):
       Interest expense                                     1              1
       Interest income                                   (221)          (254)
       Other                                               --              8
         Income before income taxes
          and cumulative effect of
          change in accounting principle               (3,093)        10,599
       Provision for income taxes                      (1,198)         3,917
     Income before cumulative
      effect of accounting change                      (1,895)         6,682
     Cumulative effect on prior years
      of change in accounting principle,
      net of tax                                           --         (1,213)
     Net income                                       $(1,895)        $5,469
     Earnings per common share
      and common equivalent shares:
       Basic:
         Income before cumulative effect
          of accounting change                        $(0.20)          $0.67
         Cumulative effect of accounting change            --         (0.12)
         Net income                                   $(0.20)          $0.55
         Weighted average number of shares              9,663         10,034
 
       Diluted:
         Income before cumulative effect of
          accounting change                           $(0.19)          $0.64
         Cumulative effect of accounting change            --         (0.12)
         Net income                                   $(0.19)          $0.52
         Weighted average number of shares              9,983         10,544
 
 
                          NATIONAL R.V. HOLDINGS, INC.
                           CONSOLIDATED BALANCE SHEET
                                 (In thousands)
                                  (Unaudited)
                                                      March 31,      Dec. 31,
                                                        2001            2000
                   ASSETS
     Current Assets:
       Cash                                            $5,724        $16,696
       Trade receivables, less allowance
        for doubtful accounts of $321                  16,945         15,109
       Inventories                                     72,534         63,639
       Deferred income taxes                            6,035          6,035
       Prepaid expenses                                 1,668          2,100
         Total current assets                         102,906        103,579
     Goodwill                                           6,436          6,539
     Property, plant and equipment, net                46,520         44,460
     Other                                              1,096          1,096
                                                     $156,958       $155,674
           LIABILITIES AND STOCKHOLDERS' EQUITY
     Current liabilities:
       Current portion of long-term debt                  $20            $20
       Accounts payable                                12,765         12,550
       Accrued expenses                                17,915         14,946
         Total current liabilities                     30,700         27,516
     Deferred income taxes                              2,801          2,801
     Long-term debt                                        59             64
     Commitments and contingencies
     Stockholders' equity:
       Preferred stock - $.01 par value;
        5,000 shares authorized, 4,000
        issued and outstanding                             --             --
       Common stock - $.01 par value;
        25,000,000 shares authorized,
        10,595,536 and 10,588,886 issued,
        Respectively                                      106            106
     Additional paid-in capital                        47,800         47,800
     Accumulated earnings                              90,753         92,648
     Less cost of treasury stock -
      932,900 shares                                 (15,261)       (15,261)
        Total stockholders' equity                    123,398        125,293
                                                     $156,958       $155,674
 
 
     Please direct questions to investors@nrvh.com.
 
     The conference call to review first quarter results will be webcast today,
 April 19, 2001, at 2 PM (EST). The link can be found on the Company's web site
 at http://www.nrvh.com/, and will be available for 90 days.
 
 SOURCE  National R.V. Holdings, Inc.