ELKHART, INDIANA — JULY 27, 2007
SKYLINE REPORTS YEAR-END, FOURTH QUARTER RESULTS
Net earnings for Skyline Corporation’s 2007 fiscal year were $2,593,000 compared to $14,292,000 in fiscal 2006. On a per share basis, fiscal 2007 net earnings were $0.31 versus $1.70 in the 2006 fiscal year.
For the fourth quarter which ended May 31, 2007, net earnings were $2,247,000 compared to $5,153,000 of the fourth quarter of fiscal 2006. Net earnings per share for fiscal 2007’s fourth quarter were $0.27 versus $0.61 of the fourth quarter of fiscal 2006
Sales for fiscal 2007 were $365,473,000 compared to $508,543,000 of a year earlier. Sales for the fourth quarter of fiscal 2007 were $88,536,000 compared to $136,219,000 of fiscal 2006’s fourth quarter.
Sales for Skyline’s manufactured housing group for fiscal 2007 were $272,383,000 compared to $376,405,000 of fiscal 2006. The group’s sales for the fiscal 2007 fourth quarter totaled $64,035,000 compared to $97,399,000 of the comparable period of fiscal 2006.
For Skyline’s RV group, sales for fiscal 2007 were $93,090,000 compared to $132,138,000 of fiscal 2006. The RV group’s sales for fiscal 2007’s fourth quarter were $24,501,000 compared to $38,820,000 of the fourth quarter of fiscal 2006.
Skyline continues to maintain its traditionally strong balance sheet with no long-term debt and a healthy position in cash and temporary cash investments. This financial strength, along with a seasoned management team, should help the company meet the challenges ahead.
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SKYLINE CORPORATION AND SUBSIDIARY COMPANIES
CONSOLIDATED CONDENSED STATEMENTS OF EARNINGS
CONSOLIDATED CONDENSED STATEMENTS OF EARNINGS
(Dollars in thousands except per share)
| Three Months Ended | Year Ended | |||||||||||||||
| May 31, | May 31, | |||||||||||||||
| 2007 | 2006 | 2007 | 2006 | |||||||||||||
| (Unaudited) | (Unaudited) | |||||||||||||||
| Sales | $ | 88,536 | $ | 136,219 | $ | 365,473 | $ | 508,543 | ||||||||
| Earnings before income taxes | 2,866 | 8,401 | 3,399 | 23,315 | ||||||||||||
| Provision for income taxes | 619 | 3,248 | 806 | 9,023 | ||||||||||||
| Net earnings | $ | 2,247 | $ | 5,153 | $ | 2,593 | $ | 14,292 | ||||||||
| Basic earnings per share | $ | .27 | $ | .61 | $ | .31 | $ | 1.70 | (A) | |||||||
| Number of weighted average common shares outstanding | 8,391,244 | 8,391,244 | 8,391,244 | 8,391,244 | ||||||||||||
| (A) | Includes an after-tax gain on sale of vacant land of $.03 per share. |
SKYLINE CORPORATION AND SUBSIDIARY COMPANIES
CONSOLIDATED CONDENSED BALANCE SHEETS
CONSOLIDATED CONDENSED BALANCE SHEETS
(Dollars in thousands)
| May 31, | ||||||||
| 2007 | 2006 | |||||||
| ASSETS | ||||||||
| Cash and temporary cash investments | $ | 124,240 | $ | 152,771 | ||||
| Accounts receivable | 22,760 | 31,759 | ||||||
| Inventories | 10,561 | 11,308 | ||||||
| Other current assets | 11,381 | 8,537 | ||||||
| Total Current Assets | 168,942 | 204,375 | ||||||
| Property, Plant and Equipment, net | 35,806 | 34,069 | ||||||
| Other Assets | 10,192 | 9,959 | ||||||
| $ | 214,940 | $ | 248,403 | |||||
| LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||
| Accounts payable, trade | $ | 5,162 | $ | 8,784 | ||||
| Accrued liabilities | 21,952 | 31,366 | ||||||
| Total Current Liabilities | 27,114 | 40,150 | ||||||
| Other Deferred Liabilities | 10,011 | 10,499 | ||||||
| Common stock | 312 | 312 | ||||||
| Additional paid-in capital | 4,928 | 4,928 | ||||||
| Retained earnings | 238,319 | 258,258 | ||||||
| Treasury stock, at cost | (65,744 | ) | (65,744 | ) | ||||
| Total Shareholders’ Equity | 177,815 | 197,754 | ||||||
| $ | 214,940 | $ | 248,403 | |||||