EXHIBIT 99
For more information
Jay Lemke
Carmichael Lynch Spong
(612) 375-8529
jlemke@clynch.com
ASV ANNOUNCES 1ST QUARTER 2002 RESULTS
GRAND RAPIDS, MN (APRIL 25, 2002) -- ASV, INC. (Nasdaq: ASVI) today
reported its financial results for its first quarter 2002. Net sales for the
three months ended March 31, 2002, totaled $6,177,828 compared with net sales of
$12,954,716 for the same period in 2001. The Company reported a net loss of
($365,581) for first quarter 2002 compared with net earnings of $203,970 for
first quarter 2001. Loss per share was ($.04) for first quarter 2002 compared
with earnings per share of $.02 for first quarter 2001.
Commenting on the results, Gary Lemke, President of ASV, Inc., said,
"Our loss for the first quarter of 2002 was within the range that we had
expected. Our sales for the quarter were slightly less than the expected range
due primarily to no shipments of ASV undercarriages to Caterpillar Inc. (NYSE:
CAT) for use on their Multi-Terrain Loaders (MTLs). The production ramp up issue
experienced by Caterpillar at its skid steer facility did not get resolved in
the first quarter, which prevented ASV from shipping undercarriages for these
products. This issue has now been resolved and MTL production is expected to
begin before the end of the month. We expect the total unit volume for these MTL
undercarriages will remain basically unchanged for 2002. We did achieve a very
strong gross profit percentage for the quarter, due primarily to strong sales of
the newest product in our R-Series product line, the RC-50."
In January 2002, ASV introduced two new models in its R-Series product
line, the R-50 and RC-50. These new models will compete with skid-steers
utilizing engines in the 44 to 50 horsepower range, weighing between 4,500 and
5,500 pounds with an operating capacity of 1,350 to 1,600 pounds. Weighing 4,700
pounds, with an operating capacity of 1,500 pounds and a 50 horsepower engine,
the R-50 and RC-50 fall between ASV's smaller RC-30 and its larger Posi-Tracks.
The RC-50 went into production in March while the R-50 went into production in
April. ASV's R-Series products are being sold through independent dealers on a
non-exclusive basis.
Discussing the RC-50, Lemke said, "During the first quarter, we sold
out our entire production of the RC-50, with a backlog of approximately 170
units carried over into the second quarter. The RC-50 drew significant attention
at the ConExpo industry trade show in Las Vegas last month. We were very pleased
at how the RC-50 contributed to our increased gross profit during the quarter.
The production of the RC-50 is very similar to our RC-30 product, so we did not
encounter the inefficiencies we have experienced previously with producing a new
product. Based on dealer and customer comments we have received, we believe the
RC-50 and its companion product, the R-50, will be strong contributors to ASV's
growth in 2002."
Continuing, Lemke states, "While the lack of undercarriage sales to
Caterpillar decreased our first quarter sales, the overall quantities of MTL
undercarriages expected to be shipped in 2002 remains basically unchanged. We
still anticipate beginning production of undercarriages for the next two MTL
models towards the end of the second quarter, with production of the
undercarriage for the final MTL model to begin late in the third quarter."
Discussing the outlook for 2002 Lemke states, "Even with the slow start
to 2002, we believe we can achieve sales for 2002 in the $65-75 million range,
with earnings for 2002 in the range of $.30-.38 per share."
CONFERENCE CALL
ASV will conduct a live webcast at 10 a.m. Central time, Thursday,
April 25th to discuss its results for the first quarter of 2002 and its outlook
for the balance of 2002. The call will be broadcast over the Internet and can be
accessed either at www.ccbn.com or ASV's web site, www.asvi.com, in the investor
relations section under the "About ASV" tab. To listen to the call, go to either
of the two web sites at least 15 minutes prior to the call to register, download
and install any needed audio software. A replay of this call will be available
beginning at 12:00 noon the day of the call both telephonically and over the
Internet. The telephonic replay will be available for a 24-hour period and can
be accessed by dialing 800-428-6051 and entering passcode 239760. The Internet
replay will be available for 30 days and can be accessed at www.ccbn.com or
www.asvi.com in the same manner as discussed above.
ABOUT ASV
ASV designs, manufactures and sells all-purpose crawlers and related
accessories and attachments. With its patented Maximum Traction and Support
System undercarriage, ASV leads all rubber-tracked, all-purpose crawlers in
technology and innovation. ASV's products are able to traverse nearly any
terrain with minimal damage to the ground, making it effective in industries
such as construction, landscaping and agriculture. For more information, visit
ASV's website at www.asvi.com.
Note: The statements set forth above regarding ASV's future expected
sales and earnings levels and its expected production dates and volumes of its
undercarriages for sale to Caterpillar are forward-looking statements based on
current expectations and assumptions, and entail various risks and uncertainties
that could cause actual results to differ materially from those expressed in
such forward-looking statements. Certain factors may affect whether these
anticipated events occur including ASV's ability to successfully manufacture the
machines, unanticipated delays, costs or other difficulties in the manufacture
of the machines, market acceptance of the machines, continued deterioration of
the general market and economic conditions, corporate developments at ASV or
Caterpillar and ASV's ability to realize the anticipated benefits from its
relationship with Caterpillar. Any forward-looking statements provided from
time-to-time by the Company represent only management's then-best current
estimate of future results or trends. Additional information regarding these
risk factors and uncertainties is detailed from time to time in the Company's
SEC filings, including but not limited to, its report on Form 10-Q for the
period ended June 30, 2001.
Condensed financial statements are as follows:
A.S.V., INC.
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS
THREE MONTHS ENDED MARCH 31, 2002 AND 2001
2002 2001
--------------- ---------------
Net sales..................................................... $ 6,177,828 $ 12,954,716
Cost of goods sold............................................ 4,753,140 10,747,898
--------------- ---------------
Gross profit........................................... 1,424,688 2,206,818
Operating expenses
Selling, general and administrative........................ 1,332,032 1,430,736
Research and development................................... 674,433 607,499
--------------- ---------------
Operating income (loss)............................... (581,777) 168,583
Other income (expense)
Interest expense........................................... (31,147) (36,825)
Other, net................................................. 66,343 176,212
--------------- ---------------
Income (loss) before income taxes...................... (546,581) 307,970
Provision for (benefit from) income taxes...................... (181,000) 104,000
---------------- ---------------
NET EARNINGS (LOSS).................................... $ (365,581) $ 203,970
================ ===============
Net earnings (loss) per common share - Diluted................. $ (.04) $ .02
================ ===============
Diluted weighted average shares outstanding.................... 10,194,663 10,316,369
================ ===============
A.S.V., INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
ASSETS MARCH 31, December 31,
2002 2001
--------------- ---------------
CURRENT ASSETS
Cash & short-term investments............................ $ 2,476,600 $ 5,946,840
Accounts receivable, net................................. 16,233,596 16,828,489
Inventories.............................................. 33,451,972 28,614,053
Prepaid expenses and other............................... 1,707,008 1,756,844
--------------- ---------------
Total current assets 53,869,176 53,146,226
PROPERTY AND EQUIPMENT, net.................................. 4,710,344 4,794,578
--------------- ---------------
Total assets $ 58,579,520 $ 57,940,804
=============== ===============
LIABILITIES & SHAREHOLDERS' EQUITY
CURRENT LIABILITIES
Current portion of long-term liabilities................. $ 105,895 $ 106,008
Accounts payable......................................... 4,467,317 2,449,144
Accrued liabilities...................................... 2,108,185 2,296,455
Income taxes payable..................................... - 505,062
--------------- ---------------
Total current liabilities 6,681,397 5,356,669
LONG-TERM LIABILITIES, less current portion.................. 1,986,541 2,012,652
SHAREHOLDERS' EQUITY......................................... 49,911,582 50,571,483
--------------- ---------------
Total liabilities & shareholders' equity $ 58,579,520 $ 57,940,804
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