SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
QUARTERLY REPORT
Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934
For the Quarter Ended Commission File No.
JULY 31, 1999 0-10146
- --------------------- -------------------
ABRAMS INDUSTRIES, INC.
(Exact name of Registrant as specified in its charter)
Georgia 58-0522129
- ------------------------------- ------------------------------------
(State or other jurisdiction of (I.R.S. Employer Identification No.)
incorporation or organization)
1945 The Exchange, Suite 300, Atlanta, Georgia 30339
----------------------------------------------------
(Address of principal executive offices) (Zip Code)
(770) 953-0304
----------------------------------------------------
(Registrant's telephone number, including area code)
N/A
----------------------------------------------------
(Former name, former address and former fiscal year,
if changed since last report)
Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the preceding 12 months (or for such shorter period that the registrant was
required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days.
Yes /x/ No / /
The number of shares of $1.00 par value Common Stock of the Registrant
outstanding as of August 31, 1999, was 2,936,356.
<PAGE>
PART 1. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
- ----------------------------
ABRAMS INDUSTRIES, INC.
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
<TABLE>
JULY 31, 1999 APRIL 30, 1999
-------------- -------------
<CAPTION>
<S> <C> <C>
ASSETS
CURRENT ASSETS
Cash and cash equivalents $ 3,498,686 $ 7,448,551
Receivables (note 2) 29,657,498 31,402,635
Less: Allowance for doubtful accounts (160,980) (122,396)
Inventories, net (note 3) 3,103,508 2,972,663
Costs and earnings in excess of billings 3,412,013 3,188,100
Property held for sale 1,694,932 5,268,478
Deferred income taxes 820,829 820,829
Other 1,053,977 599,715
------------- -------------
Total current assets 43,080,463 51,578,575
------------- -------------
INCOME-PRODUCING PROPERTIES, net 61,050,562 52,311,607
PROPERTY, PLANT AND EQUIPMENT, net 12,269,307 12,368,396
LAND HELD FOR FUTURE DEVELOPMENT OR SALE 4,204,441 4,237,845
OTHER ASSETS
Notes receivable 268,698 297,209
Cash surrender value of life insurance on officers, net 1,502,163 1,473,963
Deferred loan costs, net 877,673 788,356
Other 3,295,450 3,076,589
------------- -------------
$ 126,548,757 $ 126,132,540
============= =============
LIABILITIES AND SHAREHOLDERS' EQUITY
CURRENT LIABILITIES
Trade and subcontractors payables $ 20,750,267 $ 18,391,697
Billings in excess of costs and earnings 3,314,480 2,947,814
Accrued expenses 2,873,854 5,202,597
Deferred income 796,913 225,888
Short-term borrowings 1,357,708 8,048,222
Current maturities of long-term debt 1,714,483 6,876,455
------------- -------------
Total current liabilities 30,807,705 41,692,673
------------- -------------
DEFERRED INCOME TAXES 3,849,809 2,910,771
OTHER LIABILITIES 3,808,115 1,702,048
MORTGAGE NOTES PAYABLE, less current maturities 34,680,123 27,447,977
OTHER LONG-TERM DEBT, less current maturities 29,004,286 29,106,511
------------- -------------
Total liabilities 102,150,038 102,859,980
------------- -------------
SHAREHOLDERS' EQUITY
Common stock, $1 par value; authorized 5,000,000 shares;
3,014,039 issued and 2,936,356 outstanding 3,014,039 3,014,039
Additional paid-in capital 2,019,690 2,019,690
Retained earnings 19,777,541 18,651,382
------------- -------------
24,811,270 23,685,111
Less cost of treasury stock 412,551 412,551
------------- -------------
Total shareholders' equity 24,398,719 23,272,560
------------- -------------
$ 126,548,757 $ 126,132,540
============= =============
</TABLE>
See accompanying notes to consolidated financial statements.
<PAGE>
ABRAMS INDUSTRIES, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
<TABLE>
FIRST QUARTER ENDED
JULY 31,
--------------------------------
1999 1998
------------- -------------
<CAPTION>
<S> <C> <C>
REVENUES
Construction $ 43,804,204 $ 47,152,931
Manufacturing 4,332,121 2,532,136
Real estate 10,026,252 3,269,997
------------ ------------
58,162,577 52,955,064
Less: Intersegment eliminations (413,543) (1,214,257)
------------ ------------
57,749,034 51,740,807
Interest 94,345 152,426
Other 62,068 10,706
------------ ------------
57,905,447 51,903,939
------------ ------------
COSTS AND EXPENSES
Applicable to REVENUES--
Construction 42,213,068 45,250,251
Manufacturing 3,500,045 2,533,132
Real estate, exclusive of interest 5,753,851 1,754,390
------------ ------------
51,466,964 49,537,773
Less: Intersegment eliminations (463,474) (1,170,374)
------------ ------------
51,003,490 48,367,399
------------ ------------
Selling, shipping, general and administrative
Construction 785,903 912,215
Manufacturing 1,009,431 1,032,731
Real estate 963,598 639,575
Parent 1,166,594 534,434
------------ ------------
3,925,526 3,118,955
Less: Intersegment eliminations (266,154) (362,619)
------------ ------------
3,659,372 2,756,336
------------ ------------
Interest costs incurred, less interest capitalized 1,248,638 1,263,219
------------ ------------
55,911,500 52,386,954
------------ ------------
EARNINGS (LOSS) BEFORE INCOME TAXES 1,993,947 (483,015)
INCOME TAX EXPENSE (BENEFIT) 750,328 (176,000)
------------ ------------
NET EARNINGS (LOSS) $ 1,243,619 $ (307,015)
============ ============
NET EARNINGS (LOSS) PER SHARE -- BASIC AND DILUTED $ 0.42 $ (.10)
============ ============
DIVIDENDS PER SHARE $ .04 $ .05
============ ============
WEIGHTED AVERAGE SHARES OUTSTANDING 2,936,356 2,936,356
============ ============
</TABLE>
See accompanying notes to consolidated financial statements.
<PAGE>
ABRAMS INDUSTRIES, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
<TABLE>
FIRST QUARTER ENDED JULY 31,
-------------------------------
1999 1998
----------- ---------------
<CAPTION>
<S> <C> <C>
Cash flows from operating activities
Net earnings (loss) $ 1,243,619 $ (307,015)
Adjustments to reconcile net earnings to net cash
provided by operating activities:
Depreciation and amortization 820,592 780,725
Deferred tax expense 939,038 --
Gain on sales of real estate and property, plant and equipment (2,974,931) --
Decrease (increase) in assets
Receivables 1,783,720 (6,882,077)
Inventories (130,845) (260,909)
Costs and earnings in excess of billings (223,913) 1,538,465
Other current assets (454,262) (555,507)
Other assets (218,493) (250,896)
Increase (decrease) in liabilities
Accounts payable 2,358,570 3,208,351
Billings in excess of costs and earnings 366,666 790,198
Accrued expenses (2,328,743) (3,956,290)
Deferred income 571,025 --
Other liabilities 223,111 154,917
----------- ------------
Net cash provided by (used in) operating activities 1,975,154 (5,740,038)
----------- ------------
Cash flows from investing activities:
Proceeds from sales of real estate and property, plant and equipment 6,581,881 --
Additions to properties, property, plant and equipment, net (9,380,515) (2,161,963)
----------- ------------
Net cash used in investing activities (2,798,634) (2,161,963)
----------- ------------
Cash flows from financing activities:
Net short-term borrowings (6,690,514) --
Debt proceeds 9,500,000 380,472
Debt repayments (5,649,095) (587,285)
Additions to deferred loan costs (169,322) (28,561)
Cash dividends (117,454) (146,818)
----------- ------------
Net cash used in financing activities (3,126,385) (382,192)
----------- ------------
Net decrease in cash and cash equivalents (3,949,865) (8,284,193)
Cash and cash equivalents at beginning of period 7,448,551 13,240,471
----------- ------------
Cash and cash equivalents at end of period $ 3,498,686 $ 4,956,278
=========== ============
Supplemental schedule of cash flow information:
Interest paid, net of amounts capitalized $ 1,281,208 $ 1,342,256
=========== ============
Income taxes paid, net of refunds $ 34,847 $ 116,101
=========== ============
</TABLE>
See accompanying notes to consolidated financial statements.
<PAGE>
ABRAMS INDUSTRIES, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JULY 31, 1999 AND APRIL 30, 1999
(UNAUDITED)
NOTE 1. UNAUDITED STATEMENTS
- -----------------------------
The accompanying unaudited consolidated financial statements have been
prepared by the Company in accordance with generally accepted accounting
principles, pursuant to the rules and regulations of the Securities and Exchange
Commission. Certain information and footnote disclosures normally included in
financial statements have been condensed or omitted pursuant to such rules and
regulations, although management believes that the disclosures are adequate to
make the information presented not misleading. In the opinion of management, the
accompanying financial statements contain all adjustments, which consist solely
of normal recurring accruals, necessary for a fair statement of the results for
the interim periods presented. These financial statements should be read in
conjunction with the consolidated financial statements and the notes thereto
included in the Company's Annual Report to Shareholders for the year ended April
30, 1999. Results of operations for interim periods are not necessarily
indicative of annual results.
NOTE 2. RECEIVABLES
- --------------------
All contract and trade receivables are expected to be collected within
one year.
NOTE 3. INVENTORIES
- --------------------
The classes of inventory are as follows:
July 31, 1999 April 30, 1999
------------- --------------
Finished goods $ 848,280 $1,268,048
Work in process 1,227,634 845,495
Raw materials 1,027,594 859,120
--------- ----------
$3,103,508 $2,972,663
========== ==========
NOTE 4. REAL ESTATE DISPOSITION AND ACQUISITION
- ------------------------------------------------
In May 1999, the Company sold its shopping center located in Newnan,
Georgia. The sale was structured as a tax-deferred, like-kind exchange pursuant
to Internal Revenue Code Section 1031, which allows a deferral of the tax gain
if the Company utilizes the proceeds of the sale to purchase other real estate
within 180 days of the sale. The proceeds were used in July 1999, to purchase an
approximately 174,000 square foot shopping center located in Jacksonville,
Florida for $9,000,000. The purchase was also financed with cash held by the
Company, and the Company's lines of credit. Subsequently, the Company closed on
a permanent mortgage loan secured by the property and used the proceeds to pay
back the lines of credit. The permanent loan, in the amount of $9,500,000, bears
interest at 7.375% and is scheduled to be fully amortized over twenty years.
Loan proceeds received in excess of the purchase price were used to pay
financing costs and are available for use for tenant improvements and
commissions on new leases. The loan may be called at any time by the lender
after September 1, 2002. If the loan were called, the Company would have up to
thirteen months to prepay the loan without penalty. In conjunction with the
loan, an Additional Interest Agreement was executed which entitles the lender to
be paid additional interest equal to fifty percent of the quarterly net cash
flow and fifty percent of the appreciation in the property upon sale or
refinance.
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
------------------------------------------------------------------------
OF OPERATIONS.
- -------------
Changes in CONSOLIDATED BALANCE SHEETS between April 30, 1999, and July 31,
- --------------------------------------------------------------------------------
1999.
- -----
Accounts receivable decreased by $1,745,137 and Trade and
subcontractors payable increased by $2,358,570 primarily because of the timing
of the submission and payment of invoices for construction work performed.
Property held for sale decreased $3,573,546 primarily as a result of
the sale of a shopping center in Newnan, Georgia.
Income-producing properties increased by $8,738,955 primarily as a
result of the purchase of an approximately 174,000 square foot shopping center
in Jacksonville, Florida. Publix Super Markets previously leased approximately
86,000 square feet of space in the center, which it has vacated, while remaining
fully obligated under its lease until August 2010.
Short term borrowings decreased by $6,690,514 primarily due to repayments
on the lines of credit. On April 30,1999, in order to facilitate the sale of the
Newnan, Georgia shopping center, the Company drew $5,600,000 on the lines of
credit to have funds available to pay the related mortgage debt. This draw was
repaid in May 1999.
Accrued expenses decreased by $2,328,743 because of the payment of
year-end accruals.
Current maturities of long-term debt decreased by $5,161,972 primarily as
a result of the payoff of the related mortgage loan upon the sale of the Newnan,
Georgia shopping center.
Deferred income taxes increased by $939,038 reflecting the income tax
deferral of the gain on the sale of the Newnan, Georgia property. This
transaction was structured as a like-kind exchange pursuant to Internal Revenue
Code Section 1031, which allows a deferral of the recognition of the tax gain if
the Company utilizes the proceeds of the sale to purchase other real estate
within 180 days of the sale. Management believes it has complied with the
provisions of Internal Revenue Code Section 1031 and thus will defer federal tax
on the gain of this sale.
Other liabilities (long-term) increased by $2,106,067 primarily as a
result of the participation liability related to the participating mortgage loan
placed on the newly acquired Jacksonville center discussed above.
Mortgage notes payable, less current maturities, increased $7,232,146
primarily as a result of the placement of the loan on the newly acquired
shopping center in Jacksonville, Florida, as discussed above.
Results of operations of first quarter fiscal 2000 compared to first quarter
- --------------------------------------------------------------------------------
fiscal 1999.
- ------------
REVENUES
For the first quarter 2000, Consolidated REVENUES, including Interest
income and Other income and net of intersegment eliminations, were $57,905,447,
compared to $51,903,939 for the first quarter 1999, an increase of 12%.
The figures in Chart A are Segment revenues before Intersegment
eliminations and do not include Interest income or Other income.
<PAGE>
<TABLE>
CHART A
REVENUE SUMMARY BY SEGMENT
(Dollars in Thousands)
First Quarter Ended
July 31, Amount Percent
-------------------------- Increase Increase
1999 1998 (Decrease) (Decrease)
-------- -------- ----------- ----------
<CAPTION>
<S> <C> <C> <C> <C>
Construction <F1> $ 43,804 $ 47,153 $ (3,349) (7)
Manufacturing <F2> 4,332 2,532 1,800 71
Real Estate <F3> 10,027 3,270 6,757 207
-------- -------- ------------
$ 58,163 $ 52,955 $ 5,208 10
======== ======== ============
NOTES TO CHART A
<FN>
<F1> REVENUES for first quarter 2000 were lower than those of first quarter
1999 because of a decrease in sales to an existing customer, partially
offset by an increase in sales to new and other existing customers.
<F2> REVENUES for first quarter 2000 were higher than those of first quarter
1999 primarily because of increased orders from two major customers. In
the first quarter 1999, the manufacturing segment had a decline in sales
orders during its move into its new facility.
<F3> REVENUES for first quarter 2000 were higher than those of first quarter
1999 primarily due to the sale of the Newnan, Georgia shopping center.
There were no real estate sales in first quarter 1999.
</FN>
</TABLE>
The following table indicates the backlog of contracts, orders and
expected rentals for the next twelve months by industry segment:
July 31
----------------------------
1999 1998
----------- -----------
Construction $50,778,000 $50,481,000
Manufacturing 9,614,000 4,180,000
Real Estate 11,154,000 10,278,000
----------- -----------
Total Backlog $71,546,000 $64,939,000
=========== ===========
COSTS AND EXPENSES: Applicable to REVENUES
As a percentage of Segment REVENUES (See Chart A) for the first quarters
of fiscal years 2000 and 1999, the applicable COSTS AND EXPENSES (See Chart B)
were 88% and 94%, respectively.
The figures in Chart B are prior to Intersegment eliminations.
<PAGE>
<TABLE>
CHART B
COSTS AND EXPENSES APPLICABLE TO REVENUES SUMMARY BY SEGMENT
(Dollars in Thousands)
<CAPTION>
- -
Percent of Segment Revenues
First Quarter Ended For First Quarter Ended
July 31, July 31,
-------------------------- ----------------------------
1999 1998 1999 1998
--------- -------- ------ ------
<S> <C> <C> <C> <C>
Construction $42,213 $ 45,250 96 96
Manufacturing <F1> 3,500 2,533 81 100
Real Estate <F2> 5,754 1,755 57 54
------- --------
$51,467 $ 49,538 88 94
======= ========
NOTES TO CHART B
<FN>
<F1> The decrease in the percentage of COSTS AND EXPENSES: Applicable to
REVENUES for first quarter 2000 compared to first quarter 1999 was due to
an improvement in manufacturing efficiencies in the current period after
experiencing a disruption in the prior year caused by the relocation of
the manufacturing facility.
<F2> The increase in the dollar amount of COSTS AND EXPENSES: Applicable to
REVENUES for first quarter 2000 compared to first quarter 1999 was
primarily attributable to the sale of the Newnan, Georgia shopping center.
</FN>
</TABLE>
SELLING, SHIPPING, GENERAL AND ADMINISTRATIVE EXPENSES
For the first quarter 2000 and the first quarter 1999, Selling, shipping,
general and administrative expenses, prior to intersegment eliminations, were
$3,925,526 and $3,118,955, respectively. As a percentage of Consolidated
REVENUES, these expenses were 7% and 6%, respectively. In reviewing Chart C, the
reader should recognize that the volume of revenues generally will affect the
amounts and percentages. The percentages in Chart C are based upon expenses as
they relate to Segment REVENUES (Chart A) prior to Intersegment eliminations,
except that Parent and Total expenses relate to Consolidated REVENUES.
<PAGE>
<TABLE>
CHART C
SELLING, SHIPPING, GENERAL AND ADMINISTRATIVE EXPENSES BY SEGMENT
(Dollars in Thousands)
Percent of Segment Revenues
First Quarter Ended For First Quarter Ended
July 31, July 31,
------------------------- ---------------------------
1999 1998 1999 1998
------ ------ ------ ------
<S> <C> <C> <C> <C>
Construction $ 786 $ 912 2 2
Manufacturing 1,009 1,033 23 41
Real Estate <F1> 964 640 10 20
Parent <F2> 1,167 534 2 1
------ ------
$3,926 $3,119 7 6
====== ======
NOTES TO CHART C
<FN>
<F1> On a dollar amount basis, Selling, shipping, general and administrative
expenses were higher for first quarter 2000 compared to first quarter
1999 primarily because of an increase in incentive compensation.
<F2> On a dollar and percentage basis, Selling, shipping, general and
administrative expenses were higher for first quarter 2000 compared to
first quarter 1999 primarily because of (a) increased rent expense and
(b) the accrual of severance and consulting fees payable to the Company's
former CEO. The increase in rent expense was primarily a result of rent
reimbursements paid by the Parent to the manufacturing segment. The
manufacturing segment is paying rent on its facility to the real estate
segment, the owner of the facility. The Parent, upon receipt of payment
from the real estate segment, is reimbursing part of the manufacturing
segment's rental payment. The reimbursement is equal to the difference
between the rental expense and the debt service on the facility paid by
the real estate segment.
</FN>
</TABLE>
Liquidity and capital resources.
- --------------------------------
Between April 30, 1999, and July 31, 1999, working capital increased by
$2,386,856. Operating activities provided cash of $1,975,154. Investing
activities used cash of $2,798,634 primarily for the purchase of the shopping
center in Jacksonville, Florida, which was partially offset by proceeds from the
sale of the Newnan, Georgia shopping center. Financing activities used cash of
$3,126,385 primarily for repayments on the Company's lines of credit and the
payoff of the mortgage on the Newnan center. The proceeds of the mortgage loan
on the newly acquired Jacksonville center partially offset this usage of cash.
At July 31, 1999, the Company and its subsidiaries had available
unsecured committed lines of credit totaling $13,000,000, of which $243,022 was
outstanding, $12,256,978 was available, and $500,000 was reserved for a letter
of credit issued as security for a mortgage loan on an Income-producing
property. The letter of credit has been extended until November 2000, at which
time it will be used to pay down the mortgage loan if certain leasing
requirements are not attained. In addition, the Company has a committed line of
credit totaling $2,500,000, secured by the Manufacturing Segment's inventory and
receivables, of which $1,114,686 was outstanding.
<PAGE>
Year 2000
- ---------
The Year 2000 has presented a problem for companies who use computer
systems that were developed without the ability to properly recognize and
process data relating to the Year 2000 and beyond. Such systems may include
hardware, software and other telecommunications information systems (IT), as
well as computer systems that do not relate to information technology, such as
building and other ancillary systems (non-IT). The Company, its vendors,
suppliers, and other significant third party service providers are all exposed
to the potential disruption of operations if such systems are not replaced or
remediated.
The Company has substantially completed its assessment and remediation
efforts for achieving Year 2000 compliance in its IT and non-IT systems. All
computer hardware and software have been inventoried and tested. The
Construction Segment has purchased a new Year 2000 compliant accounting software
package and upgraded its computer hardware system. The cost of the software and
hardware and the installation thereof is not considered to be material. The
Company installed the new hardware and software during the second quarter 1999
and began using it in the third quarter 1999. The Manufacturing Segment, at a
nominal cost, upgraded its current accounting software to be Year 2000 compliant
in July 1999, and the Real Estate Segment's accounting software is Year 2000
compliant. Other non-compliant hardware and software review and remediation
costs are considered to be minimal.
The Company has conducted a written survey of its IT and non-IT
significant third party vendors and service providers to determine their Year
2000 compliance status. The responses have indicated these businesses will be
substantially compliant on a timely basis. The Company, however, cannot ensure
that various third parties with which it deals will be Year 2000 compliant. The
failure of various third parties, such as banks, significant customers, tenants
and vendors to become Year 2000 compliant on a timely basis could have an
adverse impact on the Company's business.
Uncertainty exists concerning the scope and magnitude of the most
reasonably likely worst case scenario. The Company has not developed a
contingency plan for dealing with any catastrophic failure of the government,
utility companies, lending institutions or other regulated agencies, but will
consider the need for such if public or other information regarding the state of
readiness of these entities or other significant third parties indicates
imminent problems.
There can be no assurance that the Company will be able to identify and
correct all aspects of the effect of the Year 2000 issue on the Company.
Management, however, does not believe that the Year 2000 issue will pose
significant problems in its IT or non-IT systems, or that resolution of any
potential problems with respect to these systems will have a material effect on
the Company's financial condition or results of operations. Readers are
cautioned that forward-looking statements regarding Year 2000 issues should be
read in conjunction with the Company's disclosures under the heading "Cautionary
statement regarding forward-looking statements."
Cautionary statement regarding forward-looking statements.
- ----------------------------------------------------------
Certain statements contained or incorporated by reference in this
Quarterly Report on Form 10-Q, including without limitation statements
containing the words "believes," "anticipates," "expects," and words of similar
import, are forward-looking statements within the meaning of the federal
securities laws. Such forward-looking statements involve known and unknown
risks, uncertainties and other matters which may cause the actual results,
performance or achievements of the Company to be materially different from any
future results, performance or uncertainties expressed or implied by such
forward-looking statements. Such risks, uncertainties and other matters include,
but are not limited to, Year 2000 compliance issues.
<PAGE>
ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK.
- -------------------------------------------------------------------
Quantitative and qualitative disclosures about market risk were disclosed
as required in Form 10-K for fiscal year ended April 30, 1999. In July 1999, the
Company entered into a mortgage loan agreement secured by the newly acquired
Jacksonville shopping center. The permanent loan, in the amount of $9,500,000,
bears interest at 7.375% and is scheduled to be fully amortized over twenty
years. The loan may be called at any time by the lender after September 1, 2002.
If the loan were called, the Company would have up to thirteen months to prepay
the loan without penalty. In conjunction with the loan, an Additional Interest
Agreement was executed which entitles the lender to be paid additional interest
equal to fifty percent of the quarterly net cash flow and fifty percent of the
appreciation in the property upon sale or refinance.
PART II. OTHER INFORMATION
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
- -----------------------------------------
(a) Exhibit 27 - Financial Data Schedule (For SEC Use Only).
(b) The Registrant has not filed any reports on form 8-K during the quarter
ended July 31, 1999.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
ABRAMS INDUSTRIES, INC.
-----------------------
(Registrant)
Date: September 13, 1999 /s/ Alan R. Abrams
------------------ -----------------------
Alan R. Abrams
Chief Executive Officer
Date: September 13, 1999 /S/ Melinda S. Garrett
------------------ -----------------------
Melinda S. Garrett
Chief Financial Officer
<TABLE> <S> <C>
<ARTICLE> 5
<CIK> 0000001923
<NAME> ABRAMS INDUSTRIES, INC.
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> APR-30-2000
<PERIOD-START> MAY-01-1999
<PERIOD-END> JUL-31-1999
<CASH> 3,498,686
<SECURITIES> 0
<RECEIVABLES> 29,657,498
<ALLOWANCES> (160,980)
<INVENTORY> 3,103,408
<CURRENT-ASSETS> 43,080,463
<PP&E> 93,055,028
<DEPRECIATION> 19,735,159
<TOTAL-ASSETS> 126,548,757
<CURRENT-LIABILITIES> 30,807,705
<BONDS> 63,684,409
0
0
<COMMON> 3,014,039
<OTHER-SE> 21,384,680
<TOTAL-LIABILITY-AND-EQUITY> 126,548,757
<SALES> 57,749,034
<TOTAL-REVENUES> 57,905,447
<CGS> 51,003,490
<TOTAL-COSTS> 51,003,490
<OTHER-EXPENSES> 3,620,788
<LOSS-PROVISION> 38,584
<INTEREST-EXPENSE> 1,248,638
<INCOME-PRETAX> 1,993,947
<INCOME-TAX> 750,328
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 1,243,619
<EPS-BASIC> 0.42
<EPS-DILUTED> 0.42
</TABLE>
