Results of First Quarter 2000 Operations
The table below sets forth for the first quarters of 2000 and 1999
the percentage of net sales represented by certain items in the
company's Consolidated Statement of Operations.
Product sales and total revenue were sharply higher for first
quarter 2000. Net income increased to $254,972 in the quarter from
$126,391 during first quarter of 1999.
The increase in revenue was due to increased sales of non-military
products and included both promotional products and decontamination
systems. Some orders received in the fourth quarter of 1999 were
deferred until the first quarter in order to complete a large
commercial order with a mandatory completion date. Sales of thermal
products were normal, sales of tactical shelters were down, and
sales of non-military shelters, signage, and accessory products were
significantly higher.
Gross margins were higher due to improved product mix, efficiency
from higher volumes, and improved manufacturing procedures.
G & A Expense increased substantially in amount during the first
quarter due to higher level of operations and increased marketing
expense. Marketing expense increased to $55,505 in the first
quarter from $15,184 in the first quarter of 1999. G & A Expense
decreased as a percentage of revenue due to the higher level of
revenues.
The company recorded a non-recurring gain of $104,112 in the first
quarter 1999 from recovery of assets purchased with funds embezzled
from the company.
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.
TVI Corporation
Allen E. Bender, President
June 15, 2000
