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SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q/A
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[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934.
For the quarterly period ended March 31, 1998
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934.
For the transition period from _____________ to _______________.
Commission file number 0-5260
GENERAL AUTOMATION, INC.
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(Exact name of registrant as specified in its charter).
DELAWARE 95-2488811
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(State or other jurisdiction of (I.R.S. employer I.D. No.)
incorporation or organization)
17731 MITCHELL NORTH, IRVINE, CALIFORNIA 92614
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(Address of principal executive offices) (Zip code)
Registrant's telephone number including area code: (949) 250-4800
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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 registrant was required
to file such reports), and (2) has been subject to such filing requirements for
the past 90 days:
No [ ] Yes [X]
As of August 6, 1998 there were 9,332,641 shares of common stock of the
Registrant outstanding.
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GENERAL AUTOMATION, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF OPERATIONS (UNAUDITED)
<TABLE>
<CAPTION>
*RESTATED
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Three Months Ended Six Months Ended
March 31, March 31,
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1998 1997* 1998 1997*
------------ ------------ ------------ ------------
<S> <C> <C> <C> <C>
Sales - Product $ 2,831,000 $ 2,864,000 $ 5,391,000 $ 5,773,000
Sales - Service revenue 4,986,000 6,273,000 10,650,000 12,862,000
------------ ------------ ------------ ------------
Total 7,817,000 9,137,000 16,050,000 18,635,000
------------ ------------ ------------ ------------
Costs and expenses:
Cost of sales - Product 2,334,000 2,135,000 4,259,000 4,446,000
Cost of sales - Service 3,292,000 3,800,000 6,864,000 7,497,000
Research and development 320,000 824,000 874,000 1,817,000
Selling and administrative 2,622,000 2,452,000 5,050,000 4,773,000
Depreciation 170,000 358,000
Amortization 534,000 330,000 1,075,000 660,000
Other, net 72,000 42,000 71,000 100,000
------------ ------------ ------------ ------------
9,344,000 9,583,000 18,551,000 19,293,000
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Operating income (1,527,000) (446,000) (2,501,000) (658,000)
Interest income 4,000 15,000 6,000 28,000
Interest expense (161,000) (83,000) (254,000) (148,000)
------------ ------------ ------------ ------------
Income before income taxes (1,684,000) (514,000) (2,749,000) (778,000)
Provision for income taxes 50,000 29,000 50,000 120,000
------------ ------------ ------------ ------------
Net income $ (1,734,000) $ (543,000) $ (2,799,000) $ (898,000)
============ ============ ============ ============
Net (loss) income per share:
Basic $ (0.19) $ (0.06) $ (0.30) $ (0.10)
Fully Diluted $ (0.19) $ (0.06) $ (0.30) $ (0.10)
============ ============ ============ ============
Weighted average shares outstanding:
Basic 9,295,924 8,951,443 9,284,528 8,910,167
Fully Diluted 9,295,924 8,951,443 9,284,528 8,910,167
</TABLE>
The accompanying notes are an integral part of these financial statements.
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GENERAL AUTOMATION, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(Unaudited)
<TABLE>
<CAPTION>
F.Y. 1997 HAS BEEN *RESTATED
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FOR THE SIX MONTHS ENDED
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March 31 March 31
1998 1997*
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<S> <C> <C>
CASH FLOWS PROVIDED BY (USED IN) OPERATING ACTIVITIES:
NET (LOSS)/INCOME $(2,799,000) $ (283,000)
Adjustments to reconcile net income (loss) to net cash
provided by (used in) operating activities:
Depreciation and amortization 1,433,000 878,000
Changes in assets and liabilities:
(Increase)decrease:
Receivable (318,000) 832,000
Inventories 1,109,000 407,000
Prepaid expenses (132,000) (548,000)
Other assets (148,000) 191,000
Increase (decrease):
Accounts payable 1,494,000 (92,000)
Deferred revenue (11,000) (542,000)
Accrued expense 197,000 (26,000)
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NET CASH PROVIDED BY (USED IN)
OPERATING ACTIVITIES 825,000 817,000
CASH FLOWS (USED IN) INVESTING ACTIVITIES:
Acquisitions (282,000) (1,547,000)
Purchase of property, plant and equipment (30,000) (107,000)
Proceeds from disposal of assets
Capitalized software costs (230,000)
Investment in subsidiaries (112,000)
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NET CASH USED IN INVESTING ACTIVITIES (542,000) (1,766,000)
CASH FLOWS PROVIDED BY (USED IN) FINANCING ACTIVITIES:
Proceeds from issuance of common stock 120,000 77,000
Proceeds from issuance of notes 349,000 2,162,000
Principal payments on notes payable (1,510,000) (392,000)
Proceeds from sale of SGA Pacific 0
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NET CASH PROVIDED BY (USED IN)
FINANCING ACTIVITIES (1,041,000) 1,847,000
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EFFECTS OF EXCHANGE RATE CHANGES ON CASH 22,000 66,000
(Decrease) increase in cash (736,000) 964,000
Cash at beginning of period 797,000 119,000
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Cash at end of period $ 61,000 $ 1,083,000
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Cash paid during the period for:
Interest $ 254,000 $ 148,000
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Income taxes $ 50,000 0
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</TABLE>
The accompanying notes are an integral part of these statements
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this amendment to be signed on its behalf by the
undersigned, thereunto duly authorized.
GENERAL AUTOMATION, INC.
Registrant
/s/ Jane M. Christie August 28, 1998
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Jane Christie Date
President and Chief Executive Officer
/s/ Richard H. Nance August 28, 1998
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Richard H. Nance Date
Vice President and
Chief Financial Officer
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