<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
This schedule contains summary financial information extracted from the balance
sheet and the statement of income filed as part of the quarterly report on Form
10-QSB and is qualified in its entirety by reference to such quarterly report
on Form 10-QSB.
</LEGEND>
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> MAY-31-1999
<PERIOD-END> FEB-28-1999
<CASH> 960502
<SECURITIES> 836909
<RECEIVABLES> 414657
<ALLOWANCES> 101788
<INVENTORY> 183887
<CURRENT-ASSETS> 2660844
<PP&E> 1518555
<DEPRECIATION> 49842
<TOTAL-ASSETS> 7395521
<CURRENT-LIABILITIES> 495806
<BONDS> 0
0
0
<COMMON> 437428
<OTHER-SE> 6286653
<TOTAL-LIABILITY-AND-EQUITY> 6724081
<SALES> 2060738
<TOTAL-REVENUES> 2060738
<CGS> 1503371
<TOTAL-COSTS> 1053371
<OTHER-EXPENSES> 519292
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 1643
<INCOME-PRETAX> 167679
<INCOME-TAX> 53436
<INCOME-CONTINUING> 114243
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 716354
<EPS-PRIMARY> .41
<EPS-DILUTED> .41
</TABLE>
<PAGE 1>
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 10-QSB
(Mark One)
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
ACT OF 1934
For the quarterly period ended February 28, 1999
[ ] 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 0-2288
(Unaudited)
HOSOI GARDEN MORTUARY, INC.
- ----------------------------------------------------------------------------
(Exact name of small business issuer as specified in its charter)
State of Hawaii No. 99-0088064
- ------------------------------- -------------------
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
30 North Kukui Street
(Corner of Nuuanu Avenue
and Kukui Street)
Honolulu, Hawaii 96817
- ---------------------------------------- -------------------
(Address of principal executive offices) (Zip Code)
(808) 538-3877
- ---------------------------------------------------------------------
(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) 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, and (2) has been subject to such filing
requirements for the past 90 days. Yes XX No
1,715,933 shares of Common Stock
Outstanding at February 28, 1999
<PAGE> 2
HOSOI GARDEN MORTUARY, INC.
_ _ _ _ _ _ _ _ _ _ _ _ _ _
Nine-Months Ended February 28, 1999 and 1998
[CAPTION]
CONTENTS
_ _ _ _
[C]
[S] Pages
DISCLAIMER OF OPINION 1
PART I - Financial Information
Item 1. Financial Statements
Balance Sheet 2
Statements of Income 3
Statements of Cash Flows 4
Notes 5 - 12
Item 2. Management's Discussions and Analysis of Financial
Conditions and Results of Operations 13
PART II - Other Information 14
SIGNATURES 15
<PAGE> 3
DISCLAIMER OF OPINION
_ _ _ _ _ _ _ _ _ _ _
To the Board of Directors
Hosoi Garden Mortuary, Inc.
The accompanying balance sheet of
HOSOI GARDEN MORTUARY, INC.
as of February 28, 1999, and the related statements of income for the
three-months and nine-months ended February 28, 1999 and 1998 and the cash
flows for the nine-months ended February 28, 1999 and 1998 were not audited by
us and accordingly, we do not express an opinion on them.
March 25, 1999
Endo & Company
Honolulu, Hawaii
1
<PAGE> 4
HOSOI GARDEN MORTUARY, INC.
BALANCE SHEET
_ _ _ _ _ _ _
February 28, 1999
[CAPTION]
A S S E T S
-----------
[S] [C]
CURRENT ASSETS
Cash and cash equivalents (Note 2) $ 360,502
Certificate of deposit 600,000
Securities available-for-sale, at market (Note 3) 836,909
Accounts receivable, less allowance for losses of $101,788 312,869
Income taxes receivable 183,887
Inventories 189,668
Prepaid expenses and others 129,828
Deferred income taxes (Note 6) 47,181
------------
TOTAL CURRENT ASSETS 2,660,844
------------
INVESTMENTS
Garden Life Plan, Ltd. (Note 4) 2,258,280
Woolsey-Hosoi Mortuary Services, LLC (Note 5) 15,000
Cemetery plots 1,350
Securities held-to-maturity, at cost (Note 3) 844,872
------------
TOTAL INVESTMENTS 3,119,502
------------
PROPERTY, PLANT AND EQUIPMENT, at cost, less accumulated
depreciation 1,518,555
------------
OTHER ASSETS 96,620
------------
TOTAL ASSETS $ 7,395,521
============
[CAPTION]
L I A B I L I T I E S
---------------------
[S] [C]
CURRENT LIABILITIES
Accounts payable $ 386,591
Accrued liabilities 109,215
-------------
TOTAL CURRENT LIABILITIES 495,806
-------------
DEFERRED INCOME TAXES (Note 6) 175,634
-------------
[CAPTION]
S T O C K H O L D E R S' E Q U I T Y
-------------------------------------
[S] [C]
CAPITAL CONTRIBUTED
Common stock, par value $.20 per share; authorized
3,625,000 shares, issued 2,187,140 shares 437,428
Less 247,422 reacquired shares (49,705)
------------
TOTAL CAPITAL CONTRIBUTED 387,723
RETAINED EARNINGS 6,345,048
NET UNREALIZED GAIN ON SECURITIES AVAILABLE-FOR-SALE,
net of deferred taxes (Note 3) 72,592
TREASURY STOCK, 223,785 shares, at cost (Note 8) (81,282)
------------
TOTAL STOCKHOLDERS' EQUITY 6,724,081
------------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 7,395,521
============
[FN]
See the Accompanying Notes to Financial Statements
(Unaudited)
2
<PAGE> 5
HOSOI GARDEN MORTUARY, INC.
STATEMENTS OF INCOME
_ _ _ _ _ _ _ _ _ _
[CAPTION]
Three-Months Ended Nine-Months Ended
February 28, February 28,
-------------------- ------------------------
1999 1998 1999 1998
---------- ---------- ----------- -----------
[S] [C] [C] [C] [C]
NET SALES AND SERVICES $ 787,854 $ 668,333 $ 2,060,738 $ 1,947,369
COST OF SALES AND SERVICES 548,357 528,514 1,503,371 1,525,831
----------- ---------- ----------- -----------
GROSS PROFIT 239,497 139,819 557,367 421,538
SELLING, GENERAL AND
ADMINISTRATIVE EXPENSES 197,662 178,699 519,292 489,369
----------- ---------- ----------- -----------
OPERATING INCOME(LOSS) 41,835 (38,880) 38,075 (67,831)
----------- ---------- ----------- -----------
OTHER INCOME (EXPENSE)
Parking, dividends, interest
and miscellaneous income 59,445 57,357 131,247 216,495
Interest - - (1,643) -
----------- ---------- ----------- -----------
INCOME BEFORE INCOME
TAXES AND EQUITY IN
EARNINGS OF GARDEN
LIFE PLAN, LTD. 101,280 18,477 167,679 148,664
INCOME TAXES (Note 7) 34,126 5,451 53,436 43,883
------------ ---------- ----------- -----------
INCOME BEFORE EQUITY
IN EARNINGS OF GARDEN
LIFE PLAN, LTD. 67,154 13,026 114,243 104,781
EQUITY IN EARNINGS OF GARDEN
LIFE PLAN, LTD., net of
deferred income taxes
(Note 4) 521,481 575,698 602,111 862,781
------------- ---------- ------------ ----------
NET INCOME $ 588,635 $ 588,724 $ 716,354 $ 967,562
============= ========== ============ ==========
AVERAGE NUMBER OF COMMON
SHARES OUTSTANDING
(Note 8) 1,722,325 1,746,818 1,730,573 1,756,916
============ ========== ============ ===========
EARNINGS PER COMMON SHARE
(Note 8) $ . 34 $ .34 $ .41 $ .55
====== ===== ===== =====
[FN]
See the Accompanying Notes to Financial Statements
(Unaudited)
3
<PAGE> 6
HOSOI GARDEN MORTUARY, INC.
STATEMENTS OF CASH FLOWS
_ _ _ _ _ _ _ _ _ _ _ _
[CAPTION]
Nine-Months Ended
February 28
-------------------------
1999 1998
------------ ----------
[S] [C] [C]
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $ 716,354 $ 967,562
Adjustments to reconcile net income to net
cash provided by (used in) operations
Depreciation 49,842 44,543
Gain on sale of securities (17,296) (97,890)
Undistributed earnings of Garden Life
Plan, Ltd. (654,412) (937,722)
Increase in cash value of life insurance
policies 2,438 (1,505)
Deferred income taxes (581) 179,201
(Increase) decrease in certain assets
Accounts receivable 711,920 (46,502)
Income taxes receivable 71,862 (197,343)
Inventories (40,400) (22,772)
Prepaid expenses and othes (65,041) (57,490)
(Decrease) increase in certain liabilities
Accounts payable 101,146 (26,252)
Income taxes payable - (103,401)
Accrued liabilities (26,269) (227,298)
------------- ----------
NET CASH PROVIDED BY (USED IN)
OPERATING ACTIVITIES 849,563 (526,869)
------------- ----------
CASH FLOWS FROM INVESTING ACTIVITIES:
Proceeds from sale of securities 825,674 3,673,294
Purchase of property and equipment (43,838) (39,251)
Increase in securities (863,403) (3,137,187)
Investment in Woolsey-Hosoi Mortuary Services, LLC (15,000) -
Increase in certificate of deposit (600,000) -
Premium payments on life insurance policies 4,863 (2,811)
------------- ------------
NET CASH PROVIDED BY (USED IN)
INVESTING ACTIVITIES (691,704) 494,045
------------- ------------
CASH FLOWS FROM FINANCING ACTIVITIES:
Purchase of reacquired shares (122,740) (121,768)
Cash dividends paid (173,488) (175,569)
------------- ------------
NET CASH USED IN FINANCING
ACTIVITIES (296,228) (297,337)
------------- -----------
NET DECREASE (138,369) (330,161)
CASH, beginning of period 498,871 776,095
------------- -----------
CASH, end of period $ 360,502 $ 445,934
============= ===========
[FN]
See the Accompanying Notes to Financial Statements
(Unaudited)
4
<PAGE> 7
HOSOI GARDEN MORTUARY, INC.
NOTES TO FINANCIAL STATEMENTS
_ _ _ _ _ _ _ _ _ _ _ _ _ _ _
February 28, 1999 and 1998
(1) Use of estimates
----------------
The preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions
that affect the reported amounts of assets and liabilities and disclosure of
contingent assets and liabilities at the date of the financial statements and
the reported amounts of revenues and expenses during the reporting periods.
Actual results could differ from those estimates.
(2) Cash and cash equivalents
-------------------------
For purposes of the Statements of Cash Flows, cash equivalents include
certificate of deposit, money market accounts and highly liquid debt
instruments with maturities of three months or less at the date of
acquisition.
The Company's cash is deposited with four local financial institution. At
February 28, 1999 and 1998 the Company had deposits in two of these financial
institutions in excess of the deposit insurance of $100,000.
[FN]
(Unaudited)
5
<PAGE> 8
HOSOI GARDEN MORTUARY, INC.
NOTES TO FINANCIAL STATEMENTS
_ _ _ _ _ _ _ _ _ _ _ _ _ _ _
February 28, 1999 and 1998
(3) Investment securities
---------------------
The Company held investments in the following types of securities:
[CAPTION]
Gross Gross
Amortized Unrealized Unrealized Fair
Cost Gain Loss Value
--------- ----------- ---------- ------------
[S] [C] [C] [C] [C]
February 28, 1999
Available-for-Sale
Equity Securities $ 102,669 $ 31,576 $ 8,125 $ 126,120
Mutual Funds 617,208 93,733 152 710,789
---------- ----------- -------- ------------
719,877 125,309 8,277 836,909
Held-to-Maturity
U.S. Treasury Notes 844,872 1,103 1,569 844,406
----------- ----------- -------- ----------
Totals $ 1,564,749 $ 126,412 $ 9,846 $1,681,315
=========== =========== ======== ==========
February 28, 1998
Available-for-Sale
Equity Securities $ 77,276 $ 40,773 $ 1,612 $ 116,437
Mutual Funds 589,044 54,657 24 643,677
---------- ---------- ------- ----------
666,320 95,430 1,636 760,114
Held-to-Maturity
U.S. Treasury Notes 821,780 859 4,959 817,680
----------- --------- ------- ----------
Totals $ 1,488,100 $ 96,289 $ 6,595 $1,577,794
=========== ========= ======= ==========
[FN]
(Unaudited)
6
<PAGE> 9
HOSOI GARDEN MORTUARY, INC.
NOTES TO FINANCIAL STATEMENTS
_ _ _ _ _ _ _ _ _ _ _ _ _ _ _
February 28, 1999 and 1998
(3) Investment securities (continued)
---------------------
The maturities for all debt securities held at February 28, 1999 were:
[CAPTION]
Available-for-Sale Held-to-Maturity
-------------------- ------------------------
Amortized Market Amortized Market
Cost Value Cost Value
--------- ------- ----------- ---------
[S] [C] [C] [C] [C]
Within 1 year $ - $ - $ 760,260 $ 759,309
After 1 year
through 5 years - - 36,511 36,748
After 5 years - - 48,101 48,349
--------- -------- ---------- ---------
$ - $ - $ 844,872 $ 844,406
========= ========= ========== =========
The Company sold securities available-for-sale and held-to-maturity for
$825,674 and $3,673,294 in 1999 and 1998, respectively. The gross net
realized gain of $22,467 in 1999 and $102,047 in 1998 is reflected in
earnings. The gross realized losses of $5,171 in 1999 and $4,157 in 1998 is
reflected in earnings. The cost of the securities sold was based on the cost
of all the shares of each such security held at the time of sale.
The net unrealized holding gains on investment securities available-for-sale
as of February 28, 1999 is reported as a separate component of Stockholders'
Equity as follows:
[S] [C]
Unrealized holding gains, net of losses $ 117,033
Deferred income tax on net unrealized holding gains (44,441)
----------
$ 72,592
==========
[FN]
(Unaudited)
7
<PAGE> 10
HOSOI GARDEN MORTUARY, INC.
NOTES TO FINANCIAL STATEMENTS
_ _ _ _ _ _ _ _ _ _ _ _ _ _ _
February 28, 1999 and 1998
(4) Garden Life Plan, Ltd.
----------------------
Investments in Garden Life Plan, Ltd. represent the Company's 50% share in the
underlying equity, accounted for under the equity method of accounting for
investments in common stock. Garden Life Plan, Ltd., (GLP), a Hawaii
corporation is engaged in the sale of pre-need funeral plans which are
serviced solely by the Company.
All payments received from the sale of pre-need funeral plans up to an amount
equal to 30% of the total price plus any sales tax or other charges are
retained by GLP as its compensation. The balance is deposited with Hawaiian
Trust Company, Limited to be held in trust. GLP is entitled to all earnings
from funds held in trust which amounted to $2,666,047 and $1,641,352 for the
years ended May 31, 1998 and 1997, respectively. Trust assets are not included
in the financial statements of Hosoi Garden Mortuary, Inc. nor GLP.
Effective June 1, 1996, the Trust began recording its investments at market
value. Previously, the Trust recorded its investments at cost. The
cumulative effect of this change as of June 1, 1996 was an increase in GLP's
trust fund income receivable of $1,574,286, net of deferred income taxes of
$964,885 and is reflected in GLP's net income of $2,377,893 as shown below.
[FN]
(Unaudited)
8
<PAGE> 11
HOSOI GARDEN MORTUARY, INC.
NOTES TO FINANCIAL STATEMENTS
_ _ _ _ _ _ _ _ _ _ _ _ _ _ _
February 28, 1999 and 1998
(4) Garden Life Plan, Ltd. (continued)
----------------------
Audited financial statements of this subsidiary as of May 31, 1998 and 1997
reflected the following summarized financial position and results of
operations:
1998 1997
------------ ------------
[S] [C] [C]
Total assets $ 6,981,992 $ 5,019,929
Total liabilities 2,274,260 1,923,917
------------ ------------
Total stockholders' equity $ 4,707,732 $ 3,096,012
============ ============
[S] [C] [C]
Total revenue $ 617,214 $ 1,184,909
============ ============
[S] [C] [C]
Operating income (loss) $ (84,329) $ 172,255
============= =============
[S] [C] [C]
Other income $ 2,666,047 $ 1,641,352
============= ============
[S] [C] [C]
Cumulative effect of change in
accounting principle $ - $ 1,574,286
============= ============
[S] [C] [C]
Net income $ 1,611,718 $ 2,377,893
============= ============
Equity in earnings of Garden Life Plan, Ltd. represents the Company's share of
the earnings of GLP for its three-months and nine-months ended February 28,
1999 and 1998, respectively.
Investment in Garden Life Plan, Ltd. as of February 28, 1999 is accounted for
as follows:
[S] [C]
Stockholders' equity as of February 28, 1999
per Garden Life Plan, Ltd.'s balance sheet $ 4,516,557
Equity Ownership 50%
------------
2,258,279
Rounding 1
------------
Total investment in Garden Life Plan, Ltd. $ 2,258,280
============
[FN]
(Unaudited)
9
<PAGE> 12
HOSOI GARDEN MORTUARY, INC.
NOTES TO FINANCIAL STATEMENTS
_ _ _ _ _ _ _ _ _ _ _ _ _ _ _
February 28, 1999 and 1998
(5) Related party transactions
--------------------------
On July 7, 1998, the Company in partnership with Woolsey Funeral & Cemetery
Services, Inc. formed Woolsey-Hosoi Mortuary Services, LLC (Woolsey-Hosoi), a
limited liability company, to provide funeral services to market sectors not
previously serviced by the Company. The Company's initial capital
contribution in Woolsey-Hosoi is $15,000.
The Company provides Woolsey-Hosoi with embalming services, assistance with
funeral arrangements, use of its facilities and related charges. The revenues
form these services provided to Woolsey-Hosoi is reflected in net sales and
services which amounted to $10,440 for the period ended February 28, 1999.
(6) Deferred income taxes
---------------------
Deferred taxes are recognized for differences between the basis of assets and
liabilities for financial statements and income tax purposes. The deferred
assets and liabilities represent the future tax consequences of those
differences, which will be either taxable or deductible when the assets and
liabilities are recovered or settled. The deferred tax liability results from
the recognition of unrealized gains, net of losses, on securities for
financial statements and recognition of gains or losses when securities are
sold for income tax purpos es, the inclusion of deferred earnings on an annuity
policy for financial statements and the recognition of the earnings when
received for tax purposes and the equity method of accounting for the
investment in subsidiary as explained under Garden Life Plan, Ltd. above.
Under the equity method, the Company's share of earnings of the subsidiary is
reported for tax purposes only when distributions of earnings are received as
dividends. At February 28, 1999 the Company's retained earnings included
approximately $2,258,280 of undistributed earnings of GLP.
[FN]
(Unaudited)
10
<PAGE> 13
HOSOI GARDEN MORTUARY, INC.
NOTES TO FINANCIAL STATEMENTS
_ _ _ _ _ _ _ _ _ _ _ _ _ _ _
February 28, 1999 and 1998
(6) Deferred income taxes (continued)
---------------------
The deferred tax asset results from the use of the reserve method in
accounting for uncollectible accounts receivable in the financial statements
and the use of the direct write off method for income tax purpose, the accrual
of the retroactive rent for financial statements purposes and the recognition
of the rent expense when paid for income tax purposes and the accrual of
vacation and sick leave when earned for the financial statements and the
recognition for income tax purposes when paid.
(7) Income taxes
------------
The provision for income taxes consists of the following:
[CAPTION]
1999 1998
--------- -----------
[S] [C] [C]
Federal:
Current $ 48,916 $ (6,920)
Deferred (3,023) 49,230
--------- -----------
Total federal 45,893 42,310
--------- -----------
State:
Current 8,113 (4,135)
Deferred (570) 5,708
--------- -----------
Total state 7,543 1,573
--------- -----------
Total income taxes $ 53,436 $ 43,883
========= ===========
(8) Earnings per share
------------------
Earnings per common share has been computed on the basis of a weighted average
of shares outstanding of 1,730,573 for 1999 and 1,756,916 for 1998.
[FN]
(Unaudited)
11
<PAGE> 14
HOSOI GARDEN MORTUARY, INC.
NOTES TO FINANCIAL STATEMENTS
_ _ _ _ _ _ _ _ _ _ _ _ _ _ _
February 28, 1999 and 1998
(9) Reacquired shares
-----------------
Capital contributed has been reduced for shares reacquired after June 30,
1987. Payments for shares in excess of the par value has been charged to
additional paid-in capital.
The 223,785 shares reflected as Treasury Stock as of February 28, 1999
reflects shares acquired before July 1, 1987.
(10) Year 2000 Issue
---------------
As of February 28, 1999, the Company has not devoted any significant efforts
toward assessment of its Year 2000 issues and had not incurred any significant
costs related to its Year 2000 issues.
During 1999 the Company will initiate assessment of its exposure to Year 2000
issues. Its assessment will focus on the following areas:
1. Assessment of its internal hardware, software and embedded systems. It
is anticipated that most of the Company's hardware and software will be
replaced with Year 2000 compliant third-party systems. It is not expected
that embedded systems will have a major effect on the Company's operations.
2. Identification of major suppliers and other third-parties to understand
their ability to continue providing products and services through the change
to 2000.
It is expected that costs related to the Year 2000 issue will be funded
through operating cash flow. The Company presently believes that the total
cost of achieving Year 2000 compliant systems is not expected to be material
to its financial condition, liquidity or results of operations.
[FN]
(Unaudited)
12
<PAGE> 15
HOSOI GARDEN MORTUARY, INC.
MANAGEMENT'S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS
_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _
Changes in financial condition
- ------------------------------
There have been no material adverse changes in financial condition from the
end of the preceding fiscal year to the end of the current quarter ended
February 28, 1999.
The working capital and working capital ratios at February 28, 1999 is as
follows:
[S] [C]
Working capital $ 2,165,038
Working capital ratio 5.4:1
Changes in results of operations
- --------------------------------
Cost of Sales and Services - Cost of sales and services as a percent of net
sales decreased to 73.0% from 78.4% for the nine-months ended February 28,
1999 over 1998. The decrease is due principally to an increase in revenues,
as well as a decrease on real property taxes and salaries and wages.
Selling, General and Administrative Expenses - Selling, general and
administrative expenses as a percent of net sales unchanged at 25.2% for 1999
and 25.1% for 1998.
Income Taxes - The effective income tax rate increased to 31.9% in 1999 from
29.5% in 1998.
Other Income (Expense) - Other income as a percent of net sales decreased to
6.4% from 11.1% for the nine-month ended February 28, 1999 over 1998. The
decrease in other income resulted primarily from a decrease in capital gains
on the sale of securities.
[FN]
13
<PAGE> 16
HOSOI GARDEN MORTUARY, INC.
PART II - OTHER INFORMATION
_ _ _ _ _ _ _ _ _ _ _ _ _ _
February 28, 1999 and 1998
Item 4. Submission of Matters to a Vote of Security Holders
At the Annual Meeting of Stockholders of the Company held on January 19,
1999, the Stockholders re-elected the following individuals as members of the
Board of Directors: Sadako Hosoi, Berton Kato and Anne Tamori. The
Stockholders elected Endo & Company as the auditors for 1999.
Item 6. Exhibits and Reports on Form 8-K
(b) Reports on Form 8-K - There were no reports on Form 8-K filed for the
nine-months ended February 28, 1999.
14
<PAGE> 17
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.
The information furnished reflects all adjustments which are, in the opinion
of management, necessary to a fair statement of the results for the interim
periods.
HOSOI GARDEN MORTUARY, INC.
(Registrant)
Date April 14, 1999 Clifford Hosoi
----------------------------
Clifford Hosoi, President
Date April 14, 1999 Keith M Numazu
----------------------------
Keith M Numazu, Treasurer
15
<PAGE> 18
EXHIBIT INDEX
EXHIBITS
NO. DESCRIPTION
27 Financial Data Schedule, which is submitted electonically to
the Securities and Exchange Commission for information only
and not filed.
