SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
( x ) QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (D)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 1995
( ) TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period ended _______________________
For Quarter Ended Commission File Number
March 31, 1995 0-13130
UNITED MOBILE HOMES, INC.
(Exact name of registrant as specified in its charter)
New Jersey 22-1890929
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) identification number)
125 Wyckoff Road, Eatontown, New Jersey 07724
Registrant's telephone number, including area code
(908)389-3890
____________________________________________________________
(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 ______
Indicate by check mark whether the financial statements
required by instruction H have been reviewed by an
independent public accountant.
Yes ______ No X
The number of shares outstanding of issuer's common stock as
of May 9, 1995 was 5,571,407 shares.
<TABLE>
<CAPTION>
UNITED MOBILE HOMES, INC.
CONSOLIDATED BALANCE SHEETS
as of MARCH 31, 1995 and DECEMBER 31, 1994
March 31, December 31,
1995 1994
<S> <C> <C>
- ASSETS -
INVESTMENT PROPERTY & EQUIPMENT
Land $ 5,164,382 $ 4,494,382
Site and Land Improvements 31,032,504 29,777,592
Buildings & Improvements 1,731,669 1,728,447
Rental Homes & Accessories 3,663,035 3,523,332
___________ ___________
Total Investment Property 41,591,590 39,523,753
Equipment & Vehicles 1,657,600 1,669,585
___________ ___________
Total Investment Property & Equip. 43,249,190 41,193,338
Accumulated Depreciation (17,922,538) (17,643,762)
___________ ___________
Net Investment Property & Equipment 25,326,652 23,549,576
___________ ___________
OTHER ASSETS
Cash and Cash Equivalents 568,963 357,547
Notes and Other Receivables 203,331 418,304
Unamortized Financing Costs 274,373 235,663
Prepaid Expenses 309,139 286,148
Land Development Costs 736,994 556,777
___________ ___________
Total Other Assets 2,092,800 1,854,439
___________ ___________
TOTAL ASSETS $ 27,419,452 $ 25,404,015
=========== ===========
- LIABILITIES & SHAREHOLDERS' EQUITY -
MORTGAGES PAYABLE $ 17,710,818 $ 15,637,325
___________ ___________
OTHER LIABILITIES
Accounts Payable 96,902 151,548
Loans Payable -0- 500,000
Accrued Liabilities & Deposits 1,134,296 966,731
Tenant Security Deposits 307,206 294,028
___________ ___________
Total Other Liabilities 1,538,404 1,912,307
___________ ___________
MINORITY INTEREST -0- 132,600
___________ ___________
SHAREHOLDERS' EQUITY
Common Stock - $.10 par value per share,
10,000,000 shares authorized, 5,571,407
and 5,496,163 issued and
outstanding, respectively 557,141 549,616
Additional Paid-In Capital 8,377,961 7,839,960
Accumulated Deficit (764,872) (667,793)
___________ ___________
Total Shareholders' Equity 8,170,230 7,721,783
___________ ___________
TOTAL LIABILITIES & SHAREHOLDERS' EQUITY $ 27,419,452 $ 25,404,015
=========== ===========
-UNAUDITED-
See Accompanying Notes to Consolidated Financial Statements
</TABLE>
<TABLE>
<CAPTION>
UNITED MOBILE HOMES, INC.
CONSOLIDATED STATEMENTS OF INCOME
for the THREE MONTHS ended
March 31, 1995 and 1994
MARCH 31,
1995 1994
<S> <C> <C>
Rental and Related Income $ 3,247,040 $ 3,001,056
Operating Expenses:
Park Operating Expense 1,407,547 1,342,357
Depreciation Expense 468,937 439,688
_________ _________
Income from Park Operations 1,370,556 1,219,011
Other Expenses (Income):
General and
Administrative 345,754 304,113
Interest Expense 442,099 364,016
Interest Income ( 24,180) ( 5,176)
Other Expenses 18,159 12,185
_________ _________
Income Before Gain (Loss) on
Sales of Assets 588,724 543,873
Gain (Loss) on Sales of Assets 1,216 ( 5,019)
_________ _________
Income Before Taxes 589,940 538,854
Income Taxes -0- 36,000
_________ _________
Net Income $ 589,940 $ 502,854
========= =========
Net Income Per Share $ .11 $ .09
========= =========
Weighted Average Shares 5,532,798 5,317,106
Outstanding ========= =========
-UNAUDITED-
See Accompanying Notes to Consolidated Financial Statements
</TABLE>
<TABLE>
<CAPTION>
UNITED MOBILE HOMES, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
for the THREE MONTHS ended MARCH 31, 1995 and 1994
MARCH 31,
1995 1994
<S> <C> <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
Net Income $ 589,940 $ 502,854
Non-Cash Adjustments
Depreciation & Amortization 487,096 451,873
Loss (Gain) on Sales of Assets ( 1,216) 5,019
Changes in Operating Assets
and Liabilities -
Notes and Other Receivables 214,973 29,937
Prepaid Expenses ( 22,991) (33,970)
Accounts Payable ( 54,646) 35,233
Accrued Liabilities & Deposits 167,565 60,995
Tenant Security Deposits 13,178 1,645
__________ __________
Net Cash Provided by Operating
Activities 1,393,899 1,053,586
__________ __________
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of Edgewood Mobile
Home Park (2,010,906) -0-
Purchase of Minority Interest ( 132,600) -0-
Purchase of Investment Property
and Equipment ( 296,549) ( 206,513)
Proceeds from Sales of Assets 62,658 28,776
Additions to Land Development ( 180,217) ( 239,390)
__________ __________
Net Cash Used by Investing
Activities (2,557,614) ( 417,127)
__________ __________
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from Loans
and Mortgages 3,700,000 5,400,000
Principal Payments of Loans
and Mortgages (2,126,507) (6,137,847)
Financing Costs on Debt ( 56,869) ( 93,877)
Proceeds from Dividend Reinvestment
and Stock Purchase Plan 545,526 358,351
Dividends Paid ( 687,019) ( 527,558)
__________ __________
Net Cash Provided (Used) by
Financing Activities 1,375,131 (1,000,931)
__________ __________
NET INCREASE (DECREASE) IN CASH
AND CASH EQUIVALENTS 211,416 ( 364,472)
CASH & CASH EQUIVALENTS -
BEGINNING 357,547 364,472
__________ __________
CASH & CASH EQUIVALENTS -
ENDING $ 568,963 $ -0-
========== ==========
-UNAUDITED-
See Accompanying Notes to Consolidated Financial Statements
</TABLE>
UNITED MOBILE HOMES, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
MARCH 31, 1995
(UNAUDITED)
NOTE 1 - ACCOUNTING POLICY
The interim consolidated financial statements furnished herein
reflect all adjustments which were, in the opinion of
management, necessary to present fairly the financial
position, results of operations, and cash flows at March 31,
1995 and for all periods presented. All adjustments made in
the interim period were of a normal recurring nature.
Certain footnote disclosures which would substantially
duplicate the disclosures contained in the audited
consolidated financial statements and notes thereto included
in the annual report of United Mobile Homes, Inc. (the
Company) for the year ended December 31, 1994 have been
omitted.
NOTE 2 - LOANS AND MORTGAGES PAYABLE
On January 26, 1995, the Company utilized $3,700,000 ($2,000,000
on Woodlawn Village and $1,700,000 on Southwind Village) of
the revolving line of credit with United Jersey Bank, N.A.
Proceeds from these advances were primarily used to retire
existing debt and to purchase Edgewood Mobile Home Park.
(See Note 5.)
NOTE 3 - DIVIDEND REINVESTMENT AND STOCK PURCHASE PLAN
On March 15, 1995, the Company paid $687,019 as a dividend of
$.125 per share to shareholders of record as of February 15,
1995.
On March 15, 1995, the Company received $545,526 from the
Dividend Reinvestment and Stock Purchase Plan (DRIP). There
were 75,245 new shares issued resulting in 5,571,407 shares
outstanding.
NOTE 4 - EMPLOYEE STOCK OPTIONS
During the three months ended March 31, 1995, the following stock
options were granted:
Date of Number of Option Expiration
Grant Shares Price Date
1/05/95 25,000 8.25 1/5/2000
1/05/95 50,000 8.25 1/5/2000
As of March 31, 1995, there were 613,000 shares available under
the Company's 1994 Stock Option Plan.
NOTE 5 - ACQUISITIONS
On January 26, 1995, the Company acquired Edgewood Mobile Home
Park, a 218-space mobile home park located in Apollo,
Pennsylvania. This mobile home park was purchased from a
partnership whose partners are also officers, directors and
shareholders of the Company. The purchase price included
total payments to partners of $966,000, and payment of net
liabilities of approximately $800,000 for a total purchase
price of approximately $1,775,000. An additional $200,000
plus interest at 8% is to be paid if the park generates,
within a three year time limit, $195,000 per year or more in
operating income. This purchase was based on an independent
appraisal of fair market value.
On February 3, 1995, the Company purchased the remaining 11.64%
interest in Heather Highlands Mobile Home Village
Associates, L.P. from Mr. Eugene W. Landy for $132,600.
This price per unit was the same price previously paid to
non-affiliated sellers, which was based on an independent
appraisal of fair market value.
NOTE 6 - SUPPLEMENTAL CASH FLOW INFORMATION
Cash paid during the three months ended March 31, 1995 and 1994
for interest and taxes are as follows:
1995 1994
Interest $452,374 $379,652
Taxes -0- 40,957
MANAGEMENT DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITIONS AND RESULTS OF OPERATIONS
MATERIAL CHANGES IN FINANCIAL CONDITIONS
United Mobile Homes, Inc. (the Company) owns and operates twenty-
one mobile home parks. The mobile home parks have been
generating increased gross revenues and increased operating
income.
The Company generated $1,393,889 cash from operations. The
Company received new capital of $545,526 through its
Dividend Reinvestment and Stock Purchase Plan (DRIP).
Mortgages Payable increased by $2,073,493 as a result of the
utilization of $3,700,000 of the Company's revolving line of
credit offset by principal repayments. Proceeds from the
line of credit were primarily used to retire existing debt
and to purchase Edgewood Mobile Home Park (Edgewood) (see
Note 5). The Company also purchased the remaining 11.64%
interest in Heather Highlands Mobile Home Village
Associates, L.P. Additionally, the Company repaid $500,000
of its unsecured line of credit. The Company intends to
continue to use cash from operations and proceeds from the
DRIP to reduce mortgages payable.
MATERIAL CHANGES IN RESULTS OF OPERATIONS
Income from park operations increased by $151,545 to $1,370,556
for the quarter ended March 31, 1995 as compared to
$1,219,011 for the quarter ended March 31, 1994. This
represents a continuing trend of rising income from park
operations. The Company has been raising rental rates by
approximately 5%. As a result of higher rents, the addition
of rental homes and the purchase of Edgewood, rental and
related income rose from $3,001,056 to $3,247,040. Park
operating expenses rose from $1,342,357 to $1,407,547. Park
operating expenses increased due to higher insurance, legal
costs and the purchase of Edgewood. Interest expense
increased from $364,016 to $442,009 as a result of an
increase in the principal balance outstanding as well as an
increase in the prime bank rate.
Almost all of the Company's debt is tied to the prime bank rate.
This rate was 9% at March 31, 1995 as compared to 6% at
March 31, 1994.
LIQUIDITY AND CAPITAL RESOURCES
Net cash provided by operating activities increased during the
three months ended March 31, 1995 to $1,393,899 compared to
$1,053,586 generated in the three month period ended March
31, 1994. Excess cash was used to amortize and/or prepay
debt. The Company believes that funds generated from
operations and the Dividend Reinvestment and Stock Purchase
Plan, together with the financing and refinancing of its
properties will be sufficient to meet its need over the next
several years.
PART II
Item 1 - Legal Proceedings - none
Item 2 - Changes in Securities - none
Item 3 - Defaults Upon Senior Securities - none
Item 4 - Submission of Matters to a Vote of Security
Holders - none
Item 5 - Other Information - none
Item 6 - Exhibits and Reports on Form 8-K -
(a) Exhibits - none
(b) Reports on Form 8-K - none
SIGNATURES
Pursuant to the requirements of the Securities and Exchange
Act of 1934, the registrant has duly caused this report to
be signed on its behalf by the undersigned thereunto duly
authorized.
DATE: May 9, 1995 By: Samuel A. Landy,
President
(Signature)
DATE: May 9, 1995 By: Anna T. Chew, Vice
Vice President and
Chief Financial Officer
(Signature)
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
FINANCIAL STATEMENTS OF UNITED MOBILE HOMES, INC. AS OF AND FOR THE PERIOD
ENDED MARCH 31, 1995 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH
FINANCIAL STATEMENTS.
</LEGEND>
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1995
<PERIOD-END> MAR-31-1995
<CASH> 568,963
<SECURITIES> 0
<RECEIVABLES> 300,973
<ALLOWANCES> 97,642
<INVENTORY> 0
<CURRENT-ASSETS> 1,081,433
<PP&E> 43,249,190
<DEPRECIATION> 17,922,538
<TOTAL-ASSETS> 27,419,452
<CURRENT-LIABILITIES> 1,538,404
<BONDS> 17,710,818
<COMMON> 557,141
0
0
<OTHER-SE> 7,613,089
<TOTAL-LIABILITY-AND-EQUITY> 27,419,452
<SALES> 0
<TOTAL-REVENUES> 3,272,436
<CGS> 0
<TOTAL-COSTS> 1,407,547
<OTHER-EXPENSES> 832,850
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 442,099
<INCOME-PRETAX> 589,940
<INCOME-TAX> 0
<INCOME-CONTINUING> 589,940
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 589,940
<EPS-PRIMARY> .11
<EPS-DILUTED> .11
</TABLE>
