**** Note: Engineering Expense was ommitted on original filing ****
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 May 31, 1998 Commission File No. 0-5131
ART'S-WAY MANUFACTURING CO., INC.
(Exact name of registrant as specified in its charter)
DELAWARE 42-0920725
State of Incorporation I.R.S. Employer Identification No.
Hwy 9 West, Armstrong, Iowa 50514
Address of principal executive offices Zip Code
Registrant's telephone number, including area code: (712) 864-3131
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, and (2) has been subject to such filling
requirements for the past 90 days. Yes X No __
Indicate the number of shares outstanding of each of the issuer's classes of
common stock as of July 6, 1998:
1,245,931
Number of Shares
ART'S-WAY MANUFACTURING CO., INC.
CONDENSED STATEMENTS OF OPERATIONS
(Unaudited)
Three Months Ended Year To Date
May 31 May 31 May 31 May 31
1998 1997 1998 1997
NET SALES $ 6,872,111 $ 4,599,307 $11,660,133 $ 9,164,509
COST OF GOODS SOLD 5,689,300 3,043,916 9,338,285 6,541,452
GROSS PROFIT 1,182,811 1,555,391 2,321,848 2,623,057
EXPENSES:
Engineering 144,479 124,906 266,286 216,536
Selling 338,215 401,344 687,698 752,366
General and
administrative 612,085 534,249 1,197,547 1,114,483
Total 1,094,779 1,060,499 2,151,531 2,083,385
INCOME FROM OPERATIONS 88,032 494,892 170,317 539,672
OTHER DEDUCTIONS:
Interest expense (144,987) (53,022) (273,950) (124,088)
Other (32,796) (97,789) (57,720) (107,176)
Other deductions (177,783) (150,811) (331,670) (231,264)
INCOME (LOSS) BEFORE
INCOME TAXES (89,751) 344,081 (161,353) 308,408
INCOME TAX EXPENSE
(BENEFIT) (31,413) 121,814 (56,473) 109,328
NET INCOME (LOSS) $ (58,338) $ 222,267 $ (104,880) $ 199,080
INCOME (LOSS) PER SHARE (NOTE 2):
Basic $ (0.04) $ 0.18 $ (0.08) $ 0.16
Diluted $ (0.04) $ 0.18 $ (0.08) $ 0.16
COMMON SHARES AND EQUIVALENT OUTSTANDING:
Basic 1,245,931 1,238,405 1,245,931 1,238,022
Diluted 1,245,931 1,246,132 1,245,931 1,243,274
