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: July 25, 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 0-15046
---------
Westerbeke Corporation
- -------------------------------------------------------------------------------
(Exact name of registrant as specified in its charter)
Delaware 04-1925880
- ----------------------------------- ----------------------------------------
(State or other jurisdiction of (I.R.S. employer
incorporation or organization) Identification No.)
Avon Industrial Park, Avon, Massachusetts 02322
- ----------------------------------------- ----------------------------------
(Address of principal executive office) (Zip Code)
Registrant's telephone number, including area code (508) 588-7700
------------------
No Change
- -------------------------------------------------------------------------------
(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 to file such reports.) and (2) has been subject to such filing
requirements for the past 90 days.
Yes [X] No [ ]
APPLICABLE ONLY TO CORPORATE ISSUERS:
Indicate the number of shares outstanding of each of the issuer's classes of
common stock, as of the latest practicable date.
Outstanding at
Class August 28, 1998
---------------------------- ---------------
Common Stock, $.01 par value 1,917,812
WESTERBEKE CORPORATION AND SUBSIDIARY
INDEX
Page
-----
Part I - Financial Information
Item 1 - Consolidated Financial Statements
Consolidated Balance Sheets as of July 25, 1998 and October 25,
1997 3
Consolidated Statements of Operations for the three months ended
July 25, 1998 and July 26, 1997 4
Consolidated Statements of Operations for the nine months ended
July 25, 1998 and July 26, 1997 5
Consolidated Statements of Cash Flows for the nine months ended
July 25, 1998 and July 26, 1997 6
Notes to Consolidated Financial Statements 7-9
Item 2 -
Management's Discussion and Analysis of Financial Condition and
Results of Operations 10-12
Part II - Other Information 13-14
Signatures 15
WESTERBEKE CORPORATION AND SUBSIDIARY
CONSOLIDATED BALANCE SHEETS
<TABLE>
<CAPTION>
July 25, October 25,
1998 1997
----------- -----------------
(Unaudited) (Derived from
ASSETS Audited Financial
Statements)
<S> <C> <C>
Current assets:
Cash and cash equivalents $ 47,100 $ 156,900
Accounts receivable, net of allowance for doubtful accounts
of $63,800 and $63,900, respectively 3,052,200 1,949,000
Inventories (Note 2) 5,514,100 6,254,300
Prepaid expenses and other assets 365,300 301,600
Prepaid income taxes -- 212,000
Deferred income taxes 532,200 532,200
----------------------------
Total current assets 9,510,900 9,406,000
Property, plant and equipment, net 2,169,300 2,139,300
Other assets, net 1,837,100 1,597,100
Investments in marketable securities 1,838,000 1,545,500
Note receivable - related party 111,800 122,800
----------------------------
$15,467,100 $14,810,700
============================
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Current portion of long-term debt $ 188,900 $ 213,100
Revolving demand note payable 400,000 600,000
Accounts payable 2,209,600 2,227,900
Accrued expenses and other liabilities 765,400 564,600
Accrued income taxes 80,000 --
----------------------------
Total current liabilities 3,643,900 3,605,600
----------------------------
Deferred income taxes 323,800 304,200
Deferred compensation 351,900 159,600
Long-term debt, net of current portion 465,100 605,400
----------------------------
1,140,800 1,069,200
----------------------------
Stockholders' equity:
Common stock, $.01 par value; authorized 5,000,000 shares;
issued 2,185,950 shares at July 25, 1998 and 2,156,950 at
October 25, 1997 21,900 21,600
Additional paid-in-capital 6,025,300 5,996,600
Unrealized gain on marketable securities 272,200 240,700
Retained earnings 5,119,000 4,633,000
----------------------------
11,438,400 10,891,900
Less - Treasury shares 268,138 at cost 756,000 756,000
----------------------------
Total stockholders' equity 10,682,400 10,135,900
----------------------------
$15,467,100 $14,810,700
============================
</TABLE>
The accompanying notes are an integral part of the consolidated financial
statements.
WESTERBEKE CORPORATION AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF OPERATIONS
<TABLE>
<CAPTION>
Three Months Ended
---------------------------
July 25, July 26,
1998 1997
----------- -----------
(Unaudited)
<S> <C> <C>
Net sales $ 7,622,000 $ 6,816,900
Cost of sales 5,759,100 5,154,700
---------------------------
Gross profit 1,862,900 1,662,200
Selling, general and administrative expense 885,500 799,500
Research and development expense 335,600 305,000
---------------------------
Income from operations 641,800 557,700
Interest expense, net 23,300 37,700
---------------------------
Income before income taxes 618,500 520,000
Provision for income taxes 251,100 209,900
---------------------------
Net income $ 367,400 $ 310,100
===========================
Income per common share, basic $ 0.19 $ 0.17
===========================
Income per common share, diluted $ 0.18 $ 0.15
===========================
Weighted average common shares - basic 1,917,812 1,864,812
===========================
Weighted average common shares - diluted 2,066,397 2,060,514
===========================
</TABLE>
The accompanying notes are an integral part of the consolidated financial
statements.
WESTERBEKE CORPORATION AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF OPERATIONS
<TABLE>
<CAPTION>
Nine Months Ended
---------------------------
July 25, July 26,
1998 1997
----------- -----------
(Unaudited)
<S> <C> <C>
Net sales $19,806,200 $18,986,200
Cost of sales 15,485,400 14,604,100
---------------------------
Gross profit 4,320,800 4,382,100
Selling, general and administrative expense 2,610,800 2,403,800
Research and development expense 862,700 776,300
---------------------------
Income from operations 847,300 1,202,000
Interest expense, net 30,300 37,500
---------------------------
Income before income taxes 817,000 1,164,500
Provision for income taxes 331,000 477,400
---------------------------
Net income $ 486,000 $ 687,100
===========================
Income per common share, basic $ 0.25 $ 0.34
===========================
Income per common share, diluted $ 0.24 $ 0.32
===========================
Weighted average common shares - basic 1,913,457 1,994,777
===========================
Weighted average common shares - diluted 2,071,471 2,179,692
===========================
</TABLE>
The accompanying notes are an integral part of the consolidated financial
statements.
WESTERBEKE CORPORATION AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF CASH FLOWS
<TABLE>
<CAPTION>
Nine Months Ended
-----------------------------
July 25, July 26,
1998 1997
------------ ------------
(Unaudited)
<S> <C> <C>
Cash flows from operating activities:
Net income $ 486,000 $ 687,100
Reconciliation of net income to net cash provided (used)
by operating activities:
Depreciation and amortization 319,500 317,300
Deferred income taxes 19,600 --
Changes in operating assets and liabilities:
Accounts receivable (1,103,200) (1,009,400)
Inventories 740,200 (786,300)
Prepaid expenses and other assets (63,700) 33,400
Other assets (256,300) (228,000)
Accounts payable (18,300) 726,400
Accrued expenses and other liabilities 200,800 96,500
Deferred compensation 192,300 109,300
Income taxes payable 292,000 27,400
----------------------------
Net cash provided (used) by operating activities 808,900 (26,300)
----------------------------
Cash flows from investing activities:
Purchase of property, plant and equipment (333,200) (481,300)
Proceeds from payment of note receivable - related party 11,000 10,200
Investment in marketable securities, net (261,000) (434,200)
----------------------------
Net cash used in investing activities (583,200) (905,300)
----------------------------
Cash flows from financing activities:
Proceeds from revolving line of credit -- 300,000
Net borrowings (repayments) under revolving demand note (200,000) 1,320,000
Proceeds from exercise of employee stock options 29,000 11,300
Purchase of treasury stock -- (622,800)
Principal payments on long-term debt and capital lease
obligations (164,500) (122,600)
----------------------------
Net cash provided (used) in financing activities (335,500) 885,900
----------------------------
Decrease in cash and cash equivalents (109,800) (45,700)
Cash and cash equivalents, beginning of period 156,900 200,500
----------------------------
Cash and cash equivalents, end of period $ 47,100 $ 154,800
============================
Supplemental cash flow disclosures:
Interest paid $ 32,500 $ 90,800
Income taxes paid $ 29,000 $ 574,000
Supplemental disclosures of non-cash flow items:
Increase in unrealized gains on marketable securities $ 31,500 $ 47,000
Equipment purchase under capital lease -- $ 175,000
</TABLE>
The accompanying notes are an integral part of the consolidated financial
statements.
WESTERBEKE CORPORATION AND SUBSIDIARY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)
1. Summary of Significant Accounting Policies:
-------------------------------------------
A. Financial Statements
The condensed consolidated financial statements included herein have
been prepared by Westerbeke Corporation (the "Company"), without audit,
pursuant to the rules and regulations of the Securities and Exchange
Commission. While certain information and footnote disclosures normally
included in financial statements prepared in accordance with generally
accepted accounting principles have been condensed or omitted pursuant
to such rules and regulations, the Company believes that the disclosures
made herein are adequate to make the information presented not
misleading. It is recommended that these condensed statements are read
in conjunction with the consolidated financial statements and notes
thereto included in the Company's Annual Report on Form 10-K for the
fiscal year ended October 25, 1997.
In the opinion of the Company, all adjustments, consisting only of
normal recurring adjustments, necessary to present fairly the financial
position of Westerbeke Corporation and Subsidiary as of July 25, 1998,
the results of their operations for the three and nine months ended July
25, 1998 and July 26, 1997, and the cash flows for the nine months then
ended, have been included.
B. Basis of Presentation
---------------------
The condensed consolidated financial statements include the accounts of
the Company and its wholly owned subsidiary, Westerbeke International,
Inc. (a Foreign Sales Corporation). All significant intercompany
transactions and accounts have been eliminated. Westerbeke
International, Inc. has been inactive since fiscal year 1987.
In February 1997, the Financial Accounting Standards Board (FASB) issued
Financial Accounting Standard No. 128, "Earnings per Share" (FAS 128).
FAS 128 supersedes Accounting Principles Board Opinion No. 15 and
specifies the computation, presentation and disclosure requirements for
earnings per share. FAS 128 is effective for financial Statements for
both interim and annual periods ending after December 15, 1997.
Accordingly, the Company has adopted FAS 128 and has restated prior
period information as required under the statement.
In June 1997, the FASB issued Financial Accounting Standards No. 130,
"Reporting Comprehensive Income" (FAS 130) and No. 131, "Disclosure
about Segments of an Enterprise and Related Information" (FAS 131),
which are effective for fiscal years beginning after December 15, 1997.
Unrealized gains on marketable securities is a component of
comprehensive income and will be presented accordingly when FAS 130 is
adopted. The Company is currently evaluating the effects of FAS 131.
Continued
WESTERBEKE CORPORATION AND SUBSIDIARY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS, Continued
(Unaudited)
In March 1998, the American Institute of Certified Public Accountants
issued Statement of Position 98-1 (SOP 98-1), "Accounting for the Costs
of Computer Software Developed and Obtained for Internal Use". The
statement is effective for fiscal years beginning after December 15,
1998. Earlier application is encouraged in fiscal years for which annual
financial statements have not been issued. The statement defines which
costs of computer software developed or obtained for internal use are
capitalized and which costs are expensed. The Company does not believe
the adoption of SOP 98-1 will have a material impact on the financial
statements.
In April 1998, the American Institute of Certified Public Accountants
issued Statement of Position 98-5 (SOP 98-5), "Reporting on the Costs of
Start-Up Activities". The statement is effective for fiscal years
beginning after December 15, 1998. The statement requires costs of
start-up activities and organization costs to be expenses as incurred.
The Company does not believe the adoption of SOP 98-5 will have a
material impact on the financial statements.
In June 1988, the Financial Accounting Standards Board issued SFAS No.
133 "Accounting for Derivative Instruments and Hedging Activities" (SFAS
133). The statement requires companies to recognize all derivatives as
either assets or liabilities with the instruments measured at fair
value. The accounting for changes in fair value gains and losses depends
on the intended use of the derivative and its resulting designation. The
statement is effective for all fiscal quarters of fiscal years beginning
after June 15, 1999. The Company does not believe the adoption of SFAS
133 will have a material impact on the financial statements.
C. Earnings per Share
------------------
Basic income per common share is computed by dividing income available
to common stockholders by the weighted average number of shares
outstanding for the period. Diluted income per share reflects the
maximum dilution that would have resulted from the exercise of stock
options. Diluted income per share is computed by dividing net income by
the weighted average number of common shares and all dilutive
securities.
<TABLE>
<CAPTION>
For the Nine Months Ended
---------------------------------------------------------------------
July 25, 1998 July 26, 1997
-------------------------------- ---------------------------------
Income Net Income Net
per share Shares Income per share Shares Income
--------- --------- -------- ---------- --------- --------
<S> <C> <C> <C> <C> <C> <C>
Basic $.25 1,913,457 $486,000 $.34 1,994,777 $687,100
Effect of Stock options (.01) 158,014 -- (.02) 184,915 --
-------------------------------------------------------------------
Diluted $.24 2,071,471 $486,000 $.32 2,179,692 $687,100
</TABLE>
Continued
WESTERBEKE CORPORATION AND SUBSIDIARY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS, Continued
(Unaudited)
<TABLE>
<CAPTION>
For the Three Months Ended
--------------------------------------------------------------------
July 25, 1998 July 26, 1997
-------------------------------- --------------------------------
Income Net Income Net
per share Shares Income per share Shares Income
--------- --------- -------- --------- --------- --------
<S> <C> <C> <C> <C> <C> <C>
Basic $.19 1,917,812 $367,400 $.17 1,864,812 $310,100
Effect of Stock options (.01) 148,585 -- (.02) 195,702 --
-------------------------------------------------------------------
Diluted $.18 2,066,397 $367,400 $.15 2,060,514 $310,100
</TABLE>
2. Inventories
-----------
The Company uses the last-in, first-out (LIFO) method to value
inventory.
Inventories are comprised of the following:
<TABLE>
<CAPTION>
July 25, October 25,
1998 1997
---------- -----------
<S> <C> <C>
Raw materials $4,629,800 $ 5,065,400
Work-in-process 477,500 601,400
Finished goods 406,800 587,500
-------------------------
$5,514,100 $ 6,254,300
=========================
</TABLE>
The Company has estimated both the year-end inventory levels and the
inflation/deflation that will occur during the fiscal year.
The Company anticipates an increase in its LIFO valuation account as of
October 24, 1998. Accordingly, the Company has recorded an increase of
$45,000, on a pro rata basis, in the LIFO reserve during the first nine
months of fiscal 1998. During the first nine months of 1997, the Company
recorded, on a pro rata basis, an increase of $45,000 in the LIFO
reserve. Inventories would have been $1,210,000 higher at July 25, 1998
and $1,165,000 higher as of October 25, 1997, if the first-in, first-out
(FIFO) method had been used. Inventory cost determination on the FIFO
method approximates replacement or current cost.
Item 2 - Management's Discussion and Analysis
Of Financial Condition and Results Of Operations
Results of Operations -
- -----------------------
Net sales increased by $805,100, or 12%, during the third quarter of fiscal
1998 and increased $820,000 or 4% for the first nine months of fiscal 1998, as
compared to the same periods in fiscal 1997. The increase in net sales is
primarily attributable to higher unit volume of the Company's marine generator
products and propulsion engines.
Gross profit increased $200,700 or 12% during the third quarter and decreased
$61,300 or 1% for the first nine months of fiscal 1998, as compared to the same
periods in fiscal 1997. As a percentage of net sales, gross profit was 24%
during the third quarter of fiscal year 1998 as well as fiscal 1997. For the
nine months ended July 25, 1998 gross profit was 22% compared to 23% for the
nine months ended July 26, 1997.
Operating expenses increased $116,600 or 11% for the third quarter and $293,400
or 9% for the first nine months of fiscal 1998, as compared to the same periods
in fiscal 1997. Research and development costs have increased due to the
addition of personnel and higher costs related to achieving compliance with
federal and state exhaust emission requirements. Selling and administrative
expenses have increased primarily due to higher legal, warranty and personnel
costs.
Net interest expense decreased $14,400 during the third quarter and decreased
$7,200 for the first nine months of fiscal 1998, as compared to the same
periods in fiscal 1997. The decrease in interest expense in the third quarter
and the nine months ended July 25, 1998 is primarily due to a lower outstanding
balance on the line of credit with State Street Bank and Trust Company.
For the third quarter ended July 25, 1998, the Company reported net income of
$367,400, compared to a net income of $310,100 for the same period in fiscal
1997. For the nine months ended July 25, 1998, the Company reported net income
of $486,000, as compared to net income of $687,100 for the nine months ended
July 26, 1997.
One of the Company's vendors of "long block" engines stopped supplying engines
to the Company in fiscal 1997. The Company's existing inventory of this
vendor's engines was exhausted during the first quarter of fiscal 1998. The
Company was able to obtain similar "long block" engines from another source,
but there have been, and will continue to be, added costs associated with
making this change. Costs to obtain replacement "long block" engines from
another supplier and to develop replacement products based on those engines are
reflected in the decreased gross profit as a percentage of sales and in the
increased research and development costs experienced in the first nine months
of fiscal 1998. The Company anticipates that there will be added costs during
fiscal 1998 associated with bringing the new products into full production and
introducing them to the market, which will adversely affect gross margins and
research and development costs.
WESTERBEKE CORPORATION AND SUBSIDIARY
Liquidity and Capital Resources
- -------------------------------
During the first nine months of fiscal 1998, net cash provided by operations
was $808,900, compared to net cash used by operations of $26,300 for the first
nine months in fiscal 1997. The increase in cash flow from operations is
primarily attributable to decreases in inventory.
During the nine months ended July 25, 1998, the Company purchased property,
plant and equipment of $333,200. The Company plans to spend approximately
$60,000 more on equipment during the remainder of the year.
The Company has a $4,000,000 Credit Agreement with State Street Bank and Trust
Company, collateralized by inventory, accounts receivable and general
intangibles. At July 25, 1998, the Company had $400,000 in outstanding
borrowings under the Credit Agreement and approximately $503,700 committed to
cover the Company's reimbursement obligations under certain letters of credit.
The Credit Agreement expires on March 31, 1999.
On January 23, 1996, the Company entered into a $500,000 revolving line of
credit agreement (the "Revolving Line of Credit") and term loan facility with
State Street Bank and Trust Company, collateralized by various emission testing
and product development equipment and subject to working capital and equity
covenants. On July 31, 1996, the Revolving Line of Credit terminated and
automatically converted into a five-year term loan in the principal amount of
$491,600 bearing a fixed interest rate of 8.96%. At July 25, 1998, the
outstanding principal amount was $300,200.
On April 25, 1997, the Company entered into a $300,000 revolving line of credit
agreement (the "1997 Revolving Line of Credit") and term loan facility with
State Street Bank and Trust Company, collateralized by various items of
emission testing and product development equipment and subject to working
capital and equity covenants. On June 30, 1997, the 1997 Revolving Line of
Credit terminated and automatically converted into a five-year term loan
bearing a fixed interest rate of 8.75%. At July 25, 1998, the outstanding
principal amount was $235,200.
Management believes cash flow from operations and borrowings available under
the Credit Agreement will provide for working capital needs, principal payments
on long-term debt, and capital and operating leases through fiscal 1999.
Domestic inflation is not expected to have a material impact on the Company's
operations.
The cost of engine blocks and other components is subject to foreign currency
fluctuations (primarily the Japanese yen). Exchange rate fluctuations have had
a minimal impact on the Company during the first three fiscal quarters of 1998.
The Company has financial arrangements with its Japanese vendor's that
minimizes the risk of the fluctuation of the Japanese yen.
This Quarterly Report on Form 10-Q may contain forward-looking information
about the Company. The Company is hereby setting forth statements identifying
important factors that may cause the Company's actual results to differ
materially from those set forth in any forward-looking statements made by the
Company. Some of the most significant factors include: an unanticipated
down-turn in the recreational boating industry resulting in lower demand for
the Company's products; the unanticipated loss of, or decline in sales to, a
major customer; the unanticipated loss of a major supplier; the inability of
the Company to effect required modifications of its products to meet
governmental regulations with respect to emission standards; the unanticipated
inability of the Company to be Year 2000 Compliant; and foreign currency
fluctuations resulting in cost increases to the Company for its foreign
supplied components. Accordingly, there can be no assurances that any
anticipated future results will be achieved.
Year 2000 Compliance
- --------------------
The Company is in the process of assessing and implementing the changes to its
systems necessary to be year 2000 compliant. The Company believes the cost of
such changes will not have a material impact on the financial statements. The
Company has received from its software vendor the updated software necessary to
make its operating system year 2000 compliant, which the Company anticipates
will be installed by the end of the 1998 calendar year. Although failure to
complete the implementation on a timely basis may have material adverse
financial and operational impacts on the Company, the Company believes such
failure is not reasonably likely. The Company believes that should the data
processing system fail that it has adequate off-line resources available to
them allowing for the continued operation of its business.
The Company's business is also dependent upon the systems of third parties. The
Company has initiated a year 2000 survey of its major vendors and customers.
Based upon the results of the responses to date all vendors and customers have
indicated that they would be in compliance within the next six months. Although
there can be no assurance that these vendors will be in compliance, the Company
believes there are additional sources available to them on commercially
reasonable terms.
Part II. Other Information
Item 1 Legal Proceedings
-------------------------
The Company has initiated arbitration with the American Arbitration
Association in New York against Daihatsu Motor Company, Ltd.
("Daihatsu") for breach of contract and other claims. The Company is
seeking damages based on Daihatsu's breach of a Component Sales
Agreement which also granted the Company rights to certain engines
including an engine Daihatsu began marketing in 1993 through a joint
venture with Briggs & Stratton Corporation. In a separate but
related case pending in the Federal District Court for the District
of Massachusetts, the Company is seeking damages from Briggs &
Stratton Corporation for tortious interference with the Company's
Agreement with Daihatsu and other related claims. The Federal Court
action has been stayed pending the conclusion of the arbitration.
Item 2 Changes in Securities
-----------------------------
None to report
Item 3 Default Upon Senior Securities
--------------------------------------
None to report
Item 4 Submissions of Matters to a Vote of Security Holders
------------------------------------------------------------
None to report
Item 5 Other Information
-------------------------
The Securities and Exchange Commission recently adopted certain
amendments to its rules governing the submission by shareholders of
proposals intended to be presented at meetings of shareholders.
These amendments, which became effective on June 29, 1998, included
granting the Company the right to exercise discretionary voting
authority with respect to certain shareholder proposals that the
Company did not have notice within a specified time period prior to
the meeting.
As disclosed in the Company's 1998 Proxy Statement, any shareholder
proposals submitted pursuant to Rule 14a-8 promulgated under the
Securities Exchange Act of 1934, as amended ("Exchange Act Rule
14a-8"), and intended to be presented at the Company's 1999 Annual
Meeting of Shareholders, must be received in writing by the Company
at its principal executive offices on or before November 5, 1998 for
inclusion in the proxy statement and form of proxy to be distributed
by the Board of Directors in connection with such meeting. Any
shareholder proposals intended to be presented at the Company's 1999
Annual Meeting, other than shareholder proposals submitted pursuant
to Exchange Act Rule 14a-8, must be filed with the Secretary of the
Company on or before January 20, 1999. In the event that a
shareholder fails to notify the Company by January 20, 1999 of an
intent to be present at the 1999 Annual Meeting of Shareholders in
order to present a proposal for a vote (other than a proposal
submitted pursuant to Exchange Act Rule 14a-8), the Company will
have the right to exercise its discretionary authority to vote
against the proposal, if presented, without including any
information about the proposal in its proxy materials.
Continued
Item 6 Exhibits and Reports on Form 8-K
----------------------------------------
(a) Exhibit 27 Financial Data Schedule for the nine months ended
July 25, 1998 and July 26, 1997
(b) Reports on Form 8-K
No reports on Form 8-K were filed by the Company during the
period covered by this report.
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.
WESTERBEKE CORPORATION
(Registrant)
Dated September 4, 1998 /s/ John H. Westerbeke, Jr.
--------------------- ----------------------------------------
John H. Westerbeke, Jr.
Chairman of the Board, President and
Principal Executive Officer
Dated September 4, 1998 /s/ Carleton F. Bryant III
--------------------- ----------------------------------------
Carleton F. Bryant III
Executive Vice President, Chief
Operating Officer and Principal
Financial and Accounting Officer
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
FINANCIAL DATA SCHEDULE FOR THE NINE MONTHS ENDED JULY 25, 1998
</LEGEND>
<CIK> 0000796502
<NAME> WESTERBEKE CORP.
<MULTIPLIER> 1
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> OCT-24-1998
<PERIOD-END> JUL-25-1998
<CASH> 47,100
<SECURITIES> 0
<RECEIVABLES> 3,052,200
<ALLOWANCES> 63,800
<INVENTORY> 5,514,100
<CURRENT-ASSETS> 9,510,900
<PP&E> 6,020,800
<DEPRECIATION> 3,851,500
<TOTAL-ASSETS> 15,467,100
<CURRENT-LIABILITIES> 3,643,900
<BONDS> 0
0
0
<COMMON> 21,900
<OTHER-SE> 10,660,500
<TOTAL-LIABILITY-AND-EQUITY> 15,467,100
<SALES> 19,806,200
<TOTAL-REVENUES> 19,806,200
<CGS> 15,485,400
<TOTAL-COSTS> 15,485,400
<OTHER-EXPENSES> 3,473,500
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 148,700
<INCOME-PRETAX> 817,000
<INCOME-TAX> 331,000
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 486,000
<EPS-PRIMARY> .25
<EPS-DILUTED> .24
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
REVISED TO COMPLY WITH FASB 128 FOR THE NINE MONTHS ENDED JULY 26, 1997
</LEGEND>
<RESTATED>
<CIK> 0000796502
<NAME> WESTERBEKE CORP.
<MULTIPLIER> 1
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> OCT-25-1997
<PERIOD-END> JUL-26-1998
<CASH> 154,800
<SECURITIES> 0
<RECEIVABLES> 3,327,900
<ALLOWANCES> 62,800
<INVENTORY> 6,214,300
<CURRENT-ASSETS> 10,352,000
<PP&E> 5,611,400
<DEPRECIATION> 3,474,000
<TOTAL-ASSETS> 15,435,600
<CURRENT-LIABILITIES> 4,582,300
<BONDS> 0
0
0
<COMMON> 21,300
<OTHER-SE> 9,942,300
<TOTAL-LIABILITY-AND-EQUITY> 15,435,600
<SALES> 18,986,200
<TOTAL-REVENUES> 18,986,200
<CGS> 14,604,100
<TOTAL-COSTS> 14,604,100
<OTHER-EXPENSES> 3,180,100
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 104,800
<INCOME-PRETAX> 1,164,500
<INCOME-TAX> 477,400
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 687,100
<EPS-PRIMARY> .34
<EPS-DILUTED> .32
</TABLE>
