<PAGE> 1
ADVISOR
Perkins Capital Management, Inc.
730 East Lake Street
Wayzata, MN 55391-1769
(800) 998-3190
(612) 473-8367
DISTRIBUTOR
First Fund Distributors, Inc.
4455 East Camelback Road, Suite 261E
Phoenix, AZ 85018
CUSTODIAN
Star Bank, N.A.
425 Walnut Street
Cincinnati, OH 45202
TRANSFER AGENT AND SHAREHOLDER SERVICES
Rodney Square Management Corporation
1105 North Market Street, 19th Floor
Wilmington, DE 19890-0001
(800)280-4779
AUDITORS
Tait, Weller & Baker
8 Penn Center, Suite 800
Philadelphia, PA 19101
LEGAL COUNSEL
Paul, Hastings, Janofsky & Walker
345 California Street, 29th Floor
San Francisco, CA 94104
This report is intended for shareholders of the Fund and may not be used as
sales literature unless preceded or accompanied by a current prospectus.
Past performance results shown in this report should not be considered a
representation of future performance. Share price and returns will fluctuate
so that shares, when redeemed, may be worth more or less than their original
cost. Statements and other information herein are dated and are subject to
change.
THE PERKINS
OPPORTUNITY
FUND
[PCM LOGO]
A mutual fund seeking to provide
capital appreciation through a
continuing search for investment opportunities
SEMI-ANNUAL REPORT
TO SHAREHOLDERS FOR
THE SIX MONTHS ENDED
SEPTEMBER 30, 1997
<PAGE> 2
THE PERKINS
[PCM LOGO] OPPORTUNITY
FUND
September 30, 1997
Dear Shareholders:
We are very pleased to have a positive report for you as of the end of the
September quarter. After a difficult time period starting in May of 1996, The
Perkins Opportunity Fund reached a low on April 3, 1997 at $12.24. Since then
the Fund has experienced a strong rally finishing the quarter at $16.04 on
September 30, 1997, an NAV gain of 31% from the low. The under performance of
small aggressive growth stocks that persisted during the May 1996 thru April
1997 time period resulted in a situation where the relative valuations of large
vs. small stocks reached an extreme that subsequently led to a trend change. We
believe that we are still in the early stages of a longer time period during
which small stocks will outperform large stocks. If we are right, this should
continue to be very positive for the Fund. The Fund is in a unique situation for
new and existing shareholders due to an estimated $1.00+ per share capital loss
carryforward, which should help to shelter future tax liabilities. Additionally,
we are initiating plans to launch The Perkins Micro-Cap Fund by early next year,
which will focus exclusively on Micro-cap companies. As bottom-up stock pickers,
we have not changed our investment approach. We continue to search for new
opportunities and monitor our holdings as always. The Fund owns shares in many
unique companies which we feel have the potential to be long-term winners. As an
aggressive growth fund, the Fund has been and should continue to be more
volatile than the overall market.
THE PERKINS OPPORTUNITY FUND
[PLOT POINTS FOR GRAPH]
Date Close
- ---- -----
02/18/93 6.01
02/19/93 6.02
02/22/93 5.92
02/23/93 6.11
02/24/93 6.11
02/25/93 6.17
02/26/93 6.27
03/01/93 6.34
03/02/93 6.32
03/03/93 6.39
03/04/93 6.42
03/05/93 6.41
03/08/93 6.44
03/09/93 6.40
03/10/93 6.41
03/11/93 6.43
03/12/93 6.41
03/15/93 6.38
03/16/93 6.40
03/17/93 6.36
03/18/93 6.38
03/19/93 6.38
03/22/93 6.29
03/23/93 6.28
03/24/93 6.28
03/25/93 6.29
03/26/93 6.29
03/29/93 6.34
03/30/93 6.32
03/31/93 6.38
04/01/93 6.37
04/02/93 6.22
04/05/93 6.21
04/06/93 6.22
04/07/93 6.17
04/08/93 6.12
04/09/93 6.20
04/12/93 6.25
04/13/93 6.25
04/14/93 6.23
04/15/93 6.20
04/16/93 6.26
04/19/93 6.16
04/20/93 6.16
04/21/93 6.16
04/22/93 6.16
04/23/93 5.99
04/26/93 6.00
04/27/93 6.02
04/28/93 6.05
04/29/93 6.18
04/30/93 6.20
05/03/93 6.27
05/04/93 6.34
05/05/93 6.31
05/06/93 6.33
05/07/93 6.42
05/10/93 6.48
05/11/93 6.49
05/12/93 6.47
05/13/93 6.43
05/14/93 6.40
05/17/93 6.42
05/18/93 6.48
05/19/93 6.54
05/20/93 6.52
05/21/93 6.54
05/24/93 6.58
05/25/93 6.60
05/26/93 6.64
05/27/93 6.60
05/28/93 6.60
05/31/93 6.66
06/01/93 6.70
06/02/93 6.75
06/03/93 6.63
06/04/93 6.56
06/07/93 6.60
06/08/93 6.58
06/09/93 6.67
06/10/93 6.79
06/11/93 6.85
06/14/93 6.74
06/15/93 6.73
06/16/93 6.67
06/17/93 6.69
06/18/93 6.64
06/21/93 6.62
06/22/93 6.60
06/23/93 6.70
06/24/93 6.67
06/25/93 6.68
06/28/93 6.69
06/29/93 6.79
06/30/93 6.89
07/01/93 6.78
07/02/93 6.72
07/05/93 6.78
07/06/93 6.74
07/07/93 6.90
07/08/93 6.91
07/09/93 7.05
07/12/93 7.00
07/13/93 6.97
07/14/93 6.94
07/15/93 7.03
07/16/93 7.03
07/19/93 6.99
07/20/93 7.02
07/21/93 6.99
07/22/93 6.97
07/23/93 6.97
07/26/93 6.97
07/27/93 7.00
07/28/93 6.99
07/29/93 7.07
07/30/93 6.99
08/02/93 7.00
08/03/93 7.01
08/04/93 7.00
08/05/93 7.04
08/06/93 7.05
08/09/93 7.11
08/10/93 7.10
08/11/93 7.07
08/12/93 7.07
08/13/93 7.06
08/16/93 7.09
08/17/93 7.11
08/18/93 7.10
08/19/93 7.17
08/20/93 7.13
08/23/93 7.26
08/24/93 7.19
08/25/93 7.24
08/26/93 7.37
08/27/93 7.38
08/30/93 7.45
08/31/93 7.37
09/01/93 7.38
09/02/93 7.45
09/03/93 7.37
09/06/93 7.37
09/07/93 7.30
09/08/93 7.21
09/09/93 7.23
09/10/93 7.37
09/13/93 7.43
09/14/93 7.34
09/15/93 7.37
09/16/93 7.36
09/17/93 7.49
09/20/93 7.47
09/21/93 7.40
09/22/93 7.48
09/23/93 7.55
09/24/93 7.57
09/27/93 7.69
09/28/93 7.73
09/29/93 7.68
09/30/93 7.78
10/01/93 7.74
10/04/93 7.72
10/05/93 7.72
10/06/93 7.78
10/07/93 7.77
10/08/93 7.83
10/11/93 7.89
10/12/93 8.02
10/13/93 8.25
10/14/93 8.25
10/15/93 8.26
10/18/93 8.26
10/19/93 8.19
10/20/93 8.25
10/21/93 8.23
10/22/93 8.18
10/25/93 8.21
10/26/93 8.14
10/27/93 8.15
10/28/93 8.21
10/29/93 8.27
11/01/93 8.32
11/02/93 8.39
11/03/93 8.48
11/04/93 8.37
11/05/93 8.37
11/08/93 8.39
11/09/93 8.48
11/10/93 8.64
11/11/93 8.82
11/12/93 8.78
11/15/93 8.64
11/16/93 8.62
11/17/93 8.45
11/18/93 8.46
11/19/93 8.31
11/22/93 8.05
11/23/93 8.04
11/24/93 8.08
11/25/93 8.08
11/26/93 8.04
11/29/93 7.99
11/30/93 8.10
12/01/93 8.24
12/02/93 8.38
12/03/93 8.38
12/06/93 8.32
12/07/93 8.31
12/08/93 8.20
12/09/93 8.16
12/10/93 8.22
12/13/93 8.21
12/14/93 8.11
12/15/93 8.10
12/16/93 8.14
12/17/93 8.09
12/20/93 8.17
12/21/93 8.10
12/22/93 8.05
12/23/93 8.12
12/24/93 8.12
12/27/93 8.10
12/28/93 8.19
12/29/93 8.22
12/30/93 8.28
12/31/93 8.26
01/03/94 8.30
01/04/94 8.31
01/05/94 8.49
01/06/94 8.57
01/07/94 8.56
01/10/94 8.62
01/11/94 8.67
01/12/94 8.59
01/13/94 8.63
01/14/94 8.74
01/17/94 8.70
01/18/94 8.63
01/19/94 8.71
01/20/94 8.71
01/21/94 8.80
01/24/94 8.83
01/25/94 8.69
01/26/94 8.68
01/27/94 8.70
01/28/94 8.75
01/31/94 8.86
02/01/94 8.79
02/02/94 8.71
02/03/94 8.70
02/04/94 8.42
02/07/94 8.41
02/08/94 8.41
02/09/94 8.56
02/10/94 8.63
02/11/94 8.61
02/14/94 8.63
02/15/94 8.67
02/16/94 8.64
02/17/94 8.62
02/18/94 8.77
02/21/94 8.27
02/22/94 8.67
02/23/94 8.58
02/24/94 8.52
02/25/94 8.57
02/28/94 8.80
03/01/94 8.84
03/02/94 8.86
03/03/94 8.82
03/04/94 8.89
03/07/94 8.82
03/08/94 8.89
03/09/94 8.89
03/10/94 8.89
03/11/94 8.98
03/14/94 9.03
03/15/94 9.16
03/16/94 9.17
03/17/94 9.26
03/18/94 9.24
03/21/94 9.23
03/22/94 9.13
03/23/94 9.15
03/24/94 9.07
03/25/94 9.11
03/28/94 8.92
03/29/94 8.68
03/30/94 8.59
03/31/94 8.44
04/01/94 8.44
04/04/94 8.25
04/05/94 8.43
04/06/94 8.46
04/07/94 8.48
04/08/94 8.56
04/11/94 8.63
04/12/94 8.49
04/13/94 8.49
04/14/94 8.54
04/15/94 8.55
04/18/94 8.32
04/19/94 8.28
04/20/94 8.13
04/21/94 8.21
04/22/94 8.33
04/25/94 8.30
04/26/94 8.41
04/27/94 8.23
04/28/94 8.37
04/29/94 8.34
05/02/94 8.38
05/03/94 8.41
05/04/94 8.36
05/05/94 8.34
05/06/94 8.28
05/09/94 8.14
05/10/94 8.23
05/11/94 8.15
05/12/94 8.23
05/13/94 8.17
05/16/94 8.10
05/17/94 8.13
05/18/94 8.06
05/19/94 8.10
05/20/94 8.18
05/23/94 8.17
05/24/94 8.06
05/25/94 8.12
05/26/94 8.06
05/27/94 8.12
05/30/94 8.12
05/31/94 8.12
06/01/94 8.19
06/02/94 8.13
06/03/94 8.09
06/06/94 8.04
06/07/94 7.91
06/08/94 7.83
06/09/94 7.81
06/10/94 7.80
06/13/94 7.85
06/14/94 7.77
06/15/94 7.74
06/16/94 7.74
06/17/94 7.77
06/20/94 7.72
06/21/94 7.66
06/22/94 7.70
06/23/94 7.47
06/24/94 7.48
06/27/94 7.46
06/28/94 7.47
06/29/94 7.53
06/30/94 7.61
07/01/94 7.42
07/04/94 7.41
07/05/94 7.51
07/06/94 7.51
07/07/94 7.43
07/08/94 7.51
07/11/94 7.46
07/12/94 7.52
07/13/94 7.61
07/14/94 7.57
07/15/94 7.63
07/18/94 7.70
07/19/94 7.71
07/20/94 7.73
07/21/94 7.77
07/22/94 7.91
07/25/94 7.80
07/26/94 7.81
07/27/94 7.77
07/28/94 7.85
07/29/94 7.99
08/01/94 7.98
08/02/94 7.99
08/03/94 8.05
08/04/94 8.09
08/05/94 8.07
08/08/94 8.16
08/09/94 8.15
08/10/94 8.07
08/11/94 8.10
08/12/94 8.11
08/15/94 8.10
08/16/94 8.05
08/17/94 8.20
08/18/94 8.17
08/19/94 8.37
08/22/94 8.39
08/23/94 8.44
08/24/94 8.57
08/25/94 8.68
08/26/94 8.92
08/29/94 8.91
08/30/94 9.21
08/31/94 9.16
09/01/94 9.17
09/02/94 9.31
09/05/94 9.31
09/06/94 9.38
09/07/94 9.36
09/08/94 9.45
09/09/94 9.42
09/12/94 9.40
09/13/94 9.30
09/14/94 9.36
09/15/94 9.50
09/16/94 9.56
09/19/94 9.59
09/20/94 9.54
09/21/94 9.47
09/22/94 9.53
09/23/94 9.60
09/26/94 9.62
09/27/94 9.64
09/28/94 9.62
09/29/94 9.53
09/30/94 9.66
10/03/94 9.62
10/04/94 9.51
10/05/94 9.43
10/06/94 9.45
10/07/94 9.64
10/10/94 9.63
10/11/94 9.80
10/12/94 9.73
10/13/94 9.84
10/14/94 9.90
10/17/94 9.91
10/18/94 9.74
10/19/94 9.79
10/20/94 9.74
10/21/94 9.78
10/24/94 9.80
10/25/94 9.74
10/26/94 9.83
10/27/94 9.99
10/28/94 10.24
10/31/94 10.26
11/01/94 10.18
11/02/94 10.24
11/03/94 10.27
11/04/94 10.37
11/07/94 10.28
11/08/94 10.35
11/09/94 10.34
11/10/94 10.37
11/11/94 10.38
11/14/94 10.34
11/15/94 10.42
11/16/94 10.41
11/17/94 10.42
11/18/94 10.36
11/21/94 10.14
11/22/94 9.87
11/23/94 9.70
11/24/94 9.70
11/25/94 9.70
11/28/94 9.79
11/29/94 9.89
11/30/94 10.02
12/01/94 9.83
12/02/94 9.96
12/05/94 9.98
12/06/94 9.74
12/07/94 9.51
12/08/94 9.29
12/09/94 9.29
12/12/94 9.36
12/13/94 9.37
12/14/94 9.41
12/15/94 9.46
12/16/94 9.54
12/19/94 9.51
12/20/94 9.43
12/21/94 9.47
12/22/94 9.42
12/23/94 9.46
12/26/94 9.46
12/27/94 9.41
12/28/94 9.36
12/29/94 9.42
12/30/94 9.65
01/02/95 9.65
01/03/95 9.48
01/04/95 9.55
01/05/95 9.59
01/06/95 9.71
01/09/95 9.81
01/10/95 9.78
01/11/95 9.73
01/12/95 9.74
01/13/95 9.93
01/16/95 9.98
01/17/95 10.08
01/18/95 10.06
01/19/95 10.13
01/20/95 10.15
01/23/95 10.19
01/24/95 10.24
01/25/95 10.28
01/26/95 10.25
01/27/95 10.39
01/30/95 10.32
01/31/95 10.32
02/01/95 10.38
02/02/95 10.45
02/03/95 10.50
02/06/95 10.54
02/07/95 10.62
02/08/95 10.74
02/09/95 10.76
02/10/95 10.88
02/13/95 10.99
02/14/95 11.09
02/15/95 11.22
02/16/95 11.18
02/17/95 11.20
02/20/95 11.20
02/21/95 11.18
02/22/95 11.13
02/23/95 11.22
02/24/95 11.18
02/27/95 11.09
02/28/95 11.18
03/01/95 11.18
03/02/95 11.28
03/03/95 11.32
03/06/95 11.29
03/07/95 11.08
03/08/95 11.09
03/09/95 11.07
03/10/95 11.12
03/13/95 11.14
03/14/95 11.26
03/15/95 11.33
03/16/95 11.48
03/17/95 11.44
03/20/95 11.50
03/21/95 11.53
03/22/95 11.61
03/23/95 11.64
03/24/95 11.73
03/27/95 11.81
03/28/95 11.78
03/29/95 11.73
03/30/95 11.65
03/31/95 11.72
04/03/95 11.68
04/04/95 11.74
04/05/95 11.72
04/06/95 11.81
04/07/95 11.68
04/10/95 11.76
04/11/95 11.77
04/12/95 11.77
04/13/95 11.86
04/14/95 11.86
04/17/95 11.83
04/18/95 11.87
04/19/95 11.79
04/20/95 11.72
04/21/95 11.84
04/24/95 11.96
04/25/95 11.97
04/26/95 11.99
04/27/95 12.14
04/28/95 12.17
05/01/95 12.21
05/02/95 12.31
05/03/95 12.34
05/04/95 12.26
05/05/95 12.26
05/08/95 12.36
05/09/95 12.39
05/10/95 12.41
05/11/95 12.42
05/12/95 12.44
05/15/95 12.51
05/16/95 12.48
05/17/95 12.56
05/18/95 12.48
05/19/95 12.46
05/22/95 12.55
05/23/95 12.71
05/24/95 12.78
05/25/95 12.75
05/26/95 12.78
05/29/95 12.78
05/30/95 12.72
05/31/95 12.73
06/01/95 12.86
06/02/95 12.85
06/05/95 12.91
06/06/95 12.97
06/07/95 12.88
06/08/95 12.88
06/09/95 13.00
06/12/95 13.09
06/13/95 13.25
06/14/95 13.40
06/15/95 13.48
06/16/95 13.66
06/19/95 13.76
06/20/95 13.72
06/21/95 13.84
06/22/95 13.97
06/23/95 13.88
06/26/95 13.72
06/27/95 13.60
06/28/95 13.61
06/29/95 13.63
06/30/95 13.81
07/03/95 13.78
07/04/95 13.78
07/05/95 13.83
07/06/95 13.99
07/07/95 14.14
07/10/95 14.21
07/11/95 14.15
07/12/95 14.55
07/13/95 14.56
07/14/95 14.60
07/17/95 14.79
07/18/95 14.89
07/19/95 14.23
07/20/95 14.39
07/21/95 14.47
07/24/95 14.76
07/25/95 14.83
07/26/95 14.93
07/27/95 15.05
07/28/95 15.24
07/31/95 15.25
08/01/95 15.13
08/02/95 15.12
08/03/95 15.03
08/04/95 15.25
08/07/95 15.28
08/08/95 15.28
08/09/95 15.52
08/10/95 15.38
08/11/95 15.37
08/14/95 15.42
08/15/95 15.46
08/16/95 15.50
08/17/95 15.59
08/18/95 15.78
08/21/95 15.84
08/22/95 15.90
08/23/95 16.04
08/24/95 16.04
08/25/95 16.19
08/28/95 15.97
08/29/95 15.69
08/30/95 15.79
08/31/95 15.92
09/01/95 15.94
09/04/95 15.94
09/05/95 15.97
09/06/95 16.15
09/07/95 16.23
09/08/95 16.38
09/11/95 16.43
09/12/95 16.51
09/13/95 16.51
09/14/95 16.63
09/15/95 16.51
09/18/95 16.34
09/19/95 16.47
09/20/95 16.60
09/21/95 16.59
09/22/95 16.51
09/25/95 16.40
09/26/95 16.36
09/27/95 16.01
09/28/95 16.20
09/29/95 16.36
10/02/95 16.19
10/03/95 16.10
10/04/95 15.83
10/05/95 15.87
10/06/95 15.89
10/09/95 15.53
10/10/95 15.26
10/11/95 15.58
10/12/95 15.63
10/13/95 15.77
10/16/95 15.76
10/17/95 15.82
10/18/95 15.86
10/19/95 15.89
10/20/95 15.94
10/23/95 15.88
10/24/95 15.91
10/25/95 15.79
10/26/95 15.74
10/27/95 15.61
10/30/95 15.72
10/31/95 15.82
11/01/95 15.87
11/02/95 15.89
11/03/95 16.00
11/06/95 16.13
11/07/95 16.06
11/08/95 16.10
11/09/95 16.32
11/10/95 16.35
11/13/95 16.33
11/14/95 16.17
11/15/95 16.10
11/16/95 16.24
11/17/95 16.13
11/20/95 16.00
11/21/95 15.87
11/22/95 15.82
11/23/95 15.82
11/24/95 15.86
11/27/95 15.93
11/28/95 15.95
11/29/95 16.17
11/30/95 16.43
12/01/95 16.50
12/04/95 16.46
12/05/95 16.44
12/06/95 16.36
12/07/95 16.34
12/08/95 16.43
12/11/95 16.46
12/12/95 16.44
12/13/95 16.65
12/14/95 16.42
12/15/95 16.36
12/18/95 15.99
12/19/95 16.07
12/20/95 16.14
12/21/95 16.17
12/22/95 16.29
12/25/95 16.29
12/26/95 16.39
12/27/95 16.36
12/28/95 16.28
12/29/95 16.44
01/01/96 16.44
01/02/96 16.65
01/03/96 16.68
01/04/96 16.47
01/05/96 16.41
01/08/96 16.52
01/09/96 16.22
01/10/96 15.88
01/11/96 15.99
01/12/96 15.95
01/15/96 15.81
01/16/96 15.80
01/17/96 15.86
01/18/96 15.93
01/19/96 15.89
01/22/96 16.15
01/23/96 16.16
01/24/96 16.19
01/25/96 16.30
01/26/96 16.30
01/29/96 16.43
01/30/96 16.61
01/31/96 16.71
02/01/96 16.74
02/02/96 16.79
02/05/96 16.85
02/06/96 16.90
02/07/96 16.80
02/08/96 16.99
02/09/96 17.07
02/12/96 17.20
02/13/96 17.09
02/14/96 17.04
02/15/96 17.04
02/16/96 17.00
02/19/96 17.00
02/20/96 16.77
02/21/96 16.94
02/22/96 17.19
02/23/96 17.18
02/26/96 17.06
02/27/96 16.99
02/28/96 17.19
02/29/96 17.11
03/01/96 17.14
03/04/96 17.14
03/05/96 17.09
03/06/96 17.12
03/07/96 17.17
03/08/96 16.60
03/11/96 16.95
03/12/96 16.83
03/13/96 16.98
03/14/96 17.19
03/15/96 17.31
03/18/96 17.50
03/19/96 17.51
03/20/96 17.54
03/21/96 17.52
03/22/96 17.69
03/25/96 17.47
03/26/96 17.38
03/27/96 17.40
03/28/96 17.52
03/29/96 17.72
04/01/96 17.85
04/02/96 17.91
04/03/96 18.08
04/04/96 18.19
04/05/96 18.18
04/08/96 18.07
04/09/96 17.99
04/10/96 17.79
04/11/96 17.67
04/12/96 17.92
04/15/96 18.18
04/16/96 18.21
04/17/96 18.30
04/18/96 18.54
04/19/96 18.67
04/22/96 18.84
04/23/96 19.17
04/24/96 19.29
04/25/96 19.48
04/26/96 19.56
04/29/96 19.66
04/30/96 19.66
05/01/96 19.93
05/02/96 19.69
05/03/96 19.81
05/06/96 20.13
05/07/96 19.92
05/08/96 19.74
05/09/96 20.09
05/10/96 20.26
05/13/96 20.38
05/14/96 20.57
05/15/96 20.66
05/16/96 20.85
05/17/96 20.96
05/20/96 21.17
05/21/96 21.41
05/22/96 21.96
05/23/96 22.42
05/24/96 22.49
05/27/96 22.49
05/28/96 22.31
05/29/96 22.08
05/30/96 22.11
05/31/96 21.98
06/03/96 22.11
06/04/96 22.37
06/05/96 22.39
06/06/96 22.10
06/07/96 22.01
06/10/96 21.98
06/11/96 21.79
06/12/96 21.68
06/13/96 21.57
06/14/96 21.30
06/17/96 21.18
06/18/96 20.66
06/19/96 20.54
06/20/96 20.20
06/21/96 20.21
06/24/96 20.26
06/25/96 20.05
06/26/96 19.56
06/27/96 19.37
06/28/96 19.71
07/01/96 19.83
07/02/96 19.89
07/03/96 19.72
07/04/96 19.72
07/05/96 19.27
07/08/96 18.94
07/09/96 19.04
07/10/96 18.57
07/11/96 17.86
07/12/96 17.77
07/15/96 17.06
07/16/96 16.86
07/17/96 17.41
07/18/96 17.72
07/19/96 17.80
07/22/96 17.44
07/23/96 16.94
07/24/96 16.57
07/25/96 16.78
07/26/96 17.00
07/29/96 16.71
07/30/96 16.71
07/31/96 16.65
08/01/96 16.71
08/02/96 16.83
08/05/96 16.86
08/06/96 16.87
08/07/96 16.98
08/08/96 16.78
08/09/96 16.81
08/12/96 16.74
08/13/96 16.60
08/14/96 16.55
08/15/96 16.65
08/16/96 16.58
08/19/96 16.65
08/20/96 16.86
08/21/96 16.76
08/22/96 17.04
08/23/96 17.15
08/26/96 17.13
08/27/96 17.27
08/28/96 17.54
08/29/96 17.47
08/30/96 17.47
09/02/96 17.47
09/03/96 17.25
09/04/96 17.27
09/05/96 17.01
09/06/96 17.18
09/09/96 17.22
09/10/96 17.32
09/11/96 17.19
09/12/96 17.17
09/13/96 17.25
09/16/96 17.27
09/17/96 17.11
09/18/96 17.22
09/19/96 17.05
09/20/96 17.10
09/23/96 16.92
09/24/96 17.06
09/25/96 17.27
09/26/96 17.31
09/27/96 17.27
09/30/96 17.38
10/01/96 17.34
10/02/96 17.47
10/03/96 17.38
10/04/96 17.56
10/07/96 17.50
10/08/96 17.44
10/09/96 17.47
10/10/96 17.39
10/11/96 17.53
10/14/96 17.60
10/15/96 17.40
10/16/96 17.22
10/17/96 17.30
10/18/96 17.24
10/21/96 17.09
10/22/96 16.59
10/23/96 16.54
10/24/96 16.53
10/25/96 16.58
10/28/96 16.25
10/29/96 16.20
10/30/96 16.03
<PAGE> 3
10/31/96 16.14
11/01/96 15.87
11/04/96 15.66
11/05/96 15.68
11/06/96 15.80
11/07/96 15.85
11/08/96 15.89
11/11/96 15.91
11/12/96 15.87
11/13/96 15.95
11/14/96 15.99
11/15/96 15.90
11/18/96 15.64
11/19/96 15.60
11/20/96 15.72
11/21/96 15.68
11/22/96 15.72
11/25/96 15.77
11/26/96 15.72
11/27/96 15.72
11/28/96 15.72
11/29/96 15.84
12/02/96 15.76
12/03/96 15.97
12/04/96 15.91
12/05/96 16.02
12/06/96 15.82
12/09/96 16.07
12/10/96 16.07
12/11/96 15.86
12/12/96 15.71
12/13/96 15.66
12/16/96 15.40
12/17/96 15.18
12/18/96 15.21
12/19/96 15.35
12/20/96 15.30
12/23/96 15.14
12/24/96 15.09
12/25/96 15.09
12/26/96 15.01
12/27/96 15.12
12/30/96 14.89
12/31/96 15.22
01/01/97 15.22
01/02/97 15.09
01/03/97 15.41
01/06/97 15.43
01/07/97 15.61
01/08/97 15.79
01/09/97 15.78
01/10/97 15.74
01/13/97 15.73
01/14/97 15.74
01/15/97 15.70
01/16/97 15.78
01/17/97 15.88
01/20/97 15.78
01/21/97 15.54
01/22/97 15.53
01/23/97 15.60
01/24/97 15.54
01/27/97 15.32
01/28/97 15.24
01/29/97 15.44
01/30/97 15.35
01/31/97 15.40
02/03/97 15.44
02/04/97 15.57
02/05/97 15.24
02/06/97 15.26
02/07/97 15.35
02/10/97 15.26
02/11/97 15.19
02/12/97 15.32
02/13/97 15.29
02/14/97 15.24
02/17/97 15.24
02/18/97 15.31
02/19/97 15.19
02/20/97 15.08
02/21/97 14.90
02/24/97 14.75
02/25/97 14.74
02/26/97 14.53
02/27/97 14.61
02/28/97 14.39
03/03/97 14.28
03/04/97 14.28
03/05/97 14.39
03/06/97 14.28
03/07/97 14.31
03/10/97 14.35
03/11/97 14.28
03/12/97 14.21
03/13/97 14.01
03/14/97 13.89
03/17/97 13.66
03/18/97 13.43
03/19/97 13.17
03/20/97 13.11
03/21/97 13.14
03/24/97 12.98
03/25/97 13.15
03/26/97 12.96
03/27/97 12.82
03/28/97 12.82
03/31/97 12.58
04/01/97 12.49
04/02/97 12.24
04/03/97 12.24
04/04/97 12.44
04/07/97 12.49
04/08/97 12.63
04/09/97 12.57
04/10/97 12.56
04/11/97 12.42
04/14/97 12.30
04/15/97 12.32
04/16/97 12.36
04/17/97 12.29
04/18/97 12.33
04/21/97 12.28
04/22/97 12.40
04/23/97 12.28
04/24/97 12.32
04/25/97 12.38
04/28/97 12.29
04/29/97 12.35
04/30/97 12.32
05/01/97 12.40
05/02/97 12.55
05/05/97 12.63
05/06/97 12.80
05/07/97 12.80
05/08/97 12.84
05/09/97 12.98
05/12/97 13.00
05/13/97 12.91
05/14/97 12.95
05/15/97 13.03
05/16/97 12.98
05/19/97 13.11
05/20/97 13.13
05/21/97 13.21
05/22/97 13.16
05/23/97 13.25
05/26/97 13.25
05/27/97 13.26
05/28/97 13.41
05/29/97 13.53
05/30/97 13.53
06/02/97 13.55
06/03/97 13.54
06/04/97 13.62
06/05/97 13.71
06/06/97 13.64
06/09/97 13.67
06/10/97 13.72
06/11/97 13.69
06/12/97 13.66
06/13/97 13.73
06/16/97 13.65
06/17/97 13.68
06/18/97 13.69
06/19/97 13.88
06/20/97 13.90
06/23/97 13.89
06/24/97 13.96
06/25/97 14.04
06/26/97 13.88
06/27/97 13.97
06/30/97 14.00
07/01/97 14.06
07/02/97 14.19
07/03/97 14.28
07/04/97 14.28
07/07/97 14.26
07/08/97 14.21
07/09/97 14.13
07/10/97 14.29
07/11/97 14.46
07/14/97 14.45
07/15/97 14.54
07/16/97 14.55
07/17/97 14.42
07/18/97 14.42
07/21/97 14.43
07/22/97 14.51
07/23/97 14.64
07/24/97 14.61
07/25/97 14.57
07/28/97 14.59
07/29/97 14.74
07/30/97 14.74
07/31/97 14.74
08/01/97 14.69
08/04/97 14.70
08/05/97 14.81
08/06/97 14.83
08/07/97 14.84
08/08/97 14.70
08/11/97 14.65
08/12/97 14.50
08/13/97 14.58
08/14/97 14.51
08/15/97 14.45
08/18/97 14.42
08/19/97 14.61
08/20/97 14.71
08/21/97 14.63
08/22/97 14.53
08/25/97 14.54
08/26/97 14.51
08/27/97 14.63
08/28/97 14.56
08/29/97 14.61
09/01/97 14.61
09/02/97 14.84
09/03/97 14.77
09/04/97 14.96
09/05/97 15.37
09/08/97 15.32
09/09/97 15.42
09/10/97 15.39
09/11/97 15.51
09/12/97 15.71
09/15/97 15.72
09/16/97 15.72
09/17/97 15.60
09/18/97 15.67
09/19/97 15.73
09/22/97 15.77
09/23/97 15.82
09/24/97 15.71
09/25/97 15.80
09/26/97 15.83
09/29/97 15.73
09/30/97 16.04
<PAGE> 4
The following table shows the Fund's returns by quarter and since inception
compared to several popular indices:
<TABLE>
<CAPTION>
THE PERKINS S & P DOW JONES NASDAQ RUSSELL
OPPORTUNITY 500 INDUSTRIAL COMPOSITE 2000
CALENDAR PERIOD FUND INDEX INDEX INDEX INDEX
<S> <C> <C> <C> <C> <C>
First Quarter 1993 6.13% 4.33% 3.37% 4.00% 4.68%
Second Quarter 1993 4.90% .41% 3.08% 2.00% 1.81%
Third Quarter 1993 16.23% 2.67% 1.84% 8.36% 8.39%
Fourth Quarter 1993 7.82% 2.33% 6.31% 1.84% 2.23%
First Quarter 1994 .58% (3.83%) (2.51%) (4.29%) (2.78%)
Second Quarter 1994 (9.81%) .35% .39% (5.04%) (6.99%)
Third Quarter 1994 26.89% 4.98% 6.74% 8.26% 6.59%
Fourth Quarter 1994 (.22%) (.04%) .51% (1.61%) (2.25%)
First Quarter 1995 21.49% 9.77% 9.17% 8.68% 4.16%
Second Quarter 1995 17.76% 9.40% 10.30% 14.22% 8.77%
Third Quarter 1995 18.42% 8.06% 5.77% 11.79% 9.43%
Fourth Quarter 1995 .54% 5.99% 7.50% .82% 1.80%
First Quarter 1996 7.79% 5.39% 9.81% 4.68% 4.68%
Second Quarter 1996 11.25% 4.42% 1.76% 7.59% 4.79%
Third Quarter 1996 (11.82)% 3.13% 4.63% 3.54% (.07)%
Fourth Quarter 1996 (12.36)% 8.37% 10.75% 5.23% 4.68%
First Quarter 1997 (17.35)% 2.67% 2.14% (5.37)% (5.53)%
Second Quarter 1997 11.29% 17.40% 17.07% 18.04% 15.71%
Third Quarter 1997 14.57% 7.50% 3.99% 16.89% 14.49%
Annualized since
2-18-93 inception 23.65% 21.48% 23.96% 22.41% 16.99%
</TABLE>
In closing, we thank you for your continued support.
Sincerely,
/s/ Richard W. Perkins /s/ Daniel S. Perkins /s/ Richard C. Perkins
Richard W. Perkins, C.F.A. Daniel S. Perkins, C.F.A. Richard C. Perkins, C.F.A.
President Vice President Vice President
Results shown are past performance which should not be regarded as an indication
of future returns. The value of the Fund's shares and their return will
fluctuate so that an investor's shares, when redeemed, may be worth more or less
than their original cost. The Fund's average annual total return, after maximum
sales charge of 4.75%, from the period from inception on February 18, 1993
through September 30, 1997 was 22.35% and for the one year period ended on that
date was <12.04>%.
<PAGE> 5
THE PERKINS
[PCM LOGO] OPPORTUNITY
FUND
SCHEDULE OF INVESTMENTS AT SEPTEMBER 30, 1997 (UNAUDITED)
Shares COMMON STOCKS: 93.8% Market Value
BUSINESS SERVICES - MISCELLANEOUS: 10.0%
87,500 Appliance Recycling Centers of America, Inc.(a) .... $ 251,562
50,000 CorVel Corp. ....................................... 1,912,500
250,000 Educational Alternatives, Inc. ..................... 1,406,250
437,500 Health Fitness Corp.(a) ............................ 1,585,937
450,000 Integrated Security Systems, Inc.(a) ............... 970,312
115,000 Intranet Solutions, Inc. ........................... 927,188
100,000 Raytel Medical Corp. ............................... 1,450,000
275,000 Reality Interactive, Inc.(a) ....................... 249,218
----------
8,752,967
----------
COMPUTER - LOCAL NETWORKS: 0.7%
40,000 Digi International, Inc. ........................... 570,000
----------
COMPUTER - MEMORY DEVICES: 2.6%
150,000 Ciprico, Inc. ...................................... 2,268,750
----------
COMPUTER - PERIPHERAL EQUIPMENT: 3.8%
270,000 Digital Biometrics, Inc. ........................... 691,875
500,000 Insignia Systems, Inc.(a) .......................... 1,312,500
40,000 Overland Data, Inc. ................................ 312,500
30,000 RF Monolithics, Inc. ............................... 757,500
100,000 RSI Systems, Inc. .................................. 287,500
----------
3,361,875
----------
COMPUTER - SERVICES: 3.6%
150,000 En Pointe Technologies, Inc. ....................... 3,150,000
----------
COMPUTER - SOFTWARE: 9.3%
1,550,000 Delphi Information Systems, Inc. ................... 2,131,250
400,000 Fourth Shift Corp. ................................. 1,850,000
218,750 IVI Publishing, Inc. ............................... 560,547
79,305 Liferate Systems, Inc. ............................. 69,391
175,000 Logic Works, Inc. .................................. 1,728,125
115,000 Onelink Communications, Inc. ....................... 150,937
200,000 Unicomp, Inc. ...................................... 1,675,000
----------
8,165,250
----------
See accompanying Notes to Financial Statements.
3
<PAGE> 6
THE PERKINS
[PCM LOGO] OPPORTUNITY
FUND
SCHEDULE OF INVESTMENTS AT SEPTEMBER 30, 1997 (UNAUDITED), CONTINUED
Shares Market Value
CONSUMER PRODUCTS - MISCELLANEOUS: 3.3%
40,000 Department 56, Inc. ............................. $ 1,157,500
300,000 Lamaur Corp.(a) ................................. 881,250
300,000 Minnesota Brewing Co.(a) ........................ 862,500
----------
2,901,250
----------
ELECTRONIC PRODUCTS - MISCELLANEOUS: 11.1%
75,000 Ametek, Inc.* ................................... 1,762,500
200,000 Barringer Technologies, Inc. .................... 2,125,000
76,600 Chips & Technology, Inc. ........................ 1,225,600
430,000 Destron Fearing Corp. ........................... 940,625
410,000 Micro Component Technology, Inc.(a) ............. 1,947,500
60,000 Zygo Corp. ...................................... 1,800,000
----------
9,801,225
----------
FINANCIAL SERVICES - MISCELLANEOUS: 7.7%
35,000 Metris Company, Inc. ............................ 1,515,938
75,000 Piper Jaffray Companies, Inc.* .................. 2,292,188
50,000 TCF Financial Corp.* ............................ 2,921,875
----------
6,730,001
----------
HEALTH CARE: 2.4%
200,000 Promedco Management Company ..................... 2,100,000
----------
LEISURE - GAMING: 3.5%
105,000 American Wagering, Inc. ......................... 1,076,250
175,000 Innovative Gaming Corporation of America 864,063
125,000 Shuffle Master, Inc. ............................ 1,125,000
----------
3,065,313
----------
MEDICAL - BIOMEDICAL/GENETICS: 1.2%
250,000 GalaGen, Inc. ................................... 562,500
75,000 Somatogen, Inc. ................................. 520,313
----------
1,082,813
----------
MEDICAL - DENTAL SUPPLIES: 2.1%
45,000 Patterson Dental Company ........................ 1,822,500
----------
See accompanying Notes to Financial Statements.
4
<PAGE> 7
[PCM LOGO]
THE PERKINS
OPPORTUNITY
FUND
SCHEDULE OF INVESTMENTS AT SEPTEMBER 30, 1997 (UNAUDITED), CONTINUED
Shares Market Value
MEDICAL - ETHICAL DRUGS: 1.6%
200,000 Orphan Medical, Inc. ............................ $ 1,450,000
-----------
MEDICAL - PRODUCTS: 13.7%
200,000 ATS Medical, Inc. ............................... 1,175,000
25,000 Affymetrix Inc. ................................. 1,150,000
250,000 Angeion Corp. ................................... 1,281,250
312,500 Diametrics Medical, Inc. ........................ 2,851,563
600,000 Everest Medical Corp.(a) ........................ 1,575,000
450,000 InnerDyne Medical, Inc. ......................... 1,575,000
115,000 Ion Laser Technology, Inc. ...................... 560,625
150,000 LecTec Corp. .................................... 937,500
200,000 SpectraScience, Inc. ............................ 950,000
-----------
12,055,938
-----------
RETAIL - MISCELLANEOUS/DIVERSIFIED: 5.5%
150,000 Funco, Inc. ..................................... 3,000,000
200,000 Skymall, Inc. ................................... 1,275,000
50,000 Wilsons The Leather Experts, Inc. ............... 568,750
-----------
4,843,750
-----------
RETAIL - RESTAURANTS: 7.2%
50,000 Applebee's International, Inc.* ................. 1,250,000
175,000 Famous Dave's of America, Inc. .................. 3,325,000
300,000 Michigan Brewery, Inc.(a) ....................... 1,575,000
150,000 Woodroast Systems, Inc. ......................... 168,750
-----------
6,318,750
-----------
TELECOMMUNICATIONS - EQUIPMENT AND SERVICES: 4.5%
105,000 IWL Communications, Inc. ........................ 866,250
100,000 Norstan, Inc. ................................... 2,150,000
450,000 Racotek, Inc. ................................... 900,000
-----------
3,916,250
-----------
Total Common Stocks (cost $80,569,876) .......... 82,356,632
-----------
See accompanying Notes to Financial Statements.
5
<PAGE> 8
[PCM LOGO]
THE PERKINS
OPPORTUNITY
FUND
SCHEDULE OF INVESTMENTS AT SEPTEMBER 30, 1997 (UNAUDITED), CONTINUED
Shares/ PREFERRED STOCK - CONVERTIBLE: 0.6%
Principal Amount Market Value
- --------------------------------------------------------------------------------
COMPUTER SERVICES
70,000 IntraNet Solutions, Inc. (cost $350,000)............. $ 550,312
----------
CORPORATE BONDS - CONVERTIBLE: 0.6%
----------------------------------------------------
COMPUTER - SOFTWARE
$ 731,250 IVI Publishing, Inc., 9.0%, 11/22/1999** (cost $731,250) 535,379
----------
WARRANTS: 0.8%
----------------------------------------------------
BUSINESS SERVICES - MISCELLANEOUS: 0.0%
62,500 Health Fitness Corp.**(a) ........................... 0
----------
COMPUTER - PERIPHERAL EQUIPMENT: 0.1%
500,000 Insignia Systems, Inc.(a) ........................... 125,000
----------
COMPUTER - SERVICES: 0.2%
70,000 IntraNet Solutions, Inc. ............................ 205,625
----------
COMPUTER - SOFTWARE: 0.0%
1,400,000 Delphi Information Systems, Inc. .................... 0
275,000 Reality Interactive, Inc.(a) ........................ 17,188
----------
17,188
----------
MEDICAL - PRODUCTS: 0.1%
100,000 Barringer Technologies, Inc. ........................ 125,000
10,000 Work Recovery, Inc., Class B 0
----------
125,000
----------
RETAIL - MISCELLANEOUS/DIVERSIFIED: 0.1%
50,000 Wilsons The Leather Experts, Inc. ................... 75,000
----------
RETAIL - RESTAURANTS: 0.3%
300,000 Michigan Brewery, Inc., Class A(a) .................. 225,000
----------
Total Warrants (cost $169,475) ...................... 772,813
----------
See accompanying Notes to Financial Statements.
6
<PAGE> 9
[PCM LOGO]
THE PERKINS
OPPORTUNITY
FUND
SCHEDULE OF INVESTMENTS AT SEPTEMBER 30, 1997 (UNAUDITED), CONTINUED
<TABLE>
<CAPTION>
Principal Amount REPURCHASE AGREEMENT: 4.3% Market Value
<S> <C> <C>
$3,796,000 Star Bank Repurchase Agreement, 5.45%, dated 9/30/1997,
due 10/1/1997, collateralized by $3,780,000 GNMA, (value of
collateral $3,874,550) (proceeds $3,796,575) (cost $3,796,000) ... $ 3,796,000
------------
Total Investment in Securities (cost $85,616,601++): 100.1% ...... 88,011,136
Liabilities in excess of other assets: (0.1)% .................... (63,472)
------------
TOTAL NET ASSETS: 100.0% ......................................... $ 87,947,664
============
</TABLE>
*Income producing security.
**Restricted security.
(a)Affiliated company (see Note 9).
++At September 30, 1997, the cost of securities for Federal income tax
purposes was the same as the basis for financial reporting. Unrealized
appreciation and depreciation were as follows:
Gross unrealized appreciation .................... $ 16,834,617
Gross unrealized depreciation .................... (14,440,082)
------------
Net unrealized appreciation ............... $ 2,394,535
============
See accompanying Notes to Financial Statements.
7
<PAGE> 10
[PCM LOGO]
THE PERKINS
OPPORTUNITY
FUND
STATEMENT OF ASSETS AND LIABILITIES AT SEPTEMBER 30, 1997 (UNAUDITED)
ASSETS
Investments in securities, at value (cost $85,616,601) .. $ 88,011,136
Cash .................................................... 380
Receivables:
Investment securities sold .......................... 43,436
Fund shares sold .................................... 105,538
Interest ............................................ 24,157
Deferred organization costs ............................. 3,552
Prepaid expenses ........................................ 66,830
------------
Total assets .................................... 88,255,029
------------
LIABILITIES
Payables:
Advisory fees ....................................... 70,805
Fund shares redeemed ................................ 227,223
Accrued expenses ........................................ 9,337
------------
Total liabilities ............................... 307,365
------------
NET ASSETS .................................................. $ 87,947,664
============
NET ASSET VALUE AND REDEMPTION PRICE PER SHARE
($87,947,664/5,482,952 shares outstanding;
unlimited number of shares authorized
without par value) ..................................... $16.04
======
OFFERING PRICE PER SHARE
(Net asset value $16.04/.9525) ...................... $16.84
======
COMPONENTS OF NET ASSETS
Paid-in capital ......................................... $ 96,436,277
Accumulated net investment loss ......................... (555,482)
Accumulated net realized loss on investments ............ (10,327,666)
Net unrealized appreciation on investments .............. 2,394,535
------------
Net assets .......................................... $ 87,947,664
============
See accompanying Notes to Financial Statements.
8
<PAGE> 11
[PCM LOGO]
THE PERKINS
OPPORTUNITY
FUND
STATEMENT OF OPERATIONS-FOR THE SIX MONTHS ENDED SEPTEMBER 30, 1997 (UNAUDITED)
<TABLE>
<S> <C>
INVESTMENT INCOME
Income
Interest ................................................... $ 192,679
Dividends .................................................. 51,743
Other ...................................................... 3,424
------------
Total income ........................................... 247,846
------------
Expenses
Advisory fees .............................................. 403,714
Transfer agent fees ........................................ 90,603
Distribution costs ......................................... 80,743
Administration fees ........................................ 78,236
Shareholder servicing fees ................................. 69,563
Custodian and accounting fees .............................. 29,580
Registration fees .......................................... 18,349
Reports to shareholders .................................... 10,027
Audit fees ................................................. 6,017
Amortization of deferred organization costs ................ 4,337
Trustee fees ............................................... 3,344
Miscellaneous .............................................. 3,278
Insurance .................................................. 3,030
Legal fees ................................................. 2,507
------------
Total expenses ......................................... 803,328
------------
NET INVESTMENT LOSS ................................... (555,482)
------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
Net realized loss from security transactions ............... (5,241,018)
Net change in unrealized appreciation on investments ....... 25,682,393
------------
Net realized and unrealized gain on investments ........ 20,441,375
------------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS... $ 19,885,893
============
</TABLE>
See accompanying Notes to Financial Statements.
9
<PAGE> 12
[PCM LOGO]
THE PERKINS
OPPORTUNITY
FUND
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
Six Months Ended Year Ended
September 30, March 31,
1997# 1997
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS FROM:
OPERATIONS
Net investment loss .................................................. $ (555,482) $ (1,441,305)
Net realized loss from security transactions ......................... (5,241,018) (145,477)
Net change in unrealized appreciation (depreciation) on investments... 25,682,393 (38,322,304)
------------ ------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS... 19,885,893 (39,909,086)
------------ ------------
DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS
Net realized gain from security transactions ......................... -0- (6,511,345)
------------ ------------
CAPITAL SHARE TRANSACTIONS
Net (decrease) increase in net assets derived from net change in
outstanding shares ............................................... (7,212,567) 29,413,017
------------ ------------
TOTAL INCREASE (DECREASE) IN NET ASSETS .......................... 12,673,326 (17,007,414)
NET ASSETS:
Beginning of period .................................................. 75,274,338 92,281,752
----------- ------------
END OF PERIOD (including accumulated net investment loss of
$555,482 and $0, respectively) ................................... $87,947,664 $ 75,274,338
=========== ============
</TABLE>
(a) A summary of capital share transactions is as follows:
<TABLE>
<CAPTION>
Six Months Ended Year Ended
September 30, 1997# March 31, 1997
-------------------------- --------------------------
Shares Value Shares Value
--------- ------------ --------- ------------
<S> <C> <C> <C> <C>
Shares sold ................................... 588,957 $ 8,004,691 7,051,945 $ 91,519,504
Shares issued in reinvestment of distribution.. -0- -0- 374,001 6,141,789
Shares redeemed ............................... (1,089,848) (15,217,258) (3,899,033) (68,248,276)
--------- ------------ --------- ------------
Net (decrease) increase ....................... (500,891) $ (7,212,567) 3,526,913 $ 29,413,017
========= ============ ========= ============
</TABLE>
#Unaudited.
See accompanying Notes to Financial Statements.
10
<PAGE> 13
[PCM LOGO]
THE PERKINS
OPPORTUNITY
FUND
FINANCIAL HIGHLIGHTS
FOR A CAPITAL SHARE OUTSTANDING THROUGHOUT EACH PERIOD
<TABLE>
<CAPTION>
Six Months February 18,
Ended Year Ended March 31, 1993* through
September 30, -------------------------------------------- March 31,
1997# 1997 1996+++ 1995+++ 1994+++ 1993+++
------- ------- ------- ------- ------- -------
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period .............. $ 12.58 $ 18.78 $ 13.03 $ 10.37 $ 7.96 $ 7.50
------- ------- ------- ------- ------- -------
Income from investment operations:
Net investment loss ........................... (.10) (.24) (.12) (.13) (.13) (.01)
Net realized and unrealized
gain (loss) on investments .................. 3.56 (4.98) 6.66 3.79 2.70 .47
------- ------- ------- ------- ------- -------
Total from investment operations .................. 3.46 (5.22) 6.54 3.66 2.57 .46
------- ------- ------- ------- ------- -------
Distributions from net capital gains .............. -0- (.98) (.79) (1.00) (.16) -0-
------- ------- ------- ------- ------- -------
Net asset value, end of period .................... $ 16.04 $ 12.58 $ 18.78 $ 13.03 $ 10.37 $ 7.96
======= ======= ======= ======= ======= =======
Total return ...................................... 27.50% (28.94)% 51.29% 38.72% 32.22% 28.37% +
Ratios/supplemental data:
Net assets, end of period (millions) .............. $ 87.9 $ 75.3 $ 92.3 $ 12.5 $ 3.3 $ 1.0
Ratio of expenses to average net assets:
Before expense reimbursement .................. 1.99%+ 1.90% 1.97% 3.08% 5.14% 13.15% +
After expense reimbursement ................... 1.99%+ 1.90% 1.97% 2.63% 2.49% 2.42% +
Ratio of net investment loss to average net assets:
Before expense reimbursement .................. (1.37%)+ (1.25%) (1.16%) (2.76%) (4.93%) (12.38%)+
After expense reimbursement ................... (1.37%)+ (1.25%) (1.16%) (2.31%) (2.28%) (1.65%)+
Portfolio turnover rate ........................... 38.32% 86.88% 92.45% 124.86% 90.63% 15.15%
Average commission rate paid
per share++ .................................... $.0520 $.0608 - - - -
</TABLE>
* Commencement of operations.
# Unaudited.
+ Annualized.
+++ Per share data has been restated to give a 2-for-1 stock split to
shareholders of record as of the close on June 3, 1996.
++ For fiscal years beginning on or after September 1, 1995, a fund is required
to disclose its average commission rate per share for security trades on
which commissions are charged. This amount may vary from period to period
and fund to fund depending on the mix of trades executed in various markets
where trading practices and commission rate structures may differ.
See accompanying Notes to Financial Statements.
11
<PAGE> 14
[PCM LOGO]
THE PERKINS
OPPORTUNITY
FUND
NOTES TO FINANCIAL STATEMENTS AT SEPTEMBER 30, 1997 (UNAUDITED)
NOTE 1 - ORGANIZATION
The Perkins Opportunity Fund (the "Fund") is a diversified series of shares
of beneficial interest of Professionally Managed Portfolios (the "Trust"), which
is registered under the Investment Company Act of 1940 (the "1940 Act") as an
open-end management investment company. The Fund's primary investment objective
is capital appreciation. The Fund began operations on February 18, 1993.
NOTE 2 - SIGNIFICANT ACCOUNTING POLICIES
The following is a summary of significant accounting policies consistently
followed by the Fund. These policies are in conformity with generally accepted
accounting principles.
A. Security Valuation. Investments in securities traded on a national
securities exchange or included in the NASDAQ National Market System
are valued at the last reported sale price at the close of regular
trading on the last business day of the period; securities traded on
an exchange or NASDAQ for which there have been no sales and other
over-the-counter securities are valued at the last reported bid
price. Securities for which quotations are not readily available are
valued at their respective fair values as determined in good faith by
the Board of Trustees. Short-term investments are stated at cost,
which when combined with accrued interest, approximates market value.
B. Federal Income Taxes. The Fund intends to comply with the
requirements of the Internal Revenue Code applicable to regulated
investment companies and to distribute all of its taxable income to
its shareholders. Therefore, no federal income tax provision is
required.
C. Security Transactions, Dividends and Distributions. As is common in
the industry, security transactions are accounted for on the trade
date. Dividend income and distributions to shareholders are recorded
on the ex-dividend date. Interest income is recognized on an accrual
basis. Income and capital gains distributions to shareholders are
determined in accordance with income tax regulations which may differ
from generally accepted accounting principles. Those differences are
primarily due to differing treatments for net operating losses.
D. Deferred Organization Costs. The Fund has incurred expenses of
$20,000 in connection with the organization of the Fund. These costs
have been deferred and are being amortized on a straight line basis
through the period ending February 17, 1998.
E. 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 at the date of the financial statements, as well
as the reported amounts of revenues and expenses during the period.
Actual results could differ from those estimates.
12
<PAGE> 15
THE PERKINS
OPPORTUNITY
FUND
NOTES TO FINANCIAL STATEMENTS (UNAUDITED), CONTINUED
NOTE 3 - RESTRICTED SECURITIES
On September 30, 1997, the Fund held restricted securities (i.e., securities
which may not be publicly sold without registration under the Securities Act or
without an exemption under that Act). These securities are valued at fair value
as determined by the Board of Trustees, giving consideration to credit quality,
dividend rate, if any, projected earnings and marketability of the securities of
comparable issuers. On September 30, 1997, and on the date of acquisition, there
were no market quotations available for unrestricted securities of the same
class. Dates of acquisition and cost of restricted securities are as follows:
<TABLE>
<CAPTION>
Per Unit Value
Acquisition Date at 9-30-97 Cost
----------------- ---------- -------
<S> <C> <C> <C>
IVI Publishing, Inc., Convertible Deb. November 22, 1996 73.21 $ 731,250
=========
Total restricted securities (fair value of $535,379 or
0.61% of net assets at September 30, 1997)
</TABLE>
NOTE 4 - COMMITMENTS AND OTHER RELATED PARTY TRANSACTIONS
For the six months ended September 30, 1997, Perkins Capital Management,
Inc. (the "Advisor") provided the Fund with investment management services under
an Investment Advisory Agreement. The Advisor furnishes all investment advice,
office space and certain administrative services, and provides most of the
personnel needed by the Fund. As compensation for its services, the Advisor was
entitled to a monthly fee at the annual rate of 1.00% based upon the average
daily net assets of the Fund.
Investment Company Administration Corporation (the "Administrator") acts as
the Fund's Administrator under an Administration Agreement. The Administrator
prepares various federal and state regulatory filings, reports and returns for
the Fund; prepares reports and materials to be supplied to the trustees;
monitors the activities of the Fund's custodian, transfer agent and accountants;
coordinates the preparation and payment of Fund expenses and reviews the Fund's
expense accruals. For its services, the Administrator receives a monthly fee at
the following annual rate:
<TABLE>
<S> <C>
Under $12 million - $30,000
$12 to $50 million - 0.25% of average daily net assets
$50 to $100 million - 0.20% of average daily net assets
$100 to $280 million - 0.15% of average daily net assets
over $280 million - 0.10% of average daily net assets
</TABLE>
First Fund Distributors, Inc. (the "Distributor") acts as the Fund's
principal underwriter in a continuous public offering of the Fund's shares.
The Distributor is an affiliate of the Administrator.
Certain officers and trustees of the Trust are also officers and/or
directors of the Administrator and Distributor.
13
<PAGE> 16
THE PERKINS
OPPORTUNITY
FUND
NOTES TO FINANCIAL STATEMENTS (UNAUDITED), CONTINUED
NOTE 5 - DISTRIBUTION COSTS
The Fund has adopted a Distribution Plan (the "Plan") in accordance with
Rule 12b-1 under the 1940 Act. The Plan provides that the Fund may pay a fee to
the Distributor at an annual rate of up to 0.20% of the average daily net assets
of the Fund. The fee is paid to the Distributor as reimbursement for, or in
anticipation of, expenses incurred for distribution-related activity. During the
six months ended September 30, 1997, the Fund paid to the Distributor $80,743 or
approximately 0.20% (annualized) of average daily net assets.
NOTE 6 - SHAREHOLDER SERVICING FEE
The Fund has entered into a Shareholder Servicing Agreement with the
Advisor, under which the Fund pays servicing fees at an annual rate of up to
0.25% of the Fund's average daily net assets. Payments to the Advisor under the
Shareholder Servicing Agreement may reimburse the Advisor for payments it makes
to selected brokers, dealers and administrators which have entered into Service
Agreements with the Advisor for services provided to shareholders of the Fund.
The services provided by such intermediaries are primarily designed to assist
shareholders of the Fund and include the furnishing of office space and
equipment, telephone facilities, personnel and assistance to the Fund in
servicing such shareholders. Services provided by such intermediaries also
include the provision of support services to the Fund and include establishing
and maintaining shareholders' accounts and records processing purchase and
redemption transactions, answering routine client inquiries regarding the Fund,
and providing such other personal services to shareholders as the Fund may
reasonably request.
NOTE 7 - PURCHASES AND SALES OF SECURITIES
For the six months ended September 30, 1997, the cost of purchases and
proceeds from sales of securities, excluding short-term securities, were
$28,508,437 and $32,644,271, respectively.
NOTE 8 - CAPITAL STOCK TRANSACTIONS
On May 14, 1996, the Board of Trustees authorized a 2-for-1 stock split,
payable to shareholders of record on June 3, 1996.
NOTE 9 - INVESTMENTS IN AFFILIATES
Affiliated companies, as defined in Section 2 (a) (3) of the Investment
Company Act of 1940, are companies 5% or more of whose outstanding voting shares
are held by the Fund. During the six months ended September 30, 1997, the Fund
had the following transactions with affiliated companies:
14
<PAGE> 17
THE PERKINS
OPPORTUNITY
FUND
NOTES TO FINANCIAL STATEMENTS (UNAUDITED), CONTINUED
<TABLE>
<CAPTION>
Shares Held
----------------------------------------------- Value Realized
March 31, Shares Shares September 30, September 30, Dividend Gain/
1997 Purchased Sold 1997 1997 Income (Loss)
---------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
Appliance Recycling Centers of America, Inc.: 87,500 -- - 87,500 $ 251,562 - -
Everest Medical Corp.: 600,000 -- - 600,000 1,575,000 - -
Health Fitness Corp.: 437,500 -- - 437,500 1,585,937 - -
Health Fitness Corp. - Warrants: 62,500 -- - 62,500 -- - -
Integrated Security Systems, Inc.: 450,000 -- - 450,000 970,312 - -
Insignia Systems, Inc.: -- 500,000 - 500,000 1,312,500 - -
Insignia Systems, Inc. - Warrants: -- 500,000 - 500,000 125,000 - -
Lamaur Corp.: -- 300,000 - 300,000 881,250 - -
Michigan Brewery, Inc.: 300,000 -- - 300,000 1,575,000 - -
Michigan Brewery, Inc. - Warrants: 300,000 -- - 300,000 225,000 - -
Micro Component Technology, Inc.: 410,000 -- - 410,000 1,947,500 - -
Minnesota Brewing Co.: 300,000 -- - 300,000 862,500 - -
Reality Interactive, Inc.: 275,000 -- - 275,000 249,218 - -
Reality Interactive, Inc. - Warrants: 275,000 -- - 275,000 17,188 - -
</TABLE>
15
