SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
FORM 10-Q
[X] Quarterly report pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
For the quarter ended June 29, 1997
[ ] Transition Report Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Commission file number: 0-22048
STARCRAFT CORPORATION
(Exact name of registrant as specified in its charter)
Indiana 35-1817634
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
Post Office Box 1903
2703 College Avenue
Goshen, Indiana 46526
(Address of principal executive offices/zip code)
Registrant's telephone number, including area code: 219/533-1105
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 the number of shares outstanding of each of the issuer's classes of
common stock, as of the latest practicable date: August 8, 1997 - 4,118,600
shares of Common Stock, without par value.
<PAGE>
STARCRAFT CORPORATION June 29, 1997
Form 10-Q
- INDEX -
PART I. FINANCIAL INFORMATION PAGE
Item 1. Financial Statements
Balance Sheets - June 29, 1997 (Unaudited) 1
and September 29, 1996 (Audited)
Statements of Operations (Unaudited) for the three months
ended June 29, 1997 and June 30, 1996 and the nine
months ended June 29, 1997 and June 30, 1996 2
Statements of Cash Flows (Unaudited) for the nine months 3
ended June 29, 1997 and June 30, 1996
Notes to Financial Statements 4-6
Item 2. Management's Discussion and Analysis of
Financial Condition and Results of Operations 7-11
PART II. OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8-K 12
SIGNATURES 13
<PAGE>
PART I FINANCIAL INFORMATION
Item 1. Financial Statements
STARCRAFT CORPORATION
BALANCE SHEETS June 29, September 29,
1997 1996
-------- -------------
ASSETS (Dollars in Thousands)
Current Assets
Cash and cash equivalents ................... $ 870 $ 1,366
Trade receivables, less allowance for
doubtful accounts of $51,000 ........... 9,277 9,165
Manufacturers' rebates receivable ........... 558 1,079
Recoverable income tax ...................... 2,397 --
Inventories ................................. 9,119 11,508
Other ....................................... 619 330
------- -------
Total current assets .................... 22,840 23,448
Property and Equipment, at cost
Land, buildings, and improvements ........... 5,868 6,033
Machinery and equipment ..................... 5,162 4,430
------- -------
11,030 10,463
Less accumulated depreciation ............... 3,335 2,697
------- -------
7,695 7,766
Goodwill, at amortized cost ................. 6,417 5,140
Other assets ................................ 145 170
------- -------
$37,097 $36,524
======= =======
LIABILITIES AND SHAREHOLDERS' EQUITY
Current Liabilities
Accounts payable, trade ..................... $ 6,611 $ 9,330
Accrued expenses:
Warranty ................................ 1,154 1,600
Compensation & related expenses ......... 420 882
Taxes ................................... 927 1,280
Other ................................... 1,719 1,557
Current maturities of long-term debt ........ -- 323
------- -------
Total current liabilities ................... 10,831 14,972
Long Term Debt, less current maturities .......... 8,300 --
Shareholders' Equity
Preferred stock, no par value;
authorized 2,000,000 shares,
-0- shares issued
Common Stock, no par value:
10,000,000 shares authorized,
4,118,600 shares issued and outstanding
for fiscal 1997 and fiscal 1996 ......... 13,971 13,971
Additional paid-in capital .................. 1,008 1,008
Retained Earnings ........................... 2,987 6,573
------- -------
Total shareholders' equity .............. 17,966 21,552
------- -------
$37,097 $36,524
======= =======
- 1 -
<PAGE>
PART I FINANCIAL INFORMATION
Item 1. Financial Statements
STARCRAFT CORPORATION
STATEMENTS OF OPERATIONS
<TABLE>
<CAPTION>
3 Months Ended 9 Months Ended
----------------------------- ----------------------------
June 29, 1997 June 30, 1996 June 29, 1997 June 30, 1996
------------- ------------- ------------- -------------
(Dollars in Thousands, except Share Data)
<S> <C> <C> <C> <C>
Net Sales
Domestic .................. $ 16,775 $ 23,507 $ 45,894 $ 54,051
Export .................... 6,690 8,000 13,792 16,177
----------- ----------- ----------- -----------
23,465 31,507 59,686 70,228
Cost of Goods Sold ............. 20,622 25,231 53,695 60,697
----------- ----------- ----------- -----------
Gross profit .............. 2,843 6,276 5,991 9,531
Operating Expenses
Selling and promotion ..... 1,910 2,103 5,660 5,986
General and administrative 1,753 1,824 5,182 5,011
Restructure charges ....... 260 0 1,010 0
----------- ----------- ----------- -----------
3,923 3,927 11,852 10,997
----------- ----------- ----------- -----------
Operating Income (Loss) (1,080) 2,349 (5,861) (1,466)
Nonoperating (Expense) Income
Interest, net ............. (123) (81) (268) (242)
Other income, net ......... 51 45 160 134
----------- ----------- ----------- -----------
(72) (36) (108) (108)
----------- ----------- ----------- -----------
Income (Loss) Before
Income Taxes ........ (1,152) 2,313 (5,969) (1,574)
Income Taxes (Credits) ......... (460) 899 (2,383) (617)
----------- ----------- ----------- -----------
NET INCOME (LOSS) ......... $ (692) $ 1,414 $ (3,586) $ (957)
=========== =========== =========== ===========
EARNINGS (LOSS) PER
COMMON SHARE ............ $ (0.17) $ 0.34 $ (0.87) $ (0.23)
=========== =========== =========== ===========
Common & Common Equivalent
Shares Outstanding .......... $ 4,118,600 $ 4,134,400 $ 4,118,600 $ 4,146,400
=========== =========== =========== ===========
</TABLE>
- 2 -
<PAGE>
PART I FINANCIAL INFORMATION
Item 1. Financial Statements
STARCRAFT CORPORATION
STATEMENTS OF CASH FLOWS
<TABLE>
<CAPTION>
9 Months Ended
----------------------------------
June 29, 1997 June 30, 1996
------------- -------------
(Dollars in Thousands)
<S> <C> <C>
Operating Activities
Net loss ................................................. $ (3,586) $ (957)
Adjustments to reconcile net cash
provided by operating activities:
Depreciation & amortization .......................... 900 862
Change in assets and liabilities:
Decrease (increase) in:
Receivables ................................. 599 (3,669)
Inventories ................................. 4,645 1,197
Other ....................................... (2,686) 111
Increase (decrease) in:
Accounts payable ............................ (3,112) 1,078
Accrued expenses ............................ (3,063) (513)
-------- --------
Net Cash used in
operating activities .............................. (6,303) (1,891)
Investing Activities
Purchase of property and equipment ....................... (918) (785)
Purchase of assets of
National Mobility Corporation ...................... (1,756) --
Other .................................................... 504 (22)
-------- --------
Net cash used in
investing activities ............................. (2,170) (807)
Financing Activities
Proceeds from revolving
credit agreements ..................................... 12,200 7,800
Repayments on revolving
credit agreements ..................................... (3,900) (4,800)
Repurchase of Common Stock ............................... -- (172)
Payments on long-term debt ............................... (323) (453)
-------- --------
Net cash provided by
financing activities .............................. 7,977 2,375
-------- --------
Decrease in cash and
cash equivalents ................................... (496) (323)
Cash and cash equivalents,
beginning of period ................................... 1,366 1,255
-------- --------
Cash and cash equivalents,
end of period ......................................... $ 870 $ 932
======== ========
</TABLE>
- 3 -
<PAGE>
NOTES TO FINANCIAL STATEMENTS
STARCRAFT CORPORATION
June 29, 1997
================================================================================
Note 1. Basis of Presentation
The accompanying unaudited financial statements of Starcraft
Corporation (the "Company") have been prepared pursuant to the
rules and regulations of the Securities and Exchange
Commission. Certain information and footnote disclosures
normally included in annual financial statements prepared in
accordance with generally accepted accounting principles have
been condensed or omitted pursuant to those rules and
regulations. Reference is made to the Company's audited
financial statements set forth in its annual report on Form
10-K for its fiscal year ended September 29, 1996. Certain
1996 amounts were reclassified to be consistent with the 1997
classification.
In the opinion of the management of the Company, the unaudited
financial statements contain all adjustments (which include
only normally recurring adjustments) necessary for a fair
statement of the results of operations for the three month and
nine month periods ended June 29, 1997, and the three month
and nine month periods ended June 30, 1996. The results of
operations for nine months ended June 29, 1997 are not
necessarily indicative of the results which may be expected
for the year ending September 28, 1997.
Note 2. Inventories
The composition of inventories is as follows (dollars in
thousands):
June 29, 1997 September 29, 1996
------------- ------------------
Raw Materials $5,330 $7,126
Work in Process 1,622 1,786
Finished Goods 2,167 2,596
--------- -------
$9,119 $11,508
--------- -------
- 4 -
<PAGE>
NOTES TO FINANCIAL STATEMENTS (Continued)
STARCRAFT CORPORATION
================================================================================
Note 3. Pledges, Assets and Long-Term Debt
The Company amended its bank line of credit in August 1997.
Borrowing, secured by accounts receivables, inventory and
equipment, under this $15 million credit line bear interest at
the prime rate of the lending bank or, at the Company's
option, LIBOR plus .75% to 1.50% depending upon the Company's
earning performance during the previous quarter. Unused
borrowings bear interest at 1/4% per annum. This facility
expires in January 1999 and is subject to various covenants as
defined in the agreement.
Note 4. Consignment Arrangements
The Company obtains vehicle chassis for modification from
major vehicle manufacturers ("OEMs") under the consignment and
restricted sale agreements. These agreements generally provide
that (i) the Company may not obtain certificates of origin or
other evidence of ownership of chassis, (ii) modifications
must conform to standards specified by the OEMs, and (iii)
modifications typically are performed only after a sale has
been negotiated with an OEM approved dealer. The Company
generally ships converted chassis only after dealer acceptance
has been approved by the OEM. The OEMs bill the dealer and
provide warranty for the chassis.
The agreements are secured by various credit arrangements with
the OEMs. The OEMs may require the Company to purchase chassis
in the event that the restricted sales agreements are
terminated. The Company has not been required to purchase any
chassis during the periods covered by the accompanying
financial statements. The Company pays the OEMs a nominal
carrying charge for the first 90 days. After 90 days the
carrying charges accelerate to approximate market interest
rates. Throughout the consignment period, the Company is
subject to the risk of decline in value of the consigned
chassis.
Consistent with the practice in its industry, the Company
accounts for chassis as consignment inventory. Accordingly,
the Company records chassis inventory and related obligations
only in the event they are required to purchase chassis from
the OEM. Provisions for decline in chassis value are
recognized when, in management's estimation, such provisions
are necessary. Provisions for decline in chassis value,
chassis inventory, and chassis sales are not material in the
accompanying financial statements.
At June 29, 1997, the Company had possession of chassis in the
aggregate amount of $36.0 million (of which $15.1 million was
over 90 days).
- 5 -
<PAGE>
NOTES TO FINANCIAL STATEMENTS (Continued)
STARCRAFT CORPORATION
================================================================================
Note 5. Restructure Charges
In December 1996 the Company completed the consolidation of
its Imperial Automotive Group manufacturing operation into
Starcraft Automotive Group's manufacturing complex in Goshen,
Indiana. The consolidation reduced excess production capacity,
personnel count and fixed overhead expenses. The Company
recorded a $750,000 restructure charge in the first quarter of
fiscal year 1997 for employee termination and other costs
($62,000), leasehold asset write-offs ($256,000) and the
recognition of contractual lease obligations ($432,000). As of
June 29, 1997, the estimate of the restructure charge is
unchanged. The Company estimates it will realize annual
overhead expense reductions of approximately $1.1 million,
primarily from reduced facility costs and personnel
reductions. The estimate is reasonable based on actual
experience to date.
In June 1997, the Company closed its McGregor, Texas
manufacturing facility and sold certain assets of the
business. The Company recorded a $260,000 net restructure
charge in the third quarter of fiscal year 1997 primarily for
the write-down of leasehold improvements at the facility.
Note 6. Business Acquisition
The Company acquired substantially all of the assets and
liabilities of National Mobility Corporation of Elkhart,
Indiana effective February 28, 1997. National Mobility is one
of the nation's largest manufacturers of conversion vehicles
for the physically challenged with annual sales in excess of
$5 million and assets of $2.7 million.
- 6 -
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS
STARCRAFT CORPORATION
================================================================================
RESULTS OF OPERATIONS
Comparison of the three month periods
ended June 29, 1997 and June 30, 1996
- --------------------------------------------------------------------------------
Net Sales Domestic sales declined 28.6% to $16.8 million in the
third quarter of 1997. The decline is primarily due
to reduced average conversion price per unit. The
Company believes the market shifted to lower
conversion price vehicles to compete against the
increasing levels of sport utility vehicles and
minivans offered by the OEMs. The Company's domestic
units declined 4.5% in the 1997 period, excluding the
impact of the National Mobility acquisition. The
Recreational Vehicle Industry Association reported an
11% decline in conversion market unit sales for the
three months ended May 1997.
International sales declined 16.4% to $6.7 million
for the three months ended June 29, 1997 compared to
the prior year. Prior year international sales
benefitted from the early build of 1997 model year
minivans.
Gross Profit Gross profit decreased 54.7% to $2.8 million (12.1%
of net sales) for the third quarter of 1997 from $6.3
million (19.9% of net sales) for the third quarter of
1996.
Gross profit was adversely impacted by the fixed
overhead on the reduced sales volume and higher
chassis carrying costs as a result of increased
chassis inventory.
Selling and Selling and promotion costs for the third quarter
Promotion decreased 9.2% to $1.9 million (8.1% of net sales)
from $2.1 million (6.7% of net sales) for 1996
primarily due to reduced sales commissions on the
lower sales volume.
General and General and administrative expense decreased 3.9% to
Administrative $1.75 million (7.4% of net sales) for the third
quarter of 1997 from $1.82 million (5.8% of net
sales) for the 1996 period. The decrease is primarily
due to the reduced overhead from the Imperial
consolidation, partially offset by additional
administrative expense from the National Mobility
acquisition.
Income Taxes For the third quarter of 1997, income tax credit was
recorded at an effective tax rate of 39.9%, which
approximates the 38.9% rate for the 1996 third
quarter.
Earnings Earnings per share decreased to a $0.17 loss on
Per Share 4,118,600 average common shares outstanding for the
1997 third quarter, from an increase of $0.34 on
4,134,400 average common shares outstanding for the
third quarter of 1996.
- 7 -
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS (continued)
STARCRAFT CORPORATION
================================================================================
RESULTS OF OPERATIONS
Comparison of the nine month periods ended
June 29, 1997 and June 30, 1996
- --------------------------------------------------------------------------------
Net Sales Net sales decreased 15.0% to $59.7 million for the
nine months ended June 29, 1997 from $70.2 million
for the same period in 1996. The domestic sales
reduction is due to a 3% lower average conversion
price per unit and a 53% decline in minivan unit
sales. The Recreational Vehicle Industry Association
reported a 6% decline in domestic market unit sales.
The $2.4 million decline in 1997 export sales is
primarily attributable to unusually strong sales last
year to the Japan market as a result of the early
build of 1997 models in the fourth quarter of fiscal
1996.
Gross Profit Gross profit for the nine months ended June 1997
decreased 37.1% to $6.0 million (10.0% of net sales)
from $9.5 million (13.6% of net sales) for 1996 third
quarter primarily as a result of the lower sales
volume.
Selling and Selling and promotion costs for the nine months ended
Promotion June 1997 decreased 5.4% to $5.7 million (9.5% of net
sales) from $6.0 million (8.5% of net sales) for the
1996 quarter due to the lower sales volume.
General and General and administrative expense of $5.2 million
Administrative approximates 1996 levels. The slight increase is
attributable to prior year amounts which were
favorably impacted by a change in estimate related to
certain accruals for the Company's retirement plans
and the acquisition of National Mobility Corporation.
Income Taxes Income tax credit was recorded at an effective tax
rate of 39.9% for 1997, approximating the 39.2% rate
for the 1996 period.
Earnings Earnings per share decreased to a $0.87 loss on
Per Share 4,118,600 average common shares outstanding for the
nine months ended June 1997 from a $0.23 loss on
4,146,400 average common shares outstanding for the
same period in 1996.
- 8 -
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS
STARCRAFT CORPORATION
================================================================================
LIQUIDITY & CAPITAL RESOURCES
- --------------------------------------------------------------------------------
The Company has financed its operations in the first nine months of 1997
primarily through bank borrowings.
The Company amended its bank line of credit in August 1997. Borrowing, secured
by accounts receivables, inventory and equipment, under this $15 million credit
line bear interest at the prime rate of the lending bank or, at the Company's
option, LIBOR plus .75% to 1.50% depending upon the Company's earning
performance during the previous quarter. Unused borrowings bear interest at 1/4%
per annum. This facility expires in January 1999 and is subject to various
covenants as defined in the agreement.
In addition to the bank line, the Company has entered into restricted sale
agreements with Ford Motor Credit Company, General Motors Acceptance Corporation
and Chrysler Financial Corporation pursuant to which the Company obtains van
chassis for 90 days at nominal interest rates. If the Company fails to match a
chassis with a dealer order within 90 days delivery of the chassis to the
Company, the interest under the restricted sale agreements increases to prime
rate plus 1%.
Operations used $6.3 million in cash in 1997 compared to $1.9 million in 1996.
The additional use of cash in 1997 is primarily attributable to the incremental
operating loss of 1997 over 1996 and the National Mobility acquisition.
Trade receivables at June 29, 1997 approximated the September 29, 1996 level.
Manufacturers' rebates receivable decreased due to the reduced domestic sales
volume. Recoverable income tax increased due to the Company's operating loss in
the first nine months of 1997.
Inventories decreased to $9.1 million at June 29, 1997 compared to $11.5 million
at September 29, 1996 due to reduced inventory requirements from the lower sales
volume. The increase in goodwill is attributable to the National Mobility
acquisition.
The Company incurred capital expenditures of $918,000 through June 1997
primarily for miscellaneous plant improvements, new product tooling and
information system upgrade.
- 9 -
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS (continued)
STARCRAFT CORPORATION
================================================================================
LIQUIDITY & CAPITAL RESOURCES
- --------------------------------------------------------------------------------
In December 1996 the Company completed the consolidation of its Imperial
Automotive Group manufacturing operation into Starcraft Automotive Group's
manufacturing complex in Goshen, Indiana. The consolidation is designed to
enhance profitable growth by reducing excess production capacity, personnel
count and fixed overhead expenses. The Company recorded a $750,000 restructure
charge in the first quarter of fiscal year 1997 for employee termination and
other costs ($62,000), leasehold asset write-offs ($256,000) and recognition of
contractual lease obligations $(432,000), all of which remain proper estimates
as of June 29, 1997. The Company continues to estimate that it will realize
annual overhead expense reductions of approximately $1.1 million, primarily from
reduced facility costs and personnel reductions.
In June 1997, the Company closed its McGregor, Texas manufacturing facility and
sold certain assets of the business. The Company recorded a $260,000 net
restructure charge in the third quarter of fiscal year 1997 primarily for the
write-down of leasehold improvements at the facility.
The foregoing estimates of annual cost savings constitute forward-looking
information. In reviewing such information it should be kept in mind that total
actual cost savings may differ materially from those set forth above. This
forward-looking information is subject to important factors and was derived
utilizing numerous assumptions. Important assumptions and other important
factors that could cause actual cost savings to differ materially from the
estimates set forth above include achieving estimated staff reductions while
maintaining work flow in the functional areas affected and the assimilation of
Imperial production in Starcraft's facility without disruption to product
distribution. The failure of such assumptions to be realized may cause the
actual annual cost savings to differ materially from the estimates set forth
above.
- 10 -
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS (continued)
STARCRAFT CORPORATION
================================================================================
LIQUIDITY & CAPITAL RESOURCES
- --------------------------------------------------------------------------------
The Company acquired National Mobility Corporation of Elkhart, Indiana in
February 1997. National Mobility is one of the nation's largest manufacturers of
conversion vehicles for the physically challenged with annual sales in excess of
$5 million and assets of $2.7 million. National Mobility continues to operate
out of its Elkhart facilities under its current management.
For the nine month period ended June 29, 1997, the Company financed its
operations needs, capital expenditures and acquisition of National Mobility
Corporation by borrowing $8.3 million on its bank credit line.
The Company believes that funds available from its bank line, and the continued
use of financing arrangements to manage its chassis inventory will be sufficient
to satisfy the Company's working capital needs and to fund its expansion.
Seasonality and Trends
The Company's business tends to be seasonal, with stronger sales during March
through July. This seasonality may be influenced by a number of factors,
including atypical weather for any sales region. OEM programs, and the change in
the chassis supplier model year. The change in the chassis supplier model year
is typically during the first week of September.
- 11 -
<PAGE>
PART II. OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8-K
(a) The following are filed as exhibits to this report.
Exhibit No.
11 Computation of Earnings (Loss) per share.
27 Financial Data Schedule.
(b) No reports on Form 8-K were filed during the quarter
for which this report is filed.
- 12 -
<PAGE>
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.
STARCRAFT CORPORATION
(Registrant)
August 11, 1997 By: /s/ Kelly L. Rose
----------------------
Kelly L. Rose
Chairman of the Board and
Chief Executive Officer
By: /s/ Michael H. Schoeffler
-------------------------
Michael H. Schoeffler
President and Chief Financial Officer
- 13 -
Exhibit 11
COMPUTATION OF EARNINGS (LOSS) PER SHARE
(In thousands, except per share amounts)
<TABLE>
<CAPTION>
3 Months 9 Months
---------------------------------- --------------------------------
June 29, 1997 June 30, 1996 June 29, 1997 June 30, 1996
------------- ------------- ------------- -------------
<S> <C> <C> <C> <C>
Primary
Average shares outstanding 4,119 4,134 4,119 4,146
Net effect of dilutive stock options - based
on the treasury stock method using
average market price -- -- -- --
-------- -------- ------- -------
Total 4,119 4,134 4,119 4,146
======== ======== ======= =======
Net income (loss) ($692) $1,414 ($3,586) ($957)
======== ======== ======= =======
Per share amount ($0.17) $0.34 ($0.87) ($0.23)
======== ======== ======= =======
Fully Diluted
Average shares outstanding 4,119 4,134 4,119 4,146
Net effect of dilutive stock options - based
on the treasury stock method using the
higher of the average market price for the
period or the market price at the end of
the period -- -- -- --
-------- -------- ------- -------
Total 4,119 4,134 4,119 4,146
======== ======== ======= =======
Net income (loss) ($692) $1,414 ($3,586) ($957)
======== ======== ======= =======
Per share amount ($0.17) $0.34 ($0.87) ($0.23)
======== ======== ======= =======
</TABLE>
NOTE: Average shares outstanding used for earnings per share included in the
Company's financial statements do not reflect the effect of the stock
options granted since their effect is antidilutive.
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
This schedule contains summary financial information extracted from the
registrant's unaudited consolidated financial statements for the nine months
ended June 29, 1997 and is qualified in its entirety by reference to such
statements.
</LEGEND>
<CIK> 0000906473
<NAME> Starcraft Corporation
<MULTIPLIER> 1,000
<CURRENCY> U.S. Dollars
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> SEP-29-1997
<PERIOD-START> SEP-30-1997
<PERIOD-END> JUN-29-1997
<EXCHANGE-RATE> 1.000
<CASH> 870
<SECURITIES> 0
<RECEIVABLES> 9,886
<ALLOWANCES> 51
<INVENTORY> 9,119
<CURRENT-ASSETS> 22,840
<PP&E> 11,030
<DEPRECIATION> 3,335
<TOTAL-ASSETS> 37,097
<CURRENT-LIABILITIES> 10,831
<BONDS> 8,300
<COMMON> 14,979
0
0
<OTHER-SE> 2,987
<TOTAL-LIABILITY-AND-EQUITY> 37,097
<SALES> 59,686
<TOTAL-REVENUES> 59,686
<CGS> 53,695
<TOTAL-COSTS> 53,695
<OTHER-EXPENSES> 10,842
<LOSS-PROVISION> 1,010
<INTEREST-EXPENSE> 108
<INCOME-PRETAX> (5,969)
<INCOME-TAX> (2,383)
<INCOME-CONTINUING> (3,586)
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (3,586)
<EPS-PRIMARY> (0.87)
<EPS-DILUTED> (0.87)
</TABLE>
