Spartan Motors says sales increased $40.4 million, or 7.3 percent, to $590.8 million from $550.4 million for fiscal year 2016.
Full year highlights include:
· Gross profit margin improved 370 basis points to 12.3 percent of sales from 8.6 percent of sales.
· Operating income rose $21.1 million, or 169.1 percent, to $8.6 million from an operating loss of $12.5 million.
· Adjusted operating income increased 222.1 percent to $14.5 million, or 2.5 percent of sales, from $4.5 million, or 0.8 percent of sales.
· Net income improved $25.6 million, or 150.7 percent, to $8.6 million, or $0.25 per share, from a net loss of $17.0 million, or $0.50 per share.
· Specialty Chassis and Vehicles sales remained comparable at $129.4 million.
· Sales of motorhome chassis decreased to $98 million from $103.3 million, primarily due to lower shipments year-over-year.
Fourth quarter highlights include:
· Sales increased 3.7 percent to $145.9 million from $140.6 million.
· Gross profit margin improved 850 basis points to 12.3 percent of sales from 3.8 percent of sales.
· Operating income rose $11 million, or 109.6 percent, to $1 million from an operating loss of $10 million.
· Net income improved $10.4 million, or 110.0 percent, to $0.9 million, or $0.03 per share, from a net loss of $9.5 million, or $0.28 per share.
“Spartan closed 2016 on a high note with a profitable fourth quarter performance, our fourth profitable quarter in a row,” said Daryl Adams, president and CEO. “While 2016 goes in the books as the strongest financial performance Spartan has had since 2009, we are most proud of the progress we have made to date, on behalf of our shareholders.
“Our performance in 2016 reflects great progress toward key operational milestones as the positive momentum we sparked and fanned in 2015 started to accelerate and deliver on our turnaround initiatives, some well ahead of schedule. Take a look at 2016, and you are looking at a company whose head is squarely in the game, and it is one we intend to win.”
As previously announced, the company completed the acquisition of Smeal Fire Apparatus and its subsidiaries effective Jan. 1. In connection with the transaction, the cash consideration paid of approximately $32.5 million was funded primarily through borrowings from the company's existing $100 million line of credit.