☒ | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
Delaware | 59-0933147 | |
(State or other jurisdiction | (IRS Employer | |
of incorporation or organization) | Identification No.) |
Title of Each Class | Trading Symbol(s) | Name of Exchange on which registered | ||
Common Stock ($.10 Par Value) | GENC | NASDAQ Global Market |
Large accelerated filer | ☐ | Accelerated Filer | ☐ | |||
Non-accelerated Filer | ☒ | Smaller Reporting Company | ☒ | |||
Emerging Growth Company | ☐ |
Class | Outstanding at | |
Common stock, $.10 par value | 12,338,845 shares | |
Class B stock, $.10 par value | 2,318,857 shares |
Index | Page | |||||||
Part I. | ||||||||
Item 1. | ||||||||
4 | ||||||||
5 | ||||||||
6 | ||||||||
7 | ||||||||
8 | ||||||||
Item 2. | ||||||||
Item 3. | 21 | |||||||
Item 4. | 21 | |||||||
Part II. | ||||||||
Item 1. | Legal Proceedings | 22 | ||||||
Item 1A. | Risk Factors | 22 | ||||||
Exhibits | 22 | |||||||
23 | ||||||||
June 30, 2021 | September 30, 2020 | |||||||
ASSETS | (Unaudited) | |||||||
Current Assets: | ||||||||
Cash and cash equivalents | $ | 27,544,000 | $ | 35,584,000 | ||||
Marketable securities at fair value (cost $93,077,000 at June 30, 2021 and $89,514,000 at September 30, 2020) | 95,345,000 | 89,498,000 | ||||||
Accounts receivable, less allowance for doubtful accounts of $307,000 at June 30, 2021 and $442,000 at September 30, 2020 | 3,120,000 | 1,992,000 | ||||||
Costs and estimated earnings in excess of billings | 0 | 6,405,000 | ||||||
Inventories, net | 40,832,000 | 27,090,000 | ||||||
Prepaid expenses and other current assets | 1,233,000 | 1,189,000 | ||||||
Total Current Assets | 168,074,000 | 161,758,000 | ||||||
Property and equipment, net | 12,251,000 | 8,341,000 | ||||||
Other long-term assets | 948,000 | 995,000 | ||||||
Total Assets | $ | 181,273,000 | $ | 171,094,000 | ||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||
Current Liabilities: | ||||||||
Accounts payable | $ | 4,406,000 | $ | 1,728,000 | ||||
Customer deposits | 3,761,000 | 3,853,000 | ||||||
Billings in excess of costs and estimated earnings | 685,000 | 0 | ||||||
Accrued expenses and other current liabilities | 2,874,000 | 2,605,000 | ||||||
Current operating lease liabilities | 403,000 | 328,000 | ||||||
Total Current Liabilities | 12,129,000 | 8,514,000 | ||||||
Deferred and other income taxes | 1,203,000 | 746,000 | ||||||
Non-current operating lease liabilities | 491,000 | 614,000 | ||||||
Total Liabilities | 13,823,000 | 9,874,000 | ||||||
Commitments and contingencies | 0 | 0 | ||||||
Shareholders’ equity: | ||||||||
Preferred stock, par value $.10 per share; 300,000 shares authorized; NaN issued | 0 | 0 | ||||||
Common stock, par value $ .10 per share; 15,000,000 shares authorized; 12,298,337 shares and 12,287,337shares issued and outstanding at June 30, 2021 and September 30, 2020, respectively | 1,230,000 | 1,229,000 | ||||||
Class B Stock, par value $ .10 per share; 6,000,000 shares authorized; 2,318,857 shares issued and outstanding at June 30, 2021 and September 30, 2020 | 232,000 | 232,000 | ||||||
Capital in excess of par value | 12,386,000 | 12,331,000 | ||||||
Retained earnings | 153,602,000 | 147,428,000 | ||||||
Total Shareholders’ Equity | 167,450,000 | 161,220,000 | ||||||
Total Liabilities and Shareholders’ Equity | $ | 181,273,000 | $ | 171,094,000 | ||||
March 31, 2022 (Unaudited) | September 30, 2021 | |||||||
ASSETS | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 22,571,000 | $ | 23,232,000 | ||||
Marketable securities at fair value (cost of $94,746,000 at March 31, 2022 and $93,690,000 at September 30, 2021) | 94,501,000 | 94,976,000 | ||||||
Accounts receivable, less allowance for doubtful accounts of $349,000 at March 31, 2022 and $321,000 at September 30, 2021 | 3,924,000 | 2,622,000 | ||||||
Costs and estimated earnings in excess of billings | 1,629,000 | 1,903,000 | ||||||
Inventories, net | 47,222,000 | 41,888,000 | ||||||
Prepaid expenses and other current assets | 3,756,000 | 2,202,000 | ||||||
Total current assets | 173,603,000 | 166,823,000 | ||||||
Property and equipment, net | 12,205,000 | 11,801,000 | ||||||
Other long-term assets | 711,000 | 838,000 | ||||||
Total Assets | $ | 186,519,000 | $ | 179,462,000 | ||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||
Current liabilities: | ||||||||
Accounts payable | $ | 5,741,000 | $ | 3,105,000 | ||||
Customer deposits | 10,286,000 | 5,244,000 | ||||||
Accrued expenses | 2,442,000 | 2,645,000 | ||||||
Current operating lease liabilities | 407,000 | 393,000 | ||||||
Total current liabilities | 18,876,000 | 11,387,000 | ||||||
Deferred and other income taxes | 0 | 394,000 | ||||||
Non-current operating lease liabilities | 189,000 | 392,000 | ||||||
Total liabilities | 19,065,000 | 12,173,000 | ||||||
Commitments and contingencies | 0 | 0 | ||||||
Shareholders’ equity: | ||||||||
Preferred stock, par value $.10 per share; 300,000 shares authorized; 0ne issued | 0— | 0— | ||||||
Common stock, par value $.10 per share; 15,000,000 shares authorized; 12,338,845 shares issued and outstanding at March 31, 2022 and September 30, 2021 | 1,234,000 | 1,234,000 | ||||||
Class B Stock, par value $.10 per share; 6,000,000 shares authorized; 2,318,857 shares issued and outstanding at March 31, 2022 and September 30, 2021 | 232,000 | 232,000 | ||||||
Capital in excess of par value | 12,590,000 | 12,590,000 | ||||||
Retained earnings | 153,398,000 | 153,233,000 | ||||||
Total shareholders’ equity | 167,454,000 | 167,289,000 | ||||||
Total Liabilities and Shareholders’ Equity | $ | 186,519,000 | $ | 179,462,000 | ||||
For the Quarters June 30, | For the Nine Months Ended June 30, | For the Quarters Ended March 31, | For the Six Months Ended March 31, | |||||||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||||
Net revenue | $ | 24,919,000 | $ | 22,940,000 | $ | 65,235,000 | $ | 66,963,000 | $ | 30,654,000 | $ | 21,352,000 | $ | 50,760,000 | $ | 40,316,000 | ||||||||||||||||
Cost of goods sold | 19,314,000 | 17,555,000 | 50,504,000 | 49,920,000 | 24,462,000 | 15,206,000 | 40,863,000 | 31,189,000 | ||||||||||||||||||||||||
Gross profit | 5,605,000 | 5,385,000 | 14,731,000 | 17,043,000 | 6,192,000 | 6,146,000 | 9,897,000 | 9,127,000 | ||||||||||||||||||||||||
Operating expenses: | ||||||||||||||||||||||||||||||||
Product engineering and development | 1,176,000 | 849,000 | 3,089,000 | 2,304,000 | 920,000 | 1,069,000 | 2,269,000 | 1,914,000 | ||||||||||||||||||||||||
Selling, general and administrative | 3,202,000 | 2,522,000 | 10,235,000 | 7,465,000 | 3,364,000 | 3,838,000 | 6,763,000 | 7,032,000 | ||||||||||||||||||||||||
4,378,000 | 3,371,000 | 13,324,000 | 9,769,000 | |||||||||||||||||||||||||||||
Total operating expenses | 4,284,000 | 4,907,000 | 9,032,000 | 8,946,000 | ||||||||||||||||||||||||||||
Operating income | 1,227,000 | 2,014,000 | 1,407,000 | 7,274,000 | 1,908,000 | 1,239,000 | 865,000 | 181,000 | ||||||||||||||||||||||||
Other income (expense), net: | ||||||||||||||||||||||||||||||||
Interest and dividend income, net of fees | 306,000 | 512,000 | 1,437,000 | 1,907,000 | 296,000 | 327,000 | 573,000 | 1,130,000 | ||||||||||||||||||||||||
Net realized and unrealized gains (losses) on marketable securities | 1,386,000 | 2,888,000 | 4,873,000 | (1,465,000 | ) | |||||||||||||||||||||||||||
Net realized and unrealized gains (losses) on marketable securities, net | (1,488,000 | ) | 1,294,000 | (1,065,000 | ) | 3,488,000 | ||||||||||||||||||||||||||
Other | 0 | (10,000 | ) | — | (20,000 | ) | (137,000 | ) | — | (137,000 | ) | — | ||||||||||||||||||||
1,692,000 | 3,390,000 | 6,310,000 | 422,000 | |||||||||||||||||||||||||||||
(1,329,000 | ) | 1,621,000 | (629,000 | ) | 4,618,000 | |||||||||||||||||||||||||||
Income before income tax expense | 2,919,000 | 5,404,000 | 7,717,000 | 7,696,000 | 579,000 | 2,860,000 | 236,000 | 4,799,000 | ||||||||||||||||||||||||
Income tax expense | 584,000 | 1,082,000 | 1,543,000 | 1,540,000 | 140,000 | 572,000 | 71,000 | 960,000 | ||||||||||||||||||||||||
Net income | $ | 2,335,000 | $ | 4,322,000 | $ | 6,174,000 | $ | 6,156,000 | $ | 439,000 | $ | 2,288,000 | $ | 165,000 | $ | 3,839,000 | ||||||||||||||||
Basic income per common share | $ | 0.03 | $ | 0.16 | $ | 0.01 | $ | 0.26 | ||||||||||||||||||||||||
Basic Income per Common Share: | ||||||||||||||||||||||||||||||||
Net income per share | $ | 0.16 | $ | 0.30 | $ | 0.42 | $ | 0.42 | ||||||||||||||||||||||||
Diluted income per common share | $ | 0.03 | $ | 0.16 | $ | 0.01 | $ | 0.26 | ||||||||||||||||||||||||
Diluted Income per Common Share: | ||||||||||||||||||||||||||||||||
Net income per share | $ | 0.16 | $ | 0.29 | $ | 0.42 | $ | 0.42 | ||||||||||||||||||||||||
For the Nine Months Ended June 30, 2021 | ||||||||||||||||||||||||||||
Common Stock | Class B Stock | Capital in Excess of | Retained | Total Shareholders’ | ||||||||||||||||||||||||
Shares | Amount | Shares | Amount | Par Value | Earnings | Equity | ||||||||||||||||||||||
September 30, 2020 | 12,287,337 | $ | 1,229,000 | 2,318,857 | $ | 232,000 | $ | 12,331,000 | $ | 147,428,000 | $ | 161,220,000 | ||||||||||||||||
Net income | — | — | — | — | — | 1,551,000 | 1,551,000 | |||||||||||||||||||||
December 31, 2020 | 12,287,337 | $ | 1,229,000 | 2,318,857 | $ | 232,000 | $ | 12,331,000 | $ | 148,979,000 | $ | 162,771,000 | ||||||||||||||||
Net income | — | — | — | — | — | 2,288,000 | 2,288,000 | |||||||||||||||||||||
Stock options exercised | 11,000 | 1,000 | — | — | 55,000 | — | 56,000 | |||||||||||||||||||||
March 31, 2021 | 12,298,337 | $ | 1,230,000 | 2,318,857 | $ | 232,000 | $ | 12,386,000 | $ | 151,267,000 | $ | 165,115,000 | ||||||||||||||||
Net income | — | — | — | — | — | 2,335,000 | 2,335,000 | |||||||||||||||||||||
June 30, 2021 | 12,298,337 | $ | 1,230,000 | 2,318,857 | $ | 232,000 | $ | 12,386,000 | $ | 153,602,000 | $ | 167,450,000 | ||||||||||||||||
For the Six Months Ended March 31, 2022 | ||||||||||||||||||||||||||||
Common Stock | Class B Stock | Capital in Excess of | Retained | Total Shareholders’ | ||||||||||||||||||||||||
Shares | Amount | Shares | Amount | Par Value | Earnings | Equity | ||||||||||||||||||||||
September 30, 2021 | 12,338,845 | $ | 1,234,000 | 2,318,857 | $ | 232,000 | $ | 12,590,000 | $ | 153,233,000 | $ | 167,289,000 | ||||||||||||||||
Net loss | — | — | — | — | — | (274,000 | ) | (274,000 | ) | |||||||||||||||||||
December 31, 2021 | 12,338,845 | $ | 1,234,000 | 2,318,857 | $ | 232,000 | $ | 12,590,000 | $ | 152,959,000 | $ | 167,015,000 | ||||||||||||||||
Net income | — | — | — | — | — | 439,000 | 439,000 | |||||||||||||||||||||
March 31, 2022 | 12,338,845 | $ | 1,234,000 | 2,318,857 | $ | 232,000 | $ | 12,590,000 | $ | 153,398,000 | $ | 167,454,000 | ||||||||||||||||
For the Six Months Ended March 31, 2021 | ||||||||||||||||||||||||||||
Common Stock | Class B Stock | Capital in Excess of | Retained | Total Shareholders’ | ||||||||||||||||||||||||
Shares | Amount | Shares | Amount | Par Value | Earnings | Equity | ||||||||||||||||||||||
September 30, 2020 | 12,287,337 | $ | 1,229,000 | 2,318,857 | $ | 232,000 | $ | 12,331,000 | $ | 147,428,000 | $ | 161,220,000 | ||||||||||||||||
Net income | — | — | — | — | — | 1,551,000 | 1,551,000 | |||||||||||||||||||||
December 31, 2020 | 12,287,337 | $ | 1,229,000 | 2,318,857 | $ | 232,000 | $ | 12,331,000 | $ | 148,979,000 | $ | 162,771,000 | ||||||||||||||||
Net income | — | — | — | — | — | 2,288,000 | 2,288,000 | |||||||||||||||||||||
Stock options exercised | 11,000 | 1,000 | — | — | 55,000 | — | 56,000 | |||||||||||||||||||||
March 31, 2021 | 12,298,337 | $ | 1,230,000 | 2,318,857 | $ | 232,000 | $ | 12,386,000 | $ | 151,267,000 | $ | 165,115,000 | ||||||||||||||||
For the Nine Months Ended June 30, 2020 | ||||||||||||||||||||||||||||
Common Stock | Class B Stock | Capital in Excess of | Retained | Total Shareholders’ | ||||||||||||||||||||||||
Shares | Amount | Shares | Amount | Par Value | Earnings | Equity | ||||||||||||||||||||||
September 30, 2019 | 12,277,337 | $ | 1,228,000 | 2,308,857 | $ | 231,000 | $ | 12,159,000 | $ | 141,897,000 | $ | 155,515,000 | ||||||||||||||||
Net income | — | — | — | — | — | 2,489,000 | 2,489,000 | |||||||||||||||||||||
Stock-based compensation | — | — | — | — | 18,000 | — | 18,000 | |||||||||||||||||||||
December 31, 2019 | 12,277,337 | 1,228,000 | 2,308,857 | 231,000 | 12,177,000 | 144,386,000 | 158,022,000 | |||||||||||||||||||||
Net loss | — | — | — | — | — | (655,000 | ) | (655,000 | ) | |||||||||||||||||||
Stock-based compensation | — | — | — | — | 17,000 | — | 17,000 | |||||||||||||||||||||
March 31, 2020 | 12,277,337 | 1,228,000 | 2,308,857 | 231,000 | 12,194,000 | 143,731,000 | 157,384,000 | |||||||||||||||||||||
Net income | — | — | — | — | — | 4,322,000 | 4,322,000 | |||||||||||||||||||||
Stock-based compensation | — | — | — | — | 18,000 | — | 18,000 | |||||||||||||||||||||
Stock options exercised | 10,000 | 1,000 | 10,000 | 1,000 | 101,000 | — | 103,000 | |||||||||||||||||||||
June 30, 2020 | 12,287,337 | $ | 1,229,000 | 2,318,857 | $ | 232,000 | $ | 12,313,000 | $ | 148,053,000 | $ | 161,827,000 | ||||||||||||||||
For the Nine Months Ended June 30, | ||||||||
2021 | 2020 | |||||||
Cash flows from operations: | ||||||||
Net income | $ | 6,174,000 | $ | 6,156,000 | ||||
Adjustments to reconcile net income to cash flows provided by operating activities: | ||||||||
Purchases of marketable securities | (101,040,000 | ) | (112,668,000 | ) | ||||
Proceeds from sale and maturity of marketable securities | 99,638,000 | 110,805,000 | ||||||
Change in fair value of marketable securities | (4,445,000 | ) | 1,510,000 | |||||
Deferred income taxes | 457,000 | (2,066,000 | ) | |||||
Depreciation and amortization | 1,931,000 | 1,244,000 | ||||||
Provision for doubtful accounts | 125,000 | 50,000 | ||||||
Stock-based compensation | — | 53,000 | ||||||
Changes in assets and liabilities: | ||||||||
Accounts receivable | (1,253,000 | ) | (56,000 | ) | ||||
Costs and estimated earnings in excess of billings | 7,090,000 | 3,774,000 | ||||||
Inventories (excluding the effect of the Blaw-Knox acquisition) | (3,357,000 | ) | 804,000 | |||||
Prepaid expenses and other current assets | (44,000 | ) | (1,150,000 | ) | ||||
Accounts payable | 2,678,000 | 182,000 | ||||||
Customer deposits | (92,000 | ) | 733,000 | |||||
Accrued expenses and other current liabilities | 268,000 | 34,000 | ||||||
Total adjustments | 1,956,000 | 3,249,000 | ||||||
Cash flows provided by operating activities | 8,130,000 | 9,405,000 | ||||||
Cash flows used in investing activities: | ||||||||
Acquisition of Blaw-Knox assets | (13,777,000 | ) | — | |||||
Capital expenditures | (2,449,000 | ) | (1,246,000 | ) | ||||
Cash flows used in investing activities | (16,226,000 | ) | (1,246,000 | ) | ||||
Cash flows from financing activities: | ||||||||
Proceeds from stock option exercises | 56,000 | 103,000 | ||||||
Cash flows provided by financing activities | 56,000 | 103,000 | ||||||
Net increase (decrease) in cash | (8,040,000 | ) | 8,262,000 | |||||
Cash at: | ||||||||
Beginning of period | 35,584,000 | 10,302,000 | ||||||
End of period | $ | 27,544,000 | $ | 18,564,000 | ||||
Non-cash investing activities: | ||||||||
Operating lease right-of-use | $ | 254,000 | $ | — | ||||
Operating lease liabilities | $ | 254,000 | $ | — |
2022 | 2021 | |||||||
Cash flows from operating activities: | ||||||||
Net income | $ | 165,000 | $ | 3,839,000 | ||||
Adjustments to reconcile net income to cash provided by operating activities: | ||||||||
Purchase of marketable securities | (68,803,000 | ) | (54,048,000 | ) | ||||
Proceeds from sale and maturity of marketable securities | 68,043,000 | 53,067,000 | ||||||
Change in value of marketable securities | 1,235,000 | (3,167,000 | ) | |||||
Deferred and other income taxes | (456,000 | ) | 501,000 | |||||
Depreciation and amortization | 1,299,000 | 1,210,000 | ||||||
Provision for doubtful accounts | 75,000 | 25,000 | ||||||
Changes in assets and liabilities, excluding the initial effects of business acquisitions: | ||||||||
Accounts receivable | (1,377,000 | ) | (1,576,000 | ) | ||||
Costs and estimated earnings in excess of billings | 274,000 | 6,405,000 | ||||||
Inventories | (5,334,000 | ) | (629,000 | ) | ||||
Prepaid expenses and other current assets | (1,554,000 | ) | (15,000 | ) | ||||
Accounts payable | 2,636,000 | 969,000 | ||||||
Customer deposits | 5,042,000 | 2,173,000 | ||||||
Accrued expenses | (200,000 | ) | 529,000 | |||||
Total adjustments | 880,000 | 5,444,000 | ||||||
Cash flows provided by operating activities | 1,045,000 | 9,283,000 | ||||||
Cash flows from investing activities: | ||||||||
Acquisition of Blaw-Knox assets | — | (13,777,000 | ) | |||||
Capital expenditures | (1,706,000 | ) | (1,729,000 | ) | ||||
Cash flows used in investing activities | (1,706,000 | ) | (15,506,000 | ) | ||||
Cash flows from financing activities: | ||||||||
Proceeds from stock option exercises | — | 56,000 | ||||||
Cash flows provided by financing activities | — | 56,000 | ||||||
Net decrease in cash and cash equivalents | (661,000 | ) | (6,167,000 | ) | ||||
Cash and cash equivalents at: | ||||||||
Beginning of period | 23,232,000 | 35,584,000 | ||||||
End of period | $ | 22,571,000 | $ | 29,417,000 | ||||
Non-cash investing and financing activities: | ||||||||
Operating lease right-of-use | $ | — | $ | 254,000 | ||||
Operating lease liabilities | $ | — | $ | 254,000 |
Fair Value Measurements | ||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Equities | $ | 14,679,000 | $ | 0 | $ | 0 | $ | 14,679,000 | ||||||||
Mutual Funds | 10,341,000 | 0 | 0 | 10,341,000 | ||||||||||||
Exchange-Traded Funds | 9,545,000 | 0 | 0 | 9,545,000 | ||||||||||||
Corporate Bonds | 0 | 25,229,000 | 0 | 25,229,000 | ||||||||||||
Government Securities | 30,998,000 | 0 | 0 | 30,998,000 | ||||||||||||
Cash and Money Funds | 4,553,000 | 0 | 0 | 4,553,000 | ||||||||||||
Total | $ | 70,116,000 | $ | 25,229,000 | $ | 0 | $ | 95,345,000 | ||||||||
Fair Value Measurements | ||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Equities | $ | 19,998,000 | $ | 0 | $ | 0 | $ | 19,998,000 | ||||||||
Mutual Funds | 10,130,000 | 0 | 0 | 10,130,000 | ||||||||||||
Exchange-Traded Funds | 9,849,000 | 0 | 0 | 9,849,000 | ||||||||||||
Corporate Bonds | 0 | 24,022,000 | 0 | 24,022,000 | ||||||||||||
Government Securities | 27,960,000 | 0 | 0 | 27,960,000 | ||||||||||||
Cash and Money Funds | 2,542,000 | 0 | 0 | 2,542,000 | ||||||||||||
Total | $ | 70,479,000 | $ | 24,022,000 | $ | 0 | $ | 94,501,000 | ||||||||
Fair Value Measurements | Fair Value Measurements | |||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||||||
Equities | $ | 11,949,000 | $ | — | $ | — | $ | 11,949,000 | $ | 14,734,000 | $ | 0 | $ | 0 | $ | 14,734,000 | ||||||||||||||||
Mutual Funds | 9,595,000 | — | — | 9,595,000 | 10,357,000 | 0 | 0 | 10,357,000 | ||||||||||||||||||||||||
Exchange-Traded Funds | 10,344,000 | — | — | 10,344,000 | 9,458,000 | 0 | 0 | 9,458,000 | ||||||||||||||||||||||||
Corporate Bonds | — | 27,877,000 | — | 27,877,000 | 0 | 24,853,000 | 0 | 24,853,000 | ||||||||||||||||||||||||
Government Securities | 16,147,000 | — | — | 16,147,000 | 30,999,000 | 0 | 0 | 30,999,000 | ||||||||||||||||||||||||
Cash and Money Funds | 13,586,000 | — | — | 13,586,000 | 4,575,000 | 0 | 0 | 4,575,000 | ||||||||||||||||||||||||
Total | $ | 61,621,000 | $ | 27,877,000 | $ | — | $ | 89,498,000 | $ | 70,123,000 | $ | 24,853,000 | $ | 0 | $ | 94,976,000 | ||||||||||||||||
June 30, 2021 | September 30, 2020 | March 31, 2022 | September 30, 2021 | |||||||||||||
Raw materials | $ | 27,057,000 | $ | 14,607,000 | $ | 29,847,000 | $ | 25,858,000 | ||||||||
Work in process | 7,179,000 | 3,633,000 | 7,858,000 | 6,280,000 | ||||||||||||
Finished goods | 6,556,000 | 8,810,000 | 9,517,000 | 9,730,000 | ||||||||||||
Used equipment | 40,000 | 40,000 | 0 | 20,000 | ||||||||||||
$ | 40,832,000 | $ | 27,090,000 | $ | 47,222,000 | $ | 41,888,000 | |||||||||
June 30, | September 30, 2020 | March 31, 2022 | September 30, 2021 | |||||||||||||
Costs incurred on uncompleted contracts | $ | 7,975,000 | $ | 10,390,000 | $ | 19,501,000 | $ | 11,483,000 | ||||||||
Estimated earnings | 3,368,000 | 4,680,000 | 5,875,000 | 4,395,000 | ||||||||||||
11,343,000 | 15,070,000 | 25,376,000 | 15,878,000 | |||||||||||||
Billings to date | 12,028,000 | 8,665,000 | 23,747,000 | 13,975,000 | ||||||||||||
Costs and estimated earnings in excess of billings | $ | 0 | $ | 6,405,000 | $ | 1,629,000 | $ | 1,903,000 | ||||||||
Bill ings in excess of costs and estimated earnings | $ | 685,000 | $ | 0 | ||||||||||||
Quarter Ended June 30, | Nine Months Ended June 30, | |||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||
Net Income | $ | 2,335,000 | $ | 4,322,000 | $ | 6,174,000 | $ | 6,156,000 | ||||||||
Common Shares: | ||||||||||||||||
Weighted average common shares outstanding | 14,617,000 | 14,601,000 | 14,613,000 | 14,592,000 | ||||||||||||
Effect of dilutive stock options | 132,000 | 118,000 | 129,000 | 125,000 | ||||||||||||
Diluted shares outstanding | 14,749,000 | 14,719,000 | 14,742,000 | 14,717,000 | ||||||||||||
Basic: | ||||||||||||||||
Net earnings per share | $ | 0.16 | $ | 0.30 | $ | 0.42 | $ | 0.42 | ||||||||
Diluted: | ||||||||||||||||
Net earnings per share | $ | 0.16 | $ | 0.29 | $ | 0.42 | $ | 0.42 | ||||||||
Quarter Ended March 31, | Six Months Ended March 31, | |||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||
Net Income | $ | 439,000 | $ | 2,288,000 | $ | 165,000 | $ | 3,839,000 | ||||||||
Common Shares: | ||||||||||||||||
Weighted average common shares outstanding | 14,658,000 | 14,614,000 | 14,658,000 | 14,611,000 | ||||||||||||
Effect of dilutive stock options | 0 | 133,000 | 0 | 129,000 | ||||||||||||
Diluted shares outstanding | 14,658,000 | 14,747,000 | 14,658,000 | 14,740,000 | ||||||||||||
Basic: | ||||||||||||||||
Net income per share | $ | 0.03 | $ | 0.16 | $ | 0.01 | $ | 0.26 | ||||||||
Diluted: | ||||||||||||||||
Net income per share | $ | 0.03 | $ | 0.16 | $ | 0.01 | $ | 0.26 | ||||||||
Quarter Ended June 30, | Nine Months Ended June 30, | Quarter Ended March 31, | Six Months Ended March 31, | |||||||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||||
Equipment sales recognized over time | $ | 6,507,000 | $ | 10,350,000 | $ | 14,509,000 | $ | 32,269,000 | $ | 10,998,000 | $ | 3,870,000 | $ | 20,772,000 | $ | 8,002,000 | ||||||||||||||||
Equipment sales recognized at a point in time | 12,258,000 | 8,995,000 | 31,959,000 | 20,946,000 | 10,475,000 | 9,565,000 | 14,673,000 | 19,701,000 | ||||||||||||||||||||||||
Parts and component sales | 5,240,000 | 2,671,000 | 16,001,000 | 10,492,000 | 7,381,000 | 6,830,000 | 12,824,000 | 10,761,000 | ||||||||||||||||||||||||
Freight revenue | 996,000 | 822,000 | 2,888,000 | 2,926,000 | 1,495,000 | 1,147,000 | 2,079,000 | 1,892,000 | ||||||||||||||||||||||||
Other | (82,000 | ) | 102,000 | (122,000 | ) | 330,000 | 305,000 | (60,000 | ) | 412,000 | (40,000 | ) | ||||||||||||||||||||
Net revenue | $ | 24,919,000 | $ | 22,940,000 | $ | 65,235,000 | $ | 66,963,000 | $ | 30,654,000 | $ | 21,352,000 | $ | 50,760,000 | $ | 40,316,000 | ||||||||||||||||
June 30, 2021 | September 30, 2020 | March 31, 2022 | September 30, 2021 | |||||||||||||
Operating lease ROU asset included in other long-term assets | $ | 894,000 | $ | 942,000 | $ | 596,000 | $ | 785,000 | ||||||||
Current operating lease liability | 403,000 | 328,000 | 407,000 | 393,000 | ||||||||||||
Non-current operating lease liability | 491,000 | 614,000 | 189,000 | 392,000 | ||||||||||||
Weighted average remaining lease term (in years) | 2.25 | 2.92 | 1.50 | 2.00 | ||||||||||||
Weighted average discount rate used in calculating ROU asset | 4.0 | % | 4.0 | % | 4.0 | % | 4.0 | % |
Fiscal Year | Annual Lease Payments | Annual Lease Payments | ||||||
2021 (remaining 3 months) | $ | 116,000 | ||||||
2022 | 419,000 | |||||||
2022 (remaining 6 months) | $ | 210,000 | ||||||
2023 | 400,000 | 398,000 | ||||||
2024 | 6,000 | |||||||
Total | 935,000 | 614,000 | ||||||
Less interest | (41,000 | ) | (18,000 | ) | ||||
Present value of lease liabilities | $ | 894,000 | $ | 596,000 | ||||
Exhibit 31.1 | Certification of | |
Exhibit 31.2 | Certification of Chief Financial Officer Pursuant to Rule 13a – 14(a) of the Securities Exchange Act of 1934, as amended | |
Exhibit 32 | Certifications of | |
Exhibit 101.1 | Interactive Data File | |
Exhibit 101.INS | XBRL Instance Document – the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document | |
Exhibit 101.SCH | XBRL Schema Document | |
Exhibit 101.CAL | XBRL Calculation Linkbase Document | |
Exhibit 101.DEF | XBRL Definition Linkbase Document | |
Exhibit 101.LAB | XBRL Label Linkbase Document | |
Exhibit 101.PRE | XBRL Presentation Linkbase Document | |
Exhibit 104 | The cover page from the Company’s Quarterly Report on Form 10-Q for the quarter ended |
GENCOR INDUSTRIES, INC. |
/s/ |
(Principal Executive |
/s/ Eric E. Mellen |
Eric E. Mellen |
Chief Financial Officer |
(Principal Financial and Accounting Officer) |