UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 10-QSB
(Mark One)
[ X ] Quarterly report under Section 13 or 15(d) of the Securities Ex-
change Act of 1934
For the quarter ended January 31, 2005
[ ] Transition report under Section 13 or 15(d) of the Securities Ex-
change Act of 1934
For the transition period from __________ to __________
Commission File Number: 0-5378
GEORGE RISK INDUSTRIES, INC.
(Exact name of small business issuer as specified in its charter)
Colorado 84-0524756
(State of incorporation) (IRS Employers Identification No.)
802 South Elm St.
Kimball, NE 69145
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (308) 235-4645
APPLICABLE ONLY TO CORPORATE ISSUERS
The number of shares of the Registrant's Common Stock outstanding, as of
March 16, 2005 was 5,393,853.
Transitional Small Business Disclosure Format: Yes [ X ] No [ ]
GEORGE RISK INDUSTRIES, INC.
PART I. FINANCIAL INFORMATION
Item 1. Financial Statements
The unaudited financial statements for the three and nine month period
ended January 31, 2005, are attached hereto.
GEORGE RISK INDUSTRIES, INC.
BALANCE SHEET
JANUARY 31, 2005
ASSETS
Current Assets
Cash and cash equivalents $ 5,054,000
Marketable securities (Note 2) 11,610,000
Accounts receivable:
Trade, net of $50,000 doubtful account allowance 1,886,000
Other 2,000
Inventories (Note 3) 2,199,000
Prepaid expenses 133,000
Deferred income taxes 94,000
-------------
Total Current Assets $ 20,978,000
Property and Equipment, net at cost $ 826,000
Other Assets
Investment in Land Limited Partnership, at cost 200,000
Projects in process 29,000
Other 14,000
-------------
Total Other Assets $ 243,000
TOTAL ASSETS $ 22,047,000
=============
GEORGE RISK INDUSTRIES, INC.
BALANCE SHEET
JANUARY 31, 2005
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities
Accounts payable, trade $ 153,000
Dividends payable 51,000
Accrued expenses
Payroll and related expenses 247,000
Property taxes 2,000
Income tax payable 198,000
-------------
Total Current Liabilities $ 651,000
Long-Term Liabilities
Deferred income taxes 27,000
-------------
Total Long-Term Liabilities $ 27,000
Stockholders' Equity
Convertible preferred stock, 1,000,000 shares
authorized, Series 1-noncumulative, $20 stated
value, 25,000 shares authorized, 5,350 issued
and outstanding 107,000
Common stock, Class A, $.10 par value, 10,000,000
shares authorized, 8,502,832 shares issued and
outstanding 850,000
Additional paid-in capital 1,736,000
Accumulated other comprehensive income (732,000)
Retained earnings 21,183,000
Less: cost of treasury stock, 3,102,829 shares,
at cost (1,775,000)
-------------
Total Stockholders' Equity $ 21,369,000
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 22,047,000
============
GEORGE RISK INDUSTRIES, INC.
INCOME AND RETAINED EARNINGS STATEMENT
Three months Nine months Three months Nine months
ended ended ended ended
January 31, January 31, January 31, January 31,
2005 2005 2004 2004
---------------------------------------------------
Net Sales $ 3,139,000 $ 9,512,000 $ 3,214,000 $ 9,641,000
Less: cost of goods sold (1,540,000) (4,538,000) (1,515,000) (4,675,000)
------------ ------------ ------------ ------------
Gross Profit $ 1,599,000 $ 4,974,000 $ 1,699,000 $ 4,966,000
Operating Expenses:
General and
administrative 175,000 513,000 170,000 519,000
Selling 546,000 1,756,000 582,000 1,707,000
Engineering 21,000 58,000 20,000 56,000
Rent paid to related
parties 11,000 38,000 11,000 37,000
------------ ------------ ------------ ------------
Total Operating
Expenses $ 753,000 $ 2,365,000 $ 783,000 $ 2,319,000
Income From Operations 846,000 2,609,000 916,000 2,647,000
Other Income (Expense)
Other 2,000 0 1,000 3,000
Dividend and interest
income 130,000 282,000 111,000 271,000
Gain (loss) on sale of
investments (78,000) (69,000) 3,000 31,000
Gain (loss) on sale of
assets 0 0 0 4,000
------------ ------------ ------------ ------------
$ 54,000 $ 213,000 $ 115,000 $ 309,000
Income Before Provisions
for Income Tax 900,000 2,822,000 1,031,000 2,956,000
Provisions for Income Tax (375,000) (1,178,000) (432,000) (1,235,000)
------------ ------------ ------------ ------------
Net Income $ 525,000 $ 1,644,000 $ 599,000 $ 1,721,000
Retained Earnings,
beginning of period $20,658,000 $20,079,000 $18,790,000 $17,668,000
Less: Cash Dividends, Common
Stock ($0.10 per share) 0 (540,000) 0 0
Retained Earnings,
end of period $21,183,000 $21,183,000 $19,389,000 $19,389,000
Income Per Share of Common
Stock: (Note 6)
Basic $ .10 $ .30 $ .11 $ .32
Assuming Dilution $ .10 $ .30 $ .11 $ .32
GEORGE RISK INDUSTRIES, INC.
STATEMENT OF COMPREHENSIVE INCOME
Three months Nine months Three months Nine months
ended ended ended ended
January 31, January 31, January 31, January 31,
2005 2005 2004 2004
----------------------------------------------------
Net Income $ 525,000 $ 1,644,000 $ 599,000 $ 1,721,000
------------ ------------ ------------ ------------
Other Comprehensive Income, net of tax
Unrealized gain (loss) on securities:
Unrealized holding
gains (losses) arising
during period 147,000 179,000 274,000 716,000
Reclassification adjustment
for (gains) losses included
in net income 78,000 69,000 (3,000) (31,000)
Income tax expense related
to other comprehensive
income (94,000) (104,000) (113,000) (286,000)
------------ ------------ ------------ ------------
Other Comprehensive
Income $ 131,000 $ 144,000 $ 158,000 $ 399,000
Comprehensive Income $ 656,000 $ 1,788,000 $ 757,000 $ 2,120,000
============ ============ ============ ============
GEORGE RISK INDUSTRIES, INC.
STATEMENT OF CASH FLOWS
Three months Nine months Three months Nine months
ended ended ended ended
January 31, January 31, January 31, January 31,
2005 2005 2004 2004
---------------------------------------------------
CASH FLOWS FROM OPERATING
ACTIVITIES:
Net Income $ 525,000 $ 1,644,000 $ 599,000 $ 1,721,000
Adjustments to reconcile
net income to net cash
provided by operating
activities:
Depreciation 54,000 154,000 59,000 172,000
(Gain) 1oss on sale of
investments 78,000 69,000 (3,000) (31,000)
(Gain) loss on sale of
assets 0 0 0 (4,000)
Change in unrealized gain/
(loss) on investments 147,000 179,000 274,000 716,000
Changes in assets and
liabilities:
(Increase) decrease in:
Investments/securities (403,000) (844,000) (413,000) (1,119,000)
Accounts receivable 141,000 (151,000) 274,000 (170,000)
Inventories (26,000) 181,000 (66,000) 107,000
Prepaid expenses (40,000) (79,000) 12,000 45,000
Receivables-officers
and employees 2,000 3,000 1,000 2,000
Increase (decrease) in:
Accounts payable 88,000 61,000 66,000 30,000
Dividends payable (22,000) 52,000 0 0
Accrued expenses (82,000) (64,000) (113,000) (58,000)
Income tax payable 29,000 327,000 63,000 132,000
------------ ------------ ------------ ------------
Net cash provided by (used in)
operating activities $ 491,000 $ 1,532,000 $ 753,000 $ 1,543,000
CASH FLOWS FROM INVESTING
ACTIVITIES:
Proceeds from sale of
assets 0 0 0 4,000
Other assets 18,000 9,000 (8,000) 56,000
(Purchase) of property
and equipment (55,000) (145,000) (33,000) (167,000)
Proceeds from sale of
marketable securities 898,000 1,332,000 134,000 558,000
(Purchase) of marketable
securities (976,000) (1,401,000) (131,000) (527,000)
(Purchase) of treasury
stock (13,000) (13,000) 0 0
------------ ------------ ------------ ------------
Net cash provided by (used in)
investing activities $ (128,000) $ (281,000) $ (38,000) $ (76,000)
CASH FLOWS FROM FINANCING
ACTIVITIES:
Principal payments on
long-term debt 0 0 0 (40,000)
Dividends issued 0 (540,000) 0 0
------------ ------------ ------------ ------------
Net cash provided by (used in)
financing activities $ 0 $ (540,000) $ 0 $ (40,000)
NET INCREASE (DECREASE) IN CASH
AND CASH EQUIVALENTS $ 363,000 $ 774,000 $ 715,000 $ 1,427,000
============ ============ ============ ============
Cash and cash equivalents,
beginning of period $ 4,691,000 $ 4,280,000 $ 3,412,000 $ 2,700,000
Cash and cash equivalents,
end of period $ 5,054,000 $ 5,054,000 $ 4,127,000 $ 4,127,000
GEORGE RISK INDUSTRIES, INC.
NOTES TO FINANCIAL STATEMENTS
JANUARY 31, 2005
Note 1 Unaudited Interim Financial Statements
The accompanying financial statements have been prepared in accordance
with the instructions for Form 10QSB and do not include all of the inform-
ation and footnotes required by generally accepted accounting principals for
complete financial statements. In the opinion of management, all adjust-
ments, consisting only of normal recurring adjustments considered necessary
for a fair presentation, have been included. Operating results for any
quarter are not necessarily indicative of the results for any other quarter
or for the full year.
Note 2 Marketable Securities
Marketable equity securities are recorded at the lower of cost or market
and are classified as available-for-sale securities. The cost of marketable
securities sold is determined on the average cost method with realized gains
or losses being reflected in the income statement and any unrealized gains
or losses being reported as a separate component of stockholder's equity
until realized. Dividend and interest income are accrued as earned.
Marketable equity securities and unrealized gains and losses consist of
the following as of January 31, 2005 and January 31, 2004:
Cost Basis $ 12,342,000 $ 11,480,000
Market Value 11,610,000 10,800,000
------------- -------------
Net Unrealized Gain (Loss) $ (732,000) $ (680,000)
Note 3 Inventories
At January 31, 2005 and January 31, 2004, respectively, inventories
consisted of the following:
Raw Materials $ 1,540,000 $ 1,630,000
Work in Process 480,000 400,000
Finished Goods 180,000 296,000
Warehouse in England 69,000 67,000
------------- -------------
$ 2,269,000 $ 2,393,000
Less: allowance for obsolete
inventory (70,000) (70,000)
------------- -------------
Net Inventories $ 2,199,000 $ 2,323,000
============= =============
Note 4 Business Segments
The following is financial information relating to industry segments:
For the quarter ended
January 31,
2005 2004
----------------------------
Net revenue:
Pool alarm products $ 233,000 $ 237,000
Keyboard products 144,000 133,000
Security alarm and other products 2,762,000 2,844,000
------------- -------------
Total net revenue $ 3,139,000 $ 3,214,000
Income from operations:
Pool alarm products $ 63,000 $ 68,000
Keyboard products 39,000 38,000
Security alarm and other products 744,000 810,000
------------- -------------
Total income from operations $ 846,000 $ 916,000
Identifiable assets:
Pool alarm products $ 266,000 $ 221,000
Keyboard products 296,000 278,000
Security alarm and other products 4,000,000 4,042,000
Corporate general 17,485,000 15,741,000
------------- -------------
Total assets $ 22,047,000 $ 20,282,000
Depreciation and amortization:
Pool alarm products $ 4,000 $ 1,000
Keyboard products 0 1,000
Security alarm and other products 31,000 31,000
Corporate general 19,000 26,000
------------- -------------
Total depreciation and amortization $ 54,000 $ 59,000
Capital expenditures:
Pool alarm products $ 43,000 $ 0
Keyboard products 0 0
Security alarm and other products 0 0
Corporate general 12,000 33,000
------------- -------------
Total capital expenditures $ 55,000 $ 33,000
Note 5 Revenue Recognition
George Risk Industries recognizes its revenues when goods are shipped
and billed to its customers. There is a $50,000 allowance that was estab-
lished to account for any uncollectable accounts.
Note 6 Earnings per Share
Basic and diluted earning per share, assuming convertible preferred
stock was converted for each period presented, are:
For the three months ended January 31, 2005
-------------------------------------------
Income Shares Per-share
(Numerator) (Denominator) Amount
----------- ------------- -----------
Net Income $ 525,000
===========
Basic EPS $ 525,000 5,400,663 $ 0.10
Effect of dilutive securities:
Convertible preferred stock 0 26,750
----------- ------------- -----------
Diluted EPS $ 525,000 5,427,413 $ 0.10
For the nine months ended January 31, 2005
-------------------------------------------
Income Shares Per-share
(Numerator) (Denominator) Amount
----------- ------------- -----------
Net Income $1,644,000
===========
Basic EPS $1,644,000 5,401,906 $ 0.30
Effect of dilutive securities:
Convertible preferred stock 0 26,750
----------- ------------- -----------
Diluted EPS $1,644,000 5,428,656 $ 0.30
For the three months ended January 31, 2004
-------------------------------------------
Income Shares Per-share
(Numerator) (Denominator) Amount
----------- ------------- -----------
Net Income $ 599,000
===========
Basic EPS $ 599,000 5,402,528 $ 0.11
Effect of dilutive securities:
Convertible preferred stock 0 26,750
----------- ------------- -----------
Diluted EPS $ 599,000 5,429,278 $ 0.11
For the nine months ended January 31, 2004
--------------------------------------------
Income Shares Per-share
(Numerator) (Denominator) Amount
----------- ------------- -----------
Net Income $1,721,000
===========
Basic EPS $1,721,000 5,402,528 $ 0.32
Effect of dilutive securities:
Convertible preferred stock 0 26,750
----------- ------------- -----------
Diluted EPS $1,721,000 5,429,278 $ 0.32
GEORGE RISK INDUSTRIES, INC.
PART I. FINANCIAL INFORMATION
Item 2. Management Discussion and Analysis of Financial Condition and
Results of Operations
MANAGEMENT DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS
The following discussion should be read in conjunction with the attached con-
densed financial statements, and with the George Risk Industries' audited
financial statements and discussion for the fiscal year ended April 30, 2004.
Net cash increased $363,000 during the quarter ended January 31, 2005 as com-
pared to an increase of $715,000 during the corresponding quarter last year.
As for the year-to-date numbers, net cash increased $774,000 for the nine
months ended January 31, 2005, while, for the same period last year, net cash
increased $1,427,000. Investments and marketable securities increased
$403,000 for the current quarter and also increased $413,000 for the same
quarter last year. The year-to-date numbers show an increase of $844,000 for
the current nine months as compared to an increase of $1,119,000 for the
same nine-month period last year. The reason for the bigger year-to-date
number last year is that we opened up some "Money Managers" within our in-
vestment accounts and it took a little bit of cash to get those started up.
Inventories increased $26,000 for the current quarter as compared to a
$66,000 increase for the same quarter last year. The year-to-date numbers
show a $181,000 decrease in inventory for the current year, and there was
also a $107,000 decrease for the same period last year. Our sales are down
slightly this quarter, which accounts for the smaller increase in inventory
for the quarter. Accounts receivable decreased $141,000 during the current
quarter as compared to a $274,000 decrease for the corresponding quarter last
year. The year-to-date figures show an increase of $151,000 for the current
nine months and a $170,000 decrease for the same period last year. The main
reason for the bigger increase for the year-to-date numbers last year is that
we have had to extend out payment terms to some of our customers. As for
this year, those extended payment terms have gone through a whole year cycle
and have had a chance to become more of a normal part of our day-to-day
activities. At January 31, 2005, 67.26% of the receivables were considered
current (less than 45 days) and 5.7% of the total were over 90 days past due.
For the quarter ended January 31, 2005, accounts payable increased $88,000 as
compared to a $66,000 increase for the same quarter the year before. As for
the year-to-date numbers, there was a $61,000 increase for the nine months
ended January 31, 2005, and a $30,000 increase for the same period ended
January 31, 2004. Dividends payable decreased $22,000 for the current
quarter and increased $52,000 for the current year-to-date numbers. In com-
parison, there was no cash flow for dividends payable for the three and nine
months ending January 31, 2004 since this is the first year that we have de-
clared a dividend. Income tax payable increased $29,000 for the current
quarter while it increased $63,000 for the quarter ended January 31, 2004.
As for the nine months ended January 31, 2005, income tax payable increased
$327,000, while it increased $132,000 for the corresponding period a year ago.
The following is a list of ratios to help analyze George Risk Industries'
performance:
For the quarter ended January 31,
2005 2004
---------------------------------
Working capital $ 20,327,000 $ 18,534,000
Current ratio 32.224 29.824
Quick ratio 28.495 25.894
Cash per share (including marketable
securities) $ 3.09 $ 2.76
Equity per share $ 3.96 $ 3.64
Net sales were $3,139,000 for the quarter ended January 31, 2005, which is
a 2.3% decrease from the corresponding quarter last year. Year-to-date net
sales at January 31, 2005 were $9,512,000, which is only a 1.3% decrease from
the same period last year. Cost of goods sold was 49.1% of net sales for the
quarter ended January 31, 2005 and 47.1% for the same quarter last year.
Year-to-date cost of goods sold percentages were 47.7% for the current nine
months and 48.5% for the corresponding nine months last year. Having rel-
atively the same percentage of cost of goods sold from period to period shows
that we keep our costs in line. Our cost of materials and direct labor
fluctuate in proportion to how our sales vary.
Operating expenses were 24.0% of net sales for the quarter ended January 31,
2005 as compared to 24.4% for the corresponding quarter last year. Year-to-
date operating expenses were 24.9% of net sales for the nine months ended
January 31, 2005, while they were 24.1% for the same period last year.
Having relatively the same percentages for operating expenses shows that
management has a good grip on spending habits. Income from operations for
the quarter ended January 31, 2005 was at $846,000, which is a 7.6% decrease
from the corresponding quarter last year, which had income from operations of
$916,000. Income from operations for the nine months ended January 31, 2005
was at $2,609,000, which is a 1.4% decrease from the corresponding nine
months last year, which had income from operations of $2,647,000.
Other income and expenses showed gains of $54,000 and $213,000 for the
quarter and nine months ended January 31, 2005, respectively. The numbers
for the corresponding periods last year were gains of $115,000 and $309,000.
Net income for the quarter ended January 31, 2005 was at $525,000, a 12.4%
decrease from the corresponding quarter last year, which showed a net income
of $599,000. Net income for the nine months ended January 31, 2005 was
$1,644,000, a 4.8% decrease from the same period last year. Net income for
the nine months ended January 31, 2004 was $1,721,000. Earnings per common
share for the quarter ended January 31, 2005 were $0.10 per share and $0.30
per share for the year-to-date numbers. EPS for the quarter and nine moths
ended January 31, 2004 was $0.11 per share and $0.32 per share, respectively.
A dividend of $0.10 per common share was declared for the first time for this
current fiscal year. The dividend was paid to common stockholders of record
as of September 30, 2004 and the payment date was October 31, 2004. The
reason that there is still a dividend payable on the books as of October 31,
2004 is that we did not have all the information that was needed in order to
process checks to some stockholders. Once this information is obtained, a
dividend check is sent out if they were a stockholder as of the date of
record. Also, we have many "lost" stockholders on record, but with the de-
claration of this dividend, we are finding many more than we would have if
the dividend was not declared and paid.
George Risk Industries does have three distinct business segments, security
alarm products (and other items), keyboard products, and pool alarm products
that are subject to disclosure under SFAS No. 131. See the notes to the
financial statements in order to examine these segments.
New products recently introduced include the 150RS, a shorter version of the
150 series security switch. Also, the T8800 and T8800R temperature monitor-
ing devices have been well received by the marketplace. These are similar
to the ThermStat 3 & 4's, however, they have only one probe as compared to
the ThermStat 4's probes and is a product that can be purchased at a lower
cost. The single probe can either be "on-board" or "remote". The H8800 and
H8800R have also been introduced. These are humidity monitors, also with
either the "on-board" or "remote" probe.
Products that are ready for release from the Tool & Die Shop include the
Smoke Alarm Box, an addition to our EZ Duct Raceway line.
Other projects currently in development in Tool & Die include the sash
magnet, the surface mount pre-wire, and end caps for the new raceway product
line.
Engineering design work continues on the smaller version of our raceway,
single and double gang boxes, pool alarm inserts, and the dome and roller
ball molds.
Also, the research and development engineers are proceeding with the high
security switch, a closed loop glass break switch, a wireless pool alarm, and
ADA touch sensor plates.
Our marketing and sales group is preparing to exhibit at the 2005 Inter-
national Security Conference (ISC) in Las Vegas, NV form April 6 - 8, 2005.
This is where most of the products mentioned above will be introduced and
demonstrated.
There are some exciting developments that are in the early stages regarding
our Gering, NE site. Back in the mid 1990's, we opened up our Gering plant
with the help of Twin Cities Development. Twin Cities Development is the
economic development committee for the twin cities of Scottsbluff and
Gering, NE. They set up our production facility in a building where the
development committee would pay for the rent and the utilities if certain
criteria were met to increase economic development in the community. We have
always met the criteria and have advanced to the next stage. Since we now
have over 50 employees at our Gering facility, we now have the option for
the City of Gering to grant us funds to build a manufacturing facility that
we would own. If we are approved for this new project, there are again new
criteria that will have to be met over the next five years in order to have
the grant money be a gift to us, instead of being a loan to us.
Management is always open to the possibility to acquire a business that would
complement our existing operations. This would probably not require any
outside financing. The intent is to utilize the equipment, marketing
techniques and established customers to increase sales and profits.
There are no known seasonal trends with any of our products, since we sell
to distributors and OEM manufacturers. The products are tied to the housing
industry and will fluctuate with building trends.
GEORGE RISK INDUSTRIES, INC.
Part II. OTHER INFORMATION
Item 1. Legal Proceedings
Not applicable
Item 2. Changes in Securities
Not applicable.
Item 3. Defaults upon Senior Securities
Not applicable
Item 4. Submission of Matters to a Vote of Securities
Not applicable
Item 5. Other Information
Not applicable
Item 6. Exhibits and Reports on Form 8-K
A. Reports on Form 8-K
No 8-K reports were filed during the quarter ended January 31, 2005.
CERTIFICATION OF KEN R. RISK, PRESIDENT AND CHAIRMAN OF THE BOARD,
PURSUANT TO RULE 13a-14 OF THE SECURITIES EXCHANGE ACT OF 1934
I, Ken R. Risk, certify that:
1. I have reviewed this quarterly report on Form 10QSB of George Risk
Industries, Inc.;
2. Based on my knowledge, this report does not contain any untrue
statement of a material fact or omit to state a material fact
necessary to make the statements made, in light of the circumstances
under which such statements were made, not misleading with respect
to the period covered by this report;
3. Based on my knowledge, the financial statements, and other financial
information included in this report, fairly present in all material
respects the financial condition, results of operations and cash
flows of the registrant as of, and for, the periods presented in
this report;
4. The registrant's other certifying officer and I are responsible for
establishing and maintaining disclosure controls and procedures (as
defined in Exchange Act Rules 13a-14 and 15d-14) for the registrant
and have:
a) Designed such disclosure controls and procedures, or caused such
disclosure controls and procedures to be designed under our
supervision, to ensure that material information relating to the
registrant is made know to us by others, particularly during the
period in which the report is being prepared;
b) Evaluated the effectiveness of the registrant's disclosure con-
trols and procedures as of the end of the period covered by this
report based on such evaluation;
c) Disclosed in this report any changes in the registrant's internal
control over financial reporting that occured during the
registrant's most recent fiscal quarter that has materially
affected, or is reasonably likely to materially affect, the
registrant's internal control over financial reporting; and
5. The registrant's other certifying officer and I have disclosed,
based on our most recent evaluation of internal control over financial
reporting, to the registrant's auditors and the registrant's board of
directors:
a) All significant deficiencies and material weaknesses in the design
or operation of internal control over financial reporting which are
reasonably likely to adversely affect the registrant's ability to
record, process, summarize and report financial information; and
b) Any fraud, whether or not material, that involves management or
other employees who have a significant role in the registrant's
internal control over financial reporting.
By: /s/ Kenneth R. Risk
Kenneth R. Risk
President and Chairman of the Board
CERTIFICATION OF STEPHANIE M. RISK, CHIEF FINANCIAL OFFICER,
PURSUANT TO RULE 13a-14 OF THE SECURITIES EXCHANGE ACT OF 1934
I, Stephanie M. Risk, certify that:
1. I have reviewed this quarterly report on Form 10QSB of George Risk
Industries, Inc.;
2. Based on my knowledge, this report does not contain any untrue
statement of a material fact or omit to state a material fact
necessary to make the statements made, in light of the circumstances
under which such statements were made, not misleading with respect
to the period covered by this report;
3. Based on my knowledge, the financial statements, and other financial
information included in this report, fairly present in all material
respects the financial condition, results of operations and cash
flows of the registrant as of, and for, the periods presented in
this report;
4. The registrant's other certifying officer and I are responsible for
establishing and maintaining disclosure controls and procedures (as
defined in Exchange Act Rules 13a-14 and 15d-14) for the registrant
and have:
a) Designed such disclosure controls and procedures, or caused such
disclosure controls and procedures to be designed under our
supervision, to ensure that material information relating to the
registrant is made know to us by others, particularly during the
period in which the report is being prepared;
b) Evaluated the effectiveness of the registrant's disclosure con-
trols and procedures as of the end of the period covered by this
report based on such evaluation;
c) Disclosed in this report any changes in the registrant's internal
control over financial reporting that occured during the
registrant's most recent fiscal quarter that has materially
affected, or is reasonably likely to materially affect, the
registrant's internal control over financial reporting; and
5. The registrant's other certifying officer and I have disclosed,
based on our most recent evaluation of internal control over financial
reporting, to the registrant's auditors and the registrant's board of
directors:
a) All significant deficiencies and material weaknesses in the design
or operation of internal control over financial reporting which are
reasonably likely to adversely affect the registrant's ability to
record, process, summarize and report financial information; and
b) Any fraud, whether or not material, that involves management or
other employees who have a significant role in the registrant's
internal control over financial reporting.
By: /s/ Stephanie M. Risk
Stephanie M. Risk
Chief Financial Officer and Controller
CERTIFICATION OF CHIEF EXECUTIVE OFFICER AND CHIEF FINANCIAL
OFFICER PURSUANT TO 18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT
TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002
I, Ken R. Risk, certify, pursuant to 18 U.S.C. 18 Section 1350, as adopted
pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that the quarterly
report of George Risk Industries, Inc. on Form 10QSB dated January 31, 2005
fully complies with the requirements of Section 13(a) or Section 15(d) of the
Securities Exchange Act of 1934 and that information contained in such Form
10QSB fairly presents in all material respects the financial condition and
results of operations of George Risk Industries, Inc.
By: /s/ Ken R. Risk
Ken R. Risk
President and Chief Executive Officer
I, Stephanie M. Risk, certify, pursuant to 18 U.S.C. 18 Section 1350, as
adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that the
quarterly report of George Risk Industries, Inc. on Form 10QSB dated Jan-
uary 31, 2005 fully complies with the requirements of Section 13(a) or
Section 15(d) of the Securities Exchange Act of 1934 and that information
contained in such Form 10QSB fairly presents in all material respects the
financial condition and results of operations of George Risk Industries, Inc.
By: /s/ Stephanie M. Risk
Stephanie M. Risk
Chief Financial Officer and Controller
SIGNATURES
In accordance with the requirements of the Exchange Act, the registrant
caused this report to be signed on its behalf by the undersigned, thereunto
duly authorized.
George Risk Industries, Inc.
(Registrant)
Date: 03-16-2005 By: /s/ Kenneth R. Risk
Kenneth R. Risk,
President and Chairman of the Board
Date: 03-16-2005 By: /s/ Stephanie M. Risk
Stephanie M. Risk,
Chief Financial Officer and Controller