Financial Performance - Consolidated corporate sales for the three months ended May 31, 2024, were $6,730,000, an 18.2% decrease from $8,224,000 in the same period of fiscal 2023[99]. - Agricultural Products segment sales decreased by 28.5% to $4,555,000 for the second quarter of fiscal 2024, compared to $6,368,000 in fiscal 2023[100]. - Modular Buildings segment sales increased by 17.2% to $2,175,000 for the second quarter of fiscal 2024, compared to $1,856,000 in fiscal 2023[101]. - Consolidated net loss from continuing operations was $5,000 for the three months ended May 31, 2024, compared to net income of $330,000 for the same period in fiscal 2023[106]. Order Backlog - Consolidated order backlog as of July 8, 2024, was $7,867,000, a 23.1% decrease from $10,236,000 in July 2023[107]. - Agricultural Products segment order backlog decreased by 80.1% to $1,348,000 as of July 8, 2024, compared to $6,764,000 in fiscal 2023[107]. - Modular Buildings segment order backlog increased by 87.8% to $6,519,000 as of July 8, 2024, compared to $3,472,000 in fiscal 2023[107]. Expenses - Consolidated selling expenses for the six months ended May 31, 2024, were $860,000, a decrease of 17.5% from $1,042,000 in the same period of fiscal 2023[102]. - Administrative expenses increased to 19.8% of sales for the six months ended May 31, 2024, compared to 13.6% for the same period in fiscal 2023[104]. Future Outlook - The company expects to rely on inventory reduction, debt retirement, and cost-cutting measures to minimize losses and generate net income moving forward[106]. Compliance and Reporting - There were no changes in internal controls over financial reporting that materially affected the company during the reporting period[113]. - The company is not currently a party to any material pending legal proceedings[115]. - As a smaller reporting company, the company is not required to disclose risk factors[115]. - The company did not report any unregistered sales of equity securities during the period[117]. - The company has not made any purchases of its common stock during the second quarter of fiscal 2024[116]. - The company has filed condensed consolidated balance sheets and statements of operations and cash flows as part of its financial reporting[119]. - The report includes certifications from the Chief Executive Officer and Chief Financial Officer as required by regulations[120]. - The company has not disclosed any new strategies or market expansions in the current report[115]. - There are no defaults upon senior securities reported by the company[117]. - The company has not reported any mine safety disclosures as they are not applicable[117].
Art’s-Way(ARTW) - 2024 Q2 - Quarterly Report