SECURITIES AND EXCHANGE COMMISSION
Washington, D.C.
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): April 19, 2005
AAON, INC.
----------
(Exact name of registrant as specified in its charter)
Nevada 0-18953 87-0448736
------ ------- ----------
(State or other jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.)
2425 South Yukon, Tulsa, Oklahoma 74107
---------------------------------------
(Address of principal executive offices)
Registrant's telephone number, including area code: (918) 583-2266
Item 2.02 Results of Operations and Financial Condition.
On April 19, 2005, Registrant issued a press release on its
results of operation and financial condition for the three months ended
and at March 31, 2005, and another press release showing a balance
sheet reclassification.
Item 9.01 Financial Statements and Exhibits.
Copies of such press releases are attached as Exhibit "A" and
Exhibit "B" hereto, respectively.
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 hereunto duly authorized.
AAON, INC.
Date: April 19, 2005 By: /s/ John B. Johnson, Jr.
-----------------------------------
John B. Johnson, Jr., Secretary
(1)
EXHIBIT "A"
NEWS BULLETIN
FOR IMMEDIATE RELEASE
April 19, 2005
AAON, Inc.
2425 South Yukon Ave. o Tulsa, OK 74107-2728
o Ph: (918) 583-2266 o Fax: (918) 583-6094 o
o http://www.aaon.com o
---------------------------------------------
For Further Information:
Jerry R. Levine o Ph: (914) 244-0292 o Fax: (914) 244-0295
--------------------------------------------------------------------------------
AAON REPORTS HIGHER SALES AND EARNINGS
Tulsa, OK, April 19, 2005 - AAON, Inc. (NASDAQ-AAON), today announced its
operating results for the three months ended March 31, 2005, of $42.8 million in
sales (up 14%), and $3.3 million of net income, $0.26 per share, compared to
$37.5 million in sales and $2.3 million in net income (up 40%), $0.18 per share,
a year ago. Per share earnings are on a diluted basis.
Norman H. Asbjornson, President and CEO, stated that "the increase in earnings
was attributable to both volume and price increases totaling $5.3 million
compared to the first quarter of 2004, despite continued, relatively high
material costs, the after tax loss by AAON Canada of approximately $700,000 and
burdensome costs of Sarbanes-Oxley compliance."
Mr. Asbjornson added that "based on the first quarter results and other relevant
factors, we expect 2005 to produce both higher sales and earnings than 2004."
Certain statements in this news release may be "forward-looking statements"
within the meaning of Section 27A of the Securities Act of 1933. Statements
regarding future prospects and developments are based upon current expectations
and involve certain risks and uncertainties that could cause actual results and
developments to differ materially from the forward-looking statements.
(1)
AAON, Inc. and Subsidiaries
Consolidated Statements of Operations
(unaudited)
Three Months Ended
Mar. 31, 2005 Mar. 31, 2004
------------------------------------------------
(in thousands)
Net sales $ 42,780 $ 37,494
Cost of sales 32,730 29,793
---------------- -----------------
Gross profit 10,050 7,701
Selling, general and
administrative expenses 4,682 3,967
---------------- -----------------
Income from operations 5,368 3,734
Interest expense (2) (17)
Interest income 78 81
Other income (expense) (9) 2
---------------- -----------------
Income before income taxes 5,435 3,800
Income tax provision 2,148 1,463
---------------- -----------------
Net income $ 3,287 $ 2,337
================ =================
Earnings Per Share:
Basic $ 0.27 $ 0.19
================ =================
Diluted $ 0.26 $ 0.18
================ =================
Weighted Average Shares Outstanding:
Basic 12,387 12,482
================ =================
Diluted 12,795 12,997
================ =================
(2)
AAON, Inc. and Subsidiaries
Consolidated Balance Sheets
(unaudited)
March 31, December 31,
2005 2004
------------------------------------------------------
(In thousands, except share and per share data)
ASSETS
CURRENT ASSETS
Cash and cash equivalents $ 370 $ 994
Certificate of deposit 3,000 3,000
Accounts receivable, net 28,698 27,121
Inventories, net 23,496 20,868
Prepaid expenses 583 478
Deferred income tax assets 3,537 3,537
--------------------- ----------------------
Total current assets 61,031 55,998
--------------------- ----------------------
PROPERTY, PLANT AND EQUIPMENT
Land 2,123 2,082
Buildings 27,012 26,805
Machinery and equipment 55,293 52,540
Furniture and fixtures 5,080 4,819
--------------------- ----------------------
Total property, plant & equipment 88,161 86,246
Less: accumulated depreciation 38,900 37,017
--------------------- ----------------------
Net property, plant & equipment 49,261 49,229
--------------------- ----------------------
NOTES RECEIVABLE, LONG-TERM 75 -
--------------------- ----------------------
Total assets $ 110,367 $ 105,227
===================== ======================
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES
Revolving credit facility 1,347 -
Current maturities of long-term debt 108 108
Accounts payable 11,018 12,882
Accrued liabilities 17,684 15,069
--------------------- ----------------------
Total current liabilities 30,157 28,059
--------------------- ----------------------
LONG-TERM DEBT, LESS CURRENT MATURITIES 140 167
--------------------- ----------------------
DEFERRED TAX LIABILITIES 5,630 5,830
--------------------- ----------------------
STOCKHOLDERS' EQUITY
Preferred Stock, $.001 par, 5,000,000 shares
authorized, no shares issued - -
Common Stock, $.004 par, 50,000,000 shares
authorized, and 12,376,333 and 12,349,583
issued and outstanding at March 31, 2005,
and December 31, 2004, respectively 50 49
Additional paid-in capital - -
Accumulated other comprehensive income, net of tax 235 247
Retained earnings 74,155 70,875
--------------------- ----------------------
Total stockholders' equity 74,440 71,171
--------------------- ----------------------
Total liabilities and stockholders' equity $ 110,367 $ 105,227
===================== ======================
(3)
AAON, Inc. and Subsidiaries
Consolidated Statements of Cash Flows
(unaudited)
Three Months Three Months
Ended Ended
Mar. 31, 2005 Mar. 31, 2004
-------------------------------------------------------
(in thousands)
OPERATING ACTIVITIES
Net income $ 3,287 $ 2,337
Adjustments to reconcile net income to net
cash provided by operating activities:
Depreciation 1,883 1,552
Provision for losses on accounts receivable 39 470
Loss on disposition of assets - 4
Deferred income taxes (200) -
Changes in assets and liabilities:
Accounts receivable (1,616) (40)
Inventories (2,628) (2,512)
Prepaid expenses (105) (295)
Accounts payable (1,455) (566)
Accrued liabilities 2,423 241
-------------------------------------------------------
Net cash provided by operating activities 1,628 1,191
INVESTING ACTIVITIES
Proceeds from sale of property, plant and equipment - 1
Proceeds from matured certificate of deposit 3,000 -
Investment in certificate of deposit (3,000) -
Note receivable, long-term (75) -
Capital expenditures (3,262) (664)
-------------------------------------------------------
Net cash used in investing activities (3,337) (663)
FINANCING ACTIVITIES
Borrowings under revolving credit facility 5,304 12,968
Payments under revolving credit facility (3,957) (17,442)
Payments of long-term debt (27) -
Stock options exercised 242 224
Repurchase of stock (465) (2,263)
-------------------------------------------------------
Net cash provided by (used in) financing activities 1,097 (6,513)
-------------------------------------------------------
Effect of exchange rate on cash (12) -
-------------------------------------------------------
Net decrease in cash and cash equivalents (624) (5,985)
-------------------------------------------------------
Cash and cash equivalents, beginning of year 994 6,186
-------------------------------------------------------
Cash and cash equivalents, end of year $ 370 $ 201
=======================================================
(4)
EXHIBIT "B"
NEWS BULLETIN
FOR IMMEDIATE RELEASE
April 19, 2005
AAON, Inc.
2425 South Yukon Ave. o Tulsa, OK 74107-2728
o Ph: (918) 583-2266 o Fax: (918) 583-6094 o
o http://www.aaon.com o
---------------------------------------------
For Further Information:
Jerry R. Levine o Ph: (914) 244-0292 o Fax: (914) 244-0295
--------------------------------------------------------------------------------
AAON Issues Balance Sheet Reclassification
Due to a last minute Balance Sheet reclassification of deposits in prepaid
expenses to machinery and equipment, total current assets decreased by
$1,347,000 from $61,031,000 to $59,684,000, while total property and equipment
and net property, plant and equipment increased by the same amount to
$89,508,000 and $50,608,000, respectively.
(5)
AAON, Inc. and Subsidiaries
Consolidated Balance Sheets
(unaudited)
March 31, December 31,
2005 2004
------------------------------------------------------
(In thousands, except share and per share data)
ASSETS
CURRENT ASSETS
Cash and cash equivalents $ 370 $ 994
Certificate of deposit 3,000 3,000
Accounts receivable, net 28,698 27,121
Inventories, net 23,496 20,868
Prepaid expenses 583 478
Deferred income tax assets 3,537 3,537
--------------------- ----------------------
Total current assets 59,684 55,998
--------------------- ----------------------
PROPERTY, PLANT AND EQUIPMENT
Land 2,123 2,082
Buildings 27,012 26,805
Machinery and equipment 55,293 52,540
Furniture and fixtures 5,080 4,819
--------------------- ----------------------
Total property, plant & equipment 89,508 86,246
Less: accumulated depreciation 38,900 37,017
--------------------- ----------------------
Net property, plant & equipment 50,608 49,229
--------------------- ----------------------
NOTES RECEIVABLE, LONG-TERM 75 -
--------------------- ----------------------
Total assets $ 110,367 $ 105,227
===================== ======================
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES
Revolving credit facility 1,347 -
Current maturities of long-term debt 108 108
Accounts payable 11,018 12,882
Accrued liabilities 17,684 15,069
--------------------- ----------------------
Total current liabilities 30,157 28,059
--------------------- ----------------------
LONG-TERM DEBT, LESS CURRENT MATURITIES 140 167
--------------------- ----------------------
DEFERRED TAX LIABILITIES 5,630 5,830
--------------------- ----------------------
STOCKHOLDERS' EQUITY
Preferred Stock, $.001 par, 5,000,000 shares
authorized, no shares issued - -
Common Stock, $.004 par, 50,000,000 shares
authorized, and 12,376,333 and 12,349,583
issued and outstanding at March 31, 2005,
and December 31, 2004, respectively 50 49
Additional paid-in capital - -
Accumulated other comprehensive income, net of tax 235 247
Retained earnings 74,155 70,875
--------------------- ----------------------
Total stockholders' equity 74,440 71,171
--------------------- ----------------------
Total liabilities and stockholders' equity $ 110,367 $ 105,227
===================== ======================
(6)