Forward Reports Fiscal 2017 and Fourth Quarter Results

WEST PALM BEACH, Fla., Dec. 14, 2017 (GLOBE NEWSWIRE) -- Forward Industries, Inc. (NASDAQ:FORD), a designer and distributor of custom carry and protective solutions, today announced financial results for its fiscal year ended September 30, 2017.

Full Fiscal Year 2017 Highlights

  • Net income was $579 thousand in Fiscal 2017 compared to $607 thousand in Fiscal 2016.

  • Earnings per share was $0.07 per share for Fiscal 2017 compared to of $0.07 per share for Fiscal 2016.

  • Total Revenues were $24.8 million in Fiscal 2017, down 10% from Fiscal 2016.

  • Gross profit percentage decreased to 16.9% in Fiscal 2017 from 18.5% in Fiscal 2016.

Fourth Quarter 2017 Financial Highlights

  • Net income was $113 thousand, which is down from $140 thousand in the fourth quarter of 2016.

  • Earnings per share was $0.02 per share compared to $0.02 per share for the fourth quarter of 2016.

  • Revenues were $6.3 million compared to $6.7 million in the fourth quarter of 2016.

  • Gross profit percentage decreased to 16.5% from 19.2% in the fourth quarter of 2016.

  • Cash totaled $4.6 million at September 30, 2017, down from $4.8 million at September 30, 2016.

Terry Wise, Chief Executive Officer of Forward Industries, stated:
“I am delighted to report that for the second successive year, the company has earned positive net income for the full fiscal year. In a challenging commercial environment, our contracts with our major blue-chip pharmaceutical customers have been successfully renewed. These extensions are a resounding endorsement of the quality of our products and of our supply capability. At the same time we have transformed our business to an agile, streamlined company focused on future growth. I look to fiscal year 2018 to capitalize on the efforts of the past year.”

Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements including statements regarding profitability, growth in revenues, and expansion of customer base. The words “believe,” “may,” “estimate,” “continue,” “anticipate,” “intend,” “should,” “plan,” “could,” “target,” “potential,” “is likely,” “will,” “expect” and similar expressions, as they relate to us, are intended to identify forward-looking statements. We have based these forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy and financial needs. Important factors that could cause actual results to differ from those in the forward-looking statements include unexpected issues with Forward China and our customers going directly to our sourcing agents for their products. Further information on our risk factors is contained in our filings with the SEC, including our Form 10-K. Any forward-looking statement made by us herein speaks only as of the date on which it is made. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law.

About Forward Industries
Incorporated in 1962, and headquartered West Palm Beach, Florida, Forward Industries is a global designer and distributor of custom carry and protective solutions. Forward’s products can be viewed online at www.forwardindustries.com.

Contact:
Forward Industries, Inc.
Michael Matte, CFO
(561) 465-0031

FORWARD INDUSTRIES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME
For the Fiscal Years Ended
September 30,
2017 2016
Net revenues$24,764,613 $27,479,896
Cost of goods sold 20,572,970 22,399,734
Gross profit 4,191,643 5,080,162
Operating expenses:
Sales and marketing 1,502,700 1,891,409
General and administrative 2,090,473 2,571,799
Total operating expenses 3,593,173 4,463,208
Operating income 598,470 616,954
Other income (expense), net (19,124) (10,392)
Income before income taxes 579,346 606,562
Provision for income taxes - -
Net income$579,346 $606,562
Net income$579,346 $606,562
Other comprehensive income:
Translation adjustments 21,785 -
Comprehensive income$601,131 $606,562
Earnings per share:
Basic$0.07 $0.07
Diluted$0.07 $0.07
Weighted average number of common and
common equivalent shares outstanding:
Basic 8,727,322 8,521,188
Diluted 8,823,059 8,675,583


FORWARD INDUSTRIES, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
September 30,
2017 2016
Assets
Current assets:
Cash$4,622,981 $4,760,620
Accounts receivable 6,218,563 4,864,423
Inventories 2,120,971 2,572,980
Prepaid expenses and other current assets 157,930 141,421
Total current assets 13,120,445 12,339,444
Property and equipment, net 20,658 43,030
Other assets 12,843 12,843
Total assets$13,153,946 $12,395,317
Liabilities and shareholders' equity
Current liabilities:
Accounts payable$67,351 $62,136
Due to Forward China 3,736,451 3,519,676
Accrued expenses and other current liabilities 382,759 587,741
Total current liabilities 4,186,561 4,169,553
Other liabilities 36,963 51,486
Total liabilities 4,223,524 4,221,039
Commitments and contingencies - See Note 9
Shareholders' equity:
Common stock, par value $0.01 per share; 40,000,000 shares authorized;
8,920,830 and 8,780,830 shares issued and outstanding
at September 30, 2017 and 2016, respectively 89,208 87,808
Additional paid-in capital 17,936,673 17,783,060
Accumulated deficit (9,095,459) (9,674,805)
Accumulated other comprehensive loss - (21,785)
Total shareholders' equity 8,930,422 8,174,278
Total liabilities and shareholders' equity$13,153,946 $12,395,317


Source:Forward Industries, Inc.