Middlebury's Coachman Industries reports 2Q 2008 loss, lower sales

Greater Fort Wayne Business Weekly

Middlebury-based Coachmen Industries Inc. reported a $3-million loss for the second quarter of 2008. In the year-ago period, the recreational-vehicle maker had a $10.1-million loss.

Coachmen reported second-quarter net sales of $96.7 million, down from $149.8 million in the same period in 2007.

Gross profits for the quarter improved to $6.9 million, or 7.1 percent of revenue, from $6 million, or 4 percent of revenue, in the second quarter of 2007. Operating expenses decreased by $7.6 million from last year, to $9.2 million.

Sales for the six-month period ended June 30 were $218 million versus $280 million reported for the same period last year. Gross profits improved to $17.7 million, or 8.1 percent of revenue, from $7.4 million, or 2.6 percent of revenue, in the first half of 2007. Operating expenses decreased by $10.3 million from last year, to $18.1 million.

Coachmen had a net loss of $1.6 million, or 10 cents per share, for the first half versus a net loss of $20.6 million, or $1.31 per share, for the year-ago period.

In a statement, president Richard Lavers said the economy has affected the company's bottom line, but it is making every attempt to remain profitable.

"These results demonstrate that the actions we have taken are working, and will allow us to weather this down cycle," he said. "Nevertheless, we must - and will - take even further measures to bring our costs in line with the revenues that are the reality of these market conditions."