Fountain Powerboat Industries Inc. today reported an increase in net sales for the fourth quarter ending June 30, but a drop in sales for the full year.
Net sales for the fiscal 2008 fourth quarter were $20.7 million, compared to net sales of $19.9 million for the 2007 fourth quarter. Net sales for fiscal 2008 were $68.2 million, compared to net sales of $68.8 million for fiscal 2007.
“The decline in sales of the fiberglass recreational boat market has affected the segments of the market in which Fountain's boats are sold for the past two years,” said CFO Irving L. Smith, in a statement. “Maintaining approximately the same level of revenue in this declining market was primarily the result of focused sales activities and promotions guided by specific goals and objectives.”
“We are maintaining market share in the sportboat segment, and experienced improvement in the express cruiser segment in fiscal 2008,” said Reginald M. Fountain Jr., chairman, CEO and president of the Washington, N.C., builder, in the statement. “The international market continues to grow while the domestic market declines, and our international sales increased by 28 percent in fiscal 2008. We expect the Baja by Fountain product line to be a positive contributor to our revenue in fiscal 2009.”
Net income for the fourth quarter of fiscal 2008 was $258,305, or 7 cents per share, versus net income of $535,059, or 11 cents a share, for the fourth quarter of fiscal 2007.
Net loss for fiscal 2008 was $2.2 million, or 48 cents a share, versus net loss of about $5 million, or $1.05 for fiscal 2007. The net loss for fiscal 2007 was affected by the Deferred Tax Expense, which was about $1.3 million for the year.