SECURITIES
AND EXCHANGE COMMISSION
Washington,
D.C. 20549
FORM
6-K
REPORT OF
FOREIGN ISSUER
PURSUANT
TO RULE 13a-16 OR 15d-16 OF
THE
SECURITIES EXCHANGE ACT OF 1934
For the
date of February 1, 2010
HIGHWAY HOLDINGS LIMITED
(Translation
of Registrant's Name Into English)
Suite
810, Level 8
Landmark
North
39 Lung
Sum Avenue
Sheung
Shui
New Territories, Hong Kong
(Address
of Principal Executive Offices)
(Indicate
by check mark whether the registrant files or will file annual reports under
cover of Form 20-F or Form 40-F.)
Form
20-F x Form
40-F o
(Indicate
by check mark whether the registrant by furnishing the information contained in
this Form is also thereby furnishing the information to the Commission pursuant
to Rule 12g3-2(b) under the Securities Exchange Act of 1934.)
Yes o
No x
(If "Yes"
is marked, indicate below the file number assigned to the registrant in
connection with Rule 12g3-2(b): 82-_______________.)
Attached
to this Report on Form 6-K is the press release issued by the registrant on
February 1, 2010.
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 thereunto
duly authorized.
| HIGHWAY HOLDINGS LIMITED | |||
|
Date: February
1, 2010
|
By:
|
/s/ ROLAND W. KOHL | |
| Roland W. Kohl | |||
| Chief Executive Officer | |||
 |
NEWS RELEASE
|
| CONTACT: |
Gary S. Maier
Maier & Company, Inc.
(310)
442-9852
|
HIGHWAY
HOLDINGS REPORTS FISCAL 2010 THIRD QUARTER RESULTS
HONG KONG — February 1, 2010 —
Highway Holdings Limited (Nasdaq:HIHO) today
reported results for its third fiscal quarter ended December 31,
2009.
Net
income for the 2010 fiscal third quarter was $256,000, or $0.07 per diluted
share, compared with $110,000, or $0.03 per diluted share, a year earlier –
primarily due to
ongoing customer pricing increases and control of
expenses. Net sales for the same three-month period were $5.94
million compared with $7.97 million a year ago.
Net
income for the nine-month period of fiscal 2010 was $259,000, or $0.07 diluted
share, compared with $497,000, or $0.13, per share a year
earlier. Net sales for the same period were $15.8 million compared
with $26.8 million a year earlier.
Gross
profit for the nine-month period as a percentage of sales was 20.9 percent
compared with 20.1 percent in the same period a year ago.
Selling,
general and administrative expenses for the 2010 fiscal periods decreased from
the fiscal 2009 periods by $501,000 for the fiscal third quarter and $1.16
million for the nine-month period.
“The
decrease in net sales for the fiscal 2010 third quarter and nine months reflects
the continued impact of worldwide economic conditions with business returning,
but at a slower rate as anticipated. At the same time, the company’s
balance sheet remained strong at December 31, 2009, with working capital of $9.4
million, a current ratio of 3.19:1, and book value per share of $3.04 per
share,” said Roland Kohl, president and chief executive officer.
Kohl
noted that the company substantially reduced its workforce as a preemptive
measure and in anticipation of increasing the company’s utilization of more
automation in its manufacturing process to provide some protection against
escalating wages and related labor costs. He added that the company’s
workforce at December 2009 was approximately 650 employees compared with
approximately 1100 employees at December 2008, which contributed to gross margin
improvement and profitability for the quarter.
(more)
He
indicated that the company continues to focus on consolidating its four prior
operating facilities in China, with the recent closing of its He Yuan factory
and the pending closing of a second facility in Ping Hu.
About
Highway Holdings
Highway Holdings produces a wide
variety of high-quality products for blue chip original equipment manufacturers
-- from simple parts and components to sub-assemblies. It also
manufactures finished products, such as LED lights, radio chimes and other
electronic products. Highway Holdings is headquartered in Hong Kong
and currently operates three manufacturing facilities in the People's Republic
of China.
Except
for the historical information contained herein, the matters discussed in this
press release are forward-looking statements which involve risks and
uncertainties, including but not limited to economic, competitive, governmental,
political and technological factors affecting the company's revenues,
operations, markets, products and prices, and other factors discussed in the
company’s various filings with the Securities and Exchange Commission, including
without limitation, the company’s annual reports on Form 20-F.
(Financial
Tables Follow)
# #
HIGHWAY
HOLDINGS LIMITED AND SUBSIDIARIES
Consolidated
Statement of Income
(Dollars
in thousands, except per share data)
(Unaudited)
|
Three
Months Ended
|
Nine
Months Ended
|
|||||||||||||||
|
December
31,
|
December
31,
|
|||||||||||||||
|
2009
|
2008
|
2009
|
2008
|
|||||||||||||
|
Net
sales
|
$ | 5,941 | $ | 7,969 | $ | 15,775 | $ | 26,823 | ||||||||
|
Cost
of sales
|
4,702 | 6,340 | 12,478 | 21,432 | ||||||||||||
|
Gross
profit
|
1,239 | 1,629 | 3,297 | 5,391 | ||||||||||||
|
Selling,
general and administrative expenses
|
933 | 1,434 | 3,330 | 4,492 | ||||||||||||
|
Operating
income / (loss)
|
306 | 195 | (33 | ) | 899 | |||||||||||
|
Non-operating
items
|
||||||||||||||||
|
Interest
expenses
|
(8 | ) | (38 | ) | (38 | ) | (126 | ) | ||||||||
|
Exchange
gain (loss), net
|
(8 | ) | (74 | ) | 340 | (279 | ) | |||||||||
|
Interest
income
|
(17 | ) | 9 | 6 | 29 | |||||||||||
|
Other
income
|
10 | 38 | 22 | 57 | ||||||||||||
|
Total
non-operating income (expenses)
|
(23 | ) | (65 | ) | 330 | (319 | ) | |||||||||
|
Net
income before income tax and non-controlling
Interest
|
283 | 130 | 297 | 580 | ||||||||||||
|
Income
taxes
|
21 | 7 | 21 | 84 | ||||||||||||
|
Net
Income before non-controlling interests
|
262 | 123 | 276 | 496 | ||||||||||||
|
Less:
Net income attributable to non-controlling
Interest
|
(6 | ) | (13 | ) | (17 | ) | 1 | |||||||||
|
Net
Income attributable to Highway
Holdings
Limited
|
$ | 256 | $ | 110 | $ | 259 | $ | 497 | ||||||||
|
Net Income
– basic and diluted
|
||||||||||||||||
|
Net Income
attributable to Highway
Holdings
Limited
|
$ | 0.07 | $ | 0.03 | $ | 0.07 | $ | 0.13 | ||||||||
|
Weighted
average number of shares
|
||||||||||||||||
|
Basic
|
3,747 | 3,734 | 3,747 | 3,734 | ||||||||||||
|
Diluted
|
3,776 | 3,734 | 3,776 | 3,734 | ||||||||||||
HIGHWAY HOLDINGS LIMITED AND
SUBSIDIARIES
Consolidated Balance Sheet
(In
thousands, except per share data)
|
Dec
31
|
March
31
|
|||||||
|
2009
|
2009
|
|||||||
|
Current assets:
|
||||||||
|
Cash
and cash equivalents
|
$ | 5,525 | $ | 5,809 | ||||
|
Restricted
cash
|
1,028 | 1,028 | ||||||
|
Accounts
receivable, net of doubtful accounts
|
3,200 | 3,426 | ||||||
|
Inventories
|
3,541 | 4,010 | ||||||
|
Prepaid
expenses and other current assets
|
404 | 672 | ||||||
|
Total
current assets
|
13,698 | 14,945 | ||||||
|
Property,
plant and equipment, (net)
|
2,326 | 2,840 | ||||||
|
Investment
in affiliates
|
5 | 2 | ||||||
|
Intangible
assets, (net)
|
0 | 24 | ||||||
|
Total
assets
|
$ | 16,029 | $ | 17,811 | ||||
|
Current liabilities:
|
||||||||
|
Accounts
payable
|
$ | 2,249 | $ | 2,166 | ||||
|
Short-term
borrowing
|
706 | 1,850 | ||||||
|
Current
portion of long-term debt
|
267 | 259 | ||||||
|
Accrual
payroll and employee benefits
|
442 | 373 | ||||||
|
Other
liabilities and accrued expenses
|
629 | 1,257 | ||||||
|
Total
current liabilities
|
4,293 | 5,905 | ||||||
|
Long-term
debt – net of current portion
|
93 | 294 | ||||||
|
Deferred
income taxes
|
163 | 163 | ||||||
|
Total
liabilities
|
4,549 | 6,362 | ||||||
|
Shareholders' equity:
|
||||||||
|
Common
shares, $0.01 par value
|
37 | 37 | ||||||
|
Additional
paid-in capital
|
11,224 | 11,224 | ||||||
|
Retained
earnings
|
303 | 154 | ||||||
|
Accumulated
other comprehensive loss
|
(17 | ) | (6 | ) | ||||
|
Treasury
shares, at cost – 37,800 shares as of March 31, 2009; and December 31,
2009 respectively
|
(53 | ) | (53 | ) | ||||
|
Total
Highway Holdings Limited shareholders' equity
|
11,494 | 11,356 | ||||||
|
Non-controlling
interest
|
(14 | ) | 93 | |||||
|
Total
shareholders' equity
|
11,480 | 11,449 | ||||||
|
Total
liabilities and shareholders' equity
|
$ | 16,029 | $ | 17,811 | ||||