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
month of August 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 are the press releases issued by the registrant on
August 9, 2010 and August 16, 2010.
|
NEWS
RELEASE
|
|
CONTACT:
|
Gary
S. Maier
|
Maier
& Company, Inc.
(310)
442-9852
HIGHWAY
HOLDINGS LIMITED DECLARES CASH DIVIDEND
HONG KONG
– August 9,
2010
-- Highway Holdings
Limited (Nasdaq:HIHO) today announced
its board of directors has declared a cash dividend of $0.08 per share on the
company’s common
stock. The dividend will be paid on October 28, 2010 to shareholders
of record on September
28, 2010.
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 light
fixtures, LED lights, radio chimes and other electronic products. Highway
Holdings is headquartered in Hong Kong, and currently operates with its
principal manufacturing
facility in Shenzhen and a factory in Wuxi 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.
# # #
|
|
NEWS
RELEASE
|
|
CONTACT:
|
Gary
S. Maier
|
Maier
& Company, Inc.
(310)
442-9852
HIGHWAY
HOLDINGS REPORTS FISCAL 2011 FIRST QUARTER RESULTS
-Sales
Climb 40 Percent-
HONG KONG —August 16, 2010 —
Highway Holdings Limited (Nasdaq:HIHO) today
reported results for its fiscal 2011 first quarter ended June 30, 2010,
reflecting the benefits of an improving global economy despite the impact of
currency fluctuations on the company’s profitability.
Net sales
for the first quarter of fiscal 2011 climbed 40.0 percent to $6.5 million from
$4.6 million a year earlier.
Operating
income for the three month period ended June 30, 2010 was $303,000 compared with
an operating loss of $430,000 for the same quarter last
year. However, because of currency fluctuation adjustments detailed
below, net income for the fiscal 2011 first quarter was only $44,000, or $0.01
per diluted share, compared with a net loss of $136,000, or $0.04 per share,
last year.
“The
beginning of the new fiscal year represents a significant improvement compared
with a year ago, as a majority of our customers are now experiencing improved
business conditions and order flow is gaining momentum,” said Roland Kohl,
president and chief executive officer of Highway Holdings.
“The
company’s strong financial position combined with reduced operating expenses and
strongly increasing sales from long-term and new customers offers strong growth
potential in the new fiscal year. Based upon our current sales forecasts from
potential new and existing business, we expect to reach or exceed in fiscal 2011
the sales levels that we achieved in 2009, prior to the global recession -- with
increased profitability as a result the company’s more efficient operations
today,” Kohl added.
Gross
profit as a percentage of sales for the first fiscal quarter of fiscal 2011 was
22.2 percent compared with 16.1 percent in the same period a year
ago.
Selling,
general and administrative expense for the fiscal quarter decreased by $44,000,
or 3.8 percent, from the same period a year ago despite increased
sales. Selling, general and administrative expense as a percentage of
sales for the first fiscal quarter of fiscal 2011 was 17.5 percent compared with
25.4 percent in the same period a year ago.
(more)
Highway
Holdings Ltd.
2-2-2
Kohl
noted that the company’s streamlining initiatives implemented during the past
few years, including the closure of two factories, contributed to the company’s
ability to sharply reduce expenses -- which increased the company’s gross
profits and decreased selling, general and administrative expenses. “These
streamlining actions, especially targeting manufacturing cost reductions, have
greatly enhanced the company’s technical capabilities -- particularly automated
manufacturing processes,” Kohl said. He noted that automation will partially
offset the more than 60 percent increase in labor costs since March 2010.
“Additional wage increases are anticipated in the near future, which may lead to
price increases and the need to pass on the majority of these increases to
customers,” Kohl said.
The
company’s results were negatively impacted by a $257,000 currency exchange loss
during the fiscal 2011 first quarter compared with an $281,000 currency exchange
gain during the same period last year due to the weakening value of the euro
compared to the U.S. dollar.
Kohl
highlighted the company’s solid financial position, with cash equivalents and
restricted cash of $6.47 million. At June 30, 2010, the company had working
capital of $10.0 million. Because of the company’s strong financial
condition, the company declared a cash dividend on August 9, 2010 of $0.08 per
share on the company's common stock. As previously announced, the
dividend will be paid on October 28, 2010 to shareholders of record on September
28, 2010. Total shareholders’equity at June 30, 2010 was $11.71
million compared with $11.67 million as of March 31, 2010. The
company’s current ratio was 3.18:1 at June 30, 2010.
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 operates two 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)
# # #
(more)
HIGHWAY
HOLDINGS LIMITED AND SUBSIDIARIES
Consolidated
Statement of Income
(Dollars
in thousands, except per share data)
(Unaudited)
|
Quarter
Ended
|
||||||||
|
June
30
|
||||||||
|
2010
|
2009
|
|||||||
|
Net
sales
|
$ | 6,451 | $ | 4,615 | ||||
|
Cost
of sales
|
5,019 | 3,872 | ||||||
|
Gross
profit
|
1,432 | 743 | ||||||
|
Selling,
general and administrative expenses
|
1,129 | 1,173 | ||||||
|
Operating
/ income (loss)
|
303 | (430 | ) | |||||
|
Non-operating
items
|
||||||||
|
Interest
expenses
|
(8 | ) | (18 | ) | ||||
|
Exchange
gain (loss), net
|
(257 | ) | 281 | |||||
|
Interest
income
|
1 | 4 | ||||||
|
Other
income
|
4 | 10 | ||||||
|
Total
non-operating income (expenses)
|
(260 | ) | 277 | |||||
|
Net income
(loss) before income tax and noncontrolling interests
|
43 | (153 | ) | |||||
|
Income
taxes
|
13 | - | ||||||
|
Net
income (loss)
|
30 | (153 | ) | |||||
|
Loss
attributable to noncontrolling interest
|
14 | 17 | ||||||
|
Net
income (loss) attributable to Highway Holdings Limited
|
$ | 44 | $ | (136 | ) | |||
|
Net
income (loss) – basic and diluted
|
||||||||
|
Net
income (loss) attributable to Highway Holdings Limited
|
$ | 0.01 | $ | (0.04 | ) | |||
|
Weighted
average number of shares
|
||||||||
|
Basic
|
3,745 | 3,747 | ||||||
|
Diluted
|
3,755 | 3,747 | ||||||
HIGHWAY
HOLDINGS LIMITED AND SUBSIDIARIES
Consolidated
Balance Sheet
(In
thousands, except per share data)
|
June
30
|
March
31
|
|||||||
|
2010
|
2010
|
|||||||
|
Current
assets:
|
||||||||
|
Cash
and cash equivalents
|
$ | 5,700 | $ | 6,279 | ||||
|
Restricted
cash
|
771 | 771 | ||||||
|
Accounts
receivable, net of doubtful accounts
|
3,643 | 3,240 | ||||||
|
Inventories
|
3,943 | 3,495 | ||||||
|
Prepaid
expenses and other current assets
|
516 | 507 | ||||||
|
Total
current assets
|
14,573 | 14,292 | ||||||
|
Investment
in affiliates
|
||||||||
|
Property,
plant and equipment, (net)
|
1,893 | 2,051 | ||||||
|
Intangible
assets, (net)
|
4 | 8 | ||||||
|
Investment
in affiliates
|
1 | 1 | ||||||
|
Total
assets
|
$ | 16,471 | $ | 16,352 | ||||
|
Current
liabilities:
|
||||||||
|
Accounts
payable
|
$ | 2,588 | $ | 2,389 | ||||
|
Short-term
borrowing
|
838 | 793 | ||||||
|
Obligations
under capital leases - current portion
|
200 | 251 | ||||||
|
Accrual
payroll and employee benefits
|
579 | 542 | ||||||
|
Other
liabilities and accrued expenses
|
383 | 514 | ||||||
|
Total
current liabilities
|
4,588 | 4,489 | ||||||
|
Obligations
under capital leases – net of current portion
|
28 | 44 | ||||||
|
Deferred
income taxes
|
147 | 147 | ||||||
|
Total
liabilities
|
4,763 | 4,680 | ||||||
|
Shareholders'
equity:
|
||||||||
|
Common
shares, $0.01 par value
|
37 | 38 | ||||||
|
Additional
paid-in capital
|
11,243 | 11,289 | ||||||
|
Retained
earnings
|
505 | 461 | ||||||
|
Accumulated
other comprehensive loss
|
(13 | ) | (13 | ) | ||||
|
Treasury
shares, at cost – 37,800 shares as of March 31, 2010; and nil on June 30,
2010
|
- | (53 | ) | |||||
|
Total
Highway Holdings Limited shareholders' equity
|
11,772 | 11,722 | ||||||
|
Noncontrolling
Interest
|
(64 | ) | (50 | ) | ||||
|
Total
equity
|
11,708 | 11,672 | ||||||
|
Total
liabilities and shareholders' equity
|
$ | 16,471 | $ | 16,352 | ||||
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: August
31, 2010
|
By:
|
/s/ ROLAND W. KOHL | |
| Roland W. Kohl | |||
| Chief Executive Officer | |||