2003 Shaping Up to Be Record-Setter

Ballistic Recovery Systems, Inc. (the "Thank-You" people) reported sharply higher gross revenues for the first quarter of fiscal year 2003: $1,519,229, versus $785,244 in the year-ago period. The 93.5% increase comes from continued strong sales to certified aircraft producers, but also a 79% increase in the company's uncertified or sport aircraft line.

Net income before taxes was up 156%, to $148,057, from $57,833 in the year-earlier period. Gross margin also increased to 37.4% from 35.5% in the first quarter of 2003 compared to the first quarter of 2002. Net earnings calculate to $0.01 per share and 5.2% of sales. Research and Development increased as a share of gross revenues, to 8.3% from 5.4% in the comparable 2002 period.

CEO Mark Thomas said, "The first quarter has commonly been BRS's slowest but that has changed now the company benefits from continuing vigorous sales to the company's main customer, Cirrus Design." The Duluth airplane manufacturer has become the industry's number two producer, following only market leader, Cessna Aircraft. Cirrus has now delivered 698 aircraft, all of which are equipped with a BRS parachute system.

BRS also reported that it won FAA certification for a parachute system, the BRS-172, for the Cessna 172 Skyhawk model, the most popular airplane ever sold. The company has started certification work on a parachute system for Cessna's 182 Skylane, another very successful model which represents another sizable market for the company's emergency parachutes.

During calendar 2002, BRS documented saving 10 more aircraft occupants involved with in-flight emergencies, including the first ever in a certified aircraft (an incident in Dallas Texas in October of 2002). The new "saves" brings the company's total to 156 lives spared since the first life-saving deployment in 1983.

FMI: www.airplaneparachutes.com