Supreme Industries (STS) has reported a 50.44 percent plunge in profit for the quarter ended Apr. 01, 2017. The company has earned $1.86 million, or $0.11 a share in the quarter, compared with $3.76 million, or $0.22 a share for the same period last year.

Revenue during the quarter went down marginally by 1.12 percent to $68.67 million from $69.45 million in the previous year period. Gross margin for the quarter contracted 291 basis points over the previous year period to 18.92 percent. Total expenses were 95.61 percent of quarterly revenues, up from 91.67 percent for the same period last year. That has resulted in a contraction of 394 basis points in operating margin to 4.39 percent.

Operating income for the quarter was $3.01 million, compared with $5.78 million in the previous year period.

"Sales and earnings were negatively impacted during the quarter by temporary delays in receiving customer-supplied chassis to commence rental fleet production," said Mark Weber, president and chief executive officer. "While no orders were lost, the delays due to third-party transportation capacity constraints required the orders to be rescheduled across all plants into subsequent quarters. Operations were impacted as a result of dedicated personnel being onboarded, trained and awaiting chassis arrival. Fortunately, the chassis transportation issues were resolved by late March, and our shipments have ramped up accordingly."

Supreme Industries has recorded an increase in the working capital over the last year. It stood at $59.65 million as at Apr. 01, 2017, up 8.57 percent or $4.71 million from $54.94 million on Mar. 26, 2016. Current ratio was at 2.92 as on Apr. 01, 2017, down from 3.28 on Mar. 26, 2016.

Days sales outstanding went down to 17 days for the quarter compared with 37 days for the same period last year.