Patrick Industries Inc., a supplier/distributor serving the manufactured housing and RV industries, has suspended its cash dividend payments “due to general economic and industry conditions,” the Elkhart, Ind. firm announced Friday (May 16).
Patrick, a Nasdaq Stock Market-traded company, has paid a dividend since 1995 and, most recently, it paid 4 cents per share per quarter. Based upon 4.56 million shares outstanding, that means the firm was paying about $182,000 per quarter in cash to its shareholders.
But the company reported a $900,000 net loss for the first quarter. It reported a net income of $95,000 all of 2002.
Patrick’s recent difficulty arises from the fact that about half of its sales revenue comes from the manufactured housing industry, which is in a deep recession. Manufactured housing industry shipments plunged from 372,000 units in 1998 to 168,500 units in 2002, Patrick reported in a Securities & Exchange Commission (SEC) document.
About one-third of Patrick’s sales revenue comes from the RV industry, the company reported.
Patrick manufactures and distributes a wide range of products, including decorative vinyl and paper panels, wrapped moldings, cabinet doors, kitchen cabinets, countertops and aluminum extrusions.