SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
----------------------
F O R M 6-K
REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR
15d-16 UNDER THE SECURITIES EXCHANGE ACT OF 1934
For the month of
August 2008
RADA ELECTRONIC INDUSTRIES LIMITED
(Name of Registrant)
7 Giborei Israel Street, Netanya 42504, Israel
(Address of Principal Executive Office)
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 [ ]
Indicate by check mark if the registrant is submitting the
Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): [ ]
Indicate by check mark if the registrant is submitting the
Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): [ ]
Indicate by check mark whether by furnishing the information
contained in this Form, the registrant is also thereby furnishing the
information to the Commission pursuant to Rule 12g3-2(b) under the Securities
Exchange Act of 1934.
Yes [ ] No [X]
If "Yes" is marked, indicate below the file number assigned to
the registrant in connection with Rule 12g3-2(b): 82-___________
This Form 6-K is being incorporated by reference into the Registrant's
Form F-3 Registration Statements File Nos. 333-12074, 333-115598, 333-117954,
333-127491 and 333-150197 and Form S-8 Registration Statement File No.
333-111437.
RADA ELECTRONIC INDUSTRIES LTD.
6-K Items
1. Press Release re RADA Electronic Industries Announces Q2 2008 Results
dated August 21, 2008.
ITEM 1
Press Release Source: RADA Electronic Industries Ltd.
RADA Electronic Industries Announces Q2 2008 Results
Thursday August 21, 4:00 pm ET
NETANYA, Israel, August 21 /PRNewswire-FirstCall/ -- RADA Electronic Industries
Ltd. (Nasdaq Capital Market: RADA) today reported its financial results for the
second quarter ended June 30, 2008. Revenues were $3.6 million compared to $4.2
million in the second quarter of 2007. Operating loss for the second quarter of
2008 was $376,000 compared to operating income of $55,000 in the second quarter
of 2007 and financing expenses were $294,000 for the second quarter of 2008,
compared to $142,000 in the second quarter of 2007. As a result, the company
reported a net loss of $672,000 for the second quarter of 2008, compared to a
net loss of $90,000 in the second quarter of 2007.
Commenting on the results, Zvika Alon, RADA's CEO said, "Our income this quarter
was approximately as expected while our expenses were higher compared to the
same period in 2007 mainly due to the continued devaluation of the U.S. dollar
against the Israeli Shekel.
"Based on our current backlog and pipeline and as indicated in our first quarter
release, we expect higher revenues during the second half of 2008 resulting in
an increase in 2008 revenues in comparison to 2007."
About RADA
RADA Electronic Industries Ltd. is an Israel based company involved in the
military and commercial aerospace industries. The Company specializes in
Avionics systems (Digital Video Recorders, Ground Debriefing Stations, Stores
Management Systems, Flight Data Recorders, Inertial Navigation Systems),
Trainers Upgrades, Avionics systems for the UAV market, and Electro optic
cameras for airplanes and armored vehicles.
Note: Certain statements in this press release are "forward-looking statements"
within the meaning of the Private Securities Litigation Act of 1995. Such
statements involve known and unknown risks, uncertainties and other factors that
may cause actual results to differ materially. Such risk uncertainties and other
factors include, but are not limited to, changes in general economic conditions,
risks in product and technology developments, market acceptance of new products
and continuing product demand, level of competition and other factors described
in the Company's Annual Report on Form 20-F and other filings with the
Securities and Exchange Commission.
CONSOLIDATED BALANCE SHEETS
U.S. dollars in thousands, except share and per share data
June 30, December
2008 31, 2007
Unaudited Audited
ASSETS
CURRENT ASSETS:
Cash and cash equivalents $ 944 $ 835
Restricted cash 872 598
Trade receivables (net of allowance for doubtful
accounts of $ 62 at June 30, 2008 and December
31, 2007) 2,892 4,907
Other accounts receivable and prepaid expenses 930 305
Costs and estimated earnings in excess of
billings on uncompleted contracts 1,276 701
Inventories 3,548 2,609
Total current assets 10,462 9,955
LONG-TERM RECEIVABLES AND DEPOSITS:
Long-term receivables 933 983
Leasing deposits 57 57
Severance pay fund 2,450 2,038
Total long-term receivables and deposits 3,440 3,078
PROPERTY AND EQUIPMENT, NET 3,018 2,745
OTHER ASSETS:
Intangible assets, net 1,193 1,414
Goodwill 429 214
Total other assets 1,622 1,628
Total assets $ 18,542 $ 17,406
LIABILITIES AND SHAREHOLDERS' EQUITY
CURRENT LIABILITIES:
Short-term bank credit and current maturities of
long-term loans $ 175 $ 490
Trade payables 1,836 1,472
Other accounts payable and accrued expenses 4,049 3,666
Deferred revenues 746 181
Billings in excess of costs and estimated
earnings on uncompleted contracts 91 88
Total current liabilities 6,897 5,897
LONG-TERM LIABILITIES:
Loan from shareholders, net 70 261
Convertible note from a shareholder, net 1,785 1,622
Long-term loan 262 -
Accrued severance pay 2,928 2,442
Total long-term liabilities 5,045 4,325
MINORITY INTERESTS 544 459
SHAREHOLDERS' EQUITY:
Share capital -
Ordinary shares of NIS 0.015 par value -
Authorized: 16,333,333 shares at June 30, 2008
and December 31, 2007; Issued and outstanding:
8,858,553 and 8,705,788 shares at June 30, 2008
and December 31, 2007 respectively 119 116
Additional paid-in capital 69,433 68,968
Accumulated other comprehensive income 305 -
Accumulated deficit (63,801) (62,359)
Total shareholders' equity 6,056 6,725
Total liabilities and shareholders' equity $ 18,542 $ 17,406
CONSOLIDATED STATEMENTS OF OPERATIONS
U.S. dollars in thousands, except per share data
Three months ended Six months ended
June 30, June 30,
2008 2007 2008 2007
(Unaudited)
Revenues 3,616 4,204 7,307 6,958
Cost of revenues 3,001 3,262 6,055 5,543
Gross profit 615 942 1,252 1,415
Operating expenses:
Research and development 138 94 232 149
Marketing and selling 332 383 699 682
General and administrative 521 410 1,016 868
Total operating expenses: 991 887 1,947 1,699
Operating income (loss) 376 55 (695) (284)
Financial expense, net 294 142 726 324
(670) (87) (1,421) (608)
Minority interests in
income of subsidiary 2 3 21 13
Net loss $ (672) $ (90) (1,442) $ (621)
Net loss per share:
Basic and diluted net loss
per share $ (0.08) $ (0.01) $ (0.16) $ (0.07)
Contact: Shiri Lazarovich- C.F.O,
RADA Electronic Industries Ltd.,
Tel: +972-9-8921111
SIGNATURE
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.
Rada Electronic Industries Ltd.
(Registrant)
By: /s/Herzle Bodinger
------------------
Herzle Bodinger
President and Chairman
Date: August 25, 2008