UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 10-QSB
(Mark One)
[ X ] Quarterly report under Section 13 or 15(d) of the Securities Ex-
change Act of 1934
For the quarter ended October 31, 2003
[ ] Transition report under Section 13 or 15(d) of the Securities Ex-
change Act of 1934
For the transition period from ____________ to ____________
Commission File Number: 0-5378
GEORGE RISK INDUSTRIES, INC.
(Exact name of small business issuer as specified in its charter)
Colorado 84-0524756
(State of incorporation) (IRS Employers Identification No.)
802 South Elm St.
Kimball, NE 69145
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (308) 235-4645
APPLICABLE ONLY TO CORPORATE ISSUERS
The number of shares of the Registrant's Common Stock outstanding, as of
December 15, 2003 was 5,402,528.
Transitional Small Business Disclosure Format: Yes [ X ] No [ ]
GEORGE RISK INDUSTRIES, INC.
PART I. FINANCIAL INFORMATION
Item 1. Financial Statements
The unaudited financial statements for the three month period ended
October 31, 2003, are attached hereto.
GEORGE RISK INDUSTRIES, INC.
BALANCE SHEET
OCTOBER 31, 2003
ASSETS
Current Assets
Cash and cash equivalents $ 3,412,000
Marketable securities (Note 2) 10,388,000
Accounts receivable:
Trade, net of $50,000 doubtful account allowance 1,997,000
Other 1,000
Income tax overpayment 1,000
Inventories (Note 3) 2,256,000
Prepaid expenses 103,000
Deferred income taxes 113,000
-------------
Total Current Assets $ 18,271,000
Property and Equipment, net at cost $ 907,000
Other Assets
Investment in Land Limited Partnership, at cost 200,000
Projects in process 14,000
Other 2,000
-------------
Total Other Assets $ 216,000
TOTAL ASSETS $ 19,394,000
=============
GEORGE RISK INDUSTRIES, INC.
BALANCE SHEET
OCTOBER 31, 2003
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities
Accounts payable, trade $ 93,000
Accrued expenses
Payroll and related expenses 344,000
Property taxes (5,000)
Notes payable, current 195,000
-------------
Total Current Liabilities $ 627,000
Long-Term Liabilities
Notes payable 0
-------------
Total Long-Term Liabilities $ 0
Stockholders' Equity
Convertible preferred stock, 1,000,000 shares
authorized, Series 1-noncumulative, $20 stated value,
25,000 shares authorized, 5,350 issued and outstanding 107,000
Common stock, Class A, $.10 par value, 10,000,000 shares
authorized, 8,502,832 shares issued and outstanding 850,000
Additional paid-in capital 1,736,000
Accumulated other comprehensive income (953,000)
Retained earnings 18,790,000
Less: cost of treasury stock, 3,100,304 shares, at cost (1,763,000)
-------------
Total Stockholders' Equity $ 18,767,000
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 19,394,000
=============
GEORGE RISK INDUSTRIES, INC.
INCOME STATEMENT
Three months Six months Three months Six months
ended ended ended ended
October 31, October 31, October 31, October 31,
2003 2003 2002 2002
----------------------------------------------------
Net Sales $ 3,406,000 $ 6,428,000 $ 3,564,000 $ 6,585,000
Less: cost of goods sold (1,748,000) (3,160,000) (1,490,000) (3,166,000)
------------ ------------ ------------ ------------
Gross Profit $ 1,658,000 $ 3,268,000 $ 2,074,000 $ 3,419,000
Operating Expenses:
General and
administrative 174,000 343,000 178,000 337,000
Selling 578,000 1,125,000 627,000 1,214,000
Engineering 19,000 36,000 16,000 34,000
Rent paid to related
parties 11,000 26,000 11,000 26,000
------------ ------------ ------------ ------------
Total Operating Expenses $ 782,000 $ 1,530,000 $ 832,000 $ 1,611,000
Income From Operations 876,000 1,738,000 1,242,000 1,808,000
Other Income (Expense)
Other 0 (4,000) (10,000) (10,000)
Dividend and interest
income 72,000 159,000 75,000 158,000
Gain (loss) on sale of
investments 7,000 28,000 (175,000) (171,000)
Gain (loss) on sale of
assets 4,000 4,000 0 0
------------ ------------ ------------ ------------
$ 83,000 $ 187,000 $ (110,000) $ (23,000)
Income Before Provisions
for Income Tax 959,000 1,925,000 1,132,000 1,785,000
Provisions for Income Tax (401,000) (803,000) (473,000) (745,000)
------------ ------------ ------------ ------------
Net Income $ 558,000 $ 1,122,000 $ 659,000 $ 1,040,000
Retained Earnings,
beginning of period $18,232,000 $17,668,000 $15,764,000 $15,383,000
Retained Earnings,
end of period $18,790,000 $18,790,000 $16,423,000 $16,423,000
Income Per Share of Common
Stock: (Note 6)
Basic $ .10 $ .21 $ .12 $ .19
Assuming Dilution $ .10 $ .21 $ .12 $ .19
GEORGE RISK INDUSTRIES, INC.
STATEMENT OF COMPREHENSIVE INCOME
Three months Six months Three months Six months
ended ended ended ended
October 31, October 31, October 31, October 31,
2003 2003 2002 2002
----------------------------------------------------
Net Income $ 558,000 $ 1,122,000 $ 659,000 $ 1,040,000
------------ ------------ ------------ ------------
Other Comprehensive Income, net of tax
Unrealized gain (loss) on securities:
Unrealized holding
gains (losses) arising
during period 219,000 470,000 (85,000) (466,000)
Reclassification adjustment
for (gains) losses included
in net income (8,000) (28,000) 175,000 171,000
------------ ------------ ------------ ------------
Other Comprehensive
Income $ 211,000 $ 442,000 $ 90,000 $ (295,000)
Comprehensive Income $ 769,000 $ 1,564,000 $ 749,000 $ 745,000
============ ============ ============ ============
GEORGE RISK INDUSTRIES, INC.
STATEMENT OF CASH FLOWS
Three months Six months Three months Six months
ended ended ended ended
October 31, October 31, October 31, October 31,
2003 2003 2002 2002
-----------------------------------------------------
CASH FLOWS FROM OPERATING
ACTIVITIES:
Net Income $ 558,000 $ 1,122,000 $ 659,000 $ 1,040,000
Adjustments to reconcile
net income to net cash
provided by operating
activities:
Depreciation 57,000 114,000 65,000 129,000
(Gain) Loss on sale of
property and equipment (4,000) (4,000) 0 0
Change in unrealized gain/
(loss) on investments 211,000 442,000 90,000 (295,000)
Changes in assets and
liabilities:
(Increase) decrease in:
Investments/securities (319,000) (707,000) 63,000 162,000
Accounts receivable (303,000) (444,000) (450,000) (64,000)
Inventories 248,000 174,000 (117,000) 0
Prepaid expenses (5,000) 33,000 (1,000) 5,000
Other assets 32,000 64,000 (207,000) (200,000)
Receivables-officers
and employees 0 1,000 (1,000) (1,000)
Increase (decrease) in:
Accounts payable (65,000) (36,000) 80,000 83,000
Accrued expenses 107,000 55,000 (48,000) 22,000
Income tax payable (333,000) 69,000 10,000 282,000
------------ ------------ ------------ ------------
Net cash provided by (used in)
operating activities $ 184,000 $ 883,000 $ 110,000 $ 806,000
CASH FLOWS FROM INVESTING
ACTIVITIES:
Purchase of property
and equipment (70,000) (134,000) (16,000) (38,000)
Purchase of treasury stock 0 0 0 0
------------ ------------ ------------ ------------
Net cash provided by (used in)
investing activities $ (70,000) $ (134,000) $ 16,000 $ (38,000)
CASH FLOWS FROM FINANCING
ACTIVITIES:
Principal payments on
long-term debt 0 (40,000) (1,000) (4,000)
Proceeds from sale of
property and equipment 4,000 4,000 0 0
Treasury stock issued 0 0 0 0
------------ ------------ ------------ ------------
Net cash provided by (used in)
financing activities $ 4,000 $ (36,000) $ (1,000) $ (4,000)
NET INCREASE (DECREASE) IN CASH
AND CASH EQUIVALENTS $ 118,000 $ 713,000 $ 126,000 $ 797,000
============ ============ ============ ============
Cash and cash equivalents,
beginning of period $ 3,294,000 $ 2,699,000 $ 1,765,000 $ 1,094,000
Cash and cash equivalents,
end of period $ 3,412,000 $ 3,412,000 $ 1,891,000 $ 1,891,000
GEORGE RISK INDUSTRIES, INC.
NOTES TO FINANCIAL STATEMENTS
OCTOBER 31, 2003
Note 1 Unaudited Interim Financial Statements
The accompanying financial statements have been prepared in accordance
with the instructions for Form 10QSB and do not include all of the inform-
ation and footnotes required by generally accepted accounting principals for
complete financial statements. In the opinion of management, all adjust-
ments, consisting only of normal recurring adjustments considered necessary
for a fair presentation, have been included. Operating results for any
quarter are not necessarily indicative of the results for any other quarter
or for the full year.
Note 2 Marketable Securities
Marketable equity securities are recorded at the lower of cost or market
and are classified as available-for-sale securities. The cost of marketable
securities sold is determined on the average cost method with realized gains
or losses being reflected in the income statement and any unrealized gains or
losses being reported as a separate component of stockholder's equity until
realized. Dividend and interest income are accrued as earned.
Marketable equity securities and unrealized gains and losses consist of
the following as of October 31, 2003 and October 31, 2002:
Cost Basis $ 11,341,000 $ 10,523,000
Market Value 10,388,000 8,801,000
------------- -------------
Net Unrealized Gain (Loss) $ (953,000) $ (1,722,000)
Note 3 Inventories
At October 31, 2003 and October 31, 2002, respectively, inventories
consisted of the following:
Raw Materials $ 1,547,000 $ 1,581,000
Work in Process 464,000 646,000
Finished Goods 236,000 191,000
Warehouse in England 79,000 80,000
------------- -------------
$ 2,326,000 $ 2,498,000
Less: allowance for obsolete
inventory (70,000) (70,000)
------------- -------------
Net Inventories $ 2,256,000 $ 2,428,000
============= =============
Note 4 Business Segments
The following is financial information relating to industry segments:
For the quarter ended
October 31,
2003 2002
Net revenue:
Pool alarm products $ 282,000 $ 333,000
Keyboard products 111,000 250,000
Security alarm and other products 3,013,000 2,981,000
------------- -------------
Total net revenue $ 3,406,000 $ 3,564,000
Income from operations:
Pool alarm products $ 72,000 $ 116,000
Keyboard products 29,000 87,000
Security alarm and other products 775,000 1,039,000
------------- -------------
Total income from operations $ 876,000 $ 1,242,000
Identifiable assets:
Pool alarm products $ 273,000 $ 243,000
Keyboard products 194,000 415,000
Security alarm and other products 4,301,000 4,256,000
Corporate general 14,626,000 11,547,000
------------- -------------
Total assets $ 19,394,000 $ 16,461,000
Depreciation and amortization:
Pool alarm products $ 2,000 $ 0
Keyboard products 1,000 2,000
Security alarm and other products 35,000 40,000
Corporate general 19,000 23,000
------------- -------------
Total depreciation and amortization $ 57,000 $ 65,000
Capital expenditures:
Pool alarm products $ 0 $ 0
Keyboard products 0 0
Security alarm and other products 51,000 16,000
Corporate general 19,000 0
------------- -------------
Total capital expenditures $ 70,000 $ 16,000
Note 5 Revenue Recognition
George Risk Industries recognizes its revenues when goods are shipped
and billed to its customers. There is a $50,000 allowance that was
established to account for any uncollectable accounts.
Note 6 Earnings per Share
Basic and diluted earning per share, assuming convertible preferred
stock was converted for each period presented, are:
For the three months ended October 31, 2003
-------------------------------------------
Income Shares Per-share
(Numerator) (Denominator) Amount
----------- ------------- -----------
Net Income $ 558,000
===========
Basic EPS $ 558,000 5,402,528 $ 0.10
Effect of dilutive securities:
Convertible preferred stock 0 26,750
----------- ------------- -----------
Diluted EPS $ 563,000 5,429,278 $ 0.10
For the six months ended October 31, 2003
------------------------------------------
Income Shares Per-share
(Numerator) (Denominator) Amount
----------- ------------- -----------
Net Income $1,122,000
===========
Basic EPS $1,122,000 5,402,528 $ 0.21
Effect of dilutive securities:
Convertible preferred stock 0 26,750
----------- ------------- -----------
Diluted EPS $1,122,000 5,429,278 $ 0.21
For the three months ended October 31, 2002
-------------------------------------------
Income Shares Per-share
(Numerator) (Denominator) Amount
----------- ------------- -----------
Net Income $ 659,000
============
Basic EPS $ 659,000 5,402,528 $ 0.12
Effect of dilutive securities:
Convertible preferred stock 0 26,750
------------ ------------- -----------
Diluted EPS $ 659,000 5,429,278 $ 0.12
For the six months ended October 31, 2002
------------------------------------------
Income Shares Per-share
(Numerator) (Denominator) Amount
----------- ------------- -----------
Net Income $1,040,000
===========
Basic EPS $1,040,000 5,402,528 $ 0.19
Effect of dilutive securities:
Convertible preferred stock 0 26,750
----------- ------------- -----------
Diluted EPS $1,040,000 5,429,278 $ 0.19
GEORGE RISK INDUSTRIES, INC.
PART I. FINANCIAL INFORMATION
Item 2. Management Discussion and Analysis of Financial Condition and
Results of Operations
MANAGEMENT DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS
The following discussion should be read in conjunction with the attached con-
densed financial statements, and with the George Risk Industries' audited
financial statements and discussion for the fiscal year ended April 30, 2003.
Net cash increased $118,000 during the quarter ended October 31, 2003 as
compared to an increase of $126,000 during the corresponding quarter last
year. As for the year-to-date numbers, net cash increased $713,000 for the
six months ended October 31, 2003, while, for the same period last year, net
cash increased $797,000. Investments and marketable securities increased
$319,000 for the quarter while it increased $707,000 for the year-to-date
data. The reason for the increases in the investment accounts is that we
have started to put some excess cash into the marketable securities, but not
at the rapid pace that we were doing a few years ago. Inventories decreased
$248,000 during the current quarter as compared to a $117,000 increase last
year. The year-to-date numbers show the inventory decreased $174,000 for the
current year, while inventory returned to the same amount that we had on
books at fiscal year end for the same period last year. The quarterly and
year-to-date decrease in inventory occurred because we were stocked up on
several main raw materials and there was not a need to buy as much. Accounts
receivable increased $303,000 during the current quarter as compared to a
$450,000 increase for the corresponding quarter last year. The year-to-date
figures show an increase of $444,000 for the current six months and a $64,000
increase for the same period last year. The main reason for the increase in
accounts receivable is that we have had to extend out payment terms to some
of our customers in order for them to continue to buy from us. At Oct-
ober 31, 2003, 87.55% of the receivables were considered current (less than
45 days) and 2.07% of the total were over 90 days past due. For the quarter
ended October 31, 2003 there was a $32,000 decrease in other assets while for
the quarter ended October 31, 2002, there was a $207,000 increase. The six
months ended October 31, 2003, shows a $64,000 decrease in other assets while
at the same period last year there is a $200,000 increase. The reason for
the big increases in other assets last year is that we had just completed a
remodeling project in our main building. This project consisted of making
office space available for our sales staff.
At the quarter ended October 31, 2003, accounts payable decreased $65,000 as
compared to an $80,000 increase for the same quarter the year before. As for
year-to-date numbers, there was a $36,000 decrease for the six months ended
October 31, 2003, and a $83,000 increase for the same period ended Oct-
ober 31, 2002. As stated before, our inventory has increased and we are
stocked up on many raw materials, so there is less of a need for big pur-
chases and therefore the accounts payable numbers are lower. There was no
cash flow for notes payable during for the current quarter, while there was a
$1,000 decrease for the corresponding quarter last year. Year-to-date
figures displayed a $40,000 decrease for the current six months, while there
was a $4,000 decrease for same period last year. A new note was booked last
fiscal year for payment on GRI stock that was purchased back by us. Income
tax payable decreased $333,000 for the quarter ended October 31, 2003, while
it increased $10,000 for the quarter ended October 31, 2002. For the six
months ended October 31, 2003, income tax payable increased $69,000, as it
increased $282,000 for the corresponding period a year ago. The big de-
creases for the current quarter and the smaller increase in the year-to-date
numbers reflect the decrease in net income.
The following is a list of ratios to help analyze George Risk Industries'
performance:
For the quarter ended October 31,
2003 2002
---------------------------------
Working capital $17,644,000 $14,769,000
Current ratio 29.140 22.880
Quick ratio 25.195 19.105
Cash per share (including marketable
securities) $ 2.55 $ 1.70
Equity per share $ 3.47 $ 2.89
Net sales were $3,406,000 for the quarter ended October 31, 2003, which is a
4.4% decrease from the corresponding quarter last year. Year-to-date net
sales were $6,428,000 at October 31, 2003, which is a 2.4% decrease from the
same period last year. Cost of goods sold was 51.3% of net sales for the
quarter ended October 31, 2003 and 41.8% for the same quarter last year.
Year-to-date cost of goods sold percentages were 49.2% for the current six
months and 48.1% for the corresponding six months last year. Having rel-
atively the same percentage of cost of goods sold from period to period shows
that we keep our costs in line. But the increase for the current quarter
helps account for the decrease in net income. As a whole, our cost of
materials and direct labor fluctuate in proportion to how our sales vary.
Operating expenses were 23.0% of net sales for the quarter ended October 31,
2003 as compared to 23.3% for the corresponding quarter last year. Year-to-
date operating expenses were 23.8% of net sales for the six months ended
October 31, 2003, while they were 24.5% for the same period last year. In-
come from operations for the quarter ended October 31, 2003 was at $876,000,
which is a 29.5% decrease from the corresponding quarter last year, which had
income from operations of $1,242,000. Income from operations for the six
months ended October 31, 2003 was at $1,738,000, which is only a 3.87% de-
crease from the corresponding six months last year, which had income from
operations of $1,808,000.
Other income and expenses showed gains of $83,000 and $187,000 for the
quarter and six months ended October 31, 2003, respectively. The other in-
come and expense numbers for last year were losses of $110,000 for the quar-
ter and $23,000 for the six months ending October 31, 2002. The main reason
for the losses in the previous year is that we sold our WorldCom stock in the
second quarter. That accounted for a $175,000 loss on our investments. Net
income for the quarter ended October 31, 2003 was at $558,000, a 15.3% de-
crease from the corresponding quarter last year, which showed a net income
of $659,000. Net income for the six months ended October 31, 2003 was
$1,122,000, a 7.9% increase from the same period last year. Net income for
the six months ended October 31, 2002 was $1,040,000. Earnings per common
share for the quarter ended October 31, 2003 was $0.10 per share and $0.21
per share for the year-to-date numbers. EPS for the quarter and six moths
ended October 31, 2002 was $0.12 per share and $0.19 per share, respectively.
George Risk Industries does have three distinct business segments, security
alarm products, keyboard products, and pool alarm products that are subject
to disclosure under SFAS No. 131. See the notes to the financial statements
in order to examine the two segments.
Our security sales department has received the new version of our T8005 set
temperature sensor. Also, our basic designed shockgard is now in house.
We recently introduced our "armored disconnect cable" which was designed for
use with our pull-apart switches. When a longer cable run is required, these
extensions offer a simple solution for protecting moveable objects such as
bicycles, golf carts, lawn equipment, tire, etc.
Engineering has developed a modification to our C2T technology presently used
for our CT300 touch sensor. This modified product will be developed into an
Americans With Disabilities wall plate.
Research and development continues on the glass break sensor. This has top
priority in all departments. Also, in R&D is the fail safe moisture sensor,
the 2826.
A surface mount pre-wire is being developed in response to the mold problem
being experienced in humid climates and the reaction of the insurance com-
panies to this situation.
Tool and die reports that they are continuing work on the glass break mold
along with a 16 cavity new mold for the 20RS series switches.
Management is always open to the possibility to acquire a business that would
complement our equipment, marketing techniques and established customers to
increase sales and profits.
There are no known seasonal trends with any of our products, since we sell
to distributors and OEM manufacturers. The products are tied to the housing
industry and will fluctuate with building trends.
GEORGE RISK INDUSTRIES, INC.
Part II. OTHER INFORMATION
Item 1. Legal Proceedings
Not applicable
Item 2. Changes in Securities
Not applicable.
Item 3. Defaults upon Senior Securities
Not applicable
Item 4. Submission of Matters to a Vote of Securities
Not applicable
Item 5. Other Information
Not applicable
Item 6. Exhibits and Reports on Form 8-K
A. Reports on Form 8-K
No 8-K reports were filed during the quarter ended October 31, 2003.
SIGNATURES
In accordance with the requirements of the Exchange Act, the registrant
caused this report to be signed on its behalf by the undersigned, thereunto
duly authorized.
George Risk Industries, Inc.
(Registrant)
Date 12-15-2003 By: /s/ Kenneth R. Risk
Kenneth R. Risk
President and Chairman of the Board
Date 12-15-2003 By: /s/ Stephanie M. Risk
Stephanie M. Risk
Chief Financial Officer and Controller
CERTIFICATION OF KEN R. RISK, PRESIDENT AND CHAIRMAN OF THE BOARD,
PURSUANT TO RULE 13a-14 OF THE SECURITIES EXCHANGE ACT OF 1934
I, Ken R. Risk, certify that:
1. I have reviewed this quarterly report on Form 10QSB of George Risk
Industries, Inc.;
2. Based on my knowledge, this quarterly report does not contain any
untrue statements of a material fact or omit to state a material fact
necessary to make the statements made, in light of the circumstances
under which such statements were made, not misleading with respect
to the period covered by this quarterly report;
3. Based on my knowledge, the financial statements, and other financial
information included in this quarterly report, fairly present in all
material respects the financial condition, results of operations and
cash flows of the registrant as of, and for the periods presented in
this quarterly report;
4. The registrant's other certifying officers and I are responsible for
establishing and maintaining disclosure controls and procedures (as
defined in Exchange Act Rules 13a-14 and 15d-14) for the registrant
and have:
a) designed such disclosure controls and procedures to ensure that
material information relating to the registrant is made know to us
by others, particularly during the period in which the quarterly
report is being prepared;
b) evaluated the effectiveness of the registrant's disclosure con-
trols and procedures as of a date within 45 days prior to the
filing date of this quarterly report (the "Evaluation Date"); and
c) presented in this quarterly report our conclusions about the
effectiveness of the disclosure controls and procedures based on
our evaluation as of the Evaluation Date;
5. The registrant's other certifying officers and I have disclosed,
based on our most recent evaluation, to the registrant's auditors and
the registrant's board of directors:
a) all significant deficiencies in the design or operation of in-
ternal controls which could adversely affect the registrant's
ability to record, process, summarize and report financial data
and have identified for the registrant's auditors any material
weakness in internal controls; and
b) any fraud, whether or not material, that involves management or
other employees who have a significant role in the registrant's
internal controls; and
6. The registrant's other certifying officers and I have indicated in
the quarterly report whether there were significant changes in in-
ternal controls or in other factors that could significantly affect
internal controls subsequent to the date of our most recent evalu-
ation, including any corrective actions with regard to significant
deficiencies and material weaknesses.
By: /s/ Kenneth R. Risk
Kenneth R. Risk
President and Chairman of the Board
CERTIFICATION OF STEPHANIE M. RISK, CHIEF FINANCIAL OFFICER,
PURSUANT TO RULE 13a-14 OF THE SECURITIES EXCHANGE ACT OF 1934
I, Stephanie M. Risk, certify that:
1. I have reviewed this quarterly report on Form 10QSB of George Risk
Industries, Inc.;
2. Based on my knowledge, this quarterly report does not contain any
untrue statements of a material fact or omit to state a material fact
necessary to make the statements made, in light of the circumstances
under which such statements were made, not misleading with respect to
the period covered by this quarterly report;
3. Based on my knowledge, the financial statements, and other financial
information included in this quarterly report, fairly present in all
material respects the financial condition, results of operations and
cash flows of the registrant as of, and for the periods presented in
this quarterly report;
4. The registrant's other certifying officers and I are responsible for
establishing and maintaining disclosure controls and procedures (as
defined in Exchange Act Rules 13a-14 and 15d-14) for the registrant
and have:
a) designed such disclosure controls and procedures to ensure that
material information relating to the registrant is made know to us
by others, particularly during the period in which the quarterly
report is being prepared;
b) evaluated the effectiveness of the registrant's disclosure con-
trols and procedures as of a date within 45 days prior to the
filing date of this quarterly report (the "Evaluation Date"); and
c) presented in this quarterly report our conclusions about the
effectiveness of the disclosure controls and procedures based on
our evaluation as of the Evaluation Date;
5. The registrant's other certifying officers and I have disclosed,
based on our most recent evaluation, to the registrant's auditors and
the registrant's board of directors:
a) all significant deficiencies in the design or operation of in-
ternal controls which could adversely affect the registrant's
ability to record, process, summarize and report financial data
and have identified for the registrant's auditors any material
weakness in internal controls; and
b) any fraud, whether or not material, that involves management or
other employees who have a significant role in the registrant's
internal controls; and
6. The registrant's other certifying officers and I have indicated in
the quarterly report whether there were significant changes in in-
ternal controls or in other factors that could significantly affect
internal controls subsequent to the date of our most recent evalu-
ation, including any corrective actions with regard to significant
deficiencies and material weaknesses.
By: /s/ Stephanie M. Risk
Stephanie M. Risk
Chief Financial Officer and Controller
CERTIFICATION OF CHIEF EXECUTIVE OFFICER AND CHIEF FINANCIAL
OFFICER PURSUANT TO 18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT
TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002
I, Ken R. Risk, certify, pursuant to 18 U.S.C. 18 Section 1350, as adopted
pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that the quarterly
report of George Risk Industries, Inc. on Form 10QSB dated October 31, 2003
fully complies with the requirements of Section 13(a) or Section 15(d) of the
Securities Exchange Act of 1934 and that information contained in such Form
10QSB fairly presents in all material respects the financial condition and
results of operations of George Risk Industries, Inc.
By: /s/ Ken R. Risk
Ken R. Risk
President and Chief Executive Officer
I, Stephanie M. Risk, certify, pursuant to 18 U.S.C. 18 Section 1350, as
adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that the
quarterly report of George Risk Industries, Inc. on Form 10QSB dated Oct-
ober 31, 2003 fully complies with the requirements of Section 13(a) or
Section 15(d) of the Securities Exchange Act of 1934 and that information
contained in such Form 10QSB fairly presents in all material respects the
financial condition and results of operations of George Risk Industries, Inc.
By: /s/ Stephanie M. Risk
Stephanie M. Risk
Chief Financial Officer