Air Industries Group (the "Company" or "Air Industries") Announces

Results for Second Quarter 2015; Reiterates Revenue and EBITDA Guidance for 2015; Conference Call

HAUPPAUGE, NY--(Marketwired - Aug 10, 2015) - Air Industries Group (NYSE MKT: AIRI)

Air Industries Group (AIRI), an integrated manufacturer of precision equipment assemblies and components for leading aerospace and defense prime contractors, reports financial results for the three and six months ended June 30, 2015.

"We remain on plan to deliver on our guidance of revenue and EBITDA for 2015 of $85 to $95 million and $10 to $13 million respectively" said Dan Godin, Chief Executive Officer of Air Industries Group, who continued, "Our second quarter net sales results reflect the contribution of four acquisitions completed in the second half of 2014 and the first quarter of 2015. We are very happy to report that our "legacy businesses" showed their first occurrence of a quarter over quarter increase in sales for some time. The increases result from our increased new business development activities and we expect increased gains for the remainder of the year."

Financial Results for the Three Months Ended June 30, 2015:

For the three months ended June 30, 2015:

• Consolidated net sales were $19,057,000, an increase of $5,697,000 or 42.6% compared to consolidated net sales of $13,360,000 for the comparable period last year.
• Consolidated gross profit was $3,897,000, or approximately 20.5% of sales for the three months ended June 30, 2015 compared to $3,353,000 or approximately 25.1% of sales for the comparable period last year.
• Consolidated operating expenses were $3,825,000 for the three months ended June 30, 2015, an increase of $729,000 or 23.5% compared to $3,096,000 for the comparable period last year.

For three months ended June 30, 2015 consolidated operating income was $72,000, a decrease of $(185,000) or (72.0%) from $257,000 for the comparable period last year. Consolidated income before taxes was $(418,000), a decrease of $(309,000) or (283.5%) from $(109,000) for the comparable period last year. Consolidated net income was $(601,000), a decrease of $(1,217,000) or (197.6%) compared with $616,000 for the three months ended June 30, 2014.