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 November 2017

TAT TECHNOLOGIES LTD.
(Name of Registrant)
   
P.O.BOX 80, Gedera 70750 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 ☒          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 ☒

If "Yes" is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82- ____________
 
TAT Technologies Ltd.

6-K Items

1.
Press Release dated November 15, 2017 re TAT Technologies Ltd. Reports Third Quarter 2017 Results.


2

ITEM 1

Press Release
Source: TAT Technologies Limited

TAT Technologies Reports Continued Improvement in Q3 2017

The Company is reporting revenue growth of 13% in the nine-month period ended September 30,
2017 compared to the nine-month period ended September 30, 2016 and 12% growth in Q3/17
compared to Q3/16.

Company achieved adjusted EBITDA of $7.8 million for the nine-month period ended September 30, 2017
compared with $4.8 million in the nine-month period ended September 30, 2016, an increase
of 64%

GEDERA, Israel, November 15, 2017 - TAT Technologies Ltd. (NASDAQ: TATT - News) (“TAT” or the “Company”), a leading provider of products and services to the commercial and military aerospace and ground defense industries, reported today its unaudited results for the three-month and nine-month periods ended September 30, 2017.

Key Financial Highlights:

·
Revenues for the nine-month period that ended on September 30, 2017 were $80.2 million compared with $70.8 million in the nine-month period that ended on September 30, 2016, a 13% growth. Revenues for Q3/17 were $26.6 million compared with $23.6 million in Q3/16, a 12% growth.

·
Adjusted EBITDA for the nine-month period that ended on September 30, 2017 increased to $7.8 million compared with $4.8 million in the nine-month period that ended on September 30, 2016, an increase of 64%. Adjusted EBITDA for Q3/17 was $2.5 million compared with $2.5 million in Q3/16.

·
The Company achieved GAAP net income of $2.7 million, or $0.30 per diluted share in the nine-month period that ended on September 30, 2017 compared with a net loss of $1.6 million, or a loss of $0.18 per diluted share in the nine-month period that ended on September 30, 2016.  GAAP net income for Q3/17 was $0.8 million, or $0.10 per diluted share compared with GAAP net income of $0.9 million, or $0.10 per diluted share in Q3/16.

·
Non-GAAP net income reached $3.0 million, or $0.33 per diluted share in the nine-month period that ended on September 30, 2017, compared with non-GAAP net income of $0.9 million, or $0.10 per diluted share in the nine-month period that ended on September 30, 2016, and non-GAAP net income of $0.9 million, or $0.10 per diluted share in Q3/17 and in Q3/16.
 
Mr. Igal Zamir, CEO and President of TAT Technologies stated, “We continue to see consistent improvement in the company's financial performance. Revenues continue to grow organically due to the company's sales and marketing efforts, its strong position in its markets and the continued strength in the Aerospace industry. The company is expected to start deliveries related to the recently awarded APU MRO contract during Q4/17. Operational improvements that have been implemented resulted in solid and stable profitability. The company continues to pursue growth initiatives, both organic and strategic and further improve its profitability.”

3

 
Non-GAAP Financial Measures

To supplement the consolidated financial statements presented in accordance with GAAP, the Company also presents a Non-GAAP presentation of Net Income and Adjusted EBITDA.  The adjustments to the Company’s GAAP results are made with the intent of providing both management and investors a more complete understanding of the Company’s underlying operational results, trends and performance.  Non-GAAP Net Income excludes changes, income or losses, as applicable, related to one or more of the following: (1) share-based compensation expenses and/or (2) certain tax impact and/or and/or (3) share in results of equity investment of affiliated companies. Adjusted EBITDA is calculated as net income excluding the impact of: the Company's share in results of affiliated companies, share-based compensation, taxes on income, financial (expenses) income, net, and depreciation and amortization.  Non-GAAP Net Income and Adjusted EBITDA, however, should not be considered as alternatives to net income and operating income for the period and may not be indicative of the historic operating results of the Company; nor they are meant to be predictive of potential future results.  Non-GAAP Net Income and Adjusted EBITDA are not measures of financial performance under generally accepted accounting principles and may not be comparable to other similarly titled measures for other companies. See reconciliation of GAAP Net Income to Non-GAAP Net Income and Adjusted EBITDA in pages 9 and 13 below.

About TAT Technologies LTD
 
TAT Technologies Ltd. is a leading provider of services and products to the commercial and military aerospace and ground defense industries. TAT operates under four segments: (i) Original equipment manufacturing (“OEM”) of heat transfer solutions and aviation accessories through its Gedera facility; (ii) MRO services for heat transfer components and OEM of heat transfer solutions through its Limco subsidiary; (iii) MRO services for aviation components through its Piedmont subsidiary; and (iv) Overhaul and coating of jet engine components through its Turbochrome subsidiary. TAT controlling shareholders is the FIMI Private Equity Fund.

TAT’s activities in the area of OEM of heat transfer solutions and aviation accessories primarily include the design, development and manufacture of (i) broad range of heat transfer solutions, such as pre-coolers heat exchangers and oil/fuel hydraulic heat exchangers, used in mechanical and electronic systems on board commercial, military and business aircraft; (ii) environmental control and power electronics cooling systems installed on board aircraft in and ground applications; and (iii) a variety of other mechanical aircraft accessories and systems such as pumps, valves, and turbine power units.

TAT’s activities in the area of MRO Services for heat transfer components and OEM of heat transfer solutions primarily include the MRO of heat transfer components and to a lesser extent, the manufacturing of certain heat transfer solutions. TAT’s Limco subsidiary operates an FAA-certified repair station, which provides heat transfer MRO services for airlines, air cargo carriers, maintenance service centers and the military.

TAT’s activities in the area of MRO services for aviation components include the MRO of APUs, landing gears and other aircraft components. TAT’s Piedmont subsidiary operates an FAA-certified repair station, which provides aircraft component MRO services for airlines, air cargo carriers, maintenance service centers and the military.

TAT’s activities in the area of overhaul and coating of jet engine components includes the overhaul and coating of jet engine components, including turbine vanes and blades, fan blades, variable inlet guide vanes and afterburner flaps.

4

For more information of TAT Technologies Ltd., please visit our web-site:
www.tat-technologies.com
 
Guy Nathanzon, CFO
TAT Technologies Ltd.
Tel: 972-8-862-8500
guyn@tat-technologies.com
 
Safe Harbor for Forward-Looking Statements

This press release contains forward-looking statements which include, without limitation, statements regarding possible or assumed future operation results. These statements are hereby identified as "forward-looking statements" for purposes of the safe harbor provided by the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve risks and uncertainties that could cause our results to differ materially from management's current expectations. Actual results and performance can also be influenced by other risks that we face in running our operations including, but are not limited to, general business conditions in the airline industry, changes in demand for our services and products, the timing and amount or cancellation of orders, the price and continuity of supply of component parts used in our operations, the change of control that will occur on the sale by the receiver of the Company’s shares held by our previously controlling stockholders, and other risks detailed from time to time in the Company's filings with the Securities Exchange Commission, including, its annual report on form 20-F and its periodic reports on form 6-K. These documents contain and identify other important factors that could cause actual results to differ materially from those contained in our projections or forward-looking statements. Stockholders and other readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date on which they are made. We undertake no obligation to update publicly or revise any forward-looking statement.

5
TAT TECHNOLOGIES AND ITS SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEET
(In thousands)

 
September 30,
    
December 31,
  
   
2017
    
2016
  
   
(unaudited)
    
(audited)
  
ASSETS
            
CURRENT ASSETS:
            
    Cash and cash equivalents
  
$
18,315
    
$
21,433
  
    Short-term bank deposits
    
464
      
964
  
    Accounts receivable, net
    
26,004
      
21,572
  
    Other current assets and prepaid expenses
    
3,336
      
1,687
  
    Inventory, net
    
37,623
      
39,269
  
                 
         Total current assets
    
85,742
      
84,925
  
                 
NON-CURRENT ASSETS:
                
 Investment in affiliates
    
1,247
      
1,019
  
Funds in respect of employee rights upon retirement
    
2,889
      
2,660
  
 Deferred income taxes
    
916
      
896
  
Intangible assets, net
    
1,079
      
1,179
  
Property, plant and equipment, net
    
21,108
      
21,298
  
                 
         Total non-current assets
    
27,239
      
27,052
  
                 
       Total assets
  
$
112,981
    
$
111,977
  
                 
LIABILITIES AND EQUITY
                
                 
CURRENT LIABILITIES:
                
    Accounts payable
    
9,882
      
8,406
  
    Accrued expenses
    
8,752
      
9,836
  
                 
         Total current liabilities
    
18,634
      
18,242
  
                 
NON CURRENT LIABILITIES:
                
   Other long-term liabilities
    
163
      
151
  
    Liability in respect of employee rights upon retirement
    
3,354
      
2,994
  
    Deferred income taxes
    
2,015
      
1,938
  
                 
 Total non-current liabilities
    
5,532
      
5,083
  
                 
Total liabilities
    
24,166
      
23,325
  
                 
EQUITY:
                
    Share capital
    
2,802
      
2,797
  
    Additional paid-in capital
    
65,050
      
64,760
  
    Treasury stock at cost
    
(2,088
)
    
(2,088
)
    Accumulated other comprehensive loss
    
142
      
(73
)
    Retained earnings
    
22,909
      
23,256
  
         Total shareholders' equity
    
88,815
      
88,652
  
                 
       Total liabilities and shareholders' equity
  
$
112,981
    
$
111,977
  

6
TAT TECHNOLOGIES AND ITS SUBSIDIARIES
 
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except share and per share data)


   
Three months ended
    
Nine months ended
    
Year ended
  
   
September 30,
    
December 31,
  
   
2017
    
2016
    
2017
    
2016
    
2016
  
   
(Unaudited)
    
(Unaudited)
    
(Unaudited)
    
(Unaudited)
    
(Audited)
  
                               
Revenues:
                              
Products
  
$
8,985
    
$
6,940
    
$
27,904
    
$
22,950
    
$
30,431
  
Services
    
17,596
      
16,705
      
52,326
      
47,859
      
65,363
  
     
26,581
      
23,645
      
80,230
      
70,809
      
95,794
  
                                         
Cost of goods:
                                        
     Products
    
7,557
      
5,147
      
22,000
      
18,179
      
23,788
  
     Services
    
13,930
      
13,605
      
42,536
      
39,407
      
52,969
  
     
21,487
      
18,752
      
64,536
      
57,586
      
76,757
  
Gross Profit
    
5,094
      
4,893
      
15,694
      
13,223
      
19,037
  
                                         
Operating expenses:
                                        
     Research and development, net
    
215
      
213
      
620
      
951
      
1,140
  
     Selling and marketing
    
1,205
      
911
      
3,643
      
2,868
      
3,876
  
     General and administrative
    
2,182
      
2,300
      
6,688
      
7,392
      
10,023
  
     Other loss (income)
    
(1
)
    
(18
)
    
27
      
(21
)
    
(138
)
     
3,601
      
3,406
      
10,978
      
11,190
      
14,901
  
Operating income
    
1,493
      
1,487
      
4,716
      
2,033
      
4,136
  
                                         
     Financial income (expenses), net
    
21
      
(60
)
    
(251
)
    
(92
)
    
(154
)
                                         
Income before taxes on income
    
1,514
      
1,427
      
4,465
      
1,941
      
3,982
  
                                         
Taxes on income
    
623
      
537
      
1,656
      
3,445
      
3,865
  
                                         
Income (loss) before equity investment
    
891
      
890
      
2,809
      
(1,504
)
    
117
  
                                         
Share in results of affiliated companies
    
(50
)
    
(37
)
    
(156
)
    
(51
)
    
(55
)
                                         
Net income (loss)
  
$
841
    
$
853
    
$
2,653
    
$
(1,555
)
  
$
62
  
                                         
Basic and diluted income (loss) per share
                                        
                                         
Net income (loss) per  share (basic and diluted)
  
$
0.10
    
$
0.10
    
$
0.30
    
$
(0.18
)
  
$
0.01
  
                                         
Weighted average number of shares outstanding
                                        
Basic
    
8,848,028
      
8,828,444
      
8,848,028
      
8,828,444
      
8,828,444
  
Diluted
    
8,924,358
      
8,837,714
      
8,920,054
      
8,829,894
      
8,830,764
  

7
 
TAT TECHNOLOGIES AND ITS SUBSIDIARIES
 
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(In thousands)
 
   
Three months ended
    
Nine months ended
    
Year ended
  
   
September 30,
    
December 31,
  
   
2017
    
2016
    
2017
    
2016
    
2016
  
   
(Unaudited)
    
(Unaudited)
    
(Unaudited)
    
(Unaudited)
    
(Audited)
  
                               
Net income (loss)
  
$
841
    
$
853
    
$
2,653
    
$
(1,555
)
  
$
62
  
Other comprehensive income
                                        
Net unrealized gains (losses) from derivatives
    
(221
)
    
181
      
(545
)
    
373
      
174
  
Reclassification adjustments for gains 
       included in net income and inventory
    
(113
)
    
(93
)
    
760
      
(214
)
    
(243
)
Total other comprehensive income (loss)
  
$
507
    
$
941
    
$
2,868
    
$
(1,396
)
  
$
(7
)


8

TAT TECHNOLOGIES AND ITS SUBSIDIARIES
 
 RECONCILIATION OF GAAP TO NON-GAAP RESULTS (UNAUDITED)
(In thousands, except share and per share data)

   
Three months ended
     Nine months ended  
   
September 30,
  
   
2017
    
2016
    
2017
    
2016
  
                         
                         
Reported net income (loss) on GAAP basis
  
$
841
    
$
853
    
$
2,653
    
$
(1,555
)
Adjustments:
                                
Tax adjustments re non-GAAP adjustments (1)
    
-
      
-
      
-
      
2,360
  
Share in results of equity investment of affiliated company
    
50
      
37
      
156
      
51
  
Share based compensation
    
36
      
37
      
151
      
64
  
 Non-GAAP net income
  
$
927
    
$
927
    
$
2,960
    
$
920
  
                                 
 Non-GAAP net income per share (basic and diluted)
  
$
0.10
    
$
0.10
    
$
0.33
    
$
0.10
  
                                 
Weighted average number of shares outstanding
                                
 Basic
    
8,848,028
      
8,828,444
      
8,848,028
      
8,828,444
  
 Diluted
    
8,924,358
      
8,837,714
      
8,920,054
      
8,829,894
  
 
(1)
During the second quarter of 2016 the Company distributed dividend from its foreign subsidiaries earnings. As a result, the company accrued deferred tax liability due to actual distribution of earnings from foreign subsidiaries of the Company and due to the possibility of future distribution of earnings from such foreign subsidiaries.

9
 
TAT TECHNOLOGIES AND ITS SUBSIDIARIES
 
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
(In thousands, except share data)

   
TAT Technologies Ltd. Shareholders
        
                                           
   
Share capital
          
Accumulated
                    
   
Number of
shares issued
    
Amount
    
Additional
 paid-in capital
    
other comprehensive income (loss)
    
Treasury shares
    
Retained earnings
    
Total equity
  
                                           
BALANCE AT DECEMBER 31, 2014 (audited)
    
9,082,817
    
$
2,793
    
$
64,491
    
$
-
    
$
(2,088
)
  
$
20,345
    
$
85,541
  
CHANGES DURING THE YEAR ENDED DECEMBER 31, 2015 (audited):
                                                        
Comprehensive income (loss)
    
-
      
-
      
-
      
(4
)
    
-
      
5,849
      
5,845
  
Share based compensation expenses
    
-
      
-
      
38
      
-
      
-
      
-
      
38
  
BALANCE AT DECEMBER 31, 2015 (audited)
    
9,082,817
      
2,793
      
64,529
      
(4
)
    
(2,088
)
    
26,194
      
91,424
  
CHANGES DURING THE YEAR ENDED DECEMBER 31, 2016 (audited):
                                                        
Comprehensive income (loss)
    
-
      
-
      
-
      
(69
)
    
-
      
62
      
(7
)
Share based compensation expenses
    
-
      
-
      
105
      
-
      
-
      
-
      
105
  
 Exercise of options
    
20,100
      
4
      
126
      
-
      
-
      
-
      
130
  
 Dividend distributed
    
-
      
-
      
-
      
-
      
-
      
(3,000
)
    
(3,000
)
BALANCE AT DECEMBER 31, 2016 (audited)
    
9,102,917
      
2,797
      
64,760
      
(73
)
    
(2,088
)
    
23,256
      
88,652
  
CHANGES DURING THE NINE MONTHS ENDED SEPTEMBER 30, 2017 (unaudited):
                                                        
Comprehensive income
    
-
      
-
      
-
      
215
      
-
      
2,653
      
2,868
  
 Exercise of options
    
19,584
      
5
      
139
      
-
      
-
      
-
      
144
  
 Dividend distributed
    
-
      
-
      
-
      
-
      
-
      
(3,000
)
    
(3,000
)
 Share based compensation expenses
    
-
      
-
      
151
      
-
      
-
      
-
      
151
  
BALANCE AT SEPTEMBER 30, 2017 (unaudited):
    
9,122,501
    
$
2,802
    
$
65,050
    
$
142
    
$
(2,088
)
  
$
22,909
    
$
88,815
  


10

TAT TECHNOLOGIES AND ITS SUBSIDIARIES
 
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
 
   
Three months ended
    
Nine months ended
    
Year ended
  
   
September 30,
    
December 31,
  
   
2017
    
2016
    
2017
    
2016
    
2016
  
   
(Unaudited)
    
(Unaudited)
    
(Unaudited)
    
(Unaudited)
    
(Audited)
  
                               
CASH FLOWS FROM OPERATING ACTIVITIES:
                              
Net income (loss) attributable to TAT Technologies Ltd. shareholders
  
$
841
    
$
853
    
$
2,653
    
$
(1,555
)
  
$
62
  
                                         
Adjustments to reconcile net income to net cash provided by operating activities:
                                        
                                         
Depreciation and amortization
    
987
      
929
      
2,936
      
2,660
      
3,636
  
Loss (gain) on sale of  property, plant and equipment
    
-
      
(19
)
    
28
      
(18
)
    
12
  
Interest from short-term bank deposits and restricted deposits
    
-
      
-
      
-
      
(11
)
    
(24
)
 Gain from change in fair value of derivatives
    
(40
)
    
(122
)
    
(100
)
    
(170
)
    
(152
)
Provision for doubtful accounts
    
-
      
10
      
38
      
53
      
(29
)
Share in results of equity investment of affiliated Company
    
50
      
37
      
156
      
51
      
55
  
Share based compensation
    
36
      
37
      
151
      
64
      
105
  
Liability in respect of employee rights upon retirement
    
190
      
47
      
360
      
60
      
123
  
Deferred income taxes, net
    
341
      
(287
)
    
57
      
1,813
      
1,670
  
Changes in operating assets and liabilities:
                                        
    Increase in trade accounts receivable
    
(3,185
)
    
(44
)
    
(4,470
)
    
(3,541
)
    
(2,392
)
    Decrease (increase) in other current assets and prepaid expenses
    
(521
)
    
(913
)
    
(1,138
)
    
31
      
1,487
  
Decrease (increase) in inventory
    
(1,353
)
    
(862
)
    
1,319
      
(1,367
)
    
(2,707
)
    Increase in trade accounts payable
    
2,805
      
1,503
      
1,433
      
1,379
      
1,192
  
    Increase (decrease) in  accrued expenses
    
(701
)
    
1,013
      
(1,084
)
    
1,358
      
2,521
  
    Increase (decrease) in other long-term liabilities
    
(13
)
    
(1
)
    
12
      
(123
)
    
(38
)
Net cash provided by (used in) operating activities
  
$
(563
)
  
$
2,181
    
$
2,351
    
$
684
    
$
5,521
  
                                         
CASH FLOWS FROM INVESTING ACTIVITIES:
                                        
Investment in affiliated company
    
(133
)
    
(376
)
    
(384
)
    
(389
)
    
(905
)
Funds in respect of employee rights upon retirement
    
(26
)
    
98
      
(97
)
    
75
      
2
  
Proceeds from sale of property and equipment
    
-
      
17
      
-
      
18
      
17
  
Purchase of property and equipment
    
(1,203
)
    
(1,078
)
    
(2,632
)
    
(4,661
)
    
(5,702
)
Maturities of short-term deposits
    
-
      
5,182
      
500
      
7,182
      
7,182
  
Cash flows provided by (used in) investing activities
  
$
(1,362
)
  
$
3,843
    
$
(2,613
)
  
$
2,225
    
$
594
  
                                         
CASH FLOWS FROM FINANCING ACTIVITIES:
                                        
Realization of contingency
    
-
      
(500
)
    
-
      
(500
)
    
(500
)
Payment of cash dividend
    
-
      
(3,000
)
    
(3,000
)
    
(3,000
)
    
(3,000
)
 Exercise of options
    
144
              
144
      
130
      
130
  
Cash flows  provided by (used in) financing activities
  
$
144
    
$
(3,500
)
  
$
(2,856
)
  
$
(3,370
)
  
$
(3,370
)
                                         
Net increase (decrease) in cash and cash equivalents
    
(1,781
)
    
2,524
      
(3,118
)
    
(461
)
    
2,745
  
                                         
Cash and cash equivalents at beginning of period
    
20,096
      
15,703
      
21,433
      
18,688
      
18,688
  
                                         
Cash and cash equivalents at end of period
  
$
18,315
    
$
18,227
    
$
18,315
    
$
18,227
    
$
21,433
  

11
TAT TECHNOLOGIES AND ITS SUBSIDIARIES
 
 RECONCILIATION OF NET INCOME TO ADJUSTED EBITDA (NON-GAAP)
(UNAUDITED)
(In thousands)
 
   
Three months ended
    
Nine months ended
  
   
September 30,
    
September 30,
  
   
2017
    
2016
    
2017
    
2016
  
                         
Net income (loss)
  
$
841
    
$
853
    
$
2,653
    
$
(1,555
)
Adjustments:
                                
Share in results of equity investment of affiliated companies
    
50
      
37
      
156
      
51
  
Taxes on income
    
623
      
537
      
1,656
      
3,445
  
Financial expenses (income), net
    
(21
)
    
60
      
251
      
92
  
Depreciation and amortization
    
987
      
929
      
2,936
      
2,660
  
Share based compensation
    
36
      
37
      
151
      
64
  
Adjusted EBITDA
  
$
2,516
    
$
2,453
    
$
7,803
    
$
4,757
  


12
 
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.
 
 
TAT TECHNOLOGIES LTD.
(Registrant)
  
       
By:
/s/ Guy Nathanzon  
    Guy Nathanzon  
    Chief Financial Officer  
       
Date: November 15, 2017
 
13