Northwest Pipe Company (NASDAQ: NWPX)
Highlights:
- Net sales were $140.6 million, down 1.1% from
first quarter 2012
- Operating income was $14.8 million, up
61.5%
- Net income was $9.5 million, or $1.00 per
diluted share, up 100%
Northwest Pipe Company (NASDAQ: NWPX) today announced its first
quarter 2013 financial results. The Company will broadcast its
first quarter 2013 earnings conference call on Tuesday, May 7,
2013, at 8:00 am PDT.
First Quarter 2013 Results
Net sales for the quarter ended March 31, 2013 decreased 1.1% to
$140.6 million compared to $142.2 million in the quarter ended
March 31, 2012. Gross profit was $21.2 million (15.1% of net sales)
in the first quarter of 2013, an increase from $16.5 million (11.6%
of net sales) in the first quarter of 2012. Net income for the
first quarter of 2013 was $9.5 million or $1.00 per diluted share
compared to $4.7 million or $0.50 per diluted share for the first
quarter of 2012.
Water Transmission sales increased by 34.5% to $78.6 million in
the first quarter of 2013 from $58.4 million in the first quarter
of 2012. The increase in net sales was due to a 53% increase in
tons produced, offset by a 12% decrease in the average selling
price per ton. Water Transmission gross profit increased to $19.9
million (25.3% of segment net sales) in the first quarter of 2013
from $9.7 million (16.6% of segment net sales) in the same period
of 2012. The 25.3% gross profit as a percent of segment net sales
is a quarterly record for the Company.
Tubular Products sales decreased 26.0% to $62.0 million in the
first quarter of 2013 from $83.7 million in the first quarter of
2012, driven by a 9% decrease in average selling price per ton and
a 19% decrease in tons sold from 66,600 tons in the first quarter
of 2012 to 53,900 tons in the first quarter of 2013. Tubular
Products gross profit decreased by 80.4% to $1.3 million (2.2% of
segment net sales) in the first quarter of 2013 from $6.8 million
(8.1% of segment net sales) in the first quarter of 2012.
As of March 31, 2013, the backlog of orders in the Water
Transmission segment was approximately $136 million compared to a
backlog of orders of $161 million as of March 31, 2012. The backlog
contains confirmed orders, including the balance of projects in
process, and projects for which the Company has been notified that
we are the successful bidder even though a binding agreement has
not been executed.
Outlook
"Based on current market conditions, we believe the first
quarter will be our strongest quarter in 2013. The Water
Transmission segment had a record quarter for gross profit as a
percentage of net sales. The first quarter net sales and gross
profit were driven by a number of large projects, including Lake
Texoma, the largest project in Company history," said Scott
Montross, President and Chief Executive Officer of the Company. "As
expected, Tubular Products net sales and margins were significantly
lower compared to the first quarter of 2012 as we experience
continued high levels of imports and a falling rig count. In the
second quarter of 2013, we anticipate that Water Transmission will
have lower net sales, gross profit and gross profit as a percentage
of sales compared with the first quarter of 2013. In Tubular
Products we expect to see gross profit levels that are near
breakeven as high levels of imports continue to negatively impact
segment earnings for the near term."
Conference Call
The Company will hold its first quarter 2013 earnings conference
call on Tuesday, May 7, 2013 at 8 am PDT. The live call can be
accessed by dialing 1-888-810-4934 passcode NWPIPE. For those
unable to attend the live call, a replay will be available
approximately one hour after the event and will remain available
for 30 days by dialing 1-800-583-8102 passcode 6301.
About Northwest Pipe Company
Northwest Pipe Company manufactures welded steel pipe and other
products in two business groups. Its Water Transmission Group is
the leading supplier of large diameter, high-pressure steel pipe
products that are used primarily for water infrastructure in North
America. Its Tubular Products Group manufactures smaller diameter
steel pipe for a wide range of products including energy,
construction, agriculture and industrial systems. The Company is
headquartered in Vancouver, Washington and has nine manufacturing
facilities across the United States and Mexico.
Forward-Looking Statements
Statements in this press release by Scott Montross are
"forward-looking" statements within the meaning of the Securities
Litigation Reform Act of 1995 and Section 21E of the Exchange Act
that are based on current expectations, estimates and projections
about our business, management's beliefs, and assumptions made by
management. These statements are not guarantees of future
performance and involve risks and uncertainties that are difficult
to predict. Therefore, actual outcomes and results may differ
materially from what is expressed or forecasted in such
forward-looking statements as a result of a variety of important
factors. While it is impossible to identify all such factors, those
that could cause actual results to differ materially from those
estimated by us include changes in demand and market prices for our
products, product mix, bidding activity, the timing of customer
orders and deliveries, production schedules, the price and
availability of raw materials, excess or shortage of production
capacity, international trade policy and regulations and other
risks discussed in our Annual Report on Form 10-K for the year
ended December 31, 2012 and from time to time in our other
Securities and Exchange Commission filings and reports. Such
forward-looking statements speak only as of the date on which they
are made and we do not undertake any obligation to update any
forward-looking statement to reflect events or circumstances after
the date of this release. If we do update or correct one or more
forward-looking statements, investors and others should not
conclude that we will make additional updates or corrections with
respect thereto or with respect to other forward-looking
statements.
NORTHWEST PIPE COMPANY
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)
(Dollar and share amounts in thousands, except per share amounts)
Three Months Ended
March 31,
----------------------
2013 2012
---------- ----------
Net sales:
Water Transmission $ 78,613 $ 58,431
Tubular Products 61,984 83,744
---------- ----------
Net sales 140,597 142,175
Cost of sales:
Water Transmission 58,743 48,732
Tubular Products 60,650 76,943
---------- ----------
Total cost of sales 119,393 125,675
Gross profit:
Water Transmission 19,870 9,699
Tubular Products 1,334 6,801
---------- ----------
Total gross profit 21,204 16,500
Selling, general, and administrative expense 6,384 7,321
---------- ----------
Operating income (loss):
Water Transmission 18,033 8,024
Tubular Products 666 6,196
Corporate (3,879) (5,041)
---------- ----------
Operating income 14,820 9,179
Other expense 41 36
Interest income (183) (41)
Interest expense 1,049 1,640
---------- ----------
Income before income taxes 13,913 7,544
Provision for income taxes 4,407 2,810
---------- ----------
Net income $ 9,506 $ 4,734
========== ==========
Basic earnings per share $ 1.01 $ 0.51
========== ==========
Diluted earnings per share $ 1.00 $ 0.50
========== ==========
Shares used in per share calculations:
Basic 9,437 9,369
========== ==========
Diluted 9,484 9,412
========== ==========
NORTHWEST PIPE COMPANY
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited)
(Dollar amounts in thousands)
March 31, December 31,
2013 2012
------------- -------------
Assets:
Cash and cash equivalents $ 47 $ 46
Trade and other receivables, net 65,415 41,498
Costs and estimated earnings in excess of
billings on uncompleted contracts 70,018 73,314
Inventories 109,604 113,545
Other current assets 8,390 7,735
------------- -------------
Total current assets 253,474 236,138
Property and equipment, net 158,796 152,545
Other assets 33,644 33,739
------------- -------------
Total assets $ 445,914 $ 422,422
============= =============
Liabilities:
Current maturities of long-term debt $ 9,012 $ 9,009
Accounts payable 33,598 21,042
Accrued liabilities 30,225 32,217
Billings in excess of cost and estimated
earnings on uncompleted contracts 2,792 6,478
------------- -------------
Total current liabilities 75,627 68,746
Note payable to financial institution 56,236 47,533
Other long-term debt, less current maturities 11,902 15,536
Other long-term liabilities 33,312 31,175
------------- -------------
Total liabilities 177,077 162,990
Stockholders' equity 268,837 259,432
------------- -------------
Total liabilities and stockholders' equity $ 445,914 $ 422,422
============= =============
CONTACT: Robin Gantt Chief Financial Officer 360-397-6250
Northwest Pipe (NASDAQ:NWPX)
Historical Stock Chart
From Jun 2024 to Jul 2024
Northwest Pipe (NASDAQ:NWPX)
Historical Stock Chart
From Jul 2023 to Jul 2024
