VANCOUVER, WA--(Marketwire - November 16, 2010) - Northwest Pipe Company (
NASDAQ:
NWPX) today
announced that it has filed with the Securities and Exchange Commission its
Quarterly Report on Form 10-Q for the quarter ended September 30, 2010
reporting its financial results for that period. The Company has also
announced that it will broadcast its third quarter 2010 earnings conference
call on Tuesday, November 23, 2010, at 9:00 am PST via live internet
webcast.
Third Quarter Results
Sales for the quarter ended September 30, 2010 were $112.8 million compared
to $61.4 million in the third quarter of 2009. Net income for the third
quarter of 2010 was $0.7 million or $0.07 per diluted share compared to a
net loss of $5.5 million or $0.59 per diluted share for the third quarter
of 2009.
Water Transmission sales increased to $59.3 million in the third quarter of
2010 from $47.0 million in the third quarter of 2009 reflecting increases
in both sales volume and selling prices. Water Transmission gross profit
increased to $7.2 million in the third quarter of 2010 from $.4 million in
the third quarter of 2009 due to an increase in selling prices offset by
more modest increases in material costs, and an inventory reserve of $3.2
million taken in 2009 compared to a nominal charge taken in 2010.
Tubular Products sales increased to $53.4 million in the third quarter of
2010 from $14.4 million in the third quarter of 2009, reflecting a
significant increase in sales volume and a modest increase in selling
prices. Tubular Products gross profit increased to $4.2 million in the
third quarter of 2010 from a gross loss of $2.7 million in the third
quarter of 2009, as a significant increase in volume improved the recovery
of fixed costs resulting in improved gross margin.
As of September 30, 2010 the Company's backlog of orders was $251.8 million
compared to $222.0 million as of December 31, 2009.
Outlook
"We expect Water Transmission sales to remain stable in the fourth quarter
and grow modestly in the first half of 2011 compared to 2010," said Richard
A. Roman, president and chief executive officer of the Company. "We expect
Tubular Products sales will also be stable in the fourth quarter but we
expect sales in the first half of 2011 will be stronger as compared to the
first half of 2010 primarily due to the additional capacity brought into
production in Bossier City over the course of 2010."
Conference Call
The Company will broadcast its third quarter 2010 earnings conference call
on Tuesday, November 23, 2010 at 9:00 am PST via live internet webcast.
The conference broadcast can be accessed at the Investor Relations section
of the Company's website located at
http://www.nwpipe.com. For those
unable to attend the live broadcast, a replay will be available on the
Investor Relations section of the website or by dialing
866-373-1987 passcode 6301 approximately one hour after the event and will
remain available for 30 days.
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 line pipe, oil country tubular goods, standard and structural
pipe and traffic systems. The Company is headquartered in Vancouver,
Washington and has ten manufacturing facilities across the United States
and Mexico and a subsidiary in Singapore.
Forward-Looking Statements
Statements in this press release by Richard A. Roman 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, 2009 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 STATEMENTS OF OPERATIONS (Unaudited)
(Dollar and share amounts in thousands, except per share amounts)
-------------------- --------------------
Three Months Ended Nine Months Ended
September 30 September 30
-------------------- --------------------
2010 2009 2010 2009
--------- --------- --------- ---------
Net Sales:
Water Transmission $ 59,323 $ 46,997 $ 168,068 $ 161,266
Tubular Products 53,447 14,380 121,209 52,520
--------- --------- --------- ---------
Net Sales 112,770 61,377 289,277 213,786
Cost of Sales:
Water Transmission 52,081 46,575 149,162 148,065
Tubular Products 49,221 17,070 113,783 57,158
--------- --------- --------- ---------
Total Cost of Sales 101,302 63,645 262,945 205,223
Gross Profit:
Water Transmission 7,242 422 18,906 13,201
Tubular Products 4,226 (2,690) 7,426 (4,638)
--------- --------- --------- ---------
Gross Profit 11,468 (2,268) 26,332 8,563
Selling, General, and
Administrative 7,988 5,170 21,254 14,519
--------- --------- --------- ---------
Operating Income/(Loss) 3,480 (7,438) 5,078 (5,956)
Other (income)/expense 138 238 (289) (583)
Interest Income (243) (147) (709) (410)
Interest Expense 2,206 1,074 5,482 3,592
--------- --------- --------- ---------
Income/(Loss) Before Income
Taxes 1,379 (8,603) 594 (8,555)
Provision for Income Taxes 686 (3,109) 242 (3,189)
--------- --------- --------- ---------
Net Income/(Loss) $ 693 $ (5,494) $ 352 $ (5,366)
========= ========= ========= =========
Basic Earnings per Share
Attributable to Northwest Pipe
Company $ 0.07 $ (0.59) $ 0.04 $ (0.58)
========= ========= ========= =========
Diluted Earnings per Share
Attributable to Northwest Pipe
Company $ 0.07 $ (0.59) $ 0.04 $ (0.58)
========= ========= ========= =========
Shares Used in Per Share
Calculation:
Basic 9,290 9,240 9,273 9,232
========= ========= ========= =========
Diluted 9,309 9,240 9,326 9,232
========= ========= ========= =========
NORTHWEST PIPE COMPANY
CONDENSED SELECTED BALANCE SHEET AND OTHER DATA (Unaudited)
(Dollar amounts in thousands)
September 30, December 31,
2010 2009
------------- -------------
Assets:
Cash and Cash Equivalents $ 37 $ 31
Restricted Cash - -
Trade and Other Receivables, Net 75,723 38,733
Costs and Estimated Earnings in Excess of
Billings on Uncompleted Contracts 46,412 37,509
Inventories 81,645 74,866
Other Current Assets 26,394 28,666
------------- -------------
Total Current Assets 230,211 179,805
Property and Equipment, Net 170,937 163,432
Other Assets 48,334 48,000
------------- -------------
Total Assets $ 449,482 $ 391,237
============= =============
Liabilities:
Current Maturities of Long-Term Debt $ 6,628 $ 6,122
Accounts Payable 31,368 30,039
Accrued Liabilities 12,957 11,630
Billings in Excess of Cost and Estimated
Earnings on Uncompleted Contracts 10,091 9,670
------------- -------------
Total Current Liabilities 61,044 57,461
Long-Term Note Payable to Financial
Institution 76,513 19,403
Other Long-Term Debt, Less Current Maturities 27,223 32,319
Other Liabilities 37,290 35,755
------------- -------------
Total Liabilities 202,070 144,938
Stockholders' Equity 247,412 246,299
------------- -------------
Total Liabilities and Stockholders' Equity $ 449,482 $ 391,237
============= =============
Contact Information: CONTACT:
Stephanie Welty
Chief Financial Officer
360-397-6250