Gulf Island Fabrication, Inc. Reports Third Quarter Earnings

HOUSTON--(BUSINESS WIRE)-- Gulf Island Fabrication, Inc. (NASDAQ: GIFI) today reported net income of $7.6 million ($0.52 earnings per share) on revenue of $118.0 million for its third quarter ended September 30, 2014, compared to net income of $4.3 million ($0.30 earnings per share) on revenue of $129.2 million for the second quarter ended June 30, 2014.

The company had a revenue backlog of $252.9 million and a labor backlog of approximately 2.0 million man-hours at September 30, 2014, including commitments received through October 23, 2014, compared to a revenue backlog of $223.8 million and a labor backlog of 2.1 million man-hours reported as of June 30, 2014.

             
SELECTED BALANCE SHEET INFORMATION
(in thousands)
September 30,
2014
December 31,
2013
Cash and cash equivalents $ 26,707 $ 36,569
Total current assets 159,967 201,996

Property, plant and equipment, at cost, net

230,574 223,555
Total assets 391,207 426,234
Total current liabilities 66,905 112,275
Debt

-

-

Shareholders' equity 287,415 275,562
 

The management of Gulf Island Fabrication, Inc. will hold a conference call on Friday, October 24, 2014, at 9:00 a.m. Central Time (10:00 a.m. Eastern Time) to discuss the Company’s financial results for the quarter ended September 30, 2014. The call is accessible by webcast (www.gulfisland.com) through CCBN and by dialing 1.888.213.3754. A digital rebroadcast of the call is available two hours after the call and ending October 31, 2014 by dialing 1.888.203.1112, replay passcode: 1782080.

Gulf Island Fabrication, Inc., based in Houston, Texas, with fabrication facilities located in Houma, Louisiana, and San Patricio County, Texas, is a leading fabricator of offshore drilling and production platforms, hull and/or deck sections of floating production platforms and other specialized structures used in the development and production of offshore oil and gas reserves. These structures include jackets and deck sections of fixed production platforms; hull and/or deck sections of floating production platforms (such as tension leg platforms “TLPs”, “SPARs”, “FPSOs”, and “MinDOCs”), piles, wellhead protectors, subsea templates and various production, compressor and utility modules, offshore living quarters, towboats, liftboats, tanks and barges. The Company also provides offshore interconnect pipe hook-up, inshore marine construction, manufacture and repair of pressure vessels, heavy lifts such as ship integration and TLP module integration, loading and offloading of jack-up drilling rigs, semi-submersible drilling rigs, TLPs, SPARs, or other similar cargo, onshore and offshore scaffolding, piping insulation services, and steel warehousing and sales.

                           
GULF ISLAND FABRICATION, INC.
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
(in thousands, except per share data)
 
 
Three Months Ended
September 30,
Three Months Ended
June 30,
Nine Months Ended
September 30,
2014 2013 2014 2014 2013
 

Revenue

$ 118,020 $ 168,191 $ 129,169 $ 381,879 $ 473,188
Cost of revenue   103,367     159,136     118,847     348,131     447,752  
Gross profit 14,653 9,055 10,322 33,748 25,436
General and administrative expenses   3,307     3,749     3,873     10,553     8,957  
Operating income 11,346 5,306 6,449 23,195 16,479
 
Other income (expense):
Interest expense (23 ) (43 ) (25 ) (72 ) (167 )
Interest income 1 2 2 6 3
Other income (expense)   (2 )   (15 )   8     (98 )   (58 )
  (24 )   (56 )   (15 )   (164 )   (222 )
 
Income before income taxes 11,322 5,250 6,434 23,031 16,257
 
Income taxes   3,736     1,974     2,124     7,600     5,915  
 
 
Net income $ 7,586   $ 3,276   $ 4,310   $ 15,431   $ 10,342  
 
 
 
Per share data:
 
Basic earnings per share - common shareholders $ 0.52   $ 0.23   $ 0.30   $ 1.05   $ 0.72  
 
Diluted earnings per share - common shareholders $ 0.52   $ 0.23   $ 0.30   $ 1.05   $ 0.72  
 
 
Weighted-average shares 14,506 14,462 14,500 14,501 14,458
Effect of dilutive securities: employee stock options   -     6     -     -     5  
Adjusted weighted-average shares   14,506     14,468     14,500     14,501     14,463  
 
Depreciation and amortization included in expense above $ 6,735   $ 6,370   $ 6,579   $ 19,693   $ 18,746  
 
Cash dividend declared per common share $ 0.10   $ 0.10   $ 0.10   $ 0.30   $ 0.30  
 

Gulf Island Fabrication, Inc.
Kirk J. Meche, 713-714-6100
Chief Executive Officer
or
Jeffrey M. Favret, 713-714-6100
Chief Financial Officer

Source: Gulf Island Fabrication, Inc.