Exhibit 99.1 Gulf Island Fabrication, Inc. Reports First Quarter Earnings HOUMA, La.--(BUSINESS WIRE)--April 30, 2003--Gulf Island Fabrication, Inc. (NASDAQ NMS: GIFI) today reported net income of $3.2 million ($.27 diluted EPS), on revenue of $39.6 million for its first quarter ended March 31, 2003, compared to net income of $1.4 million ($.12 diluted EPS), before a cumulative effect of change in accounting principle, on revenue of $27.2 million for the first quarter ended March 31, 2002. At March 31, 2003, the company had a revenue backlog of $83.7 million and a labor backlog of approximately 1.1 million man-hours remaining to work. SELECTED BALANCE SHEET INFORMATION (in thousands) March 31, December 31, 2003 2002 --------- ------------ Cash and short-term investments $16,028 $24,450 Total current assets 64,682 65,032 Property, plant and equipment, at cost,net 55,768 47,471 Total assets 121,097 113,148 Total current liabilities 16,758 12,705 Debt 0 0 Shareholders' equity 98,549 94,976 Total liabilities and shareholders' equity 121,097 113,148 Gulf Island Fabrication, Inc., based in Houma, Louisiana, is a leading fabricator of offshore drilling and production platforms, offshore living quarters and other specialized structures used in the development and production of offshore oil and gas reserves. The Company also offers offshore interconnect pipe hook-up, inshore marine construction, manufacture and repair of pressure vessels, and steel warehousing and sales. GULF ISLAND FABRICATION, INC. CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) (in thousands, except per share data) Three Months Ended March 31, ------------------- 2003 2002 --------- --------- Revenue $39,573 $27,246 Cost of revenue 33,599 24,448 --------- --------- Gross profit 5,974 2,798 General and administrative expenses 1,178 908 --------- --------- Operating income 4,796 1,890 Other income (expense): Interest expense (9) (9) Interest income 82 160 Other 3 57 --------- --------- 76 208 --------- --------- Income before income taxes 4,872 2,098 Income taxes 1,652 713 --------- --------- Net income before cumulative effect of change in accounting principle 3,220 1,385 Cumulative effect of change in accounting principle (1) - (4,765) --------- --------- Net income (loss) $3,220 $(3,380) ========= ========= Per share data: Basic earnings (loss) per share: Net income before cumulative effect of change in accounting principle $0.27 $0.12 Cumulative effect of change in accounting principle (1) - (0.41) --------- --------- Basic earnings (loss) per share $0.27 $(0.29) ========= ========= Diluted income (loss) per share: (2) Net income before cumulative effect of change in accounting principle $0.27 $0.12 Cumulative effect of change in accounting principle (1) - (0.41) --------- --------- Diluted earnings (loss) per share $0.27 $(0.29) ========= ========= Weighted-average shares 11,757 11,708 Effect of dilutive securities: employee stock options 135 66 --------- --------- Adjusted weighted-average shares (2) 11,892 11,774 ========= ========= Depreciation and amortization included in expense above $1,235 $1,142 ========= ========= (1) Included in the first quarter ended March 31, 2002, the Company recorded a $4.8 million non-cash charge for the impairment of goodwill resulting from the adoption of Statement of Financial Accounting Standards Board No. 142, "Goodwill and Other Intangible Assets". (2) The calculation of diluted earnings per share assumes that all stock options are exercised and that the assumed proceeds are used to purchase shares at the average market price for the period. CONTACT: Gulf Island Fabrication, Inc., Houma Kerry J. Chauvin or Joseph "Duke" Gallagher, 985/872-2100