Exhibit 99.1

NEWS RELEASE

For further information contact:

 

Kirk J. Meche    Jeffrey M. Favret
Chief Executive Officer    Chief Financial Officer
713.714.6100    713.714.6100

FOR IMMEDIATE RELEASE

Thursday, July 24, 2014

GULF ISLAND FABRICATION, INC.

REPORTS SECOND QUARTER EARNINGS

Houston, TX – Gulf Island Fabrication, Inc. (NASDAQ: GIFI) today reported net income of $4.3 million ($0.30 earnings per share) on revenue of $129.2 million for its second quarter ended June 30, 2014, compared to net income of $4.3 million ($0.30 earnings per share) on revenue of $154.6 million for the second quarter ended June 30, 2013. Net income of $7.8 million ($0.54 earnings per share) on revenue of $263.9 million for the six-months ended June 30, 2014, compared to net income of $7.1 million ($0.49 earnings per share) on revenue of $305.0 million for the six-months ended June 30, 2013.

The company had a revenue backlog of $223.8 million and a labor backlog of approximately 2.1 million man-hours at June 30, 2014, including commitments received through July 24, 2014, compared to a revenue backlog of $358.7 million and a labor backlog of 3.3 million man-hours reported as of December 31, 2013.

SELECTED BALANCE SHEET INFORMATION

(in thousands)

 

     June 30,
2014
     December 31,
2013
 

Cash and cash equivalents

   $ 31,367       $ 36,569   

Total current assets

     147,208         201,996   

Property, plant and equipment, at cost, net

     231,930         223,555   

Total assets

     379,814         426,234   

Total current liabilities

     62,572         112,275   

Debt

     —           —     

Shareholders’ equity

     281,031         275,562   

The management of Gulf Island Fabrication, Inc. will hold a conference call on Friday, July 25, 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 June 30, 2014. The call is accessible by webcast (www.gulfisland.com) through CCBN and by dialing 1.888.727.7630. A digital rebroadcast of the call is available two hours after the call and ending August 02, 2014 by dialing 1.888.203.1112, replay passcode: 1108351.

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     Six Months Ended  
     June 30,     June 30,  
     2014     2013     2014     2013  
   $ 129,169      $ 154,575      $ 263,859      $ 304,997   

Cost of revenue

     118,847        144,898        244,764        288,616   
  

 

 

   

 

 

   

 

 

   

 

 

 

Gross profit

     10,322        9,677        19,095        16,381   

General and administrative expenses

     3,873        2,853        7,246        5,208   
  

 

 

   

 

 

   

 

 

   

 

 

 

Operating income

     6,449        6,824        11,849        11,173   

Other income (expense):

        

Interest expense

     (25     (60     (49     (124

Interest income

     2        —          5        1   

Other income (expense)

     8        (43     (96     (43
  

 

 

   

 

 

   

 

 

   

 

 

 
     (15     (103     (140     (166
  

 

 

   

 

 

   

 

 

   

 

 

 

Income before income taxes

     6,434        6,721        11,709        11,007   

Income taxes

     2,124        2,442        3,864        3,941   
  

 

 

   

 

 

   

 

 

   

 

 

 

Net income

   $ 4,310      $ 4,279      $ 7,845      $ 7,066   
  

 

 

   

 

 

   

 

 

   

 

 

 

Per share data:

        

Basic earnings per share—common shareholders

   $ 0.30      $ 0.30      $ 0.54      $ 0.49   
  

 

 

   

 

 

   

 

 

   

 

 

 

Diluted earnings per share—common shareholders

   $ 0.30      $ 0.30      $ 0.54      $ 0.49   
  

 

 

   

 

 

   

 

 

   

 

 

 

Weighted-average shares

     14,500        14,457        14,498        14,456   

Effect of dilutive securities: employee stock options

     —          3        —          3   
  

 

 

   

 

 

   

 

 

   

 

 

 

Adjusted weighted-average shares

     14,500        14,460        14,498        14,459   
  

 

 

   

 

 

   

 

 

   

 

 

 

Depreciation and amortization included in expense above

   $ 6,579      $ 6,250      $ 12,958      $ 12,376   
  

 

 

   

 

 

   

 

 

   

 

 

 

Cash dividend declared per common share

   $ 0.10      $ 0.10      $ 0.20      $ 0.20