Business
Northwest Pipe Company Announces Third Quarter 2020 Financial Results
- Gross profit of $15.6 million and gross profit margin of 20.1% - Strong backlog of $143 million; $231 million including confirmed orders representing the
About this update from Nwpx Infrastructure, Inc.
[{"type":"text","content":"- Gross profit of $15.6 million and gross profit margin of 20.1%\n - Strong backlog of $143 million; $231 million including confirmed orders representing the ninth consecutive quarter over $200 million\n - Net income of $0.73 per diluted share; adjusted net income of $0.78 per diluted share\n - Net sales of $77.6 million, the highest quarterly net sales since the first quarter of 2013\n - Strong operating cash flows resulted in cash and cash equivalents of $30.4 million\n\n\nVANCOUVER, Wash., Nov. 4, 2020 /PRNewswire/ -- Northwest Pipe Company (NASDAQ: NWPX), an industry leader of engineered pipeline systems for water infrastructure, today announced its financial results for the third quarter ended September 30, 2020. The Company will broadcast its third quarter 2020 earnings conference call on Thursday, November 5, 2020 at 7:00 a.m. PT.\n\n \n \n \n \n \n \n\n \nThird Quarter 2020 Results\nNet sales increased 3.2% to $77.6 million in the third quarter of 2020 from $75.2 million in the third quarter of 2019 due to a $12.5 million contribution from the Company's acquired Geneva Pipe and Precast Company (\"Geneva\") operations. Legacy revenue decreased from the third quarter of 2019 due to a 37% decrease in tons produced as a result of project timing, partially offset by a 37% increase in selling price per ton due to a change in product mix.\nGross profit increased 0.9% to $15.6 million, or 20.1% of net sales, in the third quarter of 2020 from $15.5 million, or 20.6% of net sales, in the third quarter of 2019, primarily due to the margin contribution from Geneva, partially offset by lower production volume at legacy facilities.\nNet income was $7.3 million, or $0.73 per diluted share, in the third quarter of 2020 compared to $10.7 million, or $1.10 per diluted share, in the third quarter of 2019. The third quarter of 2020 included increased selling, general, and administrative expenses of $0.8 million primarily due to the addition of Geneva and higher compensation expenses. The third quarter of 2019 included other income of $2.3 million related to a legal settlement, and a lower than normal estimated income tax rate of 19.0% impacted by the estimated changes in the Company's valuation allowance. After considering non-recurring items, adjusted net income was $7.7 million, or $0.78 per diluted share, in the third quarter of 2020, co...