Business
Perma-Pipe International Holdings, Inc. Announces its First Quarter and Year-to-Date Fiscal 2022 Financial Results
• The Company generated net sales of $31.2 million for the first quarter • Income from operations improved $1.1 million versus the first quarter of 2021 •
About this update from Perma-pipe International Holdings, Inc.
[{"type":"text","content":"\n• The Company generated net sales of $31.2 million for the first quarter\n\n• Income from operations improved $1.1 million versus the first quarter of 2021\n\n• Backlog of $59.2 million at April 30, 2022 compared to $39.3 million on January 31, 2022\n\n NILES, Ill.--(BUSINESS WIRE)--\nPerma-Pipe International Holdings, Inc. (NASDAQ: PPIH) announced today financial results for the first quarter ended April 30, 2022.\n\n“Revenues for the first quarter of $31.2 million increased 28% from the $24.4 million for the same quarter last year. The resulting income from operations of $0.2 million was also above the $0.9 million loss incurred in the same quarter of 2021,\" noted President and CEO David Mansfield. \"While both revenues and margins improved, there was a corresponding increase to operating expenses, which was partly due to personnel costs and driven by the increased levels of activity.\"\n\n\"During the first quarter of 2022, the oil and gas market in Canada has been returning to increased levels of investment, and the industry outlooks are positive. There has also been a notable improvement to our results in Saudi Arabia, where investments in construction projects are expected to return to pre-pandemic levels.\n\n\"Our current backlog of $59.2 million is 50% higher than our January 31, 2022 backlog. After a significant amount of new awards during the quarter, including in Saudi Arabia and the United States, our backlog is at approximately the same level as it was this time last year, and it is distributed very similarly between our different business units.\n\n\"The net income from our results does not reflect the same period improvement as is described above, since there is inconsistency in the rates of taxation in the different countries where we operate, and also because we are not recognizing the full tax benefit of past losses. This makes the calculation of effective tax rates extremely inconsistent from period to period, and this is highlighted in the tax charge for this quarter,” concluded Mr. Mansfield.\n\nFirst Quarter Fiscal 2022 Results\n\nNet sales were $31.2 million in the current quarter, an increase of $6.8 million, or 28%, from $24.4 million in the prior year quarter. The increase was a result of increased sales volumes, partly due to recovery from the effects of the COVID-19 pandemic.\n\nGross profit increa...