Business
Perma-Pipe International Holdings, Inc. Announces its Second Quarter Fiscal 2023 Financial Results
The Company generated net sales of $35.1 million as compared to $37.0 million in the first quarter of 2022 Income before income taxes of $2.1 million versus
About this update from Perma-pipe International Holdings, Inc.
[{"type":"text","content":"\n\nThe Company generated net sales of $35.1 million as compared to $37.0 million in the first quarter of 2022\n\n\n\nIncome before income taxes of $2.1 million versus $2.8 million in the second quarter of 2022\n\n\n\nBacklog of $63.9 million at July 31, 2023\n\n\n\n SPRING, Texas--(BUSINESS WIRE)--\nPerma-Pipe International Holdings, Inc. (NASDAQ: PPIH) announced today financial results for the second quarter ended July 31, 2023.\n\n\n“Revenues for the second quarter were $35.1 million, a decrease of $1.9 million versus the same quarter last year. The resulting income from operations of $2.7 million was below the $3.3 million earned in the same quarter of 2022. Note that the results for this quarter however included a non-operating one-time tax expense of $0.5 million relating to the termination of a pension plan, and were adversely impacted by project schedules that slipped into a later period,\" note President and CEO David Mansfield.\n\n\n\"Backlog has continued to grow and now stands at $63.9 million after some significant awards in most Business Units.\n\n\nNotable recent events include the commencement of operations on June 1, 2023 at our previously announced joint venture in Saudi Arabia which has begun favorably, and we are nearing completion of our Eastern Canada expansion. In addition, our efforts to expand into Qatar are progressing as expected,\" noted Mr. Mansfield.\n\n\n“Net income shows the impact of taxation rates in the different countries we operate, and our inability to recognize the benefit of tax losses in the United States. The tax charge therefore continues to be disproportionate to the consolidated earnings,” concluded Mr. Mansfield.\n\n\nSecond Quarter Fiscal 2023 Results\n\n\nNet sales were $35.1 million and $37.0 million in the three months ended July 31, 2023 and 2022, respectively. The decrease of $1.9 million, or 5%, was a result of lower volume activity in Canada.\n\n\nGross profit was $9.5 million, or 27% of net sales, and $9.9 million, or 28% of net sales, in the three months ended July 31, 2023 and 2022, respectively. The decrease of $0.4 million was primarily driven by lower sales volumes.\n\n\nGeneral and administrative expenses were $5.3 million and $5.2 million in the three months ended July 31, 2023 and 2022, respectively. The increase of $0.1 million, or 2%, was due to higher payroll cost...