Powell Industries Announces Fiscal 2013 Third Quarter Results

        Powell Industries Announces Fiscal 2013 Third Quarter Results

PR Newswire

HOUSTON, Aug. 6, 2013

HOUSTON, Aug. 6, 2013 /PRNewswire/ --Powell Industries, Inc. (NASDAQ: POWL),
a leading supplier of custom engineered solutions for the management and
control of electrical energy and other critical processes, today announced
results for the fiscal 2013 third quarter ending June 30, 2013.

Revenues for the third quarter of fiscal 2013 were $179.5 million compared to
revenues of $194.1 million for the third quarter of fiscal 2012. Net income
for the third quarter of fiscal 2013 was $9.3 million, or $0.77 per diluted
share, compared to $12.1 million, or $1.02 per diluted share, in the third
quarter of fiscal 2012. The third quarter fiscal 2013 results include costs
of approximately $1.7 million, or $0.12 per diluted share, related to
workforce restructuring in the United Kingdom and relocation costs for the
Company's two new manufacturing facilities.

Michael A. Lucas, Chief Executive Officer, stated, "Our third quarter proved
to be challenging as we worked to mitigate customer-requested schedule changes
of a few select large projects. The reduction in revenue due to these delays
on the larger projects was difficult to overcome, but I am pleased that strong
project execution and limited schedule interruptions on small to mid-sized
projects generated solid earnings.

"The uncertainty around the timing of large projects is expected to continue
into fiscal 2014, impacting both the timing of new awards as well as the
execution of orders in the backlog, while activity on small to mid-sized
projects continues at steady and healthy levels. Overall, prospects for new
capital investments in our key markets are strong. The oil and gas market
remains solid, and we are currently supporting proposal work for both onshore
and offshore projects. Engineering support in the planning phase for several
large petrochemical projects continues at a good pace, and prospects for LNG
opportunities, in the longer term, are improving.

"We are pleased with the progress on our two facility expansions. Initial
production in our new Edmonton Canada facility has begun, and we expect to
complete that transition by the end of September. We will start moving into
our new Houston facility later this month. These new facilities, located in
important geographic markets, are crucial to our ability to manage and support
the number and size of the capital investments we expect to be made by our
customer base in the months and years ahead."

New orders placed during the third quarter of fiscal 2013 totaled
approximately $155 million compared to $124 million in the second quarter of
fiscal 2013 and $133 million in the third quarter of fiscal 2012. The
Company's backlog as of June 30, 2013 was $496 million compared to $522
million as of March 31, 2013 and $433 million at the end of last year's third
quarter.

OUTLOOK

The following statements are based on the current expectations of the
Company. These statements are forward-looking, and actual results may differ
materially as further elaborated in the last paragraph below.

Based on its backlog and current business conditions, as well as potential
additional customer schedule changes, Powell Industries has reduced its
expected full year fiscal 2013 revenue range to between $650 million and $675
million from its previous guidance of $675 million to $700 million. Full
year fiscal 2013 earnings remain unchanged from previous guidance and are
expected to range between $2.30 and $2.55 per diluted share. Included in the
Company's earnings outlook is an estimate of $0.25 per diluted share for
one-time costs related to the start-up of two new manufacturing facilities.

CONFERENCE CALL

Powell Industries has scheduled a conference call for Wednesday, August 7,
2013 at 11:00 a.m. eastern time. To participate in the conference call, dial
480-629-9835 at least 10 minutes before the call begins and ask for the Powell
Industries conference call. A replay of the call will be available
approximately two hours after the live broadcast ends and will be accessible
until August 14, 2013. To access the replay, dial 303-590-3030 using a
passcode of 4627818#.

Investors, analysts and the general public will also have the opportunity to
listen to the conference call over the Internet by visiting powellind.com. To
listen to the live call on the web, please visit the website at least fifteen
minutes before the call begins to register, download and install any necessary
audio software. For those who cannot listen to the live webcast, an archive
will be available shortly after the call and will remain available for
approximately 90 days at powellind.com.

Powell Industries, Inc., headquartered in Houston, engineers packaged
solutions and systems for the control, distribution and management of
electrical energy and other dynamic processes. Powell markets include large
industrial customers such as utilities, oil and gas producers, refineries,
petrochemical plants, pulp and paper producers, mining operations, commuter
railways and other vehicular transportation facilities. For more
information, please visit powellind.com.

Any forward-looking statements in the preceding paragraphs of this release are
made pursuant to the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. Investors are cautioned that such
forward-looking statements involve risks and uncertainties in that actual
results may differ materially from those projected in the forward-looking
statements. In the course of operations, we are subject to certain risk
factors, competition and competitive pressures, sensitivity to general
economic and industrial conditions, international political and economic
risks, availability and price of raw materials and execution of business
strategy. For further information, please refer to the Company's filings with
the Securities and Exchange Commission, copies of which are available from the
Company without charge.



Contacts: Don R. Madison, CFO
          Powell Industries, Inc.
          713-947-4422



POWELL INDUSTRIES, INC. & SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
                          Three Months Ended         Nine Months Ended
                          June 30, 2013 June 30,     June 30,     June 30,
                                        2012         2013         2012
(In thousands, except per (Unaudited)                (Unaudited)
share data)
Revenues                  $  179,519   $  194,093  $  487,375  $  533,035
Cost of goods sold        141,034       150,250      383,391      434,577
Gross profit              38,485        43,843       103,984      98,458
Selling, general and      23,805        24,826       70,238       66,112
administrative expenses
Amortization of           415           704          1,243        2,111
intangible assets
Restructuring and         1,717         --           1,717        --
relocation expenses
Operating income          12,548        18,313       30,786       30,235
Other income              --            --           (1,709)      --
Interest expense          47            59           151          203
Interest income           (7)           (25)         (28)         (88)
Income before income      12,508        18,279       32,372       30,120
taxes
Income tax provision      3,203         6,141        8,864        12,316
Net income                $    9,305 $   12,138 $   23,508 $   17,804
Earnings per share:
 Basic             $         $        $        $    
                          0.78          1.03         1.97         1.51
 Diluted           $         $        $        $    
                          0.77          1.02         1.96         1.50
Weighted average shares:
 Basic             11,941        11,812       11,932       11,782
 Diluted           12,016        11,861       12,007       11,834
SELECTED FINANCIAL DATA:
Capital expenditures      $  20,458   $   6,667  $   53,728 $   25,546
Depreciation and          $   2,348  $   3,391  $         $   
amortization                                         7,775        9,824



POWELL INDUSTRIES, INC. & SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
                                                June 30,         September 30,
                                                2013             2012
(In thousands)                                  (Unaudited)
Assets:
 Current assets                          $   354,275    $  346,410
 Property, plant and equipment (net)     123,228          78,652
 Other assets                            23,709           23,250
 Total Assets                    $   501,212    $  448,312
Liabilities and Stockholders' Equity:
 Current liabilities                     $   160,641    $  130,873
 Long-term debt and capital lease        3,200            3,630
obligations, net of current maturities
 Deferred and other long-term            4,242            3,706
liabilities
 Stockholders' equity                    333,129          310,103
 Total Liabilities and           $   501,212    $  448,312
Stockholders' Equity

POWELL INDUSTRIES, INC. & SUBSIDIARIES
BUSINESS SEGMENTS
                        Three Months Ended          Nine Months Ended
                        June 30, 2013 June 30, 2012 June 30, 2013 June 30,
                                                                  2012
(In thousands)          (Unaudited)                 (Unaudited)
Revenues:
Electrical Power       $  170,048   $  186,272   $  461,443   $  510,910
Products
Process Control Systems 9,471         7,821         25,932        22,125
Total Revenues          $  179,519   $  194,093   $  487,375   $  533,035
Income (loss) Before
Income Taxes:
Electrical Power       $   12,149  $   18,422  $   32,133  $   30,066
Products
Process Control Systems 359           (143)         239           54
Total Income Before     $   12,508  $   18,279  $   32,372  $   30,120
Income Taxes



                                           June 30,      September 30,
                                           2013          2012
(In thousands)                             (Unaudited)
Identifiable tangible assets:
 Electrical Power Products          $  297,893  $  304,894
 Process Control Systems            14,675        14,539
 Corporate                          174,204       114,455
 Total Identifiable Tangible Assets $  486,772  $  433,888
Backlog:
 Electrical Power Products          $  412,028  $  361,853
 Process Control Systems            84,114        74,838
 Total Backlog                      $  496,142  $  436,691

SOURCE Powell Industries, Inc.

Website: http://www.powellind.com
 
Press spacebar to pause and continue. Press esc to stop.