Matrix Service Net Income, Revenues Dip

Matrix Service reports third quarter net income fell 24 percent compared to results a year ago.
Net income for the industrial services company dipped to $4.2 million, or 16 cents per share, compared to third quarter 2008 net income of $6 million, or 22 cents per share.
Consolidated revenues dropped 18.8 percent at $146.3 million in third quarter — compared to $181.1 million in the third quarter of 2008.
The decline in third quarter consolidated revenues was the result of a decrease in the Construction Services segment of $39.6 million partially offset by an increase in the Repair and Maintenance Services segment of $4.8 million.
The third quarter was more challenging than expected as capital and maintenance spending slowed considerably as clients adjusted to the downturn in the economy and further assessed their spending plans for 2009. said Mike Bradley, chief executive officer.
“We advanced our strategy to position the company for further growth and diversification with the completion of two strategic acquisitions during the quarter,” Bradley said.
The nine-month revenues were $509.8 million while gross margins improved to 13.9 percent. Operating income was $36.2 million and earnings per share reached 90 cents.
Consolidated backlog on Feb. 28 was $452.5 million — compared to $454 million at the end of the second fiscal quarter. Additions during the quarter included awards of $141.2 million and backlog acquired through acquisitions of $38.6 million.
Project cancellations of $35.2 million partially offset these increases.
Revenues for the Construction Services segment were $79.9 million, compared with $119.5 million in the same period a year earlier.
Revenues for the Repair and Maintenance Services segment were $66.4 million, compared to $61.6 million in the year earlier period.
Consolidated gross profit decreased from $21 million in the third quarter of fiscal 2008 to $18 million in the third quarter of fiscal 2009.



Was this article helpful?

Related Articles

Leave A Comment?