Conrad Industries Announces 2021 Results and Backlog

Rhea-AI Summary

Conrad Industries, Inc. (CNRD) reported a net income of $6.5 million for 2021 compared to a net loss of $4.0 million in 2020, resulting in earnings per diluted share of $1.29. The backlog decreased from $183.7 million in 2020 to $148.5 million by the end of 2021. CEO Johnny Conrad highlighted challenges including rising steel prices and supply chain disruptions, but expressed optimism about future opportunities, particularly with a new U.S. Navy contract for designing and constructing barges. The company remains well-positioned for potential market improvements.

Positive

• Net income increased to $6.5 million in 2021 from a $4.0 million loss in 2020.
• Earnings per diluted share improved to $1.29.
• Awarded a U.S. Navy contract for designing and constructing a YRBM barge with options for an additional seven barges.
• Strong market demand is expected for dredging and infrastructure-related vessels.

Negative

• Backlog decreased to $148.5 million in 2021 from $183.7 million in 2020.
• Ongoing challenges include high steel prices and supply chain disruptions.

MORGAN CITY, La., March 31, 2022 /PRNewswire/ -- Conrad Industries, Inc. (OTC Pink: CNRD) today announced its 2021 results and backlog.

The Company had net income of $6.5 million and earnings per diluted share of $1.29 for the twelve months ended December 31, 2021 compared to net loss of $4.0 million and loss per diluted share of $0.80 for the twelve months ended December 31, 2020. Net income for 2021 includes other income related to Payment Protection Plan loan forgiveness and Employee Retention Credit. The Company's financial reports are available at www.otcmarkets.com.

Our backlog as of December 31, 2021 was $148.5 million, compared to $183.7 million at December 31, 2020, and $79.2 million at December 31, 2019.

Johnny Conrad, Chairman and CEO stated, "Our results for 2021 reflect a continued challenging operating environment. The improving but uneven pace of pandemic recovery in 2021 was accompanied by sharp increases in steel prices, inflationary price increases in other materials and equipment, supply chain disruptions and a tight labor market."

Mr. Conrad continued, "Although we face substantial uncertainties in our markets, we believe we are well-positioned to take advantage of opportunities when market fundamentals improve. We believe customers have delayed orders due to high steel prices and pandemic uncertainties, and that some of these orders will move forward when steel prices decline or our customers' business opportunities or fleet replacement needs require the vessels. We have seen a continued strong market for dredging and other infrastructure-related vessels, which we expect may continue, supported by the Infrastructure Investment and Jobs Act enacted in 2021. We are also optimistic about opportunities in our repair and conversions segment."

Mr. Conrad concluded, "We are optimistic about our long-term prospects including the recent award of a contract by the U.S. Navy for the design and construction of a Yard, Repair, Berthing and Messing ("YRBM") barge, with options for an additional seven barges.  This contract along with the infrastructure and repair markets are encouraging signs for the future of our business."

Conrad Industries, Inc., established in 1948 and headquartered in Morgan City, Louisiana, designs, builds and overhauls tugboats, ferries, liftboats, barges, offshore supply vessels and other steel products for both the commercial and government markets. The company provides both repair and new construction services at its five shipyards located in southern Louisiana and Texas.

Cautionary statement:  This press release contains forward-looking statements, which are all statements other than those of historical facts, and reflect our expectations as of the date of this press release about future events.  Forward-looking statements are subject to risks and uncertainties, including risks and uncertainties related to the COVID-19 pandemic, current high steel prices and constrained availability, competition, our reliance on cyclical industries, ability to perform contracts at costs consistent with estimated costs utilized in bidding, and ability to replenish our backlog and compete in changing markets.  These and other risks are discussed in more detail in our Annual Report and subsequent reports available on www.otcmarkets.com.  Should one or more of these risks materialize, achievement of anticipated results may differ materially from those anticipated.  We do not intend to update these forward-looking statements, other than through our regular quarterly and annual reports.

For Information Contact:
Cecil A. Hernandez (985) 702-0195
CAHernandez@ConradIndustries.com

View original content:https://www.prnewswire.com/news-releases/conrad-industries-announces-2021-results-and-backlog-301515400.html

SOURCE Conrad Industries, Inc.

FAQ

What were Conrad Industries' earnings for 2021?

Conrad Industries reported a net income of $6.5 million for 2021, with earnings per diluted share of $1.29.

How has Conrad Industries' backlog changed in 2021?

Conrad Industries' backlog decreased from $183.7 million at the end of 2020 to $148.5 million at the end of 2021.

What contract did Conrad Industries receive recently?

Conrad Industries was awarded a contract by the U.S. Navy for the design and construction of a YRBM barge, with options for seven additional barges.

What challenges did Conrad Industries face in 2021?

Conrad Industries faced challenges including rising steel prices, supply chain disruptions, and a tight labor market.