Northwest Pipe Company Investing in Utah's Precast Concrete Market

Rhea-AI Summary

Northwest Pipe Company (NASDAQ: NWPX) is enhancing its investment in precast concrete operations in Utah, committing over $18 million in capital improvements at its Geneva Pipe and Precast Company plants. This follows its October 2021 acquisition of Park Environmental Equipment, LLC, which included three Texas facilities. The company has begun new manufacturing initiatives, including a batch plant in St. George and a new automated concrete pipe machine, aiming to meet increasing demand for reinforced concrete pipe. CEO Scott Montross noted that order levels are at an all-time high.

Positive

• Investment of over $18 million in capital improvements for precast operations.
• New batch plant and automated concrete pipe machine to boost production capacity.
• Order book at all-time high, indicating strong market demand.

Negative

• None.

VANCOUVER, Wash., Dec. 15, 2021 /PRNewswire/ -- Northwest Pipe Company (NASDAQ: NWPX), an industry leader of engineered pipeline systems for water infrastructure, is increasing the Company's investment in their precast concrete operations in Utah.

In addition to its October 2021 investment in Park Environmental Equipment, LLC ("ParkUSA") which added three Texas manufacturing facilities in Houston, Dallas and San Antonio, the Company is solidifying its commitment to the precast market with over $18 million in new capital improvement projects at its Geneva Pipe and Precast Company ("Geneva") plants which service the Intermountain West region's precast concrete market.  The Company has recently invested in a new batch plant at their St. George, Utah, facility; replaced a concrete mixer and controls in the Salt Lake City facility; and is currently in negotiations with major suppliers to purchase a new automated concrete pipe machine with associated concrete batching and mixing equipment. The new state-of-the-art pipe equipment will increase capacity to meet growing market demand for reinforced concrete pipe ("RCP") as well as increase capacity for other concrete products.

"Our precast concrete business continues to gain strength and our order books are currently at all-time high levels," states Scott Montross, President and CEO of Northwest Pipe Company. "Over the past few years, one of our primary focuses has been to grow through diversification into the precast concrete market, which led to the acquisition of Geneva. With the recently announced acquisition of ParkUSA, we are well positioned for future growth, which is supported by the growing infrastructure needs in the United States."

In addition to manufacturing RCP, utility, stormwater, and sanitary sewer solutions, Geneva recently started manufacturing lined sanitary sewer products which protects the concrete from microbial induced corrosion when exposed to municipal and industrial wastewater.

About Northwest Pipe Company – Founded in 1966, Northwest Pipe Company is a leading manufacturer for water-related infrastructure products. In addition to being the largest manufacturer of engineered steel water pipeline systems in North America, the Company manufactures high-quality precast and reinforced concrete products; water, wastewater, and stormwater equipment; steel casing pipe; bar-wrapped concrete cylinder pipe; and one of the largest offerings of pipeline system joints, fittings, and specialized components. Strategically positioned to meet growing water and wastewater infrastructure needs, Northwest Pipe Company provides solution-based products for a wide range of markets under the ParkUSA, Geneva Pipe and Precast, and Permalok® lines. The Company's diverse team is committed to quality and innovation while demonstrating the Company's core values of accountability, commitment, and teamwork. The Company is headquartered in Vancouver, Washington, and has 13 manufacturing facilities across North America. Please visit www.nwpipe.com for more information.

Contact:
Aaron Wilkins
Chief Financial Officer
Northwest Pipe Company
360-397-6294 • awilkins@nwpipe.com

 

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SOURCE Northwest Pipe Company

FAQ

What recent investment has Northwest Pipe Company made in Utah?

Northwest Pipe Company has invested over $18 million in precast concrete operations in Utah.

How is Northwest Pipe Company expanding its operations?

The company is expanding by investing in new manufacturing facilities and equipment, including a new batch plant and an automated concrete pipe machine.

What is the significance of the October 2021 acquisition by Northwest Pipe Company?

The acquisition of Park Environmental Equipment expanded their operations into Texas with three new facilities, strengthening their market position.

What does the CEO of Northwest Pipe Company say about their order levels?

CEO Scott Montross stated that their order books are currently at all-time high levels.