July 27, 2004
Todd reports profit
Todd Shipyards Corporation (NYSE:TOD) reported net income of $1.2 million or $0.22 per diluted share on revenue of $32.1 million for the first quarter ended June 27, 2004. For the quarter, the Company. For the prior year first quarter ended June 29, 2003, the Todd reported a net loss of $2.2 million or $(0.42) per diluted share on revenue of $21.1 million.
Todd's first quarter revenue of $32.1 million reflects an increase of $11.0 million (52%) from the same period of fiscal year 2004.
The quarter-to-quarter increase is primarily attributable to higher Navy work volumes. This increase was partially offset by lower volumes of U.S. Coast Guard work and other commercial ship repair activity. Also, in the first quarter of fiscal year 2005, the company did a significant amount of work under the AOE contract that was associated with the transfer of these vessels from active Navy service. The end of these ships' active Navy role will ultimately result in the discontinuation of the Company's work under the current AOE contract.
For the quarter ended June 27, 2004, Todd reported operating income of $1.7 million. In the prior year quarter ended June 29, 2003, the company reported an operating loss of $3.7 million. The increase in operating income for the first quarter of fiscal year 2005 from levels reported in the first quarter of fiscal year 2004 is attributable to the increase in Navy work volumes, as well as a $2.5 million charge was recorded in the first quarter of fiscal year 2004 related to the unanticipated bankruptcy of one of the company's former workers compensation carriers.
Todd reported investment and other income of $0.2 million and $0.3 million for the quarters ended June 27, 2004 and June 29, 2003, respectively.
For the quarter ended June 27, 2004, the company reported income before income taxes of $1.9 million and recorded $0.7 million in federal income tax expense, resulting in net income reported for the period of $1.2 million. In the prior year period ended June 29, 2003, the Company reported a loss before income taxes of $3.4 million and recorded $1.2 million federal income tax benefit, resulting in a net loss for the period of $2.2 million.
In the first quarter of fiscal year 2005, the company was awarded a new five year contract with the United States Navy to provide long term maintenance on the NIMITZ CLASS aircraft carriers (CVN) home ported in Puget Sound.