Conrad Industries reports 2023 results
Written by Nick Blenkey
Conrad Industries' Morgan City, La., shipyard
Conrad Industries, Inc. (OTC Pink: CNRD) has announced its 2023 results and backlog. The company reported a net loss of $27.0 million and a loss per diluted share of $5.39 for the twelve months ended December 31, 2023 compared to net loss of $17.4 million and loss per diluted share of $3.47 for the twelve months ended December 31, 2022.
Conrad Industries’ backlog as of December 31, 2023 was $253.8 million, compared to $244.1 million at December 31, 2022, and $148.5 million at December 31, 2021.
“Our results for 2023 reflect a continued challenging operating environment, including challenges associated with continued high steel prices, inflationary price increases in other materials and equipment, supply chain disruptions, a tight labor market resulting in difficulties in retaining and hiring direct labor and rising interest rates during 2022 and 2023,” said chairman and CEO, Johnny Conrad. “A significant portion of our 2023 losses were related to fixed price new construction contracts that were signed prior to the substantial increases in inflation, higher labor costs and supply chain issues. These factors, along with the complexity of the new construction projects, were the primary drivers of the losses in 2023.”
“Although we face substantial uncertainties in our markets, we believe we are well-positioned to take advantage of opportunities as market fundamentals improve, due to our shipyard capacity, our investments in improving our shipyards’ capabilities and efficiencies, and our experienced team,” Conrad said. “Bid activity has been good and we believe the jobs we have recently signed include lessons learned on previous jobs, are not as complex and are better priced. We believe some delayed customer orders will move forward as steel prices stabilize or our customers’ business opportunities or fleet replacement needs require new vessels. We also remain optimistic about opportunities in our repair and conversions segment.”
- Read the full report HERE
Categories: News, Shipyard News
