Morgan City, La., headquartered shipbuilder Conrad Industries, Inc. yesterday reported its 2019 results and backlog.
The company reported net income of $86,000 and earnings per diluted share of $0.02 for the twelve months ended December 31, 2019 compared to net income of $198,000 and earnings per diluted share of $0.04 for the twelve months ended December 31, 2018. Backlog as of December 31, 2019 was $79.2 million, compared to $127.7 million at December 31, 2018, and $111.3 million at
Johnny Conrad, Chairman and CEO stated, “We entered 2020 with profitable third and fourth quarters in 2019, improved performance on contracts, better margins in new construction, a solid infrastructure market and high hopes for continued business strengthening in 2020. However, the coronavirus (COVID-19) outbreak, designated as a pandemic by the World Health Organization on March 11, 2020, has caused significant disruptions in international economies and financial and oil markets. The pandemic weakened demand for oil, and after the Organization of the Petroleum Exporting Countries and a group of oil producing nations led by Russia failed on March 6, 2020 to agree on oil production cuts, Saudi Arabia announced that it would cut oil prices and increase production, leading to an oil price war with Russia. As a result, there have been sharp declines in oil prices during 2020.”
Conrad continued, “The COVID-19 pandemic is an unprecedented, rapidly evolving and challenging situation and its ultimate impact on our business is uncertain. Our critical focus is to protect the health and safety of our employees, complete and deliver jobs in progress, work with our customers and potential customers, and maintain our financial strength.”
“Although 2020 will be another challenging year, we continue to be optimistic about the long-term prospects of our business,” Conrad concluded. “We have met many challenges in the past, and we remain confident that with our talented and dedicated employees, strong balance sheet and diversified customer base we can effectively respond to changing market conditions.”
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