Morgan City, La., headquartered shipbuilder and repairer Conrad Industries, Inc. (OTC Pink: CNRD) has reported its second quarter and six months 2020 financial results and backlog.
For the quarter ended June 30, 2020, Conrad had net income of $482,000 and earnings per diluted share of $0.10 compared to net loss of $2.2 million and loss per diluted share of $0.44 during the second quarter of 2019.
The company had net income of $896,000 and earnings per diluted share of $0.18 for the six months ended June 30, 2020 compared to net loss of $2.5 million and loss per diluted share of $.50 for the six months ended June 30, 2019.
During the first six months of 2020, Conrad added $119.7 million of backlog to its new construction segment compared to $73.5 million added to backlog during the first six months of 2019. Since the end of the second quarter the company has signed an additional $14.1 million in contracts.
Helping swell its backlog was the company’s biggest order in its history, covering the construction of a construction of a 6,500-cubic-yard-capacity trailing suction hopper dredge for Great Lakes Dredge and Dock.
In its full quarterly report, the company notes that its results for the six months ended June 30, 2020 reflect a continued challenging operating environment, which is further challenged by the coronavirus (COVID-19) pandemic.
“In new construction,” it says, “we continue to experience a soft market particularly for energy transportation projects and projects related to the offshore oil and gas industry, and low demand for large barge project orders. We believe that, largely as a result of the pandemic, many new construction customers have delayed new orders. The repair market continues to be adversely effected by low crude oil prices and depressed Gulf of Mexico activity; however, profitable jobs in the government and infrastructure markets enhanced our results in our repair and conversion segment, particularly in the second quarter of 2020. We continue to experience pricing pressure in both segments, which has intensified due to the pandemic. Some new construction customers continue to request favorable contract terms with smaller up-front and progress payments during construction.”
Download the quarterly report HERE