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| 8-K - PIKE ELECTRIC CORPORATION 8K - Pike Corp | a50466004.htm |
Exhibit 99.1
Pike Reports Strong Revenue and Earnings Growth in Fiscal First Quarter 2013
Revenue Increases 42% to Record $244.6 Million; EPS Increases 271% to $0.26 per Diluted Share
MOUNT AIRY, N.C.--(BUSINESS WIRE)--November 5, 2012--Pike Electric Corporation (NYSE: PIKE), one of the nation’s leading energy solutions providers, today reported fiscal first quarter 2013 results for the period ended September 30, 2012. Total revenue in the first quarter was a record high $244.6 million, up 42% compared to $171.8 million in the year-ago period. Net income in the first quarter totaled $9.3 million, or $0.26 per diluted share. By comparison, net income totaled $2.6 million, or $0.07 per diluted share, in the year-ago period.
Total revenue included storm-related services of $50.2 million in the first quarter, compared to $34.8 million in the same quarter last year. Gross profit in the fiscal first quarter 2013 totaled $36.9 million, or 15.1% of revenue. By comparison, gross profit totaled $23.9 million, or 13.9% of revenue, in the year-ago period. General and administrative expenses totaled $19.5 million, or 8.0% of revenue. By comparison, general and administrative expenses totaled $16.0 million, or 9.3% of revenue, in the year-ago period.
As a result of the acquisition of UC Synergetic (“UCS”), the Company has adopted two reportable segments for financial reporting purposes: Construction and All Other Operations. Construction performs installation, maintenance and repair of power delivery systems, including storm restoration services. All Other Operations performs siting, permitting, engineering and design of power and telecommunications delivery systems, including storm assessment and inspection services.
Construction revenue totaled $203.4 million, up 30% compared to $156.0 million in the year-ago period. Income from operations in the Construction segment totaled $16.6 million, compared to $8.6 million in the year-ago period. All Other Operations revenue totaled a record high $41.2 million, up 161% compared to $15.8 million in the year-ago period. Income from operations in the All Other Operations segment totaled $2.1 million, compared to $(0.6) million in the year-ago period. The accompanying ‘segment results’ table provides eliminations and other adjustments that reconcile the segment revenues and income from operations amounts to consolidated results.
“We had a tremendous start to our fiscal year 2013,” said J. Eric Pike, Chairman and CEO of Pike. “Our strong first quarter performance reflects the sustained growth trends in all areas of our construction business, the addition of UCS, plus a relatively high volume of storm restoration activity.”
Conference Call
The Company will host a conference call at 11:00 a.m. Eastern on Tuesday, November 6. The call can be accessed by dialing (888) 359-3627, or (719) 325-2495 for international callers. The confirmation code for the live call is 3855455. Interested parties may also listen to a simultaneous webcast via the "Investor Center" on the Company's website at www.pike.com.
A replay will be made available shortly after the live call is completed and can be accessed by dialing (858) 384-5517. The confirmation code for the replay is 3855455. The replay will remain available until midnight Eastern on November 13. An on-demand replay of the conference call will remain available online for a limited time following the conclusion of the call.
About Pike Electric Corporation
Pike Electric Corporation is a leading provider of energy solutions to over 300 investor-owned, municipal and cooperative utilities in the United States. Our comprehensive services include facilities planning and siting, permitting, engineering, design, installation, maintenance and repair of electric and communication infrastructure. Our common stock is traded on the New York Stock Exchange under the symbol PIKE. For more information, visit us online at www.pike.com.
Forward-Looking Statements
This press release and other statements we make from time to time in the future may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements may relate to our plans, objectives and future estimates. The terms "should," "believe," "plan," "expect," "anticipate," "estimate," "intend" and "project" and similar words or expressions are intended to identify forward-looking statements. Various risks, uncertainties and other factors could cause actual results to differ materially from those expressed in any forward-looking statements. For a more detailed list of such risks, uncertainties and other factors, please refer to the Risk Factor section of our Annual Reports on Form 10-K and in its other periodic filings with the Securities and Exchange Commission. Forward-looking statements speak only as of the date they are made, and we undertake no obligation to update any forward-looking statement to reflect the impact of circumstances or events that arise after the date the forward-looking statement was made.
| PIKE ELECTRIC CORPORATION | ||||||||
| CONDENSED CONSOLIDATED STATEMENTS OF INCOME | ||||||||
| (Unaudited) | ||||||||
| (In thousands, except per share amounts) | ||||||||
| Three months ended September 30, | ||||||||
| 2012 | 2011 | |||||||
| Revenues | $ | 244,613 | $ | 171,791 | ||||
| Cost of operations | 207,691 | 147,937 | ||||||
| Gross profit | 36,922 | 23,854 | ||||||
| General and administrative expenses | 19,468 | 16,017 | ||||||
| (Gain) loss on sale of property and equipment | (130 | ) | 158 | |||||
| Income from operations | 17,584 | 7,679 | ||||||
| Other expense (income): | ||||||||
| Interest expense | 2,123 | 3,493 | ||||||
| Other, net | (21 | ) | (3 | ) | ||||
| Total other expense | 2,102 | 3,490 | ||||||
| Income before income taxes | 15,482 | 4,189 | ||||||
| Income tax expense | 6,200 | 1,585 | ||||||
| Net income | $ | 9,282 | $ | 2,604 | ||||
| Earnings per share: | ||||||||
| Basic | $ | 0.26 | $ | 0.08 | ||||
| Diluted | $ | 0.26 | $ | 0.07 | ||||
| Shares used in computing earnings per share: | ||||||||
| Basic | 35,048 | 34,178 | ||||||
| Diluted | 35,355 | 34,807 | ||||||
|
PIKE ELECTRIC CORPORATION |
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| CONDENSED CONSOLIDATED BALANCE SHEETS | |||||||||
| (In thousands, except per share amounts) | |||||||||
| September 30, | June 30, | ||||||||
| 2012 | 2012 | ||||||||
| (Unaudited) | |||||||||
| ASSETS | |||||||||
| Current assets: | |||||||||
| Cash and cash equivalents | $ | 1,309 | $ | 1,601 | |||||
| Accounts receivable, net | 129,078 | 91,059 | |||||||
| Costs and estimated earnings in excess of billings | |||||||||
| on uncompleted contracts | 80,270 | 66,414 | |||||||
| Inventories | 13,554 | 15,348 | |||||||
| Prepaid expenses and other | 7,006 | 9,001 | |||||||
| Deferred income taxes | 7,868 | 9,722 | |||||||
| Total current assets | 239,085 | 193,145 | |||||||
| Property and equipment, net | 175,475 | 174,655 | |||||||
| Goodwill | 153,657 | 122,932 | |||||||
| Other intangibles, net | 81,366 | 43,617 | |||||||
| Deferred loan costs, net | 2,123 | 2,175 | |||||||
| Other assets | 2,195 | 1,624 | |||||||
| Total assets | $ | 653,901 | $ | 538,148 | |||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||
| Current liabilities: | |||||||||
| Accounts payable | $ | 31,224 | $ | 26,206 | |||||
| Accrued compensation | 27,401 | 28,703 | |||||||
| Billings in excess of costs and estimated earnings | |||||||||
| on uncompleted contracts | 4,364 | 5,318 | |||||||
| Accrued expenses and other | 14,861 | 7,551 | |||||||
| Current portion of insurance and claim accruals | 10,611 | 11,525 | |||||||
| Total current liabilities | 88,461 | 79,303 | |||||||
| Revolving credit facility | 207,500 | 123,000 | |||||||
| Insurance and claim accruals, net of current portion | 4,233 | 3,956 | |||||||
| Deferred compensation | 5,946 | 5,578 | |||||||
| Deferred income taxes | 58,085 | 46,749 | |||||||
| Other liabilities | 2,846 | 2,637 | |||||||
| Commitments and contingencies | |||||||||
| Stockholders’ equity: | |||||||||
| Preferred stock, par value $0.001 per share; 100,000 authorized | |||||||||
| shares; no shares issued and outstanding | - | - | |||||||
| Common stock, par value $0.001 per share; 100,000 authorized | |||||||||
| shares; 35,114 and 35,052 shares issued and outstanding | |||||||||
| at September 30, 2012 and June 30, 2012, respectively | 6,428 | 6,428 | |||||||
| Additional paid-in capital | 173,762 | 173,060 | |||||||
| Accumulated other comprehensive loss, net of taxes | (79 | ) | - | ||||||
| Retained earnings | 106,719 | 97,437 | |||||||
| Total stockholders’ equity | 286,830 | 276,925 | |||||||
| Total liabilities and stockholders’ equity | $ | 653,901 | $ | 538,148 | |||||
| PIKE ELECTRIC CORPORATION | ||||||||
| SEGMENT RESULTS | ||||||||
| (Unaudited) | ||||||||
| (In thousands) | ||||||||
| Three months ended September 30, | ||||||||
| 2012 | 2011 | |||||||
| Construction | ||||||||
| Core services | $ | 156,478 | $ | 121,217 | ||||
| Less: Intercompany eliminations | (27 | ) | - | |||||
| Core services, net | 156,451 | 121,217 | ||||||
| Storm restoration services | 46,973 | 34,792 | ||||||
| Revenues, net | 203,424 | 156,009 | ||||||
| Income from operations | 16,580 | 8,589 | ||||||
| Depreciation and amortization | 9,071 | 9,278 | ||||||
| Purchases of property and equipment | 7,759 | 7,611 | ||||||
| All Other Operations | ||||||||
| Core services | $ | 49,003 | $ | 15,782 | ||||
| Less: Intercompany eliminations | (11,037 | ) | - | |||||
| Core services, net | 37,966 | 15,782 | ||||||
| Storm assessment and inspection services | 3,223 | - | ||||||
| Revenues, net | 41,189 | 15,782 | ||||||
| Income (loss) from operations | 2,074 | (600 | ) | |||||
| Depreciation and amortization | 1,314 | 424 | ||||||
| Purchases of property and equipment | 348 | - | ||||||
| Eliminations and Other Adjustments | ||||||||
| Revenues | $ | - | $ | - | ||||
| Loss from operations | (1,070 | ) | (310 | ) | ||||
| Depreciation and amortization | - | - | ||||||
| Purchases of property and equipment | - | - | ||||||
| Total | ||||||||
| Core services | $ | 205,481 | $ | 136,999 | ||||
| Less: Intercompany eliminations | (11,064 | ) | - | |||||
| Core services, net | 194,417 | 136,999 | ||||||
| Storm-related services | 50,196 | 34,792 | ||||||
| Revenues, net | 244,613 | 171,791 | ||||||
| Income from operations | 17,584 | 7,679 | ||||||
| Depreciation and amortization | 10,385 | 9,702 | ||||||
| Purchases of property and equipment | 8,107 | 7,611 | ||||||
CONTACT:
Pike Electric Corporation
Investor Relations Contact, 336-719-4622
IR@pike.com