GOLDFIELD CORP - FORM 8-K - EX-99.1 - PRESS RELEASE - May 9, 2013

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Exhibit 99.1


GOLDFIELD REPORTS IMPROVED FIRST QUARTER OPERATING RESULTS
MELBOURNE, Florida, May 9, 2013 - The Goldfield Corporation (NYSE MKT: GV) today announced improved revenue and operating income for the three months ended March 31, 2013. The Goldfield Corporation headquartered in Florida, through its subsidiary, Southeast Power Corporation, is a leading provider of construction services to electric utilities, with operations primarily in the southeastern, mid-Atlantic, and western regions of the United States.
Revenue for the three months ended March 31, 2013 increased 27.0% to $22.5 million from $17.7 million in the comparable prior year period. This increase was attributable to higher demand for our electrical construction services, primarily our transmission work.
Operating income grew 8.0% to $3.0 million for the three months ended March 31, 2013, from $2.7 million during the same period in 2012.
Net income for the three months ended March 31, 2013 was $1.8 million, or $0.07 per share, compared to net income of $2.7 million, or $0.10 per share, in the comparable prior year period. Net income in the first quarter of 2013 included income tax expense of $1.0 million (36.8%), compared to $51,000 (1.9%) in the first quarter of 2012. The income tax rate for the three months ended March 31, 2012 was lower as a result of the Company's ability to utilize net operating loss carryovers and tax credits.
John H. Sottile, President and Chief Executive Officer of Goldfield said, “With the strong team we have now assembled at Southeast Power and the robust industry environment, we believe we are well positioned to expand our customer base and to take advantage of future opportunities. We are seeing significant prospects developing from both existing and new customers, some of which we believe will likely materialize later in the year,” Mr. Sottile added.

About Goldfield
Goldfield is a leading provider of electrical construction and maintenance services in the energy infrastructure industry, primarily in the southeastern, mid-Atlantic, and western regions of the United States. The company specializes in installing and maintaining electrical transmission lines for a wide range of electric utilities.
For additional information on our first quarter results, please refer to our Quarterly Report on Form 10-Q being filed with the Securities and Exchange Commission and visit the Company's website at http://www.goldfieldcorp.com.


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This press release includes forward-looking statements within the meaning of the “safe harbor” provision of the Private Securities Litigation Reform Act of 1995 throughout this document. You can identify these statements by forward-looking words such as “may,” “will,” “expect,” “anticipate,” “believe,” “estimate,” “plan,” and “continue” or similar words. We have based these statements on our current expectations about future events. Although we believe that our expectations reflected in or suggested by our forward-looking statements are reasonable, we cannot assure you that these expectations will be achieved. Our actual results may differ materially from what we currently expect. Factors that may affect the results of our operations include, among others: the level of construction activities by public utilities; the concentration of revenue from a limited number of utility customers; the loss of one or more significant customers; the timing and duration of construction projects for which we are engaged; our ability to estimate accurately with respect to fixed price construction contracts; and heightened competition in the electrical construction field, including intensification of price competition. Other factors that may affect the results of our operations include, among others: adverse weather; natural disasters; effects of climate changes; changes in generally accepted accounting principles; ability to obtain necessary permits from regulatory agencies; our ability to maintain or increase historical revenue and profit margins; general economic conditions, both nationally and in our region; adverse legislation or regulations; availability of skilled construction labor and materials and material increases in labor and material costs; and our ability to obtain additional and/or renew financing. Other important factors which could cause our actual results to differ materially from the forward-looking statements in this press release are detailed in the Company's Risk Factors and Management's Discussion and Analysis of Financial Condition and Results of Operation sections of our Annual Report on Form 10-K and Goldfield's other filings with the Securities and Exchange Commission, which are available on Goldfield's website: http://www.goldfieldcorp.com. We may not update these forward-looking statements, even in the event that our situation changes in the future, except as required by law.

For further information, please contact:
The Goldfield Corporation
Phone:    (321) 724-1700
Email:     investorrelations@goldfieldcorp.com



- Tables to Follow -
- 2 -

The Goldfield Corporation and Subsidiaries
Consolidated Statements of Income
(Unaudited)

 
Three Months Ended March 31,
 
2013
 
2012
Revenue
 
 
 
Electrical construction
$
22,524,301

 
$
17,109,940

Other
1,762

 
633,600

Total revenue
22,526,063

 
17,743,540

Costs and expenses
 
 
 
Electrical construction
17,551,892

 
12,924,484

Other
1,762

 
393,108

Selling, general and administrative
877,765

 
915,525

Depreciation
1,144,569

 
786,257

Gain on sale of property and equipment
(2,500
)
 
(10,565
)
Total costs and expenses
19,573,488

 
15,008,809

Total operating income
2,952,575

 
2,734,731

Other income (expenses), net
 
 
 
Interest income
5,788

 
6,004

Interest expense
(130,862
)
 
(48,253
)
Other income, net
13,118

 
9,067

Total other expenses, net
(111,956
)
 
(33,182
)
Income from continuing operations before income taxes
2,840,619

 
2,701,549

Income tax provision
1,045,111

 
51,232

Net income
$
1,795,508

 
$
2,650,317

 
 
 
 
Net income per share of common stock — basic and diluted
$
0.07

 
$
0.10

 
 
 
 
Weighted average shares outstanding — basic and diluted
25,451,354

 
25,451,354




The Goldfield Corporation and Subsidiaries
Condensed Consolidated Balance Sheets
(Unaudited)
 
March 31,
 
December 31,
 
2013
 
2012
ASSETS
 
 
 
Current assets
 
 
 
Cash and cash equivalents
$
2,195,696

 
$
7,845,943

Accounts receivable and accrued billings, net
14,842,862

 
13,288,812

Real estate inventory
355,019

 
351,634

Costs and estimated earnings in excess of billings on uncompleted contracts
6,667,243

 
7,411,544

Deferred income taxes
704,440

 
773,307

Residential properties under construction
571,783

 
215,648

Prepaid expenses
1,371,288

 
974,278

Other current assets
136,661

 
193,737

Total current assets
26,844,992

 
31,054,903

 
 
 
 
Property, buildings and equipment, at cost, net
29,275,369

 
23,817,328

Notes receivable, less current portion
140,023

 
151,861

Deferred charges and other assets
2,163,208

 
2,094,435

Total assets
$
58,423,592

 
$
57,118,527

 
 
 
 
LIABILITIES AND STOCKHOLDERS' EQUITY
 
 
 
Current liabilities
 
 
 
Accounts payable and accrued liabilities
$
7,429,121

 
$
6,637,932

Current portion of notes payable
4,438,175

 
4,219,720

Income taxes payable
531,230

 
1,001,062

Other current liabilities
95,504

 
374,052

Total current liabilities
12,494,030

 
12,232,766

 
 
 
 
Deferred income taxes
4,520,691

 
4,045,820

Other accrued liabilities
10,665

 
10,556

Notes payable, less current portion
12,309,269

 
13,535,956

Total liabilities
29,334,655

 
29,825,098

Commitments and contingencies
 
 
 
Stockholders' equity
 
 
 
Common stock
2,781,377

 
2,781,377

Capital surplus
18,481,683

 
18,481,683

Retained earnings
9,134,064

 
7,338,556

Common stock in treasury, at cost
(1,308,187
)
 
(1,308,187
)
Total stockholders' equity
29,088,937

 
27,293,429

Total liabilities and stockholders' equity
$
58,423,592

 
$
57,118,527



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