Insteel Industries Inc. (NYSE: IIIN) said its net earnings for the third quarter of fiscal 2022 were up sharply over the same period a year ago.
For the quarter, Insteel reported net earnings of $38.6 million, or $1.96 per share, more than double the figures from the same quarter a year ago, which stood at $18.4 million, or 94 cents per share.
The results continued a year-long trend of strong earnings. For the first nine months of the fiscal year, the company reported net earnings of $100.7 million, or $5.13 per share, compared to $41.5 million, or $2.13 per share, for the same period a year ago.
“The company’s results were favorably impacted by strong demand for its reinforcing products and incremental price increases to recover the escalation in raw material and operating costs,” the firm said in announcing the results.
Net sales for the third quarter stood at $227.2 million, up from $160.7 million for the prior year quarter, driven by a 53.9% increase in average selling prices partially offset by an 8.2% decrease in shipments, the firm said.
Net sales for the first three quarters combined rose to $618.8 million, up from $419.3 million for same period a year ago.
“The average selling price increase was the result of price increases implemented across all product lines to recover rapidly escalating costs. The unfavorable shipment volume comparison was driven by lower activity in the company’s standard welded wire reinforcement product line together with curtailed operating hours at certain facilities related to staffing challenges,” the company’s statement said.
“We expect our historically strong financial performance to continue for the fiscal fourth quarter,” said H.O. Woltz III, Insteel’s president and CEO. “Our markets remain robust and economic indicators for non-residential construction activity along with internal customer and market insights point to continued momentum through the balance of the calendar year.”
Woltz continued, “While deliveries of offshore steel wire rod alleviated the raw material shortfalls that constrained production and shipping volumes during the first half of the year, we are increasingly contending with unusually tight labor markets that have prevented full capacity operating schedules at certain facilities. We have responded to this challenge with innovative work schedules and higher pay levels which we believe will support the ramp up in production we expect through the end of the calendar year.”
To see the full quarterly report, along with additional information about Insteel, visit https://investor.insteel.com/financials/quarterly-results/default.aspx
Source: https://www.mtairynews.com
Be First to Comment