Ameron International Reports Steep 1Q Profit Fall

PASADENA, Calif. (AP) — Ameron International Corp., which makes water transmission lines and other products, posted a steep decline in first-quarter profit due primarily to falling demand for a steel product.

Net income of $3.8 million, or 42 cents per share, was down nearly one-third from $9.7 million, or $1.07 per share in the year-ago period.

Analysts surveyed by Thomson Reuters expected earnings of 47 cents per share on revenue of $136.8 million.

Revenue of $146 million for the quarter ended March 1 was down slightly from $149.8 million in the year-ago period.

The Pasadena, Calif., company said the results were due primarily to a significant fall in demand for steel rebar at the company's 50 percent-owned steel minimill. Ameron said demand fell due to a drop in construction spending in Arizona, California and Nevada.

The minimill posted a net loss of $5.2 million compared with net income of $6.1 million in the first quarter of 2008. Ameron's share of the net loss totaled $2.3 million after taxes in the first quarter compared with net income of $2.8 million in the year-ago period.