Industrial Services of America, Inc. (NASDAQ: IDSA), a company that buys, processes and markets ferrous and non-ferrous metals and other recyclable commodities for domestic users and export markets and offers programs and equipment to help businesses manage waste, today announced financial results for the first quarter ended March 31, 2012.
Revenue for the quarter was $61.7 million compared with $106.4 million in the first quarter of 2011. Net income for the quarter was $8.5 thousand, or break-even on a per diluted share basis, compared with net income of $2.2 million, or $0.31 per diluted share, for the comparable period in 2011.
Sequentially, revenue for the quarter showed an increase of $11.7 million compared to revenue of $50.0 million for the fourth quarter of 2011. Net income for the quarter was $1.8 million higher compared to a net loss of $(1.8) million for the fourth quarter of 2011.
- Shipments of stainless steel products increased 29.7% over the fourth quarter of 2011
- Non-ferrous shipments increased 6.1% over the fourth quarter of 2011
- The Company was in compliance with all bank covenants as of March 31, 2012
- EBITDA for the quarter was $1.6 million
- Current ratio at March 31, 2012, was 2.6 to 1
- Working capital as of March 31, 2012 was $28.8 million
Brian Donaghy, President and Chief Operating Officer of ISA, stated, “Our stainless steel and non-ferrous businesses showed improvement during the first quarter of 2012. The ferrous environment continues to be a challenge, with a tight scrap supply that continues to squeeze margins. While the second half of 2011 was a particularly difficult environment for us, we have now shown two consecutive quarters of improving operating results. Adjusting for the impact of a one-time charge related to an employee severance, earnings would have been $0.02 per share on a fully dilutive basis. During the first quarter, our stainless steel and non-ferrous businesses showed sequential improvements in volume and margin. While we are pleased to report improving operating results, we recognize that we still have a way to go to get back to historic levels of profitability.”