Second Quarter Highlights:
- Backlog increased to $605.1 million on project awards of $291.9 million
- Revenues were $221.4 million and fully diluted earnings per share were $0.21
- Recognized a project charge of $3.3 million, or $0.08 per fully diluted share
- Adjusted earnings per share, exclusive of the above charge was $0.29 (A)
TULSA, Okla., Feb. 6, 2013 (GLOBE NEWSWIRE) -- Matrix Service Company (Nasdaq:MTRX) today reported its financial results for the second quarter and six months ended December 31, 2012. In the quarter, the Company recorded a charge of $3.3 million related to an aboveground storage tank project in western Canada. The project contained some estimated elements related to field labor productivity and associated costs that did not accurately represent the project costs that we are experiencing in this geographic area. The charge takes into account the expected costs to complete the project and total revenues to be recognized.
John Hewitt, President and CEO of Matrix Service Company, said, "We are disappointed with the charge on the aboveground storage tank project in western Canada. However, this region is an area of growth and opportunity for our organization and is a major focus of our long term strategy. Growth and expansion is not without its risks and we continue to work hard to minimize these risks and challenges with diligence in our risk management process, upgrades and improvements to our systems and processes, and continued focus on employee recruitment, development and training."John Hewitt added, "Revenue and opportunities continue to increase in both the core business and strategic growth areas with new awards in the first six months of fiscal 2013 totaling $538.7 million, resulting in record backlog of $605.1 million. With the exception of the charge in our western Canadian operations, financial performance exceeded our expectations and we see favorable business conditions across most of our end markets."