Previous Statements by TISI
» Team's CEO Discusses Q3 2012 Results - Earnings Call Transcript
» Team's CEO Discusses Q2 2012 Results - Earnings Call Transcript
» Team's CEO Discusses Q1 2012 Results - Earnings Call Transcript
Ted will begin with a review of the financial results. I will then follow Ted with a few remarks and observations about our performance and prospects. And then following these remarks, we'll take questions from our listeners.With that, Ted, let me turn it over to you. Ted W. Owen Thank you, Phil. First, as usual, I want to remind everyone that any forward-looking information we discuss today is being provided in accordance with the provisions of the Private Securities and Litigation Reform Act of 1995. We've made reasonable efforts to ensure that the information, assumptions and beliefs upon which this forward-looking information is based are current, reasonable and complete. However, a variety of factors could cause actual results to differ materially from those anticipated in any forward-looking information. A description of those factors is set forth in the company's SEC filings. Accordingly, there can be no assurance that the forward-looking information discussed today will occur or that our objectives will be achieved. And we assume no obligation to publicly update or revise any forward-looking statements made today or any other forward-looking statements made by the company, whether as a result of new information, future events or otherwise. Now with that, onto the financial results. First, let me report the results for the fourth quarter. Revenues for the quarter were $188 million, up 16% from last year's quarter. Adjusted net income available to shareholders was $14.8 million, up 37% and adjusted earnings were $0.71 per diluted share, up 34% from the $0.53 per share reported in last year's quarter. Excluded from adjusted earnings, and as we discussed in the press release, we incurred a $1.7 million nonrecurring, noncash charge in the quarter to write-off previously capitalized development cost related to a planned new headquarters manufacturing, equipment and training facility that was to have been constructed on a 50-acre tract of land that we own in Houston.
Those of you who have followed us for a while, will recall that we suspended development activity on the site in 2008, as a result of the recession. We have now decided not to pursue the development of the land. Instead, our existing corporate headquarters in Alvin, Texas will be repurposed as a technical center for training, engineering, manufacturing and operation support, and we will relocate our corporate office to a leased commercial office space in Sugar Land, Texas which is another suburb of Houston. We expect to complete the corporate relocation by the end of this year, 2012, and to have completed the construction and remodeling activities in Alvin by the end of 2013.We now expect to spend about $5 million for the re-purposing of existing space at our Alvin location, as well as for the corporate office leased in Sugarland, as opposed to the $25 million that was originally planned for the facilities on the 50-acre site. We have placed the 50-acre site for sale now and expect the proceeds from that sale to more than fund our revised capital plans for the Alvin and Sugarland facilities. Shifting now to the full year results. Total revenues for the year were $624 million, up $116 million or 23% from the prior year. Adjusted EBIT or operating income for the year was $57.3 million, an increase of 33%. Adjusted net income available to shareholders was $34.5 million, up 37% over last year. And adjusted earnings per share was $1.67 versus $1.26 last year, an increase of 33%. Another record year for Team in both revenues and earnings. Now with respect to cashflow-related items. Capital expenditures for the year were $24 million, which includes $5.7 million expended for operations facilities. Depreciation and amortization was $17.5 million, and noncash compensation expense was $4.4 million. Additionally, as we had previously reported in the second quarter, we spent $19.4 million for 2 small acquisitions. Read the rest of this transcript for free on seekingalpha.com