Fourth Quarter Backlog Is Up over 17% from Third Quarter on Stronger Fourth Quarter Bookings
Full Year Positive Cash Flow of $28.6 Million; Debt Reduced by $16.9 Million in 2013
BRIDGEVILLE, Pa., Feb. 5, 2014 (GLOBE NEWSWIRE) -- Universal Stainless & Alloy Products, Inc. (Nasdaq:USAP) today reported net sales of $40.3 million for the fourth quarter of 2013 and a net loss of $2.9 million, or $0.41 per diluted share, including a write-down of a deferred state tax asset of approximately $1.0 million, or $0.14 per diluted share. In the fourth quarter of 2012, net sales were $47.2 million and net income was $1.1 million, or $0.16 per diluted share. Compared with the fourth quarter of 2012, tons shipped to the aerospace market increased 6% and power generation shipments were up 8%, while shipments to the oil and gas market were down 51% and heavy equipment market shipments were down 2%. However, backlog (before surcharges) in the fourth quarter increased by 17.2% to $46.8 million from the third quarter of 2013 as a result of stronger fourth quarter 2013 bookings. The Company's gross margin for the fourth quarter of 2013 was $1.5 million, or 3.7% of sales, compared with a gross margin as a percentage of sales of 12.7% in the fourth quarter of 2012. The decrease was primarily the result of lower shipments and operating activity, product mix and the misalignment of surcharges to raw material costs. As a result, the Company incurred an operating loss of $2.6 million in the fourth quarter of 2013 compared to operating income of $1.8 million in the fourth quarter of 2012. For full year 2013, the Company's net sales were $180.8 million and the net loss was $4.1 million, or $0.58 per diluted share. That compares with net sales of $251.0 million and net income of $14.6 million, or $2.02 per diluted share, for 2012.