Pernix Group, Inc. Announces Third Quarter 2014 Financial Results

LOMBARD, Ill., Nov. 19, 2014 (GLOBE NEWSWIRE) -- Pernix Group, Inc. (OTCQB:PRXG) today announced its financial results for the third quarter ended September 30, 2014.

Financial Highlights All figures are in U.S. dollars; comparisons of performance are made between Q3 2014 and Q3 2013 unless otherwise specified.

Revenue and Backlog
  • Total revenue of $19.2 million
  • Construction revenue of $17.2 million
  • Power Generation revenue increased 15%
  • Revenue generated from seven contracts, a 29% increase in the number of revenue generating projects
  • Continued diversification of customer base and project profiles domestically and abroad
  • Backlog of $53.1 million, an increase of 43% since December 31, 2013
  • $61.2 million of new business in first half of year, an increase of 65% over the prior year period

Operating Results
  • Gross profit increased 44%, driven by higher margins on construction projects
  • Compensation expense increased $0.6 million as the Company hired key Construction and Power personnel in anticipation of continued portfolio expansion
  • Continued bottom line profitability, with basic EPS of $0.04 year-to-date and $0.02 for the quarter

Liquidity and Balance Sheet
  • Cash and cash equivalents decreased 17% to $16.1 million
  • The Company remains debt free

Financial Review

The Company generated consolidated revenue in the third quarter of 2014 of $19.2 million, as compared to $21.4 million in the comparable period of 2013. Construction segment revenue declined from $19.7 million to $17.2 million, due primarily to achieving substantial completion of a large containerized housing (CHU) project while revenue from several new projects substantially offset the decline from the CHU project. The Company generated construction-related revenue from seven projects during the three months ended September 30, 2014, as compared to five projects during the comparable period in 2013, reflecting the ongoing success of the Company's efforts to diversify its project portfolio. Power segment revenue increased from $1.7 million to $1.9 million, due primarily to higher demand for power at our plants in Fiji, driven by a shift from hydro to diesel generation, partially offset by lower man-month fees at our operations in Vanuatu.