The following is text from a news release from Business Wire:
(HOUSTON) — Gulf Island Fabrication Inc. on Thursday reported that its board of directors had approved a recommendation of management to consolidate all of its fabrication operations in south Texas with its fabrication operations in Houma, La., and place its properties in Aransas Pass and Ingleside, Texas, up for sale.
These properties are currently underutilized and represent excess capacity within Gulf Island's fabrication division, the company said. "We are working to wind down all fabrication activities at these locations and reallocate remaining backlog and work force to our Houma fabrication yard as necessary," it said in a prepared statement. "We do not expect the sale of these properties to impact our ability to service our deepwater customers or operate our fabrication division."
Gulf Island Fabrication reported a net loss of $3.6 million ($0.24 diluted loss per share) on revenue of $55.5 million for its fourth quarter ended Dec. 31, 2016, compared to a net loss of $14.7 million ($1.01 diluted loss per share) on revenue of $55.0 million for the fourth quarter ended Dec. 31, 2015. For the years ended Dec. 31, 2016 and 2015, the company reported net income of $3.5 million ($0.24 diluted earnings per share) on revenue of $286.3 million compared to a net loss of $25.4 million ($1.75 diluted loss per share) on revenue of $306.1 million, respectively.
The company had a revenue backlog of $133 million and a labor backlog of approximately 1.3 million hours at Dec. 31, 2016, including commitments received through Feb. 22, 2017, compared to a revenue backlog of $181.2 million and a labor backlog of 1.6 million hours reported as of Sept. 30, 2016. "We expect to recognize revenue from our backlog of approximately $130.4 million and $2.6 million during the years 2017 and 2018, respectively," the company said.
As of Dec. 31, the company reported its balance sheet position remained stable with $51.2 million in cash, no debt, and working capital of $78 million. "We will continue to monitor and maintain a conservative capital structure as we navigate through the current oil and gas downturn," it said.
The company is currently fabricating complex modules for the construction of a new petrochemical plant, completing newbuild construction of two offshore support and two multipurpose service vessels and recently fabricated wind turbine pedestals for the first offshore wind power project in the United States.
