Northwest Pipe is optimistic about a strong market recovery next year despite a lower earnings guidance for Q4, according to Scott Montross, president and chief executive officer of the company.
The firm posted net sales of $216mn in January-September, up from $207mn in the same period last year. Income before tax in this period amounted to $19.1mn, growing fractionally from $19mn in the prior-year period. These gains depicted the strong market for Northwest’s products despite the impact of the COVID-19 pandemic, Montross noted.
The American water pipeline manufacturer reported net sales of $77.6mn in Q3 2020, up from $75.2mn in the same quarter last year. However, its income before tax fell to $9.9mmn compared with $10.5mn during the same period under review because of the increased cost of sales caused by delays in securing contracts due to the pandemic.
In the first nine months, Northwest’s net income fell to $13.8mn, compared with $15.9mn in the prior year. In Q3 2020, net income tallied at $7.2mn, down from $10.7mn in Q3 2019.