Perma pipe International Holdings Inc (PPIH)
| Sector • Capital Goods Industry • Industrial Machinery and Components |
| Industry • Industrial Machinery and Components |
| Sector • Capital Goods |
Perma Pipe International Holdings Inc Demonstrates Moderate Revenue Decline for the Fiscal Period Ending Jul 31, 2023
PPIH reported second quarter of 2023 operating income of $2.691 million
Published Sep 15 2023 / Modified Sep 17 2023
Goran Soko / CSIMarket.com Contributer
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Perma Pipe International Holdings Inc (PPIH) experienced a significant decline in earnings per share (EPS) for the fiscal period spanning May to July 31, 2023 compared to the previous year.EPS dropped by -43.48% to $0.13 per share, down from $0.23 per share the previous year.
However, there was some improvement compared to the previous quarter, with EPS turning positive from $-0.14 per share.
The company also witnessed a decrease in revenue, with a -6.862% decline to $34.46 million from the comparable quarter a year prior.
However, sequentially, revenue improved by 16.209% from $29.66 million.
It is worth noting that in contrast to Perma Pipe International Holdings Inc's performance, the Industrial Machinery and Components industry as a whole recorded a revenue gain of 5.58% in the second quarter of 2023.
Net income for the fiscal period of May to July 31, 2023, stood at $1.170 million, showing a decline of -37.37% from $1.868 million in the corresponding period a year before.
The company's profitability was also affected, as the operating margin decreased to 7.81% and the net margin shrank to 3.39%.
Despite an increase in stockpiles to $13.9 million, likely due to the seasonal nature of the company's business, they remained below the previous year's level of $16.3 million.
Operating earnings fell by -19.07% to $2.691 million, resulting in Perma Pipe International Holdings Inc's operating margin contracting to 7.81%, down from 8.99% in the second quarter of 2023.
The rise in accounts receivable also indicates a growing demand, with the value reaching $63.4 million, higher than the preceding quarter.
Looking ahead, Perma Pipe International Holdings Inc is expected to report its next financial results on December 5, 2023.
In terms of stock performance, over the past 7 days, Perma Pipe International Holdings Inc shares saw a decline of -0.47%. This brings the year-to-date performance to -8.88%. However, shares still trade 8.9% above their 52-week low.