) first quarter 2013 non-GAAP earnings of 10 cents a share
largely missed the Zacks Consensus Estimate of 15 cents a share.
However, earnings were higher than the prior-year quarter's 9
cents a share.
Quarterly profits were impacted by the delay in timing of
orders and shipment of projects for certain customers.
The company reported first quarter 2013 revenues of $22.0
million, down 12.9% compared with $25.2 million in the prior-year
Bookings for the first quarter were $24.1 million compared
with $27.0 million in the prior-year quarter. The company's
backlog of orders as of April 30, 2013 was $27.0 million compared
with $30.5 million last year. The company expects to ship a major
portion of its backlog during the current year.
Product Recovery/Pollution Control Technology
segment reported first quarter sales of $9 million, down 15% from
the year-ago quarter. Despite substantial quoting activity, the
timing of purchase orders and shipments on potential large
projects lagged a bit in the first quarter.
Fluid Handling Technology
segment, first quarter net sales were down 14% to $8.1 million.
Despite lower volumes, the segment was able to maintain Fluid
Handling operating margins at 25.3% for the quarter.
Mefiag Filtration Technology
segment reported first quarter net sales of $2.6 million, down
about 8% from a year ago, mainly due to lower volume in Europe.
Despite lower revenues, operational efficiencies enabled Mefiag
to slightly outperform year-ago quarter's earnings performance
with an operating loss of $35,000 this year versus last year's
loss of $70,000.
Net sales in the
segment decreased 9% from the prior-year quarter, principally due
to continued weak municipal demand in the Pristine Water
Solutions business unit. However, this segment recorded an
operating profit of $117,000 in the quarter, a significant
improvement from year-ago quarter's operating loss of $122,000.
Thus, reflecting increased focus on productivity enhancement
throughout the organization.
Gross profit for the quarter was $8.0 million compared with
$8.9 million in the prior-year quarter. The decline in gross
profit was attributable to lower revenues during the current
quarter. However, gross margin was slightly higher at 36.5%
compared with 35.5% reported in the prior-year quarter. The
increase in gross margin reflects structural and organizational
changes to improve operational effectiveness and efficiency, as
well as disciplined cost control.
Selling, general and administrative expenses were $5.7 million
for the first quarter compared with $7.2 million in the first
quarter of last year. Selling, general and administrative
expenses in the year-ago quarter included one-time costs of
approximately $0.7 million.
Balance Sheet and Dividend
Exiting the quarter, the company had cash and cash equivalents
of $39.4 million with long-term debt of $2.1 billion and
shareholders' equity of $87.8 billion.
On Apr 1, 2013, the board of directors declared a quarterly
dividend of $0.0725 per share, payable on Jun 14, 2013 to
shareholders of record at the close of business on May 31, 2013.
This is the 22nd consecutive year that Met-Pro Corporation has
paid a cash dividend.
On Apr 22, Met-Pro entered into a definitive agreement to be
CECO Environmental Corp
) for approximately $210 million.
Met-Pro currently has a Zacks Rank #3 (Hold). Some other
stocks that are worth considering at the moment are
Honeywell International Inc.
Quanta Services Inc.
), both having a Zacks Rank #2 (Buy).
CECO ENVIRNMNTL (CECE): Free Stock Analysis
HONEYWELL INTL (HON): Free Stock Analysis
MET-PRO CORP (MPR): Free Stock Analysis
QUANTA SERVICES (PWR): Free Stock Analysis
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