Bird Construction Inc. Announces 2014 First Quarter Financial Results

LISTING:  TORONTO STOCK EXCHANGE
SYMBOL: BDT

MISSISSAUGA, ON, May 9, 2014 /CNW/ -

HIGHLIGHTS:

  • First quarter net income of $0.9 million on construction revenue of $274.7 million, compares with $2.4 million and $288.5 million, respectively, in the first quarter of 2013.

  • The Company secured $417.7 million of new construction contracts, including change orders on existing contracts in the first quarter of 2014.  At March 31, 2014, the Company has a record level of backlog of $1,411.7 million compared with $1,268.7 million at December 31, 2013 and $1,028.6 million at March 31, 2013.

  • In the first quarter, the Company announced the award of new contracts totalling $300.0 million involving civil and building construction activity spread through our industrial, institutional and commercial sectors across many of our geographic operating areas. These project awards are supporting our extensive work program across the country that is currently under construction.

  • In the first quarter, the Company as part of various consortia was short-listed to submit proposals for the construction of the Calgary Composting Facility and the Moncton Events Centre.

  • Bird's Board of Directors declares monthly dividends of $0.0633 per common share for May, June, July and August 2014.

"While we are disappointed by the net income produced in the first quarter of 2014, we are satisfied with the way the year is expected to shape up", stated Mr. Tim Talbott, President and CEO of Bird Construction.  "Additional costs attributed to the timing of our large project pursuits, client deferrals of projects in the mining sector and the seasonality of some of our operations had a greater impact on the quarter than expected.  We do not foresee these trends continuing and are confident that our record backlog will provide the work program to produce a successful year as increased construction activity commences through the summer months.  We expect this improvement to be particularly evident in the latter half of 2014."

Financial Results      
('000s except per share amounts)      
  Three months ended
March 31
  2014   2013
       
Construction Revenue $274,674   $288,464
       
Net income and comprehensive income for the period $915   $2,431
Basic and diluted earnings per share $0.02   $0.06
       
       
  • Construction revenue decreased by 4.8% to $274.7 million for the first quarter ended March 31, 2014, compared to $288.5 million in the first quarter of 2013, primarily due to lower revenues derived from commercial clients, offset to some extent by higher construction revenue in our industrial sector as we commenced with construction of our recently secured large work program in this segment.

  • Net income of $0.9 million in the first quarter ended March 31, 2014, compares to $2.4 million in 2013. The reduction in 2014 net income is a result of lower construction revenue and higher general and administrative expenses.

  • The company's record backlog of $1,411.7 million at March 31, 2014 compares with $1,028.6 million at March 31, 2013 and $1,268.7 million at December 31, 2013.

Bird Construction Inc. also announced that its Board of Directors has approved regular cash dividends for the months of May, June, July and August 2014 in the amount of $0.0633 per common share for each month to be paid as follows:

i)      The May dividend of $0.0633 per share will be paid on June 20, 2014 to the Shareholders of record as of the close of business on May 30, 2014.
ii)      The June dividend of $0.0633 per share will be paid on July 18, 2014 to the Shareholders of record as of the close of business on June 30, 2014.
iii)      The July dividend of $0.0633 per share will be paid on August 20, 2014 to the Shareholders of record as of the close of business on July 31, 2014.
iv)      The August dividend of $0.0633 per share will be paid on September 19, 2014 to Shareholders of record as of the close of business on August 29, 2014.

A conference call for analysts and investors will be held at 10:00 AM EDT on Monday, May 12, 2014 to discuss the quarterly results.  The dial in number is 1-855-328-1925.  Attendees are asked to be on the line 10 minutes prior to the start of the call.

This press release contains forward-looking statements that involve a number of risks and uncertainties because they relate to events and depend on circumstances that will occur in the future.  Many factors could cause actual results and developments to differ materially from those expressed or implied by these forward-looking statements.

The Toronto Stock Exchange does not accept responsibility for the adequacy or accuracy of this release.

SOURCE Bird Construction Inc.

For further information:

T.J. Talbott, President & C.E.O. or
S.R. Entwistle, C.F.O.
Bird Construction Inc.
5700 Explorer Drive, Suite 400
Mississauga, ON   L4W 0C6
Phone: (905) 602-4122 Fax: (905) 602-1516