Bird Construction Inc. Announces 2015 Second Quarter Results

LISTING: TORONTO STOCK EXCHANGE
SYMBOL: BDT

TORONTO, Aug. 12, 2015 /CNW/ - 

HIGHLIGHTS:

  • Second quarter net income of $10.8 million on construction revenue of $335.3 million, compares with $10.0 million and $328.8 million, respectively, in the second quarter of 2014.
  • For the six months ended June 30, 2015, the Company reported net income of $15.5 million on construction revenue of $641.5 million, compared with net income of $10.9 million on construction revenue of $603.5 million in 2014. The increase in 2015 earnings is mainly due to an increase in construction revenue and a higher gross profit percentage on construction revenue resulting from an increase in the relative significance of higher margin industrial projects executed this year compared to a year ago.
  • During the first half of 2015 the Company secured $1,000.9 million of new construction contracts, including change orders on existing contracts, which contributed to a record level of Backlog of $1,509.1 million at June 30, 2015 compared with $1,149.7 million at December 31, 2014 and $1,380.7 million at June 30, 2014.
  • In the second quarter of 2015 the Company, as part of the Chinook Resources Management Group consortium, executed a construction contract to design and build a composting facility for the City of Calgary.
  • During the second quarter of 2015 the Company, as part of the Joint Use Mutual Partnership consortium, was named as the preferred proponent to design, build, finance and maintain 18 pre-kindergarten to Grade 8 schools on nine joint-use sites in the Province of Saskatchewan. The Company will lead the construction joint venture that will design and build the facilities and also take a 20% equity interest in the concession responsible for the design, construction, financing and maintenance of the project.
  • Bird's Board of Directors declares monthly dividends of $0.0633 per common share for August, September, and October, 2015.

"The Company performed well in the second quarter with additional contract awards which have built our backlog to a new record. This bodes well for 2015 earnings, which we now expect may be similar to last year and provides some underpinning beyond 2015", commented Mr. Ian Boyd, President and CEO of Bird Construction. "At the same time, we are increasingly cautious with respect to the impact of lower oil prices on our northern Alberta opportunities, combined with low metal prices affecting the opportunities available to our HJO northeastern Canadian operations, acquired in 2011. These resource driven opportunities have been a mainstay in our historical growth. We are actively seeking opportunities to redeploy these capabilities into other areas but may be challenged to achieve renewed earnings growth for the foreseeable future."

Financial Results








('000s except per share amounts)












Three months ended


Six months ended





June 30


June 30





2015


2014


2015


2014












Construction Revenue

$335,322


$328,835


$641,485


$603,509












Net income and comprehensive income for the period

$10,815


$10,015


$15,542


$10,930












Basic and diluted earnings per share

$0.26


$0.24


$0.37


$0.26

  • Construction revenue of $641.5 million in the six months ended June 30, 2015 was 6.3% higher than $603.5 million recorded in the six months ended June 30, 2014, resulting from the execution of the Company's significant industrial work program.
  • Net income of $15.5 million in the six months ended June 30, 2015, compares to $10.9 million in 2014. The increase in the amount of 2015 net income is primarily a result of higher construction revenue and the realization of a higher gross profit percentage.

Bird Construction Inc. also announced that its Board of Directors has approved regular cash dividends for the months of August, September, and October 2015 in the amount of $0.0633 per common share for each month to be paid as follows;

i)    

The August dividend of $0.0633 per share will be paid on September 18, 2015 to the Shareholders of record as of the close of business on August 31, 2015.

ii)   

The September dividend of $0.0633 per share will be paid on October 20, 2015 to the Shareholders of record as of the close of business on September 30, 2015.

iii)  

The October dividend of $0.0633 per share will be paid on November 20, 2015 to the Shareholders of record as of the close of business on October 30, 2015.

A conference call for analysts and investors will be held at 10:00AM ET on Thursday, August 13, 2015 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: I.J. Boyd, 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

RELATED LINKS
http://www.bird.ca

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