Record Quarterly EBITDA and Earnings Per Share
HOUSTON, Oct. 24 /PRNewswire/ -- Universal Compression Holdings, Inc.
(NYSE: UCO), a leading provider of natural gas compression services, today
reported net income for its fiscal 2002 second quarter ended
September 30, 2001 of $12.8 million, or $0.42 per diluted share, on revenues
of $174.1 million. In the second quarter of fiscal 2001, the Company reported
net income of $1.8 million, or $0.13 per diluted share, on revenue of
$38.9 million. EBITDA for the second quarter of fiscal 2002 was
$52.1 million, an increase of 212 percent compared to $16.7 million in the
prior year period.
EBITDA (net income plus income taxes, interest expense, leasing expense,
management fees, depreciation and amortization excluding non-recurring items
and extraordinary gains or losses) for the second quarter of fiscal 2002
increased 11 percent and net income increased 21 percent compared to the
previous quarter ended June 30, 2001.
"We are pleased with the company's record financial performance in the
second fiscal quarter," said Stephen A. Snider, Universal's President and
Chief Executive Officer. "With continuing strong demand and healthy backlog,
we expect EBITDA of approximately $213 million and earnings per share of
approximately $1.72 for the fiscal year ending March 31, 2002."
Segment Information
Contract compression revenue for the second quarter of fiscal 2002 was
$85.2 million, an increase of 12 percent from the previous quarter and
197 percent higher than the prior year period. The Company's contract
compression compressor fleet totaled 2.2 million horsepower at
September 30, 2001, compared to 2.0 million horsepower at June 30, 2001 and
810,000 horsepower at September 30, 2000. The increase in fleet size in the
second quarter of fiscal 2002 was driven by the purchase of KCI, Inc. in
July 2001 and the Company's ongoing capital expenditure program. The
Company's average horsepower utilization increased to 90 percent for the
quarter from 89 percent in the quarter ended June 30, 2001 and 86 percent in
the prior year period. International contract compression revenue for the
quarter was $16.3 million, an increase of 16 percent from the previous quarter
and 281 percent higher than the prior year period. At September 30, 2001, the
Company's international fleet totaled approximately 339,000 horsepower.
Fabrication revenue for the quarter was $56.8 million, up 76 percent from
the quarter ended June 30, 2001 and an increase of 583 percent from the prior
year period. Fabrication backlog was $101 million at September 30, 2001, up
from $46.9 million at June 30, 2001 and $26.8 million at September 30, 2000.
The addition of KCI's fabrication operations enhanced fabrication activity
levels during the second quarter of fiscal 2002 as well as period-end backlog.
Parts sales and service revenue for the quarter was $32.3 million, a slight
increase from the previous quarter which included approximately $5 million in
used equipment sales, and was $1.8 million in the prior year period.
"Expanded product and service offerings and a larger operational footprint
are enhancing our ability to seize market opportunities. Areas of significant
new business activity include the Rocky Mountain and Gulf Coast regions of the
United States and Latin America," added Snider.
Conference Call
Universal will host a conference call on Thursday, October 25, 2001 at
10:00 am Central Time, 11:00 am Eastern Time to discuss the quarter's results
and other corporate matters. The conference call will be broadcast over the
Internet to provide interested persons the opportunity to listen to it live.
The call will also be archived for one week to provide an opportunity to those
unable to listen to the live broadcast. Both the live broadcast and replay of
the archived version are free of charge to the user.
Persons wishing to listen to the conference call live may do so by logging
onto http://videonewswire.com/event.asp?id=1638 at least 15 minutes prior to
the start of the call. A replay of the call will remain available at the Web
site http://www.prnewswire.com through November 1, 2001.
Universal, headquartered in Houston, Texas, is a leading natural gas
compression services company, providing a full range of contract compression,
sales, operations, maintenance and fabrication services to the domestic and
international natural gas industry.
Statements about Universal's outlook and all other statements in this
release other than historical facts are forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995. These
forward-looking statements rely on a number of assumptions concerning future
events and are subject to a number of uncertainties and factors, many of which
are outside Universal's control, which could cause actual results to differ
materially from such statements. While Universal believes that the
assumptions concerning future events are reasonable, it cautions that there
are inherent difficulties in predicting certain important factors that could
impact the future performance or results of its business. Among the important
factors that could cause actual results to differ materially from those
indicated by such forward-looking statements are integration of acquisitions
and the demand for Universal's products and services. These and other risk
factors are discussed in Universal's filings with the Securities and Exchange
Commission, copies of which are available to the public. Universal expressly
disclaims any intention or obligation to revise or update any forward-looking
statements whether as a result of new information, future events, or
otherwise.
UNIVERSAL COMPRESSION HOLDINGS, INC.
UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts)
Three Months Ended
September 30, June 30, September 30,
2001 2001 2000
Revenue:
Contract compression $85,190 $75,950 $28,681
Fabrication 56,831 32,234 8,318
Parts sales and service 32,287 32,177 1,813
Other (189) (47) 41
Total revenue 174,119 140,314 38,853
Costs and expenses:
Cost of sales - contract compression 29,749 27,565 9,903
Cost of sales - fabrication 50,780 28,038 6,955
Cost of sales - parts sales and
service 25,650 25,237 1,525
Depreciation and amortization 11,712 11,380 6,679
Selling, general and administrative 15,813 12,676 3,769
Operating lease 12,973 12,593 1,995
Interest expense 6,573 5,532 5,221
Total costs and expenses 153,250 123,021 36,047
Income before income taxes and
extraordinary items 20,869 17,293 2,806
Income taxes 8,076 6,748 1,053
Net income $12,793 $10,545 $1,753
Weighted average common and common
equivalent shares outstanding:
Basic 30,396 28,481 13,504
Diluted 30,606 28,811 13,881
Earnings per share:
Basic $0.42 $0.37 $0.13
Diluted $0.42 $0.37 $0.13
UNIVERSAL COMPRESSION HOLDINGS, INC.
UNAUDITED SUPPLEMENTAL INFORMATION
(In thousands)
Three Months Ended
September 30, June 30, September 30,
2001 2001 2000
Revenue:
Domestic contract compression $68,871 $61,919 $24,396
International contract compression 16,319 14,031 4,285
Fabrication 56,831 32,234 8,318
Parts sales and service 32,287 32,177 1,813
Other (189) (47) 41
Total $174,119 $140,314 $38,853
Gross Profit:
Domestic contract compression $43,882 $38,749 $15,524
International contract compression 11,559 9,636 3,254
Fabrication 6,051 4,196 1,363
Parts sales and service 6,637 6,940 288
Other (189) (47) ---
Total $67,940 $59,474 $20,429
Selling, General and Administrative $15,813 $12,676 $3,769
% of Revenue 9% 9% 10%
EBITDA, as adjusted $52,127 $46,798 $16,701
% of Revenue 30% 33% 43%
Profit Margin:
Domestic contract compression 64% 63% 64%
International contract compression 71% 69% 76%
Fabrication 11% 13% 16%
Parts sales and service 21% 22% 16%
Total 39% 42% 53%
EBITDA, as adjusted, is defined as net income plus income taxes, interest
expense, leasing expense, management fees, depreciation and amortization,
excluding non-recurring items and extraordinary gains and losses.
September 30, March 31,
2001 2001
Debt $274,185 $215,107
Operating Leases $607,500 $527,500
Shareholders' Equity $732,699 $652,574
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SOURCE Universal Compression Holdings, Inc.
Web site: http: //www.universalcompression.com
Photo: NewsCom: http: //www.newscom.com/cgi-bin/prnh/20011008/UCOLOGO AP Archive: http://photoarchive.ap.org PRN Photo Desk, +1-888-776-6555 or +1-212-782-2840
CONTACT: David Oatman, Director, Investor Relations of Universal Compression Holdings, Inc., +1-713-335-7460
Audio: http: //videonewswire.com/event.asp?id=1638
CAPTION: UCOLOGO UNIVERSAL COMPRESSION HOLDINGS LOGO Universal, headquartered in Houston, Texas, is a leading natural gas compression services company, providing a full range of contract compression, sales, operations, maintenance and fabrication services to the domestic and international natural gas industry. (PRNewsFoto)[TK] HOUSTON, TX USA 10/08/2001