HOUSTON, March 29, 2018 - American Electric Technologies, Inc. (NASDAQ: AETI), a leading supplier of power delivery solutions for the global energy industry, today announced its fourth quarter and fiscal year 2017 financial results.
AETI announced revenue for the quarter of $12.9 million, up 37% from the $9.4 million reported in the fourth quarter of 2016 and down 3% compared with the third quarter of 2017.
The company’s revenue increase in the quarter was driven by strong growth in the oil & gas sector, which saw a revenue increase of 200% versus the fourth quarter of 2016 but a decline of 16% from the third quarter of 2017.
For the year, AETI revenues were $47.1M, up 25% from 2016, primarily due to growth in the midstream and downstream oil and gas sectors.
EBITDA in the quarter (a non-U.S. GAAP measure) improved by $0.5 million to a loss of $0.1 million, up from a loss of $1.1 million in the fourth quarter of 2016 and up $0.5 million from the $0.6 million loss reported in the third quarter of 2017.
Net income in the quarter was $2.3 million, up from a $1.8 million loss in the fourth quarter of 2016 and up from $1.1 million loss in the third quarter of 2017. Net income for the quarter was favorably impacted by a one-time, non-cash benefit of $2.8 million resulting from the utilization of fully reserved tax assets to offset tax liabilities related to the Company's non-US subsidiary and joint venture and based on the recently passed Tax Cuts and Jobs Act.
The company showed a $4.8 million improvement in annual net income to a loss of $2.6 million in 2017, up from a loss of $7.4 million in 2016.
“As we continue to execute on our growth strategy, results for both the fourth quarter and the year show we’re heading in the right direction,” said Charles Dauber, AETI president and chief executive officer. “Although we continue to face challenging conditions in our core markets, I am proud of advances our company and employees accomplished in 2017.”
The company reported quarter ending backlog of $18.9 million, down 20% from the $23.5 reported at the end of the third quarter of 2017, primarily due to delayed project awards in the midstream oil and gas sector.
AETI will conduct a conference call at 11 a.m. EST on March 29, 2018 to discuss the results with analysts, investors and other interested parties. Individuals who wish to participate in the conference call should dial 866-519-2796 passcode 753620, in the United States and Canada. International callers should dial +1 323-794-2095 passcode 753620.
American Electric Technologies, Inc. (NASDAQ:AETI) is a leading provider of power delivery solutions to the global energy industry. AETI offers M&I Electric™ power distribution and control products, electrical services, and construction services.
AETI is headquartered in Houston and has global sales, support and manufacturing operations in Beaumont, Texas and Rio de Janeiro, Macaé and Belo Horizonte, Brazil. In addition, AETI has minority interest in a joint venture in Xian, China. AETI's SEC filings, news and product/service information are available at www.aeti.com.
Forward Looking Statements
This press release contains forward-looking statements, as defined in Section 27A of the Securities Exchange Act of 1934, concerning anticipated future domestic and international demand for our products, and other future plans and objectives. While the Company believes that such forward-looking statements are based on reasonable assumptions, there can be no assurance that such future revenues, profits, plans and objectives will be achieved on the schedule or in the amounts indicated. Investors are cautioned that these forward-looking statements are not guarantees of future performance. Actual events or results may differ from the Company’s expectations, and are subject to various risks and uncertainties, including those listed in Item 1A of the Form 10-K filed with the Securities and Exchange Commission on March 30, 2017. The Company assumes no obligation to publicly update or revise its forward-looking statements even if experience or future events make it clear that any of the projected results expressed or implied herein will not be realized.
American Electric Technologies, Inc.