ENGlobal Corporation 2Q 2015 Report

HOUSTON, Aug. 6, 2015 (GLOBE NEWSWIRE) -- ENGlobal, a leading provider of engineering and automation services, today announced its financial results for the second quarter ended June 27, 2015.

HIGHLIGHTS OF CONTINUING OPERATIONS:

    Revenue of $21.1 million,
    Gross profit margin of 21.9%
    Net income of $0.03 per diluted share

Revenues in the second quarter of 2015 were $21.1 million, a decrease of 22.5% from $27.2 million in the prior year period. ENGlobal reported net income of $1 million, or $0.03 per diluted share, for the quarter ended June 27, 2015, compared to net income of $1.6 million, or $0.06 per diluted share, for the quarter ended June 28, 2014. During the quarter ended June 27, 2015, the Company incurred non-cash expenses for depreciation, amortization and stock compensation of $0.5 million as compared to $0.7 million for the same period in 2014.

Management's Assessment

Mark Hess, ENGlobal's Chief Financial Officer, said: "We are pleased to report today's profitable results-which I'm proud to say represents six consecutive profitable quarters. ENGlobal's profit margins remain respectable given the current environment, and our available capital has improved over the last year. The Company continues to maintain a healthy cash balance and working capital of $25.4 million, and we have no borrowings under our current credit facility."

"ENGlobal's response to the current energy marketplace has been to increase our efforts in developing new business," said William Coskey, P.E., Chairman and Chief Executive Officer of ENGlobal. "While we are excited about several new opportunities and client relationships that this internal process has produced, it also appears to be a great time to consider strategic acquisitions."

The following table illustrates the composition of the Company's revenue and profitability for its operations for the three months ended June 27, 2015 and June 28, 2014 can be found here.

Commentary

Another decent quarter folks. That's six in a row and ENGlobal is a fully recovered corporation.  Although smaller but more manageable, the hard to manage and lower profit earning centers have been cut. What you see is lighter weight healthier ENGlobal. The name of the game will be be growing with new divisions or profit centers added that have higher margins than the old traditional heavy weighted engineering model.

The CEO is a good entrepreneur and will find new areas to add. I am curious to see if some emphasis is put on new technology where the highest margins are possible in the shortest times. That would allow some rapid growth, attention and possible some buyout offers.

Good luck to all my new and long-time friends.

ENGlobal Corporation 1Q 2015 Report

ENGlobal Reports First Quarter 2015 Results
   
HOUSTON, May 7, 2015 (GLOBE NEWSWIRE) -- ENGlobal, a leading provider of engineering and automation services, today announced its financial results for the first quarter ended March 28, 2015.

HIGHLIGHTS OF CONTINUING OPERATIONS:

    Revenue of $23.1 million
    Gross profit margin of 17.8%
    Net income of $0.02 per diluted share

Revenues in the first quarter of 2015 were $23.1 million, a decrease of 14.1% from $26.9 million in the prior year period. ENGlobal reported net income of $0.6 million, or $0.02 per diluted share, for the quarter ended March 28, 2015, compared to net income of $1.8 million, or $0.07 per diluted share, for the quarter ended March 29, 2014. During the quarter ended March 28, 2015, the Company incurred non-cash expenses for depreciation, amortization and stock compensation of $0.6 million as compared to $0.7 million for the same period in 2014.

Management's Assessment

Mark Hess, ENGlobal's Chief Financial Officer, said: "The recent downturn in energy commodity prices has negatively impacted our business thus far in 2015 by contributing to cancellations of upstream related orders at the beginning of the first quarter. We expect continued softness in our business until overall project activity in the energy sector improves."

Mr. Hess continued: "We ended the first quarter with a healthy cash balance and working capital of $24.4 million, and have no borrowings under our current credit facility. In addition, notes receivable totaling $5.1 million were collected after the end of the quarter, contributing significantly to our cash position. While there is always room for improvement, I believe we are in a strong financial position and poised for future growth."

"We have pared the Company down to a smaller, more focused operation and reduced the risk profile of the projects we are undertaking, in addition to controlling overhead costs," said William Coskey, P.E., Chairman and Chief Executive Officer of ENGlobal. "These and other actions have allowed the Company to remain profitable, with positive cash flow during this downturn."

The following table illustrates the composition of the Company's revenue and profitability for its operations for the three months ended March 28, 2015 and March 29, 2014 can be found here.

ENGlobal Board Approves Stock Repurchase Program

ENGlobal Board Approves Stock Repurchase Program

HOUSTON, April 21, 2015 (GLOBE NEWSWIRE) -- ENGlobal, a leading provider of engineering and automation services, today announced that its Board of Directors has authorized the repurchase of up to $2 million of the Company's Common Stock.

Shares may be repurchased through open market or privately negotiated transactions, based on prevailing market conditions. The buyback program will be executed with internally generated corporate funds and the shares acquired will be retired and returned to the status of authorized but unissued.

ENGlobal: Fourth Quarter and FY 2014 Results

ENGlobal Reports Fourth Quarter and Fiscal Year 2014 Results

HOUSTON, March 12, 2015 (GLOBE NEWSWIRE) -- ENGlobal, a leading provider of engineering and automation services, today announced its financial results for the fourth quarter and fiscal year ended December 27, 2014.

2014 Fourth Quarter Highlights for Continuing Operations as compared to 2013 Fourth Quarter results:

• Revenue of $26.9 million, a 6.3% increase
• Gross profit margin of 20.4%, an increase of 140 basis points
• Net income of $0.8 million, an increase in net income of $0.4 million
• Earnings of $0.03 per diluted share, an increase from $0.02 per diluted share

On a comparable basis, revenue from the continuing businesses increased to $26.9 million or a 6.3% increase from $25.3 million in the fourth quarter of 2013. ENGlobal reported net income from continuing operations of $0.8 million, or $0.03 per diluted share, for the quarter ended December 27, 2014, compared to income of $0.4 million, or $0.02 per diluted share, for the quarter ended December 28, 2013. During the quarter ended December 27, 2014, the company incurred non-cash expenses for depreciation, amortization and stock compensation of $0.6 million as compared to $0.7 million for the comparable period in 2013.

2014 Fiscal Year Highlights for Continuing Operations as compared to 2013 Fiscal Year results:

• Revenue of $107.9 million, a 21.1% increase
• Gross profit margin of 21.7%, an increase of 530 basis points
• Net income of $6.0 million, an increase from a net loss of $2.3 million
• Earnings of $0.22 per diluted share, an increase from a loss of $0.08 per diluted share

On a comparable basis, revenue from the continuing businesses increased to $107.9 million for the fiscal year ended December 27, 2014, or a 21.1% increase from $89.1 million for the fiscal year ended December 28, 2013. The sale of the Gulf Coast EPCM business in August of 2013 had contributed $79.8 million of revenues for the year ended December 28, 2013. ENGlobal reported net income from continuing operations of $6.0 million, or $0.22 per diluted share, for the fiscal year ended December 27, 2014, compared to a loss of $2.3 million from continuing operations, or a loss of $0.08 per diluted share, for the fiscal year ended December 28, 2013. During the fiscal year ended December 27, 2014, the company incurred non-cash expenses for depreciation, amortization and stock compensation of $2.7 million as compared to $2.2 million for the comparable period in 2013.

Management's Assessment

Mark Hess, ENGlobal's Chief Financial Officer, said: "We are proud to have exceeded our financial targets for 2014, which was driven by an increase in margins, consistent project execution, as well as internal growth. We maintained a substantial cash balance and had no borrowings from our working capital lines during 2014. We also successfully replaced our credit facility with a similar three-year facility that will help provide the working capital needed to further our growth."

William Coskey, P.E., Chairman and Chief Executive Officer of ENGlobal added: "I would like to sincerely congratulate the outstanding men and women of ENGlobal for their contributions toward a successful 2014. We will not be immune to some industry headwinds during 2015, but are currently encouraged by the continued level of spending by our largely midstream and downstream clientele. Having regained our footing once again, we now expect to explore acquisition opportunities for external growth."

The following table illustrates the composition of the company's revenue and profitability for its operations for the fiscal years ended December 27, 2014 and December 28, 2013: Click Here

Congratulations to ENGlobal on their continuing improvement. The proof is in the numbers. With margins increasing and revenue growing I like what I am seeing. These are margin levels that ENGlobal hasn't experienced in the past. Selling off lower margin operations and moving into areas with more profit such as offshore work and Automation have enabled this change. This is good helmsmanship from management working like a team.

Take another look at the comments above by Mark Hess and Bill Coskey. Mark points out good news including "...no borrowings from our working capital lines during 2014." and replacing a credit facility with a better one. Bill Coskey notes, "We will not be immune to some industry headwinds during 2015, but are currently encouraged by the continued level of spending by our largely midstream and downstream clientele. Having regained our footing once again, we now expect to explore acquisition opportunities for external growth." This is realistic honesty you don't see very much in public company reports. I like it and it is overall good news. With the higher margins they can weather the normal economic bumps better. The trend is improving and I believe ENGlobal is a Buy. Good Luck to everyone.

ENGlobal Corporation: Third Quarter 2014 Results

HOUSTON, Nov. 6, 2014 (GLOBE NEWSWIRE) -- ENGlobal (Nasdaq:ENG), a leading provider of engineering and automation services, today announced its financial results for the third quarter and nine months ended September 27, 2014.

2014 Third Quarter Highlights for Continuing Operations as compared to 2013 Third Quarter results:

• Revenue of $26.9 million, a 17.0% increase from comparable operations
• Gross profit margin of 22.6%, an increase of 640 basis points from comparable operations
• Net income from continuing operations of $1.8 million, an increase from a net loss of $0.1 million
• Earnings of $0.07 per diluted share from continuing operations, an increase from $0.00 earnings per diluted share

On a comparable basis, revenue from the continuing businesses increased to $26.9 million or a 17.0% increase from $23.0 million in the third quarter of 2013. ENGlobal reported net income from continuing operations of $1.8 million, or $0.07 per diluted share, for the quarter ended September 27, 2014, compared to a loss of $0.1 million from continuing operations or $0.00 per diluted share, for the quarter ended September 28, 2013. During the quarter ended September 27, 2014, the company incurred non-cash expenses for depreciation, amortization and stock compensation expense of $0.7 million as compared to $0.5 million for the comparable period in 2013.

2014 Nine Months Highlights for Continuing Operations as compared to 2013 Nine Months results:

• Revenue of $81.0 million, a 26.8% increase from comparable operations
• Gross profit margin of 22.2%, an increase of 700 basis points from comparable operations
• Net income from continuing operations of $5.2 million, an increase from a net loss of $2.6 million
• Earnings of $0.19 per diluted share from continuing operations, an increase from a loss of $0.10 per diluted share

On a comparable basis, revenue from the continuing businesses increased to $81.0 million for the nine months ended September 27, 2014 or a 26.8% increase from $63.9 million for the nine months ended September 28, 2013. ENGlobal reported net income from continuing operations of $5.2 million, or $0.19 per diluted share, for the nine months ended September 27, 2014, compared to a loss of $2.6 million from continuing operations or $0.10 per diluted share, for the nine months ended September 28, 2013. During the nine months ended September 27, 2014, the company incurred non-cash expenses for depreciation, amortization and stock compensation expense of $2.1 million as compared to $1.6 million for the comparable period in 2013.

Management's Assessment

Mark Hess, ENGlobal's Chief Financial Officer, said: "We are continuing to see positive results from initiatives that have been undertaken at ENGlobal over the last two years. Our improved performance is best demonstrated by a significant increase in margins, consistent project execution, as well as substantial internal growth in our continuing operations. We maintained a substantial cash balance and had no borrowings during the quarter. We also successfully replaced our current credit facility on September 16^th with a similar three year facility that will help provide the working capital to sustain our growth."

William Coskey, P.E., Chairman and Chief Executive Officer of ENGlobal added: "ENGlobal is continuing to perform well, both operationally and financially, as evidenced by this fourth consecutive quarter of profitability. All stakeholders in our Company can and should take pride in the significant turnaround that we together have accomplished over the last two years. Our solid financial footing now gives us an excellent base from which to extend our Company's growth."

The following table illustrates the composition of the Company's revenue and profitability for its operations for the three months ended September 27, 2014 and September 28, 2013: click here for tables

The numbers are looking better I will take a closer look at the SEC filing and make additional comments as necessary. Good luck to everyone.

ENGlobal Corporation: Second Quarter 2014 Results

HOUSTON, Aug. 8, 2014 (GLOBE NEWSWIRE) -- ENGlobal (Nasdaq:ENG), a leading provider of engineering and automation services, today announced its financial results for the second quarter ended June 28, 2014.

HIGHLIGHTS OF CONTINUING OPERATIONS (2nd QTR 2014 compared to 2nd QTR 2013):

•     Revenue of $27.2 million, a 32% increase from comparable operations

•     Gross profit margin of 21.3%, an increase of 7.9 percentage points from comparable operations

•     Net income from continuing operations of $1.6 million, an increase from a net loss of $(1.6) million

•     Earnings from continuing operations of $0.05 per diluted share, an increase from a net loss of $(.06) per diluted share

On a comparable basis, revenue from the continuing businesses increased to $27.2 million. A 32% increase from $20.2 million in the second quarter of 2013. ENGlobal reported net income from continuing operations of $1.6 million, or $0.05 per diluted share, for the quarter ended June 28, 2014, compared to a net loss from continuing operations of $(1.6) million, or $(0.06) per diluted share, for the quarter ended June 29, 2013. During the quarter ended June 28, 2014, the company incurred non-cash expenses for depreciation, amortization and stock compensation expense of $0.7 million as compared to $0.6 million for the same period in 2013.

Management's Assessment

Mark Hess, ENGlobal's Chief Financial Officer, said: "I believe we are continuing to see positive results from initiatives that have been undertaken at ENGlobal over the last two years. Our improved performance is best demonstrated by a significant increase in margins, consistent project execution, as well as substantial internal growth in our continuing operations."

Mr. Hess continued: "We maintained a substantial cash balance and had no borrowings during the quarter. However, we are working with a regional bank to replace our current credit facility that matures at the end of the third quarter with a similar three year facility that will help provide the working capital to sustain our growth. While there is still some work to be done, we expect a new facility to be in place during September."

"We're obviously proud to report this third consecutive profitable quarter, which represents a major turnaround in our business from recent years," said William Coskey, P.E., Chairman and Chief Executive Officer of ENGlobal. "We continue to be excited about capitalizing on ENGlobal's differentiated expertise and proprietary technologies, whereby we provide value to our clients. In addition, we expect to begin evaluating select external growth opportunities – having similar characteristics and potentially providing additional capabilities for our firm."

The following table illustrates the composition of the Company's revenue and profitability for its operations for the three months ended June 28, 2014 and June 29, 2013 (see link):

http://www.b2i.us/profiles/investor/ResLibraryView.asp?ResLibraryID=71823&BzID=702&g=541&Nav=0&LangID=1&s=0

Overall, a good report and trend. I like what they are doing and the improvements being made. I am calling like I see it and the company is getting better. Good luck to everyone.

ENGlobal Corporation: First Quarter 2014 Results

HOUSTON, May 8, 2014 (GLOBE NEWSWIRE) -- ENGlobal (Nasdaq:ENG), a leading provider of engineering and automation services, today announced its financial results for the first quarter ended March 29, 2014.

HIGHLIGHTS OF CONTINUING OPERATIONS (1st QTR 2014 compared to 1st QTR 2013):

•Revenue of $26.9 million, a 33% increase
•Gross profit margin of 22.6%, an increase of 10.9 percentage points
•Net income from continuing operations of $1.8 million, an increase from a net loss of $(1.0) million
•Earnings from continuing operations of $0.07 per diluted share, an increase from a net loss of $(.04)
Revenues in the first quarter of 2014 were $26.9 million, a decrease of 46% from $49.8 million from the prior year period, which included the revenue from the EPCM business sold in August of 2013. On a comparable basis, revenue from the continuing businesses increased 33% from $20.2 million in the first quarter of 2013. ENGlobal reported net income from continuing operations of $1.8 million, or $0.07 per diluted share, for the quarter ended March 29, 2014, compared to a net loss from continuing operations of $(1.0) million, or $(0.04) per diluted share, for the quarter ended March 30, 2013. During the quarter ended March 29, 2014, the company incurred non-cash expenses for depreciation, amortization and stock compensation expense of $0.7 million as compared to $0.6 million for the same period in 2013.

Management's Assessment

Mark Hess, ENGlobal's Chief Financial Officer, said: "I believe we are beginning to see the results of the initiatives that we began undertaking in late 2012 and early 2013. We have pared the company down to a smaller, more focused operation, and reduced the risk profile of the projects we are undertaking, and are maintaining strict control over our overhead costs. As a result, our margins are improving. We have no borrowings under our current credit facility and have maintained a healthy cash balance during the quarter. While there is always room for improvement, I believe we are in a strong financial position and poised for future growth."

"I can't be more proud of the significant progress we have made, which is reflected in today's report," said William Coskey, P.E., Chairman and Chief Executive Officer of ENGlobal. "I would like to thank all of our stakeholders – our valued customers, employees and investors – for their continued support."

The following table illustrates (follow link) the composition of the Company's revenue and profitability for its operations for the three months ended March 29, 2014 and March 30, 2013:

http://www.englobal.com/profiles/investor/ResLibraryView.asp?ResLibraryID=70015&BzID=702&Nav=0&LangID=1&s=0&Category=64