Industrial PVF

1Q Financials Document PVF Boom

First-quarter financial reports of various public companies tied to the industrial PVF and OCTG sectors showed continuing strength in those markets. These include:

Crane Valve Group sales were $196.5 million in the first quarter of 2007 compared with $173.3 million in the first quarter of 2006, an increase of 13%. Valve Group core sales growth was $20.3 million (12%), favorable currency translation was $10 million (5%), partially offset by $7.1 million (4%) of sales of Westad. Core sales improved from increased demand for industrial valves, particularly from the chemical/pharmaceutical and energy industries, and generally higher demand from many commercial applications. Sales growth was effectively leveraged with operating profit increasing 46%, from $16.8 million to $24.5 million. Profit margin of 12.4% increased from 9.6% in the prior year. The Fluid Handling segment backlog was $237 million at March 31, 2007, compared with $203 million at March 31, 2006 ($181 million excluding Westad) and $211 million at December 31, 2006.
Dresser-Rand reported net income of $15.4 million, compared to net income of $12.3 million for the first quarter of 2006. Revenues of $314.4 million for the 2007 first quarter increased $22.8 million compared to $291.6 million for the first quarter 2006.
Metso Automation’s net sales increased in January-March by 9% to EUR 146 million. Deliveries of the Flow Control business line (which manufactures field equipment) increased, while those of the Process Automation Systems business line remained at the level of the comparison period. Metso Automation’s operating profit amounted to EUR 15.5 million, or 10.6% of net sales. The value of orders received by Metso Automation increased by 19% on the comparison period and rose to EUR 228 million. The growth originated mainly from field equipment orders from the power, oil and gas industry. The order backlog increased by 29% at the end of 2006 and was EUR 356 million at the end of March.
ITT Fluid Technology revenue was $786.0 million, up $100.3 million or 15% over the comparable 2006 quarter. First-quarter organic revenue grew 9% over the same period in 2006, through strong penetration in the commercial, industrial and municipal markets.
Parker Hannifin Corp. reported new quarterly sales and earnings records for its third-quarter fiscal year 2007 results. Sales for the third quarter of fiscal year 2007 were $2.8 billion, up 11.3%, as compared to sales of $2.5 billion from the same period last year. Earnings per diluted share from continuing operations in the third quarter of fiscal year 2007 were $1.78, an increase of 21.9% over the $1.46 posted in the same period a year ago.
Velan reported revenues for its fiscal year third quarter ended March 31 reached $97.7 million, the highest third-quarter sales in the company’s history. This is a 16.2% increase over the same quarter last year. Net earnings for the quarter were $5.8 million, or $0.25 per share, compared to net earnings of $0.5 million, or $0.02 per share, in the prior year.
SPX Flow Technology revenues in the first quarter of 2007 were $274.4 million compared to $218.0 million in the first quarter of 2006, an increase of $56.4 million, or 25.9%. Segment income was $37.6 million, or 13.7% of revenues, in the first quarter of 2007 compared to $28.0 million, or 12.8% of revenues, in the first quarter of 2006.
Northwest Pipe Co. reported sales of $90.7 million for the first quarter of 2007 compared to $78.8 million for the same period last year. Net income for the first quarter of 2007 was $4.5 million, or $0.49 per fully diluted share, compared to $2.6 million, or $0.37 per fully diluted share, for the same period last year. Sales in the Water Transmission Group increased 15.4% to $64.6 million for the first quarter compared to $55.9 million for the same period last year. The Tubular Products Group’s sales increased 21.6% to $23.0 million for the first quarter of 2007, compared to $18.9 million for the same period last year. This is the highest quarterly sales for this group since the third quarter of 2004.
Cameron reported first-quarter revenues of $997.0 million, up 20% from 2006’s $829.7 million, while income before taxes was $155.4 million, up 80% from $86.2 million a year. Orders exceeded revenues for the 10th consecutive quarter.