Kirby Announce Record Earnings in Q1 2014
US tank barge operator and diesel engine service providers, Kirby Corporation (KEX), inform that earnings for the first quarter ending March 31, 2014 amounted to $62.2 million, or $1.09 per share, compared with $56.6 million, or $1.00 per share, for the 2013 first quarter. Consolidated revenues for the 2014 first quarter were $589.2 million compared with $558.8 million reported for the 2013 first quarter. Excerpts from the financial report follow:
Kirby's 2014 first quarter results included a $0.03 per share severance charge and an estimated $0.03 per share combined impact from delays related to winter weather and the costs associated with a collision of a Kirby vessel in the Houston Ship Channel.
On April 29, 2014, the Board of Directors elected David Grzebinski as Kirby's Chief Executive Officer, replacing Joe Pyne (who will continue to serve as Kirby's Executive Chairman). CEO David Grzebinski commented:
"Despite the challenges in the quarter, we were pleased with our first quarter results. Our marine markets continued to benefit from healthy levels of demand and high utilization which drove ongoing pricing improvement. The first quarter also reflected some improvement in our land-based diesel engine services market. We expect this market to continue to improve throughout the year."
Segment Results – Marine Transportation
Marine transportation revenues for the 2014 first quarter were $435.8 million compared with $418.5 million for the 2013 first quarter. Operating income for the 2014 first quarter was $97.6 million compared with $89.3 million for the 2013 first quarter.
Segment Results – Diesel Engine Services
Diesel engine services revenues for the 2014 first quarter were $153.5 million compared with $140.3 million for the 2013 first quarter, and operating income was $12.8 million. This compares with operating income of $14.0 million for the 2013 first quarter which included a $4.3 million benefit resulting from the reduction of the fair value of the United contingent earnout liability.
Commenting on the 2014 second quarter and full year market outlook and guidance, Mr. Grzebinski said, "Our earnings guidance for the 2014 second quarter is $1.25 to $1.35 per share compared with $1.11 per share earned in the 2013 second quarter, which included a $0.07 per share United earnout benefit.
About Kirby Corporation
Kirby Corporation, based in Houston, Texas, is the nation's largest domestic tank barge operator transporting bulk liquid products throughout the Mississippi River System, the Gulf Intracoastal Waterway, coastwise along all three United States coasts and in Alaska and Hawaii.
Kirby also distributes and services diesel engines, transmissions, pumps, compression products and manufactures and remanufactures oilfield service equipment, including pressure pumping units, for land-based pressure pumping and oilfield service markets.