Kirby Reports Record 3Q

Kirby Corporation announced record net earnings for the third quarter ended of $25.6m or $.48 per share, compared with $17.2m or $.34 per share, for the third quarter of 2005. The 2005 third quarter results included an estimated $.05 per share negative impact from Hurricanes Katrina and Rita. Consolidated revenues for the 2006 third quarter were $264,612,000, a 33% increase compared with $198,741,000 for the 2005 third quarter.

Kirby reported record net earnings for the first nine months of 2006 of $71.5m, or $1.34 per share, compared with $49m, or $.95 per share, for the first nine months of 2005. Consolidated revenues for the first nine months of 2006 were $732.8 a 26% increase compared with $582.4m for the 2005 first nine months. Marine transportation revenues and operating income for the 2006 third quarter increased 23% and 42%, respectively, compared with the third quarter of 2005. For the first nine months of 2006, revenues and operating income increased 21% and 37%, respectively, compared with the 2005 first nine months. The results for both periods reflected continued strong petrochemical, black oil products and refined products volumes. Pricing continued to reflect higher rates on contract renewals and spot market pricing. The 2006 third quarter and first nine months results were impacted by a continued tight vessel personnel labor pool and Gulf Coast charter towboat market, principally due to the effects of 2005 Hurricanes Katrina and Rita. Diesel engine services revenues and operating income for the 2006 third quarter increased 102% and 154%, respectively, compared with the 2005 third quarter. For the first nine months of 2006, revenues and operating income increased 56% and 96%, respectively, compared with the 2005 first nine months. The record diesel engine services results reflected the accretive acquisition of Global Power Holding Company on June 7, 2006 and the acquisition of the assets of Marine Engine Specialists, Inc. on July 21, 2006, as well as continued strong marine, offshore oil service, power generation and railroad markets.