• Skip to main content

    Prices

    May 3, 2023

    Northwest Pipe Upbeat on Year After Challenging Q1

    Written by Laura Miller

    Northwest Pipe reported a drop in first-quarter earnings but is optimistic on the remainder of the year.

    05.03.23 northwest pipe earns 2

    The Vancouver, Wash.-based pipe producer saw Q1 net income dropped 34% from the year-ago quarter to $2.4 million, with sales down 9% to $99.1 million.

    “As we expected, the first quarter was challenging due to severe weather events and customer-driven production delays,” commented president and CEO Scott Montross.

    Northwest had noted the challenging start to the year in its Q4 earnings report.

    The company’s engineered pressure pipe segment ended Q1 with a near-record backlog of $370 million. The segment’s revenues are expected “to be on an upward trajectory back towards 2022 levels” starting in the current quarter.

    The Precast segment’s order book of $58 million at the end of Q1 was stronger than anticipated. The company’s Geneva Pipe and Precast plants in Utah are being impacted by the “stresses of the residential housing market,” while its ParkUSA locations in Texas are seeing strength from the nonresidential market.

    “We expect our second-quarter Precast revenue to improve over the first quarter of 2023 and for the Precast segment’s full-year performance to be down only modestly from a record year in 2022 with similar margin levels,” Montross noted.

    Northwest Pipe operates 13 manufacturing facilities across the US.

    By Laura Miller, laura@steelmarketupdate.com

    Laura Miller

    Laura Miller is a reporter and editor for Steel Market Update. She has held various editorial positions with steel industry publications, associations, and mills since 2007. She joined the SMU team in 2022. She is a member of the Association of Women in the Metal Industries and a past-president of the AWMI Pittsburgh Chapter. She holds a BA in Latin American Studies from Edinboro University of Pennsylvania.

    Read more from Laura Miller

    Latest in Prices

    CRU: Global finished steel prices diverge, US the rare bright spot

    CRU: Global finished steel prices have diverged in August, with longs softening while sheet and plate firmed in most regions. Weak construction demand persisted across most longs markets, with the US the notable exception. Higher sheet prices were driven by tightening supply in the US and reduced import attractiveness in Europe, even as APAC sheet prices declined. Plate prices were mostly firmer across APAC, stable to down in Europe, and continued climbing in the US.