Perma-Pipe International Clocks 95% Sales Growth In Q2

Perma-Pipe International Holdings Inc PPIH reported second-quarter sales growth of 95.5% year-over-year to $39.8 million, reflecting increased sales volumes in North America and the Middle East.
Net income increased to $3.4 million, compared to $0.3 million last year. EPS improved to $0.41 from $0.03 in 2Q20.
The gross margin expanded by 1,500 bps to 27%.
The operating income was $4.09 million compared to $(3.46) million a year ago, and the margin was 10.3% for the quarter.
G&A expenses increased by 25% Y/Y to $5.6 million, driven by personnel-related expense increases corresponding to increased business activity.
At the end of the quarter, the company's backlog was $53.2 million compared to $52.6 million on January 31, 2021.
Perma-Pipe held cash and cash equivalents of $6.73 million as of July 31, 2021.
Price Action: PPIH shares closed higher by 6% at $7.49 on Wednesday.

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