Monday, March 31, 2014

"Conrad Industries Announces 2013 Results and New Business" $CNRD

Morgan City, Louisiana (March 31, 2014) – Conrad Industries, Inc. (OTC Pink Sheets: CNRD.PK) today announced its fourth quarter and twelve months 2013 results and the addition of new business during the first quarter of 2014 totaling $67.3 million.

For the quarter ended December 31, 2013, Conrad had net income of $10.1 million and earnings per diluted share of $1.70 compared to net income of $8.0 million and earnings per diluted share of $1.33 during the fourth quarter of 2012. The Company had net income of $28.6 million and earnings per diluted share of $4.80 for the twelve months ended December 31, 2013 compared to net income of $20.8 million and earnings per diluted share of $3.46 for the twelve months ended December 31, 2012. The Company’s financial reports are available at

New business added during the first quarter of 2014 includes the signing of new contracts and sales of stock barges which brings estimated current backlog to approximately $155.0 million, compared to $152.9 million at December 31, 2013, $125.5 million at March 31, 2013, and $120.7 million at December 31, 2012.

New contracts added during the first quarter of 2014 include five 266’x 54’x 13’LPG tank barges, two 70’x 42’x 7’ anchor barges, a 116’ ATB Tug, four 297’6”x 54’x 12’ 30,000 bbl. tank barges, and a contract for the conversion of a MPSV (Multi-Purpose Supply Vessel.)
A 2013 EPS of $4.80, so the stock is trading at 8.3x earnings. If you assume the company has $40 million in excess cash then it would be 7x earnings.

Cheap - but always remembering that in general you want to sell cyclical stocks at cyclical peaks when P/Es will be low.


theyenguy said...

The age of credit, featured the investor and risk-on investing, where the greatest investment gains came by investing in Small Cap Value Stocks, RZV, and Small Cap Growth Stocks, RZG, with Over The Counter Stocks such as Conrad Industries, CNRD. being the investors darlings, as seen here in this on going Yahoo Finance Chart ...

Fiat asset bubbles no more. Jesus Christ, acting in dispensation, a concept presented by the Apostle Paul in Ephesians 1:10, completed the age of credit during March 2014, as the Bear Market Of 2014, both in equity investments, VT, and credit investments, AGG, picked up steam, on the exhaustion of the world central banks’ monetary authority; and pivoted the world into the age of debt servitude.

The inflationism of the US Fed is history. The new normal economic dynamic is destructionism, which will be seen in economic deflation, and ever increasing austerity, coming largely from disinvestment out of currency carry trade investments, and derisking out of debt trade investing, on the exhaustion of the world central banks’ monetary authority, as these have crossed the rubicon of sound monetary policy and have made money good investments bad.

The failure of credit has commenced. The bond vigilantes calling the Interest Rate on the US Ten Year Note higher to 2.79%, in early March 2014, on the failure of trust in the world central banks to stimulate global growth, has caused Distressed investments, FAGIX, (as well as other High Yielding Debt such as JNK, BDCS, VCLT, HYXU, HYMB), which the US Fed to take in under QE 1, and trade out money good US Treasury Notes to trade lower from their early March 2014 high.

Equity is no longer leveraging higher over debt as is seen in World Stocks, VT, relative to Aggregate Credit, AGG, VT:AGG, to trade lower.

Deleveraging out of currency carry trade investments and derisking out of debt trade investments that is producing the Bear Stock Market of 2014, which is introducing Kondratieff Winter, the final phase of the Business cycle, and all four components of Total Spending will plummet introducing great economic recession, characterized by economic deflation.

The age of debt servitude features the debt serf, working through his debt servitude, where all the debts of the former age will be applied to every man, woman and child on planet earth, until all fiat wealth and fiat money is utterly pulverized into dust as is foretold in bible prophecy of Daniel 7:7.

Examples are now starting to flow in WSWS writes as Detroit water cutoffs, and as Ambrose Evans Pritchard writes with those in the Ukraine serving as an example.

James said...

^^ wait, what?

writser said...

Occasional reader but had to post here. I completely agree with the Yen Guy. Especially about Paul in Ephesians. :)

Agreed on CNRD: nice figures but doesn't look extremely cheap anymore.

CP said...

I'd much rather have yen guy managing my money the rest of the decade than Tepper or Paulson.

James said...

I'm amazed that Paulson still has a $20bn+ fund after Sino-Forest. That should have made people realize that the subprime bet was just luck.

James said...

Maybe luck is too strong a word, but it was certainly a fluke.

Anonymous said...

Hedge funds ought to be spending much more money on research. If you have a billion dollar position you ought to spend a substantial fraction of the $10-20 million management fee monitoring it and working to increase the value.

CP said...