Northwest Pipe Company (NASDAQ:NWPX) Q4 2022 Earnings Conference Call March 16, 2023 10:00 AM ET

Company Participants

Scott Montross - President and CEO

Aaron Wilkins - CFO

Conference Call Participants

Ted Jackson - Northland Securities

Brent Thielman - D.A. Davidson

David Wright - Henry Investment Trust

Operator

Greetings. Welcome to Northwest Pipe Company Fourth Quarter 2022 Earnings Call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. [Operator Instructions] Please note, this conference is being recorded.

I will now turn the conference over to your host, Scott Montross. You may now begin.

Scott Montross

Good morning and welcome to Northwest Pipe Company's fourth quarter and full year 2022 earnings conference call. My name is Scott Montross and I am the President and CEO of the company. I'm joined today by Aaron Wilkins, our Chief Financial Officer. By now, all of you should have access to our earnings press release, which was issued yesterday, March 15th, 2023, at approximately 4:00 P.M. Eastern Time. This call is being webcast and it is available for replay.

As I begin, I'd like to remind everyone that statements made on this call regarding our expectations for the future are forward-looking statements, and actual results could differ materially.

Please refer to our most recent Form 10-K for the year ended December 31st, 2022, which will be filed later today and in our other SEC filings for a discussion of such risk factors that could cause actual results to differ materially from our expectations. We undertake no obligation to update any forward-looking statements.

Thank you all for joining us today. I'll begin with a review of our 2022 performance and outlook. Aaron will then walk you through our financials in greater detail. We generated annual revenue of $457.7 million in 2022, which was up 37.3% year-over-year and included $84.7 million contribution from our acquisition of ParkUSA.

Annual revenue from our Steel Pressure Pipe segment increased 18.4% over 2021 to a record high of $307.6 million. Our Steel Pressure Pipe business continued to gain strength throughout 2022, following a slow start to the year.

We experienced strong bidding activity in the second half of the year and particularly in the fourth quarter, which allowed us to continue to add to an already strong backlog.

We also benefited from higher project pricing in 2022, mainly related to the long lead-time nature of Steel Pressure Pipe projects that were bid and awarded during the period when steel prices were higher.