Perma-Pipe(US:PPIH) ZACKS·2025-12-18 18:46Core Viewpoint - Perma-Pipe International Holdings, Inc. has demonstrated significant financial growth in the third quarter of 2025, with substantial increases in earnings, sales, and backlog, indicating strong demand and operational success in key markets [2][3][4]. Financial Performance - The company reported diluted earnings per share (EPS) of 77 cents, more than doubling from 31 cents a year earlier [2] - Net sales reached $61.1 million, a 46.9% increase from $41.6 million in the same period last year, attributed to higher sales volumes in the Middle East and North America [2] - Net income attributable to common stock soared to $6.3 million, up 152% from $2.5 million in the year-ago quarter [3] - Operating income for the quarter was $11.4 million, up from $5.6 million in the third quarter of 2024 [5] Business Metrics - Perma-Pipe reported a backlog of $148.9 million as of October 31, 2025, reflecting a 7.8% increase year to date and over 30% growth from the same point in the prior year [4] - Gross profit rose by $6.9 million to $21 million, representing a 49% increase over the prior-year period [2] Management Insights - The President and CEO highlighted that year-to-date revenues nearly match the full-year total for fiscal 2024, marking the highest level of earnings since the company's transition from MFRI to Perma-Pipe in 2017 [6] - The strong performance is attributed to growth in core markets, improved operating leverage, and successful project execution [7] Strategic Developments - The company is advancing its strategic investment in Qatar, which has already secured over $5 million in project awards expected to be executed before the end of the fiscal year [10][11] - The ongoing strategic investments align with the company's long-term growth objectives, particularly in the MENA market [10]