Synalloy reports record financial results

OAK BROOK - Synalloy Corp., an industrials company focused on the production and distribution of piping, tubing and specialty chemicals, reporting financial results for its fiscal year first quarter, including net sales of $116.2 million, an increased of 67% compared to $69.8 million in the prior year period.

Gross profit increased significantly to $22.5 million, or 19.4% of net sales, compared to $8.7 million, or 12.5% of net sales, in the first quarter of 2021. Gross profit and gross margin continued to benefit from increased customer demand of higher margin products and a favorable surcharge market environment, offset by increased raw material and freight costs, the company said.

Net income increased significantly to $10.3 million, or 99 cents diluted earnings per share, compared to a net income of $1.1 million, or 12 cents diluted earnings per share, in the first quarter of 2021.

"We started the year off strong with a second consecutive quarter of record results as we continued to make significant progress with our turnaround strategy," said Chris Hutter, president and CEO of Synalloy. "The pricing environment remained strong for both business segments and we excelled at expanding our sales funnel and integrating operations of our chemicals segment."