Huntington, W. Va. - February 2, 2010
Energy Services of America Corporation Announces results for the three months
ended December 31, 2009. Energy Services of America (Amex: ESA) announced today
that the company had net income of $637,563 for the three months ended December
31, 2009 compared to a loss of $2,194,509 for the same period in 2008. Revenues
were lower for the quarter ended December 31, 2009 than during the prior year
period, ($29,951,737 versus $33,679,046) however, margins were positive for the
quarter in 2009 resulting in net income for the quarter. Losses during the
quarter ended December 31, 2008 were attributable to our ST Pipeline subsidiary
experiencing significant losses on two jobs. These losses were due to unusual
circumstances which management believes are non recurring in nature. The net of
tax losses on those two jobs amounted to $1,932,383 which contributed greatly to
the loss in the first quarter of 2009 which ended December 31, 2008.
Marshall T. Reynolds, Chairman, noted that he was pleased that 2010 started on a
positive note. "With the economic uncertainties that led to 2009 being such a
difficult year for the Company, it is great to start 2010 in a positive manner.
Our backlog of $146 million at December 31, 2009 and the continued improvement
in the demand for our services, places the Company on track to have a successful
2010. "
Edsel R. Burns, president of ESA, shared Mr. Reynolds thoughts. "We are pleased
that the Company is positioned to capitalize on the stronger demand for our
services. At December 31, 2008 our backlog was $54 million compared to the
backlog of $146 million at December 31, 2009. Accordingly, with a significantly
improved backlog and the known projects that we see coming up for bid in 2010,
we are very encouraged over the Company's prospects. 2010 shows every indication
of having a performance in line with and perhaps exceeding, the original ESA
business plan that was adversely affected by the economic crisis in 2009 and
recession." Key information at December 31, 2009 was as follows:
Energy Services of America Corporation
Key Financial Information
Three Months Three Months
Ended Ended
December 31, December 31,
2009 2008
---- ----
Actual
Revenues $29,951,737 $33,679,046
Net Income (loss) 637,563 ($2,194,509)
Earnings (loss) Per Share-Basic $0.05 ($0.18)
Earnings (loss) Per Share-Diluted $0.05 ($0.18)
Other information
Shares Outstanding 12,092,307
Total Assets $98,604,639
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Total Liabilities $43,631,633
Total Equity $54,973,006
Stated Book Value per Share $4.55
Backlog at December 2009 $146,000,000
Certain Statements contained in the release, including without limitation
statements including the words "believes," "anticipates," "intends," "expects"
or words of similar import, constitute "forward-looking statements" within the
meaning of section 21E of the Securities Exchange Act of 1934, as amended (the
"Exchange Act"). Such forward-looking statements involve known and unknown
risks, uncertainties and other factors that may cause the actual results,
performance or achievements of the Company to be materially different from any
future results, performance or achievements of the Company expressed or implied
by such forward-looking statements. Such factors include, among others, general
economic and business conditions, changes in business strategy or development
plans and other factors referenced in this release. Given these uncertainties,
prospective investors are cautioned not to place undue reliance on such
forward-looking statements. The Company disclaims any obligation to update any
such factors or to publicly announce the results of any revisions to any of the
forward-looking statements contained herein to reflect future events or
developments.