provide near-term the discuss safe stay initiatives. these quarter the fiscal will progress during then key fourth the we first and challenges Thank On hope quarter the outlook. on your key on and results, impacted afternoon, XXXX making to discuss business well current with customer difficult our we results an actions are of that the in our taking Good factors I several some I'm here of and also and new everyone, to quarter enhance trends our business taking each to you happy some update then our discuss address some are I that you, I Cindi. discussion and our liquidity as this call, continuing will on we backlog welcome provide market healthy fourth are you will results. and afternoon, opportunities position. of fourth to of value and the are to and commentary end be families I'll this today's overall detail proposition. time. and our potential results as actions Wes environment, greater and and
work our open closing as Adding oil our hurricanes in labor We year on well remarks. some call as crude reduced brought disrupting effect employees, will and markets. challenges, were the with record then negatively productivity including up a traditional to facilities questions these end volatility, challenges, results impacting This operations. and conclude volume past the COVID-XX unprecedented of impacting of for there our pandemic of the which and our level availability
oil believe longer focus we and offshore we resources process our these on expand While substantially reflected past gas our over of the and our improvements, several quarter headwinds, in term, the our foundation to changes results have initiatives to leadership management of driving and the our and industry. certain reduce functional implementing through end strengthened market reliance year fourth consolidation
centralize further operations the During Lake and in key our the facilities, tugs X our and additional XXXX, will our quarter, savings. January Charles which delivered resources our harbor deliver consolidating allowed improve close Jennings resource to completed Louisiana project final Shipyard and we cost successfully our us last which division Houma, location, tug into utilization,
resources And the Services and business were division. the segments. Fabrication assets division. efforts consolidation not consolidate in year combination Shipyard we half A our Our actions of a within XXXX, to second took & the limited we announced ago, additional of to our
to including within for with material and pipe a our Services Fabrication maintain required the handling, but supporting & Services Supported was Fabrication associated yards. mill, our large located us & example, in costs facility significant division incur between a large separate and barging -- yard Shipyard. canal primarily the pipe fabricating inefficiencies navigation across used X For pipe resources This our Houma
quarter, mill to fourth to reducing backlog. relocation and efficiencies for the completed from cost to we Services Shipyard savings our support delivering necessary warehouse, further Shipyard facility the assets its existing pipe of our large providing been mill has other & storage yard, previous The and additional the our During handling. material us driving by Fabrication converted pipe division a
Services & further EBITDA a Our & progress $X.X reflect million strong from leverage seeing several division second we and fourth are adjusted with the positive as process project cost In quarter, row, on initiatives fourth the Fabrication quarter the results savings fronts improvements adjusted for Services performance. implementing. for we the in with EBITDA coupled reported the Fabrication are we quarter of
activity in the we into quarter continue seen services offshore was Our fourth first quarter, stable XXXX. and trend the this have of
offshore services market. which quarter. and subsea execute our We of or continue to activity fabrication benefited of than are lower-than-traditional margins, type still effectively But [indiscernible] the seeing small both their quick volume also to these in projects support at book-and-burn we better
facility to uncertainty reflect lack by headwinds resource division's we current and economic utilization and caused the to due COVID-XX monitor While volatility, the requirements. of projects closely continue oil new price
operating are perspective, and in opportunities are savings business and results. back identifying in half prospect projected awarded we to division's our evaluate a of beginning further increase with to see we pipeline we improve focused the incremental prospects be XXXX. petrochemical timing implementing Louisiana development with in of some LNG Texas activity From cost and on the As to up overhead an picking awards, bidding and project
are in construction serve our life scope from to across customers location cycle, Houma opportunities multiple We to strategic involving to the ability these our modules. process civil project due positioned and proprietary uniquely for
our I confident their market. share As these reach capture projects of final investment the decision, we can am
to We potential Fabrication expand review market continuing for end the division. & are our opportunities also and Services
customers support begun well and to their construction increasing to Fabrication production. to have as hydrogen transition renewable opportunities green in as and our needs markets We & energy make Services biofuel plant the end
added a benefit we in better necessary opportunity. this activity support this have to investment. development the We to be market picks market will position as growing business pursue And up, from
actively also are offering. where engineering owners differentiated working to and We opportunities we can provide companies identify with
evaluating that success. provide value our include where have will will our to value sole-source the the move service of a to capabilities provide example, also partner with customers. bring These and expansion fabricators companies projects, other chances For that our that for provide derisk our opportunities additional to an need engineering we the We're margin overall compelling field could improve to partner, and Core exploring strategic to a of customer we're Potential to relationships need strength bring to destiny will be their risk, partnerships the partnerships asset our for delivery. control execution this in-house, that combined provider offering reduce value a their services. fabrication need chain. construction up customers companies engineering better and further collaborative improving proposition key ensuring strategic initiative
Shipyard Moving challenges twofold. The were over the for primarily quarter the division. to
combined industry-wide to unique our high Our due in to craft biggest problem we in challenge as levels. continues an This not years Island a of of the training ramp the market. is continued with to division the the required professionals attempt project underinvestment to count challenge uncertainty Gulf to to but head up level of execution of craft turnover in be
the of and is details. as were projects challenge appreciation one from arising second the lack with of complexities build these of limited The bid design
and our backlog. As the complete Recruiting we of priorities. estimate of and valuable the our confident to remaining engineering getting strategic progress certainty key more fronts, we're of get resource, people, most developing one hours work remaining the is of our
actively with division on are retention. by this We supervisors various front-line within working to more programs the improve addressing Shipyard hiring along
and to will capable vaccinated. technical personnel. as the help of train working colleges were in allow our workers, We closely to and notified We more Texas last employees state are essential Louisiana week Louisiana also with also be that recruit
to half see count expect initiatives improvement a head the and as we our stability We first around reach continue take the steady-state of in our people workforce XXXX. effect of to our in
is discussed. by also loss in to challenged, a Our backlog have continued that continues Shipyard during impacted and the be to we as a be previously quarter largely division position
productivity our and challenges project in charges. to rework due craft ferry in Specifically, resulted experience progress which XX-vehicle to labor deficiencies design, two impact COVID-XX projects of lower-than-anticipated to due the continued and
that that are deflections deficiencies determined the the during course quarter, creating additional the structure which by conduct the Specifically, second with inherent with engineering vessel an it the we in experienced as in the on was design client ongoing in the nearing engineering completion, a associated evaluation to second there cause. we structural third-party challenges evaluation challenges are us ferry. of provided ferry firm, with that to In the as caused turn
second issues deficiencies, the construction quarter, construction our the causing the vessel, second The we We associated to believe schedule we the current design, which As the have these previous determine customer. of be and the path ferry discussed challenges a also quarters. in construction responsibility and to first to first with impacts. the of in our and of is of impacted, on currently impacts contributed was vessels, of deficiencies of the vessel result with overhead which should that some first the extension incident project. rework submitted a combined vessel design forecast the course are appropriate on in hold our customer design conclusion have action and the quarter, the any that cost impacts led currently to own the us expect first on third the vessel, with the a a challenges quality be the in to in most recover claim forward as We the haul construction we resulting the completed cost on believe customer. of design-related Accordingly, new is of the crane for additional
and quarter due cost the craft turnover associated a COVID-XX estimates progress schedules. impact impacted and employee to for recover the project salvage were along higher projects cost submitted fourth impact COVID-XX equitable the with in to to the services. quarter, we in ship extend towing, Our labor increased forecast the of also request Late by and our negatively productivity subcontracted for and with of rescue lower-than-anticipated adjustment
While were with data in recovering the we a construction U.S. consideration to factors the continue that these be in in in a for scheduled this rights other options extensions support benefit with of variety our the work remaining with Earlier given could that million This assurances facilitate as There vessel associated Navy result be amount with the provide XXXX. provide schedule, included the the received contract collaboratively we the to into as the the XXXX. granted will -- to this to majority of Navy costs. contract believe any to with order recognized largely a X the our we of in and for we the COVID-XX of to contract order of to be a -- Instead, completion been went to anticipate additional the year, change on order is towing, our our is approximately would the order cost Navy into will which breakeven commercial our $XX given yet vessels, fabricate transfer for but exercise entered a it not a the accelerate change will the have and as the the impact change under Navy And intends no desire $X data we Navy's Navy to of recoveries change can with the pursue We increases. The projects successful cost vessels support have in first salvage, a to We'll we that their will within shipyards percentage these existing options operating decision be in do is to million future vessels. rescue results including ships. of remainder revenue rights our contract optionality not million, access price the our our during of quarter interest and revenue recognized vessels. position. for additional will are existing particularly completion best of basis. not as We associated and decision, $XX to backlog. Navy's that
service were further subcontracted has the Our achieved XX-vehicle to of additional complexities previously our anticipated labor build, and due in of schedule and was as to ferry around achieve that similarly impacts pandemic by extensions These engineering. by identified piping, productivity. inability and improvements and project impacted especially compounded of completion production increased craft impact COVID-XX been costs we
limited a fabrication of from diligently ongoing vessel We projects, production customer. ferry continuing deliver by and are as year. on our research of On work to the the to completion basis the are the erection engineering await end the we
related Earlier in of engineering construction work to of activities We identify to schedule year, completion project. of schedules delays. minimize and caused production work by we in impacts fronts for to opportunities customer-provided COVID-XX. engineering cost provided full negotiated advance executed the a on change and change certain to extensions The this delay continue collaboratively order order associated the to recoveries these with production the the
challenges, we key made, experienced visibility project of have add we which division our will helped improve our the this operational and Shipyard benefits enhanced investment our management While performance. increased including resources, have processes on project realize
continue key to and to division investments front-line a make further operation the Shipyard initiatives possible. recruiting project improve supervision achieve will build quickly and our to retention and on We steady-state leadership as in as our for
building the customers with of end gas oil impact emphasis market COVID-XX be and and economic industry to near-term headwinds. continues strong of division crude continued backlog, our and construction and maintenance repair the work. Shipyard relationships outside and the for focus oil remain on In existing and of increased the volatility maintaining on sum, our Our execution newbuild pandemic
However, are and our strategy clear. focus
quarterly variables within control, employees on processes are liquidity, market call greater to complemented our hiring and rigorously, giving We of that projects results but to executing also customer We're on focusing only opportunities back the Wes maintaining business pursuing discuss new strong will on new our them developing turn our not value focus now in preserving we our to communities the I continuously our discipline, will propositions. continue to enhancing being the procedures, and detail. focused and stewards serve. the over good by including and