Perma-Fix achieves 3Q profit as revenue sees double-digit growth on strong Services Segment demand

Perma-Fix Environmental Services Inc (NASDAQ:PESI) (FRA:PFX1) announced Thursday it generated a profit during its third-quarter as revenue jumped 34% year-over-year, thanks to the strength of its Services Segment.   In addition, the Atlanta-based company said it achieved net income attributable to common stockholders of $1.4 million, or $0.12 per share (both basic and diluted) for the quarter, compared to $1.8 million, or $0.15 per share for the same period last year.  In a statement, Perma-Fix said its Services Segment revenue for the quarter ended September 30 increased 85.5% year-over-year to $23.1 million. Treatment Segment revenue was $7.1 million, versus $10.1 million for the same period last year. READ: Perma-Fix sees services segment take off in 2Q results despite coronavirus concerns The provider of nuclear and waste-management services noted that its Treatment Segment continues to see delays in waste shipments from certain customers due to the continuing effects of COVID-19 restrictions. All of the projects within the Services Segment that were previously shutdown have recommenced since the latter part of the second quarter of 2020. Gross profit was $4.8 million versus $5.2 million for the same period last year and the company said it generated adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) of $2 million -- compared to $2.4 million for the same period last year. "We continue to experience growth within our Services Segment, as revenue nearly doubled versus the same period last year and we have maintained a solid sales pipeline,” said CEO Mark Duff. “We also achieved profitability for the third quarter of 2020, which was accomplished despite delayed waste shipments within our Treatment Segment directly related to the impact of COVID-19, including generator shutdowns and limited sustained operations, as well as a transition to new prime contractors at certain U.S. Department of Energy (DOE) sites.”  Duff added: “Nevertheless, we believe these impacts are temporary, and we remain optimistic about our growth strategy for next year, as we pursue new and potentially lucrative waste streams, as well as broaden our client base, including both commercial and international business." Contact the author: patrick@proactiveinvestors.com Follow him on Twitter @PatrickMGraham