PermaFix Environmental Services Inc. (PESI) filed Quarterly Report for the period ended 2009-06-30.
PERMA-FIX ENVIR is a professional waste management company which provides hazardous mixed and industrial waste management services and environmental engineering and consulting services to industrial and commercial customers and the U.S. Government. The Company is active in the research and development of technologies that allow it to address its customer\'s needs. To date the Company\'s R&D efforts have resulted in the granting of two patents and the filing of an additional eleven pending patent applications. PermaFix Environmental Services Inc. has a market cap of $135 million; its shares were traded at around $2.49 with a P/E ratio of 249 and P/S ratio of 1.8.
Highlight of Business Operations:
The second quarter of 2009 reflected a revenue increase of $5,196,000 to $23,698,000 or 28.1% from revenue of $18,502,000 for the same period of 2008. Within our Nuclear Segment, we generated revenue of $20,732,000 in the second quarter of 2009, an increase of $5,723,000 or 38.1% from the corresponding period of 2008. The increase in revenue within our Nuclear Segment was primarily due to revenue generated from the subcontract awarded to our M&EC subsidiary by CH Plateau Remediation Company (“CHPRC”), a general contractor to the Department of Energy (“DOE”), in the second quarter of 2008. This subcontract officially commenced on October 1, 2008. The increase was offset by lower revenue from remaining generators due to the impact of lower volume of waste. Our Industrial Segment generated $1,962,000 in revenue in the second quarter of 2009, as compared to $2,704,000 for the corresponding period of 2008, or 27.4% decrease. This decrease was primarily the result of lower oil sales revenue resulting from both decreased volume and a lower average price per gallon. In addition, we saw a decrease in revenue from government generators due to reduced volume as result of the slow down in the economy. Revenue in our Industrial Segment includes revenue of Perma-Fix of Fort Lauderdale, Inc. (“PFFL”), Perma-Fix of South Georgia, Inc. (“PFSG”), and Perma-Fix of Orlando, Inc. (“PFO”). In May 2007, our Board of Directors authorized the divestiture of our Industrial Segment. In September 2008, our Board of Directors approved retaining the three facilities/operations at PFFL, PFSG, and PFO, which resulted in the reclassification of these three facilities/operations back into our continuing operations. Revenue for the second quarter of 2009 from the Engineering Segment increased $215,000 or 27.2% to $1,004,000 from $789,000 for the same period of 2008.
SG&A for the second quarter of 2009 decreased 2.8% to $4,465,000 from $4,596,000 in the corresponding period of 2008.
Our working capital position at June 30, 2009 was $65,000, which includes working capital of our discontinued operations, as compared to a negative working capital of $3,886,000 as of December 31, 2008. The improvement in our working capital was attributed by the reduction of our account payables and current debts from funds generated by our operations.