NWPX Infrastructure Reports Q2 2025 Net Income of $9.1 Million, Revenue Growth of 2.8%

NWPX Infrastructure, Inc. reported a net income of $9.1 million for the second quarter of 2025, reflecting a 5.2% increase from $8.6 million in the same period last year. The company's revenue for the quarter reached $133.2 million, a 2.8% increase compared to $129.5 million in the second quarter of 2024. For the first half of 2025, NWPX's net income was $13.0 million, down from $13.9 million in the prior year, while total revenue increased to $249.3 million from $242.7 million. The company's gross profit for the second quarter was $25.4 million, representing 19.0% of net sales, a decrease from 19.9% in the previous year.

The company's Water Transmission Systems (WTS) segment saw a decline in net sales, dropping 5.5% to $84.6 million in the second quarter, attributed to a 10% decrease in tons produced due to project timing changes. Conversely, the Precast Infrastructure and Engineered Systems segment experienced a significant increase in sales, rising 21.5% to $48.6 million, driven by a 13% increase in volume shipped. The overall gross profit for the WTS segment decreased by 11.3%, while the Precast segment's gross profit increased by 16.7%.

In terms of operational developments, NWPX Infrastructure underwent a corporate name change from Northwest Pipe Company, effective June 12, 2025, and also renamed its WTS segment to better reflect its capabilities. The company operates 13 manufacturing facilities across North America and reported a backlog of $298 million as of June 30, 2025, with expectations to recognize approximately 48% of this backlog in 2025. The company’s employee headcount remained stable, with no significant changes reported.

The company’s financial position showed a working capital of $197.2 million as of June 30, 2025, an increase from $187.4 million at the end of 2024. Cash and cash equivalents decreased to $2.0 million from $5.0 million during the same period. NWPX's net cash provided by operating activities was $10.3 million for the first half of 2025, a significant improvement from a cash outflow of $3.8 million in the first half of 2024. The company also repurchased approximately 192,000 shares for $7.8 million during the second quarter, as part of its ongoing share repurchase program.

Looking ahead, NWPX Infrastructure anticipates continued demand for its products driven by urban growth and infrastructure spending, particularly in water-related projects. The company expects to benefit from federal funding initiatives, including the Bipartisan Infrastructure Deal, although it acknowledges potential headwinds from economic uncertainties and fluctuating raw material costs. The management remains focused on maintaining operational efficiency and exploring growth opportunities through strategic initiatives and potential acquisitions.