WEBCO INDUSTRIES, INC. REPORTS FISCAL 2023 SECOND QUARTER RESULTS.

SAND SPRINGS, Okla: Webco Industries, Inc. (OTC: WEBC) today reported results for our second quarter for fiscal year 2023, which ended January 31, 2023.

For our second quarter of fiscal year 2023, we had a net income of $3.5 million, or $4.43 per diluted share, while in our second quarter of fiscal year 2022, we had net income of $9.5 million, or $11.76 per diluted share. Net sales for the second quarter of fiscal 2023 and second quarter of fiscal year 2022 were both approximately $173.4 million.

For the first six months of fiscal year 2023, we generated a net income of $11.9 million, or $14.97 per diluted share, compared to a net income of $24.1 million, or $29.40 per diluted share, for the same period in fiscal year 2022. Net sales for the first six months of the current year amounted to $361.9 million, a 6.2 percent increase from the $340.9 million in sales for the same six-month period of last year.

In the second quarter of fiscal year 2023, we had income from operations of $4.6 million after depreciation of $3.3 million. The second fiscal quarter of the prior year generated income from operations of $13.2 million after depreciation of $3.5 million. Gross profit for the second quarter of fiscal 2023 was $15.3 million, or 8.8 percent of net sales, compared to $29.1 million, or 16.8 percent of net sales, for the second quarter of fiscal year 2022.

Our income from operations for the first six months of fiscal year 2023 was $17.0 million, after depreciation expense of $6.5 million. Income from operations in the first six-month period of fiscal year 2022 was $32.6 million, after depreciation expense of $7.0 million. Gross profit for the first half of fiscal 2023 was $41.3 million, or 11.4 percent of net sales, compared to $63.5 million, or 18.6 percent of net sales for the same period in fiscal year 2022.

Dana S. Weber, Chief Executive Officer and Board Chair, stated, "Our recent results demonstrate the strength, agility and innovation of our Trusted Teammates in an environment that presented numerous challenges associated with significant changes in our raw material and commercial markets. Economic uncertainty and volatility in the cost and availability of raw materials and other manufacturing supplies has become a norm within which we have operated. Our strong balance sheet and liquidity position have positioned us well to successfully navigate and gain strength through this volatile environment. We remain focused on financial strength and...