Todd Shipyard is in the business to do routine/emergency repairs, overhaul, conversions, and construction of military and commercial ships. Its customers include the U.S. Government, the Department of the Navy, the Coast Guard, the Washington State Ferry System, and other commercial customers, such as fishing fleets, cargo shippers, tug and barge operators, and cruise lines. Founded in 1916 and headquartered in Seattle, WA.
Todd trades on the NYSE, under (TOD).
The company operates shipyards and dry dock facilities in two locations in the Pacific Northwest- Seattle and Puget Sound Naval Shipyard in Bremerton, WA.
Since 2001, under the direction of Steve Welch, CEO the ongoing focus of
Todd is achieving to be the Best Shipyard on the West Coast of North America. They want customers to choose
Todd because of their commitment to improve safety, quality, and running a lean manufacturing company where the focus is on moving crews and equipment on and off ships more efficiently.
Like most other U.S.-based shipyards,
Toddrelies heavily on government contracts. More than half of Todd’s business comes from government contracts to repair and maintain Navy Ships, including work on Washington ferries. So in December ‘04 when the Navy scaled back planned repair work on some of their ships they were barely able to maintain their bottom line.
However, that same month the Coast Guard awarded Todd a contract to maintain some of their ships. Then in April ‘05, the company announced it had landed a contract to repair and maintain four aircraft carriers based in the Puget Sound. The contract could run for five years with a value of $133 million if all the options are exercised.
On Nov. 7th,
Todd announced financial results for the second quarter ending October 2, 2005, the Company reported net income of $4.4 million on revenue of $70.8 million. For the six month period then ended, the Company reported net income of $6.9 million on revenue of $137.6 million. For the prior year second quarter ending October 3, 2004, the Company reported net income of $2.4 million on revenue of $36.6 million. For the six month period then ended, the Company reported income of $3.7 million revenue of $68.7 million.
The Company's second quarter revenue of $70.8 million reflects an increase of $34.1 million (93%) from the same period last fiscal year. Revenues for the first six months of fiscal year 2006 of $137.6 million reflect an increase of $68.9 million (100%) from fiscal year 2005 comparable periods.
Todd knows competition is stiff and the customer workload is unpredictable so they are positioning themselves to respond quickly to customer demands and squeeze as much income as they can from the money they take in.
They went from a 52 week low on Feb 10th of $16.51 to a 52 week high of $23.00 on Nov. 28th. Closing on Tuesday, Nov. 29th @ $ 23.29. Another 52 week high!
Todd is sailing along. Are you ready to jump on board and experience the smooth sailing of this company?
