MRC Global, Inc. (NYSE: MRC), Houston, Texas, a global distributor of pipe, valves, fittings and infrastructure products and services to diversified energy, industrial and gas utilities end-markets, reported sales for its fiscal 2023 first quarter were $885 million, up 19% from the prior-year period.
Profit for the quarter was $34 million.
MRC reported first-quarter sales for its segments:
- U.S. sales were $740 million, up 20% from the prior-year period.
- Canada sales were $42 million, down 2% from the prior-year period.
- International sales were $103 million, up 27% from the prior-year period.
Gas utilities sector sales, which are primarily U.S.-based, were $307 million, were 35% of total sales and up 13% from the first quarter of 2022. Sequentially, as compared to the fourth quarter of 2022, the Gas Utilities sector declined 4%.
Downstream, Industrial and Energy Transition sector sales in the first quarter of 2023 were $278 million, an increase of 23%. The increase in DIET sector sales was driven by the U.S. segment followed by the International segment.
PTI sector sales in the first quarter of 2023 were $300 million, an improvement of 22%. The increase in PTI sales was led by the U.S. segment, followed by International and Canada segments.
“I am very pleased with our strong performance in the first quarter,” said Rob Saltiel, MRC Global’s President and CEO. “The sequential revenue improvement of 2% was higher than anticipated due to robust MRO and project activity, especially with our refining, chemicals, and LNG customers. We also delivered outstanding profitability with adjusted gross margins of 21.2% and adjusted EBITDA margins of 7.8%. Our backlog increased 2% sequentially and has grown 14% compared to March of last year.”