DESPITE BUMPY 2012, ENERGYSOLUTIONS Q4, FULL YEAR 2012 RESULTS POSITIVE

Though EnergySolutions had a bumpy 2012, in results released after close of business yesterday the company said it saw increased revenues and gross profit in the fourth quarter of 2012 compared to the same period of 2011, and saw gross profit and net income for the full fiscal year 2012 jump over 2011 levels. In its fourth quarter and full year 2012 earnings report, filed with the Securities and Exchange Commission March 18, EnergySolutions said it recorded a net loss of $10.8 million in the fourth quarter of 2012—a decrease from the net loss of $202.8 million reported for the fourth quarter of 2011—and revenue for that period increased to $480 million compared to $468.5 million over the same period in the prior year. Government revenue sunk to $38.6 million for the fourth quarter of 2012 compared to $56.9 million in the same period of 2011, while Logistics, Processing and Disposal revenue remained flat at around $67 million and international work spiked to $321 million from $286.7 million in the fourth quarter of 2011.

Revenues were flat from the full year 2012 compared to 2011, at just over $1.8 billion both years, but gross profit in 2012 saw a spike of more than $100 million, to $170.7 million from $79.7 million for the full year 2011. Net income rose into the black for the full year 2012—to $4 million—compared to a net loss of $196.2 million in 2011. Selling, general and administrative expenses rose in 2012, largely due to the upfront cost of replacing the company’s CEO and CFO in June, and severance pay for the workers let go during the company’s workforce initiative in the last half of the year. In the fourth quarter alone, EnergySolutions reported, $6 million of the $38.6 million in SG&A costs was due to "restructuring charges." EnergySolutions did not provide forward-looking projections as they plan to hold a vote on April 26 to determine whether a majority of its shareholders approve of Energy Capital Partners’ proposal to buy EnergySolutions for $3.75 per share, which EnergySolutions announced Jan. 7.