Englobal Corp Stock Price, News & Analysis

HOUSTON, TX / ACCESSWIRE / August 27, 2021 / ENGlobal's (NASDAQ:ENG) annual stockholders' meeting took place recently, with about 58% of its total common stock represented. Approximately 99% of the votes supported the election of Board members: William A. Coskey, Mark A. Hess, Lloyd G. Kirchner, Christopher D. Sorrells, and Kevin M. Palma, along with the approval of the 2021 Long Term Incentive Plan and the appointment of Moss Adams for fiscal year 2021.

ENGlobal Corporation (NASDAQ:ENG) reported a major strategic transformation but faced significant challenges in Q2 2021. The company posted a net loss of $4.26 million, or $(0.14) per share, on revenues of $11.08 million, down from $17.88 million in the same period last year. Key moves included six new hires, a rebranding effort, and raising $19 million through a direct offering, leading to $29 million cash on hand. However, revenue decline was attributed to COVID-19 delays, resulting in a reduced gross margin of 0.7%. CEO Mark A. Hess anticipates improved results as the energy sector recovers.

ENGlobal (NASDAQ:ENG) announced a rebranding with a new logo and website to reflect its strategic shift towards providing vertically integrated project solutions for both traditional energy and renewables. The updated website, www.ENGlobal.com, details the company's comprehensive services including Project Management, Engineering, and more. CEO Mark Hess stated the changes will serve as an effective marketing tool, enhancing customer service across industries such as Automation, Oil, Gas, and Renewables.

ENGlobal (NASDAQ:ENG) will host a conference call on August 5, 2021, at 9:00 am ET to discuss its Q2 2021 financial results, which will be announced at 8:00 am ET. The call will feature CEO Mark Hess, CFO Darren Spriggs, and President Roger Westerlind, covering key highlights, updates on potential contract awards, and the company’s growth outlook. Interested participants can join via toll-free numbers or stream it online. The replay will be available post-call until August 12, 2021.

ENGlobal Corporation (NASDAQ:ENG) has announced its selection for inclusion in the Russell Microcap® Index, effective June 25, 2021, following the annual reconstitution of Russell indexes. This inclusion is anticipated to enhance investor awareness and support the company's growth prospects. The Russell Microcap® Index serves as a benchmark for approximately $10.6 trillion in assets. ENGlobal operates in the renewable and traditional energy sectors, providing comprehensive project solutions.

ENGlobal Corporation (NASDAQ:ENG) has successfully delivered the final process module for a hydrogen production unit in Hugoton, Kansas, intended for a renewable diesel facility with a capacity of 6,500 barrels per day. This project features innovative HTCR^TM technology, enhancing efficiency and reducing carbon intensity.

ENGlobal's services included engineering and automation over an 18-month period. The company is now pursuing new green energy projects, with potential revenues ranging from $20 million to $120 million, while anticipating a resurgence in its traditional oil and gas segment.

ENGlobal Corporation (NASDAQ:ENG) has entered into a securities purchase agreement for the sale of 7,142,859 shares of common stock at $2.80 per share, raising approximately $20 million. This registered direct offering complies with Nasdaq rules and is expected to close by June 4, 2021, pending customary conditions. The offering is made under an effective shelf registration statement with the SEC. A.G.P./Alliance Global Partners acts as the sole placement agent for this transaction.

ENGlobal Corporation (NASDAQ: ENG) reported a net income of $46,000, or $0.00 per share, for Q1 2021, down from $1,101,000, or $0.04 per share, in Q1 2020. Revenue fell to $12.45 million from $19.26 million due to reduced capital spending by clients amid COVID-19 impacts. Despite these challenges, CEO Mark A. Hess expressed optimism for improved performance as pandemic conditions ease and renewed business development efforts take hold. Gross profit decreased significantly, indicating ongoing economic strain.

ENGlobal (NASDAQ:ENG) will host a conference call on May 6, 2021, at 9:00 AM ET to discuss its Q1 2021 financial results, announced earlier that day at 8:00 AM ET. Key executives, including CEO Mark Hess and CFO Darren Spriggs, will review the company’s performance and provide updates on potential contracts and growth forecasts. The call can be accessed via phone or through a live Internet broadcast. Additionally, a recording will be available after the call until May 13, 2021. More details are available on ENGlobal's investor website.