第99.1展示文本
myr group公司宣佈2024年第三季度和前九個月的業績
科羅拉多州桑頓, 2024年10月30日 - myr group公司（「myr」）（納斯達克: MYRG），美國和加拿大電力公用設施、商業和工業建築市場領先專業承包商控股公司，今日宣佈其2024年第三季度和前九個月財務業績。
2024年第三季度亮點
•88800萬美元的季度收入
•季度淨利潤1060萬美元，每股稀釋收益爲0.65美元
•季度EBITDA爲3720萬美元
•26億美元的積壓
管理層評論
MYR的總裁兼首席執行官瑞克·施瓦茨表示：「我們的核心市場仍然活躍，競標活動在本季度繼續以強勁的步伐進行。隨着我們在業務領域繼續戰略性地拓展強勁的客戶關係，長期增長的機會仍然健康。」 施瓦茨先生還表示：「我們的第三季度表現比第二季度有所改善，展現出在業務核心領域強勁的項目執行能力，我們繼續解決一小部分預計今年完成的項目所帶來的不利影響。」
第三季度結果
MYR報告2024年第三季度營業收入爲88800萬美元，較2023年第三季度減少5150萬美元，降低了5.5％。具體而言，我們的輸變電（"T＆D"）部門報告的季度營業收入爲48190萬美元，較2023年第三季度減少6670萬美元，降低了12.2％，這主要是由於輸電項目收入減少8100萬美元，配電項目收入增加1430萬美元。我們的商用和工業（"C＆I"）部門報告的季度營業收入爲40620萬美元，較2023年第三季度增加1530萬美元，增長了3.9％，主要是由於固定價格合同和T&E合同收入增加。
2024年第三季度，綜合毛利潤下降至7730萬美元，比2023年第三季度的9240萬美元有所減少。毛利潤下降是由於較低的利潤率和收入較少。毛利率從2023年第三季度的9.8%降至2024年第三季度的8.7%。毛利率下降主要與T&D的清潔能源項目，C&I項目的不利影響以及與不利的工作結算、勞動力和項目效率提高相關的成本增加有關。這些利潤率下降部分地被比預期更好的生產率和有利的變更訂單所抵消。某些項目毛利潤估計變更導致2024年第三季度和2016年第三季度的毛利率分別減少了3.9%和1.3%。
在2024年第三季度，銷售、一般及管理費用（「SG&A」）降至5750萬美元，低於2023年第三季度的5990萬美元。期間降低主要原因是員工激勵補償成本減少以及與先前收購相關的計件補償費用減少，部分抵消了爲支持未來增長而增加的員工相關費用。
2024年第三季度所得稅費用爲790萬美元，有效稅率爲42.5%，而2023年第三季度所得稅費用爲930萬美元，有效稅率爲30.3%。稅率的年度變化主要是由於更高的永久性差異項目，主要涉及以前收購的可扣除限制相關的臨時補償，該收購在2024年第三季度成功完成，以及對加拿大收入的更高美國稅款。
2024年第三季度淨利潤爲1060萬美元，每股攤薄盈利爲0.65美元，與2023年同期的2150萬美元，每股攤薄盈利1.28美元相比。2024年第三季度EBITDA（一項非通用會計準則財務指標）爲3720萬美元，與2023年第三季度的4700萬美元相比。
1
首個九個月的結果
MYR報告了2024年前九個月的營業收入爲25.3億美元，較2023年前九個月下降10720萬美元，或4.1%，具體而言，我們的T&D部門報告的營業收入爲14.3億美元，比2023年前九個月減少6720萬美元，這主要是因爲變速器項目收入減少了10500萬美元，但配電項目收入增加了3780萬美元。我們的C&I部門報告的營業收入爲11億美元，比2023年前九個月減少了4010萬美元，或3.5%，這主要是因爲2024年某些項目延遲啓動。
2024年前九個月，綜合毛利減少至20440萬美元，低於2023年前九個月的26690萬美元。毛利下降是由於較低的利潤率和收入減少。毛利率從2023年前九個月的10.1％下降至2024年前九個月的8.1％。毛利率的降低主要與輸配電中的清潔能源項目、C＆I項目的不利影響、勞動力和項目效率低等因素有關，以及某些項目進度加快導致成本增加，變更訂單和不利的工作結束。這些利潤率下降部分抵消了高於預期的生產力、有利的變更訂單、有利的工作結束以及有利的合資公司業績。對某些項目毛利的估計變更導致2024年前九個月和2023年前九個月的毛利率分別降低了4.4％和1.2％。
2024年前九個月SG&A支出增至18150萬美元，相比2023年前九個月的17460萬美元。這一時期對比的增長主要是由於與之前收購有關的應計報酬費用增加以及爲了支持未來增長而增加的員工相關費用，部分抵消了員工激勵補償成本的減少。
2024年前九個月利息支出增加至430萬美元，而2023年前九個月爲310萬美元。期間增加的主要原因是2024年前九個月的平均債務餘額較2023年前九個月增加。
2024年前九個月所得稅費用爲520萬美元，有效稅率爲26.6%，相比於2023年前九個月的所得稅費用爲2260萬美元，有效稅率爲25.2%。稅率的逐期變化主要是由於較低的稅前收入及較高的其他永久差異項目，部分抵消了較低的股票補償超額稅收益。永久差異項目的增加主要與可抵扣的有條件補償限制有關，這些限制與先前的一項收購有關，以及對加拿大所得的較高美國稅金。
2024年前九個月，凈利潤為1430萬美元，每股稀釋後盈利為0.86美元，較2023年同期的6690萬美元，每股稀釋後盈利3.98美元有所下降。
積壓訂單
截至2024年9月30日，MYR的訂單 backlog 為26億美元，相較於2024年6月30日的25.4億美元。截至2024年9月30日，T＆D的訂單 backlog 為79870萬美元，C＆I的訂單 backlog 為18億美元。2024年9月30日的總訂單 backlog 較2023年9月30日報告的26.2億美元減少了1970萬美元，或0.8%。
資產負債表
截至2024年9月30日，MYR在其49000萬美元循環信貸額度下可借款額為37550萬美元。
非依據通用會計準則的財務指標
為補充根據美國普遍接受會計原則（"GAAP"）編製的MYR基本報表，MYR使用某些非GAAP指標。本新聞稿中包含的所有非GAAP指標的最近GAAP指標的對帳可以在本發布的末尾找到。MYR對這些非GAAP指標的定義可能與其他公司使用的類似標題指標不同。這些非GAAP指標應被視為補充，而不是替代根據GAAP編製的財務信息。
MYR認為這些非GAAP指標是有用的，因為它們 (i) 提供管理層和投資者關於財務表現的有意義的補充信息，排除了一些不一定代表核心業務運作結果的費用和利益， (ii) 允許投資者使用與管理層評估MYR過去表現、可報告的業務部門和未來表現前景時採用的相同工具來查看MYR的表現， (iii) 公開披露與MYR信用協議中包含的財務承諾相關的結果， (iv) 提供可能有助於投資者評估MYR的補充信息。
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看漲會議通話
MYR將於2024年10月31日（星期四）上午8:00（山區時間）舉行電話會議，討論其2024年第三季度的業績。要通過電話參加並即時參與會議，請提前在此註冊：https://register.vevent.com/register/BIcf56e5d4dfbd47ab90fa168c7ef8653c。註冊後，電話參加者將收到確認電子郵件，詳細說明如何加入會議，包括撥入號碼和唯一的通行碼。參與者可以透過MYR Group網站的投資者頁面（myrgroup.com）獲取僅音頻的會議網路廣播。網路廣播的重播將提供七天。
關於myr group 公司。
myr group是一家領先的專業電力工程承包商的控股公司，通過兩個業務部門在美國和加拿大提供服務：變速器&配電（T&D）和商業&工業（C&I）。myr group的子公司具有完成任何類型和規模的電氣安裝的經驗和專業知識。通過他們的變速器&配電部門，他們提供電力變電、配電網、變電站設施、清潔能源項目和電動車充電基礎設施的服務。他們全面的變速器&配電服務包括設計、工程、採購、施工、升級、維護和維修服務。變速器&配電的客戶包括投資型公用事業、合作社、私人開發商、政府資助的公用事業、獨立發電廠、獨立變電公司、工業設施業主和其他承包商。通過他們的商業&工業部門，他們提供一系列廣泛的服務，包括為機場、醫院、數據中心、酒店、體育場、商業和工業設施、清潔能源項目、製造廠、加工設施、水務/廢水處理設施、礦山設施、智能交通系統、道路照明、信號系統和電動車充電基礎設施的設計、安裝、維護和維修。商業&工業的客戶包括總承包商、商業和工業設施業主、政府機構和開發商。欲獲得更多資訊，請訪問myrgroup.com。
前瞻性聲明
本公告中的各種聲明，包括表達信念、期望或意圖的聲明，以及那些不屬於歷史事實的聲明，均屬前瞻性聲明。前瞻性聲明可能包括有關特定項目的計劃和預計的時間安排以及我們未來生產、營收、收入、資本支出、業務部門改善和投資的預測和估計。前瞻性聲言通常伴隨著「預期」、「相信」、「估計」、「期待」、「打算」、「可能」、「有望」、「目標」、「展望」、「計劃」、「項目」、「可能」、「潛在」、「可以」、「不太可能」或其他傳達未來事件或結果的不確定性的詞語。本公告中的前瞻性聲明僅截至本公告日期為止。我們否認更新這些聲明的義務（除非法律要求），並提醒您不可過度依賴它們。我們基於對未來事件的當前期望和假設來制定這些前瞻性聲明。盡管我們的管理層認為這些期望和假設是合理的，但它們本質上會受到重大業務、經濟、競爭、監管和其他風險、事件和不確定因素的影響，其中大多數難以預測，許多超出我們的控制範圍。無法保證任何前瞻性聲明，實際結果可能與預期有顯著差異。本公告中的前瞻性聲明應與影響MYR業務的許多不確定因素一起評估，尤其是在MYR截至2023年12月31日的財年年報第1A部分提到的風險因素和警語陳述，以及在MYR隨後的每個季度報告表格10-Q或現行報告表格8-k中包含的任何風險因素或警語陳述。
MYR Group Inc. Contact:
Kelly M. Huntington, Chief Financial Officer, 847-290-1891, investorinfo@myrgroup.com
Investor Contact:
David Gutierrez, Dresner Corporate Services, 312-780-7204, dgutierrez@dresnerco.com
Financial tables follow…
3
MYR GROUP INC.
Consolidated Balance Sheets
As of September 30, 2024 and December 31, 2023
| (in thousands, except share and per share data) | September 30, 2024 | December 31, 2023 | |||||||||
| (unaudited) | |||||||||||
| ASSETS | |||||||||||
| Current assets: | |||||||||||
| Cash and cash equivalents | $ | 7,569 | $ | 24,899 | |||||||
Accounts receivable, net of allowances of $977 and $1,987, respectively | 571,342 | 521,893 | |||||||||
Contract assets, net of allowances of $582 and $610, respectively | 411,843 | 420,616 | |||||||||
| Current portion of receivable for insurance claims in excess of deductibles | 9,056 | 8,267 | |||||||||
| Refundable income taxes | 6,280 | 4,034 | |||||||||
| Prepaid expenses and other current assets | 25,532 | 46,535 | |||||||||
| Total current assets | 1,031,622 | 1,026,244 | |||||||||
Property and equipment, net of accumulated depreciation of $388,180 and $380,465, respectively | 279,634 | 268,978 | |||||||||
| Operating lease right-of-use assets | 40,665 | 35,012 | |||||||||
| Goodwill | 115,970 | 116,953 | |||||||||
Intangible assets, net of accumulated amortization of $34,036 and $30,534, respectively | 79,077 | 83,516 | |||||||||
| Receivable for insurance claims in excess of deductibles | 34,925 | 33,739 | |||||||||
| Investment in joint ventures | 5,835 | 8,707 | |||||||||
| Other assets | 5,331 | 5,597 | |||||||||
| Total assets | $ | 1,593,059 | $ | 1,578,746 | |||||||
| LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||||||
| Current liabilities: | |||||||||||
| Current portion of long-term debt | $ | 4,364 | $ | 7,053 | |||||||
| Current portion of operating lease obligations | 11,136 | 9,237 | |||||||||
| Current portion of finance lease obligations | 1,168 | 2,039 | |||||||||
| Accounts payable | 329,971 | 359,363 | |||||||||
| Contract liabilities | 262,557 | 240,411 | |||||||||
| Current portion of accrued self-insurance | 25,394 | 28,269 | |||||||||
| Accrued income taxes | — | 237 | |||||||||
| Other current liabilities | 127,846 | 100,593 | |||||||||
| Total current liabilities | 762,436 | 747,202 | |||||||||
| Deferred income tax liabilities | 47,722 | 48,230 | |||||||||
| Long-term debt | 88,822 | 29,188 | |||||||||
| Accrued self-insurance | 54,262 | 51,796 | |||||||||
| Operating lease obligations, net of current maturities | 29,529 | 25,775 | |||||||||
| Finance lease obligations, net of current maturities | 2,312 | 314 | |||||||||
| Other liabilities | 19,467 | 25,039 | |||||||||
| Total liabilities | 1,004,550 | 927,544 | |||||||||
| Commitments and contingencies | |||||||||||
| Shareholders’ equity: | |||||||||||
Preferred stock—$0.01 par value per share; 4,000,000 authorized shares; none issued and outstanding at September 30, 2024 and December 31, 2023 | — | — | |||||||||
Common stock—$0.01 par value per share; 100,000,000 authorized shares; 16,121,901 and 16,684,492 shares issued and outstanding at September 30, 2024 and December 31, 2023, respectively | 161 | 167 | |||||||||
| Additional paid-in capital | 156,799 | 162,386 | |||||||||
| Accumulated other comprehensive loss | (6,216) | (3,880) | |||||||||
| Retained earnings | 437,765 | 492,529 | |||||||||
| Total shareholders’ equity | 588,509 | 651,202 | |||||||||
| Total liabilities and shareholders’ equity | $ | 1,593,059 | $ | 1,578,746 | |||||||
4
MYR GROUP INC.
Unaudited Consolidated Statements of Operations
Three and Nine Months Ended September 30, 2024 and 2023
| Three months ended September 30, | Nine months ended September 30, | ||||||||||||||||||||||
| (in thousands, except per share data) | 2024 | 2023 | 2024 | 2023 | |||||||||||||||||||
| Contract revenues | $ | 888,043 | $ | 939,476 | $ | 2,532,495 | $ | 2,639,708 | |||||||||||||||
| Contract costs | 810,755 | 847,093 | 2,328,121 | 2,372,806 | |||||||||||||||||||
| Gross profit | 77,288 | 92,383 | 204,374 | 266,902 | |||||||||||||||||||
| Selling, general and administrative expenses | 57,456 | 59,879 | 181,528 | 174,618 | |||||||||||||||||||
| Amortization of intangible assets | 1,221 | 1,231 | 3,666 | 3,686 | |||||||||||||||||||
| Gain on sale of property and equipment | (1,750) | (754) | (4,745) | (3,293) | |||||||||||||||||||
| Income from operations | 20,361 | 32,027 | 23,925 | 91,891 | |||||||||||||||||||
| Other income (expense): | |||||||||||||||||||||||
| Interest income | 73 | 226 | 296 | 740 | |||||||||||||||||||
| Interest expense | (2,016) | (1,319) | (4,311) | (3,059) | |||||||||||||||||||
| Other income (expense), net | 112 | (91) | (421) | (61) | |||||||||||||||||||
| Income before provision for income taxes | 18,530 | 30,843 | 19,489 | 89,511 | |||||||||||||||||||
| Income tax expense | 7,881 | 9,331 | 5,178 | 22,563 | |||||||||||||||||||
| Net income | $ | 10,649 | $ | 21,512 | $ | 14,311 | $ | 66,948 | |||||||||||||||
| Income per common share: | |||||||||||||||||||||||
| —Basic | $ | 0.65 | $ | 1.29 | $ | 0.86 | $ | 4.01 | |||||||||||||||
| —Diluted | $ | 0.65 | $ | 1.28 | $ | 0.86 | $ | 3.98 | |||||||||||||||
| Weighted average number of common shares and potential common shares outstanding: | |||||||||||||||||||||||
| —Basic | 16,283 | 16,710 | 16,582 | 16,678 | |||||||||||||||||||
| —Diluted | 16,324 | 16,829 | 16,647 | 16,821 | |||||||||||||||||||
5
MYR GROUP INC.
Unaudited Consolidated Statements of Cash Flows
Nine Months Ended September 30, 2024 and 2023
| Nine months ended September 30, | |||||||||||
| (in thousands) | 2024 | 2023 | |||||||||
| Cash flows from operating activities: | |||||||||||
| Net income | $ | 14,311 | $ | 66,948 | |||||||
| Adjustments to reconcile net income to net cash flows provided by operating activities: | |||||||||||
| Depreciation and amortization of property and equipment | 45,131 | 39,848 | |||||||||
| Amortization of intangible assets | 3,666 | 3,686 | |||||||||
| Stock-based compensation expense | 6,198 | 6,562 | |||||||||
| Deferred income taxes | (144) | — | |||||||||
| Gain on sale of property and equipment | (4,745) | (3,293) | |||||||||
| Other non-cash items | 1,044 | 564 | |||||||||
| Changes in operating assets and liabilities: | |||||||||||
| Accounts receivable, net | (50,193) | (76,349) | |||||||||
| Contract assets, net | 8,212 | (109,803) | |||||||||
| Receivable for insurance claims in excess of deductibles | (1,975) | 1,558 | |||||||||
| Other assets | 21,687 | 21,503 | |||||||||
| Accounts payable | (20,607) | 62,276 | |||||||||
| Contract liabilities | 22,294 | 3,941 | |||||||||
| Accrued self-insurance | (402) | (1,119) | |||||||||
| Other liabilities | 21,519 | 12,070 | |||||||||
| Net cash flows provided by operating activities | 65,996 | 28,392 | |||||||||
| Cash flows from investing activities: | |||||||||||
| Proceeds from sale of property and equipment | 6,815 | 3,998 | |||||||||
| Purchases of property and equipment | (63,634) | (63,791) | |||||||||
| Net cash flows used in investing activities | (56,819) | (59,793) | |||||||||
| Cash flows from financing activities: | |||||||||||
| Borrowings under revolving lines of credit | 584,070 | 354,467 | |||||||||
| Repayments under revolving lines of credit | (520,076) | (328,085) | |||||||||
| Payment of principal obligations under equipment notes | (7,049) | (4,597) | |||||||||
| Payment of principal obligations under finance leases | (2,083) | (872) | |||||||||
| Proceeds from exercise of stock options | — | 20 | |||||||||
| Repurchase of common stock | (75,000) | — | |||||||||
| Debt refinancing costs | (34) | (2,129) | |||||||||
| Payments related to tax withholding for stock-based compensation | (5,866) | (7,936) | |||||||||
| Net cash flows provided by (used in) financing activities | (26,038) | 10,868 | |||||||||
| Effect of exchange rate changes on cash | (469) | (36) | |||||||||
| Net decrease in cash and cash equivalents | (17,330) | (20,569) | |||||||||
| Cash and cash equivalents: | |||||||||||
| Beginning of period | 24,899 | 51,040 | |||||||||
| End of period | $ | 7,569 | $ | 30,471 | |||||||
6
MYR GROUP INC.
Unaudited Consolidated Selected Data,
Unaudited Performance Measure and Reconciliation of Non-GAAP Measure
For the Three, Nine and Twelve Months Ended September 30, 2024 and 2023 and
As of September 30, 2024, December 31, 2023, September 30, 2023 and September 30, 2022
| Three months ended September 30, | Last twelve months ended September 30, | |||||||||||||||||||||||||
| (dollars in thousands, except share and per share data) | 2024 | 2023 | 2024 | 2023 | ||||||||||||||||||||||
| Summary Statement of Operations Data: | ||||||||||||||||||||||||||
| Contract revenues | $ | 888,043 | $ | 939,476 | $ | 3,536,692 | $ | 3,503,664 | ||||||||||||||||||
| Gross profit | $ | 77,288 | $ | 92,383 | $ | 301,869 | $ | 363,171 | ||||||||||||||||||
| Income from operations | $ | 20,361 | $ | 32,027 | $ | 61,127 | $ | 128,676 | ||||||||||||||||||
| Income before provision for income taxes | $ | 18,530 | $ | 30,843 | $ | 54,982 | $ | 125,285 | ||||||||||||||||||
| Income tax expense | $ | 7,881 | $ | 9,331 | $ | 16,629 | $ | 33,764 | ||||||||||||||||||
| Net income | $ | 10,649 | $ | 21,512 | $ | 38,353 | $ | 91,521 | ||||||||||||||||||
| Tax rate | 42.5 | % | 30.3 | % | 30.2 | % | 26.9 | % | ||||||||||||||||||
| Per Share Data: | ||||||||||||||||||||||||||
| Income per common share: | ||||||||||||||||||||||||||
–Basic | $ | 0.65 | $ | 1.29 | $ | 2.31 | (1) | $ | 5.49 | (1) | ||||||||||||||||
–Diluted | $ | 0.65 | $ | 1.28 | $ | 2.29 | (1) | $ | 5.45 | (1) | ||||||||||||||||
| Weighted average number of common shares and potential common shares outstanding: | ||||||||||||||||||||||||||
–Basic | 16,283 | 16,710 | 16,611 | (2) | 16,653 | (2) | ||||||||||||||||||||
–Diluted | 16,324 | 16,829 | 16,702 | (2) | 16,812 | (2) | ||||||||||||||||||||
| (in thousands) | September 30, 2024 | December 31, 2023 | September 30, 2023 | September 30, 2022 | |||||||||||||||||||
| Summary Balance Sheet Data: | |||||||||||||||||||||||
| Total assets | $ | 1,593,059 | $ | 1,578,746 | $ | 1,560,733 | $ | 1,329,956 | |||||||||||||||
| Total shareholders’ equity | $ | 588,509 | $ | 651,202 | $ | 625,459 | $ | 535,877 | |||||||||||||||
| Goodwill and intangible assets | $ | 195,047 | $ | 200,469 | $ | 199,518 | $ | 204,275 | |||||||||||||||
| Total funded debt (3) | $ | 93,186 | $ | 36,241 | $ | 62,338 | $ | 85,912 | |||||||||||||||
| Three months ended September 30, | Nine months ended September 30, | ||||||||||||||||||||||||||||||||||||||||||||||
| (dollars in thousands) | 2024 | 2023 | 2024 | 2023 | |||||||||||||||||||||||||||||||||||||||||||
| Segment Results: | Amount | Percent | Amount | Percent | Amount | Percent | Amount | Percent | |||||||||||||||||||||||||||||||||||||||
| Contract revenues: | |||||||||||||||||||||||||||||||||||||||||||||||
| Transmission & Distribution | $ | 481,876 | 54.3 | % | $ | 548,595 | 58.4 | % | $ | 1,430,480 | 56.5 | % | $ | 1,497,655 | 56.7 | % | |||||||||||||||||||||||||||||||
| Commercial & Industrial | 406,167 | 45.7 | % | 390,881 | 41.6 | % | 1,102,015 | 43.5 | % | 1,142,053 | 43.3 | % | |||||||||||||||||||||||||||||||||||
| Total | $ | 888,043 | 100.0 | % | $ | 939,476 | 100.0 | % | $ | 2,532,495 | 100.0 | % | $ | 2,639,708 | 100.0 | % | |||||||||||||||||||||||||||||||
| Operating income: | |||||||||||||||||||||||||||||||||||||||||||||||
| Transmission & Distribution | $ | 17,568 | 3.6 | % | $ | 36,262 | 6.6 | % | $ | 39,104 | 2.7 | % | $ | 106,817 | 7.1 | % | |||||||||||||||||||||||||||||||
| Commercial & Industrial | 20,309 | 5.0 | % | 13,932 | 3.6 | % | 33,340 | 3.0 | % | 37,182 | 3.3 | % | |||||||||||||||||||||||||||||||||||
| Total | $ | 37,877 | 4.3 | % | $ | 50,194 | 5.3 | % | $ | 72,444 | 2.9 | % | $ | 143,999 | 5.5 | % | |||||||||||||||||||||||||||||||
| Corporate | (17,516) | (2.0) | % | (18,167) | (1.9) | % | (48,519) | (1.9) | % | (52,108) | (2.0) | % | |||||||||||||||||||||||||||||||||||
| Consolidated | $ | 20,361 | 2.3 | % | $ | 32,027 | 3.4 | % | $ | 23,925 | 1.0 | % | $ | 91,891 | 3.5 | % | |||||||||||||||||||||||||||||||
See notes at the end of this earnings release
7
MYR GROUP INC.
Unaudited Performance Measures and Reconciliation of Non-GAAP Measures
Three and Twelve Months Ended September 30, 2024 and 2023
| Three months ended September 30, | Last twelve months ended September 30, | ||||||||||||||||||||||
| (in thousands, except share, per share data, ratios and percentages) | 2024 | 2023 | 2024 | 2023 | |||||||||||||||||||
| Financial Performance Measures (4): | |||||||||||||||||||||||
| EBITDA (5) | $ | 37,166 | $ | 46,975 | $ | 125,130 | $ | 187,343 | |||||||||||||||
| EBITDA per Diluted Share (6) | $ | 2.27 | $ | 2.79 | $ | 7.49 | $ | 11.14 | |||||||||||||||
| EBIA, net of taxes (7) | $ | 12,468 | $ | 23,132 | $ | 45,776 | $ | 98,368 | |||||||||||||||
| Free Cash Flow (8) | $ | 17,952 | $ | (9,513) | $ | 24,041 | $ | 29,825 | |||||||||||||||
| Book Value per Period End Share (9) | $ | 36.41 | $ | 37.17 | |||||||||||||||||||
| Tangible Book Value (10) | $ | 393,462 | $ | 425,941 | |||||||||||||||||||
| Tangible Book Value per Period End Share (11) | $ | 24.34 | $ | 25.31 | |||||||||||||||||||
| Funded Debt to Equity Ratio (12) | 0.16 | 0.10 | |||||||||||||||||||||
| Asset Turnover (13) | 2.27 | 2.63 | |||||||||||||||||||||
| Return on Assets (14) | 2.5 | % | 6.9 | % | |||||||||||||||||||
| Return on Equity (15) | 6.1 | % | 17.1 | % | |||||||||||||||||||
| Return on Invested Capital (16) | 6.9 | % | 15.8 | % | |||||||||||||||||||
| Reconciliation of Non-GAAP Measures: | |||||||||||||||||||||||
| Reconciliation of Net Income to EBITDA: | |||||||||||||||||||||||
| Net income | $ | 10,649 | $ | 21,512 | $ | 38,353 | $ | 91,521 | |||||||||||||||
| Interest expense, net | 1,943 | 1,093 | 5,747 | 3,518 | |||||||||||||||||||
| Income tax expense | 7,881 | 9,331 | 16,629 | 33,764 | |||||||||||||||||||
| Depreciation and amortization | 16,693 | 15,039 | 64,401 | 58,540 | |||||||||||||||||||
| EBITDA (5) | $ | 37,166 | $ | 46,975 | $ | 125,130 | $ | 187,343 | |||||||||||||||
| Reconciliation of Net Income per Diluted Share to EBITDA per Diluted Share: | |||||||||||||||||||||||
| Net income per share | $ | 0.65 | $ | 1.28 | $ | 2.29 | $ | 5.45 | |||||||||||||||
| Interest expense, net, per share | 0.12 | 0.07 | 0.34 | 0.21 | |||||||||||||||||||
| Income tax expense per share | 0.48 | 0.55 | 1.00 | 2.00 | |||||||||||||||||||
| Depreciation and amortization per share | 1.02 | 0.89 | 3.86 | 3.48 | |||||||||||||||||||
| EBITDA per Diluted Share (6) | $ | 2.27 | $ | 2.79 | $ | 7.49 | $ | 11.14 | |||||||||||||||
| Reconciliation of Non-GAAP measure: | |||||||||||||||||||||||
| Net income | $ | 10,649 | $ | 21,512 | $ | 38,353 | $ | 91,521 | |||||||||||||||
| Interest expense, net | 1,943 | 1,093 | 5,747 | 3,518 | |||||||||||||||||||
| Amortization of intangible assets | 1,221 | 1,231 | 4,887 | 5,848 | |||||||||||||||||||
| Tax impact of interest and amortization of intangible assets | (1,345) | (704) | (3,211) | (2,519) | |||||||||||||||||||
| EBIA, net of taxes (7) | $ | 12,468 | $ | 23,132 | $ | 45,776 | $ | 98,368 | |||||||||||||||
| Calculation of Free Cash Flow: | |||||||||||||||||||||||
| Net cash flow from operating activities | $ | 35,625 | $ | 12,548 | $ | 108,620 | $ | 122,150 | |||||||||||||||
| Less: cash used in purchasing property and equipment | (17,673) | (22,061) | (84,579) | (92,325) | |||||||||||||||||||
| Free Cash Flow (8) | $ | 17,952 | $ | (9,513) | $ | 24,041 | $ | 29,825 | |||||||||||||||
See notes at the end of this earnings release.
8
MYR GROUP INC.
Unaudited Performance Measures and Reconciliation of Non-GAAP Measures
As of September 30, 2024, 2023 and 2022
| (in thousands, except per share amounts) | September 30, 2024 | September 30, 2023 | |||||||||
| Reconciliation of Book Value to Tangible Book Value: | |||||||||||
| Book value (total shareholders' equity) | $ | 588,509 | $ | 625,459 | |||||||
| Goodwill and intangible assets | (195,047) | (199,518) | |||||||||
| Tangible Book Value (10) | $ | 393,462 | $ | 425,941 | |||||||
| Reconciliation of Book Value per Period End Share to Tangible Book Value per Period End Share: | |||||||||||
| Book value per period end share | $ | 36.41 | $ | 37.17 | |||||||
| Goodwill and intangible assets per period end share | (12.07) | (11.86) | |||||||||
| Tangible Book Value per Period End Share (11) | $ | 24.34 | $ | 25.31 | |||||||
| Calculation of Period End Shares: | |||||||||||
| Shares outstanding | 16,122 | 16,710 | |||||||||
| Plus: common equivalents | 41 | 119 | |||||||||
| Period End Shares (17) | 16,163 | 16,829 | |||||||||
| (in thousands) | September 30, 2024 | September 30, 2023 | September 30, 2022 | ||||||||||||||
| Reconciliation of Invested Capital to Shareholders Equity: | |||||||||||||||||
| Book value (total shareholders' equity) | $ | 588,509 | $ | 625,459 | $ | 535,877 | |||||||||||
| Plus: total funded debt | 93,186 | 62,338 | 85,912 | ||||||||||||||
| Less: cash and cash equivalents | (7,569) | (30,471) | (35,767) | ||||||||||||||
| Invested Capital | $ | 674,126 | $ | 657,326 | $ | 586,022 | |||||||||||
| Average Invested Capital (18) | $ | 665,726 | $ | 621,674 | |||||||||||||
See notes at the end of this earnings release.
9
(1)Last-twelve-months earnings per share is the sum of earnings per share reported in the last four quarters.
(2)Last-twelve-months weighted average basic and diluted shares were determined by adding the weighted average shares reported for the last four quarters and dividing by four.
(3)Funded debt includes outstanding borrowings under our revolving credit facility and our outstanding equipment notes.
(4)These financial performance measures are provided as supplemental information to the financial statements. These measures are used by management to evaluate our past performance, our prospects for future performance and our ability to comply with certain material covenants as defined within our credit agreement, and to compare our results with those of our peers. In addition, we believe that certain of the measures, such as book value, tangible book value, free cash flow, asset turnover, return on equity, and debt leverage are measures that are monitored by sureties, lenders, lessors, suppliers and certain investors. Our calculation of each measure is described in the following notes; our calculation may not be the same as the calculations made by other companies.
(5)EBITDA is defined as earnings before interest, taxes, depreciation and amortization. EBITDA is not recognized under GAAP and does not purport to be an alternative to net income as a measure of operating performance or to net cash flows provided by operating activities as a measure of liquidity. Certain material covenants contained within our credit agreement are based on EBITDA with certain additional adjustments, including our interest coverage ratio and leverage ratio, which we must comply with to avoid potential immediate repayment of amounts borrowed or additional fees to seek relief from our lenders. In addition, management considers EBITDA a useful measure because it provides MYR Group Inc. and its investors with an additional tool to compare our operating performance on a consistent basis by removing the impact of certain items that management believes to not directly reflect the company’s core operations. Management further believes that EBITDA is useful to investors and other external users of our financial statements in evaluating the company’s operating performance and cash flow because EBITDA is widely used by investors to measure a company’s operating performance without regard to items such as interest expense, taxes, depreciation and amortization, which can vary substantially from company to company depending upon accounting methods and book value of assets, useful lives placed on assets, capital structure and the method by which assets were acquired.
(6)EBITDA per diluted share is calculated by dividing EBITDA by the weighted average number of diluted shares outstanding for the period. EBITDA per diluted share is not recognized under GAAP and does not purport to be an alternative to income per diluted share.
(7)EBIA, net of taxes is defined as net income plus net interest plus amortization of intangible assets, less the tax impact of net interest and amortization of intangible assets. The tax impact of net interest and amortization of intangible assets is computed by multiplying net interest and amortization of intangible assets by the effective tax rate. Management uses EBIA, net of taxes, to measure our results exclusive of the impact of financing and amortization of intangible assets costs.
(8)Free cash flow, which is defined as cash flow provided by operating activities minus cash flow used in purchasing property and equipment, is not recognized under GAAP and does not purport to be an alternative to net income, cash flow from operations or the change in cash on the balance sheet. Management views free cash flow as a measure of operational performance, liquidity and financial health.
(9)Book value per period end share is calculated by dividing total shareholders’ equity at the end of the period by the period end shares outstanding.
(10)Tangible book value is calculated by subtracting goodwill and intangible assets outstanding at the end of the period from shareholders’ equity. Tangible book value is not recognized under GAAP and does not purport to be an alternative to book value or shareholders’ equity.
(11)Tangible book value per period end share is calculated by dividing tangible book value at the end of the period by the period end number of shares outstanding. Tangible book value per period end share is not recognized under GAAP and does not purport to be an alternative to income per diluted share.
(12)The funded debt to equity ratio is calculated by dividing total funded debt at the end of the period by total shareholders’ equity at the end of the period.
(13)Asset turnover is calculated by dividing the current period revenue by total assets at the beginning of the period.
(14)Return on assets is calculated by dividing net income for the period by total assets at the beginning of the period.
(15)Return on equity is calculated by dividing net income for the period by total shareholders’ equity at the beginning of the period.
(16)Return on invested capital is calculated by dividing EBIA, net of taxes, less any dividends, by average invested capital. Return on invested capital is not recognized under GAAP, and is a key metric used by management to determine our executive compensation.
(17)Period end shares is calculated by adding average common stock equivalents for the quarter to the period end balance of common stock outstanding. Period end shares is not recognized under GAAP and does not purport to be an alternative to diluted shares. Management views period end shares as a better measure of shares outstanding as of the end of the period.
(18)Average invested capital is calculated by adding net funded debt (total funded debt less cash and marketable securities) to total shareholders’ equity and calculating the average of the beginning and ending of each period.
10