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Centuri Holdings, Inc.(CTRI) - 2024 Q3 - Quarterly Results
CTRICenturi Holdings, Inc.(CTRI)2024-11-06 13:06

Financial Performance - Third quarter 2024 revenue was 720.1million,adecreaseof720.1 million, a decrease of 54.8 million, or 7.1%, compared to the prior year period[11] - The company reported a net loss attributable to common stock of 3.7million,withadilutedlosspershareof3.7 million, with a diluted loss per share of 0.04[2] - Adjusted EBITDA for the third quarter was 78.8million,resultinginanadjustedEBITDAmarginof10.978.8 million, resulting in an adjusted EBITDA margin of 10.9%[2] - Total revenue for the fiscal three months ended September 29, 2024, was 720.1 million, a decrease of 7.1% from 774.9millionforthesameperiodin2023[36]−GrossprofitforthefiscalninemonthsendedSeptember29,2024,was774.9 million for the same period in 2023[36] - Gross profit for the fiscal nine months ended September 29, 2024, was 149.6 million, down 31.7% from 219.5millionforthesameperiodin2023[36]−NetlossattributabletocommonstockforthefiscalthreemonthsendedSeptember29,2024,was219.5 million for the same period in 2023[36] - Net loss attributable to common stock for the fiscal three months ended September 29, 2024, was (3.7) million, compared to net income of 16.2millionforthesameperiodin2023[36]−AdjusteddilutedearningspershareforthefiscalthreemonthsendedSeptember29,2024,was16.2 million for the same period in 2023[36] - Adjusted diluted earnings per share for the fiscal three months ended September 29, 2024, was 0.06, down from 0.33forthesameperiodin2023[34]RevenueBreakdown−TheU.S.Gassegmentrevenuedecreasedby0.33 for the same period in 2023[34] Revenue Breakdown - The U.S. Gas segment revenue decreased by 29.7 million, or 7.5%, to 366.1million,primarilyduetoreducednetvolumesunderexistingcustomerMSAs[11]−RevenuefromtheCanadianGassegmentwas366.1 million, primarily due to reduced net volumes under existing customer MSAs[11] - Revenue from the Canadian Gas segment was 126.0 million, a decrease of 16.0millionor11.316.0 million or 11.3% year-over-year, with gross profit increasing to 21.2% from 15.5%[17] - Revenue from the Union Electric segment totaled 499.7 million, down 128.3millionor20.4128.3 million or 20.4% compared to the prior year, with gross profit increasing to 7.8% from 7.0%[18] - Revenue from the Non-Union Electric segment was 346.0 million, reflecting a decrease of 34.9millionor9.234.9 million or 9.2%, with gross profit decreasing to 11.7% from 13.6%[19] - The Non-Union Electric segment revenue increased by 18.1 million, or 16.4%, to 128.8million,drivenbystormrestorationservices[14]−StormrestorationservicesrevenuefortheUnionElectricsegmentwas128.8 million, driven by storm restoration services[14] - Storm restoration services revenue for the Union Electric segment was 20.3 million, down from 24.2millionintheprioryear[18]BacklogandNewBusiness−Thebacklogattheendofthethirdquartertotaled24.2 million in the prior year[18] Backlog and New Business - The backlog at the end of the third quarter totaled 4.3 billion, with 87% related to Master Service Agreement (MSA) revenue[2] - The company secured approximately 350millioninnewbusinessduringthequarter,includingnewandrenewedMSAs[6]−Thecompanysecuredapproximately350 million in new business during the quarter, including new and renewed MSAs[6] - The company secured approximately 350 million in potential revenue from awards in the quarter[23] Cash and Debt Management - The company ended the quarter with 52.5millionincashandcashequivalents,andimproveditsleverageratiofromJune2024[9]−Cashandcashequivalentsincreasedto52.5 million in cash and cash equivalents, and improved its leverage ratio from June 2024[9] - Cash and cash equivalents increased to 52.5 million as of September 29, 2024, from 33.4millionattheendof2023[38]−Totalcurrentliabilitiesdecreasedto33.4 million at the end of 2023[38] - Total current liabilities decreased to 386.2 million as of September 29, 2024, from 420.6millionattheendof2023[38]−Long−termdebt,netofcurrentportion,decreasedto420.6 million at the end of 2023[38] - Long-term debt, net of current portion, decreased to 762.1 million as of September 29, 2024, from 1.0billionattheendof2023[38]OperatingPerformance−OperatingincomeforthefiscalninemonthsendedSeptember29,2024,was1.0 billion at the end of 2023[38] Operating Performance - Operating income for the fiscal nine months ended September 29, 2024, was 53.1 million, a decline of 55.0% from 117.9millionforthesameperiodin2023[36]−Thecompanyreportedanetcashprovidedbyoperatingactivitiesof117.9 million for the same period in 2023[36] - The company reported a net cash provided by operating activities of 97.2 million for the fiscal nine months ended September 29, 2024, compared to 61.8millionforthesameperiodin2023[40]−InterestexpenseforthefiscalthreemonthsendedSeptember29,2024,was61.8 million for the same period in 2023[40] - Interest expense for the fiscal three months ended September 29, 2024, was 23.9 million, down from 26.1millionintheprioryear[32]StrategicFocus−Thecompanyisfocusedondiversifyingitsbusinessmixbypursuingadditionalstrategicbidopportunitiesalignedwithitsriskprofileandcorecompetencies[23]−AdjustedEBITDAmarginpercentageoutlookforthefullyearisestimatedtobebetween9.026.1 million in the prior year[32] Strategic Focus - The company is focused on diversifying its business mix by pursuing additional strategic bid opportunities aligned with its risk profile and core competencies[23] - Adjusted EBITDA margin percentage outlook for the full year is estimated to be between 9.0% and 9.6%[10] - The revenue outlook for the full year 2024 is projected to be between 2.5 billion and $2.7 billion[10]