NASDAQ$GLDD

Great Lakes Dredge & Dock Corporation · Q1 2020 earnings

Q1 2020 earnings · · Investor relations

Briefing

Great Lakes reported record first quarter earnings.

Great Lakes Dredge & Dock Corporation reported a strong first quarter, driven by strong project performance, resulting in net income from continuing operations of $34.0 million and adjusted EBITDA from continuing operations of $61.4 million. The company ended the quarter with a strong net cash position of $207.5 million.

  • Net income from continuing operations was $34.0 million.
  • Adjusted EBITDA from continuing operations was $61.4 million.
  • Cash position was $207.5 million at March 31, 2020.
  • Company won $72 million in project bids during the quarter.

Headline financials

Total Revenue

$218M

Previous: $193M+13.0%
EPS (adj)

$0.52

Previous: $0.32+62.5%
Capital Expenditures

-$8.73M

Previous: -$7.7M-13.4%
Free Cash Flow

$21.3M

Previous: $101M-78.8%
Net Income

$34M

Previous: $17.2M+98.0%
Operating Income

$53M

Previous: $34.8M+52.6%
Gross Profit

$68.5M

Previous: $49.9M+37.3%
Cash & Equivalents

$207M

Previous: $123M+68.7%
Total Assets

$956M

Previous: $852M+12.2%
Stock-Based Comp

$1.68M

Previous: $2M-16.3%

Revenue & EPS history

Great Lakes · Revenue · Quarterly

$218M

Q1 2020+13%vs Q1 2019
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Forward guidance

The company's project work is largely uninterrupted by the pandemic at this point in time, and the Army Corps of Engineers is continuing to advertise new projects. Starting in April, planned dry dockings of certain vessels will impact results in the second and third quarters.

Tailwinds

  • Dredging industry continues to operate and work on critical and essential infrastructure projects.
  • U.S. Army Corps of Engineers continues to tender bids and prioritize all types of dredging.
  • CARES Act includes a provision that lifts caps on the Harbor Maintenance Trust Fund.
  • Projects coming into the market pipeline include additional phases of Charleston, Jacksonville and Corpus Christi deepenings.
  • New deepenings for ports in Mobile, Alabama and the Everglades in Florida.

Headwinds

  • COVID-19 pandemic has impacted every facet of life.
  • Domestic bid market was lower than the prior year with only $216 million in total project bids.
  • Starting in April, planned dry dockings of certain vessels will impact results in the second quarter and continuing into the third quarter.
  • Actively investigating safety and operational contingency plans to be able to respond to potential changes to the evolving pandemic and economic environment.
  • Potential storm damage during the upcoming hurricane season.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 18 quarterly earnings reports · overlaid with Q1 2020

Historical avgQ1 2020

-0.8%

Avg return

Earnings day

+0.6%

Avg return

5 days after

+3.2%

Avg return

30 days after

46%

30 / 65 earnings

Positive

+30.5%

Q1 2024

Best reaction

-24.5%

Q2 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026
Q4 2025-0.1%+0.5%+0.6%
Q3 2025+12.1%+7.6%+13.1%
Q2 2025+7.9%+8.9%+9.8%
Q1 2025+5.0%+12.2%+20.8%
Q4 2024-18.4%-23.5%-15.2%
Q3 2024+7.3%+9.3%+9.3%
Q2 2024+5.9%+7.8%+13.2%
Q1 2024+30.5%+28.8%+30.7%
Q4 2023+18.2%+14.4%+6.7%
Q3 2023-16.7%-15.5%-6.8%
Q2 2023+7.6%+3.5%+5.1%
Q1 2023+1.0%-1.4%+19.0%
Q4 2022-9.1%-5.9%-28.4%
Q3 2022-6.1%-10.2%-5.3%
Q2 2022-24.5%-24.4%-26.6%
Q1 2022+7.5%+2.3%+7.3%
Q4 2021+6.4%+3.1%+5.1%
Q3 2021-2.7%-1.2%-2.9%
Q2 2021-5.1%-4.0%+2.8%
Q1 2021-11.8%-12.2%-7.9%
Q4 2020-5.8%-1.9%-9.0%
Q3 2020+0.1%+2.5%+10.6%
Q2 2020+10.6%+11.2%+6.8%
Q1 2020+6.2%+3.8%+17.3%
Q4 2019+3.2%+3.5%-19.4%
Q3 2019-7.8%-9.4%+5.2%
Q2 2019+1.9%-4.9%+3.0%
Q1 2019+13.1%+19.7%+14.7%
Q4 2018+7.1%+9.9%+20.1%
Q3 2018+22.0%+23.5%+20.4%
Q2 2018-1.9%+0.9%+1.5%
Q1 2018+8.9%+13.3%+15.6%
Q4 2017-0.5%-1.1%-2.2%
Q3 2017-9.7%-7.8%-1.0%
Q2 2017-7.5%-5.0%+1.3%
Q1 2017-3.2%-3.2%-8.5%
Q4 2016-6.2%-8.2%-11.3%
Q3 2016-12.0%-9.9%+21.1%
Q2 2016-14.4%-12.2%-11.0%
Q1 2016-2.6%
Q4 2015-3.4%
Q3 2015-4.0%
Q2 2015+12.0%
Q1 2015-4.3%
Q4 2014-13.2%
Q3 2014+0.4%
Q2 2014+0.8%
Q1 2014-11.5%
Q4 2013+2.3%
Q3 2013+3.0%
Q2 2013-5.9%
Q1 2013+12.2%
Q4 2012-13.9%
Q3 2012+0.4%
Q2 2012+1.9%
Q1 2011+0.6%
Q1 2012-4.6%
Q4 2009-0.6%
Q4 2011-0.6%
Q3 2011-2.7%
Q3 2010-2.7%
Q2 2010-14.3%
Q4 2010-14.3%
Q2 2011-14.3%
Q1 2010+6.7%

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