NASDAQ$GLDD

Great Lakes Dredge & Dock Corporation · Q4 2019 earnings

Q4 2019 earnings · · Investor relations

Briefing

Great Lakes reported record full year results, driven by a strong domestic dredging market and effective cost reduction program.

Great Lakes Dredge & Dock Corporation reported strong financial results, driven by a strong domestic dredging market and the continued effectiveness of their 2018 asset rationalization and cost reduction program. The company saw an increase of $44.7 million in net income from continuing operations and $35.2 million in adjusted EBITDA from continuing operations over the prior year. The dredging market is expected to remain strong for the next two to three years.

  • Record financial performance driven by strong domestic dredging market.
  • Successfully completed the sale of the Environmental & Infrastructure business.
  • Net debt to adjusted EBITDA ratio at December 31, 2019 was 1.00x.
  • Expects the dredging market to remain strong for the next two to three years.

Headline financials

Total Revenue

$164M

Previous: $173M-5.2%
EPS (adj)

$0.23

Previous: $0.08+187.5%
Total Backlog

$589M

No prior period
Capital Expenditures

$11.8M

Previous: $19.8M-40.2%
Free Cash Flow

$7.47M

Previous: $29M-74.2%
Net Income

$16M

Previous: -$7.7M+307.4%
Operating Income

$22.2M

Previous: $16.7M+32.8%
Gross Profit

$34.6M

Previous: $35.6M-3.0%
Cash & Equivalents

$187M

Previous: $34.5M+442.7%
Total Assets

$898M

Previous: $730M+22.9%
Stock-Based Comp

$1.67M

Previous: $1.35M+24.1%

Revenue & EPS history

Great Lakes · Revenue · Quarterly

$164M

Q4 2019-5.2%vs Q4 2018
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Forward guidance

The company expects the dredging market to remain strong for the next two to three years, with a focus on port deepening and coastal protection projects.

Tailwinds

  • Port deepening projects in Charleston, Jacksonville and Corpus Christi are in full operation with work continuing into 2020.
  • Expects several private client projects to progress to bid in 2020.
  • Strong support from Congress for coastal protection projects.
  • Domestic market continues to be driven by large-scale port deepening projects along the east and gulf coasts.
  • Beach renourishment projects on the New Jersey shoreline to assist in their recovery from the damage caused by coastal storms.

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 Q4 2019

Historical avgQ4 2019

-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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