NASDAQ$IESC

IES Holdings Inc · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

IES Holdings reported strong financial results, driven by growth across all segments and strategic acquisitions.

IES Holdings reported a significant increase in revenue and profitability for Q3 2024. Revenue increased by 31% year-over-year, driven by strong demand in the data center market and expansion of service offerings. Net income attributable to IES increased by 175%, and the company authorized a new $200 million share repurchase program.

  • Revenue increased by 31% to $768 million compared to the same quarter last year.
  • Operating income increased by 163% to $90.2 million compared to the same quarter last year.
  • Net income attributable to IES increased by 175% to $62.1 million compared to the same quarter last year.
  • The Board of Directors authorized a new $200 million share repurchase program.

Headline financials

Total Revenue

$768M

Previous: $584M+31.5%
EPS

$2.67

Previous: $1.08+147.2%
Remaining performance obligations

$1.18B

Previous: $1.07B+9.8%
Backlog

$1.7B

Previous: $1.53B+10.9%
Capital Expenditures

-$17.5M

No prior period
Free Cash Flow

$66.6M

Previous: $22.5M+195.6%
Net Income

$66.6M

Previous: $22.5M+195.6%
Operating Income

$90.2M

Previous: $34.3M+162.8%
Gross Profit

$195M

Previous: $108M+81.0%
Cash & Equivalents

$44.9M

Previous: $28.6M+57.2%
Total Assets

$1.16B

Previous: $900M+28.4%
Stock-Based Comp

$1.41M

Previous: $1.3M+8.3%

Revenue & EPS history

IES Holdings · Revenue · Quarterly

$768M

Q3 2024+31.5%vs Q3 2023
Beat estimate in 0 of 2 quarters(0%)
ActualEstimate

Revenue by segment

IES Holdings · $567M total across 3 segments · Q4 2023

  • Residential
    $337M+3.0%
  • Communications
    $171M+8.8%
  • Infrastructure Solutions
    $58.4M+34.6%

Forward guidance

IES Holdings expects continued strong performance for the remainder of this fiscal year and into fiscal 2025.

Tailwinds

  • Continued strong operating margins in all four business segments.
  • Investments to upgrade and expand capacity in Infrastructure Solutions business have allowed to materially increase capacity while adding new product offerings through the Greiner acquisition.
  • Residential segment continues process improvements stemming from the reorganization started in April 2023.
  • Positioned to continue to pursue profitable growth, including through the national expansion of the HVAC and plumbing trades.
  • Expect to continue strong cash flow generation for the remainder of fiscal 2024, positioning us to fund both organic expansion and acquisitions, as well as provide capital for stock repurchases or other investments.

Headwinds

  • Commercial & Industrial segment is approaching completion of a large project that has benefited recent quarters.
  • Expect segment revenue and operating income to decrease next fiscal quarter, as compared with the second and third quarters of fiscal 2024, when activity on this project was at its peak.
  • The outlook in the multi-family market suggests new project activity may slow over the coming year.
  • Will have a higher cash tax rate in fiscal 2024.
  • Managing contract risk in Commercial & Industrial segment.

Historical earnings impact

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

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2024

Historical avgQ3 2024

+1.7%

Avg return

Earnings day

+2.9%

Avg return

5 days after

+4.7%

Avg return

30 days after

58%

38 / 65 earnings

Positive

+23.4%

Q2 2024

Best reaction

-23.3%

Q2 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026-6.1%+4.6%+5.2%
Q1 2026-19.8%-15.2%+4.4%
Q4 2025+12.4%+17.5%+14.6%
Q2 2025-1.9%+6.7%+11.7%
Q1 2025-2.4%+4.8%-25.0%
Q4 2024+3.4%+6.1%-21.4%
Q3 2024+3.9%+7.6%+29.0%
Q2 2024+23.4%+27.8%+11.4%
Q1 2024+0.3%+5.2%+32.5%
Q4 2023+14.6%+16.0%+7.9%
Q3 2023+11.2%+19.8%+31.2%
Q2 2023+6.1%+9.0%+19.7%
Q1 2023+1.0%+2.6%+9.1%
Q4 2022-1.7%-8.3%+3.4%
Q3 2022-3.6%-3.3%-10.5%
Q2 2022-23.3%-22.9%-11.8%
Q1 2022-11.2%-16.8%-17.2%
Q4 2021+1.2%+2.8%+1.8%
Q3 2021-1.4%-4.9%-12.0%
Q2 2021+6.1%+0.4%+4.1%
Q1 2021+2.7%-1.0%+6.4%
Q4 2020+4.0%+10.1%+24.0%
Q3 2020+14.5%+22.5%+19.3%
Q2 2020+5.3%+11.7%+18.2%
Q1 2020+4.2%-1.2%-3.1%
Q4 2019+9.8%+12.3%+14.3%
Q3 2019+4.1%+5.6%+6.3%
Q2 2019+1.2%+1.5%+2.3%
Q1 2019+5.9%+9.2%+10.4%
Q4 2018+2.5%+3.1%+1.0%
Q3 2018+9.2%+9.8%+7.0%
Q2 2018+4.1%+1.5%+3.2%
Q1 2018-2.1%-5.4%-2.1%
Q4 2017-8.0%-6.6%-8.8%
Q3 2017-10.3%-7.9%+2.1%
Q2 2017-15.8%-15.4%-20.8%
Q1 2017+11.6%+7.4%+0.5%
Q4 2016+8.9%-1.9%-8.2%
Q3 2016+3.9%-0.1%+21.5%
Q2 2016+14.0%
Q1 2016+2.3%
Q4 2015+7.0%
Q3 2015+11.5%
Q2 2015-4.9%
Q1 2015+10.9%
Q4 2014-5.9%
Q3 2014+5.4%
Q2 2014-1.6%
Q1 2014+0.3%
Q3 2013+1.1%
Q2 2013+3.6%
Q4 2013-0.7%
Q1 2013-0.2%
Q4 2012+1.7%
Q3 2012-4.0%
Q2 2012+3.1%
Q1 2011-6.6%
Q1 2012+0.0%
Q4 2011-1.0%
Q2 2011-1.0%
Q4 2009-1.0%
Q4 2010-0.3%
Q3 2010-0.3%
Q3 2011-0.3%
Q2 2010+8.3%

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