NASDAQ$ROAD

Construction Partners Inc · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

Reported strong revenue growth and record backlog.

Construction Partners, Inc. reported a strong fourth quarter with a 24% increase in revenue and a record year-end project backlog of $966 million. The company's fiscal year 2022 outlook reflects confidence in continued growth supported by strong customer demand and project funding.

  • Reported strong revenue growth of 24% in the fourth quarter.
  • Achieved a record year-end project backlog of $966 million.
  • Completed the acquisition of King Asphalt in Liberty, South Carolina.
  • Fiscal year 2022 outlook reflects confidence in the continuation of solid growth.

Headline financials

Total Revenue

$279M

Previous: $225M+24.2%
EPS (adj)

$0.15

Previous: $0.34-55.9%
Capital Expenditures

$16.7M

Previous: $11M+51.7%
Free Cash Flow

$22.4M

Previous: $42.7M-47.5%
Net Income

$7.9M

Previous: $17.6M-55.0%
Operating Income

$11.4M

Previous: $23.7M-51.8%
Gross Profit

$34.7M

Previous: $41M-15.5%
Cash & Equivalents

$57.3M

Previous: $148M-61.4%
Total Assets

$807M

Previous: $628M+28.4%
Stock-Based Comp

$1.35M

Previous: $395K+241.0%

Revenue & EPS history

Construction Partners · Revenue · Quarterly

$279M

Q4 2021+24.2%vs Q4 2020
Beat estimate in 10 of 15 quarters(67%)
ActualEstimate

Forward guidance

The Company’s outlook for fiscal year 2022 with regard to revenue, net income and Adjusted EBITDA is as follows:

Tailwinds

  • Revenue in the range of $1,075 million to $1,150 million.
  • Net income in the range of $34.7 million to $41.8 million.
  • Adjusted EBITDA in the range of $122.0 million to $132.0 million.
  • Double-digit revenue growth on improving gross margins.
  • Certain 2021 non-recurring costs eliminated for 2022.

Headwinds

  • Outlook does not assume an increase in federal funding from the Infrastructure Investment in Jobs Act.
  • Outlook does not assume future acquisitions that the Company has not already completed.
  • Current economic headwinds impacting all construction and infrastructure businesses.
  • Wage and materials inflation.
  • Disruptions felt up and down the supply chain.

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 Q4 2021

Historical avgQ4 2021

+0.2%

Avg return

Earnings day

+0.9%

Avg return

5 days after

+2.9%

Avg return

30 days after

46%

16 / 35 earnings

Positive

+24.8%

Q3 2022

Best reaction

-20.9%

Q2 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026+6.0%-3.5%-16.0%
Q1 2026+11.2%+11.2%+2.9%
Q4 2025-3.6%+1.5%+4.7%
Q2 2025+3.6%+8.3%+19.3%
Q1 2025+2.7%-4.6%-17.8%
Q4 2024+9.5%+9.0%+1.6%
Q3 2024+3.7%+4.1%-2.0%
Q2 2024+2.1%+6.4%-0.4%
Q1 2024-5.7%-5.2%+2.5%
Q4 2023-0.3%+1.7%+3.4%
Q3 2023+15.2%+15.1%+18.8%
Q2 2023+14.7%+16.3%+23.4%
Q1 2023-4.0%+2.3%-8.4%
Q4 2022-15.2%-10.0%-17.2%
Q3 2022+24.8%+25.7%+23.4%
Q2 2022-20.9%-20.3%-12.6%
Q1 2022+4.3%+6.1%+2.1%
Q4 2021-6.1%-8.0%-25.0%
Q3 2021-1.8%+2.4%+2.4%
Q2 2021-3.1%-7.7%+2.5%
Q1 2021-7.1%-10.3%-6.4%
Q4 2020-4.4%-4.9%+15.4%
Q3 2020+14.2%+10.0%-0.1%
Q2 2020-2.1%-17.7%+21.7%
Q1 2020-7.4%-1.8%-1.7%
Q4 2019-16.0%-13.7%-14.4%
Q3 2019+1.4%+8.3%+9.6%
Q2 2019+4.3%+17.9%+22.6%
Q1 2019-2.7%+4.2%+8.3%
Q4 2018-2.7%-7.3%+15.7%
Q3 2017+0.1%+1.3%+2.9%
Q3 2018+0.9%+8.1%+13.6%
Q2 2018-3.2%-4.3%+2.8%
Q2 2017-3.2%-4.3%+2.8%
Q4 2017-3.2%-4.3%+2.8%
Q1 2018
Q1 2017

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