NYSE$GVA

Granite Construction Inc · Q3 2020 earnings

Q3 2020 earnings · · Investor relations

Briefing

Reported a net loss due to transaction costs, amortization of debt discount, non-recurring legal and accounting investigation costs, and non-cash impairment charges, offset by strong vertically-integrated business results and reduced project write downs.

Granite Construction Incorporated reported a revenue increase of $56.9 million to $2.6 billion year-over-year and a gross profit margin increase to 9.1%. The company ended the third quarter with Committed and Awarded Projects (CAP) of $4.2 billion, up sequentially, including $1.4 billion of best-value procurement work.

  • Revenue increased $56.9 million to $2.6 billion year-over-year.
  • Gross profit margin increased to 9.1%, compared to 6.7% year-over-year.
  • Adjusted EBITDA was $126.7 million, compared to $63.3 million year-over-year.
  • Company ended the third quarter of 2020 with Committed and Awarded Projects (CAP) of $4.2 billion, up sequentially.

Headline financials

Total Revenue

$1.07B

Previous: $1.09B-2.1%
EPS (adj)

$0.90

Previous: $0.58+55.2%
Adjusted EBITDA

$127M

Previous: $63.3M+100.2%
Committed and Awarded Projects

$4.2B

No prior period
Capital Expenditures

-$74.9M

Previous: -$83.3M+10.1%
Free Cash Flow

-$166M

Previous: -$62.8M-164.3%
Net Income

-$91.2M

Previous: $20.5M-545.0%
Operating Income

-$85.8M

Previous: $22.4M-483.6%
Gross Profit

$126M

Previous: $91.4M+37.8%
Cash & Equivalents

$388M

Previous: $185M+110.1%
Total Assets

$2.49B

Previous: $2.63B-5.5%
Stock-Based Comp

$1.27M

Previous: $1.7M-25.6%

Revenue & EPS history

Granite · Revenue · Quarterly

$1.07B

Q3 2020-2.1%vs Q3 2019
Beat estimate in 7 of 12 quarters(58%)
ActualEstimate

Revenue by segment

Granite · $2.6B total across 1 segment · Q3 2020

  • Construction
    $2.6B

Forward guidance

Although Granite suspended guidance for 2020, the Company expects to report fourth quarter 2020 results and 2021 guidance to the investment community by the end of March 2021.

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 2020

Historical avgQ3 2020

+0.8%

Avg return

Earnings day

+1.3%

Avg return

5 days after

+3.1%

Avg return

30 days after

50%

34 / 68 earnings

Positive

+25.9%

Q3 2023

Best reaction

-30.3%

Q3 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+12.2%+15.6%+11.6%
Q4 2025-3.0%-3.4%-9.3%
Q3 2025-3.4%-0.3%+5.2%
Q1 2025-2.4%+1.1%+10.0%
Q4 2024+0.6%+1.2%-14.6%
Q3 2024+5.4%+11.3%+21.1%
Q2 2024+1.5%+0.7%+9.8%
Q1 2024+8.0%+8.2%+13.3%
Q4 2023-1.3%-0.3%+9.7%
Q3 2023+25.9%+33.9%+33.9%
Q2 2023-7.8%-4.2%-6.3%
Q1 2023-7.4%-6.4%-4.7%
Q4 2022+6.1%+3.1%-2.9%
Q3 2022+18.1%+22.5%+26.2%
Q2 2022-1.9%-0.6%+0.9%
Q1 2022-1.0%+4.3%+10.5%
Q4 2021-12.4%+0.5%-8.7%
Q3 2021-3.9%-5.0%+5.4%
Q2 2021-0.2%+1.8%+8.0%
Q1 2021-3.7%-7.8%-3.5%
Q4 2020+6.7%+5.9%+3.2%
Q3 2020-5.2%-0.6%+6.5%
Q2 2020-5.2%-0.6%+6.5%
Q1 2020-5.2%-0.6%+6.5%
Q4 2019-3.5%-13.9%-24.2%
Q3 2019-30.3%-34.4%-29.2%
Q2 2019-10.2%-12.9%-16.4%
Q1 2019+2.4%+4.6%-7.4%
Q4 2018+3.3%+3.9%-4.9%
Q3 2018+13.4%+12.7%+26.7%
Q2 2018-12.6%-16.6%-15.5%
Q1 2018+1.6%+1.6%+7.8%
Q4 2017+4.0%+3.2%+4.9%
Q3 2017+10.3%+8.6%+11.2%
Q2 2017+8.6%+8.4%+12.7%
Q1 2017-0.3%-1.1%-11.1%
Q4 2016+0.1%-1.2%-10.9%
Q3 2016+15.1%+8.8%+43.1%
Q2 2016-1.2%-1.3%-5.1%
Q1 2016-2.8%
Q4 2015+3.3%
Q3 2015+7.2%
Q2 2015-1.8%
Q1 2015+9.9%
Q4 2014-4.1%
Q3 2014-3.8%
Q2 2014+1.1%
Q1 2014-1.7%
Q4 2013+7.9%
Q3 2013-11.7%
Q2 2013+6.4%
Q1 2013+5.5%
Q4 2012-14.3%
Q3 2012-4.9%
Q2 2012-2.0%
Q1 2012-3.0%
Q4 2011+11.6%
Q3 2011+13.9%
Q4 2010-8.1%
Q2 2011-8.1%
Q1 2010+3.3%
Q1 2011-0.2%
Q4 2008+3.8%
Q3 2009+6.0%
Q3 2010+6.0%
Q2 2010+5.4%
Q2 2009+5.4%
Q4 2009+5.4%

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