The following is a summary of the Primoris Services Corporation (PRIM) Q1 2024 Earnings Call Transcript:
Financial Performance:
Primoris Services reported a Q1 revenue of $1.4 billion, a 12.4% increase from the prior year.
Gross profit stood at approximately $133 million for the quarter, primarily driven by higher revenue and a better revenue mix.
Adjusted EBITDA rose by 40% from the prior year to reach $73.8 million.
The company ended the quarter with robust liquidity of $451 million while also improving cash used in operations to $28.5 million.
Full-year EPS guidance of $2.50 to $2.70 per share remains unchanged.
Business Progress:
Primoris' business is positively impacted by growing infrastructure investment, primarily in energy transition and grid modernization in North America.
Even with some seasonal delays, the Utilities segment managed to deliver comparable margins.
Renewable energy and industrial construction activities primarily drove significant growth and margin expansion in the Energy segment.
Primoris finished the quarter with a healthy backlog of $2.1 billion and expects booking to pick up in Q2.
With an objective of achieving a 9% to 12% annual growth rate in gross profit by 2026, the company is keen on investing in renewable power delivery and maintaining performance in its foundational businesses.
Despite anticipating a deceleration towards year-end, an increase in activity within the Utilities segment is expected in the second and third quarters.
The company looks forward to expanding in the power for data centers market and is also eyeing larger solar job bids.
An exploratory approach is being taken towards acquisition opportunities, focusing on alignment rather than just valuation.
More details: Primoris Services IR
Tips: This article is generated by AI. The accuracy of the content can not be fully guaranteed. For more comprehensive details, please refer to the IR website. The article is only for investors' reference without any guidance or recommendation suggestions.