Q: Thoughts on quarter please. Have owned for just over 5 years and sitting at a loss, losing patience. Thx
5i Research Answer:
EPS was 18c vs 25c estimated. Revenue $1.09B matched estimates. EBITDA of $240M also matched. Revenue rose 7%. The forecast called for Civil to grow income in the 'mid to high teens' range and it is targetting 3-year compound EPS growth in the mid-20% range. Backlog is $11.75B. Investors are focusing on a 20% drop in free cash flow, to $190M. Capex is expected to be $50M higher than 2023 and the healthcare division sale will close this fiscal year. Another miss on earnings, and our patience is also being tried here.