Q: Q: Hi 5i Team.
Pls comment on North American Construction Group qrty earning and this company going forward.
Pls comment on North American Construction Group qrty earning and this company going forward.
5i Research Answer:
EPS of $1.17 beat estimates of $1.07; revenue of $286.9M missed estimates of $304.3M. EBITDA of $106.4M beat estimates of $103.4M. The stock rose 13% on the news as it outlined a positive outlook, with expected 2024 revenue of $1.4B+, and EPS of $3.95+. Estimates are $3.77. Revenue rose sharply as last year's Australian acquisition is working very well. But Canadian operations were also strong. EBITDA margins increased nearly 8 points to 29%. Strong growth is also expected in 2025. At 7X earnings, investors collectively decided this stock was too cheap at the old price, considering these results.