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Mar 31, 2024

Limbach Q1 2024 Earnings Report

Limbach Holdings reported first quarter results with ODR segment revenue increasing and a shift towards higher margin business, leading to increased profitability.

Key Takeaways

Limbach Holdings reported a decrease in consolidated revenue by 1.7% to $119.0 million, but net income increased by 153.5% to $7.6 million. The ODR segment revenue increased by 26.5%, accounting for 62.4% of consolidated revenue. Adjusted EBITDA increased by 35.4% to $11.8 million, and the company increased its Adjusted EBITDA guidance for the year.

ODR revenue increased by 26.5% year-over-year, reaching $74.3 million and accounting for 62.4% of consolidated revenue.

Net income increased by 153.5% to $7.6 million, or $0.64 per diluted share.

Adjusted EBITDA increased by 35.4% to $11.8 million.

The company increased its Adjusted EBITDA guidance for 2024 to a range of $51 million to $55 million.

Total Revenue
$119M
Previous year: $121M
-1.7%
EPS
$0.64
Previous year: $0.27
+137.0%
Gross Profit
$31.1M
Previous year: $26.2M
+18.5%
Cash and Equivalents
$48.2M
Previous year: $41.4M
+16.6%
Free Cash Flow
-$6.49M
Previous year: $8.44M
-176.8%
Total Assets
$289M
Previous year: $281M
+3.1%

Limbach

Limbach

Forward Guidance

Limbach is updating its guidance for FY 2024 with revenue expected to be between $510 million and $530 million, and Adjusted EBITDA between $51 million and $55 million.

Positive Outlook

  • Revenue is projected to be between $510 million and $530 million.
  • Adjusted EBITDA is projected to be between $51 million and $55 million.
  • Annual goal for ODR revenue as a percentage of consolidated revenue has increased from a range of 60%-70% to a revised range of 65%-70%.
  • Expect to see full-year Adjusted EBITDA Margin in the range of 9.6% to 10.8% for 2024.
  • Balance sheet remains strong, and the company will judiciously make investments that support its strategy.