Medpace Q4 2020 Earnings Report
Key Takeaways
Medpace Holdings, Inc. announced financial results for the fourth quarter and full year ended December 31, 2020. Revenue for the quarter increased by 13.0% to $259.7 million, and net new business awards increased by 27.6% to $358.6 million, resulting in a net book-to-bill ratio of 1.38x. GAAP net income for the quarter was $50.9 million, or $1.35 per diluted share. The company forecasts 2021 revenue in the range of $1.075 billion to $1.175 billion.
Revenue of $259.7 million increased 13.0% from the prior-year period, representing a backlog conversion rate of 18.1%.
Net new business awards were $358.6 million, an increase of 27.6% from the comparable prior-year period, resulting in a net book-to-bill ratio of 1.38x.
GAAP net income was $50.9 million, or $1.35 per diluted share, versus GAAP net income of $29.8 million, or $0.78 per diluted share, for the comparable prior-year period.
EBITDA was $60.2 million, an increase of 46.3% from the comparable prior-year period, resulting in an EBITDA margin of 23.2%.
Medpace
Medpace
Forward Guidance
The Company forecasts 2021 revenue in the range of $1.075 billion to $1.175 billion, representing growth of 16.1% to 26.9% over 2020 revenue of $925.9 million. GAAP net income for full year 2021 is forecasted in the range of $154.5 million to $170.5 million. Additionally, full year 2021 EBITDA is expected in the range of $205.0 million to $225.0 million. Based on forecasted 2021 revenue of $1.075 billion to $1.175 billion and GAAP net income of $154.5 million to $170.5 million, diluted earnings per share (GAAP) is forecasted in the range of $4.08 to $4.50.
Positive Outlook
- Forecasts 2021 revenue in the range of $1.075 billion to $1.175 billion, representing growth of 16.1% to 26.9% over 2020 revenue of $925.9 million.
- GAAP net income for full year 2021 is forecasted in the range of $154.5 million to $170.5 million.
- Full year 2021 EBITDA is expected in the range of $205.0 million to $225.0 million.
- Diluted earnings per share (GAAP) is forecasted in the range of $4.08 to $4.50.
- This guidance assumes a full year 2021 tax rate of 15.0% to 16.0% and does not reflect the potential impact of any share repurchases the Company may make pursuant to the share repurchase program.