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Jun 30, 2021

Ameresco Q2 2021 Earnings Report

Reported robust revenue and profit growth across all business lines, with gross margin improvement driven by recurring revenue growth and the placement of 33 MWe of energy assets into operation.

Key Takeaways

Ameresco reported a strong second quarter with revenue up 23% year-over-year, driven by growth across all business lines. Net income increased by 213%, and the company expanded its portfolio of operating Energy Assets by 33 MWe.

Revenues of $273.9 million, up 23% year-over-year.

Net Income of $13.7 million, up 213%.

GAAP EPS of $0.26, up 189%.

Non-GAAP EPS of $0.34, up 79%.

Total Revenue
$274M
Previous year: $223M
+22.8%
EPS
$0.34
Previous year: $0.19
+78.9%
Total Project Backlog
$2.21B
Gross Profit
$53.3M
Previous year: $39.5M
+35.0%
Cash and Equivalents
$58.8M
Previous year: $41.9M
+40.4%
Free Cash Flow
-$58.6M
Previous year: -$22.6M
+159.4%
Total Assets
$1.94B
Previous year: $1.46B
+32.8%

Ameresco

Ameresco

Ameresco Revenue by Segment

Forward Guidance

The Company reaffirms its 2021 guidance ranges detailed in the table below, representing year-over-year revenue and adjusted EBITDA growth of 10% and 23%, respectively, at the midpoints, and Non-GAAP EPS growth of 20% at the midpoint, excluding the impact of approximately $0.13 of one-time tax benefits realized in 2020.

Positive Outlook

  • Revenue between $1.11 billion and $1.16 billion.
  • Gross Margin between 18.5% and 19.5%.
  • Adjusted EBITDA between $140 million and $150 million.
  • Interest Expense & Other between $20 million and $22 million.
  • Effective Tax Rate between 12% and 18%.

Challenges Ahead

  • Anticipates commissioning a further 22 MWe to 42 MWe of energy assets.
  • Plans to invest approximately $115 million to $165 million in additional energy asset capital expenditures during the remainder of 2021.
  • Majority of the capital expenditures will be funded with project finance debt.
  • Uncertainties with respect to the impact of accounting for our redeemable non-controlling interests.
  • Significant uncertainties with respect to taxes.

Revenue & Expenses

Visualization of income flow from segment revenue to net income