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Sep 30, 2020

Emcor Q3 2020 Earnings Report

EMCOR reported third quarter earnings with revenues decreasing year-over-year but non-GAAP EPS increasing, and raised full-year revenue and non-GAAP EPS guidance.

Key Takeaways

EMCOR Group, Inc. reported a decrease in third-quarter revenues by 3.8% year-over-year, but delivered record non-GAAP diluted earnings per share of $1.76. The company's operating income also reached a record $135.9 million. EMCOR raised its full-year 2020 revenue guidance to approximately $8.7 billion and increased its non-GAAP diluted EPS guidance range to $5.90-$6.10.

Third quarter revenues decreased by 3.8% year-over-year to $2.20 billion.

Third quarter diluted EPS was $1.11, while non-GAAP diluted EPS reached $1.76.

Record third quarter operating cash flow of $270.1 million, a 23.3% increase year-over-year.

Full-year 2020 revenue guidance increased to approximately $8.7 billion, and non-GAAP diluted EPS guidance range increased to $5.90-$6.10.

Total Revenue
$2.2B
Previous year: $2.29B
-3.8%
EPS
$1.76
Previous year: $1.45
+21.4%
Remaining Performance Obligation
$4.53B
Previous year: $4.04B
+12.1%
Gross Profit
$363M
Previous year: $336M
+8.1%
Cash and Equivalents
$679M
Previous year: $368M
+84.6%
Total Assets
$4.83B
Previous year: $4.53B
+6.6%

Emcor

Emcor

Emcor Revenue by Segment

Forward Guidance

EMCOR is raising its full-year 2020 revenue guidance to approximately $8.7 billion, an increase from the prior guidance range of $8.6 billion to $8.7 billion. The Company now also expects full-year 2020 non-GAAP diluted earnings per share in the range of $5.90 to $6.10, an increase from the prior guidance range of $5.00 to $5.50.

Positive Outlook

  • Full-year 2020 revenue guidance increased to approximately $8.7 billion.
  • Full-year 2020 non-GAAP diluted earnings per share is expected in the range of $5.90 to $6.10.
  • Company is focused on elements of business in their control, following strict safety protocols.
  • Expectations for strong and productive execution throughout the remainder of the year.
  • Encouraged by the growth of remaining performance obligations.

Challenges Ahead

  • Visibility remains low.
  • Impacts related to the COVID-19 pandemic are ongoing.
  • Uncertain environment.
  • Adverse effects of general economic conditions.
  • Changes in the political environment.

Revenue & Expenses

Visualization of income flow from segment revenue to net income