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Dec 31, 2019

Comfort Systems USA Q4 2019 Earnings Report

Reports fourth quarter and full year 2019 results, with earnings per share significantly exceeding the fourth quarter of 2018.

Key Takeaways

Comfort Systems USA reported a strong finish to 2019, with net income for the quarter ended December 31, 2019, reaching $34.1 million, or $0.92 per diluted share, compared to $25.2 million, or $0.67 per diluted share, for the same quarter in 2018. Revenue for the quarter increased to $719.6 million from $588.4 million in the previous year. The company's backlog showed substantial increases, and the Walker Engineering acquisition contributed an impressive fourth-quarter performance.

Net income for Q4 2019 was $34.1 million, or $0.92 per diluted share, compared to $25.2 million, or $0.67 per diluted share, for Q4 2018.

Q4 2019 earnings included an approximate $0.08 per diluted share benefit from insurance proceeds related to a ransomware incident.

Revenue for Q4 2019 was $719.6 million, up from $588.4 million in 2018.

Backlog as of December 31, 2019, was $1.60 billion, with same-store backlog increasing to $1.36 billion.

Total Revenue
$720M
Previous year: $588M
+22.3%
EPS
$0.84
Previous year: $0.67
+25.4%
Total Backlog
$1.6B
Previous year: $1.17B
+36.8%
Gross Profit
$133M
Previous year: $118M
+12.2%
Cash and Equivalents
$50.8M
Previous year: $45.6M
+11.3%
Free Cash Flow
$33.9M
Previous year: $74M
-54.2%
Total Assets
$1.51B
Previous year: $1.06B
+41.6%

Comfort Systems USA

Comfort Systems USA

Forward Guidance

The company anticipates continued strength and strong profitability in 2020, driven by high levels of industry trends.

Positive Outlook

  • The outlook for the industry continues to trend at high levels.
  • Continued strength is expected in 2020.
  • Strong profitability is expected in 2020.