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Dec 31, 2023

MasTec Q4 2023 Earnings Report

MasTec announced fourth quarter and annual 2023 financial results and issued its initial 2024 guidance expectation.

Key Takeaways

MasTec reported a 9.0% increase in revenue to $3.3 billion for the fourth quarter of 2023, compared to $3.0 billion for the fourth quarter of 2022. GAAP net income was $1.2 million, or $0.01 per diluted share. Adjusted net income was $52.0 million, or $0.66 per diluted share. Adjusted EBITDA was $231.4 million, representing 7.1% of revenue.

Record Fourth Quarter revenue of $3.3 Billion.

Full Year 2023 Cash Flow from Operations of $687 Million.

Fourth Quarter Reduction in Net Debt of $455 Million.

Adjusted Diluted Earnings per Share was $0.22 Above the Prior Guidance Estimate.

Total Revenue
$3.28B
Previous year: $3.01B
+9.0%
EPS
$0.66
Previous year: $1.03
-35.9%
Backlog
$12.4B
Previous year: $13B
-4.6%
Adjusted EBITDA margin
7.1%
Previous year: 8.6%
-17.4%
Gross Profit
$216M
Previous year: $371M
-41.7%
Cash and Equivalents
$530M
Previous year: $371M
+42.9%
Total Assets
$9.37B
Previous year: $9.29B
+0.9%

MasTec

MasTec

MasTec Revenue by Segment

Forward Guidance

The Company currently expects full year 2024 revenue will approximate $12.5 billion. 2024 full year GAAP net income and diluted earnings per share are expected to approximate $105 million and $1.04, respectively. Full year 2024 adjusted EBITDA is expected to approximate $955 million, representing 7.6% of revenue, and adjusted diluted earnings per share is expected to approximate $2.69.

Positive Outlook

  • Full year 2024 revenue will approximate $12.5 billion, a record level.
  • 2024 full year GAAP net income is expected to approximate $105 million.
  • Full year 2024 adjusted EBITDA is expected to approximate $955 million.
  • 2024 full year diluted earnings per share are expected to approximate $1.04.
  • Adjusted diluted earnings per share is expected to approximate $2.69.

Challenges Ahead

  • First quarter 2024 GAAP net loss is expected to approximate $61 million.
  • First quarter 2024 GAAP diluted loss per share expected to approximate $0.88.
  • First quarter 2024 adjusted EBITDA is expected to approximate $130 million or 5.0% of revenue.
  • First quarter 2024 adjusted diluted loss per share expected to approximate $0.48.
  • Projected loss in the first quarter is the result of a normal seasonally slow quarter, project delays and project start-up costs.

Revenue & Expenses

Visualization of income flow from segment revenue to net income