Babcock & Wilcox Enterprises Reports First Quarter 2024 Results
Babcock & Wilcox Enterprises, Inc. reported strong Q1 2024 results, exceeding revenue expectations with $207.6 million and operating income of $4.3 million. The company raised its full-year Adjusted EBITDA target to $105.0-$115.0 million. Noteworthy highlights include $500.0 million in contract signings, a backlog of $532.8 million, and annualized cost savings of $20.0 million. Despite lower Q1 revenues compared to 2023, B&W remains optimistic about 2024. The company is focused on operational excellence, strategic investments, and capitalizing on global project opportunities. The financial performance across segments, including Renewable, Environmental, and Thermal, reflects progress and growth.
Exceeded revenue expectations with $207.6 million and operating income of $4.3 million in Q1 2024.
Increased full-year Adjusted EBITDA target to $105.0-$115.0 million, excluding BrightLoopTM and ClimateBrightTM expenses.
Announced contract signings and awards of approximately $500.0 million, doubling from the same period last year.
Reported backlog of $532.8 million and implied backlog of $826.4 million in project opportunities.
Achieved annualized cost savings of approximately $20.0 million, progressing towards a target of over $30.0 million.
Q1 2024 revenues of $207.6 million were lower compared to the first quarter of 2023.
Net loss of $15.8 million in Q1 2024, including a $5.1 million loss on debt extinguishment.
Adjusted EBITDA decreased to $12.5 million in Q1 2024 from $13.6 million in the first quarter of 2023.
Loss per share was $0.22 in Q1 2024 compared to a loss per share of $0.18 in Q1 2023.
Decrease in Babcock & Wilcox Renewable segment revenues to $52.3 million in Q1 2024, a 38% decline from the same period in 2023.
Insights
Babcock & Wilcox Enterprises' Q1 2024 results indicate a strategic pivot towards higher-margin projects, an approach that has seen a positive shift in operating income from $1.3 million in Q1 2023 to $4.3 million in Q1 2024. Despite a revenue decline of 14% year-over-year and a net loss increase from $12.7 million to $15.8 million, the improved operating margin suggests that the company's shift in strategy could enhance profitability in the long term.
The announcement of $500 million in new contracts deserves attention, nearly doubling the previous year's amount and demonstrating robust customer activity. The company's focus on ClimateBright decarbonization and BrightLoop hydrogen generation technology aligns with global sustainability trends, potentially positioning Babcock & Wilcox in growth markets. However, the 38% drop in Renewable segment revenues raises concerns about the portfolio balance and the company's ability to manage transitions.
As for the balance sheet, a stronger focus on liquidity and debt improvement, including a new credit facility expected to reduce interest cost by up to $5 million annually, reflects prudent financial management that may appeal to investors cautious about leverage and cash flow.
The market should take note of Babcock & Wilcox's report on operational excellence and strategic investments. The company's backlog increase to $826.4 million, up 29% from the previous year, bodes well for future earnings potential. Their contract signings and awards indicate a competitive edge in securing large-scale power generation and environmental projects, which could be a key driver of future growth.
However, the underperformance of the Renewable segment by 38% in revenue, alongside a 62% decrease in its Adjusted EBITDA, suggests that the company's strategic shift comes with significant trade-offs. Investors should watch for how well the company navigates these challenges and whether it can sustainably integrate its environmental and thermal segments' successes with the larger corporate strategy.
The macroeconomic headwinds mentioned, including inflation and supply chain disruptions, are common to the industry and Babcock & Wilcox's proactive approach to cost management and focus on operational effectiveness in these areas may mitigate some of the associated risks.
-
Exceeded expectations with Revenue of
$207.6 million $4.3 million -
Increased Full Year 2024 Adjusted EBITDA target range to
$105.0 million $115.0 million -
Announced 2024 contract signings and awards of approximately
$500.0 million -
Announced backlog of
$532.8 million $826.4 million -
Achieved annualized cost savings of approximately
$20.0 million $30.0 million
Q1 2024 Continuing Operations Highlights and Outlook
– Revenues of
– Operating income of
– Net loss of
– Loss per share of
– Adjusted EBITDA of
– Adjusted EBITDA of
"We are pleased to report a strong start to the year, highlighted by first quarter consolidated revenue and Adjusted EBITDA that exceeded Company expectations. Benefiting from our strategic shift to reduce reliance on high-interest, low-margin new build projects, we’ve seen improvement in our Adjusted EBITDA margins and further demonstrated the strength of our aftermarket parts and services businesses,” commented Kenneth Young, B&W’s Chairman and Chief Executive Officer. “Despite what has historically been a seasonally softer period for our business, customer activity across all segments remains robust, reinforcing our positive outlook for 2024. We recently increased our full-year Adjusted EBITDA guidance to a range of
“We are actively working to capitalize on our
“As we look to the remainder of 2024, we expect strong operating momentum driven by our Thermal and Environmental segments. With a healthy demand pipeline across all business segments, we expect new bookings and stronger financial performance to continue throughout the year. We continue to focus on our balance sheet and expect continued improvements in our cash and liquidity as we began efforts to reduce our long-term debt.”
Q1 2024 Continuing Operations Financial Summary
Revenues in the first quarter of 2024 were
Babcock & Wilcox Renewable segment revenues were
Babcock & Wilcox Environmental segment revenues were
Babcock & Wilcox Thermal segment revenues were
Liquidity and Balance Sheet
At March 31, 2024, the Company had total debt of
Reducing Cost of Debt
During the quarter, we closed the financing of a
Impacts of Market Conditions
Management continues to adapt to macroeconomic conditions, including the impacts from inflation, higher interest rates and foreign exchange rate volatility, geopolitical conflicts (including the ongoing conflicts in
Earnings Call Information
B&W plans to host a conference call and webcast on Thursday, May 9, 2024 at 5 p.m. ET to discuss the Company’s first quarter 2024 results. The listen-only audio of the conference call will be broadcast live via the Internet on B&W’s Investor Relations site. The dial-in number for participants in the
Non-GAAP Financial Measures
The Company uses non-GAAP financial measures internally to evaluate its performance and in making financial and operational decisions. When viewed in conjunction with GAAP results and the accompanying reconciliation, the Company believes that its presentation of these measures provides investors with greater transparency and a greater understanding of factors affecting its financial condition and results of operations than GAAP measures alone. In addition to Adjusted EBITDA, in the fourth quarter of 2023, the Company introduced the non-GAAP financial measure of Adjusted EBITDA excluding BrightLoopTM and ClimateBrightTM. Management believes this measure is useful to investors because of the increasing importance of BrightLoop and ClimateBright to the future growth of the Company. Management uses EBITDA excluding BrightLoop and ClimateBright to assess the Company’s performance independent of these technologies. Prior period results have been revised to conform with the revised definition and present separate reconciling items in our reconciliation, including business transition costs. The presentation of non-GAAP financial measures should not be considered in isolation or as a substitute for the Company’s related financial results prepared in accordance with GAAP. This release presents Adjusted EBITDA, which are non-GAAP financial measures. Adjusted EBITDA on a consolidated basis is defined as the sum of the Adjusted EBITDA for each of the segments, further adjusted for corporate allocations and research and development costs. At a segment level, the Adjusted EBITDA presented is consistent with the way the Company's chief operating decision maker reviews the results of operations and makes strategic decisions about the business and is calculated as earnings before interest expense, tax, depreciation and amortization adjusted for items such as gains or losses arising from the sale of non-income producing assets, net pension benefits, restructuring costs, impairments, gains and losses on debt extinguishment, costs related to financial consulting, research and development costs and other costs that may not be directly controllable by segment management and are not allocated to the segment. The Company presents consolidated Adjusted EBITDA because it believes it is useful to investors to help facilitate comparisons of the ongoing, operating performance before corporate overhead and other expenses not attributable to the operating performance of the Company's revenue generating segments. This release also presents certain targets for the Company’s Adjusted EBITDA in the future; these targets are not intended as guidance regarding how the Company believes the business will perform. The Company is unable to reconcile these targets to their GAAP counterparts without unreasonable effort and expense.
Bookings and Backlog
Bookings and backlog are our measure of remaining performance obligations under our sales contracts. It is possible that our methodology for determining bookings and backlog may not be comparable to methods used by other companies. Implied backlog and implied bookings include projects awarded or under contract but not fully released for performance.
We generally include expected revenue from contracts in our backlog when we receive written confirmation from our customers authorizing the performance of work and committing the customers to payment for work performed. Backlog may not be indicative of future operating results, and contracts in our backlog may be canceled, modified or otherwise altered by customers. Backlog can vary significantly from period to period, particularly when large new build projects or operations and maintenance contracts are booked because they may be fulfilled over multiple years. Because we operate globally, our backlog is also affected by changes in foreign currencies each period. We do not include orders of our unconsolidated joint ventures in backlog.
Bookings represent changes to the backlog. Bookings include additions from booking new business, subtractions from customer cancellations or modifications, changes in estimates of liquidated damages that affect selling price and revaluation of backlog denominated in foreign currency. We believe comparing bookings on a quarterly basis or for periods less than one year is less meaningful than for longer periods, and that shorter-term changes in bookings may not necessarily indicate a material trend.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical or current fact included in this release are forward-looking statements. You should not place undue reliance on these statements. Forward-looking statements include words such as “expect,” “intend,” “plan,” “likely,” “seek,” “believe,” “project,” “forecast,” “target,” “goal,” “potential,” “estimate,” “may,” “might,” “will,” “would,” “should,” “could,” “can,” “have,” “due,” “anticipate,” “assume,” “contemplate,” “continue” and other words and terms of similar meaning in connection with any discussion of the timing or nature of future operational performance or other events.
These forward-looking statements are based on management’s current expectations and involve a number of risks and uncertainties, including, among other things: our financial condition and ability to continue as a going concern; the impact of global macroeconomic conditions, including inflation and volatility in the capital markets; the impact of our divestiture of Babcock & Wilcox Solar Energy, Inc.; risks associated with contractual pricing in our industry; our relationships with customers, subcontractors and other third parties; our ability to comply with our contractual obligations; disruptions at our or manufacturing facilities or a third-party manufacturing facility that we have engaged; the actions or failures of our co-venturers; our ability to implement our growth strategy, including through strategic acquisitions, which we may not successfully consummate or integrate; our evaluation of strategic alternatives for certain businesses and non-core assets may not result in a successful transaction; the risks of unexpected adjustments and cancellations in our backlog; professional liability, product liability, warranty and other claims; our ability to compete successfully against current and future competitors; our ability to develop and successfully market new products; the impacts of industry conditions and public health crises; the cyclical nature of the industries in which we operate; changes in the legislative and regulatory environment in which we operate; supply chain issues, including shortages of adequate components; failure to properly estimate customer demand; our ability to comply with the covenants in our debt agreements; our ability to refinance our
These forward-looking statements are made based upon detailed assumptions and reflect management’s current expectations and beliefs. While we believe that these assumptions underlying the forward-looking statements are reasonable, we caution that it is very difficult to predict the impact of known factors, and it is impossible for us to anticipate all factors that could affect actual results. The forward-looking statements included herein are made only as of the date hereof. We undertake no obligation to publicly update or revise any forward-looking statement as a result of new information, future events, or otherwise, except as required by law.
About B&W Enterprises, Inc.
Headquartered in
Exhibit 1 Babcock & Wilcox Enterprises, Inc. Condensed Consolidated Statements of Operations(1) (In millions, except per share amounts) |
||||||
|
Three Months Ended March 31, |
|||||
|
|
2024 |
|
|
2023 |
|
Revenues |
$ |
207.6 |
|
$ |
241.3 |
|
Costs and expenses: |
|
|
||||
Cost of operations |
|
159.1 |
|
|
189.3 |
|
Selling, general and administrative expenses |
|
41.4 |
|
|
48.0 |
|
Restructuring activities |
|
1.6 |
|
|
0.4 |
|
Research and development costs |
|
1.1 |
|
|
1.3 |
|
Loss on asset disposals, net |
|
0.1 |
|
|
0.9 |
|
Total costs and expenses |
|
203.2 |
|
|
240.0 |
|
Operating income |
|
4.3 |
|
|
1.3 |
|
Other (expense) income: |
|
|
||||
Interest expense |
|
(12.8 |
) |
|
(12.7 |
) |
Interest income |
|
0.3 |
|
|
0.1 |
|
Loss on debt extinguishment |
|
(5.1 |
) |
|
— |
|
Benefit plans, net |
|
0.1 |
|
|
(0.1 |
) |
Foreign exchange |
|
(1.3 |
) |
|
(0.5 |
) |
Other expense - net |
|
— |
|
|
(0.4 |
) |
Total other expense |
|
(18.8 |
) |
|
(13.5 |
) |
Loss before income tax expense |
|
(14.5 |
) |
|
(12.2 |
) |
Income tax expense |
|
1.3 |
|
|
0.5 |
|
Loss from continuing operations |
|
(15.8 |
) |
|
(12.7 |
) |
(Loss) income from discontinued operations, net of tax |
|
(1.0 |
) |
|
0.2 |
|
Net loss |
|
(16.8 |
) |
|
(12.5 |
) |
Net loss attributable to non-controlling interest |
|
— |
|
|
— |
|
Net loss attributable to stockholders |
|
(16.8 |
) |
|
(12.5 |
) |
Less: Dividend on Series A preferred stock |
|
3.7 |
|
|
3.7 |
|
Net loss attributable to stockholders of common stock |
$ |
(20.5 |
) |
$ |
(16.2 |
) |
|
|
|
||||
Basic and diluted loss per share |
|
|
||||
Continuing operations |
$ |
(0.22 |
) |
$ |
(0.18 |
) |
Discontinued operations |
|
(0.01 |
) |
|
— |
|
Loss per share |
$ |
(0.23 |
) |
$ |
(0.18 |
) |
|
|
|||||
Basic and diluted shares used in the computation of loss per share |
|
89.5 |
|
|
88.7 |
|
(1) Figures may not be clerically accurate due to rounding |
||||||
Exhibit 2 Babcock & Wilcox Enterprises, Inc. Condensed Consolidated Balance Sheets(1) |
||||||
(In millions) |
March 31, 2024 |
December 31, 2023 |
||||
Cash and cash equivalents |
$ |
43.9 |
|
$ |
65.3 |
|
Current restricted cash and cash equivalents |
|
16.9 |
|
|
5.7 |
|
Accounts receivable – trade, net |
|
124.4 |
|
|
144.0 |
|
Accounts receivable – other |
|
29.9 |
|
|
36.2 |
|
Contracts in progress |
|
107.4 |
|
|
90.1 |
|
Inventories, net |
|
112.4 |
|
|
113.9 |
|
Other current assets |
|
23.0 |
|
|
23.9 |
|
Current assets held for sale |
|
24.3 |
|
|
18.5 |
|
Total current assets |
|
482.2 |
|
|
497.6 |
|
Net property, plant and equipment and finance leases |
|
78.5 |
|
|
78.4 |
|
Goodwill |
|
100.7 |
|
|
102.0 |
|
Intangible assets, net |
|
42.8 |
|
|
45.6 |
|
Right-of-use assets |
|
28.6 |
|
|
28.2 |
|
Long-term restricted cash |
|
41.6 |
|
|
0.3 |
|
Deferred tax assets |
|
2.1 |
|
|
2.1 |
|
Other assets |
|
18.9 |
|
|
21.6 |
|
Total assets |
$ |
795.5 |
|
$ |
775.7 |
|
|
||||||
Accounts payable |
$ |
129.5 |
|
$ |
127.5 |
|
Accrued employee benefits |
|
11.2 |
|
|
10.8 |
|
Advance billings on contracts |
|
74.9 |
|
|
81.1 |
|
Accrued warranty expense |
|
7.2 |
|
|
7.6 |
|
Financing lease liabilities |
|
1.4 |
|
|
1.4 |
|
Operating lease liabilities |
|
3.8 |
|
|
3.9 |
|
Other accrued liabilities |
|
65.3 |
|
|
68.1 |
|
Loans payable |
|
4.5 |
|
|
6.2 |
|
Current liabilities held for sale |
|
35.2 |
|
|
43.6 |
|
Total current liabilities |
|
332.9 |
|
|
350.2 |
|
Senior notes |
|
338.4 |
|
|
337.9 |
|
Loans payable, net of current portion |
|
98.7 |
|
|
35.4 |
|
Pension and other postretirement benefit liabilities |
|
172.2 |
|
|
172.9 |
|
Finance lease liabilities, net of current portion |
|
25.8 |
|
|
26.2 |
|
Operating lease liabilities, net of current portion |
|
26.0 |
|
|
25.4 |
|
Deferred tax liability |
|
13.0 |
|
|
13.0 |
|
Other non-current liabilities |
|
11.0 |
|
|
15.1 |
|
Total liabilities |
|
1,018.0 |
|
|
976.0 |
|
Commitments and contingencies |
|
|
||||
Stockholders' deficit: |
|
|
||||
Preferred stock |
|
0.1 |
|
|
0.1 |
|
Common stock |
|
5.1 |
|
|
5.1 |
|
Capital in excess of par value |
|
1,547.7 |
|
|
1,546.3 |
|
Treasury stock at cost |
|
(115.2 |
) |
|
(115.2 |
) |
Accumulated deficit |
|
(1,591.5 |
) |
|
(1,570.9 |
) |
Accumulated other comprehensive loss |
|
(69.3 |
) |
|
(66.4 |
) |
Stockholders' deficit attributable to shareholders |
|
(223.0 |
) |
|
(201.0 |
) |
Non-controlling interest |
|
0.5 |
|
|
0.6 |
|
Total stockholders' deficit |
|
(222.5 |
) |
|
(200.4 |
) |
Total liabilities and stockholders' deficit |
$ |
795.5 |
|
$ |
775.7 |
|
(1) Figures may not be clerically accurate due to rounding. |
||||||
Exhibit 3 Babcock & Wilcox Enterprises, Inc. Condensed Consolidated Statements of Cash Flows(1) |
||||||
(In millions) |
Three Months Ended March 31, |
|||||
|
|
2024 |
|
|
2023 |
|
Cash flows from operating activities: |
|
|
||||
Net loss from continuing operations |
$ |
(15.8 |
) |
$ |
(12.7 |
) |
Net (loss) income from discontinued operations |
|
(1.0 |
) |
|
0.2 |
|
Net loss |
|
(16.8 |
) |
|
(12.5 |
) |
Adjustments to reconcile net loss to net cash used in operating activities: |
|
|
||||
Depreciation and amortization of long-lived assets |
|
4.8 |
|
|
5.4 |
|
Amortization of deferred financing costs and debt discount |
|
0.7 |
|
|
1.4 |
|
Amortization of guaranty fee |
|
0.6 |
|
|
0.2 |
|
Non-cash operating lease expense |
|
1.8 |
|
|
0.6 |
|
Loss on debt extinguishment |
|
5.1 |
|
|
— |
|
Loss on asset disposals |
|
0.1 |
|
|
0.9 |
|
Provision for (benefit from) deferred income taxes |
|
2.5 |
|
|
(1.9 |
) |
Prior service cost amortization for pension and postretirement plans |
|
0.2 |
|
|
0.2 |
|
Stock-based compensation |
|
1.4 |
|
|
3.4 |
|
Foreign exchange |
|
1.3 |
|
|
0.5 |
|
Changes in operating assets and liabilities: |
|
|
||||
Accounts receivable - trade, net and other |
|
18.0 |
|
|
(5.5 |
) |
Contracts in progress |
|
(21.5 |
) |
|
(29.0 |
) |
Advance billings on contracts |
|
(6.4 |
) |
|
3.6 |
|
Inventories, net |
|
3.1 |
|
|
(7.6 |
) |
Income taxes |
|
2.9 |
|
|
2.1 |
|
Accounts payable |
|
(1.8 |
) |
|
29.6 |
|
Accrued and other current liabilities |
|
(8.4 |
) |
|
2.7 |
|
Accrued contract loss |
|
(2.8 |
) |
|
(0.7 |
) |
Pension liabilities, accrued postretirement benefits and employee benefits |
|
0.2 |
|
|
(4.3 |
) |
Other, net |
|
(0.2 |
) |
|
(1.9 |
) |
Net cash used in operating activities |
|
(14.9 |
) |
|
(12.9 |
) |
Cash flows from investing activities: |
|
|
||||
Purchase of property, plant and equipment |
|
(3.4 |
) |
|
(2.2 |
) |
Purchases of available-for-sale securities |
|
(1.6 |
) |
|
(2.0 |
) |
Sales and maturities of available-for-sale securities |
|
2.1 |
|
|
2.1 |
|
Net cash used in investing activities |
|
(2.8 |
) |
|
(2.1 |
) |
Cash flows from financing activities: |
|
|
||||
Issuance of senior notes |
|
— |
|
|
— |
|
Borrowings on loan payable |
|
90.4 |
|
|
— |
|
Repayments on loan payable |
|
(28.8 |
) |
|
(1.7 |
) |
Payment of holdback funds from acquisition |
|
(3.0 |
) |
|
— |
|
Finance lease payments |
|
(0.3 |
) |
|
(0.3 |
) |
Payment of preferred stock dividends |
|
(3.7 |
) |
|
(3.7 |
) |
Shares of common stock returned to treasury stock |
|
— |
|
|
(0.1 |
) |
Debt issuance costs |
|
(3.1 |
) |
|
(0.1 |
) |
Other, net |
|
(0.1 |
) |
|
— |
|
Net cash provided by (used in) financing activities |
|
51.3 |
|
|
(5.9 |
) |
Effects of exchange rate changes on cash |
|
(2.4 |
) |
|
(1.5 |
) |
Net increase (decrease) in cash, cash equivalents and restricted cash |
|
31.1 |
|
|
(22.4 |
) |
Cash, cash equivalents and restricted cash at beginning of period |
|
71.4 |
|
|
113.5 |
|
Cash, cash equivalents and restricted cash at end of period |
$ |
102.5 |
|
$ |
91.1 |
|
(1) Figures may not be clerically accurate due to rounding. |
||||||
Exhibit 4 Babcock & Wilcox Enterprises, Inc. Segment Information(1) (In millions) |
||||||
SEGMENT RESULTS |
Three Months Ended March 31, |
|||||
|
|
2024 |
|
|
2023 |
|
REVENUES: |
|
|
||||
Babcock & Wilcox Renewable |
$ |
52.3 |
|
$ |
84.1 |
|
Babcock & Wilcox Environmental |
|
48.4 |
|
|
39.4 |
|
Babcock & Wilcox Thermal |
|
110.2 |
|
|
119.2 |
|
Other |
|
(3.3 |
) |
|
(1.5 |
) |
|
$ |
207.6 |
|
$ |
241.3 |
|
|
|
|
||||
ADJUSTED EBITDA: |
|
|
||||
Babcock & Wilcox Renewable |
$ |
1.7 |
|
$ |
4.3 |
|
Babcock & Wilcox Environmental |
|
3.3 |
|
|
1.9 |
|
Babcock & Wilcox Thermal |
|
13.7 |
|
|
13.7 |
|
Corporate |
|
(6.0 |
) |
|
(5.1 |
) |
Research and development costs |
|
(0.1 |
) |
|
(1.3 |
) |
|
$ |
12.5 |
|
$ |
13.6 |
|
|
|
|
||||
AMORTIZATION EXPENSE: |
|
|
||||
Babcock & Wilcox Renewable |
$ |
0.5 |
|
$ |
0.5 |
|
Babcock & Wilcox Environmental |
|
0.8 |
|
|
0.8 |
|
Babcock & Wilcox Thermal |
|
1.1 |
|
|
1.1 |
|
|
$ |
2.3 |
|
$ |
2.4 |
|
|
|
|
||||
DEPRECIATION EXPENSE: |
|
|
||||
Babcock & Wilcox Renewable |
$ |
0.3 |
|
$ |
0.9 |
|
Babcock & Wilcox Environmental |
|
0.4 |
|
|
0.2 |
|
Babcock & Wilcox Thermal |
|
1.3 |
|
|
1.8 |
|
|
$ |
2.1 |
|
$ |
2.9 |
|
|
|
|
||||
|
As of March 31, |
|||||
BACKLOG: |
|
2024 |
|
|
2023 |
|
Babcock & Wilcox Renewable |
$ |
148.0 |
|
$ |
196.5 |
|
Babcock & Wilcox Environmental |
|
166.1 |
|
|
172.6 |
|
Babcock & Wilcox Thermal |
|
209.1 |
|
|
251.6 |
|
Other/Eliminations |
|
9.6 |
|
|
7.3 |
|
|
$ |
532.8 |
|
$ |
628.0 |
|
|
|
|
||||
IMPLIED BACKLOG(2): |
|
|
||||
Babcock & Wilcox Renewable |
$ |
158.1 |
|
$ |
196.5 |
|
Babcock & Wilcox Environmental |
|
192.7 |
|
|
178.5 |
|
Babcock & Wilcox Thermal |
|
466.0 |
|
|
256.3 |
|
Other/Eliminations |
|
9.6 |
|
|
7.3 |
|
|
$ |
826.4 |
|
$ |
638.6 |
|
(1) |
Figures may not be clerically accurate due to rounding. |
|
(2) |
Implied backlog is backlog plus projects that are awarded or under contract but not fully released for performance. B&W Renewable included |
Exhibit 5 Babcock & Wilcox Enterprises, Inc. Reconciliation of Adjusted EBITDA(2)(3) (In millions) |
||||||
|
Three Months Ended March 31, |
|||||
|
|
2024 |
|
|
2023 |
|
Net loss |
$ |
(16.8 |
) |
$ |
(12.5 |
) |
(Loss) income from discontinued operations |
|
(1.0 |
) |
|
0.2 |
|
Net loss from continuing operations |
|
(15.8 |
) |
|
(12.7 |
) |
Interest expense |
|
12.5 |
|
|
12.5 |
|
Income tax expense |
|
1.3 |
|
|
0.5 |
|
Depreciation & amortization |
|
4.4 |
|
|
5.3 |
|
EBITDA |
|
2.4 |
|
|
5.6 |
|
|
|
|
||||
Benefit plans, net |
|
(0.1 |
) |
|
0.1 |
|
Loss on sales, net |
|
0.1 |
|
|
0.9 |
|
Stock compensation |
|
1.4 |
|
|
3.2 |
|
Restructuring expense and business services transition costs |
|
1.6 |
|
|
1.0 |
|
Settlements and related legal costs, net |
|
(4.1 |
) |
|
(2.5 |
) |
Loss on debt extinguishment |
|
5.1 |
|
|
— |
|
Acquisition pursuit and related costs |
|
0.1 |
|
|
0.1 |
|
Product development (1) |
|
1.6 |
|
|
1.4 |
|
Foreign exchange |
|
1.3 |
|
|
0.5 |
|
Financial advisory services |
|
0.2 |
|
|
— |
|
Contract disposal |
|
0.6 |
|
|
1.4 |
|
Letter of credit fees |
|
2.4 |
|
|
1.6 |
|
Other - net |
|
— |
|
|
0.2 |
|
Adjusted EBITDA |
$ |
12.5 |
|
$ |
13.6 |
|
Product development (1) |
|
(1.0 |
) |
|
(0.7 |
) |
BrightLoopTM and ClimateBrightTM expenses |
|
1.7 |
|
|
1.8 |
|
Adjusted EBITDA excluding BrightLoopTM and ClimateBrightTM expenses |
$ |
13.2 |
|
$ |
14.7 |
|
(1) |
Costs associated with development of commercially viable products that are ready to go to market. The elements of these costs associated with BrightLoopTM and ClimateBrightTM are included in the BrightLoopTM and ClimateBrightTM expenses line. |
|
(2) |
Certain 2023 amounts have been reclassified in the reconciliation to conform to the 2024 presentation. |
|
(3) |
Figures may not be clerically accurate due to rounding. |
View source version on businesswire.com: https://www.businesswire.com/news/home/20240509445174/en/
Investor Contact:
Lou Salamone, CFO
Babcock & Wilcox Enterprises, Inc.
704.625.4944 | investors@babcock.com
Media Contact:
Ryan Cornell
Public Relations
Babcock & Wilcox Enterprises, Inc.
330.860.1345 | rscornell@babcock.com
Source: Babcock & Wilcox Enterprises, Inc.
FAQ
What was Babcock & Wilcox Enterprises' Q1 2024 revenue?
Babcock & Wilcox Enterprises reported revenue of $207.6 million in Q1 2024.
What is the full-year Adjusted EBITDA target range for 2024?
The full-year Adjusted EBITDA target range for 2024 is $105.0 million to $115.0 million, excluding BrightLoopTM and ClimateBrightTM expenses.
How much were the contract signings and awards in 2024 compared to the previous year?
Babcock & Wilcox Enterprises announced contract signings and awards of approximately $500.0 million in 2024, nearly double the amount in the same period last year.
What was the implied backlog reported by Babcock & Wilcox Enterprises in 2024?
Babcock & Wilcox Enterprises reported a backlog of $532.8 million and implied backlog of $826.4 million in project opportunities.
What was the net loss in Q1 2024 for Babcock & Wilcox Enterprises?
Babcock & Wilcox Enterprises reported a net loss of $15.8 million in Q1 2024, including a $5.1 million loss on debt extinguishment.
