Bowman Announces Fiscal Year 2023 Financial Results
- Bowman achieved over $300 million in net service billing, showing a 30% year-over-year growth.
- The company has a 31% compound annual growth rate since its IPO in May 2021.
- In 2023, Bowman completed 11 acquisitions totaling approximately $60 million in annualized net service billing.
- The company aims to be one of the 50 largest domestic engineering firms.
- Bowman is focused on optimizing resource utilization and integrating acquired organizations into a common culture.
- None.
Insights
The financial performance of Bowman Consulting Group Ltd. indicates a robust growth trajectory with a 30% year-over-year increase in net service billing and a 31% compound annual growth rate since 2020. This growth is significant as it surpasses the organic growth rates typically seen in the engineering and infrastructure services industry. Investors may view the company's ability to consistently increase revenue as a positive indicator of operational efficiency and market penetration.
Moreover, the company's strategy of expanding through acquisitions, as evidenced by the 11 acquisitions contributing to $60 million in annualized net service billing, suggests an aggressive approach to scaling operations. This could potentially enhance the company's competitive edge by broadening its service offerings and geographic reach. However, investors should be cautious of the integration risks associated with mergers and acquisitions, including cultural assimilation and potential disruptions in operations.
Bowman's focus on becoming one of the top 50 domestic engineering firms reflects its ambition in a fragmented market. The introduction of adjacent service offerings and leading-edge geospatial solutions could cater to the evolving needs of clients and may increase the firm's market share. The healthy pipeline of opportunities and the leverage of significant public funding for infrastructure projects suggest a favorable demand environment for Bowman's services.
However, it's important to consider the cyclical nature of the infrastructure sector and the impact of economic cycles on project funding and execution. The company's optimism should be weighed against potential macroeconomic risks that could affect public and private spending on infrastructure.
The significant public funding available for infrastructure projects mentioned by Bowman's CEO underscores the current government focus on improving national infrastructure. This can be a key driver for the engineering and infrastructure services sector, potentially leading to increased demand for companies like Bowman. The firm's strategic positioning to capitalize on this trend through acquisitions and service diversification could yield positive returns in an environment where infrastructure spending is prioritized.
However, the reliance on public funding introduces a degree of uncertainty tied to political and budgetary constraints. Shifts in policy or economic downturns could alter the landscape significantly. Therefore, the company's future performance may be influenced by factors beyond its control, which stakeholders should monitor closely.
“This past year we surpassed
“During 2023 we completed 11 acquisitions representing approximately
Financial highlights for the three months ended December 31, 2023, compared to December 31, 2022:
-
Gross contract revenue of
$93.0 million $75.6 million 23% increase -
Year-over-year organic gross contract revenue growth1 of
6% -
Net service billing2 of
$80.5 million $66.2 million 22% increase -
Year-over-year organic net service billing growth of
4% -
Net loss of
$7.7 million $0.5 million -
Adjusted EBITDA2 of
$11.2 million $9.4 million 19% increase -
Adjusted EBITDA margin, net 2 of
14.0% compared to14.2% , a 20 bps decrease -
Gross backlog2 of
$306 million $243 million 26% increase
Financial highlights for fiscal year 2023, compared to fiscal year 2022:
-
Gross contract revenue of
$346.3 million $261.7 million 32% increase -
Year-over-year organic gross contract revenue growth1 of
21% -
Net service billing2 of
$304.0 million $235.2 million 29% increase -
Year-over-year organic net service billing growth of
18% -
Net loss of
$6.6 million $5.0 million -
Adjusted EBITDA2 of
$47.0 million $34.0 million 38% increase -
Adjusted EBITDA margin, net 2 of
15.5% compared to14.5% , a 100 bps increase
Impact of IRC Section 174 Research & Development Tax Expense Deductibility
The Tax Cuts and Jobs Act (“TCJA”) drastically altered IRC Section 174 and the treatment of Research and Experimental (“R&E”) expenditures for tax years beginning after December 31, 2021. Prior to this alteration, under IRC Sec. 174 businesses were permitted to deduct the full amount of R&E expenditures as an expense in the taxable year in which they were incurred. As amended, IRC Sec. 174 eliminated the ability for
Activity Under Stock Repurchase Program:
In November 2022, the Company's Board of Directors authorized a stock repurchase program ("2022 Stock Repurchase Program") to repurchase up to
Non-GAAP Adjusted Earnings per Share:
In connection with the release of financial results for the three and nine months ended September 30, 2023, the Company introduced the new non-GAAP financial metric of adjusted earnings per share (“Adjusted EPS”). To calculate Adjusted EPS, the Company adds back non-reoccurring expenses specific to acquisitions, non-cash stock compensation expense associated with pre-IPO grants, and other expenses not in the ordinary course of business. With respect to the elimination of any non-cash stock compensation expense, the Company computes an adjusted tax expense or benefit which accounts for the elimination of any periodic windfall or shortfall tax effects resulting from the difference between grant date fair value and vest date value. With respect to all other eliminations, the Company applies its average marginal statutory tax rate, currently
For the three months ended December 31, 2023, compared to December 31, 2022:
-
Basic Adjusted EPS was
$0.33 $0.44 -
Diluted Adjusted EPS was
$0.31 $0.41
For the twelve months ended December 31, 2023, compared to December 31, 2022:
-
Basic Adjusted EPS was
$1.12 $1.46 -
Diluted Adjusted EPS was
$1.03 $1.36
Updating FY 2024 Guidance
The Company is adjusting its full year 2024 outlook for net service billing2 to be in the range of
“Our 2024 forecast assumes uneven growth in net service billing from first to third quarter with an accommodation for a modest seasonal impact during the fourth quarter,” said Bruce Labovitz, Chief Financial Officer at Bowman. “Generally speaking, we have found that it can take acquisitions a couple of months to return to normal net service billing levels due to the unusual demands of immediate post-closing integration. We reiterate that when acquisitions are added to guidance, we include a pro-rated amount of announced annualized net service billing run rate that is based on the timing of closing and anticipated integration related revenue disruptions.”
Q4 2023 Earnings Webcast
Bowman will host an earnings webcast to discuss the results of the quarter as follows:
Date: March 12, 2024
Time: 9:00 a.m. Eastern Time
Hosts: Gary Bowman, Chairman and CEO and Bruce Labovitz, Chief Financial Officer
Where: http://investors.bowman.com
1 Includes reclassification of 2022 Q4 acquisitions as organic revenue. |
2 Non-GAAP financial metrics the Company believes offer valuable perspective on results of operations. See Non-GAAP tables below for reconciliations. |
About Bowman Consulting Group Ltd.
Headquartered in
Forward-Looking Statements
This press release may contain “forward-looking statements” within the meaning of the safe harbor provisions of the
Non-GAAP Financial Measures and Other Key Metrics
We supplement our consolidated financial statements, which are prepared and presented in accordance with GAAP, with certain non-GAAP financial measures, as described below, to help represent, explain, and understand our operating performance. These non-GAAP financial measures may be different than similarly referenced measures used by other companies. The non-GAAP measures are intended to enhance investors’ overall understanding and evaluation of our financial performance and should not be considered a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP. We present these non-GAAP financial measures to assist investors in seeing our financial performance in a manner more aligned with management’s view and believe these measures provide additional tools by which investors can evaluate our core financial performance over multiple periods relative to other companies in our industry. Reconciliations of non-GAAP financial measures to the most directly comparable GAAP financial measures are included in the financial tables accompanying this press release.
BOWMAN CONSULTING GROUP LTD. CONSOLIDATED BALANCE SHEETS (Amounts in thousands except per share data) |
|||||||
|
December 31,
|
|
December 31,
|
||||
ASSETS |
|
|
|
||||
Current Assets |
|
|
|
||||
Cash and equivalents |
$ |
20,687 |
|
|
$ |
13,282 |
|
Accounts receivable, net |
|
87,565 |
|
|
|
64,443 |
|
Contract assets |
|
33,520 |
|
|
|
16,321 |
|
Notes receivable - officers, employees, affiliates, current portion |
|
1,199 |
|
|
|
1,016 |
|
Prepaid and other current assets |
|
11,806 |
|
|
|
7,068 |
|
Total current assets |
|
154,777 |
|
|
|
102,130 |
|
Non-Current Assets |
|
|
|
||||
Property and equipment, net |
|
27,601 |
|
|
|
25,104 |
|
Operating lease, right-of-use assets |
|
40,743 |
|
|
|
30,264 |
|
Goodwill |
|
96,393 |
|
|
|
53,210 |
|
Notes receivable |
|
903 |
|
|
|
903 |
|
Notes receivable - officers, employees, affiliates, less current portion |
|
1,119 |
|
|
|
1,417 |
|
Other intangible assets, net |
|
46,294 |
|
|
|
27,950 |
|
Deferred tax asset, net |
|
33,780 |
|
|
|
13,759 |
|
Other assets |
|
1,175 |
|
|
|
1,020 |
|
Total Assets |
$ |
402,785 |
|
|
$ |
255,757 |
|
LIABILITIES AND EQUITY |
|
|
|
||||
Current Liabilities |
|
|
|
||||
Bank line of credit |
|
45,290 |
|
|
|
– |
|
Accounts payable and accrued liabilities, current portion |
|
44,394 |
|
|
|
40,293 |
|
Contract liabilities |
|
7,481 |
|
|
|
6,370 |
|
Notes payable, current portion |
|
13,989 |
|
|
|
10,168 |
|
Operating lease obligation, less current portion |
|
9,016 |
|
|
|
6,949 |
|
Finance lease obligation, current portion |
|
6,586 |
|
|
|
5,297 |
|
Total current liabilities |
|
126,756 |
|
|
|
69,077 |
|
Non-Current Liabilities |
|
|
|
||||
Other non-current obligations |
|
42,288 |
|
|
|
356 |
|
Notes payable, less current portion |
|
13,738 |
|
|
|
16,276 |
|
Operating lease obligation, less current portion |
|
37,660 |
|
|
|
28,087 |
|
Finance lease obligation, less current portion |
|
14,408 |
|
|
|
14,254 |
|
Pension and post-retirement obligation, less current portion |
|
4,654 |
|
|
|
4,848 |
|
Total liabilities |
$ |
239,504 |
|
|
$ |
132,898 |
|
|
|
|
|
||||
Shareholders' Equity |
|
|
|
||||
Preferred Stock, |
|
- |
|
|
|
- |
|
Common stock, |
|
177 |
|
|
|
159 |
|
Additional paid-in-capital |
|
215,420 |
|
|
|
162,922 |
|
Treasury stock, at cost; 2,393,255 and 2,201,289, respectively |
|
(26,410 |
) |
|
|
(20,831 |
) |
Accumulated other comprehensive income |
|
590 |
|
|
|
578 |
|
Stock subscription notes receivable |
|
(76 |
) |
|
|
(173 |
) |
Accumulated deficit |
|
(26,420 |
) |
|
|
(19,796 |
) |
Total shareholders' equity |
$ |
163,281 |
|
|
$ |
122,859 |
|
|
|
|
|
||||
TOTAL LIABILITIES AND EQUITY |
$ |
402,785 |
|
|
$ |
255,757 |
|
BOWMAN CONSULTING GROUP LTD. |
||||||||||||||
CONSOLIDATED INCOME STATEMENTS |
||||||||||||||
(Amounts in thousands except per share data) |
||||||||||||||
|
For the Three Months
|
For the Year
|
||||||||||||
|
2023 |
|
2022 |
2023 |
|
2022 |
||||||||
Gross Contract Revenue |
$ |
92,969 |
|
|
$ |
75,609 |
|
$ |
346,256 |
|
|
$ |
261,714 |
|
Contract costs: (exclusive of depreciation and amortization below) |
|
|
|
|
|
|
||||||||
Direct payroll costs |
|
33,679 |
|
|
|
26,753 |
|
|
127,961 |
|
|
|
100,076 |
|
Sub-consultants and expenses |
|
12,453 |
|
|
|
9,424 |
|
|
42,262 |
|
|
|
26,510 |
|
Total contract costs |
|
46,132 |
|
|
|
36,177 |
|
|
170,223 |
|
|
|
126,586 |
|
Operating Expenses: |
|
|
|
|
|
|
||||||||
Selling, general and administrative |
|
44,655 |
|
|
|
34,993 |
|
|
158,377 |
|
|
|
117,839 |
|
Depreciation and amortization |
|
5,939 |
|
|
|
3,901 |
|
|
18,723 |
|
|
|
12,251 |
|
Gain on sale |
|
(64 |
) |
|
|
(39 |
) |
|
(411 |
) |
|
|
(82 |
) |
Total operating expenses |
|
50,530 |
|
|
|
38,855 |
|
|
176,689 |
|
|
|
130,008 |
|
(Loss) Income from operations |
|
(3,693 |
) |
|
|
577 |
|
|
(656 |
) |
|
|
5,120 |
|
Other expense |
|
1,939 |
|
|
|
1,297 |
|
|
5,791 |
|
|
|
3,384 |
|
(Loss) Income before tax expense |
|
(5,632 |
) |
|
|
(720 |
) |
|
(6,447 |
) |
|
|
1,736 |
|
Income tax (benefit) |
|
2,078 |
|
|
|
(1,190 |
) |
|
177 |
|
|
|
(3,269 |
) |
Net (loss) income |
$ |
(7,710 |
) |
|
$ |
470 |
|
$ |
(6,624 |
) |
|
$ |
5,005 |
|
Earnings allocated to non-vested shares |
|
– |
|
|
|
67 |
|
|
– |
|
|
|
783 |
|
Net (loss) income attributable to common shareholders |
$ |
(7,710 |
) |
|
$ |
403 |
|
$ |
(6,624 |
) |
|
$ |
4,222 |
|
(Loss) Earnings per share |
|
|
|
|
|
|
||||||||
Basic |
$ |
(0.59 |
) |
|
$ |
0.03 |
|
$ |
(0.53 |
) |
|
$ |
0.39 |
|
Diluted |
$ |
(0.59 |
) |
|
$ |
0.03 |
|
$ |
(0.53 |
) |
|
$ |
0.37 |
|
Weighted average shares outstanding: |
|
|
|
|
|
|
||||||||
Basic |
|
13,043,111 |
|
|
|
11,538,128 |
|
|
12,490,914 |
|
|
|
10,887,620 |
|
Diluted |
|
13,043,111 |
|
|
|
12,234,109 |
|
|
12,490,914 |
|
|
|
11,683,758 |
|
BOWMAN CONSULTING GROUP LTD. CONSOLIDATED STATEMENTS OF CASH FLOWS |
|||||||
|
For the Year Ended December 31, |
||||||
|
|
2023 |
|
|
|
2022 |
|
Cash Flows from Operating Activities: |
|
|
|
||||
Net (Loss) Income |
$ |
(6,624 |
) |
|
$ |
5,005 |
|
Adjustments to reconcile net income to net cash provided by operating activities |
|
|
|
||||
Depreciation and amortization - property, plant and equipment |
|
9,732 |
|
|
|
8,363 |
|
Amortization of intangible assets |
|
8,991 |
|
|
|
3,888 |
|
Gain on sale of assets |
|
(411 |
) |
|
|
(82 |
) |
Bad debt |
|
515 |
|
|
|
742 |
|
Stock based compensation |
|
24,738 |
|
|
|
15,097 |
|
Deferred taxes |
|
(25,529 |
) |
|
|
(18,049 |
) |
Accretion of discounts on notes payable |
|
642 |
|
|
|
258 |
|
Changes in operating assets and liabilities |
|
|
|
||||
Accounts receivable |
|
(13,559 |
) |
|
|
(13,779 |
) |
Contract assets |
|
(10,866 |
) |
|
|
(4,575 |
) |
Prepaid expenses and other assets |
|
143 |
|
|
|
(2,126 |
) |
Accounts payable and accrued expenses |
|
27,728 |
|
|
|
15,802 |
|
Contract liabilities |
|
(3,778 |
) |
|
|
(1,374 |
) |
Net cash provided by operating activities |
|
11,722 |
|
|
|
9,170 |
|
Cash Flows from Investing Activities: |
|
|
|
||||
Purchases of property and equipment |
|
(2,093 |
) |
|
|
(902 |
) |
Proceeds from sale of assets |
|
411 |
|
|
|
35 |
|
Amounts advanced under loans to shareholders |
|
– |
|
|
|
(5 |
) |
Payments received under loans to shareholders |
|
115 |
|
|
|
49 |
|
Acquisitions of businesses, net of cash acquired |
|
(25,687 |
) |
|
|
(18,035 |
) |
Collections under stock subscription notes receivable |
|
98 |
|
|
|
104 |
|
Net cash used in investing activities |
|
(27,156 |
) |
|
|
(18,754 |
) |
Cash Flows from Financing Activities: |
|
|
|
||||
Proceeds from common stock offering, net of underwriting discounts and commissions and other offering costs |
|
– |
|
|
|
15,475 |
|
Borrowings under revolving credit facility |
|
45,290 |
|
|
|
– |
|
Repayments under fixed line of credit |
|
(430 |
) |
|
|
(734 |
) |
Repayment under notes payable |
|
(11,237 |
) |
|
|
(4,595 |
) |
Payments on finance leases |
|
(6,782 |
) |
|
|
(6,027 |
) |
Payments for purchase of treasury stock |
|
(4,833 |
) |
|
|
(3,343 |
) |
Repurchases of common stock |
|
(745 |
) |
|
|
– |
|
Proceeds from issuance of common stock |
|
1,576 |
|
|
|
1,471 |
|
Net cash provided by financing activities |
|
22,839 |
|
|
|
2,247 |
|
Net increase (decrease) in cash and cash equivalents |
|
7,405 |
|
|
|
(7,337 |
) |
Cash and cash equivalents, beginning of period |
|
13,282 |
|
|
|
20,619 |
|
Cash and cash equivalents, end of period |
$ |
20,687 |
|
|
$ |
13,282 |
|
Supplemental disclosures of cash flow information: |
|
|
|
||||
Cash paid for interest |
$ |
4,212 |
|
|
$ |
1,896 |
|
Cash paid for income taxes |
$ |
1,133 |
|
|
$ |
400 |
|
Non-cash investing and financing activities |
|
|
|
||||
Property and equipment acquired under finance lease |
$ |
(8,246 |
) |
|
$ |
(8,118 |
) |
Note payable converted to common shares |
$ |
(1,343 |
) |
|
$ |
- |
|
Issuance of notes payable for acquisitions |
$ |
(13,650 |
) |
|
$ |
(19,089 |
) |
Issuance of contingent consideration |
$ |
(8,909 |
) |
|
$ |
(487 |
) |
BOWMAN CONSULTING GROUP LTD. RECONCILIATION OF EPS TO ADJUSTED EPS (Amounts in thousands except per share data) |
||||||||||||||||
|
|
For the Three Months Ended
|
|
For the Year Ended
|
||||||||||||
|
|
|
2023 |
|
|
|
2022 |
|
|
|
2023 |
|
|
|
2022 |
|
Net (loss) income (GAAP) |
|
$ |
(7,710 |
) |
|
$ |
470 |
|
|
$ |
(6,624 |
) |
|
$ |
5,005 |
|
+ tax expense (benefit) (GAAP) |
|
|
2,078 |
|
|
|
(1,190 |
) |
|
|
177 |
|
|
|
(3,269 |
) |
(Loss) Income before tax expense (GAAP) |
|
$ |
(5,632 |
) |
|
$ |
(720 |
) |
|
$ |
(6,447 |
) |
|
$ |
1,736 |
|
+ acquisition related expenses |
|
|
2,849 |
|
|
|
978 |
|
|
|
5,025 |
|
|
|
2,414 |
|
+ amortization of intangibles |
|
|
3,378 |
|
|
|
1,904 |
|
|
|
8,991 |
|
|
|
3,888 |
|
+ non-cash stock comp related to pre-IPO |
|
|
1,747 |
|
|
|
1,879 |
|
|
|
6,955 |
|
|
|
7,992 |
|
+ other non-core expenses |
|
|
249 |
|
|
|
439 |
|
|
|
923 |
|
|
|
654 |
|
Adjusted income before tax expense |
|
$ |
2,591 |
|
|
$ |
4,480 |
|
|
$ |
15,447 |
|
|
$ |
16,684 |
|
Adjusted income tax (benefit) |
|
|
(2,285 |
) |
|
|
(1,394 |
) |
|
|
(620 |
) |
|
|
(2,216 |
) |
Adjusted net income |
|
$ |
4,876 |
|
|
$ |
5,874 |
|
|
$ |
16,067 |
|
|
$ |
18,900 |
|
Adjusted earnings allocated to non-vested shares |
|
|
584 |
|
|
|
837 |
|
|
|
2,028 |
|
|
|
2,955 |
|
Adjusted net income attributable to common shareholders |
|
$ |
4,292 |
|
|
$ |
5,037 |
|
|
$ |
14,039 |
|
|
$ |
15,945 |
|
(Loss) Earnings per share (GAAP) |
|
|
|
|
|
|
|
|
||||||||
Basic |
|
$ |
(0.59 |
) |
|
$ |
0.03 |
|
|
$ |
(0.53 |
) |
|
$ |
0.39 |
|
Diluted |
|
$ |
(0.59 |
) |
|
$ |
0.03 |
|
|
$ |
(0.53 |
) |
|
$ |
0.37 |
|
Adjusted earnings per share (Non-GAAP) |
|
|
|
|
|
|
|
|
||||||||
Basic |
|
$ |
0.33 |
|
|
$ |
0.44 |
|
|
$ |
1.12 |
|
|
$ |
1.46 |
|
Diluted |
|
$ |
0.31 |
|
|
$ |
0.41 |
|
|
$ |
1.03 |
|
|
$ |
1.36 |
|
Weighted average shares outstanding |
|
|
|
|
|
|
|
|
||||||||
Basic |
|
|
13,043,111 |
|
|
|
11,538,128 |
|
|
|
12,490,914 |
|
|
|
10,887,620 |
|
Diluted |
|
|
13,984,138 |
|
|
|
12,234,109 |
|
|
|
13,681,711 |
|
|
|
11,683,758 |
|
|
|
|
|
|
|
|
|
|
||||||||
Basic Adjusted Earnings Per Share Summary - Non-GAAP |
|
For the Three Months Ended
|
|
For the Year Ended
|
||||||||||||
|
|
|
2023 |
|
|
|
2022 |
|
|
|
2023 |
|
|
|
2022 |
|
(Loss) Earnings per share (GAAP) |
|
$ |
(0.59 |
) |
|
$ |
0.03 |
|
|
$ |
(0.53 |
) |
|
$ |
0.39 |
|
Pre-tax basic per share adjustments |
|
$ |
0.79 |
|
|
$ |
0.35 |
|
|
$ |
1.78 |
|
|
$ |
1.14 |
|
Adjusted earnings per share before tax expense |
|
$ |
0.20 |
|
|
$ |
0.38 |
|
|
$ |
1.25 |
|
|
$ |
1.53 |
|
Tax (benefit) per share adjustment |
|
$ |
(0.18 |
) |
|
$ |
(0.12 |
) |
|
$ |
(0.04 |
) |
|
$ |
(0.20 |
) |
Adjusted earnings per share - adjusted net income |
|
$ |
0.38 |
|
|
$ |
0.50 |
|
|
$ |
1.29 |
|
|
$ |
1.73 |
|
Adjusted earnings per share allocated to non-vested shares |
|
$ |
0.05 |
|
|
$ |
0.06 |
|
|
$ |
0.17 |
|
|
$ |
0.27 |
|
Adjusted earnings per share attributable to common shareholders |
|
$ |
0.33 |
|
|
$ |
0.44 |
|
|
$ |
1.12 |
|
|
$ |
1.46 |
|
|
|
|
|
|
|
|
|
|
||||||||
Diluted Adjusted Earnings Per Share Summary - Non-GAAP |
|
For the Three Months Ended
|
|
For the Year Ended
|
||||||||||||
|
|
|
2023 |
|
|
|
2022 |
|
|
|
2023 |
|
|
|
2022 |
|
(Loss) Earnings per share (GAAP) |
|
$ |
(0.59 |
) |
|
$ |
0.03 |
|
|
$ |
(0.53 |
) |
|
$ |
0.37 |
|
Pre-tax diluted per share adjustments |
|
$ |
0.78 |
|
|
$ |
0.34 |
|
|
$ |
1.66 |
|
|
$ |
1.06 |
|
Adjusted earnings per share before tax expense |
|
$ |
0.19 |
|
|
$ |
0.37 |
|
|
$ |
1.13 |
|
|
$ |
1.43 |
|
Tax (benefit) per share adjustment |
|
$ |
(0.16 |
) |
|
$ |
(0.11 |
) |
|
$ |
(0.05 |
) |
|
$ |
(0.19 |
) |
Adjusted earnings per share - adjusted net income |
|
$ |
0.35 |
|
|
$ |
0.48 |
|
|
$ |
1.18 |
|
|
$ |
1.62 |
|
Adjusted earnings per share allocated to non-vested shares |
|
$ |
0.04 |
|
|
$ |
0.07 |
|
|
$ |
0.15 |
|
|
$ |
0.26 |
|
Adjusted earnings per share attributable to common shareholders |
|
$ |
0.31 |
|
|
$ |
0.41 |
|
|
$ |
1.03 |
|
|
$ |
1.36 |
|
BOWMAN CONSULTING GROUP LTD. RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (Amounts in thousands except per share data) |
|||||||||||||||
Combined Statement of Operations Reconciliation |
|
For the Three Months Ended
|
|
For the Year Ended
|
|||||||||||
|
|
|
2023 |
|
|
2022 |
|
|
|
2023 |
|
|
|
2022 |
|
Gross contract revenue |
|
$ |
92,969 |
|
$ |
75,609 |
|
|
$ |
346,256 |
|
|
$ |
261,714 |
|
Contract costs (exclusive of depreciation and amortization) |
|
|
46,132 |
|
|
36,177 |
|
|
|
170,223 |
|
|
|
126,586 |
|
Operating expense |
|
|
50,530 |
|
|
38,855 |
|
|
|
176,689 |
|
|
|
130,008 |
|
(Loss) Income from operations |
|
|
(3,693 |
) |
|
577 |
|
|
|
(656 |
) |
|
|
5,120 |
|
Other expense |
|
|
1,939 |
|
|
1,297 |
|
|
|
5,791 |
|
|
|
3,384 |
|
Income tax expense (benefit) |
|
|
2,078 |
|
|
(1,190 |
) |
|
|
177 |
|
|
|
(3,269 |
) |
Net (loss) income |
|
$ |
(7,710 |
) |
$ |
470 |
|
|
$ |
(6,624 |
) |
|
$ |
5,005 |
|
Net margin |
|
|
(8.3 |
) % |
|
0.6 |
% |
|
|
(1.9 |
) % |
|
|
1.9 |
% |
|
|
|
|
|
|
|
|
||||||||
Other financial information 1 |
|
|
|
|
|
|
|
||||||||
Net service billing |
|
$ |
80,516 |
|
$ |
66,185 |
|
|
$ |
303,994 |
|
|
$ |
235,204 |
|
Adjusted EBITDA |
|
|
11,249 |
|
|
9,415 |
|
|
|
47,031 |
|
|
|
34,022 |
|
Adjusted EBITDA margin, net |
|
|
14.0 |
% |
|
14.2 |
% |
|
|
15.5 |
% |
|
|
14.5 |
% |
|
|
|
|
|
|
|
|
||||||||
Gross Contract Revenue to Net Service Billing Reconciliation |
|
For the Three Months Ended
|
|
For the Year Ended
|
|||||||||||
|
|
|
2023 |
|
|
2022 |
|
|
|
2023 |
|
|
|
2022 |
|
Gross contract revenue |
|
$ |
92,969 |
|
$ |
75,609 |
|
|
$ |
346,256 |
|
|
$ |
261,714 |
|
Less: sub-consultants and other direct expenses |
|
|
12,453 |
|
|
9,424 |
|
|
|
42,262 |
|
|
|
26,510 |
|
Net service billing |
|
$ |
80,516 |
|
$ |
66,185 |
|
|
$ |
303,994 |
|
|
$ |
235,204 |
|
|
|
|
|
|
|
|
|
||||||||
Adjusted EBITDA Reconciliation |
|
For the Three Months Ended
|
|
For the Year Ended
|
|||||||||||
|
|
|
2023 |
|
|
2022 |
|
|
|
2023 |
|
|
|
2022 |
|
Net Service Billing |
|
$ |
80,516 |
|
$ |
66,185 |
|
|
$ |
303,994 |
|
|
$ |
235,304 |
|
|
|
|
|
|
|
|
|
||||||||
Net (loss) income |
|
$ |
(7,710 |
) |
$ |
470 |
|
|
$ |
(6,624 |
) |
|
$ |
5,005 |
|
+ interest expense |
|
|
1,795 |
|
|
1,234 |
|
|
|
5,340 |
|
|
|
2,457 |
|
+ depreciation & amortization |
|
|
5,939 |
|
|
3,901 |
|
|
|
18,723 |
|
|
|
12,251 |
|
+ tax (benefit) expense |
|
|
2,078 |
|
|
(1,190 |
) |
|
|
177 |
|
|
|
(3,269 |
) |
EBITDA |
|
$ |
2,102 |
|
$ |
4,415 |
|
|
$ |
17,616 |
|
|
$ |
16,444 |
|
+ non-cash stock compensation |
|
|
6,504 |
|
|
3,922 |
|
|
|
24,984 |
|
|
|
15,409 |
|
+ settlements and other non-core expenses |
|
|
310 |
|
|
439 |
|
|
|
1,170 |
|
|
|
654 |
|
+ acquisition expenses |
|
|
2,333 |
|
|
639 |
|
|
|
3,261 |
|
|
|
1,515 |
|
Adjusted EBITDA |
|
$ |
11,249 |
|
$ |
9,415 |
|
|
$ |
47,031 |
|
|
$ |
34,022 |
|
Adjusted EBITDA margin, net |
|
|
14.0 |
% |
|
14.2 |
% |
|
|
15.5 |
% |
|
|
14.5 |
% |
|
|
|
|
|
|
|
|
||||||||
1 Non-GAAP financial metrics the Company believes offer valuable perspective on results of operations. See Non-GAAP tables below for reconciliations. |
BOWMAN CONSULTING GROUP LTD. GROSS CONTRACT REVENUE COMPOSITION (Unaudited) |
||||||||||||
|
|
|
|
|
|
|
||||||
(dollars in thousands) |
For the Three Months Ended December 31, |
|||||||||||
Consolidated Gross Revenue |
2023 |
% |
2022 |
% |
Change |
% Change |
||||||
Building Infrastructure |
49,967 |
53.7 % |
44,338 |
58.6 % |
5,629 |
12.7 % |
||||||
Transportation |
21,202 |
22.8 % |
18,382 |
24.3 % |
2,820 |
15.3 % |
||||||
Power and Utilities |
16,684 |
17.9 % |
8,302 |
11.0 % |
8,382 |
101.0 % |
||||||
Emerging Markets1 |
5,116 |
5.6 % |
4,587 |
6.1 % |
529 |
11.5 % |
||||||
Total |
92,969 |
100.0 % |
75,609 |
100.0 % |
17,360 |
23.0 % |
||||||
|
|
|
|
|
|
|
||||||
|
|
|
|
|
|
|
||||||
(dollars in thousands) |
For the Year Ended December 31, |
|||||||||||
Consolidated Gross Revenue |
2023 |
% |
2022 |
% |
Change |
% Change |
||||||
Building Infrastructure |
194,867 |
56.3 % |
170,431 |
65.1 % |
24,436 |
14.3 % |
||||||
Transportation |
72,829 |
21.0 % |
44,846 |
17.1 % |
27,983 |
62.4 % |
||||||
Power and Utilities |
64,156 |
18.5 % |
32,672 |
12.5 % |
31,484 |
96.4 % |
||||||
Emerging Markets1 |
14,404 |
4.2 % |
13,765 |
5.3 % |
639 |
4.6 % |
||||||
Total |
346,256 |
100.0 % |
261,714 |
100.0 % |
84,542 |
32.3 % |
||||||
|
|
|||||||||||
|
|
|
|
|
|
|
||||||
(dollars in thousands) |
For the Three Months Ended December 31, |
|||||||||||
Organic v Acquired Revenue 2 |
2023 |
% |
2022 |
% |
Change |
% Change |
||||||
Baseline organic revenue |
79,974 |
86.0 % |
75,609 |
100.0 % |
4,366 |
5.8 % |
||||||
Acquired revenue |
12,995 |
14.0 % |
– |
n/a |
n/a |
n/a |
||||||
Total |
92,969 |
100.0 % |
75,609 |
100.0 % |
4,366 |
5.8 % |
||||||
|
|
|
|
|
|
|
||||||
|
|
|
|
|
|
|
||||||
(dollars in thousands) |
For the Year Ended December 31, |
|||||||||||
Organic v Acquired Revenue 2 |
2023 |
% |
2022 |
% |
Change |
% Change |
||||||
Baseline organic revenue |
315,759 |
91.2 % |
261,714 |
100.0 % |
54,045 |
20.7 % |
||||||
Acquired revenue |
30,497 |
8.8 % |
– |
n/a |
n/a |
n/a |
||||||
Total |
346,256 |
100.0 % |
261,714 |
100.0 % |
54,045 |
20.7 % |
||||||
|
|
|
|
|
|
|
||||||
1 represents environmental, mining, water resources and other. |
|
2 After four quarters post-closing, acquired revenue is reclassified as organic; this results in a change from previously reported numbers |
BOWMAN CONSULTING GROUP LTD. GROSS BACKLOG BY CATEGORY AT DECEMBER 31, 2023 (Unaudited) |
|
Category |
Percentage |
Building Infrastructure |
55 % |
Transportation |
24 % |
Power and Utilities |
17 % |
Emerging Markets |
4 % |
TOTAL |
100 % |
View source version on businesswire.com: https://www.businesswire.com/news/home/20240311475972/en/
Investor Relations Contacts:
Bruce Labovitz
ir@bowman.com
(703) 464-1029
Betsy Patterson
ir@bowman.com
(310) 622-8227
Source: Bowman Consulting Group
FAQ
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