North American Construction Group Ltd. - NOA STOCK NEWS

North American Construction Group has announced an extension and amendment of its senior secured credit facility, pushing the maturity date to October 8, 2025. The facility, now maintaining an overall liquidity of $475 million, adjusts borrowing capacity to $300 million. The allowance for equipment financing and joint venture support has increased from $150 million to $175 million, providing enhanced operational flexibility. CFO Jason Veenstra emphasized the importance of this low-cost facility in supporting business liquidity and operations.

North American Construction Group Ltd. (NOA) reported Q2 2022 revenue of $168 million, a 21% increase from Q2 2021, primarily due to operations at the Fort Hills mine and DGI Trading's contributions. However, adjusted EBITDA dropped to $41.6 million, reflecting challenges like technician shortages and inflation. Gross profit margin fell to 7.4%, down from 10.4% the previous year. Free cash flow stood at $10.4 million. The Board declared a quarterly dividend of $0.08 per share, payable on October 7, 2022, while management anticipates continued market challenges.

North American Construction Group Ltd. (NOA) will announce its second-quarter financial results for the period ending June 30, 2022, on July 27, 2022, after market hours. A conference call and webcast will follow on July 28, 2022, at 7:00 a.m. MT (9:00 a.m. ET). Interested parties can join the call by dialing 1-888-396-8049 with Conference ID 82943569. A replay will be available until August 28, 2022. For additional details, a slide deck for the presentation can be downloaded from the company's website.

North American Construction Group Ltd. (NOA) held its Annual and Special Meeting of Shareholders on May 4, 2021, announcing the results of key votes. All proposed directors, including Martin R. Ferron and Bryan D. Pinney, were elected with significant majority votes, surpassing 91%. KPMG LLP was appointed as the independent auditors, also receiving near-unanimous support. The advisory vote on executive compensation passed with 68.82% approval. NACG has provided services to major oil, natural gas, and resource companies for over 65 years.

North American Construction Group Ltd. (NOA) reported Q1 2022 revenue of $176.7 million, a 5.3% rise year-over-year, largely due to improved operations and contributions from the DGI acquisition. Combined revenue reached $236.6 million, reflecting a 23.1% increase driven by joint ventures. However, adjusted EBITDA fell to $57.7 million, down 5.5% from the previous year, impacted by labor shortages and inflation. A quarterly dividend of $0.08 per share was declared. The company forecasts adjusted EBITDA for 2022 between $215 million and $245 million.

North American Construction Group Ltd. (NOA) will publish its financial results for Q1 2022 on April 27, 2022, post-market close. A conference call and webcast are scheduled for April 28, 2022, at 7:00 a.m. MT (9:00 a.m. ET) to discuss these results. Interested parties can access the call via toll-free and international numbers provided. A slide deck will be available for download prior to the call. The company, a key player in heavy construction and mining services in Canada, has been in operation for over 65 years.

North American Construction Group Ltd. (NOA) announced plans to initiate a normal course issuer bid (NCIB) to repurchase up to 2,113,054 common shares, representing about 10% of the public float. This bid aims to enhance shareholder value and liquidity, as the company believes its current market price does not reflect underlying value. The NCIB is set to commence around April 11, 2022, and will be conducted through the TSX and NYSE.

North American Construction Group Ltd. (NOA) has secured a five-year contract valued at approximately $125 million with Mikisew North American Limited Partnership, enhancing its backlog, which now totals $1.7 billion. This partnership will contribute significantly to NACG's operational visibility and is expected to represent about one-third of the work over the contract’s term, extending until March 2027. Key executives from both companies expressed optimism about the collaboration, emphasizing its benefits for Indigenous partnerships and market leadership in heavy civil construction.

North American Construction Group Ltd. (NOA) reported a strong Q4 2021, with revenues of $181.0 million, up from $136.1 million YoY, driven by increased demand at Fort Hills and Kearl mines, and the DGI acquisition. Net income rose to $15.3 million, advancing adjusted EBITDA to $56.3 million for the quarter, and $207.3 million for the full year, marking recovery to pre-pandemic levels. However, gross profit margin declined to 12.7% from 16.6% due to higher maintenance costs. Free cash flow reached $48.3 million, supporting a dividend increase to $0.32 annually.