Orion Group Holdings, Inc. Announces Contract Awards Totaling $128 Million

Rhea-AI Summary

Orion Group Holdings, Inc. (NYSE: ORN) announced a new contract valued at over $40 million for a 40-story residential building in Houston. Construction will start in Q1 2023 and is expected to finish by Q3 2024. The project includes a nine-story parking structure and 30 floors of living space. This contract is part of a series of awards totaling $128 million in Q3, which will be completed in 2023 and 2024. CEO Travis Boone emphasized that this success positions the company for a stronger future.

Positive

• Contract awarded for $40 million, enhancing revenue potential.
• Project expected to start in Q1 2023, signaling growth.
• Total contract awards in Q3 stand at $128 million, indicating strong business activity.

Negative

• None.

HOUSTON, Nov. 09, 2022 (GLOBE NEWSWIRE) -- Orion Group Holdings, Inc. (NYSE: ORN) (the "Company"), a leading specialty construction company, today announced a contract award for its Concrete segment valued at over $40 million.

Under this contract, the Company will construct a 40-story multi-family residential building in the Houston area, beginning in Q1 2023 with expected completion in Q3 2024. The team will perform construction of the mat foundation, an interior stair and elevator core, forming and placing concrete of the elevated structure, along with placement of rebar. The building includes a nine-story parking structure, 30 stories of living space, and an amenity level with an outdoor terrace. One of the company’s tower cranes will be supporting the construction of the project.

This contract along with other contract awards in Q3 totaling $128M, comprised of $53M in Concrete and $75M in Marine, will be completed throughout 2023 and 2024.

“Our recent success winning work across all segments will help set us up for a stronger 2023 and beyond,” said Travis Boone, Orion’s President and Chief Executive Officer. “We are continuing to expand our client base and focus on our key markets in both Marine and Concrete.”

About Orion Group Holdings
Orion Group Holdings, Inc., a leading specialty construction company serving the infrastructure, industrial and building sectors, provides services both on and off the water in the continental United States, Alaska, Canada and the Caribbean Basin through its marine segment and its concrete segment. The Company’s marine segment provides construction and dredging services relating to marine transportation facility construction, marine pipeline construction, marine environmental structures, dredging of waterways, channels and ports, environmental dredging, design, and specialty services. Its concrete segment provides turnkey concrete construction services including pour and finish, dirt work, layout, forming, rebar, and mesh across the light commercial, structural and other associated business areas. The Company is headquartered in Houston, Texas with regional offices throughout its operating areas.

Forward-Looking Statements
The matters discussed in this press release may constitute or include projections or other forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, the provisions of which the Company is availing itself. Certain forward-looking statements can be identified by the use of forward-looking terminology, such as 'believes', 'expects', 'may', 'will', 'could', 'should', 'seeks', 'approximately', 'intends', 'plans', 'estimates', or 'anticipates', or the negative thereof or other comparable terminology, or by discussions of strategy, plans, objectives, intentions, estimates, forecasts, outlook, assumptions, or goals. In particular, statements regarding future operations or results, including those set forth in this press release and any other statement, express or implied, concerning future operating results or the future generation of or ability to generate revenues, income, net income, profit, EBITDA, EBITDA margin, or cash flow, including to service debt, and including any estimates, forecasts or assumptions regarding future revenues or revenue growth, are forward-looking statements. Forward looking statements also include estimated project start date, anticipated revenues, and contract options which may or may not be awarded in the future. Forward looking statements involve risks, including those associated with the Company's fixed price contracts that impacts profits, unforeseen productivity delays that may alter the final profitability of the contract, cancellation of the contract by the customer for unforeseen reasons, delays or decreases in funding by the customer, levels and predictability of government funding or other governmental budgetary constraints and any potential contract options which may or may not be awarded in the future, and are the sole discretion of award by the customer. Past performance is not necessarily an indicator of future results. In light of these and other uncertainties, the inclusion of forward-looking statements in this press release should not be regarded as a representation by the Company that the Company's plans, estimates, forecasts, goals, intentions, or objectives will be achieved or realized. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company assumes no obligation to update information contained in this press release whether as a result of new developments or otherwise.

Please refer to the Company’s Annual Report on Form 10-K, filed on March 7, 2022, which is available on its website at www.oriongroupholdingsinc.com or at the SEC’s website at www.sec.gov, for additional and more detailed discussion of risk factors that could cause actual results to differ materially from our current expectations, estimates or forecasts.

CONTACT:
Orion Group Holdings Inc.
Francis Okoniewski, VP Investor Relations
(346) 616-4138
FOkoniewski@orn.net
www.oriongroupholdingsinc.com

Source: Orion Group Holdings, Inc.

FAQ

What is the value of the new contract announced by Orion Group Holdings?

The new contract is valued at over $40 million.

When is construction expected to begin for the new residential building project?

Construction is expected to begin in Q1 2023.

What is the expected completion date for the new project by Orion Group?

The project is expected to be completed by Q3 2024.

How much did Orion Group Holdings secure in contract awards during Q3?

Orion Group Holdings secured $128 million in contract awards during Q3.

What types of construction projects does Orion Group Holdings specialize in?

Orion specializes in marine and concrete construction projects.