Stantec - STN STOCK NEWS

Stantec has secured a US$41 million contract to design a 33.9-mile extension of the California High-Speed Rail from Merced to Madera. This vital segment connects Los Angeles and San Francisco, involving the construction of 40 structures over approximately two years. The project, partly financed by US$25 million in federal funding, aims to enhance California's transportation infrastructure. Stantec has a proven track record with the California High-Speed Rail, having collaborated on various projects for the past eight years.

Stantec, a leader in sustainable design and engineering, has launched four innovative digital products on the Microsoft Azure Marketplace. This collaboration enhances the accessibility of tools like Financial Analysis & Management System (FAMS), Flood Manager, Flood Predictor, and the Connect Platform for communities and businesses. These cloud-based solutions are designed to assist in financial planning, flood risk assessment, and provide on-demand engineering and design services. This partnership aligns with Stantec's vision to support clients through cutting-edge technology.

Stantec has been awarded a contract by the Federal Aviation Administration to design a new airport traffic control tower and a terminal radar approach control base building in Anchorage, Alaska. This project addresses increasing air traffic demands at Ted Stevens Anchorage International Airport, which serves 5.7 million passengers annually. The new tower, over 300 feet tall, will enhance operational capacity and safety, especially in seismic conditions. The design focuses on sustainability and operational efficiency, marking a significant advancement for aviation infrastructure in Alaska.

Stantec, trading under STN on TSX and NYSE, has received approval for the renewal of its Normal Course Issuer Bid (NCIB). The company plans to repurchase up to 5,538,309 shares, about 5% of its outstanding shares, starting November 16, 2022, until November 15, 2023. Previously, Stantec bought 1,085,676 shares at an average price of $60.16 during the concluding NCIB. Additionally, an automatic share purchase plan (ASPP) has been established to facilitate purchases during black-out periods, enhancing shareholder returns while ensuring financial stability.

Stantec reported Q3 2022 net revenue of $1.2 billion, marking a 24.3% increase from Q3 2021, supported by 11.0% organic growth and 12.9% acquisition growth. The adjusted diluted EPS rose to $0.86, up 19.4% year-over-year. The backlog reached a record $6.2 billion, reflecting 15.1% organic growth. However, net income decreased 2.9% to $68 million due to acquisition-related expenses. Stantec maintains its full-year 2022 guidance for adjusted diluted EPS growth of 22% to 26% and net revenue growth of 18% to 22%.

Stantec-Freese and Nichols JV has secured a US$25 million, five-year contract from the U.S. Army Corps of Engineers (USACE) Mobile District. This contract will enable the joint venture to provide comprehensive architecture and engineering services to the Water and Wastewater Technical Center of Expertise (WWTCX). Their responsibilities include planning, design, and construction phase services, essential for improving water and wastewater systems across the nation. Stantec emphasizes its 60-year partnership with USACE, while Freese and Nichols highlights its commitment to national resilience through efficient water systems.

Stantec has become a partner in the United Nations Decade on Ecosystem Restoration, emphasizing its leadership in global ecosystem restoration efforts. The initiative, running from 2021 to 2030, aims to combat ecosystem degradation worldwide and supports the UN's 17 Sustainable Development Goals. Stantec is the first design and engineering firm to be recognized as an actor partner, developing restoration programs and supporting ground activities. The company has a dedicated team of over 1,000 ecosystem restoration professionals and has restored over 40,000 acres and 1,000 miles of rivers globally.

Stantec (TSX, NYSE: STN) will release its third quarter 2022 financial results on November 10, 2022, after market close. A conference call is scheduled for November 11, 2022, at 7:00 AM MT (9:00 AM ET) to discuss the company's performance. The call will include a webcast and slide presentation, accessible via Stantec's Investor section. Analysts wishing to participate in the Q&A must register in advance. Stantec emphasizes its commitment to community-focused design, integrating diverse perspectives to enhance quality of life globally.