Vectrus Announces Fourth Quarter and Full-Year 2020 Results
Vectrus reported its fourth quarter and full-year 2020 results, highlighting the resilience of its business model amidst COVID-19 challenges. The company achieved a record backlog of $5.1 billion and strong operating cash flows of $50.9 million. Significant wins included the OMDAC-SWACA recompete worth $882 million over five years. However, Q4 revenue decreased by 2.7% year-on-year, mainly due to pandemic-related deferrals of $25.8 million. Looking ahead, Vectrus anticipates 2021 revenue between $1,645 million and $1,715 million with adjusted EBITDA margin guidance of 4.6% to 5.0%.
- Record backlog of $5.1 billion, reflecting strong future revenue potential.
- Acquisition of Zenetex and HHB enhances capabilities and growth opportunities.
- Operating cash flows reached $50.9 million, illustrating solid cash generation.
- Q4 revenue declined by 2.7% year-on-year, impacted by $25.8 million in pandemic-related deferrals.
- Full-year revenue declined by $63 million due to COVID-19 challenges.
COLORADO SPRINGS, Colo., March 2, 2021 /PRNewswire/ -- Vectrus, Inc. (NYSE:VEC) announced fourth quarter and full-year 2020 financial results.
"Our 2020 results reflect the operating and financial resiliency of our business model, the dedication of our team to our clients' missions, and the advancements we're making to lead in the converged infrastructure market," said Chuck Prow, Chief Executive Officer of Vectrus. "Our team did an outstanding job delivering high operational readiness in support of our clients' critical infrastructures and national security missions across the globe despite the challenging environment."
"We ended 2020 on a high note, achieving several important milestones during the fourth quarter," said Prow. "In December, Vectrus was formally announced as the winner of the Operations, Maintenance and Defense of Army Communications ("OMDAC-SWACA") recompete. OMDAC-SWACA adds
"Zenetex brings new capabilities including high-end logistics, integrated security, mission-critical readiness services for vital defense aviation programs, while expanding our engineering and digital integration offerings," said Prow. "Importantly, the acquisition brings unique access to new intelligence and foreign military clients, providing key channels for future growth."
Prow continued, "HHB provides integrated solutions that support physical and digital infrastructures within the intelligence community and enhances our capabilities in computer-aided facility management, engineering, design, and planning. The company also provides asset management, logistics, information technology and cybersecurity solutions."
"I am delighted with the new talent, clients, and capabilities that will enhance the diversification of our business. We look forward to leveraging our combined capabilities to accelerate growth and yield greater opportunities for the business," said Prow.
Fourth Quarter 2020 Results
Fourth quarter 2020 revenue of
Operating income was
EBITDA1 was
Fully diluted EPS for the fourth quarter of 2020 was
Full-Year 2020 Results
Full-year 2020 revenue was
Operating income for the year was
Full-year 2020 EBITDA1 was
Full-year diluted EPS was
"We announced a robust end to the year, reporting fourth quarter 2020 adjusted EBITDA margin1 of
"During the quarter and in conjunction with our acquisitions, we also negotiated and expanded our credit facility, increasing the amount of funding available under our revolver while improving our covenants. This improved facility is indicative of our strong financial position and the substantial visibility associated with our
Cash provided by operating activities through December 31, 2020 was
Net debt at December 31, 2020 was
Total backlog as of December 31, 2020 was
Establishing 2021 Guidance
Lynch continued, "In 2021, we will continue to phase in LOGCAP V, integrate our recent acquisitions and continue organic expansion associated with our campaigns and new business pipeline. Additionally, we expect to see the initial benefits from the implementation of our new enterprise IT platform, which is streamlining, modernizing, and automating our core processes. Guidance for 2021 is as follows:
$ millions, except for EBITDA margins and per share amounts | 2021 Guidance | ||
Revenue | to | ||
Adjusted EBITDA Margin1 | to | ||
Adjusted Diluted Earnings Per Share1 | to | ||
Net Cash Provided by Operating Activities | to | ||
Forward-looking statements are based upon current expectations and are subject to factors that could cause actual results to differ materially from those suggested here, including those factors set forth in the Safe Harbor Statement below.
Fourth Quarter 2020 Conference Call
Management will conduct a conference call with analysts and investors at 4:30 p.m. ET on Tuesday, March 2, 2021. U.S.-based participants may dial in to the conference call at 877-407-0792, while international participants may dial 201-689-8263. For all other listeners, a live webcast of the conference call will be available on the Vectrus Investor Relations website at http://investors.vectrus.com or https://www.webcaster4.com/Webcast/Page/1431/40096. An accompanying slide presentation will also be available on the Vectrus Investor Relations website.
A replay of the conference call will be posted on the Vectrus website shortly after completion of the call and will be available for one year. A telephonic replay will also be available through March 16, 2021, at 844-512-2921 (domestic) or 412-317-6671 (international) with passcode 13716448.
Footnotes:
1 See "Key Performance Indicators and Non-GAAP Financial Measures" for reconciliation.
About Vectrus
Vectrus is a leading provider of global service solutions with a history in the services market that dates back more than 70 years. The company provides facility and base operations; supply chain and logistics services; information technology mission support; and engineering and digital integration services primarily to U.S. government customers around the world. Vectrus is differentiated by operational excellence, superior program performance, a history of long-term customer relationships and a strong commitment to its clients' mission success. Vectrus is headquartered in Colorado Springs, Colo., and includes about 7,100 employees spanning 148 locations in 26 countries and territories. In 2020, Vectrus generated sales of
Safe Harbor Statement
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 (the "Act"): Certain material presented herein includes forward-looking statements intended to qualify for the safe harbor from liability established by the Act. These forward-looking statements include, but are not limited to, all of the statements and items listed in the table in "2021 Guidance" above and other assumptions contained therein for purposes of such guidance, other statements about our 2021 performance outlook, five-year growth plan, revenue, DSO, contract opportunities, the potential impact of COVID-19, and any discussion of future operating or financial performance.
Whenever used, words such as "may," "are considering," "will," "likely," "anticipate," "estimate," "expect," "project," "intend," "plan," "believe," "target," "could," "potential," "continue," "goal" or similar terminology are forward-looking statements. These statements are based on the beliefs and assumptions of our management based on information currently available to management.
These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside our management's control, that could cause actual results to differ materially from the results discussed in the forward-looking statements. For a discussion of some of the risks and important factors that could cause actual results to differ from such forward-looking statements, see the risks and other factors detailed from time to time our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and other filings with the U.S. Securities and Exchange Commission.
We undertake no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
CONTACT:
Vectrus
Mike Smith, CFA
719-637-5773
michael.smith@vectrus.com
VECTRUS, INC. | ||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF INCOME | ||||||||||||
Year Ended December 31, | ||||||||||||
(In thousands, except per share data) | 2020 | 2019 | 2018 | |||||||||
Revenue | $ | 1,395,529 | $ | 1,382,525 | $ | 1,279,036 | ||||||
Cost of revenue | 1,271,375 | 1,254,560 | 1,164,609 | |||||||||
Selling, general and administrative expenses | 80,679 | 78,316 | 66,372 | |||||||||
Operating income | 43,475 | 49,649 | 48,055 | |||||||||
Interest expense, net | (4,793) | (6,470) | (5,071) | |||||||||
Income from operations before income taxes | 38,682 | 43,179 | 42,984 | |||||||||
Income tax expense | 1,731 | 10,003 | 7,898 | |||||||||
Net income | $ | 36,951 | $ | 33,176 | $ | 35,086 | ||||||
Earnings per share | ||||||||||||
Basic | $ | 3.19 | $ | 2.90 | $ | 3.13 | ||||||
Diluted | $ | 3.14 | $ | 2.86 | $ | 3.08 | ||||||
Weighted average common shares outstanding - basic | 11,599 | 11,444 | 11,224 | |||||||||
Weighted average common shares outstanding - diluted | 11,751 | 11,612 | 11,378 | |||||||||
VECTRUS, INC. | ||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||
December 31, | ||||||||
(In thousands, except share information) | 2020 | 2019 | ||||||
Assets | ||||||||
Current assets | ||||||||
Cash and cash equivalents | $ | 66,949 | $ | 35,318 | ||||
Restricted cash | 1,778 | — | ||||||
Receivables | 314,959 | 269,144 | ||||||
Other current assets | 24,702 | 16,154 | ||||||
Total current assets | 408,388 | 320,616 | ||||||
Property, plant, and equipment, net | 22,573 | 18,844 | ||||||
Goodwill | 339,702 | 261,983 | ||||||
Intangible assets, net | 48,105 | 14,926 | ||||||
Right-of-use assets | 18,718 | 14,654 | ||||||
Other non-current assets | 6,325 | 5,366 | ||||||
Total non-current assets | 435,423 | 315,773 | ||||||
Total Assets | $ | 843,811 | $ | 636,389 | ||||
Liabilities and Shareholders' Equity | ||||||||
Current liabilities | ||||||||
Accounts payable | $ | 159,586 | $ | 148,015 | ||||
Compensation and other employee benefits | 79,568 | 53,155 | ||||||
Short-term debt | 8,600 | 6,500 | ||||||
Other accrued liabilities | 40,657 | 37,409 | ||||||
Total current liabilities | 288,411 | 245,079 | ||||||
Long-term debt, net | 168,751 | 63,041 | ||||||
Deferred tax liability | 39,386 | 49,407 | ||||||
Other non-current liabilities | 42,325 | 19,997 | ||||||
Total non-current liabilities | 250,462 | 132,445 | ||||||
Total liabilities | 538,873 | 377,524 | ||||||
Shareholders' Equity | ||||||||
Preferred stock; | — | — | ||||||
Common stock; | 116 | 115 | ||||||
Additional paid in capital | 82,823 | 78,757 | ||||||
Retained earnings | 222,026 | 185,075 | ||||||
Accumulated other comprehensive loss | (27) | (5,082) | ||||||
Total shareholders' equity | 304,938 | 258,865 | ||||||
Total Liabilities and Shareholders' Equity | $ | 843,811 | $ | 636,389 | ||||
VECTRUS, INC. | ||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||||||
Year Ended December 31, | ||||||||||||
(In thousands) | 2020 | 2019 | 2018 | |||||||||
Operating activities | ||||||||||||
Net income | $ | 36,951 | $ | 33,176 | $ | 35,086 | ||||||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||||||
Depreciation expense | 4,097 | 3,379 | 1,798 | |||||||||
Amortization of intangible assets | 4,029 | 3,111 | 1,999 | |||||||||
(Gain) loss on disposal of property, plant, and equipment | (14) | 62 | 348 | |||||||||
Stock-based compensation | 9,445 | 8,262 | 4,096 | |||||||||
Amortization of debt issuance costs | 386 | 404 | 426 | |||||||||
Changes in assets and liabilities: | ||||||||||||
Receivables | 1,000 | (21,053) | (24,646) | |||||||||
Other assets | (7,232) | 1,537 | (8,193) | |||||||||
Accounts payable | (2,680) | (11,733) | 29,960 | |||||||||
Deferred taxes | (10,665) | (7,173) | 475 | |||||||||
Compensation and other employee benefits | 12,004 | 9,652 | 178 | |||||||||
Other liabilities | 16,760 | 7,933 | (1,471) | |||||||||
Net cash provided by operating activities | 64,081 | 27,557 | 40,056 | |||||||||
Investing activities | ||||||||||||
Purchases of capital assets | (4,500) | (16,151) | (10,025) | |||||||||
Proceeds from the disposition of assets | 84 | 5,400 | 33 | |||||||||
Acquisition of business, net of cash acquired | (133,609) | (45,074) | (36,855) | |||||||||
Net cash (used in) investing activities | (138,025) | (55,825) | (46,847) | |||||||||
Financing activities | ||||||||||||
Repayments of long-term debt | (6,500) | (4,500) | (4,000) | |||||||||
Proceeds from revolver | 314,000 | 333,500 | 207,000 | |||||||||
Repayments of revolver | (199,000) | (333,500) | (207,000) | |||||||||
Proceeds from exercise of stock options | 59 | 3,672 | 1,595 | |||||||||
Payment of debt issuance costs | (830) | — | — | |||||||||
Payments of employee withholding taxes on share-based compensation | (1,955) | (1,068) | (880) | |||||||||
Net cash provided by (used in) financing activities | 105,774 | (1,896) | (3,285) | |||||||||
Exchange rate effect on cash | 1,579 | (663) | (1,232) | |||||||||
Net change in cash, cash equivalents and restricted cash | 33,409 | (30,827) | (11,308) | |||||||||
Cash, cash equivalents and restricted cash - beginning of year | 35,318 | 66,145 | 77,453 | |||||||||
Cash, cash equivalents and restricted cash - end of year | $ | 68,727 | $ | 35,318 | $ | 66,145 | ||||||
Supplemental Disclosure of Cash Flow Information: | ||||||||||||
Interest paid | $ | 3,717 | $ | 6,229 | $ | 4,973 | ||||||
Income taxes paid | $ | 14,520 | $ | 4,511 | $ | 11,588 | ||||||
Purchase of capital assets on account | $ | 2,226 | $ | 556 | $ | 1,128 | ||||||
Key Performance Indicators and Non-GAAP Measures
The primary financial performance measures we use to manage our business and monitor results of operations are revenue trends and operating income trends. Management believes that these financial performance measures are the primary drivers for our earnings and net cash from operating activities. Management evaluates its contracts and business performance by focusing on revenue, operating income and operating margin. Operating income represents revenue less both cost of revenue and selling, general and administrative (SG&A) expenses. Cost of revenue consists of labor, subcontracting costs, materials, and an allocation of indirect costs, which includes service center transaction costs. SG&A expenses consist of indirect labor costs (including wages and salaries for executives and administrative personnel), bid and proposal expenses and other general and administrative expenses not allocated to cost of revenue. We define operating margin as operating income divided by revenue.
We manage the nature and amount of costs at the program level, which forms the basis for estimating our total costs and profitability. This is consistent with our approach for managing our business, which begins with management's assessing the bidding opportunity for each contract and then managing contract profitability throughout the performance period.
In addition to the key performance measures discussed above, we consider adjusted operating income, adjusted operating margin, adjusted net income, adjusted diluted earnings per share, EBITDA, adjusted EBITDA, EBITDA margin, adjusted EBITDA margin, and organic revenue to be useful to management and investors in evaluating our operating performance, and to provide a tool for evaluating our ongoing operations. This information can assist investors in assessing our financial performance and measures our ability to generate capital for deployment among competing strategic alternatives and initiatives. We provide this information to our investors in our earnings releases, presentations and other disclosures.
Adjusted operating income, adjusted operating margin, adjusted net income, adjusted diluted earnings per share, EBITDA, adjusted EBITDA, EBITDA margin, adjusted EBITDA margin, and organic revenue, however, are not measures of financial performance under GAAP and should not be considered a substitute for operating income, operating margin, net income and diluted earnings per share as determined in accordance with GAAP. Definitions and reconciliations of these items are provided below.
- Adjusted operating income is defined as operating income, adjusted to exclude items that may include, but are not limited to significant charges or credits, and unusual and infrequent non-operating items, such as M&A transaction and LOGCAP V pre-operational legal costs that impact current results but are not related to our ongoing operations.
- Adjusted operating margin is defined as adjusted operating income divided by revenue.
- Adjusted net income is defined as net income, adjusted to exclude items that may include, but are not limited to, significant charges or credits, and unusual and infrequent non-operating items, such as M&A transaction and LOGCAP V pre-operational legal costs, that impact current results but are not related to our ongoing operations.
- Adjusted diluted earnings per share is defined as adjusted net income divided by the weighted average diluted common shares outstanding.
- EBITDA is defined as operating income, adjusted to exclude depreciation and amortization.
- Adjusted EBITDA is defined as EBITDA, adjusted to exclude items that may include, but are not limited to, significant charges or credits and unusual and infrequent non-operating items, such as M&A transaction and LOGCAP V pre-operational legal costs that impact current results but are not related to our ongoing operations.
- EBITDA margin is defined as EBITDA divided by revenue.
- Adjusted EBITDA margin is defined as Adjusted EBITDA divided by revenue.
- Organic revenue is defined as revenue, adjusted to exclude revenue from acquired companies.
Adjusted Net Income, Adjusted Diluted Earnings Per Share (Non-GAAP Measures) | |||||||||||||||||||||
($ in thousands, except per share data) | Three Months Ended December 31, 2020 As Reported | M&A Related Costs | LOGCAP V Pre- Operational Legal Costs | Tax Adjustment Related to Prior Yrs | Three Months Ended December 31, 2020 As Reported – Adjusted | ||||||||||||||||
Revenue | $ | 355,317 | $ | — | $ | — | $ | — | $ | 355,317 | |||||||||||
Growth | (2.7) | % | (2.7) | % | |||||||||||||||||
Operating income | 13,725 | 1,960 | 120 | — | 15,805 | ||||||||||||||||
Operating margin | 3.9 | % | 4.4 | % | |||||||||||||||||
Interest expense, net | (806) | — | — | — | (806) | ||||||||||||||||
Income from operations before income taxes | $ | 12,919 | $ | 1,960 | $ | 120 | $ | — | $ | 14,999 | |||||||||||
Income tax expense/(benefit) | (3,862) | 451 | 28 | 4,505 | 1,122 | ||||||||||||||||
Income tax rate | (29.9) | % | 7.5 | % | |||||||||||||||||
Net income | $ | 16,781 | $ | 1,509 | $ | 92 | $ | (4,505) | $ | 13,877 | |||||||||||
Weighted average common shares outstanding, diluted | 11,782 | 11,782 | |||||||||||||||||||
Diluted earnings per share | $ | 1.42 | $ | 0.13 | $ | 0.01 | $ | (0.38) | $ | 1.18 | |||||||||||
EBITDA (Non-GAAP Measures) | |||||||||||||||||||||
($ in thousands) | Three Months Ended December 31, 2020 As Reported | M&A Related Costs | LOGCAP V Pre- Operational Legal Costs | Tax Adjustment Related to Prior Yrs | Three Months Ended December 31, 2020 As Reported – Adjusted | ||||||||||||||||
Operating Income | $ | 13,725 | $ | 1,960 | $ | 120 | $ | — | $ | 15,805 | |||||||||||
Add: | |||||||||||||||||||||
Depreciation and amortization | 2,094 | — | — | — | 2,094 | ||||||||||||||||
EBITDA | $ | 15,819 | $ | 1,960 | $ | 120 | $ | — | $ | 17,899 | |||||||||||
EBITDA Margin | 4.5 | % | 5.0 | % | |||||||||||||||||
Adjusted Net Income, Adjusted Diluted Earnings Per Share (Non-GAAP Measures) | |||||||||||||||||||||
($ in thousands, except per share data) | Three Months Ended December 31, 2019 As Reported | M&A Related Costs | LOGCAP V Pre- Operational Legal Costs | Tax Adjustment Related to Prior Yrs | Three Months Ended December 31, 2019 As Reported – Adjusted | ||||||||||||||||
Revenue | $ | 365,157 | $ | — | $ | — | $ | — | $ | 365,156 | |||||||||||
Operating income | 15,649 | (11) | 390 | — | 16,028 | ||||||||||||||||
Operating margin | 4.3 | % | 4.4 | % | |||||||||||||||||
Interest expense, net | (1,659) | — | — | — | (1,659) | ||||||||||||||||
Income from operations before income taxes | $ | 13,990 | $ | (11) | $ | 390 | $ | — | $ | 14,369 | |||||||||||
Income tax expense | 3,345 | (3) | 93 | — | 3,435 | ||||||||||||||||
Income tax rate | 23.9 | % | 23.9 | % | |||||||||||||||||
Net income | $ | 10,644 | $ | (8) | $ | 297 | $ | — | $ | 10,934 | |||||||||||
Weighted average common shares outstanding, diluted | 11,728 | 11,728 | |||||||||||||||||||
Diluted earnings per share | $ | 0.91 | $ | — | $ | 0.03 | $ | — | $ | 0.93 | |||||||||||
EBITDA (Non-GAAP Measures) | |||||||||||||||||||||
($ in thousands) | Three Months Ended December 31, 2019 As Reported | M&A Related Costs | LOGCAP V Pre- Operational Legal Costs | Tax Adjustment Related to Prior Yrs | Three Months Ended December 31, 2019 As Reported – Adjusted | ||||||||||||||||
Operating Income | 15,649 | (11) | $ | 390 | $ | — | $ | 16,028 | |||||||||||||
Add: | |||||||||||||||||||||
Depreciation and amortization | 1,992 | — | — | — | 1,992 | ||||||||||||||||
EBITDA | $ | 17,641 | $ | (11) | $ | 390 | $ | — | $ | 18,020 | |||||||||||
EBITDA Margin | 4.8 | % | 4.9 | % | |||||||||||||||||
Adjusted Net Income, Adjusted Diluted Earnings Per Share (Non-GAAP Measures) | |||||||||||||||||||||
($ in thousands, except per share data) | Year Ended December 31, 2020 As Reported | M&A Related Costs | LOGCAP V Pre- Operational Legal Costs | Tax Adjustment Related to Prior Yrs | Year Ended December 31, 2020 As Reported – Adjusted | ||||||||||||||||
Revenue | $ | 1,395,529 | $ | — | $ | — | $ | — | $ | 1,395,529 | |||||||||||
Operating income | 43,475 | 4,367 | 345 | — | 48,187 | ||||||||||||||||
Operating margin | 3.1 | % | 3.5 | % | |||||||||||||||||
Interest expense, net | (4,793) | — | — | — | (4,793) | ||||||||||||||||
Income from operations before income taxes | $ | 38,682 | $ | 4,367 | $ | 345 | $ | — | $ | 43,394 | |||||||||||
Income tax expense | 1,731 | 1,004 | 76 | 4,505 | 7,316 | ||||||||||||||||
Income tax rate | 4.5 | % | 16.9 | % | |||||||||||||||||
Net income | $ | 36,951 | $ | 3,363 | $ | 269 | $ | (4,505) | $ | 36,078 | |||||||||||
Weighted average common shares outstanding, diluted | 11,751 | 11,751 | |||||||||||||||||||
Diluted earnings per share | $ | 3.14 | $ | 0.29 | $ | 0.02 | $ | (0.38) | $ | 3.07 | |||||||||||
EBITDA (Non-GAAP Measures) | |||||||||||||||||||||
($ in thousands) | Year Ended December 31, 2020 As Reported | M&A Related Costs | LOGCAP V Pre- Operational Legal Costs | Tax Adjustment Related to Prior Yrs | Year Ended December 31, 2020 As Reported – Adjusted | ||||||||||||||||
Operating Income | $ | 43,475 | $ | 4,367 | $ | 345 | $ | — | $ | 48,187 | |||||||||||
Add: | |||||||||||||||||||||
Depreciation and amortization | 8,126 | — | — | — | 8,126 | ||||||||||||||||
EBITDA | $ | 51,601 | $ | 4,367 | $ | 345 | $ | — | $ | 56,313 | |||||||||||
EBITDA Margin | 3.7 | % | 4.0 | % | |||||||||||||||||
Adjusted Net Income, Adjusted Diluted Earnings Per Share (Non-GAAP Measures) | |||||||||||||||||||||
($ in thousands, except per share data) | Year Ended December 31, 2019 As Reported | M&A Related Costs | LOGCAP V Pre- Operational Legal Costs | Tax Adjustment Related to Prior Yrs | Year Ended December 31, 2019 As Reported – Adjusted | ||||||||||||||||
Revenue | $ | 1,382,525 | $ | — | $ | — | $ | — | $ | 1,382,525 | |||||||||||
Operating income | 49,649 | 2,121 | 1,166 | — | 52,936 | ||||||||||||||||
Operating margin | 3.6 | % | 3.8 | % | |||||||||||||||||
Interest expense, net | (6,470) | — | — | — | (6,470) | ||||||||||||||||
Income from operations before income taxes | $ | 43,179 | $ | 2,121 | $ | 1,166 | $ | — | $ | 46,466 | |||||||||||
Income tax expense | 10,003 | 490 | 269 | — | 10,762 | ||||||||||||||||
Income tax rate | 23.2 | % | 23.2 | % | |||||||||||||||||
Net income | $ | 33,176 | $ | 1,631 | $ | 897 | $ | — | $ | 35,704 | |||||||||||
Weighted average common shares outstanding, diluted | 11,612 | 11,612 | |||||||||||||||||||
Diluted earnings per share | $ | 2.86 | $ | 0.14 | $ | 0.08 | $ | — | $ | 3.07 | |||||||||||
EBITDA (Non-GAAP Measures) | |||||||||||||||||||||
($ in thousands) | Year Ended December 31, 2019 As Reported | M&A Related Costs | LOGCAP V Pre- Operational Legal Costs | Tax Adjustment Related to Prior Yrs | Year Ended December 31, 2019 As Reported – Adjusted | ||||||||||||||||
Operating Income | $ | 49,649 | $ | 2,121 | $ | 1,166 | $ | — | $ | 52,936 | |||||||||||
Add: | |||||||||||||||||||||
Depreciation and amortization | 6,490 | — | — | — | 6,490 | ||||||||||||||||
EBITDA | $ | 56,139 | $ | 2,121 | $ | 1,166 | $ | — | $ | 59,426 | |||||||||||
EBITDA Margin | 4.1 | % | 4.3 | % | |||||||||||||||||
(In thousands) | Year Ended | Six Months | Year Ended | |||||||||
Revenue | $ | 1,395,529 | $ | 21,473 | $ | 1,374,056 | ||||||
($ In thousands) | Year Ended | Six Months | Year Ended | |||||||||
Revenue | $ | 1,382,525 | $ | — | $ | 1,382,525 | ||||||
Organic Revenue $ | $ | (8,469) | ||||||||||
Organic Revenue % | (0.6) | % | ||||||||||
SUPPLEMENTAL INFORMATION
Revenue by client branch, contract type, contract relationship, and geographic region for the periods presented below was as follows:
Revenue by Client | |||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||
(In thousands) | 2020 | % | 2019 | % | 2018 | % | |||||||||||||||
Army | $ | 965,558 | 69 | % | $ | 958,582 | 69 | % | $ | 934,427 | 73 | % | |||||||||
Air Force | 299,272 | 21 | % | 306,767 | 22 | % | 259,511 | 20 | % | ||||||||||||
Navy | 68,748 | 5 | % | 56,236 | 4 | % | 38,534 | 3 | % | ||||||||||||
Other | 61,951 | 5 | % | 60,940 | 5 | % | 46,564 | 4 | % | ||||||||||||
Total revenue | $ | 1,395,529 | $ | 1,382,525 | $ | 1,279,036 | |||||||||||||||
Revenue by Contract Type | |||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||
(In thousands) | 2020 | % | 2019 | % | 2018 | % | |||||||||||||||
Cost-plus and cost-reimbursable¹ | $ | 991,535 | 71 | % | $ | 1,048,015 | 76 | % | $ | 995,415 | 78 | % | |||||||||
Firm-fixed-price | 403,994 | 29 | % | 334,510 | 24 | % | 283,621 | 22 | % | ||||||||||||
Total revenue | $ | 1,395,529 | $ | 1,382,525 | $ | 1,279,036 | |||||||||||||||
¹ Includes time and material contracts | |||||||||||||||||||||
Revenue by Contract Relationship | |||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||
(In thousands) | 2020 | % | 2019 | % | 2018 | % | |||||||||||||||
Prime contractor | $ | 1,324,628 | 95 | % | $ | 1,312,928 | 95 | % | $ | 1,200,726 | 94 | % | |||||||||
Subcontractor | 70,901 | 5 | % | 69,597 | 5 | % | 78,310 | 6 | % | ||||||||||||
Total revenue | $ | 1,395,529 | $ | 1,382,525 | $ | 1,279,036 | |||||||||||||||
Revenue by Geographic Region | |||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||
(In thousands) | 2020 | % | 2019 | % | 2018 | % | |||||||||||||||
Middle East | $ | 906,470 | 65 | % | $ | 939,685 | 68 | % | $ | 889,620 | 70 | % | |||||||||
United States | 334,128 | 24 | % | 304,925 | 22 | % | 269,482 | 21 | % | ||||||||||||
Europe | 154,931 | 11 | % | 137,915 | 10 | % | 119,934 | 9 | % | ||||||||||||
Total revenue | $ | 1,395,529 | $ | 1,382,525 | $ | 1,279,036 | |||||||||||||||
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SOURCE Vectrus, Inc.
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