Primoris Services Corp

NYSE:PRIMUnited States

(ii) transaction/integration and related costs; (iii) asset impairment charges; (iv) severance and restructuring changes; (v) change in fair value of contingent consideration liabilities; and (vi) selected (gains) charges that are unusual or non-recurring. The Company believes the EBITDA and Adjusted EBITDA financial measures assist in providing a more complete understanding of the Company's underlying operational measures to manage its business, to evaluate its performance compared to prior periods and the marketplace, and to establish operational goals. EBITDA and Adjusted EBITDA are non--GAAP financial measures and should not be considered in isolation or as a substitute for financial information provided in accordance with GAAP. These non--GAAP financial measures may not be computed in the same manner as similarly titled measures used by other companies. The most comparable GAAP financial measure, net income, and information reconciling the GAAP and non--GAAP financial measures are included in the table below. Three Months Ended Nine Months Ended September 30, September 30, ------------------- --------------------- 2024 2023 2024 2023 -------- --------- -------- ----------- Net income as reported (GAAP) $ 58,436 $ 48,144 $126,922 $ 88,486 Interest expense, net 17,859 21,065 52,984 56,443 Provision for income taxes 23,869 19,664 51,842 36,142 Depreciation and amortization 22,674 26,700 72,948 81,454 ------- ------- ------- ------- EBITDA 122,838 115,573 304,696 262,525 Non-cash stock-based compensation 3,988 3,568 10,348 8,955 Transaction/integration and related costs 905 1,084 1,977 4,677 Change in fair value of contingent consideration -- (182) -- (875) Impairment of fixed assets -- -- 1,549 -- ------- ------- ------- ------- Adjusted EBITDA $127,731 $120,043 $318,570 $275,282 ------- ------- ------- ------- Schedule 3 Primoris Services Corporation Reconciliation of Non-GAAP Financial Measures Forecasted Adjusted Net Income and Adjusted Diluted Earnings Per Share for Full Year 2024 (In Thousands, Except Per Share Amounts) (Unaudited) The following table sets forth a reconciliation of the forecasted GAAP net income to Adjusted Net Income and EPS to Adjusted EPS for the year ending December 31, 2024. Estimated Range ---------------------------- Full Year Ending December 31, 2024 ---------------------------- Net income as defined (GAAP) $ 156,000 $ 164,000 Non-cash stock-based compensation 14,500 14,500 Transaction/integration and related costs 3,500 3,500 Amortization of intangible assets 20,000 20,000 Amortization of debt issuance costs 2,500 2,500 Impairment of fixed assets 1,500 1,500 Income tax impact of adjustments (1) (12,000) (12,000) --------- -------- Adjusted net income $ 186,000 $ 194,000 --------- -------- Weighted average shares (diluted) 54,700 54,700 Diluted earnings per share $ 2.85 $ 3.00 Adjusted diluted earnings per share $ 3.40 $ 3.55 (1) Adjustments above are reported on a pre-tax basis before the income tax impact of adjustments. The income tax impact for each adjustment is determined by calculating the tax impact of the adjustment on the Company's quarterly and annual effective tax rate, as applicable, unless the nature of the item and/or the tax jurisdiction in which the item has been recorded requires application of a specific tax rate or tax treatment, in which case the tax effect of such item is estimated by applying such specific tax rate or tax treatment. Schedule 4 Primoris Services Corporation Reconciliation of Non-GAAP Financial Measures Forecasted EBITDA and Adjusted EBITDA for Full Year 2024 (In Thousands, Except Per Share Amounts) (Unaudited) The following table sets forth a reconciliation of the forecasted GAAP net income to EBITDA and Adjusted EBITDA for the year ending December 31, 2024. Estimated Range --------------------- Full Year Ending December 31, 2024 --------------------- Net income as defined (GAAP) $ 156,000 $164,000 Interest expense, net 68,000 71,000 Provision for income taxes 64,500 68,500 Depreciation and amortization 97,000 97,000 ------- ------- EBITDA 385,500 400,500 Non-cash stock-based compensation 14,500 14,500 Transaction/integration and related costs 3,500 3,500 Impairment of fixed assets 1,500 1,500 ------- ------- Adjusted EBITDA $ 405,000 $420,000 ------- -------

Ratings actions from Benzinga: https://www.benzinga.com/quote/PRIM/analyst-ratings

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October 23, 2024 11:56 ET (15:56 GMT)