Business
Sterling Reports Record Second Quarter 2024 Results and Raises Full Year Guidance
THE WOODLANDS, Texas, Aug. 5, 2024 /PRNewswire/ -- Sterling Infrastructure, Inc. (NasdaqGS: STRL) ("Sterling" or the "Company") today announced financial
About this update from Sterling Infrastructure, Inc.
[{"type":"text","content":"THE WOODLANDS, Texas, Aug. 5, 2024 /PRNewswire/ -- Sterling Infrastructure, Inc. (NasdaqGS: STRL) (\"Sterling\" or the \"Company\") today announced financial results for the second quarter 2024.\n\n \n \n \n \n \n \n\n \nThe financial comparisons herein are to the prior year quarter, unless otherwise noted.\nSecond Quarter 2024 Results\nRevenues of $582.8 million, an increase of 12%Gross margin of 19.3%, an increase from 17.7%Net Income of $51.9 million, or $1.67 per diluted share, an increase of 31% for both metrics.EBITDA(1) of $87.0 million, an increase of 18%Cash flows from operations totaled $170.6 million for the six months ended June 30, 2024Cash and Cash Equivalents totaled $540.0 million at June 30, 2024Backlog at June 30, 2024 was $2.10 billionCombined backlog(2) at June 30, 2024 was $2.45 billion(1) See the \"Non-GAAP Measures\" and \"EBITDA Reconciliation\" sections below for more information.\n(2) Combined Backlog includes Unsigned Awards of $347.2 million, $303.2 million and $657.2 million at June 30, 2024, December 31, 2023 and June 30, 2023, respectively.\nCEO Remarks and Outlook\n\"Our second quarter results reflect the strength of our diversified portfolio, which delivered 12% revenue growth and a remarkable 31% increase in diluted EPS. Our ongoing focus on margin expansion continues to drive profitability growth that significantly outpaces revenue. Gross profit margins of 19.3% marked a new record, and we see opportunity for further expansion,\" stated Joe Cutillo, Sterling's Chief Executive Officer. \"We closed the second quarter with combined backlog of $2.45 billion, a 2.2% increase from the prior year. Additionally, as our business continues to move toward large, multi-phase projects, our pipeline of high probability work that is not captured in any backlog metrics has grown to over $500 million, providing multi-year visibility. Our operating cash flow generation in the quarter was again excellent at $121 million, driving our net cash position to $211 million, and supporting share repurchases of $30 million in the quarter. Our business is performing very well and we feel great about the opportunities ahead.\"\nMr. Cutillo continued, \"In E-Infrastructure Solutions, we achieved 20% operating income growth as operating margins expanded over 480 basis points to reach 21.4%. This excellent margin profile refle...