Business
Target Hospitality Delivers Exceptional Third Quarter 2021 Results Driven by Significant Cash Flows and Strengthening Customer Demand Led by Government Contracts
THE WOODLANDS, Texas, Nov. 12, 2021 /PRNewswire/ -- Target Hospitality Corp. ("Target Hospitality", "Target" or the "Company") (NASDAQ: TH), North America's
About this update from Target Hospitality Corp.
[{"type":"text","content":"THE WOODLANDS, Texas, Nov. 12, 2021 /PRNewswire/ -- Target Hospitality Corp. (\"Target Hospitality\", \"Target\" or the \"Company\") (NASDAQ: TH), North America's largest provider of vertically-integrated modular accommodations and value-added hospitality services, today reported results for the three months ended September 30, 2021.\nFinancial and Operational Highlights for the Third Quarter 2021\nRevenue increased to $89.2 million for the three months ended September 30, 2021, an increase of 85% year-over-year Net income increased to $6.7 million for the three months ended September 30, 2021, an increase of $14.3 million year-over-year Basic and diluted earnings per share of $0.07 for the three months ended September 30, 2021 Adjusted EBITDA(1) of $37.5 million, up 121% year-over-year Strong cash generation with net cash provided by operating activities of $40.0 million and Discretionary Cash Flow (\"DCF\") (1) of $34.7 million for the three months ended September 30, 2021, representing 39% DCF yield(1) to revenue Improved net leverage ratio by 52% since the beginning of 2021, marking significant progress towards year-end 2021 target net leverage ratio of below 3.0 times Raised full year 2021 financial outlook by 7% for revenue and 9% for Adjusted EBITDA(1), representing a 25% and 42% increase, respectively, from full year 2020 Executing on premier customer diversification with approximately 52% of third quarter 2021 revenue related to committed revenue contracts backed by the United States Government Continued strengthening customer demand for Target's premier modular hospitality solutions, with third quarter utilization of 75% Approximately 73% of 2021 revenue under committed revenue contracts, with approximately 53% of anticipated 2021 revenue related to government services Meaningful financial flexibility with over $155 million in total available liquidity, with zero outstanding borrowings under the Company's $125 million credit facilityExecutive Commentary\n\"Our impressive third quarter results demonstrate Target's commitment to executing on its strategic objectives. Target continues to benefit from its unique position as North America's leader in modular accommodation solutions and the scale of its world-class network, which has created a unique and efficient operating platform. This platform, along with broadening cust...