Business
Target Hospitality Reports Impressive 2023 Results Further Strengthening Financial Position Focused on Value Enhancing Capital Allocation Opportunities
THE WOODLANDS, Texas, March 13, 2024 /PRNewswire/ -- Target Hospitality Corp. ("Target Hospitality", "Target" or the "Company") (NASDAQ: TH), one of North
About this update from Target Hospitality Corp.
[{"type":"text","content":"THE WOODLANDS, Texas, March 13, 2024 /PRNewswire/ -- Target Hospitality Corp. (\"Target Hospitality\", \"Target\" or the \"Company\") (NASDAQ: TH), one of North America's largest providers of vertically-integrated modular accommodations and value-added hospitality services, today reported results for the fourth quarter and year ended December 31, 2023.\n\nFinancial and Operational Highlights\nRevenue of $563.6 million for the year ended December 31, 2023, an increase of 12% from the prior year.Net income of $173.7 million for the year ended December 31, 2023, compared to $73.9 million for the same period in 2022.Basic and diluted income per share of $1.71 and $1.56, respectively, for the year ended December 31, 2023.Adjusted EBITDA(1) of $344.2 million for the year ended December 31, 2023, an increase of 30% compared to the same period in 2022.Strong cash generation with approximately $157 million of Net Cash Provided by Operating Activities and $143 million of Discretionary Cash Flow(1) (\"DCF\") for the year ended December 31, 2023.Significant financial flexibility with approximately $279 million of total available liquidity and a net leverage ratio of 0.2x as of December 31, 2023.Announced new Pecos Children's Center (\"PCC\") contract (\"New PCC Contract\"), solidifying PCC as a critical element of the U.S. government's ongoing humanitarian aid mission, centered around $178 million minimum annual revenue commitments.New PCC Contract establishes foundation for seamless continuation of existing service offering through 2028.Materially enhanced financial position supports growing pipeline of potential growth opportunities, seeking to allocate over $500 million of net growth capital through 2027.Executed approximately $17.8 million of stock repurchases, through March 8, 2024, focused on allocating capital to high return initiatives.Executive Commentary\n\"Our strong 2023 results illustrate the benefit of our efficient operating platform, which we have strategically enhanced over the past several years. This platform continues to support our ability to appropriately match dynamic changes in customer demand, while consistently achieving our financial goals,\" stated Brad Archer, President and Chief Executive Officer.\n\"These accomplishments are impressive and establish a strong foundation as we continue pursuing a variety of valu...