Comfort Systems Usa, Inc. · NYSE:FIX
Comfort Systems Usa — Q3 2024 Earnings Presentation
15 slides from Comfort Systems Usa's earnings presentation, Oct 25, 2024
Slide 1: Q3 2024 Earnings Call
-Q3 2024 Earnings Call NYSE: FIX October 25, 2024 COMFORT SYSTEMS UA
Slide 2: Forward-looking statements
Certain statements and information in this presentation may constitute forward-looking statements within the meaning of applicable securities laws and regulations. The words “believe,” “expect,” “anticipate,” “plan,” “intend,” “foresee,” “should,” “would,” “could,” or other similar expressions are i
Slide 3: Q3 2024 results highlights
Q3 2024 Revenue was $1.81 billion compared to $1.38 billion in Q3 2023 Gross Profit percentage increased to 21.1% vs. 20.1% in Q3 2023 SG&A increased to $180.2 million from $142.9 million in Q3 2023 EPS was $4.09 per diluted share compared to $2.93 ($2.74 per diluted share excluding $0.19 benefit re
Slide 4: Q3 2024 income statement
($ Thousands, Except Per Share Data) (Unaudited) For the Three Months Ended September 30, Variance 2024 2023 $ % Revenue $ 1,812,366 100.0% $ 1,378,124 100.0% $ 434,242 31.5% Cost of Services 1,430,652 78.9% 1,100,625 79.9% 330,027 30.0% Gross Profit 381,714 21.1% 277,499 20.1% 104,215 37.6% Selling
Slide 5: Cash, working capital and goodwill
($ Millions) 9/30/2024 12/31/2023 (Unaudited) Cash $ 415.6 $ 205.2 Working Capital $ 107.8 $ 189.9 Goodwill $ 875.2 $ 666.8 Intangible Assets, Net $ 456.5 $ 280.4 Total Debt $ 68.4 $ 44.2 Equity $ 1,587.7 $ 1,277.8
Slide 6: 2024 YTD results highlights
2024 YTD Revenue was $5.16 billion compared to $3.85 billion for the same period in 2023 Gross Profit percentage increased to 20.2% from 18.5% for the same period in 2023 SG&A increased to $522.4 million from $414.4 million for the same period in 2023 EPS was $10.52 per diluted share compared to $6.
Slide 7: Nine months ended September 30 income statement
($ Thousands, Except Per Share Data) (Unaudited) For the Nine Months Ended September 30, Variance 2024 2023 $ % Revenue $ 5,159,672 100.0% $ 3,849,194 100.0% $ 1,310,478 34.0% Cost of Services 4,116,999 79.8% 3,138,370 81.5% 978,629 31.2% Gross Profit 1,042,673 20.2% 710,824 18.5% 331,849 46.7% Sell
Slide 8: Operating cash flow and unearned customer cash
($ Millions) (Unaudited) - TTM operating cash flow far exceeds TTM net income - At 9/30/24, we have a very substantial amount of unearned customer cash - Pre-bookings and equipment advances will normalize creating cash flow headwind when project costs are incurred
Slide 9: Backlog
BACKLOG ($ Millions) (Unaudited) $6,000 $5,681 $5,157 $5,000 $4,064 $4,000 $3,000 $2,312 $2,000 $1,602 $1,511 $1,166 $948 $1,000 $758 $712 $763 $598 $630 $618 $604 [| I [| l 2010 2011 2012 20138 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Q324 8 sours U SYSTEMS \e
Slide 10: Revenue by type of customer (YTD)
REVENUE BY TYPE OF CUSTOMER (YTD) ci z we Retail / Restaurai “Sp, , > Entertainmen 10.1% Government 5.3% Wp USTRIAL, SOMFORTUGA.
Slide 11: Revenue by activity type
REVENUE BY ACTIVITY TYPE Annual 2023 YTD 2024 @yew Construction Existing Building Construction @ Service Projects @service Calls, Maintenance & Monitoring 10 COMFORT U SYSTEMS <
Slide 12: Appendix
APPENDIX SOMFORT USA
Slide 13: Net income and EPS excluding tax gains reconciliation
($ Thousands) (Unaudited) Three Months Ended Nine Months Ended September 30, September 30, 2024 2023 2024 2023 Net Income $ 146,235 $ 105,125 $ 376,563 $ 231,817 Tax gains related to prior years - (7,393) - (10,761) Tax-related SG&A costs, net of tax - 730 - 1,063 Net income excluding tax gains $ 14
Slide 14: Adjusted EBITDA reconciliation
($ Thousands) (Unaudited) Three Months Ended Nine Months Ended September 30, September 30, 2024 2023 2024 2023 Net Income $ 146,235 $ 105,125 $ 376,563 $ 231,817 Provision for Income Taxes 41,577 20,313 103,960 44,648 Other Expense (Income), net (87) 44 (323) (1) Changes in the Fair Value of Conting
Slide 15: Free cash flow reconciliation
($ Thousands) (Unaudited) Three Months Ended Nine Months Ended September 30, September 30, 2024 2023 2024 2023 Cash from Operating Activities $ 302,179 $ 214,241 $ 638,594 $ 466,560 Purchases of Property and Equipment (22,059) (28,444) (70,395) (69,574) Proceeds from Sales of Property and Equipment