Mastec, Inc. · NYSE:MTZ
Mastec — Q3 2024 Earnings Presentation
17 slides from Mastec's earnings presentation, Nov 1, 2024
Slide 1: MasTec Third Quarter 2024 Earnings Call Presentation
MasTec Third Quarter 2024 Earnings Call Presentation November 1, 2024 NYSE: MTZ
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act. Forward-looking statements include, but are not limited to, statements relating to expectations regarding the future financial and operational performance o
Slide 3: Q3 2024 Summary
Q3 2024 Summary • Q3 revenue of $3.3B - record non-Oil & Revenue Gas revenues. Adjusted • ~6% below guidance expectations driven EBITDA1 primarily by near-term project delays. 18 Month Adjusted Backlog2 $306M Diluted EPS1 • Total backlog of $13.9B reflects a $13.9B $1.63 Backlog sequential increase
Slide 4: Q3 2024 Segment Results
Q3 2024 Segment Results 1,2 Revenue ($M) Adjusted EBITDA Margin % $3,450 $3,252 9.4% $540 $498 8.6% $650 20.7% $713 High teens 7.6% $1,325 $1,138 High single digits 7.5% Mid-single digits $950 $927 Low double digits 11.5% Guidance3 Q3 2024 Guidance 3 Q3 2024 Communications Clean Energy and Infrastru
Slide 5: Q3 2024 Backlog
Q3 2024 Backlog1 18 Month Backlog ($B) $13.9 • Total backlog of $13.9B is up 11% or $14.0 $13.3 $1.4B on a year over year basis, and $12.5 $520M, or 4% sequentially, further $3.2 $12.0 $3.0 demonstrating the broad-based $2.4 diversification of our end markets. $0.7 $10.0 $0.8 $1.7 • Clean Energy and
Slide 6: Cash Flow, Leverage & Liquidity
Cash Flow, Leverage & Liquidity DSO1 Cash Flow from Operations ($M) $294 90 $300 $278 85 85 $250 80 $200 75 $150 70 69 $100 68 65 $50 Q3 2023 Q2 2024 Q3 2024 Q3 2023 Q3 2024 Leverage1 Liquidity1 ($M) 4.0x $2,000 $1,870 3.4x $1,771 3.0x $1,600 2.4x 2.2x $1,159 2.0x $1,200 1.0x $800 0.0x $400 Q3 2023
Slide 7: 2024 Guidance Summary
2024 Guidance Summary1 Full Year ($M, with exception of EPS) Q4 Guidance Guidance Revenue $3,325 $12,225 Adjusted EBITDA2 $259 $990 Adjusted Net Income2 $106 327 Adjusted Diluted EPS2 $1.29 $3.75 1 Guidance issued on October 31, 2024. 2 See Appendix for reconciliations of Adjusted measures to GAAP m
Slide 8: Revenue and Adjusted EBITDA Cadence
Revenue and Adjusted EBITDA Cadence Revenue $B1 $8.0 $8.0 $6.5 $6.6 $5.5 $5.6 0.9 $6.0 $6.0 1.5 0.6 1.2 1.4 1.4 1.3 $4.0 1.2 $4.0 2.4 1.8 1.7 2.2 $2.0 $2.0 1.7 1.6 1.6 1.8 $0.0 $0.0 1H 2023 1H 2024 2H 2023 2H 2024 E No data to display Oil and Gas Power Delivery Clean Energy and Infrastructure Commun
Slide 9: 2024 Cash Flow and Leverage Projections
2024 Cash Flow and Leverage Projections • We anticipate 2024 full year cash flow from operations will approximate $700M. • We expect year-end leverage1 to be in the low 2x range as previously communicated. • We remain dedicated to effectively managing our capital structure and maintaining a strong b
Slide 10: Appendix
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Slide 11: Full Year Non-GAAP Reconciliations
Full Year Non-GAAP Reconciliations1,2 For the Year Ended December Guidance for the Year Ended 31, 2023 December 31, 2024 Est.3 EBITDA and Adjusted EBITDA Margin Reconciliation $ (in millions) % margin $ (in millions) % margin Net (loss) income $ (47.3) (0.4%) $ 187 1.5% Interest expense, net 234.4 2
Slide 12: Full Year Non-GAAP Reconciliations
Full Year Non-GAAP Reconciliations1,2 Guidance for the For the Year Ended Year Ended December 31, 2023 December 31, 2024 Adjusted Net Income (Loss) Reconciliation Est.3 Net (loss) income $ (47.3) $ 187 Non-cash stock-based compensation expense 33.3 32 Amortization of intangible assets 169.2 137 Acqu
Slide 13: Quarterly Non-GAAP Reconciliations
Quarterly Non-GAAP Reconciliations1,2 Q3 2023 Q3 2024 Q4 2023 Q4 2024 E3 $ (in $ (in $ (in $ (in EBITDA and Adjusted EBITDA Margin Reconciliation millions) % margin millions) % margin millions) % margin millions) % margin Net income (loss) $ 15.3 0.5% $ 105.4 3.2% $ 1.2 0.0% $ 72 2.2% Interest expen
Slide 14: Quarterly Non-GAAP Reconciliations
Quarterly Non-GAAP Reconciliations1,2 Adjusted Net Income Reconciliation Q3 2023 Q3 2024 Q4 2023 Q4 2024 E3 Net income $ 15.3 $ 105.4 $ 1.2 $ 72 Non-cash stock-based compensation expense 7.2 7.3 9.0 $ 8 Amortization of intangible assets 42.3 34.4 43.0 $ 35 Acquisition and integration costs 21.1 — 11
Slide 15: 1st and 2nd Half Non-GAAP Reconciliations
1st and 2nd Half Non-GAAP Reconciliations1,2 EBITDA and Adjusted EBITDA Margin 1H 2023 1H 2024 2H 2023 2H 2024 E3 Reconciliation Net (loss) income $ (64) (1.2)% $ 9 0.2 % $ 17 0.3% $ 178 2.7% Interest expense, net 112 2.1 % 103 1.8 % 122 1.9% 93 1.4% (Benefit from) provision for income taxes (42) (0
Slide 16: Q3 2024 Non-GAAP Reconciliations
Q3 2024 Non-GAAP Reconciliations1,2 A reconciliation of EBITDA and EBITDA margin to Adjusted EBITDA and Adjusted EBITDA margin by segment for the periods indicated is as follows (in millions): Adjusted EBITDA and Adjusted EBITDA Margin by Q3 2023 Q3 2024 Segment EBITDA $ 242.7 7.5% $ 298.6 9.2% Non-
Slide 17: Miscellaneous Definitions
Miscellaneous Definitions1 • Backlog - Backlog represents the amount of revenue we expect to realize over the next 18 months from future work on uncompleted construction contracts, including new contracts under which work has not begun, as well as revenue from change orders and renewal options. Our