Myr Group, Inc. · NASDAQ:MYRG
Myr — Investor Presentation (March 2025)
23 slides from Myr's investor presentation, Mar 10, 2025
Slide 1: Investor Presentation Q4 | March 2025
1 PRESENTATION Q 4 | M a r c h 2 0 2 5 | N A S D A Q : M Y R G
Slide 2: Safe Harbor Notice: Forward-Looking Statements
2 Various statements in this announcement, including those that express a belief, expectation, or intention, as well as those that are not statements of historical fact, are forward-looking statements. The forward-looking statements may include projections and estimates concerning the timing and suc
Slide 3: MYR Group Inc. - A Market Leader in Electrical Construction
3 QUALITY SOLUTIONS FOR INCREASED ELECTRIFICATION 65+ OFFICE LOCATIONS MYR Group Inc. is a holding company of subsidiaries that has delivered some of the largest and most notable electrical infrastructure and commercial and industrial projects throughout the United States and Canada, since 1891. MYR
Slide 4: Revenue growth 2019-2024 and top specialty electrical contractor ranking
4 $3.36B 2024 $2.07B 2019 $2.25B 2020 $2.50B 2021 $3.64B 2023 RANKED AMONG TOP 5 U.S. SPECIALTY ELECTRICAL CONTRACTORS 29 YEARS IN A ROW $3.01B 2022 CAGR 10.2%
Slide 5: Business and market outlook highlights
5 • T&D primarily consists of small to medium-sized projects, with some larger High Voltage Direct Current (HVDC) transmission projects. We execute routine maintenance work under long-term Master Services Agreement (MSAs). Strong, long-term drivers will continue to increase T&D spending. • The core
Slide 6: Electrical Construction Project Delivery: Depth & Breadth of Expertise
6 ELECTRICAL CONSTRUCTION PROJECT DELIVERY DEPTH & BREADTH OF EXPERTISE Industry leader and trusted partner Strong, long-standing customer alliances Maintain one of the largest specialized fleets Experience with small to large, fast-track projects Deliver highest quality services with skilled expert
Slide 7: Business Segment Update: Transmission & Distribution (T&D)
7 • T&D 2024 full-year revenue of $1.88B • $818M T&D segment backlog as of December 31, 2024* • Strong, long-standing relationships with a diverse customer base where approximately 60% of business is performed under Master Service Agreements • Acquired the Powerline Plus Companies in January 2022 •
Slide 8: T&D Market Outlook: Strong Long-Term Drivers
8Source: The C Three Group/Yes Energy, North American Electric Distribution Market Forecast, October 2024 “IOU spend increased a record 18.6% in 2023 fueled by inflation, resiliency spend, and customer growth.” U.S. and Canadian Electric Distribution Actual and Forecasted Capital Expenditures STRONG
Slide 9: Business Segment Update: Commercial & Industrial (C&I)
9 • C&I 2024 full-year revenue of $1.48 billion • $1.76B C&I segment backlog as of December 31, 2024 • Growth in our core markets is driven by increasing investments in data centers, transportation, clean energy, and healthcare, as well as reshoring of manufacturing, and we remain well diversified a
Slide 10: C&I Market Outlook and Active Market Drivers
10 Healthcare Data Centers Airport Projects Transportation Clean Energy & EV Charging E-Commerce Water/Wastewater Facilities Industrial Facilities MYR GROUP CORE C&I MARKETS ACTIVE MARKET DRIVERS C&I MARKET OUTLOOK • FMI anticipates continued, but slower, growth in the construction and engineering i
Slide 11: Market Opportunities: Data Center Market Expansion
11 MARKET OPPORTUNITIES FOR BOTH T&D AND C&I DATA CENTER MARKET EXPANSION AI Driven Demand Increased Cloud Services Greater Data Storage Needs Deceleration of Power Efficiency Gains Crypto Mining Operations DATA CENTER DRIVERS DATA CENTERS DRIVING INCREMENTAL INFRASTRUCTURE INVESTMENT C Three’s 2024
Slide 12: Market Opportunities: Clean Energy
12 MARKET OPPORTUNITIES FOR BOTH T&D AND C&I CLEAN ENERGY GENERATION MIX Federal Tax Credits Renewable Portfolio Standards Carbon Policy State Tax Incentives Clean Power Portfolios Customer Demand for Clean Power CLEAN ENERGY DRIVERS UTILITY-SCALE SOLAR SOURCE: SEIA/Wood Mackenzie Power & Renewables
Slide 13: Clean Energy Transformation Partner
13 We don’t just create connections that empower people – we create connections that help our partners achieve their energy goals. CLEAN ENERGY TRANSFORMATION PARTNER
Slide 14: Investment Highlights
14 STRONG MARKET COUPLED WITH OUR COMPETITIVE EDGE POSITIONS MYR GROUP FOR CONTINUED GROWTH Healthy organic and acquisitive growth Proven execution of corporate strategy Strong financial position Centralized operations for greater efficiency and cross-collaboration Strong presence in key markets wit
Slide 15: Building a Sustainable Future with Corporate Responsibility
15 BUILDING A SUSTAINABLE FUTURE WITH CORPORATE RESPONSIBILITY VIEW REPORT Policy & Guidance Established corporate policies Promote honest and ethical conduct Develop employee awareness and compliance Equity & Inclusion 38% racially/ethnically/gender diverse Board of Directors Established Veteran Em
Slide 16: Delivering Strong Returns: Dividend-Adjusted Stock Return
16 DELIVERING STRONG RETURNS DIVIDEND-ADJUSTED STOCK RETURN MYRG - CAGR 31.80% EME - CAGR 40.94% PWR - CAGR 48.53% MTZ - CAGR 22.20% DY - CAGR 21.17% -200.0% 0.0% 200.0% 400.0% 600.0% 800.0% 1000.0% 1200.0% Dividend-Adjusted Stock Return (01/02/2019 - 12/31/2024) MYRG Div.-Adj. Return EME Div.-Adj.
Slide 17: Q4 2024 Results
17 Q4 2024 RESULTS $16.0M Net Income or $0.99 Per Diluted Share $2.58B Backlog $829.8M Revenue We finished 2024 with our fourth quarter performance showing overall improvement compared to the third quarter. A steady backlog of $2.58 billion reflects a healthy bidding environment and the continued in
Slide 18: Well-Positioned to Support Additional Growth: capex, ROIC, liquidity
18 $57.8 $44.4 $52.4 $77.1 $84.7 $75.9 0.0% 2.0% 4.0% 6.0% 8.0% 10.0% $0 $20 $40 $60 $80 $100 2019 2020 2021 2022 2023 2024 M ill io ns CAPEX Investment CAPEX Spend CAPEX % of Rev 43.3% 15.6% 13.4% 11.9% 5.9% 0.0% 10.0% 20.0% 30.0% 40.0% 50.0% EME DY MYRG PWR MTZ 3-Year Average ROIC $(250) $(200) $(
Slide 19: Financial Performance Demonstrates Strong, Long-Term Execution
19 $2,071 $2,247 $2,498 $3,009 $3,644 $3,362 $- $500 $1,000 $1,500 $2,000 $2,500 $3,000 $3,500 $4,000 2019 2020 2021 2022 2023 2024 M ill io ns Revenue by Work Type Trans. Dist. C&I 10.2% CAGR $1,499 $1,649 $1,789 $2,502 $2,512 $2,576 $0 $500 $1,000 $1,500 $2,000 $2,500 $3,000 4 4 4 4 4 4 2019 2020
Slide 20: Executive Leadership
20 EXECUTIVE LEADERSHIP Rick Swartz, CEO MYRG: 42 years Industry: 42 years 20 YEARS EXECUTIVES AVERAGE: WITH MYR GROUP Effective February 24, 2023 MYR Group Inc. has a strong team of experienced leaders that make up our executive team and Board of Directors. We believe diversity of our leadership is
Slide 21: Organic Growth, Strategic Acquisitions and Prudent Capital Returns
21 ORGANIC GROWTH Expand in new and existing markets that align with core capabilities STRATEGIC ACQUISITIONS Evaluate opportunities to expand and hone business expertise PRUDENT CAPITAL RETURNS Opportunistically repurchase shares Authorized $75M share repurchase program Expires on September 5, 2025
Slide 22: Non-GAAP Reconciliation: EBITDA and Free Cash Flow
22 Note: LTM diluted weighted average shares outstanding were determined by adding the average shares reported for the last four quarters and dividing by four. EBITDA is not recognized under GAAP and does not purport to be an alternative to net income as a measure of operating performance or to net
Slide 23: ROIC Calculation and S&P Capital IQ Disclaimer
23NOTE: Images used throughout this presentation may have been taken before COVID. Net Income (LTM) [A] +[(Net Interest Expense + Amortization of Intangibles)* (1-Effective Tax Rate)] ÷ [Book Value (Total Stockholders' Equity [B]) + Net Debt] @ beginning and ending period average = Return on Investe