Emcor Group, Inc. · NYSE:EME
Emcor — Q4 2018 Earnings Presentation
19 slides from Emcor's earnings presentation, Feb 21, 2019
Slide 1: Quarter Four 2018 Financial Results
Quarter Four 2018 Financial Results February 21, 2019
Slide 2: Forward-Looking Statements and Non-GAAP Financial Disclosures
Fourth Quarter 2018 Financial Results Forward-Looking Statements and Non-GAAP Financial Disclosures Forward Looking Statements: This material and related presentation contain certain forward-looking statements within the meaning of the Private Securities Reform Act of 1995. Any such comments speak o
Slide 3: EMCOR Participants
Fourth Quarter 2018 Financial Results EMCOR Participants Tony Guzzi Chairman, President & Chief Executive Officer Mark Pompa EVP & Chief Financial Officer Maxine Mauricio SVP & General Counsel Kevin Matz EVP, Shared Services 3
Slide 4: 2018 Executive Summary
Fourth Quarter 2018 Financial Results 2018 Executive Summary Record operating performance in 2018 – Record year for revenues, operating income, net income and diluted earnings per share from continuing operations – Total revenues increased 5.8% to $8.13 billion – Full year diluted EPS from continu
Slide 5: 2018 Executive Summary
Fourth Quarter 2018 Financial Results 2018 Executive Summary ̶ U.S. Electrical Construction and Facilities Services segment revenues increased by $124.7 million vs. 2017 with an operating margin of 7.1% ̶ U.S. Mechanical Construction and Facilities Services segment revenues increased by $56.5 millio
Slide 6: 2018 Executive Summary
Fourth Quarter 2018 Financial Results 2018 Executive Summary Diverse RPO of $3.96 billion, up 10.0% compared to Quarter 1 2018 Dec. 2018 vs. – U.S. RPO UP $389 million or 11.3% Mar. 2018 $375M Domestic Construction UP 12.7% U.S. Building Services Segment UP $11M 2.6% U.S. Industrial Services
Slide 7: 2018 – Qtr. 4 Financial Results Highlights
Fourth Quarter 2018 Financial Results 2018 – Qtr. 4 Financial Results Highlights Revenues increased 10.8% quarter-over-quarter to $2.23 billion Change from Qtr. 4 2017 Qtr. 4 ($ Millions) (Unaudited) 2018 $ % U.S. Electrical Construction & Facilities Services $ 534.0 $ 54.6 11.4% U.S. Mechanical C
Slide 8: 2018 – Qtr. 4 Financial Results Highlights
Fourth Quarter 2018 Financial Results 2018 – Qtr. 4 Financial Results Highlights SG&A expenses increased to $220.9 million or 9.9% of revenues vs. $204.6 million or 10.2% of revenues for Qtr. 4 2017 Operating income of $113.6 million or 5.1% of revenues Operating Margin For the Quarter Ended Dec
Slide 9: 2018 – Qtr. 4 Financial Results Highlights
Fourth Quarter 2018 Financial Results 2018 – Qtr. 4 Financial Results Highlights Operating Income Reconciliation For the Quarter Ended ($ Thousands) (Unaudited) December 31, 2018 2017 GAAP Operating Income $ 113,647 $ 48,057 Impairment Loss on Goodwill and Identifiable Intangible Assets - 57,819 Non
Slide 10: Key Financial Data – Income Statement
Fourth Quarter 2018 Financial Results Key Financial Data – Income Statement ($ Thousands, except per share information) (Unaudited) For the Quarter Ended December 31, Variance 2018 2017 $ % Revenues $ 2,229,308 $ 2,012,639 $ 216,669 10.8% Gross Profit 336,151 311,101 25,050 8.1% 15.1% 15.5% Selling,
Slide 11: 2018 Financial Results Highlights
Fourth Quarter 2018 Financial Results 2018 Financial Results Highlights Revenues up $443.6 million or 5.8% to $8.13 billion Change from 2017 ($ Millions) 2018 $ % U.S. Electrical Construction & Facilities Services $ 1,954.3 $ 124.7 6.8% U.S. Mechanical Construction & Facilities Services 3,020.3 56
Slide 12: 2018 Financial Results Highlights
Fourth Quarter 2018 Financial Results 2018 Financial Results Highlights SG&A expenses increased to $799.2 million or 9.8% of revenues vs. $758.7 million or 9.9% of revenues for 2017 Operating income of $403.1 million or 5.0% of revenues Operating Margin For the Year Ended December 31, 2018 2017
Slide 13: 2018 Financial Results Highlights
Fourth Quarter 2018 Financial Results 2018 Financial Results Highlights Operating Income Reconciliation For the Year Ended ($ Thousands) (Unaudited) December 31, 2018 2017 GAAP Operating Income $ 403,083 $ 328,902 Impairment Loss on Goodwill and Identifiable Intangible Assets 907 57,819 Non-GAAP Ope
Slide 14: Key Financial Data – Income Statement
Fourth Quarter 2018 Financial Results Key Financial Data – Income Statement ($ Thousands, except per share information) For the Year Ended December 31, Variance 2018 2017 $ % Revenues $ 8,130,631 $ 7,686,999 $ 443,632 5.8% Gross Profit 1,205,453 1,147,012 58,441 5.1% 14.8% 14.9% Selling, General and
Slide 15: Key Financial Data – Balance Sheet
Fourth Quarter 2018 Financial Results Key Financial Data – Balance Sheet ($ Thousands) 12/31/18 12/31/17 Cash $ 363,907 $ 467,430 Working Capital $ 651,809 $ 633,557 Goodwill $ 990,887 $ 964,893 Identifiable Intangible Assets, Net $ 488,286 $ 495,036 Total Debt $ 295,777 $ 310,150 Stockholders' Equi
Slide 16: Remaining Performance Obligations
Fourth Quarter 2018 Financial Results 2018 Remaining Performance Obligations Diverse RPO of $3.96 billion By Segment ($ Millions) By Market Sector ($ Millions) (Unaudited) $3,970 $3,964 $3,970 $3,964 $4,000 $4,000 $3,604 $3,673 $3,604 $3,673 $3,000 $3,000 $2,000 $2,000 $1,000 $1,000 $0 $0 $0 $0 Qt
Slide 17: 2019 Outlook
Fourth Quarter 2018 Financial Results 2019 Outlook Non-residential construction market expected to grow mid- single digits Building Services benefiting from continued growth in retrofit and energy savings projects, as well as favorable mix of work Industrial Services: ‒ Customer spending patte
Slide 18: 2019 Guidance
Fourth Quarter 2018 Financial Results 2019 Guidance Revenues $8.3 Billion ̶ $8.4 Billion Diluted EPS from Continuing Operations $4.70 ̶ $5.40 18
Slide 19: COR. Build. Power. Service. Protect.
ih COR. Build. Power. Service. Protect.