Dycom Industries, Inc. · NYSE:DY
Dycom Industries — Q1 2023 Earnings Presentation
14 slides from Dycom Industries's earnings presentation, May 25, 2022
Slide 1: Quarter 1 | Fiscal 2023 Results
Quarter 1 | Fiscal 2023 Results May 25, 2022
Slide 2: Participants and Agenda
Participants and Agenda Steven E. Nielsen President and Chief Executive Officer H. Andrew DeFerrari Chief Financial Officer Ryan F. Urness General Counsel • Q1 2023 Overview • Industry Update • Financial & Operational Highlights • Outlook • Closing Remarks • Q&A 2
Slide 3: Important Information
Important Information Caution Concerning Forward-Looking Statements This presentation contains forward-looking statements as contemplated by the 1995 Private Securities Litigation Reform Act. These statements include those related to the outlook for the quarter ending July 30, 2022 found within this
Slide 4: Q1 2023 Overview
Q1 2023 Overview Contract Revenues • Contract revenues of $876.3 million increased 21.1% organically after excluding $3.9 million of contract revenues from storm restoration services in the year ago period Operating Performance Contract • Non-GAAP Adjusted EBITDA of $63.7 million, or 7.3% of contrac
Slide 5: Industry Update
Industry Update The industry effort to deploy high-capacity fiber networks continues to meaningfully broaden the set of opportunities for our industry • Major industry participants are constructing or upgrading significant wireline networks across broad sections of the country • High-capacity fiber
Slide 6: Contract Revenues
Contract Revenues Non-GAAP Organic Growth (Decline) %1 Top 5 Customers - % of Total Contract Revenues Q1 2022 Q1 2023 Q1 2023 Organic Growth: Top 5 customers represented 67.3% and 68.2% of contract revenues in Q1 2023 and Q1 2022, 21.1% 19.8% 23.9% respectively2 Total Customers Top 5 Customers2 All
Slide 7: Backlog, Awards and Employees
Backlog, Awards and Employees Backlog4 Employee Headcount Customer Description of Services Area Term Selected Q1 2023 Awards AT&T Placement Services NC, SC, GA, FL 3 years and Extensions: Frontier Fiber Construction IL, MI 1-2 years Brightspeed Fiber Construction NC 1 year Verizon Engineering MA, RI
Slide 8: Financial Highlights
Financial Highlights Contract Revenues Non-GAAP Adjusted EBITDA Diluted EPS As % of Contract Revenues • Contract revenues of $876.3 million increased 21.1% organically after excluding $3.9 million of contract revenues from storm restoration services in the year ago period • Non-GAAP Adjusted EBITDA
Slide 9: Debt and Liquidity Overview
Debt and Liquidity Overview $ Millions Q4 2022 Q1 2023 Debt Summary 4.50% Senior Notes, mature April 2029 $ 500.0 $ 500.0 5 Senior Credit Facility, matures April 2026: Debt maturity profile and Term Loan Facility 350.0 345.6 liquidity provide financial Revolving Facility - - Total Notional Amount of
Slide 10: Cash Flow Overview
Cash Flow Overview Operating Cash Flow $ Millions Q1 2022 Q1 2023 Cash Flow Summary Operating cash flow $ 41.5 $ (64.9) Capital expenditures, net of disposals $ (28.6) $ (33.0) Proceeds from issuance of 4.50% Senior Notes $ 500.0 $ - Repayments on Senior Credit Facility $ (176.9) $ (4.4) Debt issuan
Slide 11: Outlook for Quarter Ending July 30, 2022 (Q2 2023)
Outlook for Quarter Ending July 30, 2022 (Q2 2023) Q2 2023 Outlook: CONTRACT REVENUES INTEREST EXPENSE Increase mid-teens to 20% as a percentage $9.5 million of contract revenues compared to Q2 2022 EFFECTIVE INCOME TAX RATE NON-GAAP ADJUSTED EBITDA % OF Approximately 27.0% CONTRACT REVENUES In-line
Slide 12: Closing Remarks
Closing Remarks We maintain significant customer presence throughout our markets and are encouraged by the breadth in our business Our extensive market presence has allowed us to be at the forefront of evolving industry opportunities • Telephone companies are deploying FTTH to enable gigabit high sp
Slide 13: Notes
Notes 1. Organic growth (decline) % adjusted for contract revenues from storm restoration services, and for the additional week of operations during the fourth quarter as a result of the Company’s 52/53 week fiscal year, when applicable. 2. Top 5 customers included AT&T, Comcast, Lumen, Verizon, and
Slide 14: The people connecting America
The people connecting America ® 14