Great Lakes Dredge & Dock Corporation (Nasdaq:GLDD), the largest provider of dredging services in the United States, today reported financial results for the quarter and year ended December 31, 2019.
Fourth Quarter 2019 Highlights
- Revenue was $164.3 million in the fourth quarter, a decrease of $8.9 million compared with the prior year fourth quarter.
- Gross profit margin percentage increased to 21.0% in the fourth quarter compared with 20.6% in the prior year fourth quarter.
- Total operating income from continuing operations was $22.2 million, an increase of $5.5 million over the prior year fourth quarter.
- Net income from continuing operations was $14.8 million, an increase of $9.8 million over the prior year fourth quarter.
- Adjusted EBITDA from continuing operations was $32.6 million, an increase of $4.2 million over the prior year fourth quarter.
Full Year 2019 Highlights
- Revenue was $711.5 million for the full year 2019, a $90.7 million or 14.6% increase over the prior year.
- Gross profit margin percentage increased to 21.6% in 2019 as compared to 18.0% in 2018.
- Total operating income from continuing operations was $98.1 million, a $45.5 million increase over the prior year.
- Net income from continuing operations was $55.7 million, a $44.7 million increase over the prior year.
- Adjusted EBITDA from continuing operations was $135.6 million as compared to $100.4 million in 2018.
“Our record financial performance was a result of a strong domestic dredging market and the continued effectiveness of our 2018 asset rationalization and cost reduction program,” said Chief Executive Officer Lasse Petterson.
“As we finished the fourth quarter of 2019, port deepening projects in Charleston, Jacksonville and Corpus Christi were in full operation with work continuing into 2020,” noted Petterson. “Operationally, 2019 had lower dredging activity as compared to prior year, due to several planned vessel drydockings. The impact of the increased drydockings was partially offset by strong performance on the San Jacinto flood prevention project in Houston, Texas and the Jacksonville port deepening project in Florida. Although the bid market was lower than expected in the fourth quarter, the total bid market finished strong at $1.8 billion. We expect the dredging market to remain strong for the next two to three years. Our focus remains on port deepening projects as well as coastal protection projects which include the renourishment of coastal beaches that have been damaged after the heavy hurricane seasons of the past three years. Some of these projects are expected to bid in the first half of 2020. We look forward to working closely with the United States Army Corps of Engineers to ensure safe and successful execution and completion of these projects that are critical to protecting our nation’s coastlines and strengthening our infrastructure.”