Financial Data and Key Metrics Changes - Revenue for the second quarter was $94 million, down from $107.1 million in the prior year quarter, primarily due to a decline in the U.S. Concrete Pumping segment [10][11] - Gross margin declined by 50 basis points to 38.5% compared to 39% in the same year ago quarter [12] - Net loss available to common shareholders was $400,000 or $0.01 per diluted share, compared to net income of $2.6 million or $0.05 per diluted share in the prior year quarter [13] - Consolidated adjusted EBITDA was $22.5 million, down from $27.5 million in the same year ago quarter, with an adjusted EBITDA margin of 23.9% compared to 25.7% in the prior year quarter [13][14] Business Line Data and Key Metrics Changes - U.S. Concrete Pumping segment revenue was $62.1 million, down from $74.6 million in the prior year quarter, with adverse weather impacting revenue by approximately $3 million to $4 million [10][11] - U.K. operations revenue was $13.8 million, down from $15.5 million in the same year ago quarter, due to lower volumes from a slowdown in commercial construction [11] - U.S. Concrete Waste Management Services revenue increased by 7% to $18.1 million, driven by increased pan pickup volumes and improved pricing [12][14] Market Data and Key Metrics Changes - The commercial end market is experiencing construction softness, particularly in interest rate-sensitive areas, while residential markets in certain regions remain resilient [6][8] - Infrastructure end markets continue to grow, with strong performance in the U.K. and the U.S., supported by funding from the Infrastructure Investment and Jobs Act [9][10] Company Strategy and Development Direction - The company is focused on capital allocation, cost discipline, fleet optimization, and strategic pricing to navigate the challenging construction environment [4][5] - The company plans to continue investments in fleet and strategic acquisitions when the timing is right, while maintaining a strong balance sheet [20] Management's Comments on Operating Environment and Future Outlook - Management noted that higher interest rates and macroeconomic uncertainty are delaying commercial project starts, with expectations for a market recovery pushed to 2026 at the earliest [17][19] - The company remains optimistic about the infrastructure market, expecting continued growth due to strong project backlogs and funding availability [26][30] Other Important Information - The company repurchased approximately 1 million shares for $6 million during the second quarter, with an additional $15 million authorized for the share buyback plan [16] - The adjusted EBITDA guidance for fiscal year 2025 is expected to range between $95 million and $100 million, with revenue projected between $380 million and $390 million [17] Q&A Session Summary Question: Clarification on guidance regarding construction market recovery - Management confirmed that the expectation of no meaningful recovery pertains to both commercial and residential construction, with optimism for recovery in the commercial market once tariff discussions settle [22][24] Question: Visibility into the infrastructure market - Management indicated strong growth across nearly all segments of infrastructure, including roads, bridges, and airport construction, with expectations for continued strength in both the U.S. and U.K. [25][26] Question: Project delays and customer feedback - Management noted that project delays are primarily due to tariffs and uncertainty, but customers have strong backlogs for the next year, indicating optimism for future project starts [29][30]

Financial Data and Key Metrics Changes - Revenue for the second quarter was $94 million, down from $107.1 million in the prior year quarter, primarily due to a decline in the U.S. Concrete Pumping segment [10][11] - Gross margin declined by 50 basis points to 38.5% compared to 39% in the same year ago quarter [12] - Net loss available to common shareholders was $400,000 or $0.01 per diluted share, compared to net income of $2.6 million or $0.05 per diluted share in the prior year quarter [13] - Consolidated adjusted EBITDA was $22.5 million, down from $27.5 million in the same year ago quarter, with an adjusted EBITDA margin of 23.9% compared to 25.7% in the prior year quarter [13][14] Business Line Data and Key Metrics Changes - U.S. Concrete Pumping segment revenue was $62.1 million, down from $74.6 million in the prior year quarter, with adverse weather impacting revenue by approximately $3 million to $4 million [10][11] - U.K. operations revenue was $13.8 million, down from $15.5 million in the same year ago quarter, due to lower volumes from a slowdown in commercial construction [11] - U.S. Concrete Waste Management Services segment revenue increased by 7% to $18.1 million compared to $16.9 million in the prior year quarter, driven by increased pan pickup volumes and improved pricing [12] Market Data and Key Metrics Changes - The commercial end market is experiencing construction softness, particularly in interest rate-sensitive sectors like commercial and office buildings [6] - Residential end markets in the Mountain and Texas regions remain resilient, but signs of softness are emerging in other U.S. regions due to elevated interest rates [7][8] - Infrastructure end markets continue to grow, with expectations for robust performance in fiscal year 2025 due to favorable funding environments in both the U.K. and U.S. [8][9] Company Strategy and Development Direction - The company remains focused on capital allocation, cost discipline, fleet optimization, and strategic pricing despite macroeconomic headwinds [4][5] - The company is committed to a prudent capital allocation and flexible investment strategy, with expectations for continued investments in fleet and service offerings [18][19] - The company plans to pursue disciplined strategic acquisitions and return capital to shareholders through share buybacks and dividends [21] Management's Comments on Operating Environment and Future Outlook - Management noted that higher interest rates and macroeconomic uncertainty are delaying commercial project starts and impacting residential construction [5][18] - The company does not expect a meaningful market rebound in the current fiscal year, adjusting revenue guidance to between $380 million and $390 million [18] - Management expressed optimism about the recovery of the commercial market once tariff discussions settle and interest rates potentially decrease [25] Other Important Information - The company repurchased approximately 1 million shares for $6 million during the second quarter, with an additional $15 million authorized for the share buyback plan [16][17] - Total debt outstanding as of April 30, 2025, was $425 million, with a net debt to EBITDA leverage ratio of approximately 3.7 times [15] Q&A Session Summary Question: Confirmation on guidance regarding construction recovery - Management confirmed that the expectation of no meaningful recovery pertains to both commercial and residential construction, with optimism for the commercial market once tariff discussions settle and interest rates decrease [24][25] Question: Visibility into the infrastructure market - Management indicated growth across nearly all segments of infrastructure, with strong results expected in 2025, particularly in roads, bridges, and airport construction [26][27] Question: Project delays and customer feedback - Management noted that project delays are primarily due to tariffs and uncertainty, but customers have strong backlogs for next year, indicating optimism for future project starts [30][31]

Revenue Performance - Total revenue for the three months ended April 30, 2025, was $93.96 million, a decrease of 12.2% from $107.06 million for the same period in 2024[98]. - Revenue from the U.S. Concrete Pumping segment decreased by 16.8%, or $12.5 million, from $74.6 million in Q2 2024 to $62.1 million in Q2 2025, primarily due to a slowdown in commercial construction and adverse weather[99]. - Revenue for the U.S. Concrete Waste Management Services segment increased by 6.9%, or $1.2 million, from $16.9 million in Q2 2024 to $18.1 million in Q2 2025, driven by organic growth and pricing improvements[100]. - Total revenue for the six months ended April 30, 2025, was $180.4 million, down 11.9% from $204.8 million for the same period in 2024[109]. - Revenue from the U.S. Concrete Pumping segment for the six months ended April 30, 2025, decreased by 15.8%, or $22.3 million, from $141.3 million in 2024 to $119.0 million in 2025[110]. - Revenue for the U.K. Operations segment decreased by 14.0%, or $4.3 million, from $30.9 million in the six months ended April 30, 2024, to $26.6 million in 2025[112]. Profitability Metrics - Gross profit for the three months ended April 30, 2025, was $36.18 million, down 13.4% from $41.77 million in the same period in 2024[102]. - Gross profit for the six months ended April 30, 2025 was $67.4 million, a decrease of $7.7 million (10.2%) from $75.1 million in the same period of 2024[113]. - Gross margin improved to 37.4% for the six months ended April 30, 2025, compared to 36.7% for the same period in 2024, primarily due to lower fuel and commercial insurance costs[113]. - Adjusted EBITDA for the U.S. Concrete Pumping segment was $21.8 million for the six months ended April 30, 2025, down $7.3 million (25.0%) from $29.1 million in 2024[125]. - Total adjusted EBITDA for the company was $46.8 million for the six months ended April 30, 2025, a decrease of $7.3 million (15.6%) from $39.5 million in 2024[125]. - Adjusted EBITDA for the three months ended April 30, 2025, was $22,497,000, down 18.2% from $27,548,000 in the prior year[152]. Expenses and Financial Costs - General and administrative expenses for Q2 2025 were $27.9 million, a decrease of $1.8 million from $29.7 million in Q2 2024, with G&A as a percentage of revenue increasing to 29.7%[103]. - Interest expense for Q2 2025 was $8.3 million, an increase of $1.4 million from $6.9 million in Q2 2024, primarily due to refinancing of senior notes[105]. - General and administrative (G&A) expenses decreased by $5.9 million to $55.7 million for the six months ended April 30, 2025, representing 30.9% of revenue, up from 30.1% in 2024[114]. - Interest expense for the six months ended April 30, 2025 was $14.1 million, an increase of $0.8 million from $13.3 million in the same period of 2024, mainly due to refinancing of senior notes[116]. - Total interest expense and amortization of deferred financing costs for the six months ended April 30, 2025, was $14,096,000, an increase from $13,336,000 in the prior year[152]. Net Income and Loss - Consolidated net income for the three months ended April 30, 2025, was a loss of $4,000 compared to a net income of $3,046,000 for the same period in 2024[152]. - Net loss for the U.S. Concrete Pumping segment was $4.7 million for the six months ended April 30, 2025, compared to a net loss of $2.3 million in the same period of 2024[125]. - U.S. Concrete Waste Management Services segment reported net income of $1.4 million for the six months ended April 30, 2025, compared to a net loss of $0.2 million in 2024[126]. - U.K. Operations segment net income decreased to $0.6 million for the six months ended April 30, 2025, down from $1.5 million in 2024[127]. - U.S. Concrete Pumping segment reported a net loss of $1,601,000 for the three months ended April 30, 2025, compared to a net income of $937,000 in the same period of 2024[152]. - U.S. Concrete Waste Management Services achieved a net income of $1,202,000 for the three months ended April 30, 2025, up from $1,065,000 in the prior year[152]. Cash Flow and Liquidity - As of April 30, 2025, the company had $37.8 million in cash and cash equivalents and $314.7 million in available borrowing capacity under the ABL Facility, totaling $352.5 million in liquidity[129]. - Net cash provided by operating activities for the six months ended April 30, 2025 was $30.8 million, despite a net loss of $2.6 million[143]. - Gross capital expenditures for the six months ended April 30, 2025 were approximately $19.5 million, down from $28.8 million in the same period of 2024[133]. - The company used $16.3 million for investing activities during the six months ended April 30, 2025, primarily for property, plant, and equipment[145]. - Net cash used in financing activities was $19.9 million for the six months ended April 30, 2025, which included $425.0 million from the issuance of 2032 Notes and $375.0 million for the extinguishment of 2026 Notes[147]. - The company had a working capital surplus of $45.7 million as of April 30, 2025, and is in compliance with its debt covenants[132]. Strategic Initiatives - The company views strategic acquisitions as opportunities to enhance competitiveness and plans to allocate capital for opportunistic M&A using cash and revolving credit[90]. - The ABL Facility was amended to increase maximum borrowings from $225.0 million to $350.0 million and extend its maturity to September 6, 2029[138]. - The company had no outstanding balance under the ABL Facility as of April 30, 2025, and maintained $1.1 million in credit line reserves[139]. - The company’s future capital requirements may vary significantly based on revenue growth, potential acquisitions, and overall economic conditions[130]. Other Financial Adjustments - The company incurred a loss on debt extinguishment of $1,392,000 for the six months ended April 30, 2025[152]. - Other adjustments for the six months ended April 30, 2025, included a non-recurring charge related to sales tax litigation amounting to $3.5 million[152]. - The company did not make modifications to its critical accounting policies and estimates during the six months ended April 30, 2025[154].

Business Overview - Concrete Pumping Holdings (CPH) reported revenue of $402 million [8], Adjusted EBITDA of $105 million with a 26.1% margin, and Free Cash Flow of $69 million for the trailing twelve months (TTM) ending Q2 2025 [8] - CPH is the largest concrete pumping service provider in the U S and the U K [12] - The company also provides concrete waste management services in the U S with an emerging presence in the U K [12] Market Position and Growth Strategy - CPH is approximately 6 times larger than its nearest competitor in the U S and U K concrete pumping industry [23] - The company aims to capture greater market share, optimize pricing and utilization, expand Eco-Pan services, pursue acquisitions, and explore greenfield opportunities for continued growth [25] - The total U S market opportunity for Eco-Pan is estimated to be over $850 million, with current penetration representing 17% of FY24 revenue, or $71 million [27] Financial Performance and Valuation - CPH's management team beneficially owns approximately 5% of the company [56] - The company's enterprise value is $776 million, with an equity value of $389 million and net debt of $387 million [84] - CPH's valuation measures include an EV/TTM Adjusted EBITDA of 7 4x and a free cash flow yield of 18% [84] FY 2025 Outlook - CPH anticipates revenue between $380 million and $390 million for FY 2025 [69] - Adjusted EBITDA is projected to be in the range of $95 million to $100 million [69] - Free cash flow is expected to be around $45 million, implying a 12% yield to the current equity value of $389 million [69, 70]

[Second Quarter Fiscal Year 2025 Overview](index=1&type=section&id=Second%20Quarter%20Fiscal%20Year%202025%20Overview) Concrete Pumping Holdings reported challenging Q2 FY2025 results with revenue and profit declines, a net loss, and an increased share repurchase plan, alongside management's strategic priorities [Q2 FY2025 Highlights](index=1&type=section&id=Q2%20FY2025%20Highlights) Concrete Pumping Holdings reported a challenging second quarter of fiscal year 2025, with declines in revenue, gross profit, and Adjusted EBITDA compared to the prior year, resulting in a net loss. The company also announced a $15 million increase to its share repurchase plan | Metric | Q2 FY2025 | Q2 FY2024 | Change (YoY) | Change (%) | | :-------------------------- | :-------- | :-------- | :----------- | :--------- | | Revenue | $94.0M | $107.1M | $(13.1M) | (12.2%) | | Gross Profit | $36.2M | $41.8M | $(5.6M) | (13.4%) | | Income from Operations | $8.3M | $12.1M | $(3.8M) | (31.4%) | | Net Loss (Income) | $(0.0M) | $3.0M | $(3.0M) | (100.0%) | | Net Loss Attributable to Common Shareholders | $(0.4M) | $2.6M | $(3.0M) | (115.4%) | | Diluted EPS | $(0.01) | $0.05 | $(0.06) | (120.0%) | | Adjusted EBITDA | $22.5M | $27.5M | $(5.0M) | (18.2%) | | Adjusted EBITDA Margin | 23.9% | 25.7% | (1.8 pp) | (7.0%) | | Net Debt (as of April 30, 2025) | $387.2M | $373.5M (April 30, 2024) | $13.7M | 3.7% | | Total Available Liquidity (as of April 30, 2025) | $352.5M | $216.9M (April 30, 2024) | $135.6M | 62.5% | | Leverage Ratio (as of April 30, 2025) | 3.7x | - | - | - | - The board of directors approved a **$15.0 million** increase to the Company's share repurchase program, bringing total authorizations to **$50.0 million** since June 2022[1](index=1&type=chunk)[17](index=17&type=chunk) [Management Commentary and Strategic Priorities](index=1&type=section&id=Management%20Commentary%20and%20Strategic%20Priorities) Management navigated a challenging construction environment with cost discipline, noting strong growth in U.S. Concrete Waste Management and weakness in U.S. Concrete Pumping, while prioritizing free cash flow, deleveraging, and M&A - Navigated a challenging construction environment marked by persistent macroeconomic headwinds and regional weather disruptions, delivering solid results through **cost discipline, fleet optimization, and strategic pricing**[4](index=4&type=chunk) - U.S. Concrete Waste Management segment delivered **strong growth**, driven by unique offering and rising demand for sustainable jobsite solutions[4](index=4&type=chunk) - U.S. Concrete Pumping segment affected by **weakness in commercial and residential construction**, with infrastructure market resilience partially offsetting pressures[4](index=4&type=chunk) - Committed to generating **strong free cash flow**, **deleverage the balance sheet**, and pursuing **disciplined, strategic M&A** for long-term value creation[4](index=4&type=chunk) [Financial Performance - Second Quarter Fiscal Year 2025](index=2&type=section&id=Financial%20Performance%20-%20Second%20Quarter%20Fiscal%20Year%202025) The company experienced significant declines in consolidated revenue and profitability in Q2 FY2025, leading to a net loss, while managing its liquidity and capital structure, and observing mixed segment performance [Consolidated Financial Results](index=2&type=section&id=Consolidated%20Financial%20Results) The company experienced a significant decline in consolidated revenue, gross profit, and Adjusted EBITDA in Q2 FY2025, leading to a net loss. This was primarily attributed to a slowdown in commercial and residential construction, high interest rates, tax policy uncertainty, adverse weather, and tariff-related deferrals | Metric | Q2 FY2025 | Q2 FY2024 | Change (YoY) | Change (%) | | :-------------------------- | :-------- | :-------- | :----------- | :--------- | | Revenue | $94.0M | $107.1M | $(13.1M) | (12.2%) | | Gross Profit | $36.2M | $41.8M | $(5.6M) | (13.4%) | | Gross Margin | 38.5% | 39.0% | (0.5 pp) | (1.3%) | | General and Administrative Expenses | $27.9M | $29.7M | $(1.8M) | (6.1%) | | G&A as % of Revenue | 29.7% | 27.7% | 2.0 pp | 7.2% | | Net Loss (Income) | $(0.0M) | $3.0M | $(3.0M) | (100.0%) | | Net Loss Attributable to Common Shareholders | $(0.4M) | $2.6M | $(3.0M) | (115.4%) | | Diluted EPS | $(0.01) | $0.05 | $(0.06) | (120.0%) | | Adjusted EBITDA | $22.5M | $27.5M | $(5.0M) | (18.2%) | | Adjusted EBITDA Margin | 23.9% | 25.7% | (1.8 pp) | (7.0%) | - Revenue decrease primarily attributable to continued slowdown from deferrals in commercial construction work and emerging challenges in residential work, mostly due to **high interest rates, uncertainty around extensions of U.S. tax policy, and adverse weather events**[6](index=6&type=chunk) - G&A expenses declined **6%** due to lower labor costs (**$1.3 million**) and non-cash decreases in amortization expense (**$0.8 million**), but increased as a percentage of revenue from **27.7% to 29.7%**[8](index=8&type=chunk) [Liquidity and Capital Structure](index=2&type=section&id=Liquidity%20and%20Capital%20Structure) As of April 30, 2025, the company reported $425.0 million in outstanding debt and $387.2 million in net debt, while significantly increasing its total available liquidity to $352.5 million | Metric | As of April 30, 2025 | | :---------------------- | :------------------- | | Debt Outstanding | $425.0M | | Net Debt | $387.2M | | Total Available Liquidity | $352.5M | [Segment Performance](index=2&type=section&id=Segment%20Performance) Segment results showed a mixed performance, with U.S. Concrete Waste Management Services achieving growth in revenue, net income, and Adjusted EBITDA, while U.S. Concrete Pumping and U.K. Operations experienced declines across these metrics due to market slowdowns and other factors [U.S. Concrete Pumping](index=2&type=section&id=U.S.%20Concrete%20Pumping) This segment experienced declines in revenue, net income, and Adjusted EBITDA due to a slowdown in commercial and residential construction, high interest rates, and adverse weather | Metric | Q2 FY2025 | Q2 FY2024 | Change (YoY) | Change (%) | | :---------------- | :-------- | :-------- | :----------- | :--------- | | Revenue | $62.1M | $74.6M | $(12.5M) | (16.8%) | | Net Loss (Income) | $(1.6M) | $0.9M | $(2.5M) | (281.1%) | | Adjusted EBITDA | $12.7M | $17.5M | $(4.8M) | (27.5%) | - Decline driven by continued slowdown in commercial construction and emerging challenges in residential work, primarily due to **high interest rates, U.S. tax policy uncertainty, adverse weather, and tariff-related project deferrals**[12](index=12&type=chunk) [U.S. Concrete Waste Management Services](index=2&type=section&id=U.S.%20Concrete%20Waste%20Management%20Services) This segment demonstrated growth in revenue, net income, and Adjusted EBITDA, driven by organic expansion, pricing improvements, and effective cost control | Metric | Q2 FY2025 | Q2 FY2024 | Change (YoY) | Change (%) | | :---------------- | :-------- | :-------- | :----------- | :--------- | | Revenue | $18.1M | $16.9M | $1.2M | 6.9% | | Net Income | $1.2M | $1.1M | $0.1M | 12.9% | | Adjusted EBITDA | $6.7M | $5.9M | $0.8M | 12.0% | - Increase driven by **organic growth, pricing improvements, and disciplined cost control**[13](index=13&type=chunk) [U.K. Operations](index=2&type=section&id=U.K.%20Operations) This segment reported declines in revenue, net income, and Adjusted EBITDA, primarily due to lower volumes from a general slowdown in commercial construction work | Metric | Q2 FY2025 | Q2 FY2024 | Change (YoY) | Change (%) | | :---------------- | :-------- | :-------- | :----------- | :--------- | | Revenue | $13.8M | $15.5M | $(1.7M) | (11.3%) | | Net Income | $0.4M | $1.0M | $(0.6M) | (62.2%) | | Adjusted EBITDA | $3.2M | $4.1M | $(1.0M) | (23.2%) | - Revenue was down **13%** year-over-year (excluding foreign currency translation impact) due to lower volumes caused by a **general slowdown in commercial construction work**[14](index=14&type=chunk) [Fiscal Year 2025 Outlook](index=2&type=section&id=Fiscal%20Year%202025%20Outlook) The company updated its FY2025 guidance, projecting lower revenue and Adjusted EBITDA, with expectations of no significant market recovery until FY2026 [FY2025 Guidance](index=2&type=section&id=FY2025%20Guidance) The company updated its fiscal year 2025 guidance, anticipating lower revenue and Adjusted EBITDA ranges, and approximately $45.0 million in free cash flow. These projections assume no significant recovery in the construction market until fiscal year 2026 | Metric | FY2025 Outlook Range | | :-------------- | :------------------- | | Revenue | $380.0M to $390.0M | | Adjusted EBITDA | $95.0M to $100.0M | | Free Cash Flow | ~$45.0M | - Expectations assume the construction market will not start to meaningfully recover until **fiscal year 2026**[15](index=15&type=chunk) - The company plans to continue strengthening its organizational infrastructure and investing in its fleet to position the business for growth in **fiscal 2026**[15](index=15&type=chunk) [Share Repurchase Program](index=3&type=section&id=Share%20Repurchase%20Program) The board approved a **$15.0 million** increase to the share repurchase program, totaling **$50.0 million** authorized since June 2022, with **$24.2 million** remaining available [Share Repurchase Program Details](index=3&type=section&id=Share%20Repurchase%20Program%20Details) The board approved a $15.0 million increase to the share repurchase program, bringing the total authorized amount to $50.0 million since its inception in June 2022. The company repurchased $7.8 million worth of shares in the first six months of FY2025, with $24.2 million remaining available for repurchase - A **$15.0 million** increase to the share repurchase program was approved in June 2025, bringing total authorizations to **$50.0 million** since June 2022, with all authorizations expiring on December 31, 2026[17](index=17&type=chunk) - During the six months ended April 30, 2025, the Company repurchased **1,311,386 shares** for a total of **$7.8 million** at an average price of **$5.97 per share**[18](index=18&type=chunk) - Including the new authorization, **$24.2 million** would have been available for purchase under the program as of April 30, 2025[18](index=18&type=chunk) [Company Information](index=3&type=section&id=Company%20Information) This section provides an overview of Concrete Pumping Holdings' business, details on its Q2 FY2025 conference call, forward-looking statement disclaimers, and explanations of non-GAAP financial measures [About Concrete Pumping Holdings](index=3&type=section&id=About%20Concrete%20Pumping%20Holdings) Concrete Pumping Holdings is a leading provider of concrete pumping and waste management services in the U.S. and U.K., operating under established national brands like Brundage-Bone, Camfaud, and Eco-Pan. The company leverages a large fleet and trained operators to offer efficient and compliant solutions across a broad geographic footprint - Leading provider of **concrete pumping and concrete waste management services** in the fragmented U.S. and U.K. markets[22](index=22&type=chunk) - Operates under national brands: **Brundage-Bone** (U.S. concrete pumping), **Camfaud** (U.K. concrete pumping), and **Eco-Pan** (U.S. and U.K. waste management)[22](index=22&type=chunk) - Offers concrete placement solutions that facilitate **labor cost savings, shorten placement times, enhance worksite safety, and improve construction quality**, complemented by Eco-Pan's full-service concrete washout waste management[22](index=22&type=chunk) - As of April 30, 2025, the company had approximately **90 U.S. concrete pumping branch locations, 35 U.K. concrete pumping branch locations, and 21 U.S. and one shared U.K. operating locations** for concrete waste management services[22](index=22&type=chunk) [Conference Call Details](index=3&type=section&id=Conference%20Call%20Details) The company hosted a conference call on June 5, 2025, to discuss its second quarter 2025 results, with dial-in and webcast details provided for participants and replay access - Conference call held on **Thursday, June 5, 2025, at 5:00 p.m. Eastern time** to discuss Q2 2025 results[19](index=19&type=chunk)[20](index=20&type=chunk) - Webcast available live and for replay on the **investor relations section of the Company's website**[21](index=21&type=chunk) [Forward-Looking Statements](index=3&type=section&id=Forward-Looking%20Statements) This section contains a standard disclaimer regarding forward-looking statements, cautioning investors that actual results may differ due to various risks and uncertainties. These factors include macroeconomic conditions, operational challenges, and market-specific risks - Includes 'forward-looking statements' subject to **risks and uncertainties** that could cause actual results to differ materially from expectations[23](index=23&type=chunk) - Factors include **inflationary pressures, changes in foreign trade policies, restrictive monetary policies, global economic conditions, fuel costs, adverse weather, legal proceedings, ability to grow, M&A, regulatory changes, and competitive factors**[24](index=24&type=chunk) - Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date made, and the Company does not undertake to update or revise them[24](index=24&type=chunk) [Non-GAAP Financial Measures](index=5&type=section&id=Non-GAAP%20Financial%20Measures) The report utilizes several non-GAAP financial measures, including Adjusted EBITDA, Adjusted EBITDA margin, net debt, free cash flow, and leverage ratio, to provide supplemental information for management and investors. Definitions and explanations of their calculation and limitations are provided, along with a note on the difficulty of reconciling forward-looking guidance to GAAP measures - Presents **Adjusted EBITDA, Adjusted EBITDA margin, net debt, free cash flow, and leverage ratio** as important non-GAAP financial measures[25](index=25&type=chunk) - Provides detailed definitions and calculation methodologies for each non-GAAP measure, such as Adjusted EBITDA (EBITDA adjusted for **loss on debt extinguishment, stock-based compensation, fair value changes, other expense, goodwill impairment, and other adjustments**)[26](index=26&type=chunk)[28](index=28&type=chunk)[29](index=29&type=chunk)[30](index=30&type=chunk) - These measures offer useful supplemental information for evaluating financial condition, operating results, and comparing with competitors, but have **limitations** and should not be considered in isolation from GAAP measures[27](index=27&type=chunk) - Forward-looking Adjusted EBITDA and free cash flow guidance are not reconciled to GAAP measures due to the **lack of predictability of reconciling items**[31](index=31&type=chunk) [Financial Statements](index=7&type=section&id=Financial%20Statements) This section presents the company's condensed consolidated financial statements, including balance sheets, statements of operations, cash flows, segment performance, and reconciliations of non-GAAP measures [Condensed Consolidated Balance Sheets](index=7&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) The condensed consolidated balance sheets provide a snapshot of the company's financial position as of April 30, 2025, and October 31, 2024, detailing assets, liabilities, and stockholders' equity | (in thousands) | As of April 30, 2025 | As of October 31, 2024 | | :----------------------------------- | :------------------- | :--------------------- | | Total Current Assets | $103,554 | $112,360 | | Total Assets | $878,790 | $897,990 | | Total Current Liabilities | $57,888 | $56,331 | | Long Term Debt, net | $417,346 | $373,260 | | Total Liabilities | $591,945 | $551,275 | | Total Stockholders' Equity | $261,845 | $321,715 | [Condensed Consolidated Statements of Operations](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) The condensed consolidated statements of operations present the company's revenues, expenses, and net income (loss) for the three and six months ended April 30, 2025, and 2024, reflecting the period's operational profitability | (in thousands, except per share amounts) | Three Months Ended April 30, 2025 | Three Months Ended April 30, 2024 | Six Months Ended April 30, 2025 | Six Months Ended April 30, 2024 | | :--------------------------------------- | :-------------------------------- | :-------------------------------- | :------------------------------ | :------------------------------ | | Revenue | $93,958 | $107,062 | $180,404 | $204,773 | | Gross profit | $36,182 | $41,767 | $67,417 | $75,081 | | Income from operations | $8,260 | $12,055 | $11,745 | $13,511 | | Net income (loss) | $(4) | $3,046 | $(2,643) | $(780) | | Loss available to common shareholders | $(430) | $2,616 | $(3,508) | $(1,650) | | Diluted Net income per common share | $(0.01) | $0.05 | $(0.07) | $(0.03) | [Condensed Consolidated Statements of Cash Flows](index=9&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) The condensed consolidated statements of cash flows detail the cash generated and used by operating, investing, and financing activities for the six months ended April 30, 2025, and 2024, showing a net decrease in cash and cash equivalents for the current period | (in thousands) | For the Six Months Ended April 30, 2025 | For the Six Months Ended April 30, 2024 | | :--------------------------------------- | :-------------------------------------- | :-------------------------------------- | | Net cash provided by operating activities | $30,767 | $29,445 | | Net cash used in investing activities | $(16,259) | $(23,581) | | Net cash used in financing activities | $(19,949) | $(4,135) | | Net increase (decrease) in cash and cash equivalents | $(5,253) | $2,095 | | Cash and cash equivalents, End of period | $37,788 | $17,956 | [Segment Revenue](index=10&type=section&id=Segment%20Revenue) Segment revenue data for the three and six months ended April 30, 2025, and 2024, illustrates the performance of each business unit, with U.S. Concrete Waste Management Services showing growth while U.S. Concrete Pumping and U.K. Operations experienced declines | (in thousands) | Three Months Ended April 30, 2025 | Three Months Ended April 30, 2024 | Six Months Ended April 30, 2025 | Six Months Ended April 30, 2024 | | :--------------------------------------- | :-------------------------------- | :-------------------------------- | :------------------------------ | :------------------------------ | | U.S. Concrete Pumping | $62,109 | $74,617 | $119,022 | $141,300 | | U.S. Concrete Waste Management Services | $18,057 | $16,898 | $34,750 | $32,518 | | U.K. Operations | $13,792 | $15,547 | $26,632 | $30,955 | | Total revenue | $93,958 | $107,062 | $180,404 | $204,773 | [Segment Adjusted EBITDA and Net Income (Loss)](index=10&type=section&id=Segment%20Adjusted%20EBITDA%20and%20Net%20Income%20(Loss)) This section provides detailed segment-level Adjusted EBITDA and Net Income (Loss) for the three and six months ended April 30, 2025, and 2024, including reclassified prior period results due to an updated corporate cost allocation methodology - During the first quarter of fiscal year 2025, the Company updated its methodology for allocating corporate costs, leading to **reclassification of segment results for prior periods** to conform to the current presentation[39](index=39&type=chunk) | (in thousands) | Q2 FY2025 Net Income (Loss) | Q2 FY2024 Net Income (Loss) | Q2 FY2025 Adjusted EBITDA | Q2 FY2024 Adjusted EBITDA | | :--------------------------------------- | :-------------------------- | :-------------------------- | :------------------------ | :------------------------ | | U.S. Concrete Pumping | $(1,601) | $937 | $12,663 | $17,471 | | U.S. Concrete Waste Management Services | $1,202 | $1,065 | $6,655 | $5,940 | | U.K. Operations | $395 | $1,044 | $3,179 | $4,137 | | Total | $(4) | $3,046 | $22,497 | $27,548 | | (in thousands) | YTD FY2025 Net Income (Loss) | YTD FY2024 Net Income (Loss) | YTD FY2025 Adjusted EBITDA | YTD FY2024 Adjusted EBITDA | | :--------------------------------------- | :--------------------------- | :--------------------------- | :------------------------- | :------------------------- | | U.S. Concrete Pumping | $(4,681) | $(2,265) | $21,800 | $29,064 | | U.S. Concrete Waste Management Services | $1,426 | $(172) | $11,701 | $10,427 | | U.K. Operations | $612 | $1,527 | $6,007 | $7,339 | | Total | $(2,643) | $(780) | $39,508 | $46,830 | [Quarterly Financial Performance](index=13&type=section&id=Quarterly%20Financial%20Performance) This table provides a historical overview of key financial metrics on a quarterly basis from Q1 2024 to Q2 2025, including revenue, net income, Adjusted EBITDA, capital expenditures, and diluted EPS, along with details on growth investments | (dollars in millions) | Revenue | Net Income | Adjusted EBITDA | Capital Expenditures | Adjusted EBITDA less Capital Expenditures | Earnings (Loss) Per Diluted Share | | :-------------------- | :------ | :--------- | :-------------- | :------------------- | :---------------------------------------- | :-------------------------------- | | Q1 2024 | $98 | $(4) | $19 | $17 | $3 | $(0.08) | | Q2 2024 | $107 | $3 | $28 | $7 | $21 | $0.05 | | Q3 2024 | $110 | $8 | $32 | $6 | $26 | $0.13 | | Q4 2024 | $111 | $9 | $34 | $2 | $32 | $0.16 | | Q1 2025 | $86 | $(3) | $17 | $4 | $13 | $(0.06) | | Q2 2025 | $94 | $0 | $22 | $12 | $10 | $(0.01) | - Capital expenditures included growth investments of approximately **$5 million** in Q1 2024, **$3 million** in Q2 2024 (plus **$1 million** M&A), **$4 million** in Q3 2024, **$3 million** in Q4 2024, **$2 million** in Q1 2025, and **$2 million** in Q2 2025[43](index=43&type=chunk)[44](index=44&type=chunk) [Reconciliation of Non-GAAP Measures](index=14&type=section&id=Reconciliation%20of%20Non-GAAP%20Measures) This section provides detailed reconciliations of non-GAAP financial measures, including Adjusted EBITDA and Net Debt, to their most comparable GAAP measures, both consolidated and by segment, for various periods [Reconciliation of Net Income to Reported EBITDA to Adjusted EBITDA](index=14&type=section&id=Reconciliation%20of%20Net%20Income%20to%20Reported%20EBITDA%20to%20Adjusted%20EBITDA) This reconciliation details the adjustments from net income to reported EBITDA and then to Adjusted EBITDA for consolidated results across various periods | (dollars in thousands) | Q2 FY2025 Consolidated | Q2 FY2024 Consolidated | YTD FY2025 Consolidated | YTD FY2024 Consolidated | | :--------------------------------------- | :--------------------- | :--------------------- | :---------------------- | :---------------------- | | Net income (loss) | $(4) | $3,046 | $(2,643) | $(780) | | Interest expense and amortization of deferred financing costs, net of interest income | $8,294 | $6,873 | $14,096 | $13,336 | | Income tax expense (benefit) | $(2) | $2,180 | $(1,038) | $1,169 | | Depreciation and amortization | $13,584 | $14,239 | $26,784 | $28,337 | | EBITDA | $21,872 | $26,338 | $37,199 | $42,062 | | Loss on debt extinguishment | - | - | $1,392 | - | | Stock based compensation | $538 | $737 | $905 | $1,273 | | Change in fair value of warrant liabilities | - | - | - | $(130) | | Other expense (income), net | $(28) | $(44) | $(62) | $(84) | | Other adjustments | $115 | $517 | $74 | $3,709 | | Adjusted EBITDA | $22,497 | $27,548 | $39,508 | $46,830 | - Other adjustments for the six months ended April 30, 2024, include a **$3.5 million non-recurring charge related to sales tax litigation**[45](index=45&type=chunk) [Reconciliation of Net Debt](index=15&type=section&id=Reconciliation%20of%20Net%20Debt) This reconciliation presents the calculation of net debt by subtracting cash from total debt outstanding across several quarterly periods | (in thousands) | April 30, 2024 | July 31, 2024 | October 31, 2024 | January 31, 2025 | April 30, 2025 | | :------------- | :------------- | :------------ | :--------------- | :--------------- | :------------- | | Senior Notes | $375,000 | $375,000 | $375,000 | $425,000 | $425,000 | | Revolving loan draws outstanding | $16,428 | - | $20 | - | - | | Less: Cash | $(17,956) | $(26,333) | $(43,041) | $(85,132) | $(37,788) | | Net debt | $373,472 | $348,667 | $331,979 | $339,868 | $387,212 | [Reconciliation of Historical Adjusted EBITDA](index=15&type=section&id=Reconciliation%20of%20Historical%20Adjusted%20EBITDA) This reconciliation provides a historical view of net income, EBITDA, and Adjusted EBITDA on a quarterly basis from Q1 2024 to Q2 2025 | (dollars in thousands) | Q1 2024 | Q2 2024 | Q3 2024 | Q4 2024 | Q1 2025 | Q2 2025 | | :--------------------- | :------ | :------ | :------ | :------ | :------ | :------ | | Net income (loss) | $(3,826)| $3,046 | $7,560 | $9,427 | $(2,639)| $(4) | | EBITDA | $15,723 | $26,338 | $31,393 | $33,540 | $15,327 | $21,872 | | Adjusted EBITDA | $19,281 | $27,548 | $31,638 | $33,680 | $17,011 | $22,497 | - Other adjustments for Q1 FY2024 include a **$3.5 million non-recurring charge related to sales tax litigation**[48](index=48&type=chunk)

Core Viewpoint - Concrete Pumping Holdings, Inc. reported a decrease in revenue and net income for the second quarter of fiscal year 2025, primarily due to challenges in the commercial and residential construction sectors, while the U.S. Concrete Waste Management segment showed growth [4][11][13]. Financial Performance - Revenue for Q2 FY 2025 was $94.0 million, down from $107.1 million in Q2 FY 2024, representing a decrease of 12.2% [4][39]. - Gross profit decreased to $36.2 million from $41.8 million year-over-year, with a gross margin decline to 38.5% from 39.0% [5][39]. - The company reported a net loss of $0.4 million, or $(0.01) per diluted share, compared to net income of $2.6 million, or $0.05 per diluted share, in the prior year quarter [7][39]. - Adjusted EBITDA was $22.5 million, down from $27.5 million, with an adjusted EBITDA margin of 23.9%, compared to 25.7% in the prior year [8][39]. Segment Performance - U.S. Concrete Pumping segment revenue fell to $62.1 million from $74.6 million, a decline of 16.8%, with a net loss of $1.6 million compared to net income of $0.9 million in the prior year [10][39]. - U.S. Concrete Waste Management Services saw a revenue increase of 7% to $18.1 million, with net income rising to $1.2 million from $1.1 million [11][39]. - U.K. Operations revenue decreased to $13.8 million from $15.5 million, with net income dropping to $0.4 million from $1.0 million [12][39]. Liquidity and Debt - As of April 30, 2025, the company had $425.0 million in debt, with net debt of $387.2 million and total available liquidity of $352.5 million, an increase from $216.9 million a year ago [9][39]. Share Repurchase Program - The board approved a $15 million increase to the share repurchase program, bringing total authorizations to $50 million since its inception in June 2022 [15][16][17]. Outlook - The company expects FY 2025 revenue to be between $380 million and $390 million, with adjusted EBITDA projected between $95 million and $100 million, and free cash flow around $45 million [13].

Core Viewpoint - Concrete Pumping Holdings, Inc. (CPH) will hold a conference call on June 5, 2025, to discuss its financial results for the second quarter ended April 30, 2025 [1][2]. Company Overview - CPH is a leading provider of concrete pumping and waste management services in the U.S. and U.K., operating under established national brands: Brundage-Bone in the U.S., Camfaud in the U.K., and Eco-Pan for waste management [3]. - The company operates approximately 90 branch locations across 22 states in the U.S. and 35 branch locations in the U.K. as of January 31, 2025 [3]. - CPH's services aim to deliver labor cost savings, shorten concrete placement times, enhance worksite safety, and improve construction quality [3]. Conference Call Details - The conference call will be hosted by CEO Bruce Young and CFO Iain Humphries, followed by a Q&A session [2]. - The call is scheduled for June 5, 2025, at 5:00 p.m. Eastern Time, with dial-in numbers provided for both toll-free and international participants [2]. - A replay of the conference call will be available after 8:00 p.m. Eastern Time on the same day through June 12, 2025 [3].

Group 1 - Concrete Pumping Holdings (NASDAQ: BBCP) is highlighted as a bullish investment opportunity within the concrete pumping services industry [1] - The company operates in a sector that is essential for construction and infrastructure projects, indicating potential for growth [1] Group 2 - The focus on cash flow generation is emphasized, suggesting that companies in the oil and natural gas sector, including Concrete Pumping Holdings, may have strong value and growth prospects [1]

Financial Data and Key Metrics Changes - Revenue for Q1 2025 was $86.4 million, down from $97.7 million in the same quarter last year, primarily due to declines in the U.S. Concrete Pumping segment [13][14] - Gross margin increased by 200 basis points to 36.1% compared to 34.1% in the prior year quarter, driven by cost control initiatives [16] - Net loss available to common shareholders was $3.1 million or $0.06 per diluted share, an improvement from a net loss of $4.3 million or $0.08 per diluted share in the prior year [17] - Adjusted EBITDA for Q1 was $17 million, down from $19.3 million in the same year-ago quarter, but the adjusted EBITDA margin remained unchanged at 19.7% [17][18] Business Line Data and Key Metrics Changes - U.S. Concrete Pumping segment revenue decreased to $56.9 million from $66.7 million year-over-year, impacted by severe winter weather [14] - UK operations revenue was $12.8 million, down from $15.4 million, due to lower volumes from a slowdown in commercial construction [15] - U.S. Concrete Waste Management Services segment revenue increased by 7% to $16.7 million compared to $15.6 million in the prior year quarter, driven by increased volumes and improved pricing [15] Market Data and Key Metrics Changes - The commercial end market experienced construction softness, particularly in light commercial and warehouse sectors, while the residential end market remained resilient [9][10] - Infrastructure market revenue share grew slightly year-over-year, with expectations for continued growth in fiscal 2025 due to favorable funding environments [11] Company Strategy and Development Direction - The company is focused on disciplined fleet management and cost control strategies to enhance gross margins and sustain adjusted EBITDA margins [8] - A flexible capital investment strategy is in place to position the company well for market recovery in fiscal 2025 and beyond [8][27] - The company is exploring M&A opportunities as the market is expected to improve later this year and into next year [48] Management's Comments on Operating Environment and Future Outlook - Management noted that higher interest rates and extreme weather conditions negatively impacted revenue, estimating a $5 million revenue loss due to weather in Q1 [6][7] - The company expects fiscal year 2025 revenue to range between $400 million and $420 million, with adjusted EBITDA between $105 million and $115 million [25] - Management remains optimistic about a recovery in commercial market demand and is focused on long-term strategic growth [27][30] Other Important Information - The company successfully closed a private offering of $425 million in senior secured second lien notes, which were used to pay off existing debt and fund a special dividend of $1 per share [20][21] - The company repurchased approximately 296,000 shares for $1.9 million during the first quarter, demonstrating commitment to shareholder value [23] Q&A Session Summary Question: How much of the revenue guide reduction is due to the first quarter shortfall? - Management indicated that the guide was adjusted based on a comprehensive view of the entire year, with some impact from Q1 shortfall due to weather and market demand [36] Question: What is the expected revenue split between the first and second halves of the year? - Management expects a slight softness in Q2 but maintains a 45-55 split for the year [38] Question: Was there a weather impact on the Eco-Pan segment? - Yes, Eco-Pan faced similar weather challenges, but it benefits from a wider market due to concrete production [52] Question: What markets are experiencing excess equipment capacity? - There is still a surplus of equipment in the market, particularly affecting residential and light commercial sectors [55] Question: Will capital expenditures ramp up in the future? - Management does not expect significant changes in capital expenditures, as they have sufficient fleet capacity to meet current demand [58]

Financial Data and Key Metrics Changes - Revenue for Q1 2025 was $86.4 million, down from $97.7 million in Q1 2024, primarily due to a decline in the U.S. Concrete Pumping segment and severe winter weather [13][14] - Gross margin increased by 200 basis points to 36.1% compared to 34.1% in the prior year quarter, driven by cost control initiatives [16] - Net loss available to common shareholders was $3.1 million or $0.06 per diluted share, an improvement from a net loss of $4.3 million or $0.08 per diluted share in the prior year [17] - Adjusted EBITDA for Q1 2025 was $17 million, down from $19.3 million in the same year-ago quarter, but the adjusted EBITDA margin remained unchanged at 19.7% [18] Business Line Data and Key Metrics Changes - U.S. Concrete Pumping segment revenue decreased to $56.9 million from $66.7 million due to a slowdown in commercial construction and weather impacts [14] - UK operations revenue was $12.8 million, down from $15.4 million, attributed to lower volumes from commercial construction [15] - U.S. Concrete Waste Management Services segment revenue increased by 7% to $16.7 million, driven by increased volumes and improved pricing [15] Market Data and Key Metrics Changes - The commercial end market experienced construction softness, particularly in light commercial and warehouse sectors, while larger projects remained durable but slower [9] - The residential end market showed resilience, with 33% of total revenue coming from residential concrete pumping work [10] - Infrastructure market revenue share grew slightly year-over-year, with expectations for continued growth in fiscal 2025 [11] Company Strategy and Development Direction - The company is focused on disciplined fleet management and cost control to enhance gross margins and sustain adjusted EBITDA margins [8] - A flexible capital investment strategy is in place to prepare for market recovery in fiscal 2025 and beyond [8] - The company is exploring M&A opportunities as the market improves, indicating a shift in capital allocation priorities [48] Management's Comments on Operating Environment and Future Outlook - Management noted that higher interest rates and extreme weather conditions negatively impacted revenue, estimating a $5 million revenue loss due to weather in Q1 [6][7] - The company expects a recovery in commercial market demand and is optimistic about the impact of improved weather patterns [29] - Full-year revenue guidance was adjusted to a range of $400 million to $420 million, with adjusted EBITDA expected between $105 million and $115 million [25] Other Important Information - Total debt outstanding was $425 million, with net debt of $340 million, reflecting a decrease of $33 million over the year [20] - The company successfully closed a private offering of $425 million in senior secured second lien notes, which were used for debt redemption and a special dividend of $1 per share [21][22] - Approximately 296,000 shares were repurchased for $1.9 million during the first quarter, with a total of $20 million repurchased since the buyback was initiated [23] Q&A Session Summary Question: Revenue guidance reduction - Management indicated that the revenue guidance was adjusted due to both the shortfall in Q1 and a broader assessment of the entire fiscal year [36] Question: Weather-related disruptions - Management confirmed that weather-related disruptions were more severe than in the previous year, impacting volume significantly [41] Question: Capital allocation priorities - Management emphasized a commitment to maintaining a disciplined approach to capital allocation, including debt reduction and potential M&A opportunities [47][48] Question: Eco-Pan segment performance - The Eco-Pan segment faced similar weather challenges but benefited from a broader market share [52] Question: Equipment capacity and pricing dynamics - Management acknowledged a surplus of equipment in the market, primarily affecting residential and light commercial sectors [55] Question: Future CapEx expectations - Management indicated that there would not be significant changes in capital expenditures, as current fleet capacity is sufficient for expected volumes [58] Question: Margin dynamics - Management explained that effective control over variable costs, including labor and fuel, helped maintain margins despite lower volumes [66] Question: Concrete Waste Management Services growth - Management noted that growth in the Eco-Pan segment was impacted by weather, and pricing improvements were modest [68]