Revenue Performance - The termination of the PCC Contract resulted in a revenue decrease of approximately $168 million annually, with total revenue of $24.1 million for Q1 2025 compared to $53.6 million for Q1 2024 [136]. - Total revenue decreased by $36.8 million, or 34%, in Q1 2025 compared to the same period in 2024, primarily due to lower revenue from the Government segment [142]. - Total revenue for the three months ended March 31, 2025, was $69.9 million, a decrease of 34% from $106.7 million in the same period of 2024 [170]. - Services income decreased by 31% to $50.1 million, down from $72.4 million, primarily due to lower revenue in the Government segment following contract terminations [170][171]. - Specialty rental income fell by 56% to $15.0 million from $34.3 million, attributed to the same contract terminations in the Government segment [170][172]. - Government segment revenue decreased by 62% to $25.7 million from $67.6 million, primarily due to the termination of the PCC and STFRC contracts, which accounted for approximately $30 million and $12 million of the revenue decrease, respectively [187][188]. Profitability Metrics - The company reported a net loss of approximately $(6.5) million for Q1 2025, compared to net income of approximately $20.4 million for Q1 2024 [142]. - Consolidated Adjusted EBITDA for Q1 2025 was $21.6 million, a decrease of $32.1 million or 60% compared to the same period in 2024 [144]. - Adjusted gross profit was significantly impacted, resulting in a gross profit of $17.9 million, a 63% decrease from $49.1 million in the prior year [170]. - For the three months ended March 31, 2025, the company reported a gross profit of $17.964 million, down from $49.068 million in the same period of 2024, resulting in an adjusted gross profit of $31.636 million compared to $63.849 million [232]. - The net income (loss) for the three months ended March 31, 2025, was $(6.459) million, a significant decrease from a net income of $20.383 million in the same period of 2024 [234]. - EBITDA for the three months ended March 31, 2025, was $16.569 million, compared to $49.779 million for the same period in 2024, while adjusted EBITDA was $21.571 million, down from $53.688 million [234]. Cash Flow and Liquidity - Cash flows from operations for Q1 2025 were approximately $3.9 million, a decrease of $46.7 million or 92% compared to $50.6 million in Q1 2024 [141]. - Net cash provided by operating activities was $3.9 million for the three months ended March 31, 2025, a significant decline from $50.6 million in the same period of 2024 [197]. - Net cash used in investing activities increased to $17.2 million from $8.9 million, primarily due to $15.5 million in growth capital expenditures related to the WHS operating segment [199]. - Net cash used in financing activities surged to $142.9 million from $21.3 million, driven by the full redemption of the 2025 Senior Secured Notes totaling $181.4 million [200]. - As of March 31, 2025, the ABL Facility had an unused available borrowing capacity of $134.1 million, providing sufficient liquidity for the next 12 months [192][204]. Contracts and Future Revenue - The Workforce Housing Contract with Lithium Nevada is expected to generate approximately $140 million in revenue over its initial term, with about $76 million of committed minimum revenue, and $68 million anticipated in 2025 [135]. - The DIPC Contract is expected to provide over $246 million in revenue over its five-year term, with a ramp-up period affecting initial revenue amounts [139]. - The DIPC Contract is expected to generate over $246 million in revenue over its five-year term, starting March 5, 2025 [166]. - The Workforce Housing Contract is projected to generate approximately $140 million in revenue, with $76 million in committed minimum revenue expected in 2025 [167]. Expenses and Cost Management - Selling, general and administrative expenses remained relatively stable at $14.8 million, with a slight decrease from $14.9 million in the previous year [177]. - The company incurred approximately $21.2 million in capital expenditures during the three months ended March 31, 2025, with $15.5 million allocated to the new WHS operating segment [195]. - The company incurred transaction expenses of $2.830 million during the three months ended March 31, 2025, compared to $240,000 in the same period of 2024 [234]. - Stock-based compensation expenses for the three months ended March 31, 2025, were $1.716 million, down from $2.748 million in the same period of 2024 [234]. Risk Factors - Major customers accounted for 34% and 11% of revenues for the three months ended March 31, 2025, indicating a concentration risk in revenue sources [208]. - The company did not hedge its exposure to commodity prices, which could affect profitability and cash flows due to volatility [238]. - As of March 31, 2025, the company had $40.9 million of outstanding floating-rate obligations, exposing it to increased interest expense if short-term interest rates rise [236]. - If floating interest rates increased by 100 basis points, the company's consolidated interest expense would rise by approximately $0.4 million annually [236].

For the quarter ended March 2025, Target Hospitality (TH) reported revenue of $69.9 million, down 34.5% over the same period last year. EPS came in at -$0.05, compared to $0.20 in the year-ago quarter.The reported revenue represents a surprise of +6.93% over the Zacks Consensus Estimate of $65.37 million. With the consensus EPS estimate being -$0.02, the EPS surprise was -150.00%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to dete ...

Group 1: Earnings Performance - Target Hospitality reported a quarterly loss of $0.05 per share, missing the Zacks Consensus Estimate of a loss of $0.02, compared to earnings of $0.20 per share a year ago, representing an earnings surprise of -150% [1] - The company posted revenues of $69.9 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 6.93%, but down from year-ago revenues of $106.67 million [2] - Over the last four quarters, Target Hospitality has surpassed consensus EPS estimates three times and topped consensus revenue estimates four times [2] Group 2: Stock Performance and Outlook - Target Hospitality shares have lost about 26.5% since the beginning of the year, while the S&P 500 has gained 1.3% [3] - The company's earnings outlook is crucial for investors, with current consensus EPS estimates at -$0.10 on $59.43 million in revenues for the coming quarter and -$0.25 on $273.03 million in revenues for the current fiscal year [7] - The estimate revisions trend for Target Hospitality is currently favorable, resulting in a Zacks Rank 2 (Buy) for the stock, indicating expected outperformance in the near future [6] Group 3: Industry Context - The Leisure and Recreation Services industry, to which Target Hospitality belongs, is currently in the top 36% of over 250 Zacks industries, suggesting a positive outlook for stocks in this sector [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]

Financial Data and Key Metrics Changes - Total revenue for Q1 2025 was approximately $70 million, with adjusted EBITDA of approximately $22 million [14] - The company ended the quarter with $35 million in cash and $169 million in total liquidity, with a net leverage ratio of 0.1 times [19] - The financial outlook for 2025 consists of total revenue between $265 million and $285 million and adjusted EBITDA between $47 million and $57 million [19] Business Segment Data and Key Metrics Changes - The Government segment produced quarterly revenue of approximately $26 million, a decrease primarily due to the termination of the PCC contract and the South Texas Family Residential Center contract [14] - The HFS and All Other segments delivered quarterly revenue of approximately $44 million, benefiting from consistent customer demand [15] - The Workforce Hospitality Solutions segment generated approximately $5 million of revenue in Q1, with the majority of construction revenue expected in Q2 and Q3 [17] Market Data and Key Metrics Changes - The company is experiencing strong demand for hospitality solutions to support significant workforce requirements associated with large industrial projects across the U.S. [8] - The government segment is actively pursuing growth opportunities related to immigration initiatives, with a focus on reactivating facilities and supporting policy objectives [9][10] Company Strategy and Development Direction - The company announced two multi-year contracts expected to generate over $380 million in revenue, illustrating its ability to support critical domestic initiatives [5] - The strategic growth initiatives are focused on expanding and diversifying the contract portfolio across end markets, including both commercial and government sectors [12] - The company is evaluating a robust growth pipeline, particularly in large capital investments aimed at modernizing domestic infrastructure [8] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strength of the existing customer base and operational flexibility, supporting a resilient business model [12] - The company is optimistic about the growth opportunities stemming from significant domestic capital investments and national security initiatives [20] - Management emphasized the importance of maintaining financial flexibility to react to value-enhancing opportunities as they arise [20] Other Important Information - The company redeemed all outstanding senior notes due in June 2025, resulting in expected annual interest savings of over $19 million [18] - The reactivation of the Dilley, Texas facility is progressing ahead of schedule, with expectations for full activation by September 2025 [14] Q&A Session Summary Question: Opportunities on idle assets in the government side - Management indicated strong interest in West Texas assets and ongoing conversations with the government, emphasizing the facility's readiness for immediate occupancy once funding is secured [28] Question: Contract details on the lithium front - The majority of revenue from the workforce subcontract will come from construction activities, expected to contribute about $65 million this year, with service revenue kicking in through 2027 [30][31] Question: M&A or new asset considerations - Management noted strong bid activity in large domestic infrastructure projects and indicated that immediate government opportunities may not require significant capital investment [38][42] Question: Trends in ADR and demand - Management stated that while utilization is slightly up, ADR is down due to a competitive market, with expectations for the remaining quarters to resemble Q1 [46] Question: Financial cadence for the WorkhorseHub contract - The majority of construction activity is expected in Q3, with Q4 being a minimal wrap-up period [50][52] Question: Opportunities to assist the government on immigration policy - Management plans to utilize existing assets first and then consider open market options or new builds if necessary [54]

Financial Performance - Revenue for Q1 2025 was $69.9 million, a decrease of 34.5% compared to $106.7 million in Q1 2024[6] - Net loss for Q1 2025 was $6.5 million, compared to a net income of $20.4 million in Q1 2024[7] - Adjusted EBITDA for Q1 2025 was $21.6 million, down from $53.7 million in Q1 2024[7] - Operating income for Q1 2025 was a loss of $1.1 million, compared to an operating income of $30.4 million in Q1 2024[42] - Specialty rental income for Q1 2025 was $15.0 million, down 56.3% from $34.3 million in Q1 2024[42] - Adjusted EBITDA for Q1 2025 was $21.6 million, down 59.9% from $53.7 million in Q1 2024[49] - The company reported a loss on extinguishment of debt amounting to $2.4 million in Q1 2025[42] Liquidity and Capital Structure - Total available liquidity as of March 31, 2025, was approximately $169 million, with a net leverage ratio of 0.1x[11] - Cash and cash equivalents decreased to $34.5 million as of March 31, 2025, from $190.7 million at the end of 2024, a decline of 81.9%[44] - Total liabilities decreased to $147.3 million as of March 31, 2025, from $304.7 million at the end of 2024, a reduction of 51.7%[44] - The company redeemed all $181.4 million of Senior Secured Notes, expecting annual interest expense savings of approximately $19.5 million[10] Contracts and Future Projections - The multi-year Workforce Hub Contract is expected to generate approximately $140 million in revenue through 2027[6] - A 5-year $246 million Dilley Contract was awarded, effective March 5, 2025, reactivating assets in South Texas[6] - The company projects total revenue for 2025 to be between $265 million and $285 million, with Adjusted EBITDA between $47 million and $57 million[24] Operational Metrics - Average utilized beds decreased to 9,898 in Q1 2025 from 14,049 in Q1 2024, resulting in a utilization rate of 60% compared to 87%[5] - Capital expenditures for Q1 2025 were approximately $21.2 million, including $15.5 million in growth capital[9] - The company incurred transaction expenses of $2.8 million related to acquisition activities during Q1 2025[35] - Depreciation of specialty rental assets was $13.7 million in Q1 2025, slightly down from $14.8 million in Q1 2024[49]

Target Hospitality (TH) FY Conference May 07, 2025 03:00 PM ET Speaker0 Good afternoon, everyone. I'm Scott Schneeberger, the senior business and industrial services analyst at Oppenheimer. Thank you all for joining us today. It's my pleasure to have with us from Target Hospitality CFO, Jason Vlasic, and from Investor Relations, not on screen, but in the background, Mark Schuck, to speak on the company's investment story today. We'll be using a fireside chat format. I'll ask management some high level quest ...

MONTREAL, April 11, 2025 (GLOBE NEWSWIRE) -- Theratechnologies Inc. (“Theratechnologies” or the “Company”) (TSX: TH) (NASDAQ: THTX), a commercial-stage biopharmaceutical company, wishes to address its shareholders in response to a press release issued today by Future Pak, LLC (“Future Pak”) regarding its proposals to acquire the Company. The Company believes its shareholders should be aware of the following: In August 2024, the Company received a first unsolicited non-binding proposal from Future Pak to acq ...

Core Insights - Theratechnologies reported a total revenue of $19 million for Q1 2025, reflecting a year-over-year growth of 17% [2][14] - The company achieved a net profit of $117,000, a significant improvement from a net loss of $4.48 million in Q1 2024 [28] - The approval of EGRIFTA WR™ by the FDA is expected to enhance the company's growth trajectory in the HIV treatment market [3][35] Financial Performance - EGRIFTA SV net sales reached $13.88 million, up 44.8% from $9.59 million in Q1 2024, primarily due to higher unit sales and a price increase [2][15] - Trogarzo sales decreased by 22.4% to $5.17 million, attributed to lower unit sales and increased government rebates [2][17] - Adjusted EBITDA for Q1 2025 was $2.32 million, compared to a loss of $247,000 in the same period last year, indicating improved operational efficiency [26] Recent Developments - The FDA approved the supplemental Biologics License Application for EGRIFTA WR™ on March 25, 2025, which is anticipated to drive further adoption [3][35] - The company faced a temporary supply disruption for EGRIFTA SV due to a manufacturing shutdown, but resumed distribution on February 14, 2025 [6][34] - The approval of the Prior Approval Supplement (PAS) for EGRIFTA SV on April 7, 2025, allows for regular distribution without further FDA authorization [9][35] Research and Development - R&D expenses decreased by 21.2% to $2.97 million in Q1 2025, mainly due to reduced spending on life-cycle management projects [20] - The company presented data highlighting the limitations of using BMI to assess cardiovascular risk in people with HIV, emphasizing the need for better screening methods [10] Guidance and Future Outlook - The company estimates FY2025 revenue to be between $80 million and $83 million, considering the impact of the supply disruption and the new product launch [12] - The transition from EGRIFTA SV to EGRIFTA WR™ is crucial for meeting financial covenants and sustaining revenue growth [36]

Target Hospitality Corp. (NASDAQ:TH) Q4 2024 Earnings Conference Call March 26, 2025 9:00 AM ET Company Participants Mark Schuck - SVP, IR Brad Archer - President and CEO Jason Vlacich - CFO and Chief Accounting Officer Conference Call Participants Stephen Gengaro - Stifel Scott Schneeberger - Oppenheimer Greg Gibas - Northland Securities Operator Good morning. And welcome to the Target Hospitality Fourth Quarter and Full Year 2024 Earnings Call. At this time all lines are in a listen-only mode. Following y ...

Operations and Services - Target Hospitality serves approximately 15,000,000 meals annually, emphasizing fresh ingredients and scratch-made meals[22]. - The company operates a network of communities designed to promote safety and productivity, featuring amenities such as fitness centers, commercial kitchens, and 24-hour security[24]. - Target Hospitality has expanded its community network significantly, adding approximately 4,500 beds through acquisitions in the HFS – South region[26]. - The company has a vertically integrated business model that supports the entire value chain from site identification to long-term community development[26]. - Target Hospitality's facilities are strategically located to reduce commute times for workers, enhancing safety and productivity[35]. - Target Hospitality's "Target 12" service model focuses on optimizing workforce engagement and productivity during non-working hours[19]. - The company is well-positioned to support long-term projects, with facilities designed for multi-year commitments and exclusivity provisions[27]. - The company has established a leadership position in providing integrated hospitality services to U.S. government service providers and major natural resource development companies[14]. Financial Performance - Approximately 64% of the company's revenues in 2024 were comprised of minimum revenue amounts, and about 99% were under contract, including exclusivity provisions[42]. - The government segment accounts for approximately 58% of the company's revenue for the year ended December 31, 2024[51]. - The company has a total liquidity of approximately $365.7 million as of December 31, 2024, including $190.7 million in cash and cash equivalents[43]. - The Government segment generated approximately 58% or $224.7 million of the Company's revenue for the year ended December 31, 2024[57]. - The HFS – South segment generated approximately 39% or $149.9 million of the Company's revenue for the year ended December 31, 2024[61]. - The Company executed a new contract with the NP Partner effective November 16, 2023, with a minimum annual revenue contribution of approximately $390 million[78]. - The Expanded Contract, which was executed on May 15, 2023, increased the contract value and extended the period of performance through November 15, 2023[78]. Customer Relationships and Market Position - The company has maintained a consistent client renewal rate of over 85% for the last five years, demonstrating strong customer retention[42]. - The company has established long-standing relationships with approximately 330 diversified customers, including major blue-chip companies[38]. - The company aims to enhance contract scope and services, expanding its presence across multiple government agencies to create growth opportunities[43]. Employee and Operational Management - The Company employed approximately 770 people as of December 31, 2024, with approximately 600 in the HFS – South segment[86]. - Approximately 45% of eligible employees participated in the Health & Safety program in 2024[88]. - The Company offers a variety of compensation and benefits programs designed to attract and retain employees, including retirement savings plans and medical insurance[89]. - The Company is committed to employee training and development, with new hires expected to attend orientation training within 90 days of hire[91]. - The Company encourages open communication through staff meetings at every community to evaluate employee experience and retention efforts[90]. Infrastructure and Facilities - As of December 31, 2024, the company operates 26 strategically located communities with a total of 16,865 beds, primarily in high-demand regions of the southwestern U.S.[38]. - The Dilley Immigration Processing Center includes 524,000 square feet of building space with 2,400 beds[55]. - The Company has facilities and operations for one community in Canada and three communities in North Dakota[63]. - The Company's operations in the Government segment are primarily backed by a committed U.S. government contract[78]. Corporate Governance and Reporting - The Company provides free access to its financial reports through its website, including Annual Reports and Quarterly Reports[94]. - The Company operates primarily under the Target Hospitality brand, with trademarks registered or pending registration[92]. - The Company’s corporate headquarters is located in The Woodlands, Texas, operating from a single leased office[93]. Strategic Growth and Acquisitions - The company selectively pursues acquisitions to diversify its service offerings and customer base, focusing on high returns on invested capital[41]. - The Company has a strong pipeline of growth opportunities, including solutions supporting U.S. government immigration policies[54]. Financial Obligations and Risks - The Company’s operating lease right of use assets totaled $24.9 million and operating lease liabilities totaled $26 million as of December 31, 2024[353]. - The Company has $0 of outstanding floating-rate obligations under its credit facilities as of December 31, 2024[341]. - The Company does not currently hedge its exposure to commodity prices, which may affect profitability and cash flows[343].