Bowman(BWMN) - 2024 Q3 - Quarterly Report

Financial Performance - Gross contract revenue for Q3 2024 was $113.9 million, a year-over-year increase of 20.7$94.4 million in Q3 2023[148] - For the nine months ended September 30, 2024, gross contract revenue reached $313.3 million, reflecting a year-over-year growth of 23.7$253.3 million in the same period of 2023[148] - Net income for Q3 2024 was $0.8 million, down from$1.2 million in Q3 2023, while Adjusted EBITDA increased to $17.0 million from$15.1 million[148] - Adjusted EBITDA for Q3 2024 was $16.97 million, with an adjusted EBITDA margin of 16.7$1.9 million or 12.7% to $17.0 million for the three months ended September 30, 2024, compared to$15.1 million for the same period in 2023[195] - Adjusted EBITDA increased by $6.7 million or 18.8$42.5 million for the nine months ended September 30, 2024, compared to $35.8 million for the same period in 2023[215] Revenue Composition - The company reported that gross contract revenue derived from its workforce was 89.0$23.3 million to the increase in gross contract revenue for Q3 2024[175] - Revenue from emerging markets surged by $11.7 million or 280.5$8.3 million or 24.9% to $41.7 million in Q3 2024, accounting for 76.8$13.1 million or 28.4% to $59.2 million in Q3 2024 compared to$46.1 million in Q3 2023[186] - Total contract costs for Q3 2024 increased by $8.6 million or 18.8$54.3 million, representing 47.7% of total contract revenue[181] - Total contract costs increased by $26.7 million or 21.5$150.8 million for the nine months ended September 30, 2024, compared to $124.1 million for the same period in 2023[202] - Direct payroll costs increased by$24.2 million or 25.7% to $118.5 million for the nine months ended September 30, 2024, compared to$94.3 million for the same period in 2023[203] - Total operating expenses rose by $39.8 million or 31.5$166.0 million for the nine months ended September 30, 2024, compared to $126.2 million for the same period in 2023[207] Tax and Income - Income tax benefit for Q3 2024 was$1.9 million, an increase of $1.8 million from a$0.1 million benefit in Q3 2023[191] - Income tax benefit increased by $4.6 million to$6.5 million for the nine months ended September 30, 2024, compared to $1.9 million for the same period in 2023[211] - Loss before tax increased by$2.2 million to ($1.1) million for the three months ended September 30, 2024, compared to$1.1 million of income for the same period in 2023[192] Financing and Capital Structure - On April 1, 2024, the company raised approximately $51.1 million from a common stock offering, issuing 1,502,942 shares at$34.00 per share[152] - The Company entered into a new $100 million revolving credit facility, replacing the previous$70 million facility, with an outstanding balance of $32.3 million as of September 30, 2024[228] - Interest rates on the new revolving credit facility range from 7.22$28.6 million as of September 30, 2024, with fixed interest rates, indicating no exposure to market risk related to these obligations[240] - The New Credit Agreement requires compliance with certain financial covenants, including a fixed charge coverage ratio and leverage ratio of debt to EBITDA[228] - The Company is in compliance with all covenants under the New Credit Agreement as of September 30, 2024[228] Growth and Backlog - Backlog increased by $74.1 million or 24.2$379.8 million during the nine months ended September 30, 2024, compared to $305.7 million at December 31, 2023[217] - The Company evaluates options for capital and operational growth, considering structured debt and equity as potential sources of additional capital[229]