Primoris(PRIM)2025-02-24 22:42Revenue and Customer Concentration - Revenue from projects performed under Master Service Agreements (MSAs) was 36.8% in 2024, 36.7% in 2023, and 45.8% in 2022 of total revenue[25] - The top ten customers contributed 41.3% of total revenue in 2024, 41.1% in 2023, and 46.1% in 2022, indicating a slight decrease in revenue concentration[27] - The company selectively bids on projects that align with profitability objectives and aims to minimize concentration of work with any one customer[23] Workforce and Employee Development - The company maintains a stable workforce of skilled professionals, emphasizing self-performance of a significant portion of its work[23] - As of December 31, 2024, approximately 22.9% of hourly employees were covered by collective bargaining agreements[56] - The company has 3,074 salaried employees and 12,642 hourly employees as of December 31, 2024[57] - The company maintains a strong focus on employee development through various training programs, including leadership development[61] - The company emphasizes diversity and inclusion, prohibiting discrimination based on various factors[60] - The company offers a competitive compensation program, including stock-based compensation for management and key personnel[63] Financial Structure and Capital Management - The company has a conservative capital structure, maintaining a strong balance sheet to support operations and access to debt financing[23] - The company has 3.8 million[328] - The company is exposed to risks related to market conditions, including fluctuations in foreign currency exchange rates, interest rates, and commodity prices[326] Safety and Incident Rates - The Lost Time Injury Rate (LTIR) for the year ended December 31, 2024, was 0.08, significantly lower than the industry average of 1.0[62] - The Total Recordable Incident Rate (TRIR) for the year ended December 31, 2024, was 0.50, compared to the industry average of 2.3[62] Market Focus and Growth Strategy - The company focuses on higher growth end markets such as renewable energy, utilities, and communications, evaluating acquisitions for growth opportunities[23] - The average project size is less than $3.0 million, with project values ranging from several hundred dollars to several hundred million dollars[31] - Seasonal impacts can affect revenue and profitability, with typically higher earnings in the second, third, and fourth quarters compared to the first quarter[30] - The company has longstanding relationships with major energy and utility companies, ensuring a diverse customer base[24] - The company’s services are primarily provided under renewable MSAs on a "unit-price" basis, with a history of high renewal rates[38]