Southland (US:SLND)2024-11-12 21:36Financial Performance - Revenue for the quarter ended September 30, 2024, was $173.3 million, a decrease of $139.2 million, or 44.5%, compared to the same quarter in 2023[5] - Gross loss for the quarter ended September 30, 2024, was $51.1 million, compared to a gross profit of $29.5 million for the same quarter in 2023, resulting in a gross margin decrease from 9.5% to (29.5)%[6] - Net loss attributable to stockholders for the quarter ended September 30, 2024, was $54.7 million, or $(1.14) per share, compared to a net income of $3.8 million, or $0.08 per share for the same quarter in 2023[2] - EBITDA for the quarter ended September 30, 2024, was $(58.7) million, compared to $22.3 million for the same quarter in 2023[3] - For the nine months ended September 30, 2024, revenue was $712.9 million, a decrease of $131.3 million, or 15.6%, compared to the same period in 2023[8] - Gross loss for the nine months ended September 30, 2024, was $70.7 million, compared to a gross profit of $14.7 million for the same period in 2023, with a gross margin decrease from 1.7% to (9.9)%[9] - The company reported a net loss of $102,959,000 for the nine months ended September 30, 2024, compared to a net loss of $11,376,000 for the same period in 2023[20] - Adjusted net loss attributable to common stockholders was $54,727,000 for the three months ended September 30, 2024, compared to an adjusted net income of $3,800,000 for the same period in 2023[17] Assets and Liabilities - Total assets decreased to $1,186,794,000 as of September 30, 2024, from $1,201,068,000 as of December 31, 2023[19] - Cash and cash equivalents increased to $91,378,000 as of September 30, 2024, from $49,176,000 as of December 31, 2023[19] - Total liabilities increased to $430,564,000 as of September 30, 2024, compared to $356,537,000 as of December 31, 2023[19] - The company reported a total stockholders' equity of $149,064,000 as of September 30, 2024, down from $249,622,000 as of December 31, 2023[19] - The company had borrowings on notes payable of $167,784,000 for the nine months ended September 30, 2024, compared to $115,355,000 for the same period in 2023[20] Cash Flow and Expenses - Cash flows from operating activities showed a net cash used of $36,588,000 for the nine months ended September 30, 2024[20] - Selling, general, and administrative expenses for the quarter ended September 30, 2024, were $17.5 million, an increase of $2.2 million, or 14.7%, compared to the same quarter in 2023[7] - Southland's cash paid for interest increased to $18,886 from $12,704, representing a 48.5% increase year-over-year[21] Business Segments and Operations - Backlog as of September 30, 2024, was $2.74 billion, an increase from $2.54 billion as of September 30, 2023[3] - The Transportation segment accounted for 67.8% of total revenue in the quarter ended September 30, 2024, down from 71.0% in the same quarter of 2023[11] - Materials & Paving business contributed $17.5 million to revenue in the quarter ended September 30, 2024[5] Other Financial Metrics - Lease assets obtained in exchange for new leases rose to $9,881 from $8,529, a growth of 15.8%[21] - Assets obtained in exchange for notes payable surged to $23,286 from $8,626, marking an increase of 169.8%[21] - Related party payable exchanged for notes payable amounted to $3,797, with no previous year comparison available[21] - The issuance of post-merger earnout shares was recorded at $0, compared to $35,000 in the previous year[21] - Dividend financed with notes payable was $0, down from $50,000 in the prior year[21] Company Overview - Southland is a leading provider of specialized infrastructure construction services, with a history dating back to 1900[23] - The company serves various end markets including bridges, tunneling, and water treatment[23] - Southland's financial measures include non-GAAP metrics such as Adjusted EBITDA, which provide insights into financial trends[25] - Forward-looking statements indicate that actual results may differ materially from projections due to inherent uncertainties[27]