Core Insights - Shimmick Corp. reported a net loss of $51 million for Q2 2024, significantly higher than the $10 million loss in Q2 2023, primarily due to a settlement related to Legacy Loss Projects [2][17][18] - Revenue for Q2 2024 was $91 million, down from $155 million in Q2 2023, with a notable reduction in Legacy Projects revenue [2][8][19] - The company has a backlog exceeding $923 million, with over 80% attributed to Shimmick Projects, indicating a strong pipeline for future revenue [2][19] Financial Performance - Revenue breakdown: Shimmick Projects revenue was $84 million, down from $103 million in the same quarter last year, while Legacy Projects revenue was $(2) million, a decline of $44 million [9][10][13] - Adjusted EBITDA for Q2 2024 was $(40) million, compared to $(2) million in Q2 2023, reflecting increased costs and project challenges [19][37] - Diluted loss per share was $(1.83) for Q2 2024, compared to $(0.47) in Q2 2023 [18] Settlement and Asset Management - A settlement agreement for a federal lock and dam project will provide $33 million in additional liquidity, avoiding prolonged litigation costs [2][3] - The sale of the Tracy Equipment Yard generated net proceeds of $17 million, which were used to reduce debt [6][19] Transformation Plan - The company is focusing on enhancing its presence in the California water and critical infrastructure market, with initiatives to increase regional estimators and right-size its cost structure [7][8] - The transformation plan aims to shift towards a more capital-light business model, capturing growth opportunities in the water infrastructure sector [7][8] Market Position - Shimmick is recognized as a leading provider of water infrastructure solutions, ranked among the top builders in various categories by Engineering News Record [21]
Shimmick Corporation Announces Second Quarter 2024 Results - Provides Update on Transformation Plan