Badger Infrastructure Solutions Ltd. Delivers Solid Growth in 2024 Full Year Revenue, Adjusted EBITDA, Adjusted Net Earnings and a 4.2% Dividend Increase

Core Insights - Badger Infrastructure Solutions Ltd. reported a strong financial performance for the fourth quarter and the full year of 2024, with annual revenue increasing by 9% and Adjusted EBITDA growing by 17% compared to 2023 [3][6] - The company plans to expand its hydrovac fleet by 4% to 7% in 2025, indicating a commitment to organic growth while maintaining disciplined capital spending [4][10] Financial Highlights - Total revenue for Q4 2024 was $187.2 million, an 8% increase from Q4 2023, while total annual revenue reached $745.0 million, up 9% from 2023 [5][6] - Adjusted EBITDA for Q4 2024 was $44.0 million, reflecting a 28% increase year-over-year, and for the full year, it was $176.1 million, a 17% increase [6][7] - Adjusted earnings per share for Q4 2024 improved to $0.37, a 131% increase from the previous year, while for the full year, it was $1.68, up 24% [6][7] Operational Metrics - The gross profit margin improved to 29.5% for Q4 2024 and 29.3% for the full year, compared to 26.2% and 27.9% in 2023, respectively [6][7] - Revenue per truck per month (RPT) for Q4 was $40,707, down from $41,924 in Q4 2023, while the annual RPT was $41,765, down from $43,505 [6][7] Dividend and Share Repurchase - The Board approved a 4.2% increase in the quarterly dividend, raising it from CAD$0.18 to CAD$0.1875 per share, effective Q1 2025 [6][7] - In Q4 2024, the company repurchased 196,000 shares at an average price of CAD $36.88, totaling 240,400 shares repurchased for the year [6][7] Business Outlook - The company anticipates growth in hydrovac services, particularly in the U.S., as election uncertainties have subsided, allowing for increased activity levels [9][10] - Badger plans to manage its fleet effectively, with new builds expected to range from 180 to 210 units and retirements between 90 to 130 units in 2025 [11][12]