North American Construction Group(US:NOA) Globenewswire·2025-11-12 22:00Core Insights - North American Construction Group Ltd. (NACG) reported its third-quarter results for the period ending September 30, 2025, highlighting a solid performance despite some challenges in gross profit margins [1][2]. Financial Highlights - Combined revenue for Q3 2025 was $390.8 million, an increase of 6% compared to the previous year, while reported revenue was $317.2 million, up 11% [8]. - Adjusted EPS for Q3 2025 was $0.67, a decrease of 44% from $1.19 in Q3 2024, attributed to a higher average share count and interest expenses [7][8]. - Adjusted EBITDA was $99.0 million, down 12% year-over-year, but showed a 3.7% improvement in EBITDA margin compared to Q2 2025 [8]. Operational Highlights - Revenue growth was primarily driven by contract wins and growth in the Heavy Equipment - Australia segment, which saw a 26% increase in revenue to $188.5 million [8]. - Heavy Equipment - Canada revenue decreased by 5% to $125.7 million, mainly due to reduced scopes at Syncrude mines [8]. - The company experienced improved gross profit margins in Australia, gaining 4.5% due to favorable weather and operational efficiencies [8]. Cash Flow and Debt - Free cash flow for the quarter was $45.7 million, a significant increase of $56.3 million compared to the previous year [9]. - Net debt rose to $904.0 million, an increase of $7.1 million during the quarter, influenced by growth capital expenditures and share purchases [10]. Dividend Declaration - The NACG Board of Directors declared a quarterly dividend of $0.12 per common share, payable on January 9, 2026, to shareholders of record as of November 26, 2025 [11]. Outlook - The company provided guidance for the remainder of 2025, projecting combined revenue between $700 million and $750 million and adjusted EBITDA between $190 million and $210 million [12].