Financial Data and Key Metrics Changes - Revenue for the first quarter was $239 million, down $49 million from the same period in 2024 [15] - Gross profit was $21.5 million, an increase of $1.1 million from the same period in 2024, with a gross profit margin of 9%, up from 7.1% [16] - The company reported a net loss of $4.5 million or a loss of $0.08 per share, compared to a net loss of $400,000 or a loss of $0.01 per share in the same period last year [18] - EBITDA for the quarter was $10.1 million, compared to $10.9 million for the same period in 2024 [19] Business Line Data and Key Metrics Changes - The Civil segment had revenues of $103 million, up from $84 million in the same period in 2024, with a gross profit of $23 million [19] - The Transportation segment had revenues of $137 million, down $67 million from the same period in 2024, with a gross loss of $1 million [20] - The materials and paving business line contributed $18 million to revenue but had a negative gross profit of $9 million [20] Market Data and Key Metrics Changes - The company added approximately $137 million in new awards during the quarter, bringing the total backlog to approximately $2.5 billion [12] - Approximately 80% of the company's historical client mix consists of government agencies, providing insulation from broader economic uncertainty [12] Company Strategy and Development Direction - The company is focused on strengthening its leadership team and enhancing performance for long-term growth [6] - Upcoming opportunities include significant projects in the Civil segment, such as the $450 million Black Creek Tunnel and the $600 million Jordan Lake water supply program [13] - The company aims to maintain a disciplined bidding approach and improve execution to drive strong margins [14] Management's Comments on Operating Environment and Future Outlook - Management does not expect current tariffs to materially affect the business, citing minimal direct exposure to cross-border material procurement [10] - Demand for infrastructure projects remains strong, particularly from federal and state clients, with no backlog projects affected by government spending cuts [11] - The company anticipates substantial completion of legacy projects by the end of 2025, with a focus on generating positive operating cash flow [48] Other Important Information - The company has made significant progress in improving its balance sheet, with unrestricted cash position more than double compared to the end of Q1 last year [51] - The leadership team has been strengthened with the appointment of a new Chief Financial Officer and Chief Strategy Officer [5] Q&A Session Summary Question: Insights on Civil segment revenue trends - Management is optimistic about the Civil business, expecting strong double-digit margins and a potential shift towards civil projects as the paving business winds down [28][29] Question: Impact of materials and paving on profits - The gross profit impact from materials and paving was $9 million, with a non-cash charge of $3.5 million related to a contract closeout [30] Question: Outlook on transportation bookings - Management is excited about the transportation market, with numerous projects in the pipeline and an expected uptick in bidding in the second half of the year [34] Question: Updates on alternative delivery projects - Progress is being made on the Winnipeg and Burnside Bridge projects, with expectations to develop them into construction contracts [41] Question: Bonding capacity status - The company maintains a strong relationship with surety partners and is targeting strategic projects in civil and transportation segments [43] Question: Margin expectations for the summer work - Management anticipates all legacy work to be substantially complete by the end of 2025, with improved margins from new core backlog projects [48][50] Question: Free cash flow expectations - Positive operating cash flow was generated in Q1, with expectations for cash flow to be more heavily weighted towards the back half of the year [66]

Financial Data and Key Metrics Changes - The company reported revenue of $189 million for the first quarter of 2025, reflecting an increase of over 17% compared to the previous year [16] - Adjusted EBITDA doubled to $8.2 million, with an adjusted EBITDA margin improving by 180 basis points to 4.3% [18][19] - Consolidated gross profit margin increased to $23 million, or 12.2% of revenue, up from 9.7% in the same period last year [16][18] Business Line Data and Key Metrics Changes - Marine revenue increased by over 19%, while concrete revenue rose by 13% [16] - Adjusted EBITDA margin in the Marine segment was 8.6%, compared to 0.9% last year, while the Concrete segment's adjusted EBITDA margin was negative 4.4%, down from positive 5.7% in the prior year [19] Market Data and Key Metrics Changes - The company secured nearly $350 million in new project wins, with $161 million in marine and $188 million in concrete projects [11] - The backlog plus awarded work reached $890 million, with $607 million related to the Marine segment and $232 million to the Concrete segment [21] Company Strategy and Development Direction - The company is focused on building a profitable backlog from a strong pipeline of opportunities, particularly in marine facilities, dredging, bridges, and data centers [11][12] - The management emphasized the importance of the current administration's policies, which are expected to provide tailwinds for the business, particularly in shipbuilding and defense [10][11] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, citing strong demand in the data center market and a lack of signs of a slowdown [13][14] - The company reiterated its full-year guidance for 2025, expecting revenue between $800 million and $850 million and adjusted EBITDA between $42 million and $46 million [25] Other Important Information - The company is transitioning to new IT systems to enhance operational efficiency and is consolidating its Houston area offices to reduce costs [22][24] - Cash flow from operations was negative $3.4 million, an improvement from negative $22.8 million in the prior year quarter [21][22] Q&A Session Summary Question: Outlook on defense spending and RFPs - Management expects awards related to defense spending to materialize late this year or early next year, with potential project sizes around $500 million [28][30] Question: Concrete business outlook - Management has not seen a slowdown in bidding activity and expects concrete margins to improve as the year progresses [31][33] Question: Input costs and pricing - Management anticipates increased costs for steel and other materials but plans to manage these risks through contingency measures [65] Question: Marine segment margins - The strong margins in the Marine segment are expected to continue, although they may fluctuate due to project mix [40][41] Question: Capital position for future projects - The company has sufficient capital capacity to support upcoming projects and is in discussions with financing partners for potential equipment acquisitions [56][57]