MYR Group Q3 revenue rises on C&I segment strength
Overview
US specialty electrical contractor's Q3 revenue rose yr/yr, beating analyst expectations
Company posted record Q3 net income and EPS
Company announced new $100 mln share repurchase program
Co reported Q3 record backlog of $3.68 bln
Outlook
Company did not provide specific financial guidance for upcoming quarters or full year in its press release
Result Drivers
ACQUISITIONS - Higher C&I segment revenue driven by fixed price contracts and incremental revenue from Valley Electric and Comet Electric acquisitions
PROJECT EXECUTION - Gross margin rose due to better-than-anticipated productivity and favorable job close outs
T&D CONTRACT GROWTH - T&D segment revenue increased on higher T&E, fixed price, and unit price contracts
Company press release:
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Beat | $1.26 bln | $1.16 bln (8 Analysts) |
Q3 EPS | $3.82 | ||
Q3 Net Income | $60 mln | ||
Q3 Gross Margin | 13.60% | ||
Q3 EBITDA | $110 mln | ||
Q3 Gross Profit | $171.20 mln |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the construction & engineering peer group is "buy"
Wall Street's median 12-month price target for MYR Group Inc is $384.00, about 44% above its October 27 closing price of $266.64
The stock recently traded at 19 times the next 12-month earnings vs. a P/E of 42 three months ago
Reuters Recommended Reads
Oct 27 - Boeing Q3 revenue beats estimates on defense volumes
Oct 28 - Specialized equipment maker Terex Q3 sales beat on higher shipment volumes
Oct 27 - Logistics firm Landstar System's Q3 revenue rises 25%, beats estimates
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)