FORM 8-K |
Delaware | 1-8267 | 11-2125338 | ||
(State or Other Jurisdiction of Incorporation) | (Commission File Number) | (I.R.S. Employer Identification No.) |
301 Merritt Seven, Norwalk, CT | 06851-1092 | |
(Address of Principal Executive Offices) | (Zip Code) |
(203) 849-7800 |
(Registrant’s Telephone Number, Including Area Code) |
N/A |
(Former Name or Former Address, if Changed Since Last Report) |
o | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
o | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
o | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
o | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Emerging growth company | o |
(d) Exhibits | |
Exhibit Number | Description |
99.1 | Press Release issued by EMCOR Group, Inc. on April 27, 2017 disclosing results of operations for its fiscal 2017 first quarter ended March 31, 2017. |
EMCOR Group, Inc. | |||
Dated: April 27, 2017 | By: | /s/ ANTHONY J. GUZZI | |
Anthony J. Guzzi | |||
President and | |||
Chief Executive Officer |
![]() | EXHIBIT 99.1 |
FOR: | EMCOR GROUP, INC. | |
News Release | ||
CONTACT: | R. Kevin Matz Executive Vice President Shared Services (203) 849-7938 | |
FTI Consulting, Inc. Investors: Effie Veres (212) 850-5600 | ||
LAK Public Relations, Inc. Media: Lisa Linden / David Simpson (212) 575-4545 |
EMCOR GROUP, INC. REPORTS FIRST QUARTER 2017 RESULTS |
- Record First Quarter Revenues of $1.89 Billion, 8.4% Increase Year-over-Year - |
- Record First Quarter Diluted EPS from Continuing Operations of $0.88 - |
- Total Backlog of $3.97 Billion, 3.2% Increase Year-over-Year - |
- Maintains 2017 Revenue Guidance and Raises Low End of Diluted EPS Guidance Range - |
EMCOR Reports First Quarter Results | Page 2 |
EMCOR Reports First Quarter Results | Page 3 |
For the three months ended March 31, | |||||||||
2017 | 2016 | ||||||||
Revenues | $ | 1,891,732 | $ | 1,744,970 | |||||
Cost of sales | 1,625,392 | 1,521,862 | |||||||
Gross profit | 266,340 | 223,108 | |||||||
Selling, general and administrative expenses | 183,001 | 167,402 | |||||||
Restructuring expenses | 565 | 91 | |||||||
Operating income | 82,774 | 55,615 | |||||||
Interest expense | (3,071 | ) | (2,376 | ) | |||||
Interest income | 257 | 165 | |||||||
Income from continuing operations before income taxes | 79,960 | 53,404 | |||||||
Income tax provision | 26,846 | 18,969 | |||||||
Income from continuing operations | 53,114 | 34,435 | |||||||
Loss from discontinued operation, net of income taxes | (504 | ) | (81 | ) | |||||
Net income including noncontrolling interests | 52,610 | 34,354 | |||||||
Less: Net loss (income) attributable to noncontrolling interests | 30 | (6 | ) | ||||||
Net income attributable to EMCOR Group, Inc. | $ | 52,640 | $ | 34,348 | |||||
Basic earnings (loss) per common share: | |||||||||
From continuing operations | $ | 0.89 | $ | 0.57 | |||||
From discontinued operation | $ | (0.01 | ) | $ | (0.00 | ) | |||
Diluted earnings (loss) per common share: | |||||||||
From continuing operations | $ | 0.88 | $ | 0.56 | |||||
From discontinued operation | $ | (0.01 | ) | $ | (0.00 | ) | |||
Weighted average shares of common stock outstanding: | |||||||||
Basic | 59,769,136 | 60,903,335 | |||||||
Diluted | 60,111,602 | 61,350,610 | |||||||
Dividends declared per common share | $ | 0.08 | $ | 0.08 |
March 31, 2017 (Unaudited) | December 31, 2016 | |||||||
ASSETS | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 302,754 | $ | 464,617 | ||||
Accounts receivable, net | 1,508,471 | 1,495,431 | ||||||
Costs and estimated earnings in excess of billings on uncompleted contracts | 144,902 | 130,697 | ||||||
Inventories | 42,672 | 37,426 | ||||||
Prepaid expenses and other | 42,993 | 40,944 | ||||||
Total current assets | 2,041,792 | 2,169,115 | ||||||
Investments, notes and other long-term receivables | 9,218 | 8,792 | ||||||
Property, plant & equipment, net | 131,455 | 127,951 | ||||||
Goodwill | 1,010,399 | 979,628 | ||||||
Identifiable intangible assets, net | 521,417 | 487,398 | ||||||
Other assets | 90,881 | 79,554 | ||||||
Total assets | $ | 3,805,162 | $ | 3,852,438 | ||||
LIABILITIES AND EQUITY | ||||||||
Current liabilities: | ||||||||
Current maturities of long-term debt and capital lease obligations | $ | 15,289 | $ | 15,030 | ||||
Accounts payable | 466,962 | 501,213 | ||||||
Billings in excess of costs and estimated earnings on uncompleted contracts | 492,389 | 489,242 | ||||||
Accrued payroll and benefits | 262,795 | 310,514 | ||||||
Other accrued expenses and liabilities | 235,425 | 195,775 | ||||||
Total current liabilities | 1,472,860 | 1,511,774 | ||||||
Borrowings under revolving credit facility | 125,000 | 125,000 | ||||||
Long-term debt and capital lease obligations | 280,405 | 283,296 | ||||||
Other long-term obligations | 392,756 | 394,426 | ||||||
Total liabilities | 2,271,021 | 2,314,496 | ||||||
Equity: | ||||||||
Total EMCOR Group, Inc. stockholders’ equity | 1,533,318 | 1,537,089 | ||||||
Noncontrolling interests | 823 | 853 | ||||||
Total equity | 1,534,141 | 1,537,942 | ||||||
Total liabilities and equity | $ | 3,805,162 | $ | 3,852,438 |
2017 | 2016 | |||||||
Cash flows - operating activities: | ||||||||
Net income including noncontrolling interests | $ | 52,610 | $ | 34,354 | ||||
Depreciation and amortization | 10,190 | 9,332 | ||||||
Amortization of identifiable intangible assets | 12,181 | 9,470 | ||||||
Provision for doubtful accounts | 1,478 | 1,293 | ||||||
Deferred income taxes | (5,910 | ) | 2,291 | |||||
Excess tax benefits from share-based compensation | (864 | ) | (1,217 | ) | ||||
Equity income from unconsolidated entities | (516 | ) | (228 | ) | ||||
Other non-cash items | (508 | ) | 3,318 | |||||
Distributions from unconsolidated entities | 90 | 27 | ||||||
Changes in operating assets and liabilities, excluding the effect of businesses acquired | (73,921 | ) | (95,801 | ) | ||||
Net cash used in operating activities | (5,170 | ) | (37,161 | ) | ||||
Cash flows - investing activities: | ||||||||
Payments for acquisitions of businesses, net of cash acquired | (81,393 | ) | (254 | ) | ||||
Proceeds from sale of property, plant and equipment | 399 | 484 | ||||||
Purchase of property, plant and equipment | (10,575 | ) | (9,016 | ) | ||||
Net cash used in investing activities | (91,569 | ) | (8,786 | ) | ||||
Cash flows - financing activities: | ||||||||
Repayments of long-term debt | (3,800 | ) | (4,378 | ) | ||||
Repayments of capital lease obligations | (347 | ) | (460 | ) | ||||
Dividends paid to stockholders | (4,793 | ) | (4,879 | ) | ||||
Repurchase of common stock | (54,901 | ) | (34,074 | ) | ||||
Payments to satisfy minimum tax withholding | (2,637 | ) | (4,097 | ) | ||||
Issuance of common stock under employee stock purchase plan | 864 | 1,188 | ||||||
Distributions to noncontrolling interests | — | (600 | ) | |||||
Net cash used in financing activities | (65,614 | ) | (47,300 | ) | ||||
Effect of exchange rate changes on cash and cash equivalents | 490 | (1,220 | ) | |||||
Decrease in cash and cash equivalents | (161,863 | ) | (94,467 | ) | ||||
Cash and cash equivalents at beginning of year | 464,617 | 486,831 | ||||||
Cash and cash equivalents at end of period | $ | 302,754 | $ | 392,364 |
For the three months ended March 31, | ||||||||
2017 | 2016 | |||||||
Revenues from unrelated entities: | ||||||||
United States electrical construction and facilities services | $ | 443,016 | $ | 348,289 | ||||
United States mechanical construction and facilities services | 671,129 | 608,428 | ||||||
United States building services | 440,030 | 443,113 | ||||||
United States industrial services | 258,539 | 257,504 | ||||||
Total United States operations | 1,812,714 | 1,657,334 | ||||||
United Kingdom building services | 79,018 | 87,636 | ||||||
Total worldwide operations | $ | 1,891,732 | $ | 1,744,970 | ||||
For the three months ended March 31, | ||||||||
2017 | 2016 | |||||||
Operating income (loss): | ||||||||
United States electrical construction and facilities services | $ | 31,034 | $ | 16,707 | ||||
United States mechanical construction and facilities services | 40,433 | 23,781 | ||||||
United States building services | 14,209 | 13,998 | ||||||
United States industrial services | 17,044 | 18,866 | ||||||
Total United States operations | 102,720 | 73,352 | ||||||
United Kingdom building services | 1,679 | 3,311 | ||||||
Corporate administration | (21,060 | ) | (20,957 | ) | ||||
Restructuring expenses | (565 | ) | (91 | ) | ||||
Total worldwide operations | 82,774 | 55,615 | ||||||
Other corporate items: | ||||||||
Interest expense | (3,071 | ) | (2,376 | ) | ||||
Interest income | 257 | 165 | ||||||
Income from continuing operations before income taxes | $ | 79,960 | $ | 53,404 | ||||
For the three months ended March 31, | |||||||||
2017 | 2016 | ||||||||
GAAP operating income | $ | 82,774 | $ | 55,615 | |||||
Transaction expenses related to the acquisition of Ardent | — | 1,081 | |||||||
Non-GAAP operating income, excluding Ardent transaction expenses | $ | 82,774 | $ | 56,696 |
For the three months ended March 31, | |||||||||
2017 | 2016 | ||||||||
GAAP net income from continuing operations attributable to EMCOR Group, Inc. (1) | $ | 53,144 | $ | 34,429 | |||||
Transaction expenses related to the acquisition of Ardent (2) | — | 656 | |||||||
Non-GAAP net income from continuing operations attributable to EMCOR Group, Inc., excluding Ardent transaction expenses | $ | 53,144 | $ | 35,085 |
For the three months ended March 31, | |||||||||
2017 | 2016 | ||||||||
GAAP diluted earnings per common share from continuing operations | $ | 0.88 | $ | 0.56 | |||||
Transaction expenses related to the acquisition of Ardent (1) | — | 0.01 | |||||||
Non-GAAP diluted earnings per common share from continuing operations, excluding Ardent transaction expenses | $ | 0.88 | $ | 0.57 |
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