EX-99.1 2 exhibit99-1.htm EXHIBIT 99-1 exhibit99-1.htm
Exhibit 99.1
 
 
 

 
 
N E W S    R E L E A S E
 
FOR IMMEDIATE RELEASE
Contact:
Steven E. Nielsen, President and CEO
 
H. Andrew DeFerrari, Senior Vice President and CFO
 
(561) 627-7171


Palm Beach Gardens, Florida November 22, 2010


DYCOM ANNOUNCES FISCAL 2011 FIRST QUARTER RESULTS


Palm Beach Gardens, Florida, November 22, 2010--Dycom Industries, Inc. (NYSE: DY) announced today its results for the first quarter ended October 30, 2010.  The Company reported:

·  
contract revenues of $261.6 million for the quarter ended October 30, 2010, compared to $259.1 million for the quarter ended October 24, 2009, an increase of 1.0%; and

·  
net income on a GAAP basis of $6.7 million, or $0.18 per common share diluted, for the quarter ended October 30, 2010, compared to $3.5 million, or $0.09 per common share diluted, for the quarter ended October 24, 2009. On a Non-GAAP basis, net income for the quarter ended October 24, 2009 was $5.8 million, or $0.15 per common share diluted.  Non-GAAP net income for the quarter ended October 24, 2009 excludes a $2.0 million pre-tax charge in cost of earned revenues for the settlement of a wage and hour class action claim and a $1.1 million non-cash charge to income tax expense for a valuation allowance against a deferred tax asset recorded during the first quarter of fiscal 2010.

See the accompanying tables which present a reconciliation of Non-GAAP net income to GAAP net income.

The Company also reported the repurchase of 3,239,900 shares, representing 8.4% of shares outstanding, for $31.0 million in open market transactions during the quarter ended October 30, 2010.


A Tele-Conference call to review the Company’s results will be hosted at 9 a.m. (ET), Tuesday,    November 23, 2010; Call 800-230-1766 (United States) or 612-332-0632 (International) ten minutes before the conference call begins and ask for the “Dycom Results” conference call.  A live webcast of the conference call, along with a slide presentation, will be available at http://www.dycomind.com under the heading “Events.”  If you are unable to attend the conference call at the scheduled time, a replay of the live webcast and the slide presentation will be available at http://www.dycomind.com until Thursday, December 23, 2010.

Dycom is a leading provider of specialty contracting services throughout the United States.  These services include engineering, construction, maintenance and installation services to telecommunications providers, underground facility locating services to various utilities including telecommunications providers, and other construction and maintenance services to electric and gas utilities and others.

Fiscal 2011 first quarter results are preliminary and are unaudited.  This press release may contain forward-looking statements as contemplated by the 1995 Private Securities Litigation Reform Act.  These statements are based on management’s current expectations, estimates and projections.  Forward-looking statements are subject to risks and uncertainties that may cause actual results in the future to differ materially from the results projected or implied in any forward-looking statements contained in this press release.  Such risks and uncertainties include business and economic conditions in the telecommunications industry affecting our customers, the adequacy of our insurance and other reserves and allowances for doubtful accounts, whether the carrying value of our assets may be impaired, the future impact of any acquisitions, the anticipated outcome of other contingent events, including litigation, liquidity needs, the availability of financing and the other risks detailed in our filings with the Securities and Exchange Commission.  The Company does not undertake to update forward-looking statements.

---Tables Follow---

 
 
 


NYSE: "DY"
            
             
DYCOM INDUSTRIES, INC. AND SUBSIDIARIES
        
CONDENSED CONSOLIDATED BALANCE SHEETS
        
October 30, 2010 and July 31, 2010
            
Unaudited
            
             
   
October 30,
    
July 31,
  
   
2010
    
2010
  
   
(Dollars in thousands)
  
ASSETS
            
Current Assets:
            
Cash and equivalents
   $ 79,960     $ 103,320  
Accounts receivable, net
     113,070       110,117  
Costs and estimated earnings in excess of billings
     65,057       66,559  
Deferred tax assets, net
     14,937       14,944  
Income taxes receivable
     1,067       3,626  
Inventories
     15,139       16,058  
Other current assets
     11,851       8,137  
Total current assets
     301,081       322,761  
                 
Property and equipment, net
     134,674       136,028  
Goodwill
     157,851       157,851  
Intangible assets, net
     48,059       49,625  
Other
     12,481       13,291  
Total
   $ 654,146     $ 679,556  
                 
LIABILITIES AND STOCKHOLDERS' EQUITY
          
Current Liabilities:
                
Accounts payable
   $ 24,076     $ 25,881  
Current portion of debt
     -       47  
Billings in excess of costs and estimated earnings
     667       376  
Accrued insurance claims
     28,499       28,086  
Other accrued liabilities
     41,507       42,813  
Total current liabilities
     94,749       97,203  
 
                
Long-term debt
     135,350       135,350  
Accrued insurance claims
     24,747       24,844  
Deferred tax liabilities, net non-current
     24,702       24,159  
Other liabilities
     3,507       3,445  
                 
Stockholders' Equity
     371,091       394,555  
Total
   $ 654,146     $ 679,556  
                 

 
 
 


NYSE: "DY"
            
             
DYCOM INDUSTRIES, INC. AND SUBSIDIARIES
            
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
        
Unaudited
            
             
   
Three Months
    
Three Months
  
   
Ended
    
Ended
  
   
October 30,
    
October 24,
  
   
2010
    
2009
  
   
(Dollars in thousands, except per share amounts)
  
             
Contract revenues
   $ 261,584     $ 259,116  
                 
Cost of earned revenues, excluding depreciation and amortization
     209,322       209,971  
General and administrative expenses (1)
     22,825       23,502  
Depreciation and amortization
     15,616       15,191  
Total
     247,763       248,664  
                 
Interest income
     28       35  
Interest expense
     (3,707 )     (3,544 )
Other income, net
     1,757       1,105  
Income before income taxes
     11,899       8,048  
Provision for income taxes
     5,152       4,525  
Net income
   $ 6,747     $ 3,523  
                 
Earnings per common share:
                
                 
Basic earnings per common share
   $ 0.18     $ 0.09  
                 
Diluted earnings per common share
   $ 0.18     $ 0.09  
                 
                 
Shares used in computing income per common share:
                
   Basic
     37,465,142       38,990,281  
                 
   Diluted
     37,567,946       39,281,606  
                 
                 
(1) Includes stock-based compensation expense of $0.8 million and $1.0 million for the three months ended October 30, 2010 and October 24, 2009, respectively.
  

 
 
 

NYSE: "DY"
            
             
DYCOM INDUSTRIES, INC. AND SUBSIDIARIES
            
RECONCILIATION OF GAAP TO NON-GAAP INFORMATION
            
Unaudited
            
             
   
Three Months
    
Three Months
  
   
Ended
    
Ended
  
   
October 30,
    
October 24,
  
   
2010
    
2009
  
   
(Dollars in thousands, except per share amounts)
  
             
Pre-Tax Reconciling Items decreasing net income
            
Charge for wage and hour class action settlement
   $ -     $ (2,000 )
Valuation allowance on deferred tax asset
     -       (1,090 )
Total Reconciling Items, net of tax
   $ -     $ (3,090 )
                 
                 
GAAP net income
   $ 6,747     $ 3,523  
Adjustment for Reconciling Items above, net of tax
     -       2,264  
Non-GAAP net income
   $ 6,747     $ 5,787  
                 
Earnings per common share:
                
                 
Basic earnings per common share  - GAAP
   $ 0.18     $ 0.09  
Adjustment for Reconciling Items above, net of tax
     -       0.06  
Basic earnings per common share - Non-GAAP
   $ 0.18     $ 0.15  
                 
Diluted earnings per common share - GAAP
   $ 0.18     $ 0.09  
Adjustment for Reconciling Items above, net of tax
     -       0.06  
Diluted earnings per common share - Non-GAAP
   $ 0.18     $ 0.15  
                 
Earnings per share amounts may not add due to rounding.
                
                 
Shares used in computing GAAP and Non-GAAP earnings per common share and adjustment for Reconciling Items above:
  
                 
   Basic
     37,465,142       38,990,281  
                 
   Diluted
     37,567,946       39,281,606