Bird Increases Monthly Dividend 30.2% On Outlook For 2024 Revenue And Earnings Growth And Margin Expansion
December 12 2023 - 4:05PM
Bird Construction Inc. (TSX: BDT) announced today that its Board of
Directors has approved a $0.13 cent or 30.2% increase in its
dividend effective for the March 29, 2024 dividend, payable on
April 19, 2024. The dividend increase follows the Board’s approval
of the 2024 annual business plan, which anticipates continued
accretion in earnings per share and EBITDA through 2024.
The increased monthly dividend will be $0.0467
per share, corresponding to an annual dividend rate of $0.56 per
share.
"The dividend increase approved by the Board
reflects the Company’s outlook for significant further improvements
in earnings and cash flow in 2024 over 2023. Based on the margins
embedded in the Company's current record combined backlog, and the
significant volume of attractive opportunities being pursued,
stronger performance is expected throughout the coming year, with
seasonal patterns favouring the second half of the year as usual,"
commented Teri McKibbon, President and CEO of Bird. “The expected
improvements in financial performance will support both the
increased dividend while allowing the Company to retain in excess
of two-thirds of net income to support continued growth beyond
2024."
Bird remains focused on balancing investment in
profitable long-term growth with sustainable distributions to
shareholders. The Company remains committed to a balanced approach
to capital allocation, including our tuck-in M&A strategy,
which is essential to facilitate continued business growth with
increasing profitability, and to maximize total shareholder returns
over the long term. The Company maintains a healthy balance sheet,
with low levels of debt outstanding, and ample liquidity to support
strategic growth initiatives.
Bird further strengthened its liquidity position
through the renewal of its three-year credit agreement with
favourable terms, effective December 1, 2023, which included the
expansion of its revolving credit facility to $250 million from
$220 million, and expanded access to Letters of Credit. Together
with the Company’s robust cash flow profile, Bird has a solid
foundation for continued success and growth.
This press release contains forward-looking
information and statements (as defined in applicable Canadian
securities legislation) that involve known and unknown risks,
uncertainties and other factors which may cause actual results,
performance, or achievements to materially differ from those
expressed or implied by the forward-looking statements.
The Toronto Stock Exchange does not accept
responsibility for the adequacy or accuracy of this release.
For further information, contact:T.L. McKibbon,
President & CEO orW.R. Gingrich, CFOBird Construction Inc.5700
Explorer Drive, Suite 400Mississauga, ON L4W 0C6Phone: (905)
602-4122
About Bird Construction
Bird (TSX: BDT) is a leading Canadian
construction company operating from coast-to-coast and servicing
all of Canada's major markets. Bird provides a comprehensive range
of construction services from new construction for industrial,
infrastructure, and buildings markets to industrial maintenance,
repair and operations services, heavy civil construction, and mine
support services, as well as vertical infrastructure, including
electrical, mechanical, and specialty trades. For over 100 years,
Bird has been a people-focused company with an unwavering
commitment to safety and a high level of service that provides
long-term value for all stakeholders. www.bird.ca
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