Limbach Holdings Announces Certain Preliminary Expected Fiscal Year 2018 Results
March 28 2019 - 4:42PM
Business Wire
Preliminary Expected Results Within
Previously Issued Guidance Ranges
Provides Update on Form 10-K Filing
Limbach Holdings, Inc. (Nasdaq:LMB) (“Limbach” or the “Company”)
today announced that the Company expects to report financial
results for the year ended December 31, 2018 within its previously
announced guidance ranges for both Revenues and Adjusted EBITDA.
Revenue is expected to be at the top end of the range of $530
million and $550 million. Net income (loss) is expected to be
between ($1.5) million and ($1.9) million and Adjusted EBITDA is
expected to be in the middle of the range of $8 million and $10
million.
The estimated full year results are preliminary and unaudited
and subject to the completion and finalization of fourth-quarter
and year-end financial and accounting procedures, and reflect
management’s estimate based solely upon information available to
management as of the date of this press release. Further
information learned during that completion and finalization may
alter the final results. The preliminary estimates should not be
viewed as a substitute for full year financial statements prepared
in accordance with generally accepted accounting principles in the
United States of America.
The Company also announced that it needs additional time to file
its Annual Report on Form 10-K for the year ended December 31,
2018[, in order to reflect in the Form 10-K the Company’s
refinancing of its credit agreement, which is expected to be
completed in the coming days]. As a result, the Company expects to
file a Form 12b-25 with the U.S. Securities and Exchange
Commission to extend the filing deadline for its Form 10-K and to
file the Form 10-K with the allowable extension period. The Company
intends to issue and earnings release and host a conference call to
discuss its results and will announce the date of the release and
conference call in the coming days.
The Company also reports that aggregate backlog at December 31,
2018 was $559.7 million, compared with $487.5 million at September
30, 2018 and $461.4 million at December 31, 2017. Backlog at
December 31, 2018 consisted of $54.2 million of Service segment
work and $505.5 million of Construction segment work. Limbach
expects approximately 60% of current, construction backlog to be
recognized as revenue in the current fiscal year.
Management Commentary
Charlie Bacon, CEO of Limbach, commented, “We are in the very
late stages of negotiating a refinancing package that we hope to
complete before filing our Form 10-K. I am also pleased to report
our preliminary 2018 results, which include solid top-line growth.
Eight of our ten business units recorded revenue growth, with seven
of the ten delivering strong EBIT-level profitability. I look
forward to reporting our full financial results very soon and
discussing those results on our conference call the following
morning.”
About Limbach
Founded in 1901, Limbach is the 9th largest mechanical systems
solutions firm in the United States as determined by Engineering
News Record. Limbach provides building infrastructure services,
with an expertise in the design, installation and maintenance of
HVAC and mechanical, electrical, and plumbing systems for a
diversified group of commercial and institutional building owners.
Limbach employs more than 1,800 employees in 14 offices throughout
the United States. The Company’s full life-cycle capabilities, from
concept design and engineering through system commissioning and
recurring 24/7 service and maintenance, position Limbach as a
value-added and essential partner for building owners, construction
managers, general contractors and energy service companies.
Forward-Looking
Statements
We make forward-looking statements in this press release within
the meaning of the Private Securities Litigation Reform Act of
1995. These forward-looking statements relate to expectations or
forecasts for future events, including, without limitation, our
earnings, Adjusted EBITDA, revenues, expenses, capital expenditures
or other future financial or business performance or strategies,
results of operations or financial condition, and in particular
statements regarding entry into a new credit agreement, the timing
of the recognition of backlog as revenue, the timing of the
completion of projects in the Mid-Atlantic branch, the potential
for recovery of cost overruns, the ability of the Company to
successfully remedy the issues that have led to write-downs in its
Mid-Atlantic branch, and the ability of the Company to enter into a
restructured credit agreement with its existing lenders and to
refinance its existing credit facilities on favorable terms or at
all. These statements may be preceded by, followed by or include
the words “may,” “might,” “will,” “will likely result,” “should,”
“estimate,” “plan,” “project,” “forecast,” “intend,” “expect,”
“anticipate,” “believe,” “seek,” “continue,” “target” or similar
expressions. These forward-looking statements are based on
information available to us as of the date they were made and
involve a number of risks and uncertainties which may cause them to
turn out to be wrong. Accordingly, forward-looking statements
should not be relied upon as representing our views as of any
subsequent date, and we do not undertake any obligation to update
forward-looking statements to reflect events or circumstances after
the date they were made, whether as a result of new information,
future events or otherwise, except as may be required under
applicable securities laws. As a result of a number of known and
unknown risks and uncertainties, our actual results or performance
may be materially different from those expressed or implied by
these forward-looking statements. Please refer to our most recent
annual report on Form 10-K, as well as our subsequent filings on
Form 10-Q and Form 8-K, which are available on the SEC’s website
(www.sec.gov), for a full discussion of the risks and other factors
that may impact any forward-looking statements in this press
release.
* Adjusted EBITDA
Adjusted EBITDA is a non-GAAP financial measure. We define
Adjusted EBITDA as net income (loss) plus depreciation and
amortization expense, interest expense, and taxes, as further
adjusted to eliminate the impact of, when applicable, other
non-cash items or expenses that are unusual or non-recurring that
we believe do not reflect our core operating results. We believe
that Adjusted EBITDA is meaningful to our investors to enhance
their understanding of our financial performance for the current
period and our ability to generate cash flows from operations that
are available for taxes, capital expenditures and debt service. We
understand that Adjusted EBITDA is frequently used by securities
analysts, investors and other interested parties as a measure of
financial performance and to compare our performance with the
performance of other companies that report Adjusted EBITDA. Our
calculation of Adjusted EBITDA, however, may not be comparable to
similarly titled measures reported by other companies. When
assessing our operating performance, investors and others should
not consider this data in isolation or as a substitute for net
income (loss) calculated in accordance with GAAP. With respect to
projected fiscal year 2018 Adjusted EBITDA, a quantitative
reconciliation is not available without unreasonable efforts due to
the high variability, complexity and low visibility with respect to
taxes and other items, which are excluded from Adjusted EBITDA. The
Company expects the variability of this item to have a potentially
unpredictable, and potentially significant, impact on future GAAP
financial results.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20190328005971/en/
Investor Relations:The Equity Group Inc.Jeremy Hellman,
CFASenior Associate(212) 836-9626 / jhellman@equityny.comOrLimbach
Holdings, Inc.John T. Jordan, Jr.Executive Vice President and Chief
Financial Officer(301) 623-4799 / john.jordan@limbachinc.com
Limbach (NASDAQ:LMB)
Historical Stock Chart
From Mar 2024 to Apr 2024
Limbach (NASDAQ:LMB)
Historical Stock Chart
From Apr 2023 to Apr 2024