MasTec (MTZ) Reports Record Q1 Revenue of $2.7B

Mastec, Inc. has announced its first quarter 2024 financial results, revealing a record revenue of $2.7 billion, a 4% increase from the first quarter of 2023 when revenue was $2.58 billion. The GAAP net loss for the first quarter of 2024 was $34.5 million, a significant improvement of $46.0 million compared to the first quarter of 2023. This beat consensus estimates by $33.1 million.

The adjusted EBITDA for the first quarter of 2024 was $157.3 million, marking a substantial $54.8 million improvement over the first quarter of 2023. Additionally, the 18-month backlog as of March 31, 2024, increased by $430 million sequentially from the fourth quarter of 2023, reaching $12.8 billion.

Furthermore, Mastec adjusted its full-year 2024 guidance, increasing revenue expectations to $12.55 billion. The GAAP net income for 2024 is anticipated to be $121 million, with adjusted net income projected at $257 million. The adjusted EBITDA for the full year is expected to be $975 million, with diluted earnings per share forecasted to be $1.23 and adjusted diluted earnings per share at $2.95.

Mastec’s CEO, Jose Mas, expressed that the company's first quarter results surpassed expectations, and he foresees the year 2024 as the validation of the company's investment and diversification strategy over the past few years. The company's investments in broadening its service line offerings have positioned it at the forefront of the country’s future infrastructure needs. The anticipated growth in power demand is expected to have a significant impact on Mastec’s power delivery, clean energy and infrastructure, and oil and gas segments. This is coupled with the increasing demand for data capacity and speed impacting communications, positioning all of the company’s segments for growth.

The company's CFO, Paul DiMarco, also expressed satisfaction with the first-quarter earnings and the reduced net debt leverage, which was lower than expected at 2.7x. He mentioned the company's focus on executing for clients and capitalizing on the numerous opportunities in its end markets.

Mastec’s financial results have been strong, with significant improvements in key financial metrics compared to the same period last year. The company's solid performance and positive outlook for the year 2024 demonstrate its ability to navigate and capitalize on market opportunities. Following these announcements, the company's shares moved 13.3%, and are now trading at a price of $103.14. For more information, read the company's full 8-K submission here.

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