CORAL GABLES, Fla., Feb. 27,
2018 /PRNewswire/ -- MasTec, Inc. (NYSE: MTZ) today
announced strong 2017 fourth quarter and full year financial
results, and issued its initial 2018 guidance expectation.
- Fourth quarter 2017 revenue was $1.60
billion, a 19% increase compared with $1.34 billion for the same period last year. GAAP
net income was $160.7 million, or
$1.95 per diluted share, compared to
$55.9 million, or $0.66 per diluted share, in the fourth quarter of
2016. Fourth quarter 2017 GAAP net income included an after-tax
benefit of $120.1 million or
$1.46 per diluted share related to
the impact of re-measurement of the Company's U.S. deferred income
tax balances because of the Tax Cuts and Jobs Act ("2017 Tax Act")
enacted in December 2017.
- Fourth quarter 2017 adjusted net income, a non-GAAP measure,
was $38.8 million, compared to
$60.0 million in the same period of
the prior year. Fourth quarter 2017 adjusted diluted earnings per
share, a non-GAAP measure, was $0.47,
compared to $0.70 in the fourth
quarter of 2016, and exceeded the Company's previously announced
2017 fourth quarter adjusted diluted earnings per share guidance
expectation by $0.11.
- Fourth quarter 2017 adjusted EBITDA, also a non-GAAP measure,
was $128.9 million, compared to
$154.1 million in the same period in
2016.
- Record 18-month backlog as of December
31, 2017 was $7.1 billion, a
31% increase compared to $5.4 billion
for the prior year end and a 41% sequential increase when compared
to backlog as of third quarter of 2017.
- 18-month backlog as of December 31,
2017 included record levels of Oil & Gas, Communications
and Power Generation & Industrial segment backlog, as well as a
significant sequential increase in Electrical Transmission segment
backlog.
The Company also reported:
- For the year ended December 31,
2017, revenue was $6.6
billion, a 29% increase compared with $5.1 billion for the prior year. GAAP net income,
inclusive of the after-tax benefit related to the 2017 Tax Act, was
$348.9 million, or $4.22 per diluted share, compared to $134.0 million, or $1.61 per diluted share, in 2016.
- Full year 2017 adjusted net income, a non-GAAP measure, was
$241.9 million, a 53% increase
compared to $157.7 million for 2016.
Full year 2017 adjusted diluted earnings per share, a non-GAAP
measure, was $2.92, a 54% increase
compared to $1.90 in 2016, and
exceeded the Company's previously announced 2017 full year adjusted
diluted earnings per share guidance expectation by $0.12.
- Full year 2017 adjusted EBITDA, also a non-GAAP measure, was
$645.6 million, a 35% increase
compared to $476.9 million in
2016.
Adjusted net income, adjusted diluted earnings per share,
adjusted EBITDA, which are all non-GAAP measures, exclude certain
items which are detailed and reconciled to the most comparable
GAAP-reported measures in the attached Supplemental Disclosures and
Reconciliation of Non-GAAP Disclosures.
Jose Mas, MasTec's Chief
Executive Officer, commented, "We are pleased that 2017 marks the second consecutive year of record
financial performance for MasTec and proud that our 2018 guidance
expectation is at yet another record level."
Mr. Mas continued, "We enter 2018 with record levels of 18-month
backlog, which only partially represents the strength of the
significant demand for our services, as many items in our backlog
represent multi-year programs that will initiate over the course of
the 2018 period. This gives us visibility for continued growth in
2019 and beyond. I want to thank the men and women of MasTec
for their dedicated efforts during 2017 and look forward to even
greater performance in the future."
George Pita, MasTec's Executive
Vice President and Chief Financial Officer noted, "Our capital
structure and ample liquidity gives us full financial flexibility
to support the significant multi-year growth opportunities that
exist across the multiple markets we serve. During 2017, we
invested over $200 million dollars in
acquisitions and other strategic initiatives. We also deployed
working capital associated with over $1.5
billion in annual revenue growth, including a higher than
normal level of fourth quarter working capital as we work towards
the completion of several major projects. Thus, we expect 2018 to
be a record year of cash flow from operations for MasTec."
Based on the information available today, the Company is
providing both first quarter and full year 2018 guidance. The
Company currently expects full year 2018 revenue will approximate
$6.75 billion, a record level. 2018
full year GAAP net income and diluted earnings per share are
expected to approximate $277 million
and $3.34, respectively, compared to
2017 GAAP net income and diluted earnings per share (inclusive of
the impact of the 2017 Tax Act) of $348 million and $4.22, respectively. Full year 2018 non-GAAP
measures including adjusted EBITDA and adjusted diluted earnings
per share represent record levels, with adjusted EBITDA expected to
approximate $685 million or 10.2% of
revenue, and adjusted earnings per share expected to be
$3.45, an 18% increase over 2017.
Full year 2018 guidance expectation assumes an estimated 2018
income tax rate of approximately 29.5% because of the 2017 Tax
Act.
For the first quarter of 2018, The Company expects revenue of
approximately $1.23 billion. First
quarter 2018 GAAP net income is expected to approximate
$14 million, with GAAP diluted
earnings per share expected to be $0.17. First quarter 2018 Adjusted EBITDA, a
non-GAAP measure, is expected to approximate $90 million or 7.3% of revenue, with adjusted
diluted earnings per share, a non-GAAP measure, expected to be
$0.20.
Management will hold a conference call to discuss these results
on Wednesday, February 28, 2018 at
9:00 a.m. Eastern Time. The call-in
number for the conference call is (719) 325-4768 and the replay
phone number is (719) 457-0820 with a pass code of 9270429. The
replay will be available for 30 days. Additionally, the call will
be broadcast live over the Internet and can be accessed and
replayed through the Investors section of the Company's website at
www.mastec.com.
The following tables set forth the financial results for the
periods ended December 31, 2017 and
2016:
Condensed
Unaudited Consolidated Statements of Operations
(In thousands,
except per share amounts)
|
|
|
For the Three
Months
Ended December 31,
|
|
For the Years
Ended
December 31,
|
|
2017
|
|
2016
|
|
2017
|
|
2016
|
|
|
|
|
|
|
|
|
Revenue
|
$
|
1,602,862
|
|
|
$
|
1,341,892
|
|
|
$
|
6,606,978
|
|
|
$
|
5,134,703
|
|
Costs of revenue,
excluding depreciation and amortization
|
1,421,665
|
|
|
1,120,554
|
|
|
5,745,307
|
|
|
4,442,125
|
|
Depreciation and
amortization
|
49,665
|
|
|
42,666
|
|
|
188,049
|
|
|
164,915
|
|
General and
administrative expenses
|
73,102
|
|
|
66,402
|
|
|
275,103
|
|
|
261,433
|
|
Interest expense,
net
|
16,044
|
|
|
12,839
|
|
|
61,011
|
|
|
50,734
|
|
Equity in (earnings)
losses of unconsolidated affiliates
|
(6,223)
|
|
|
21
|
|
|
(21,328)
|
|
|
(3,528)
|
|
Other (income)
expense, net
|
(8,887)
|
|
|
6,008
|
|
|
(12,990)
|
|
|
(6,795)
|
|
Income before income
taxes
|
$
|
57,496
|
|
|
$
|
93,402
|
|
|
$
|
371,826
|
|
|
$
|
225,819
|
|
Benefit from
(provision for) income taxes
|
103,228
|
|
|
(37,453)
|
|
|
(22,942)
|
|
|
(91,784)
|
|
Net
income
|
$
|
160,724
|
|
|
$
|
55,948
|
|
|
$
|
348,884
|
|
|
$
|
134,035
|
|
Net (loss) income
attributable to non-controlling interests
|
(99)
|
|
|
2,357
|
|
|
1,671
|
|
|
2,772
|
|
Net income
attributable to MasTec, Inc.
|
$
|
160,823
|
|
|
$
|
53,591
|
|
|
$
|
347,213
|
|
|
$
|
131,263
|
|
|
|
|
|
|
|
|
|
Earnings per
share:
|
|
|
|
|
|
|
|
Basic earnings per
share
|
$
|
1.98
|
|
|
$
|
0.67
|
|
|
$
|
4.29
|
|
|
$
|
1.63
|
|
Basic weighted
average common shares outstanding
|
81,033
|
|
|
80,515
|
|
|
80,903
|
|
|
80,372
|
|
|
|
|
|
|
|
|
|
Diluted earnings per
share
|
$
|
1.95
|
|
|
$
|
0.66
|
|
|
$
|
4.22
|
|
|
$
|
1.61
|
|
Diluted weighted
average common shares outstanding
|
82,456
|
|
|
81,740
|
|
|
82,325
|
|
|
81,394
|
|
Condensed
Unaudited Consolidated Balance Sheets
(In
thousands)
|
|
|
December 31,
2017
|
|
December 31,
2016
|
Assets
|
|
|
|
Current
assets
|
$
|
1,852,366
|
|
|
$
|
1,402,486
|
|
Property and
equipment, net
|
706,506
|
|
|
549,084
|
|
Goodwill and other
intangible assets, net
|
1,328,880
|
|
|
1,175,585
|
|
Other long-term
assets
|
178,824
|
|
|
55,977
|
|
Total
assets
|
$
|
4,066,576
|
|
|
$
|
3,183,132
|
|
|
|
|
|
Liabilities and
Equity
|
|
|
|
Current
liabilities
|
$
|
963,827
|
|
|
$
|
839,990
|
|
Long-term
debt
|
1,280,706
|
|
|
961,379
|
|
Long-term deferred
tax liabilities, net
|
204,518
|
|
|
178,355
|
|
Other long-term
liabilities
|
184,172
|
|
|
99,774
|
|
Total
equity
|
1,433,353
|
|
|
1,103,634
|
|
Total liabilities
and equity
|
$
|
4,066,576
|
|
|
$
|
3,183,132
|
|
Condensed
Unaudited Consolidated Statements of Cash Flows
(In
thousands)
|
|
|
December
31,
|
|
2017
|
|
2016
|
|
|
|
|
Net cash provided by
operating activities
|
$
|
156,263
|
|
|
$
|
205,593
|
|
Net cash used in
investing activities
|
(272,748)
|
|
|
(141,021)
|
|
Net cash provided by
(used in) financing activities
|
118,155
|
|
|
(29,486)
|
|
Effect of currency
translation on cash
|
(111)
|
|
|
(1,303)
|
|
Net increase in cash
and cash equivalents
|
1,559
|
|
|
33,783
|
|
Cash and cash
equivalents - beginning of period
|
$
|
38,767
|
|
|
$
|
4,984
|
|
Cash and cash
equivalents - end of period
|
$
|
40,326
|
|
|
$
|
38,767
|
|
Supplemental
Disclosures and Reconciliation of Non-GAAP Disclosures -
Unaudited
(In millions, except
for percentages and per share amounts)
|
|
|
For the Three
Months
Ended December 31,
|
|
For the Years
Ended
December 31,
|
Segment
Information
|
2017
|
|
2016
|
|
2017
|
|
2016
|
Revenue by
Reportable Segment
|
|
|
|
|
|
|
|
Communications
|
$
|
662.2
|
|
|
$
|
595.6
|
|
|
$
|
2,424.4
|
|
|
$
|
2,323.6
|
|
Oil and
Gas
|
740.0
|
|
|
570.1
|
|
|
3,497.2
|
|
|
2,024.4
|
|
Electrical
Transmission
|
101.0
|
|
|
100.2
|
|
|
378.2
|
|
|
383.8
|
|
Power Generation and
Industrial
|
95.7
|
|
|
81.1
|
|
|
299.9
|
|
|
405.7
|
|
Other
|
6.6
|
|
|
1.0
|
|
|
20.8
|
|
|
15.9
|
|
Eliminations
|
(2.6)
|
|
|
(6.0)
|
|
|
(13.5)
|
|
|
(18.7)
|
|
Corporate
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Consolidated
revenue
|
$
|
1,602.9
|
|
|
$
|
1,341.9
|
|
|
$
|
6,607.0
|
|
|
$
|
5,134.7
|
|
|
|
|
For the Three
Months
Ended December 31,
|
|
For the Years
Ended
December 31,
|
|
2017
|
|
2016
|
|
2017
|
|
2016
|
Adjusted EBITDA by
Reportable Segment
|
|
|
|
|
|
|
|
EBITDA
|
$
|
123.2
|
|
|
$
|
148.9
|
|
|
$
|
620.9
|
|
|
$
|
441.5
|
|
Non-cash stock-based
compensation expense
|
5.1
|
|
|
3.8
|
|
|
15.7
|
|
|
15.1
|
|
Project results from
non-controlled joint venture
|
0.5
|
|
|
—
|
|
|
7.9
|
|
|
5.1
|
|
Restructuring
charges
|
—
|
|
|
1.4
|
|
|
0.6
|
|
|
15.2
|
|
Charges (recoveries)
from multi-employer pension plan withdrawals
|
0.1
|
|
|
—
|
|
|
0.7
|
|
|
—
|
|
Adjusted
EBITDA
|
$
|
128.9
|
|
|
$
|
154.1
|
|
|
$
|
645.6
|
|
|
$
|
476.9
|
|
Reportable
Segment:
|
|
|
|
|
|
|
|
Communications
|
$
|
74.3
|
|
|
$
|
53.8
|
|
|
$
|
247.9
|
|
|
$
|
245.2
|
|
Oil and
Gas
|
46.2
|
|
|
109.5
|
|
|
402.2
|
|
|
303.6
|
|
Electrical
Transmission
|
6.4
|
|
|
0.6
|
|
|
18.2
|
|
|
(34.0)
|
|
Power Generation and
Industrial
|
7.8
|
|
|
4.4
|
|
|
22.6
|
|
|
18.3
|
|
Other
|
8.7
|
|
|
0.0
|
|
|
27.6
|
|
|
2.6
|
|
Corporate
|
(14.5)
|
|
|
(14.2)
|
|
|
(72.9)
|
|
|
(58.8)
|
|
Adjusted
EBITDA
|
$
|
128.9
|
|
|
$
|
154.1
|
|
|
$
|
645.6
|
|
|
$
|
476.9
|
|
|
|
|
For the Three
Months
Ended December 31,
|
|
For the Years
Ended
December 31,
|
|
2017
|
|
2016
|
|
2017
|
|
2016
|
Adjusted EBITDA
Margin by Reportable Segment
|
|
|
|
|
|
|
|
|
|
|
EBITDA
Margin
|
|
7.7
|
%
|
|
|
11.1
|
%
|
|
|
9.4
|
%
|
|
|
8.6
|
%
|
Non-cash stock-based
compensation expense
|
|
0.3
|
%
|
|
|
0.3
|
%
|
|
|
0.2
|
%
|
|
|
0.3
|
%
|
Project results from
non-controlled joint venture
|
|
0.0
|
%
|
|
|
—
|
%
|
|
|
0.1
|
%
|
|
|
0.1
|
%
|
Restructuring
charges
|
|
—
|
%
|
|
|
0.1
|
%
|
|
|
0.0
|
%
|
|
|
0.3
|
%
|
Charges (recoveries)
from multi-employer pension plan withdrawals
|
|
0.0
|
%
|
|
|
—
|
%
|
|
|
0.0
|
%
|
|
|
—
|
%
|
Adjusted EBITDA
margin
|
|
8.0
|
%
|
|
|
11.5
|
%
|
|
|
9.8
|
%
|
|
|
9.3
|
%
|
Reportable
Segment:
|
|
|
|
|
|
|
|
|
|
|
Communications
|
|
11.2
|
%
|
|
|
9.0
|
%
|
|
|
10.2
|
%
|
|
|
10.6
|
%
|
Oil and
Gas
|
|
6.2
|
%
|
|
|
19.2
|
%
|
|
|
11.5
|
%
|
|
|
15.0
|
%
|
Electrical
Transmission
|
|
6.3
|
%
|
|
|
0.6
|
%
|
|
|
4.8
|
%
|
|
|
(8.9)
|
%
|
Power Generation and
Industrial
|
|
8.1
|
%
|
|
|
5.4
|
%
|
|
|
7.5
|
%
|
|
|
4.5
|
%
|
Other
|
|
131.6
|
%
|
|
|
0.1
|
%
|
|
|
132.8
|
%
|
|
|
16.1
|
%
|
Corporate
|
NA
|
|
|
NA
|
|
|
NA
|
|
|
NA
|
|
Adjusted EBITDA
margin
|
|
8.0
|
%
|
|
|
11.5
|
%
|
|
|
9.8
|
%
|
|
|
9.3
|
%
|
Supplemental
Disclosures and Reconciliation of Non-GAAP Disclosures -
Unaudited
(In millions, except
for percentages and per share amounts)
|
|
|
For the Three
Months
Ended December 31,
|
|
For the Years
Ended
December 31,
|
|
2017
|
|
2016
|
|
2017
|
|
2016
|
EBITDA and
Adjusted EBITDA Reconciliation
|
|
|
|
|
|
|
|
Net
income
|
$
|
160.7
|
|
|
$
|
55.9
|
|
|
$
|
348.9
|
|
|
$
|
134.0
|
|
Interest expense,
net
|
16.0
|
|
|
12.8
|
|
|
61.0
|
|
|
50.7
|
|
(Benefit from)
provision for income taxes
|
(103.2)
|
|
|
37.5
|
|
|
22.9
|
|
|
91.8
|
|
Depreciation and
amortization
|
49.7
|
|
|
42.7
|
|
|
188.0
|
|
|
164.9
|
|
EBITDA
|
$
|
123.2
|
|
|
$
|
148.9
|
|
|
$
|
620.9
|
|
|
$
|
441.5
|
|
Non-cash stock-based
compensation expense
|
5.1
|
|
|
3.8
|
|
|
15.7
|
|
|
15.1
|
|
Project results from
non-controlled joint venture
|
0.5
|
|
|
—
|
|
|
7.9
|
|
|
5.1
|
|
Restructuring
charges
|
—
|
|
|
1.4
|
|
|
0.6
|
|
|
15.2
|
|
Charges (recoveries)
from multi-employer pension plan withdrawals
|
0.1
|
|
|
—
|
|
|
0.7
|
|
|
—
|
|
Adjusted
EBITDA
|
$
|
128.9
|
|
|
$
|
154.1
|
|
|
$
|
645.6
|
|
|
$
|
476.9
|
|
|
|
|
|
|
|
|
|
|
For the Three
Months
Ended December 31,
|
|
For the Years
Ended
December 31,
|
|
2017
|
|
2016
|
|
2017
|
|
2016
|
EBITDA and
Adjusted EBITDA Margin Reconciliation
|
|
|
|
|
|
|
|
Net
income
|
|
10.0
|
%
|
|
|
4.2
|
%
|
|
|
5.3
|
%
|
|
|
2.6
|
%
|
Interest expense,
net
|
|
1.0
|
%
|
|
|
1.0
|
%
|
|
|
0.9
|
%
|
|
|
1.0
|
%
|
(Benefit from)
provision for income taxes
|
|
(6.4)
|
%
|
|
|
2.8
|
%
|
|
|
0.3
|
%
|
|
|
1.8
|
%
|
Depreciation and
amortization
|
|
3.1
|
%
|
|
|
3.2
|
%
|
|
|
2.8
|
%
|
|
|
3.2
|
%
|
EBITDA
margin
|
|
7.7
|
%
|
|
|
11.1
|
%
|
|
|
9.4
|
%
|
|
|
8.6
|
%
|
Non-cash stock-based
compensation expense
|
|
0.3
|
%
|
|
|
0.3
|
%
|
|
|
0.2
|
%
|
|
|
0.3
|
%
|
Project results from
non-controlled joint venture
|
|
0.0
|
%
|
|
|
—
|
%
|
|
|
0.1
|
%
|
|
|
0.1
|
%
|
Restructuring
charges
|
|
—
|
%
|
|
|
0.1
|
%
|
|
|
0.0
|
%
|
|
|
0.3
|
%
|
Charges (recoveries)
from multi-employer pension plan withdrawals
|
|
0.0
|
%
|
|
|
—
|
%
|
|
|
0.0
|
%
|
|
|
—
|
%
|
Adjusted EBITDA
margin
|
|
8.0
|
%
|
|
|
11.5
|
%
|
|
|
9.8
|
%
|
|
|
9.3
|
%
|
Supplemental
Disclosures and Reconciliation of Non-GAAP Disclosures -
Unaudited
(In millions, except
for percentages and per share amounts)
|
|
|
For the
Three Months Ended
December 31, 2017
|
|
For the
Year Ended
December 31, 2017
|
Adjusted Net
Income Reconciliation
|
|
|
|
Net
income
|
$
|
160.7
|
|
|
$
|
348.9
|
|
Non-cash stock-based
compensation expense
|
5.1
|
|
|
15.7
|
|
Project results from
non-controlled joint venture
|
0.5
|
|
|
7.9
|
|
Restructuring
charges
|
—
|
|
|
0.6
|
|
Charges (recoveries)
from multi-employer pension plan withdrawals
|
0.1
|
|
|
0.7
|
|
Income tax effect of
adjustments (a)
|
(7.4)
|
|
|
(11.6)
|
|
Effect of changes in
statutory tax rates
|
(120.1)
|
|
|
(120.1)
|
|
Adjusted net
income
|
$
|
38.8
|
|
|
$
|
241.9
|
|
|
|
|
For the
Three Months Ended
December 31, 2017
|
|
For the
Year Ended
December 31, 2017
|
Adjusted Diluted
Earnings per Share Reconciliation
|
|
|
|
Diluted earnings
per share
|
$
|
1.95
|
|
|
$
|
4.22
|
|
Non-cash stock-based
compensation expense
|
0.06
|
|
|
0.19
|
|
Project results from
non-controlled joint venture
|
0.01
|
|
|
0.10
|
|
Restructuring
charges
|
—
|
|
|
0.01
|
|
Charges (recoveries)
from multi-employer pension plan withdrawals
|
0.00
|
|
|
0.01
|
|
Income tax effect of
adjustments (a)
|
(0.09)
|
|
|
(0.14)
|
|
Effect of changes in
statutory tax rates
|
(1.46)
|
|
|
(1.46)
|
|
Adjusted diluted
earnings per share
|
$
|
0.47
|
|
|
$
|
2.92
|
|
|
|
|
For the
Three Months Ended
December 31, 2016
|
|
For the
Year Ended
December 31, 2016
|
Adjusted Net
Income Reconciliation
|
|
|
|
Net
income
|
$
|
55.9
|
|
|
$
|
134.0
|
|
Non-cash stock-based
compensation expense
|
3.8
|
|
|
15.1
|
|
Project results from
non-controlled joint venture
|
—
|
|
|
5.1
|
|
Restructuring
charges
|
1.4
|
|
|
15.2
|
|
Income tax effect of
adjustments (a)
|
(1.2)
|
|
|
(11.7)
|
|
Adjusted net
income
|
$
|
60.0
|
|
|
$
|
157.7
|
|
|
|
|
For the
Three Months Ended
December 31, 2016
|
|
For the
Year Ended
December 31, 2016
|
Adjusted Diluted
Earnings per Share Reconciliation
|
|
|
|
Diluted earnings
per share
|
$
|
0.66
|
|
|
$
|
1.61
|
|
Non-cash stock-based
compensation expense
|
0.05
|
|
|
0.19
|
|
Project results from
non-controlled joint venture
|
—
|
|
|
0.06
|
|
Restructuring
charges
|
0.02
|
|
|
0.19
|
|
Income tax effect of
adjustments (a)
|
(0.01)
|
|
|
(0.14)
|
|
Adjusted diluted
earnings per share
|
$
|
0.70
|
|
|
$
|
1.90
|
|
|
(a)
Represents the tax effect of the adjusted items that
are subject to tax, including the tax effects of share-based
compensation expense. Tax effects are determined based on the
tax treatment of the related items, the incremental statutory tax
rate of the jurisdictions pertaining to each adjustment, and taking
into consideration their effect on pre-tax income.
|
Supplemental
Disclosures and Reconciliation of Non-GAAP Disclosures -
Unaudited
(In millions, except
for percentages and per share amounts)
|
|
|
Guidance for
the
Three Months Ended
March 31, 2018 Est.
|
|
For the
Three Months Ended
March 31, 2017
|
EBITDA and
Adjusted EBITDA Reconciliation
|
|
|
|
Net
income
|
$
|
14
|
|
|
$
|
40.6
|
|
Interest expense,
net
|
17
|
|
|
12.6
|
|
Provision for income
taxes
|
6
|
|
|
27.4
|
|
Depreciation and
amortization
|
50
|
|
|
42.9
|
|
EBITDA
|
$
|
87
|
|
|
$
|
123.5
|
|
Non-cash stock-based
compensation expense
|
3
|
|
|
3.8
|
|
Project results from
non-controlled joint venture
|
—
|
|
|
7.0
|
|
Restructuring
charges
|
—
|
|
|
0.6
|
|
Adjusted
EBITDA
|
$
|
90
|
|
|
$
|
134.8
|
|
|
EBITDA and
Adjusted EBITDA Margin Reconciliation
|
|
|
|
Net
income
|
|
1.2
|
%
|
|
|
3.5
|
%
|
Interest expense,
net
|
|
1.4
|
%
|
|
|
1.1
|
%
|
Provision for income
taxes
|
|
0.5
|
%
|
|
|
2.4
|
%
|
Depreciation and
amortization
|
|
4.0
|
%
|
|
|
3.7
|
%
|
EBITDA
margin
|
|
7.1
|
%
|
|
|
10.7
|
%
|
Non-cash stock-based
compensation expense
|
|
0.3
|
%
|
|
|
0.3
|
%
|
Project results from
non-controlled joint venture
|
|
—
|
%
|
|
|
0.6
|
%
|
Restructuring
charges
|
|
—
|
%
|
|
|
0.0
|
%
|
Adjusted EBITDA
margin
|
|
7.3
|
%
|
|
|
11.6
|
%
|
|
|
|
Guidance for
the
Three Months Ended
March 31, 2018 Est.
|
|
For the
Three Months Ended
March 31, 2017
|
Adjusted Net
Income Reconciliation
|
|
|
|
Net
income
|
$
|
14
|
|
|
$
|
40.6
|
|
Non-cash stock-based
compensation expense
|
3
|
|
|
3.8
|
|
Project results from
non-controlled joint venture
|
—
|
|
|
7.0
|
|
Restructuring
charges
|
—
|
|
|
0.6
|
|
Income
tax effect of adjustments (a)
|
(1)
|
|
|
(3.5)
|
|
Adjusted net
income
|
$
|
17
|
|
|
$
|
48.4
|
|
|
|
|
Guidance for
the
Three Months Ended
March 31, 2018 Est.
|
|
For the
Three Months Ended
March 31, 2017
|
Adjusted Diluted
Earnings per Share Reconciliation
|
|
|
|
Diluted earnings
per share
|
$
|
0.17
|
|
|
$
|
0.50
|
|
Non-cash stock-based
compensation expense
|
0.04
|
|
|
0.05
|
|
Project results from
non-controlled joint venture
|
—
|
|
|
0.08
|
|
Restructuring
charges
|
—
|
|
|
0.01
|
|
Income
tax effect of adjustments (a)
|
(0.01)
|
|
|
(0.04)
|
|
Adjusted diluted
earnings per share
|
$
|
0.20
|
|
|
$
|
0.59
|
|
|
(a)
Represents the tax effect of the adjusted items that
are subject to tax, including the tax effects of share-based
compensation expense. Tax effects are determined based on the
tax treatment of the related items, the incremental statutory tax
rate of the jurisdictions pertaining to each adjustment, and taking
into consideration their effect on pre-tax income.
|
Supplemental
Disclosures and Reconciliation of Non-GAAP Disclosures -
Unaudited
(In millions, except
for percentages and per share amounts)
|
|
|
|
Guidance for
the
Year Ended
December 31,
2018 Est.
|
|
For the
Year Ended
December 31,
2017
|
|
For the
Year Ended
December 31,
2016
|
EBITDA and
Adjusted EBITDA Reconciliation
|
|
|
|
|
|
|
|
|
Net
income
|
$
|
277
|
|
|
$
|
348.9
|
|
|
$
|
134.0
|
|
Interest expense,
net
|
68
|
|
|
61.0
|
|
|
50.7
|
|
Provision for income
taxes
|
116
|
|
|
22.9
|
|
|
91.8
|
|
Depreciation and
amortization
|
210
|
|
|
188.0
|
|
|
164.9
|
|
EBITDA
|
$
|
672
|
|
|
$
|
620.9
|
|
|
$
|
441.5
|
|
Non-cash stock-based
compensation expense
|
14
|
|
|
15.7
|
|
|
15.1
|
|
Project results from
non-controlled joint venture
|
—
|
|
|
7.9
|
|
|
5.1
|
|
Restructuring
charges
|
—
|
|
|
0.6
|
|
|
15.2
|
|
Charges (recoveries)
from multi-employer pension plan withdrawals
|
—
|
|
|
0.7
|
|
|
—
|
|
Adjusted
EBITDA
|
$
|
685
|
|
|
$
|
645.6
|
|
|
$
|
476.9
|
|
|
|
|
Guidance for
the
Year Ended
December 31,
2018 Est.
|
|
For the
Year Ended
December 31,
2017
|
|
For the
Year Ended
December 31,
2016
|
EBITDA and
Adjusted EBITDA Margin Reconciliation
|
|
|
|
|
|
|
|
|
Net
income
|
|
4.1
|
%
|
|
|
5.3
|
%
|
|
|
2.6
|
%
|
Interest expense,
net
|
|
1.0
|
%
|
|
|
0.9
|
%
|
|
|
1.0
|
%
|
Provision for income
taxes
|
|
1.7
|
%
|
|
|
0.3
|
%
|
|
|
1.8
|
%
|
Depreciation and
amortization
|
|
3.1
|
%
|
|
|
2.8
|
%
|
|
|
3.2
|
%
|
EBITDA
margin
|
|
9.9
|
%
|
|
|
9.4
|
%
|
|
|
8.6
|
%
|
Non-cash stock-based
compensation expense
|
|
0.2
|
%
|
|
|
0.2
|
%
|
|
|
0.3
|
%
|
Project results from
non-controlled joint venture
|
|
—
|
%
|
|
|
0.1
|
%
|
|
|
0.1
|
%
|
Restructuring
charges
|
|
—
|
%
|
|
|
0.0
|
%
|
|
|
0.3
|
%
|
Charges (recoveries)
from multi-employer pension plan withdrawals
|
|
—
|
%
|
|
|
0.0
|
%
|
|
|
—
|
%
|
Adjusted EBITDA
margin
|
|
10.2
|
%
|
|
|
9.8
|
%
|
|
|
9.3
|
%
|
Supplemental
Disclosures and Reconciliation of Non-GAAP Disclosures -
Unaudited (In millions,
except for percentages and per share amounts)
|
|
|
Guidance for
the
Year Ended
December 31,
2018 Est.
|
|
For the
Year Ended
December 31,
2017
|
|
For the
Year Ended
December 31,
2016
|
Adjusted Net
Income Reconciliation
|
|
|
|
|
|
|
|
|
Net
income
|
$
|
277
|
|
|
$
|
348.9
|
|
|
$
|
134.0
|
|
Non-cash stock-based
compensation expense
|
14
|
|
|
15.7
|
|
|
15.1
|
|
Project results from
non-controlled joint venture
|
—
|
|
|
7.9
|
|
|
5.1
|
|
Restructuring
charges
|
—
|
|
|
0.6
|
|
|
15.2
|
|
Charges (recoveries)
from multi-employer pension plan withdrawals
|
—
|
|
|
0.7
|
|
|
—
|
|
Income
tax effect of adjustments (a)
|
(4)
|
|
|
(11.6)
|
|
|
(11.7)
|
|
Effect of changes in
statutory tax rates
|
—
|
|
|
(120.1)
|
|
|
—
|
|
Adjusted net
income
|
$
|
287
|
|
|
$
|
241.9
|
|
|
$
|
157.7
|
|
|
|
|
|
|
Guidance for
the
Year Ended
December 31,
2018 Est.
|
|
For the
Year Ended
December 31,
2017
|
|
For the
Year Ended
December 31,
2016
|
Adjusted Diluted
Earnings per Share Reconciliation
|
|
|
|
|
|
|
|
|
Diluted earnings
per share
|
$
|
3.34
|
|
|
$
|
4.22
|
|
|
$
|
1.61
|
|
Non-cash stock-based
compensation expense
|
0.16
|
|
|
0.19
|
|
|
0.19
|
|
Project results from
non-controlled joint venture
|
—
|
|
|
0.10
|
|
|
0.06
|
|
Restructuring
charges
|
—
|
|
|
0.01
|
|
|
0.19
|
|
Charges (recoveries)
from multi-employer pension plan withdrawals
|
—
|
|
|
0.01
|
|
|
—
|
|
Income
tax effect of adjustments (a)
|
(0.05)
|
|
|
(0.14)
|
|
|
(0.14)
|
|
Effect of changes in
statutory tax rates
|
—
|
|
|
(1.46)
|
|
|
—
|
|
Adjusted diluted
earnings per share
|
$
|
3.45
|
|
|
$
|
2.92
|
|
|
$
|
1.90
|
|
|
|
(a)
Represents the tax effect of the adjusted items that
are subject to tax, including the tax effects of share-based
compensation expense. Tax effects are determined based on the
tax treatment of the related items, the incremental statutory tax
rate of the jurisdictions pertaining to each adjustment, and taking
into consideration their effect on pre-tax income.
|
|
The tables may contain slight summation differences due to
rounding.
MasTec, Inc. is a leading infrastructure construction company
operating mainly throughout North America across a range of
industries. The Company's primary activities include the
engineering, building, installation, maintenance and upgrade of
communications, energy and utility infrastructure, such as:
wireless, wireline/fiber, and customer fulfillment activities;
petroleum and natural gas pipeline infrastructure; electrical
utility transmission and distribution; power generation; heavy
civil, and industrial infrastructure. MasTec's customers are
primarily in these industries. The Company's corporate
website is located at www.mastec.com. The Company's website
should be considered as a recognized channel of distribution, and
the Company may periodically post important, or supplemental,
information regarding contracts, awards or other related news on
the Presentations/Webcasts page in the Investors section
therein.
This press release contains forward-looking statements within
the meaning of the Private Securities Litigation Reform Act. These
statements are based on management's current expectations and are
subject to a number of risks, uncertainties, and assumptions,
including market conditions, technological developments, regulatory
changes or other governmental policy uncertainty that affects us or
our customers' industries; the effect on demand for our
services of changes in the amount of capital expenditures by our
customers due to, among other things, economic conditions,
commodity price fluctuations, the availability and cost of
financing, and customer consolidation in the industries we serve;
activity in the oil and gas, utility and power generation
industries and the impact on our customers' expenditure levels
caused by fluctuations in prices of oil, natural gas, electricity
and other energy sources; our ability to manage projects
effectively and in accordance with our estimates, as well as our
ability to accurately estimate the costs associated with our fixed
price and other contracts, including any material changes in
estimates for completion of projects; the timing and extent of
fluctuations in operational, geographic and weather factors
affecting our customers, projects and the industries in which we
operate; the highly competitive nature of our industry; the ability
of our customers, including our largest customers, to terminate or
reduce the amount of work, or in some cases, the prices paid for
services, on short or no notice under our contracts, and/or
customer disputes related to our performance of services; our
dependence on a limited number of customers and our ability to
replace non-recurring projects with new projects; risks
related to completed or potential acquisitions, including our
ability to identify suitable acquisition or strategic investment
opportunities, to integrate acquired businesses
within expected timeframes and to achieve the revenue, cost savings
and earnings levels from such acquisitions at or above the levels
projected, including the risk of potential asset impairment charges
and write-downs of goodwill; disputes with, or failures of, our
subcontractors to deliver agreed-upon supplies or services in a
timely fashion, and the risk of being required to pay our
subcontractors even if our customers do not pay us; risks
related to our strategic arrangements, including our equity
investees; any material changes in estimates for legal costs or
case settlements or adverse determinations on any claim, lawsuit or
proceeding; the effect of state and federal regulatory initiatives,
including costs of compliance with existing and future safety and
environmental requirements; risks associated with potential
environmental issues and other hazards from our
operations; the effect of federal, local, state,
foreign or tax legislation and other regulations affecting the
industries we serve and related projects and expenditures,
including the effect of corporate income tax reform; the
adequacy of our insurance, legal and other reserves and allowances
for doubtful accounts; the outcome of our plans for future
operations, growth and services, including business development
efforts, backlog, acquisitions and dispositions; our ability to
maintain a workforce based upon current and anticipated workloads;
our ability to attract and retain qualified personnel, key
management and skilled employees, including from acquired
businesses, and our ability to enforce any noncompetition
agreements; any exposure resulting from system or information
technology interruptions or data security breaches; fluctuations in
fuel, maintenance, materials, labor and other costs; risks related
to our operations that employ a unionized workforce, including
labor availability, productivity and relations, as well as risks
associated with multiemployer union pension plans, including
underfunding and withdrawal liabilities; risks associated with
operating in or expanding into additional international markets,
including risks from fluctuations in foreign currencies, foreign
labor, general business conditions and risks from failure to comply
with laws applicable to our foreign activities and/or governmental
policy uncertainty; restrictions imposed by our credit facility,
senior notes, and any future loans or securities; our ability to
obtain performance and surety bonds; a small number of our
existing shareholders have the ability to influence major corporate
decisions; risks associated with volatility of our stock
price or any dilution or stock price volatility that shareholders
may experience in connection with shares we may issue as
consideration for earn-out obligations or as purchase consideration
in connection with past or future acquisitions, or as a result of
other stock issuances; as well as other risks detailed in our
filings with the Securities and Exchange Commission. Actual results
may differ significantly from results expressed or implied in these
statements. We do not undertake any obligation to update
forward-looking statements.
View original
content:http://www.prnewswire.com/news-releases/mastec-announces-record-annual-financial-results-and-backlog-and-issues-2018-guidance-300605311.html
SOURCE MasTec, Inc.