- Revenue: $94 million, down from $107.1 million in the prior year quarter.
- US Concrete Pumping Revenue: $62.1 million, compared to $74.6 million in the prior year quarter.
- UK Revenue: $13.8 million, down from $15.5 million in the prior year quarter.
- US Concrete Waste Management Services Revenue: Increased 7% to $18.1 million from $16.9 million in the prior year quarter.
- Gross Margin: Declined by 50 basis points to 38.5% from 39% in the prior year quarter.
- General and Administrative Expenses: Declined 6% to $27.9 million from $29.7 million in the prior year quarter.
- Net Loss: $400,000 or $0.01 per diluted share, compared to net income of $2.6 million or $0.05 per diluted share in the prior year quarter.
- Consolidated Adjusted EBITDA: $22.5 million, down from $27.5 million in the prior year quarter.
- Adjusted EBITDA Margin: 23.9%, compared to 25.7% in the prior year quarter.
- US Concrete Pumping Adjusted EBITDA: $12.7 million, down from $17.5 million in the prior year quarter.
- UK Adjusted EBITDA: $3.2 million, compared to $4.1 million in the prior year quarter.
- US Concrete Waste Management Services Adjusted EBITDA: Increased 12% to $6.7 million from $5.9 million in the prior year quarter.
- Total Debt: $425 million with net debt of $387.2 million.
- Net Debt-to-EBITDA Leverage Ratio: Approximately 3.7 times.
- Available Liquidity: Approximately $353 million.
- Share Buyback: Repurchased approximately 1 million shares for $6 million at an average price of $5.90 per share.
- 2025 Full Year Revenue Guidance: Expected to range between $380 million and $390 million.
- 2025 Full Year Adjusted EBITDA Guidance: Expected to range between $95 million and $100 million.
- Free Cash Flow Guidance: Approximately $45 million.
Release Date: June 05, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Concrete Pumping Holdings Inc (BBCP, Financial) demonstrated strong cost control initiatives, which helped limit the impact on margins despite revenue declines.
- The company's infrastructure end markets continue to grow, with robust performance expected in fiscal year 2025 due to favorable funding environments in both the US and UK.
- The US Concrete Waste Management Services segment saw a 7% increase in revenue, driven by increased Pan pickup volumes and sustained improvement in pricing.
- Concrete Pumping Holdings Inc (BBCP) has a strong liquidity position with approximately $353 million of available liquidity at the end of April 2025.
- The company has an ongoing share buyback program, with an additional $15 million authorized, demonstrating confidence in its long-term strategic growth plan.
Negative Points
- Revenue for the second quarter decreased to $94 million from $107.1 million in the prior year, primarily due to declines in the US Concrete Pumping segment.
- The company experienced volume-driven declines in its US Pumping segment, affected by macroeconomic headwinds and adverse weather conditions.
- Net loss available to common shareholders was $400,000, compared to net income of $2.6 million in the prior year quarter.
- Adjusted EBITDA for the second quarter declined to $22.5 million from $27.5 million in the same year-ago quarter.
- The company adjusted its financial outlook for fiscal 2025, not expecting a meaningful market rebound within the current fiscal year due to persistent high interest rates and tariff uncertainties.
Q & A Highlights
Q: In your outlook, you mentioned no meaningful recovery in construction markets until 2026. Does this apply to both commercial and residential construction? What factors could delay recovery further?
A: Bruce Young, CEO: The residential market shows minor softness, but we don't expect significant turbulence. The commercial market is experiencing continued softening, largely due to tariff discussions causing delays. We anticipate recovery once tariffs are settled and interest rates decrease, likely by the end of the year.
Q: Can you provide visibility into the infrastructure market, which seems to be a strong area for your business?
A: Bruce Young, CEO: We see growth across all infrastructure segments, including roads, bridges, wastewater, and airport construction. The US market is gaining momentum, and the UK market remains strong. We expect this strength to continue.
Q: Have you seen more project delays since April, and do customers provide timelines for when these projects might resume?
A: Bruce Young, CEO: Project delays are mainly due to tariff uncertainties. Customers have strong backlogs for next year, and there's optimism that the commercial market will recover quickly once issues are resolved.
Q: Are infrastructure project delays also tied to uncertainties, or are there other factors?
A: Bruce Young, CEO: We aren't seeing delays in infrastructure programs. The challenge was meeting bill requirements, but improvements have been made, allowing infrastructure dollars to flow more freely.
Q: Could you elaborate on the impact of adverse weather on your revenue?
A: Iain Humphries, CFO: Adverse weather, including storms and flooding, impacted our second-quarter revenue by approximately $3 million to $4 million, particularly affecting our US Concrete Pumping segment.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
