Recent Quotes View Full List My Watchlist Create Watchlist Indicators DJI Nasdaq Composite SPX Gold Crude Oil Hydroworld Market Index Markets Stocks ETFs Tools Overview News Currencies International Treasuries Bowman Consulting Group Announces Record First Quarter Results and Increases 2022 Outlook By: Bowman Consulting Group Ltd. via Business Wire May 11, 2022 at 16:05 PM EDT Bowman Consulting Group Ltd. (Nasdaq: BWMN) (“Bowman” or the “Company”), a national engineering services firm supporting owners and developers of the built environment, today announced record revenue and results of operations for the three months ended March 31, 2022. “We are starting the year strong with a terrific first quarter”, said Gary Bowman, Chairman and CEO of Bowman. “It was a busy three months and things are not slowing down. During the quarter we acquired Perry Engineering, raised $17 million of additional equity for growth, continued the process of integrating our acquisitions from last year and delivered record net service revenue that exceeded estimates. At the same time, we grew backlog and increased our full year outlook. Last week we announced the acquisition of McMahon Associates, our largest to date, demonstrating our continuing commitment to strategic diversification. We remain steadfast in our approach to disciplined growth and increasing shareholder value.” Financial Highlights for the three months ended March 31, 2022, compared to March 31, 2021: Gross revenue of $52.5 million, compared to $31.8 million, a 65% increase Net service billing1 of $47.7 million, compared to $28.9 million, a 65% increase Net income of $1.5 million, compared to $1.0 million, a 50% increase Adjusted EBITDA1 of $7.4 million, compared to $4.1 million, an 81% increase Adjusted EBITDA margin, net 1 of 15.5%, compared to 14.2% million, a 130 basis point increase Gross backlog1 of $173 million, compared to $116 million, a 49% increase and a $6 million, or 4%, increase from December 31, 2021 Business Highlights during the First Quarter: Closed on the acquisition of Perry Engineering – Jan 2022 Closed on $16.9 million equity raise – Feb 2022 Business Highlights subsequent to the First Quarter: Closed on the acquisition of McMahon Associates – May 2022 Fiscal Year 2022 Guidance The Company is increasing its full year 2022 outlook for Net Service Billing to be in the range of $185 to $200 million and Adjusted EBITDA in the range of $25 to $29 million. This presents an increase from the previous guidance of $170 to $185 million of Net Service Billing and $23 to $27 million of Adjusted EBITDA. The current outlook for 2022 is based on completed acquisitions as of the date of this release and does not include contributions from any future acquisitions. The Company expects to continue making strategic and financially accretive acquisitions that are not yet reflected in this current outlook. Management will discuss the Company’s acquisition pipeline during its upcoming earnings call. FY 2022 Earnings Webcast Bowman will host an earnings webcast to discuss the results of the quarter as follows: Date: May 12, 2022 Time: 9:00 a.m. Eastern Time Hosts: Gary Bowman, Chairman and CEO and Bruce Labovitz, Chief Financial Officer Where: http://investors.bowman.com 1 Non-GAAP financial metrics the Company believes offer valuable perspective on results of operations. See Non-GAAP tables below for reconciliations. About Bowman Consulting Group Ltd. Headquartered in Reston, Virginia, Bowman is an established professional services firm delivering innovative engineering solutions to customers who own, develop, and maintain the built environment. With over 1,400 employees in more than 60 offices throughout the United States, Bowman provides a variety of planning, engineering, construction management, commissioning, environmental consulting, geomatics, survey, land procurement and other technical services to customers operating in a diverse set of regulated end markets. For more information, visit bowman.com or investors.bowman.com. Forward-Looking Statements This press release may contain “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. All statements contained in this press release other than statements of historical fact, including statements regarding our future results of operations and financial position, business strategy and plans and objectives for future operations, are forward-looking statements and represent our views as of the date of this press release. The words “anticipate”, “believe”, “continue”, “estimate”, “expect”, “intend”, “may”, “will”, “goal” and similar expressions are intended to identify forward-looking statements. We have based these forward-looking statements on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy, short-term and long-term business operations and objectives and financial needs, These forward-looking statements are subject to several assumptions and risks and uncertainties, many of which involve factors or circumstances that are beyond our control that could affect our financial results. The Company cautions that these statements are qualified by important factors that could cause actual results to differ materially from those reflected by the forward-looking statements contained in this news release. Such factors include: (a) changes in demand from the local and state government and private clients that we serve; (b) general economic conditions, nationally and globally, and their effect on the market for our services; (c) competitive pressures and trends in our industry and our ability to successfully compete with our competitors; (d) changes in laws, regulations, or policies; and (e) the “Risk Factors” set forth in the Company’s most recent SEC filings. Considering these risks, uncertainties and assumptions, the future events and trends discussed in this press release may not occur and actual results could differ materially and adversely from those anticipates or implied in any forward-looking statements. Except as required by law, we are under no obligation to update these forward-looking statements after the date of this press release, or to update the reasons if actual results differ materially from those anticipated in the forward-looking statements. Non-GAAP Financial Measures and Other Key Metrics We supplement our consolidated financial statements, which are prepared and presented in accordance with GAAP, with certain non-GAAP financial measures, as described below, to help represent, explain, and understand our operating performance. These non-GAAP financial measures may be different than similarly referenced measures used by other companies. The non-GAAP measures are intended to enhance investors’ overall understanding and evaluation of our financial performance and should not be considered a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP. We present these non-GAAP financial measures to assist investors in seeing our financial performance in a manner more aligned with management’s view and believe these measures provide additional tools by which investors can evaluate our core financial performance over multiple periods relative to other companies in our industry. Reconciliations of non-GAAP financial measures to the most directly comparable GAAP financial measures are included in the financial tables accompanying this press release. BOWMAN CONSULTING GROUP LTD. AND AFFILIATES CONDENSED CONSOLIDATED INCOME STATEMENTS For the Three Months Ended March 31, (Amounts in thousands except per share data) 2022 2021 Gross Contract Revenue $ 52,461 $ 31,802 Contract costs: (exclusive of depreciation and amortization below) Direct payroll costs 20,659 13,222 Sub-consultants and expenses 4,760 2,934 Total contract costs 25,419 16,156 Operating Expenses: Selling, general and administrative 22,821 12,749 Depreciation and amortization 2,389 1,428 (Gain) on sale (6 ) (26 ) Total operating expenses 25,204 14,151 Income from operations 1,838 1,495 Other (income) expense 498 205 Income before tax expense 1,340 1,290 Income tax expense (117 ) 309 Net income $ 1,457 $ 981 Earnings allocated to non-vested shares 254 124 Net income attributable to common shareholders $ 1,203 $ 857 Earnings per share Basic $ 0.12 $ 0.17 Diluted $ 0.12 $ 0.17 Weighted average shares outstanding: Basic 9,926,395 5,083,470 Diluted 10,043,794 5,096,597 BOWMAN CONSULTING GROUP LTD. AND AFFILIATES CONDENSED CONSOLIDATED BALANCE SHEETS March 31, 2022 December 31, 2021 (Amounts in thousands except per share data) (Unaudited) ASSETS Current Assets Cash and equivalents $ 34,938 $ 20,619 Accounts receivable, net 45,372 38,491 Contract assets 10,396 9,189 Notes receivable - officers, employees, affiliates, current portion 1,207 1,260 Prepaid and other current assets 5,440 4,850 Total current assets 97,353 74,409 Non-Current Assets Property and equipment, net 20,745 20,202 Goodwill 29,148 28,471 Notes receivable 903 903 Notes receivable - officers, employees, affiliates, less current portion 1,200 1,218 Other intangible assets, net 11,819 12,286 Other assets 721 681 Total Assets $ 161,889 $ 138,170 LIABILITIES AND EQUITY Current Liabilities Accounts payable and accrued liabilities, current portion 21,026 17,921 Contract liabilities 5,551 4,623 Notes payable, current portion 4,572 4,450 Deferred rent, current portion 721 724 Capital lease obligation, current portion 5,491 5,136 Total current liabilities 37,361 32,854 Non-Current Liabilities Notes payable, less current portion 7,399 8,407 Deferred rent, less current portion 4,063 4,179 Capital lease obligation, less current portion 10,705 10,020 Deferred tax liability, net 4,290 4,290 Common shares subject to repurchase - 7 Total liabilities $ 63,818 $ 59,757 Shareholders' Equity Preferred Stock, $0.01 par value; 5,000,000 shares authorized, no shares issued and outstanding — — Common stock, $0.01 par value; 30,000,000 shares authorized; 14,809,363 shares issued and 12,562,009 outstanding, and 13,690,868 shares issued and 11,489,579 outstanding, respectively 148 137 Additional paid-in-capital 139,996 120,842 Treasury stock, at cost; 2,247,354 and 2,201,289, respectively (18,476 ) (17,488 ) Stock subscription notes receivable (253 ) (277 ) Accumulated deficit (23,344 ) (24,801 ) Total shareholders' equity $ 98,071 $ 78,413 TOTAL LIABILITIES AND EQUITY $ 161,889 $ 138,170 BOWMAN CONSULTING GROUP LTD. AND AFFILIATES CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS For the Three Months Ended March 31, (Amounts in thousands except per share data) 2022 2021 Cash Flows from Operating Activities: Net Income $ 1,457 $ 981 Adjustments to reconcile net income to net cash provided by operating activities Depreciation and amortization - property, plant and equipment 1,922 1,360 Amortization of intangible assets 468 68 Gain on sale of assets (6 ) (26 ) Bad debt 152 92 Stock based compensation 3,236 1,149 Deferred taxes - 109 Deferred rent (119 ) (95 ) Changes in operating assets and liabilities Accounts Receivable (6,945 ) (3,608 ) Contract Assets (721 ) (100 ) Prepaid expenses and other assets (630 ) (169 ) Accounts payable and accrued expenses 2,960 698 Contract Liabilities 640 (414 ) Net cash provided by operating activities 2,414 45 Cash Flows from Investing Activities: Purchases of property and equipment (198 ) (438 ) Fixed assets converted to lease financing 278 - Proceeds from sale of assets 6 26 Amounts advanced under loans to shareholders - (364 ) Payments received under loans to shareholders 70 75 Acquisitions of businesses, net of cash acquired (550 ) (640 ) Collections under stock subscription notes receivable 24 33 Net cash used in investing activities (370 ) (1,308 ) Cash Flows from Financing Activities: Proceeds from common stock offering, net of underwriting discounts and commissions and other offering costs 15,475 - Net borrowings under revolving line of credit - 3,460 Repayments under fixed line of credit (182 ) (179 ) Repayment under notes payable (905 ) (151 ) Payments on capital leases (1,414 ) (975 ) Payment of contingent consideration from acquisitions - (1 ) Payment of offering costs - (417 ) Payments for purchase of treasury stock (988 ) (559 ) Proceeds from issuance of common stock 289 18 Net cash provided by financing activities 12,275 1,196 Net increase (decrease) in cash and cash equivalents 14,319 (67 ) Cash and cash equivalents, beginning of period 20,619 386 Cash and cash equivalents, end of period $ 34,938 $ 319 BOWMAN CONSULTING GROUP LTD. AND AFFILIATES CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS For the Three Months Ended March 31, (Amounts in thousands except per share data) 2022 2021 Supplemental disclosures of cash flow information: Cash paid for interest $ 344 $ 203 Cash paid for income taxes $ 279 - Non-cash investing and financing activities Property and equipment acquired under capital lease $ (2,456 ) $ (1,330 ) Stock redemption for exercise of stock option - $ 139 Issuance of notes payable for acquisitions $ (200 ) - BOWMAN CONSULTING GROUP LTD. RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (Unaudited) For the Three Months Ended March 31, (Amounts in thousands except per share data) 2022 2021 Gross contract revenue $ 52,461 $ 31,802 Contract costs (exclusive of depreciation and amortization) 25,419 16,156 Operating expense 25,204 14,151 Income from operations 1,838 1,495 Other (income) expense 498 205 Income tax expense (benefit) (117 ) 309 Net income $ 1,457 $ 981 Net margin 2.8 % 3.1 % Other financial information 1 Net service billing $ 47,701 $ 28,868 Adjusted EBITDA 7,404 4,086 Adjusted EBITA margin, net 15.5 % 14.2 % For the Three Months Ended March 31, (Amounts in thousands except per share data) 2022 2021 Gross revenue $ 52,461 $ 31,802 Less: sub-consultants and other direct expenses 4,760 2,934 Net services billing $ 47,701 $ 28,868 BOWMAN CONSULTING GROUP LTD. GROSS CONTRACT REVENUE COMPOSITION For the Three Months Ended March 31, (Amounts in thousands) 2022 %GCR 2021 %GCR Change % Change Building Infrastructure 1 $ 38,762 73.9 % $ 21,037 66.1 % $ 17,725 84.3 % Transportation 3,970 7.6 % 4,122 13.0 % (152 ) (3.7 %) Power & Utilities 7,637 14.5 % 5,045 15.9 % 2,592 51.4 % Other emerging markets 2 2,092 4.0 % 1,598 5.0 % 494 30.9 % Total: $ 52,461 100.0 % $ 31,802 100.0 % $ 20,659 65.0 % Organic $ 42,910 81.6 % $ 29,879 94.0 % $ 13,031 43.6 % Acquired 9,551 18.4 % 1,923 6.0 % 7,628 21.3 % Total: $ 52,461 100.0 % $ 31,802 100.0 % $ 20,659 65.0 % 1 formerly referred to as Communities, homes & buildings 2 represents renewable energy, mining, water resources and other BOWMAN CONSULTING GROUP LTD. BACKLOG AT MARCH 31, 2022 (Unaudited) (Amounts in thousands) Gross Backlog Building Infrastructure 112,450 Transportation 31,140 Power & Utilities 25,950 Emerging Markets 3,460 Total $ 173,000 View source version on businesswire.com: https://www.businesswire.com/news/home/20220511005638/en/Contacts Investor Relations Bruce Labovitz ir@bowman.com (703) 787-3403 Megan McGrath mmcgrath@finprofiles.com (310) 622-8248 Data & News supplied by www.cloudquote.io Stock quotes supplied by Barchart Quotes delayed at least 20 minutes. By accessing this page, you agree to the following Privacy Policy and Terms and Conditions.
Bowman Consulting Group Announces Record First Quarter Results and Increases 2022 Outlook By: Bowman Consulting Group Ltd. via Business Wire May 11, 2022 at 16:05 PM EDT Bowman Consulting Group Ltd. (Nasdaq: BWMN) (“Bowman” or the “Company”), a national engineering services firm supporting owners and developers of the built environment, today announced record revenue and results of operations for the three months ended March 31, 2022. “We are starting the year strong with a terrific first quarter”, said Gary Bowman, Chairman and CEO of Bowman. “It was a busy three months and things are not slowing down. During the quarter we acquired Perry Engineering, raised $17 million of additional equity for growth, continued the process of integrating our acquisitions from last year and delivered record net service revenue that exceeded estimates. At the same time, we grew backlog and increased our full year outlook. Last week we announced the acquisition of McMahon Associates, our largest to date, demonstrating our continuing commitment to strategic diversification. We remain steadfast in our approach to disciplined growth and increasing shareholder value.” Financial Highlights for the three months ended March 31, 2022, compared to March 31, 2021: Gross revenue of $52.5 million, compared to $31.8 million, a 65% increase Net service billing1 of $47.7 million, compared to $28.9 million, a 65% increase Net income of $1.5 million, compared to $1.0 million, a 50% increase Adjusted EBITDA1 of $7.4 million, compared to $4.1 million, an 81% increase Adjusted EBITDA margin, net 1 of 15.5%, compared to 14.2% million, a 130 basis point increase Gross backlog1 of $173 million, compared to $116 million, a 49% increase and a $6 million, or 4%, increase from December 31, 2021 Business Highlights during the First Quarter: Closed on the acquisition of Perry Engineering – Jan 2022 Closed on $16.9 million equity raise – Feb 2022 Business Highlights subsequent to the First Quarter: Closed on the acquisition of McMahon Associates – May 2022 Fiscal Year 2022 Guidance The Company is increasing its full year 2022 outlook for Net Service Billing to be in the range of $185 to $200 million and Adjusted EBITDA in the range of $25 to $29 million. This presents an increase from the previous guidance of $170 to $185 million of Net Service Billing and $23 to $27 million of Adjusted EBITDA. The current outlook for 2022 is based on completed acquisitions as of the date of this release and does not include contributions from any future acquisitions. The Company expects to continue making strategic and financially accretive acquisitions that are not yet reflected in this current outlook. Management will discuss the Company’s acquisition pipeline during its upcoming earnings call. FY 2022 Earnings Webcast Bowman will host an earnings webcast to discuss the results of the quarter as follows: Date: May 12, 2022 Time: 9:00 a.m. Eastern Time Hosts: Gary Bowman, Chairman and CEO and Bruce Labovitz, Chief Financial Officer Where: http://investors.bowman.com 1 Non-GAAP financial metrics the Company believes offer valuable perspective on results of operations. See Non-GAAP tables below for reconciliations. About Bowman Consulting Group Ltd. Headquartered in Reston, Virginia, Bowman is an established professional services firm delivering innovative engineering solutions to customers who own, develop, and maintain the built environment. With over 1,400 employees in more than 60 offices throughout the United States, Bowman provides a variety of planning, engineering, construction management, commissioning, environmental consulting, geomatics, survey, land procurement and other technical services to customers operating in a diverse set of regulated end markets. For more information, visit bowman.com or investors.bowman.com. Forward-Looking Statements This press release may contain “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. All statements contained in this press release other than statements of historical fact, including statements regarding our future results of operations and financial position, business strategy and plans and objectives for future operations, are forward-looking statements and represent our views as of the date of this press release. The words “anticipate”, “believe”, “continue”, “estimate”, “expect”, “intend”, “may”, “will”, “goal” and similar expressions are intended to identify forward-looking statements. We have based these forward-looking statements on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy, short-term and long-term business operations and objectives and financial needs, These forward-looking statements are subject to several assumptions and risks and uncertainties, many of which involve factors or circumstances that are beyond our control that could affect our financial results. The Company cautions that these statements are qualified by important factors that could cause actual results to differ materially from those reflected by the forward-looking statements contained in this news release. Such factors include: (a) changes in demand from the local and state government and private clients that we serve; (b) general economic conditions, nationally and globally, and their effect on the market for our services; (c) competitive pressures and trends in our industry and our ability to successfully compete with our competitors; (d) changes in laws, regulations, or policies; and (e) the “Risk Factors” set forth in the Company’s most recent SEC filings. Considering these risks, uncertainties and assumptions, the future events and trends discussed in this press release may not occur and actual results could differ materially and adversely from those anticipates or implied in any forward-looking statements. Except as required by law, we are under no obligation to update these forward-looking statements after the date of this press release, or to update the reasons if actual results differ materially from those anticipated in the forward-looking statements. Non-GAAP Financial Measures and Other Key Metrics We supplement our consolidated financial statements, which are prepared and presented in accordance with GAAP, with certain non-GAAP financial measures, as described below, to help represent, explain, and understand our operating performance. These non-GAAP financial measures may be different than similarly referenced measures used by other companies. The non-GAAP measures are intended to enhance investors’ overall understanding and evaluation of our financial performance and should not be considered a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP. We present these non-GAAP financial measures to assist investors in seeing our financial performance in a manner more aligned with management’s view and believe these measures provide additional tools by which investors can evaluate our core financial performance over multiple periods relative to other companies in our industry. Reconciliations of non-GAAP financial measures to the most directly comparable GAAP financial measures are included in the financial tables accompanying this press release. BOWMAN CONSULTING GROUP LTD. AND AFFILIATES CONDENSED CONSOLIDATED INCOME STATEMENTS For the Three Months Ended March 31, (Amounts in thousands except per share data) 2022 2021 Gross Contract Revenue $ 52,461 $ 31,802 Contract costs: (exclusive of depreciation and amortization below) Direct payroll costs 20,659 13,222 Sub-consultants and expenses 4,760 2,934 Total contract costs 25,419 16,156 Operating Expenses: Selling, general and administrative 22,821 12,749 Depreciation and amortization 2,389 1,428 (Gain) on sale (6 ) (26 ) Total operating expenses 25,204 14,151 Income from operations 1,838 1,495 Other (income) expense 498 205 Income before tax expense 1,340 1,290 Income tax expense (117 ) 309 Net income $ 1,457 $ 981 Earnings allocated to non-vested shares 254 124 Net income attributable to common shareholders $ 1,203 $ 857 Earnings per share Basic $ 0.12 $ 0.17 Diluted $ 0.12 $ 0.17 Weighted average shares outstanding: Basic 9,926,395 5,083,470 Diluted 10,043,794 5,096,597 BOWMAN CONSULTING GROUP LTD. AND AFFILIATES CONDENSED CONSOLIDATED BALANCE SHEETS March 31, 2022 December 31, 2021 (Amounts in thousands except per share data) (Unaudited) ASSETS Current Assets Cash and equivalents $ 34,938 $ 20,619 Accounts receivable, net 45,372 38,491 Contract assets 10,396 9,189 Notes receivable - officers, employees, affiliates, current portion 1,207 1,260 Prepaid and other current assets 5,440 4,850 Total current assets 97,353 74,409 Non-Current Assets Property and equipment, net 20,745 20,202 Goodwill 29,148 28,471 Notes receivable 903 903 Notes receivable - officers, employees, affiliates, less current portion 1,200 1,218 Other intangible assets, net 11,819 12,286 Other assets 721 681 Total Assets $ 161,889 $ 138,170 LIABILITIES AND EQUITY Current Liabilities Accounts payable and accrued liabilities, current portion 21,026 17,921 Contract liabilities 5,551 4,623 Notes payable, current portion 4,572 4,450 Deferred rent, current portion 721 724 Capital lease obligation, current portion 5,491 5,136 Total current liabilities 37,361 32,854 Non-Current Liabilities Notes payable, less current portion 7,399 8,407 Deferred rent, less current portion 4,063 4,179 Capital lease obligation, less current portion 10,705 10,020 Deferred tax liability, net 4,290 4,290 Common shares subject to repurchase - 7 Total liabilities $ 63,818 $ 59,757 Shareholders' Equity Preferred Stock, $0.01 par value; 5,000,000 shares authorized, no shares issued and outstanding — — Common stock, $0.01 par value; 30,000,000 shares authorized; 14,809,363 shares issued and 12,562,009 outstanding, and 13,690,868 shares issued and 11,489,579 outstanding, respectively 148 137 Additional paid-in-capital 139,996 120,842 Treasury stock, at cost; 2,247,354 and 2,201,289, respectively (18,476 ) (17,488 ) Stock subscription notes receivable (253 ) (277 ) Accumulated deficit (23,344 ) (24,801 ) Total shareholders' equity $ 98,071 $ 78,413 TOTAL LIABILITIES AND EQUITY $ 161,889 $ 138,170 BOWMAN CONSULTING GROUP LTD. AND AFFILIATES CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS For the Three Months Ended March 31, (Amounts in thousands except per share data) 2022 2021 Cash Flows from Operating Activities: Net Income $ 1,457 $ 981 Adjustments to reconcile net income to net cash provided by operating activities Depreciation and amortization - property, plant and equipment 1,922 1,360 Amortization of intangible assets 468 68 Gain on sale of assets (6 ) (26 ) Bad debt 152 92 Stock based compensation 3,236 1,149 Deferred taxes - 109 Deferred rent (119 ) (95 ) Changes in operating assets and liabilities Accounts Receivable (6,945 ) (3,608 ) Contract Assets (721 ) (100 ) Prepaid expenses and other assets (630 ) (169 ) Accounts payable and accrued expenses 2,960 698 Contract Liabilities 640 (414 ) Net cash provided by operating activities 2,414 45 Cash Flows from Investing Activities: Purchases of property and equipment (198 ) (438 ) Fixed assets converted to lease financing 278 - Proceeds from sale of assets 6 26 Amounts advanced under loans to shareholders - (364 ) Payments received under loans to shareholders 70 75 Acquisitions of businesses, net of cash acquired (550 ) (640 ) Collections under stock subscription notes receivable 24 33 Net cash used in investing activities (370 ) (1,308 ) Cash Flows from Financing Activities: Proceeds from common stock offering, net of underwriting discounts and commissions and other offering costs 15,475 - Net borrowings under revolving line of credit - 3,460 Repayments under fixed line of credit (182 ) (179 ) Repayment under notes payable (905 ) (151 ) Payments on capital leases (1,414 ) (975 ) Payment of contingent consideration from acquisitions - (1 ) Payment of offering costs - (417 ) Payments for purchase of treasury stock (988 ) (559 ) Proceeds from issuance of common stock 289 18 Net cash provided by financing activities 12,275 1,196 Net increase (decrease) in cash and cash equivalents 14,319 (67 ) Cash and cash equivalents, beginning of period 20,619 386 Cash and cash equivalents, end of period $ 34,938 $ 319 BOWMAN CONSULTING GROUP LTD. AND AFFILIATES CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS For the Three Months Ended March 31, (Amounts in thousands except per share data) 2022 2021 Supplemental disclosures of cash flow information: Cash paid for interest $ 344 $ 203 Cash paid for income taxes $ 279 - Non-cash investing and financing activities Property and equipment acquired under capital lease $ (2,456 ) $ (1,330 ) Stock redemption for exercise of stock option - $ 139 Issuance of notes payable for acquisitions $ (200 ) - BOWMAN CONSULTING GROUP LTD. RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (Unaudited) For the Three Months Ended March 31, (Amounts in thousands except per share data) 2022 2021 Gross contract revenue $ 52,461 $ 31,802 Contract costs (exclusive of depreciation and amortization) 25,419 16,156 Operating expense 25,204 14,151 Income from operations 1,838 1,495 Other (income) expense 498 205 Income tax expense (benefit) (117 ) 309 Net income $ 1,457 $ 981 Net margin 2.8 % 3.1 % Other financial information 1 Net service billing $ 47,701 $ 28,868 Adjusted EBITDA 7,404 4,086 Adjusted EBITA margin, net 15.5 % 14.2 % For the Three Months Ended March 31, (Amounts in thousands except per share data) 2022 2021 Gross revenue $ 52,461 $ 31,802 Less: sub-consultants and other direct expenses 4,760 2,934 Net services billing $ 47,701 $ 28,868 BOWMAN CONSULTING GROUP LTD. GROSS CONTRACT REVENUE COMPOSITION For the Three Months Ended March 31, (Amounts in thousands) 2022 %GCR 2021 %GCR Change % Change Building Infrastructure 1 $ 38,762 73.9 % $ 21,037 66.1 % $ 17,725 84.3 % Transportation 3,970 7.6 % 4,122 13.0 % (152 ) (3.7 %) Power & Utilities 7,637 14.5 % 5,045 15.9 % 2,592 51.4 % Other emerging markets 2 2,092 4.0 % 1,598 5.0 % 494 30.9 % Total: $ 52,461 100.0 % $ 31,802 100.0 % $ 20,659 65.0 % Organic $ 42,910 81.6 % $ 29,879 94.0 % $ 13,031 43.6 % Acquired 9,551 18.4 % 1,923 6.0 % 7,628 21.3 % Total: $ 52,461 100.0 % $ 31,802 100.0 % $ 20,659 65.0 % 1 formerly referred to as Communities, homes & buildings 2 represents renewable energy, mining, water resources and other BOWMAN CONSULTING GROUP LTD. BACKLOG AT MARCH 31, 2022 (Unaudited) (Amounts in thousands) Gross Backlog Building Infrastructure 112,450 Transportation 31,140 Power & Utilities 25,950 Emerging Markets 3,460 Total $ 173,000 View source version on businesswire.com: https://www.businesswire.com/news/home/20220511005638/en/Contacts Investor Relations Bruce Labovitz ir@bowman.com (703) 787-3403 Megan McGrath mmcgrath@finprofiles.com (310) 622-8248
Bowman Consulting Group Ltd. (Nasdaq: BWMN) (“Bowman” or the “Company”), a national engineering services firm supporting owners and developers of the built environment, today announced record revenue and results of operations for the three months ended March 31, 2022. “We are starting the year strong with a terrific first quarter”, said Gary Bowman, Chairman and CEO of Bowman. “It was a busy three months and things are not slowing down. During the quarter we acquired Perry Engineering, raised $17 million of additional equity for growth, continued the process of integrating our acquisitions from last year and delivered record net service revenue that exceeded estimates. At the same time, we grew backlog and increased our full year outlook. Last week we announced the acquisition of McMahon Associates, our largest to date, demonstrating our continuing commitment to strategic diversification. We remain steadfast in our approach to disciplined growth and increasing shareholder value.” Financial Highlights for the three months ended March 31, 2022, compared to March 31, 2021: Gross revenue of $52.5 million, compared to $31.8 million, a 65% increase Net service billing1 of $47.7 million, compared to $28.9 million, a 65% increase Net income of $1.5 million, compared to $1.0 million, a 50% increase Adjusted EBITDA1 of $7.4 million, compared to $4.1 million, an 81% increase Adjusted EBITDA margin, net 1 of 15.5%, compared to 14.2% million, a 130 basis point increase Gross backlog1 of $173 million, compared to $116 million, a 49% increase and a $6 million, or 4%, increase from December 31, 2021 Business Highlights during the First Quarter: Closed on the acquisition of Perry Engineering – Jan 2022 Closed on $16.9 million equity raise – Feb 2022 Business Highlights subsequent to the First Quarter: Closed on the acquisition of McMahon Associates – May 2022 Fiscal Year 2022 Guidance The Company is increasing its full year 2022 outlook for Net Service Billing to be in the range of $185 to $200 million and Adjusted EBITDA in the range of $25 to $29 million. This presents an increase from the previous guidance of $170 to $185 million of Net Service Billing and $23 to $27 million of Adjusted EBITDA. The current outlook for 2022 is based on completed acquisitions as of the date of this release and does not include contributions from any future acquisitions. The Company expects to continue making strategic and financially accretive acquisitions that are not yet reflected in this current outlook. Management will discuss the Company’s acquisition pipeline during its upcoming earnings call. FY 2022 Earnings Webcast Bowman will host an earnings webcast to discuss the results of the quarter as follows: Date: May 12, 2022 Time: 9:00 a.m. Eastern Time Hosts: Gary Bowman, Chairman and CEO and Bruce Labovitz, Chief Financial Officer Where: http://investors.bowman.com 1 Non-GAAP financial metrics the Company believes offer valuable perspective on results of operations. See Non-GAAP tables below for reconciliations. About Bowman Consulting Group Ltd. Headquartered in Reston, Virginia, Bowman is an established professional services firm delivering innovative engineering solutions to customers who own, develop, and maintain the built environment. With over 1,400 employees in more than 60 offices throughout the United States, Bowman provides a variety of planning, engineering, construction management, commissioning, environmental consulting, geomatics, survey, land procurement and other technical services to customers operating in a diverse set of regulated end markets. For more information, visit bowman.com or investors.bowman.com. Forward-Looking Statements This press release may contain “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. All statements contained in this press release other than statements of historical fact, including statements regarding our future results of operations and financial position, business strategy and plans and objectives for future operations, are forward-looking statements and represent our views as of the date of this press release. The words “anticipate”, “believe”, “continue”, “estimate”, “expect”, “intend”, “may”, “will”, “goal” and similar expressions are intended to identify forward-looking statements. We have based these forward-looking statements on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy, short-term and long-term business operations and objectives and financial needs, These forward-looking statements are subject to several assumptions and risks and uncertainties, many of which involve factors or circumstances that are beyond our control that could affect our financial results. The Company cautions that these statements are qualified by important factors that could cause actual results to differ materially from those reflected by the forward-looking statements contained in this news release. Such factors include: (a) changes in demand from the local and state government and private clients that we serve; (b) general economic conditions, nationally and globally, and their effect on the market for our services; (c) competitive pressures and trends in our industry and our ability to successfully compete with our competitors; (d) changes in laws, regulations, or policies; and (e) the “Risk Factors” set forth in the Company’s most recent SEC filings. Considering these risks, uncertainties and assumptions, the future events and trends discussed in this press release may not occur and actual results could differ materially and adversely from those anticipates or implied in any forward-looking statements. Except as required by law, we are under no obligation to update these forward-looking statements after the date of this press release, or to update the reasons if actual results differ materially from those anticipated in the forward-looking statements. Non-GAAP Financial Measures and Other Key Metrics We supplement our consolidated financial statements, which are prepared and presented in accordance with GAAP, with certain non-GAAP financial measures, as described below, to help represent, explain, and understand our operating performance. These non-GAAP financial measures may be different than similarly referenced measures used by other companies. The non-GAAP measures are intended to enhance investors’ overall understanding and evaluation of our financial performance and should not be considered a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP. We present these non-GAAP financial measures to assist investors in seeing our financial performance in a manner more aligned with management’s view and believe these measures provide additional tools by which investors can evaluate our core financial performance over multiple periods relative to other companies in our industry. Reconciliations of non-GAAP financial measures to the most directly comparable GAAP financial measures are included in the financial tables accompanying this press release. BOWMAN CONSULTING GROUP LTD. AND AFFILIATES CONDENSED CONSOLIDATED INCOME STATEMENTS For the Three Months Ended March 31, (Amounts in thousands except per share data) 2022 2021 Gross Contract Revenue $ 52,461 $ 31,802 Contract costs: (exclusive of depreciation and amortization below) Direct payroll costs 20,659 13,222 Sub-consultants and expenses 4,760 2,934 Total contract costs 25,419 16,156 Operating Expenses: Selling, general and administrative 22,821 12,749 Depreciation and amortization 2,389 1,428 (Gain) on sale (6 ) (26 ) Total operating expenses 25,204 14,151 Income from operations 1,838 1,495 Other (income) expense 498 205 Income before tax expense 1,340 1,290 Income tax expense (117 ) 309 Net income $ 1,457 $ 981 Earnings allocated to non-vested shares 254 124 Net income attributable to common shareholders $ 1,203 $ 857 Earnings per share Basic $ 0.12 $ 0.17 Diluted $ 0.12 $ 0.17 Weighted average shares outstanding: Basic 9,926,395 5,083,470 Diluted 10,043,794 5,096,597 BOWMAN CONSULTING GROUP LTD. AND AFFILIATES CONDENSED CONSOLIDATED BALANCE SHEETS March 31, 2022 December 31, 2021 (Amounts in thousands except per share data) (Unaudited) ASSETS Current Assets Cash and equivalents $ 34,938 $ 20,619 Accounts receivable, net 45,372 38,491 Contract assets 10,396 9,189 Notes receivable - officers, employees, affiliates, current portion 1,207 1,260 Prepaid and other current assets 5,440 4,850 Total current assets 97,353 74,409 Non-Current Assets Property and equipment, net 20,745 20,202 Goodwill 29,148 28,471 Notes receivable 903 903 Notes receivable - officers, employees, affiliates, less current portion 1,200 1,218 Other intangible assets, net 11,819 12,286 Other assets 721 681 Total Assets $ 161,889 $ 138,170 LIABILITIES AND EQUITY Current Liabilities Accounts payable and accrued liabilities, current portion 21,026 17,921 Contract liabilities 5,551 4,623 Notes payable, current portion 4,572 4,450 Deferred rent, current portion 721 724 Capital lease obligation, current portion 5,491 5,136 Total current liabilities 37,361 32,854 Non-Current Liabilities Notes payable, less current portion 7,399 8,407 Deferred rent, less current portion 4,063 4,179 Capital lease obligation, less current portion 10,705 10,020 Deferred tax liability, net 4,290 4,290 Common shares subject to repurchase - 7 Total liabilities $ 63,818 $ 59,757 Shareholders' Equity Preferred Stock, $0.01 par value; 5,000,000 shares authorized, no shares issued and outstanding — — Common stock, $0.01 par value; 30,000,000 shares authorized; 14,809,363 shares issued and 12,562,009 outstanding, and 13,690,868 shares issued and 11,489,579 outstanding, respectively 148 137 Additional paid-in-capital 139,996 120,842 Treasury stock, at cost; 2,247,354 and 2,201,289, respectively (18,476 ) (17,488 ) Stock subscription notes receivable (253 ) (277 ) Accumulated deficit (23,344 ) (24,801 ) Total shareholders' equity $ 98,071 $ 78,413 TOTAL LIABILITIES AND EQUITY $ 161,889 $ 138,170 BOWMAN CONSULTING GROUP LTD. AND AFFILIATES CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS For the Three Months Ended March 31, (Amounts in thousands except per share data) 2022 2021 Cash Flows from Operating Activities: Net Income $ 1,457 $ 981 Adjustments to reconcile net income to net cash provided by operating activities Depreciation and amortization - property, plant and equipment 1,922 1,360 Amortization of intangible assets 468 68 Gain on sale of assets (6 ) (26 ) Bad debt 152 92 Stock based compensation 3,236 1,149 Deferred taxes - 109 Deferred rent (119 ) (95 ) Changes in operating assets and liabilities Accounts Receivable (6,945 ) (3,608 ) Contract Assets (721 ) (100 ) Prepaid expenses and other assets (630 ) (169 ) Accounts payable and accrued expenses 2,960 698 Contract Liabilities 640 (414 ) Net cash provided by operating activities 2,414 45 Cash Flows from Investing Activities: Purchases of property and equipment (198 ) (438 ) Fixed assets converted to lease financing 278 - Proceeds from sale of assets 6 26 Amounts advanced under loans to shareholders - (364 ) Payments received under loans to shareholders 70 75 Acquisitions of businesses, net of cash acquired (550 ) (640 ) Collections under stock subscription notes receivable 24 33 Net cash used in investing activities (370 ) (1,308 ) Cash Flows from Financing Activities: Proceeds from common stock offering, net of underwriting discounts and commissions and other offering costs 15,475 - Net borrowings under revolving line of credit - 3,460 Repayments under fixed line of credit (182 ) (179 ) Repayment under notes payable (905 ) (151 ) Payments on capital leases (1,414 ) (975 ) Payment of contingent consideration from acquisitions - (1 ) Payment of offering costs - (417 ) Payments for purchase of treasury stock (988 ) (559 ) Proceeds from issuance of common stock 289 18 Net cash provided by financing activities 12,275 1,196 Net increase (decrease) in cash and cash equivalents 14,319 (67 ) Cash and cash equivalents, beginning of period 20,619 386 Cash and cash equivalents, end of period $ 34,938 $ 319 BOWMAN CONSULTING GROUP LTD. AND AFFILIATES CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS For the Three Months Ended March 31, (Amounts in thousands except per share data) 2022 2021 Supplemental disclosures of cash flow information: Cash paid for interest $ 344 $ 203 Cash paid for income taxes $ 279 - Non-cash investing and financing activities Property and equipment acquired under capital lease $ (2,456 ) $ (1,330 ) Stock redemption for exercise of stock option - $ 139 Issuance of notes payable for acquisitions $ (200 ) - BOWMAN CONSULTING GROUP LTD. RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (Unaudited) For the Three Months Ended March 31, (Amounts in thousands except per share data) 2022 2021 Gross contract revenue $ 52,461 $ 31,802 Contract costs (exclusive of depreciation and amortization) 25,419 16,156 Operating expense 25,204 14,151 Income from operations 1,838 1,495 Other (income) expense 498 205 Income tax expense (benefit) (117 ) 309 Net income $ 1,457 $ 981 Net margin 2.8 % 3.1 % Other financial information 1 Net service billing $ 47,701 $ 28,868 Adjusted EBITDA 7,404 4,086 Adjusted EBITA margin, net 15.5 % 14.2 % For the Three Months Ended March 31, (Amounts in thousands except per share data) 2022 2021 Gross revenue $ 52,461 $ 31,802 Less: sub-consultants and other direct expenses 4,760 2,934 Net services billing $ 47,701 $ 28,868 BOWMAN CONSULTING GROUP LTD. GROSS CONTRACT REVENUE COMPOSITION For the Three Months Ended March 31, (Amounts in thousands) 2022 %GCR 2021 %GCR Change % Change Building Infrastructure 1 $ 38,762 73.9 % $ 21,037 66.1 % $ 17,725 84.3 % Transportation 3,970 7.6 % 4,122 13.0 % (152 ) (3.7 %) Power & Utilities 7,637 14.5 % 5,045 15.9 % 2,592 51.4 % Other emerging markets 2 2,092 4.0 % 1,598 5.0 % 494 30.9 % Total: $ 52,461 100.0 % $ 31,802 100.0 % $ 20,659 65.0 % Organic $ 42,910 81.6 % $ 29,879 94.0 % $ 13,031 43.6 % Acquired 9,551 18.4 % 1,923 6.0 % 7,628 21.3 % Total: $ 52,461 100.0 % $ 31,802 100.0 % $ 20,659 65.0 % 1 formerly referred to as Communities, homes & buildings 2 represents renewable energy, mining, water resources and other BOWMAN CONSULTING GROUP LTD. BACKLOG AT MARCH 31, 2022 (Unaudited) (Amounts in thousands) Gross Backlog Building Infrastructure 112,450 Transportation 31,140 Power & Utilities 25,950 Emerging Markets 3,460 Total $ 173,000 View source version on businesswire.com: https://www.businesswire.com/news/home/20220511005638/en/
Investor Relations Bruce Labovitz ir@bowman.com (703) 787-3403 Megan McGrath mmcgrath@finprofiles.com (310) 622-8248