Great Lakes Reports First Quarter Results

OAK BROOK, Ill.–(BUSINESS WIRE)– Great Lakes Dredge & Dock Corporation (NASDAQ:GLDD), the largest provider of dredging services in the United States and a major provider of environmental and remediation services, today reported financial results for the quarter ended March 31, 2015.

For the quarter ended March 31, 2015, Great Lakes reported Revenue of $174.6 million, Net loss of $8.4 million, and Adjusted EBITDA from continuing operations of $4.4 million.

In the first quarter of 2015, we were awarded $208 million, or 84% of the domestic dredging bidding market, with the $135 million Savannah project accounting for a significant portion of our awards. The Savannah project will commence this summer and is expected to be completed by summer 2018. We were also awarded a $23 million coastal protection project in New York and $46 million in maintenance dredging awards.

Chief Executive Officer Jonathan Berger commented, “Our first quarter performance was impacted by expected business cyclicality losses in the environmental & remediation segment. The expected operating loss was further negatively impacted by pending change orders and claims. Change orders are being negotiated, and we are confident that their resolution will result in revenues and net income in subsequent quarters that will partially offset first quarter losses.

“We do not expect the first quarter results to be indicative of the Company’s annual results. Dredging activity has picked up in the second quarter, with more of our year-end backlog expected to be worked off compared to the first quarter, and our environmental & remediation segment is beginning to enter its busy season.”

First Quarter 2015 Highlights

Great Lakes Dredge & Dock Corporation
Select Income Statement Results
(Unaudited in 000)
Three Months Ended
March 31,
2015 2014
Envir. & Total Envir. & Total Consol.
Dredging Remed. Consolidated Dredging Remed. Consolidated Variance
Revenue $ 154,128 $ 21,552 $ 174,557 $ 161,960 $ 12,730 $ 174,382 $ 175
Gross Profit 18,264 (7,582 ) 10,682 20,856 51 20,907 (10,225 )
Gross Profit Margin 11.8 % -35.2 % 6.1 % 12.9 % 0.4 % 12.0 %
Operating Income (Loss) 7,874 (15,132 ) (7,258 ) 7,429 (4,544 ) 2,885 (10,143 )
Note: As a result of intersegment eliminations, the segment financial information will not sum to the total consolidated results.

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