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Orion Group Holdings Reports Second Quarter 2023 Results

26 Jul 2023 / 04:06 PM EST

HOUSTON, July 26, 2023 (GLOBE NEWSWIRE) -- Orion Group Holdings, Inc. (NYSE: ORN) (the “Company”), a leading specialty construction company, today reported its financial results for the second quarter ended June 30, 2023.

Highlights for the quarter ended June 30, 2023:

  • Contract revenues of $182.5 million increased 14.7% sequentially
  • Net loss was $0.3 million or $0.01 per diluted share
  • Adjusted EBITDA was $3.7 million
  • Concrete segment returned to profitability during the second quarter
  • Marine awarded two dredging contracts totaling $45 million from the Army Corps of Engineers
  • Backlog and awarded contracts totaled $903 million at quarter end

See definitions and reconciliation of non-GAAP measures elsewhere in this release.

Management Commentary

“Our second quarter performance was a significant improvement over our first quarter results and reflected the progress our team is making in executing our strategy to achieve long-term growth and value creation,” said Travis Boone, Chief Executive Officer of Orion Group Holdings.

“Nine months ago, we began our journey to turn Orion around. We started with a long checklist and have ticked off many of the boxes—all focused on de-risking the business to clear the path for long-term growth and profitability. After two years of reporting losses, our Concrete business turned profitable in the month of March and continues to generate profit each month. We have attracted great talent to focus on business development and drive growth. And perhaps most critical, we shored up our balance sheet and liquidity, securing a new $103 million ABL credit facility and providing $25 million in liquidity through sale-leaseback transactions.”

“Looking ahead, we are optimistic that we will see continued improvement for the rest of this year and beyond. Our company is now fundamentally stronger and well positioned for accelerated growth.  We are fortunate to have the most exceptional people in the industry and two businesses with different catalysts of growth—Concrete more driven by the private sector; Marine by the public sector—that can balance one another during challenging times and different business cycles. When both businesses are performing well—as we believe is within reach in 2024—they can deliver dramatic growth and strong results for all stakeholders,” concluded Boone.

Second Quarter 2023 Results

Contract revenues of $182.5 million increased 14.7% sequentially and decreased 6.2% from $194.6 million in the second quarter last year, primarily due to our decision to exit the unprofitable concrete business in central Texas, partially offset by an increase in marine segment revenue primarily related to the Pearl Harbor, Hawaii drydock project.

Gross profit was $13.8 million or 7.6% of revenue down from $14.3 million or 7.4% of revenue in the second quarter of 2022. The increase in gross profit margin was primarily driven by margin improvements in the concrete business, partially offset by lower equipment and labor utilization in our marine segment as compared to the prior year period.

Selling, general and administrative (“SG&A”) expenses were $18.1 million, up 5.1% from $17.2 million in the comparable period. As a percentage of total contract revenues, SG&A expenses increased to 9.9% from 8.9%, primarily due to lower revenues in the second quarter. The increase in SG&A dollars reflected an increase in compensation expense for key new hires, partially offset by lower consulting expense related to the completion of the management transition.

Net loss for the second quarter was $0.3 million or $0.01 per diluted share compared to a net loss of $3.1 million or $0.10 per diluted share year-over-year.

The second quarter 2023 net loss included $4.3 million ($0.13 diluted loss per share) of non-recurring items. Second quarter 2023 adjusted net loss was $4.5 million ($0.14 diluted loss per share).

EBITDA for the second quarter of 2023 was $7.6 million, representing a 4.2% EBITDA margin, as compared to EBITDA of $3.3 million, or a 1.7% EBITDA margin in the second quarter last year. Adjusted for non-recurring items, EBITDA for the second quarter of 2023 was $3.7 million, representing a 2.0% adjusted EBITDA margin, as compared to adjusted EBITDA for the second quarter of 2022 of $5.7 million, representing a 2.9% adjusted EBITDA margin.

Backlog

Total backlog at June 30, 2023 was $818.7 million, compared to $467.4 million at March 31, 2023 and $603.2 million at June 30, 2022 due in substantial part to the award of the Hawaii contract. Backlog for the Marine segment was $614.9 million, compared to $187.0 million at March 31, 2023 and $281.0 million at June 30, 2022. Backlog for the Concrete segment was $203.8 million, compared to $280.4 million at March 31, 2023 and $322.2 million at June 30, 2022. In addition, the Company has been awarded $84 million in new project work not included in backlog at the end of the quarter.

Recent Wins

Orion was awarded two additional contracts totaling $45 million for work that will be performed in 2023, both contracts from the Army Corps of Engineers. The first is a $27 million contract for dredging in Texas. The second is an $18 million contract for dredging in Louisiana.

Balance Sheet Update

As of June 30, 2023, current assets were $226.7 million, including unrestricted cash and cash equivalents of $8.9 million. Total debt outstanding as of June 30, 2023 was $36.9 million. At the end of the quarter, the Company had no outstanding revolver draws.

Conference Call Details

Orion Group Holdings will host a conference call to discuss results for the second quarter 2023 at 9:00 a.m. Eastern Time/8:00 a.m. Central Time on Thursday, July 27, 2023. To participate, please dial (800) 715-9871 and ask for the Orion Group Holdings Conference Call. A live audio webcast of the call will also be available on the Investor Relations section of Orion’s website at https://www.oriongroupholdingsinc.com/investor/ and will be archived for replay.

About Orion Group Holdings

Orion Group Holdings, Inc., a leading specialty construction company serving the infrastructure, industrial and building sectors, provides services both on and off the water in the continental United States, Alaska, Hawaii, Canada and the Caribbean Basin through its marine segment and its concrete segment. The Company’s marine segment provides construction and dredging services relating to marine transportation facility construction, marine pipeline construction, marine environmental structures, dredging of waterways, channels and ports, environmental dredging, design, and specialty services. Its concrete segment provides turnkey concrete construction services including place and finish, site prep, layout, forming, and rebar placement for large commercial, structural and other associated business areas. The Company is headquartered in Houston, Texas with regional offices throughout its operating areas. https://www.oriongroupholdingsinc.com.

Backlog Definition

Backlog consists of projects under contract that have either (a) not been started, or (b) are in progress but are not yet complete. The Company cannot guarantee that the revenue implied by its backlog will be realized, or, if realized, will result in earnings. Backlog can fluctuate from period to period due to the timing and execution of contracts. The typical duration of the Company’s projects ranges from three to nine months on shorter projects to multiple years on larger projects. The Company's backlog at any point in time includes both revenue it expects to realize during the next twelve-month period as well as revenue it expects to realize in future years.

Non-GAAP Financial Measures

This press release includes the financial measures “adjusted net income/loss,” “adjusted earnings/loss per share,” “EBITDA,” "Adjusted EBITDA" and “Adjusted EBITDA margin."  These measurements are “non-GAAP financial measures” under rules of the Securities and Exchange Commission, including Regulation G. The non-GAAP financial information may be determined or calculated differently by other companies. By reporting such non-GAAP financial information, the Company does not intend to give such information greater prominence than comparable GAAP financial information. Investors are urged to consider these non-GAAP measures in addition to and not in substitute for measures prepared in accordance with GAAP.

Adjusted net income/loss and adjusted earnings/loss per share are not an alternative to net income/loss or earnings/loss per share. Adjusted net income/loss and adjusted earnings/loss per share exclude certain items that management believes impairs a meaningful comparison of operating results. The Company believes these adjusted financial measures are a useful adjunct to earnings/loss calculated in accordance with GAAP because management uses adjusted net income/loss available to common stockholders to evaluate the Company's operational trends and performance relative to other companies. Generally, items excluded are one-time items or items whose timing or amount cannot be reasonably estimated. Accordingly, any guidance provided by the Company generally excludes information regarding these types of items.

Orion Group Holdings defines EBITDA as net income/loss before net interest expense, income taxes, depreciation and amortization. Adjusted EBITDA is calculated by adjusting EBITDA for certain items that management believes impairs a meaningful comparison of operating results. Adjusted EBITDA margin is calculated by dividing Adjusted EBITDA for the period by contract revenues for the period. The GAAP financial measure that is most directly comparable to EBITDA and Adjusted EBITDA is net income, while the GAAP financial measure that is most directly comparable to Adjusted EBITDA margin is operating margin, which represents operating income divided by contract revenues. EBITDA, Adjusted EBITDA and Adjusted EBITDA margin are used internally to evaluate current operating expense, operating efficiency, and operating profitability on a variable cost basis, by excluding the depreciation and amortization expenses, primarily related to capital expenditures and acquisitions, and net interest and tax expenses.  Additionally, EBITDA, Adjusted EBITDA and Adjusted EBITDA margin provide useful information regarding the Company's ability to meet future debt service and working capital requirements while providing an overall evaluation of the Company's financial condition.  In addition, EBITDA is used internally for incentive compensation purposes.  The Company includes EBITDA, Adjusted EBITDA and Adjusted EBITDA margin to provide transparency to investors as they are commonly used by investors and others in assessing performance.  EBITDA, Adjusted EBITDA and Adjusted EBITDA margin have certain limitations as analytical tools and should not be used as a substitute for operating margin, net income, cash flows, or other data prepared in accordance with GAAP, or as a measure of the Company's profitability or liquidity.

Forward-Looking Statements

The matters discussed in this press release may constitute or include projections or other forward-looking statements within the meaning of the “safe harbor” provisions of Section 27A of the Securities Exchange Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, of which provisions the Company is availing itself. Certain forward-looking statements can be identified by the use of forward-looking terminology, such as 'believes', 'expects', 'may', 'will', 'could', 'should', 'seeks', 'approximately', 'intends', 'plans', 'estimates', or 'anticipates', or the negative thereof or other comparable terminology, or by discussions of strategy, plans, objectives, intentions, estimates, forecasts, outlook, assumptions, or goals. In particular, statements regarding future operations or results, including those set forth in this press release, and any other statement, express or implied, concerning future operating results or the future generation of or ability to generate revenues, income, net income, gross profit, EBITDA, Adjusted EBITDA, Adjusted EBITDA margin, or cash flow, including to service debt, and including any estimates, forecasts or assumptions regarding future revenues or revenue growth, are forward-looking statements. Forward-looking statements also include project award announcements, estimated project start dates, anticipated revenues, and contract options which may or may not be awarded in the future.  Forward-looking statements involve risks, including those associated with the Company's fixed price contracts that impacts profits, unforeseen productivity delays that may alter the final profitability of the contract, cancellation of the contract by the customer for unforeseen reasons, delays or decreases in funding by the customer, levels and predictability of government funding or other governmental budgetary constraints, and any potential contract options which may or may not be awarded in the future, and are at the sole discretion of award by the customer. Past performance is not necessarily an indicator of future results. In light of these and other uncertainties, the inclusion of forward-looking statements in this press release should not be regarded as a representation by the Company that the Company's plans, estimates, forecasts, goals, intentions, or objectives will be achieved or realized. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company assumes no obligation to update information contained in this press release whether as a result of new developments or otherwise, except as required by law.

Please refer to the Company's 2022 Annual Report on Form 10-K, filed on March 16, 2023, which is available on its website at www.oriongroupholdingsinc.com or at the SEC's website at www.sec.gov, for additional and more detailed discussion of risk factors that could cause actual results to differ materially from our current expectations, estimates or forecasts.

Contacts:

Financial Profiles, Inc.
Margaret Boyce 310-622-8247
[email protected]

 
Orion Group Holdings, Inc. and Subsidiaries
Condensed Statements of Operations
(In Thousands, Except Share and Per Share Information)
(Unaudited)
                         
    Three months ended   Six months ended
    June 30,   June 30,
    2023
  2022
  2023
  2022
Contract revenues     182,534       194,575       341,708       369,506  
Costs of contract revenues     168,748       180,244       322,082       342,359  
Gross profit     13,786       14,331       19,626       27,147  
Selling, general and administrative expenses     18,119       17,233       35,136       33,403  
Amortization of intangible assets     162       310       324       620  
Gain on disposal of assets, net     (6,534 )     (364 )     (7,230 )     (1,173 )
Operating income (loss)     2,039       (2,848 )     (8,604 )     (5,703 )
Other (expense) income:                        
Other income     250       55       543       99  
Interest income     41       16       69       35  
Interest expense     (2,627 )     (958 )     (4,260 )     (1,698 )
Other expense, net     (2,336 )     (887 )     (3,648 )     (1,564 )
Loss before income taxes     (297 )     (3,735 )     (12,252 )     (7,267 )
Income tax (benefit) expense     (42 )     (681 )     598       643  
Net loss   $ (255 )   $ (3,054 )   $ (12,850 )   $ (7,910 )
                         
Basic loss per share   $ (0.01 )   $ (0.10 )   $ (0.40 )   $ (0.26 )
Diluted loss per share   $ (0.01 )   $ (0.10 )   $ (0.40 )   $ (0.26 )
Shares used to compute loss per share:                        
Basic     32,290,392       30,949,298       32,235,842       30,960,277  
Diluted     32,290,392       30,949,298       32,235,842       30,960,277  
                                 


 
Orion Group Holdings, Inc. and Subsidiaries
Selected Results of Operations
(In Thousands, Except Share and Per Share Information)
(Unaudited)
                       
    Three months ended June 30,  
    2023
  2022
 
    Amount   Percent   Amount   Percent  
    (dollar amounts in thousands)  
Contract revenues                      
Marine segment                      
Public sector   $ 79,171     78.7   % $ 52,280     63.5   %
Private sector     21,372     21.3   % 30,039     36.5   %
Marine segment total   $ 100,543     100.0   % $ 82,319     100.0   %
Concrete segment                      
Public sector   $ 6,261     7.6   % $ 7,505     6.7   %
Private sector     75,730     92.4   % 104,751     93.3   %
Concrete segment total   $ 81,991     100.0   % $ 112,256     100.0   %
Total   $ 182,534         $ 194,575        
                       
Operating income (loss)                      
Marine segment   $ 3,492     3.5   % $ 2,516     3.1   %
Concrete segment     (1,453 )   (1.8 ) %   (5,364 )   (4.8 ) %
Total   $ 2,039         $ (2,848 )      
                       
    Six months ended June 30,  
    2023
  2022
 
    Amount   Percent   Amount   Percent  
    (dollar amounts in thousands)  
Contract revenues                      
Marine segment                      
Public sector   $ 132,669     73.8   % $ 109,588     65.7   %
Private sector     47,172     26.2   % 57,211     34.3   %
Marine segment total   $ 179,841     100.0   % $ 166,799     100.0   %
Concrete segment                      
Public sector   $ 9,688     6.0   % $ 12,998     6.4   %
Private sector     152,179     94.0   % 189,709     93.6   %
Concrete segment total   $ 161,867     100.0   % $ 202,707     100.0   %
Total   $ 341,708         $ 369,506        
                       
Operating (loss) income                      
Marine segment   $ (2,588 )   (1.4 ) % $ 4,356     2.6   %
Concrete segment     (6,016 )   (3.7 ) %   (10,059 )   (5.0 ) %
Total   $ (8,604 )       $ (5,703 )      
                       


 
Orion Group Holdings, Inc. and Subsidiaries
Reconciliation of Adjusted Net Income (Loss)
(In thousands except per share information)
(Unaudited)
                         
    Three months ended   Six months ended
    June 30,   June 30,
    2023
  2022
  2023
  2022
Net loss   $ (255 )   $ (3,054 )   $ (12,850 )   $ (7,910 )
One-time charges and the tax effects:                        
Net gain on Port Lavaca South Yard property sale     (5,202 )           (5,202 )      
ERP implementation     310       323       496       1,229  
Professional fees related to management transition           394             808  
Severance     24       867       126       940  
Tax rate applied to one-time charges (1)     584       (809 )     550       (96 )
Total one-time charges and the tax effects     (4,284 )     775       (4,030 )     2,881  
Federal and state tax valuation allowances     13       1,362       2,070       878  
Adjusted net loss   $ (4,526 )   $ (917 )   $ (14,810 )   $ (4,151 )
Adjusted EPS   $ (0.14 )   $ (0.03 )   $ (0.46 )   $ (0.13 )
                         

________________________________
(1) Items are taxed discretely using the Company's effective tax rate which differs from the Company’s statutory federal rate primarily due to state income taxes and the non-deductibility of other permanent items.

 
Orion Group Holdings, Inc. and Subsidiaries
Adjusted EBITDA and Adjusted EBITDA Margin Reconciliations
(In Thousands, Except Margin Data)
(Unaudited)
                           
    Three months ended   Six months ended  
    June 30,   June 30,  
    2023
  2022
  2023
  2022
 
Net loss   $ (255 )   $ (3,054 )   $ (12,850 )   $ (7,910 )  
Income tax (benefit) expense     (42 )     (681 )     598       643    
Interest expense, net     2,586       942       4,191       1,663    
Depreciation and amortization     5,343       6,098       10,789       12,361    
EBITDA (1)     7,632       3,305       2,728       6,757    
Stock-based compensation     945       794       1,469       1,164    
Net gain on Port Lavaca South Yard property sale     (5,202 )           (5,202 )        
ERP implementation     310       323       496       1,229    
Professional fees related to management transition           394             808    
Severance     24       867       126       940    
Adjusted EBITDA(2)   $ 3,709     $ 5,683     $ (383 )   $ 10,898    
Operating income margin     1.1   %   (1.5 ) %   (2.5 ) %   (1.5 ) %
Impact of other income     0.1   %   0.1   %   0.2   %     %
Impact of depreciation and amortization     2.9   %   3.1   %   3.2   %   3.3   %
Impact of stock-based compensation     0.5   % 0.4   % 0.4   % 0.3   %
Impact on net gain on Port Lavaca South Yard property sale     (2.8 ) %   % (1.5 ) %   %
Impact of ERP implementation     0.2   % 0.2   % 0.1   % 0.3   %
Impact of professional fees related to management transition       %   0.2   %     %   0.2   %
Impact of severance       %   0.4   %     %   0.3   %
Adjusted EBITDA margin(2)     2.0   %   2.9   %   (0.1 ) %   2.9   %
                           

________________________________
(1) EBITDA is a non-GAAP measure that represents earnings before interest, taxes, depreciation and amortization.

(2) Adjusted EBITDA is a non-GAAP measure that represents EBITDA adjusted for stock-based compensation, ERP implementation, professional fees related to management transition and severance. Adjusted EBITDA margin is a non-GAAP measure calculated by dividing Adjusted EBITDA by contract revenues.

 
Orion Group Holdings, Inc. and Subsidiaries
Adjusted EBITDA and Adjusted EBITDA Margin Reconciliations by Segment
(In Thousands, Except Margin Data)
(Unaudited)
                             
    Marine   Concrete  
    Three months ended   Three months ended  
    June 30,   June 30,  
    2023
  2022   2023
  2022
 
Operating income (loss)     3,492       2,516       (1,453 )     (5,364 )  
Other income     250       55                
Depreciation and amortization     3,812       4,236       1,531       1,862    
EBITDA (1)     7,554       6,807       78       (3,502 )  
Stock-based compensation     923       768       22       26    
Net gain on Port Lavaca South Yard property sale     (5,202 )                    
ERP implementation     168       117       142       206    
Professional fees related to management transition           165             229    
Severance     2       867       22          
Adjusted EBITDA(2)   $ 3,445     $ 8,724     $ 264     $ (3,041 )  
Operating income (loss) margin     3.5   %   3.1   %   (1.9 ) %   (4.8 ) %
Impact of other income     0.2   %   0.1   %     %     %
Impact of depreciation and amortization     3.8   %   5.1   %   2.0   %   1.7   %
Impact of stock-based compensation     0.9   % 0.9   %   %   %
Impact on net gain on Port Lavaca South Yard property sale     (5.2 ) %   %   %   %
Impact of ERP implementation     0.2   % 0.1   % 0.2   % 0.2   %
Impact of professional fees related to management transition       % 0.2   %   % 0.2   %
Impact of severance       %   1.1   %     %     %
Adjusted EBITDA margin (2)     3.4   %   10.6   %   0.3   %   (2.7 ) %
                             
    Marine   Concrete  
    Six months ended   Six months ended  
    June 30,   June 30,  
    2023
  2022   2023
  2022
 
Operating(loss) income     (2,588 )     4,356       (6,016 )     (10,059 )  
Other income     543       99                
Depreciation and amortization     7,647       8,559       3,142       3,802    
EBITDA (1)     5,602       13,014       (2,874 )     (6,257 )  
Stock-based compensation     1,442       1,111       27       53    
Net gain on Port Lavaca South Yard property sale     (5,202 )                    
ERP implementation     261       555       235       674    
Professional fees related to management transition           365             443    
Severance     38       940       88          
Adjusted EBITDA(2)   $ 2,141     $ 15,985     $ (2,524 )   $ (5,087 )  
Operating (loss) income margin     (1.4 ) %   2.6   %   (3.6 ) %   (5.0 ) %
Impact of other income     0.3   %   0.1   %     %     %
Impact of depreciation and amortization     4.3   %   5.1   %   1.8   %   2.0   %
Impact of stock-based compensation     0.8   % 0.7   %   %   %
Impact on net gain on Port Lavaca South Yard property sale     (2.9 ) %   %   %   %
Impact of ERP implementation     0.1   % 0.3   % 0.1   % 0.3   %
Impact of professional fees related to management transition       %   0.2   %     %   0.2   %
Impact of severance       %   0.6   %   0.1   %     %
Adjusted EBITDA margin (2)     1.2   %   9.6   %   (1.6 ) %   (2.5 ) %
                             

________________________________
(1) EBITDA is a non-GAAP measure that represents earnings before interest, taxes, depreciation and amortization.

(2) Adjusted EBITDA is a non-GAAP measure that represents EBITDA adjusted for stock-based compensation, ERP implementation, professional fees related to management transition and severance. Adjusted EBITDA margin is a non-GAAP measure calculated by dividing Adjusted EBITDA by contract revenues.

 
Orion Group Holdings, Inc. and Subsidiaries
Condensed Statements of Cash Flows Summarized
(In Thousands)
(Unaudited)
                         
    Three months ended   Six months ended
    June 30,   June 30,
    2023
  2022
  2023
  2022
Net loss   $ (255 )   $ (3,054 )   $ (12,850 )   $ (7,910 )
Adjustments to remove non-cash and non-operating items     1,511       8,018       8,179       15,069  
Cash flow from net loss after adjusting for non-cash and non-operating items     1,256       4,964       (4,671 )     7,159  
Change in operating assets and liabilities (working capital)     (10,199 )     (3,348 )     (7,305 )     4,517  
Cash flows (used in) provided by operating activities   $ (8,943 )   $ 1,616     $ (11,976 )   $ 11,676  
Cash flows provided by (used in) investing activities   $ 10,700     $ (4,148 )   $ 9,400     $ (6,958 )
Cash flows provided by (used in) financing activities   $ 5,823     $ 3,895     $ 9,217     $ (8,922 )
                         
Capital expenditures (included in investing activities above)   $ (2,052 )   $ (4,478 )   $ (3,928 )   $ (8,001 )
                         


 
Orion Group Holdings, Inc. and Subsidiaries
Condensed Statements of Cash Flows
(In Thousands)
(Unaudited)
             
    Six months ended June 30,
    2023
  2022
Cash flows from operating activities            
Net loss   $ (12,850 )   $ (7,910 )
Adjustments to reconcile net Loss to net cash used in operating activities:            
Depreciation and amortization     9,314       10,815  
Amortization of ROU operating leases     2,464       2,459  
Amortization of ROU finance leases     1,475       1,546  
Write-off of debt issuance costs upon debt modification     119        
Amortization of deferred debt issuance costs     537       161  
Deferred income taxes     5       41  
Stock-based compensation     1,469       1,164  
Gain on disposal of assets, net     (7,230 )     (1,173 )
Allowance for credit losses     26       56  
Change in operating assets and liabilities:            
Accounts receivable     (10,068 )     (23,158 )
Inventory     (309 )     (664 )
Prepaid expenses and other     2,794       5,050  
Contract assets     8,954       1,511  
Accounts payable     (12,495 )     25,363  
Accrued liabilities     3,188       (2,266 )
Operating lease liabilities     (2,495 )     (2,317 )
Income tax payable     176       192  
Contract liabilities     3,146       879  
Net cash (used in) provided by operating activities     (11,976 )     11,676  
Cash flows from investing activities:            
Proceeds from sale of property and equipment     13,328       1,043  
Purchase of property and equipment     (3,928 )     (8,001 )
Net cash used in investing activities     9,400       (6,958 )
Cash flows from financing activities:            
Borrowings on credit     57,822       5,000  
Payments made on borrowings on credit     (54,960 )     (11,742 )
Proceeds from sale-leaseback arrangement     14,140        
Loan costs from Credit Facility     (5,978 )     (611 )
Payments of finance lease liabilities     (1,618 )     (1,472 )
Purchase of vested stock-based awards     (189 )     (97 )
Net cash provided by (used in) financing activities     9,217       (8,922 )
Net change in cash, cash equivalents and restricted cash     6,641       (4,204 )
Cash, cash equivalents and restricted cash at beginning of period     3,784       12,293  
Cash, cash equivalents and restricted cash at end of period   $ 10,425     $ 8,089  
             


 
Orion Group Holdings, Inc. and Subsidiaries
Condensed Balance Sheets
(In Thousands, Except Share and Per Share Information)
             
    June 30,   December 31,
    2023
  2022
    (Unaudited)      
ASSETS            
Current assets:            
Cash and cash equivalents   $ 8,883       3,784  
Restricted cash     1,542        
Accounts receivable:            
Trade, net of allowance for credit losses of $576 and $606, respectively     120,010       106,758  
Retainage     48,232       50,873  
Income taxes receivable     598       402  
Other current     3,205       3,526  
Inventory     2,862       2,862  
Contract assets     34,949       43,903  
Prepaid expenses and other     6,370       8,229  
Total current assets     226,651       220,337  
Property and equipment, net of depreciation     91,793       100,977  
Operating lease right-of-use assets, net of amortization     22,010       14,978  
Financing lease right-of-use assets, net of amortization     14,684       15,839  
Inventory, non-current     5,778       5,469  
Intangible assets, net of amortization     6,993       7,317  
Deferred income tax asset     67       70  
Other non-current     1,233       2,168  
Total assets   $ 369,209     $ 367,155  
LIABILITIES AND STOCKHOLDERS’ EQUITY            
Current liabilities:            
Current debt, net of issuance costs   $ 13,277     $ 34,956  
Accounts payable:            
Trade     73,756       87,605  
Retainage     1,441       1,198  
Accrued liabilities     26,106       18,466  
Income taxes payable     698       522  
Contract liabilities     40,866       37,720  
Current portion of operating lease liabilities     6,152       4,738  
Current portion of financing lease liabilities     3,515       4,031  
Total current liabilities     165,811       189,236  
Long-term debt, net of debt issuance costs     23,659       716  
Operating lease liabilities     16,095       11,018  
Financing lease liabilities     10,159       11,102  
Other long-term liabilities     27,042       17,072  
Deferred income tax liability     213       211  
Total liabilities     242,979       229,355  
Stockholders’ equity:            
Preferred stock -- $0.01 par value, 10,000,000 authorized, none issued            
Common stock -- $0.01 par value, 50,000,000 authorized, 33,122,768 and 32,770,550 issued; 32,411,537 and 32,059,319 outstanding at June 30, 2023 and December 31, 2022, respectively     331       328  
Treasury stock, 711,231 shares, at cost, as of June 30, 2023 and December 31, 2022, respectively     (6,540 )     (6,540 )
Additional paid-in capital     189,461       188,184  
Retained loss     (57,022 )     (44,172 )
Total stockholders’ equity     126,230       137,800  
Total liabilities and stockholders’ equity   $ 369,209     $ 367,155  
             

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Press releases

Orion Group Holdings Announces Contract Awards Valued at Approximately $111 Million

21 Nov 2024

HOUSTON, Nov. 21, 2024 (GLOBE NEWSWIRE) -- Orion Group Holdings, Inc. (NYSE: ORN) (“Orion” and “Company”), a leading specialty construction and engineering company today announced three contract awards, two in its...

Orion Group Holdings to Participate in Upcoming Investor Conferences

15 Nov 2024

HOUSTON, Nov. 15, 2024 (GLOBE NEWSWIRE) -- Orion Group Holdings, Inc. (NYSE: ORN) (the “Company”), a leading specialty construction company, today announced that its management team will participate in the following...

Orion Group Holdings Reports Third Quarter 2024 Results

30 Oct 2024

HOUSTON, Oct. 30, 2024 (GLOBE NEWSWIRE) -- Orion Group Holdings, Inc. (NYSE: ORN) (the “Company”), a leading specialty construction company, today reported its financial results for the third quarter ended September 30...

Orion Group Holdings to Report Third Quarter 2024 Financial Results on Wednesday, October 30

10 Oct 2024

HOUSTON, Oct. 10, 2024 (GLOBE NEWSWIRE) -- Orion Group Holdings, Inc. (NYSE: ORN) (“Orion”, "Company"), a leading specialty construction company, today announced that it will issue its third quarter 2024 financial...

Orion Group Holdings to Participate in D.A. Davidson’s 23rd Annual Diversified Industrials & Services Conference

18 Sep 2024

HOUSTON, Sept. 18, 2024 (GLOBE NEWSWIRE) -- Orion Group Holdings, Inc. (NYSE: ORN) (the “Company”), a leading specialty construction company, today announced that Orion management will participate in D.A. Davidson’s...

Orion Group Holdings Prices $25.0 Million Public Offering of Common Stock

11 Sep 2024

HOUSTON, Sept. 11, 2024 (GLOBE NEWSWIRE) -- Orion Group Holdings, Inc. (NYSE: ORN) (“Orion” or the “Company”), a leading specialty construction company, today announced that it has priced its previously announced...