Ameresco Reports Third Quarter 2016 Financial Results
Third Quarter 2016 Financial Highlights:
- Revenues of $180.6 million
- Net income of $5.7 million or $0.12 per diluted share
- Adjusted EBITDA of $19.2 million
- Non-GAAP EPS of $0.16
- Total project backlog of $1.5 billion, up 6% year over year
- Fully contracted backlog of $443.8 million, up 17% year over year
Ameresco, Inc. (NYSE:AMRC), a leading energy efficiency and renewable energy company, today announced financial results for the
fiscal quarter ended September 30, 2016. The Company has also furnished prepared remarks in conjunction with this press
release in a Current Report on Form 8-K. The prepared remarks contain supplemental information, including non-GAAP financial
metrics, and have been posted to the “Investor Relations” section of the Company’s website at www.ameresco.com.
Management Commentary
George P. Sakellaris, Chairman, President and Chief Executive Officer of Ameresco commented, "Third quarter results were solid
and built on the momentum we established in the first half of the year. Our focus is on growing earnings faster than revenue, as
demonstrated by the significant improvement in both net income and adjusted EBITDA. We are confident in our outlook for
continued growth in the years ahead. We continue to build our portfolio of distributed generation assets, increase our
penetration in new and existing markets, and grow our contracted backlog. We believe our broad and deep technical expertise and
innovative approach to energy efficiency and renewable energy projects will enable us to sustain our leadership position in the
industry.”
Financial Results
(All financial result comparisons made are against the prior year period unless otherwise noted.)
Third Quarter 2016
Revenues were $180.6 million, compared to $189.1 million. Operating income was $9.9 million, compared to $9.7 million.
Net income was $5.7 million compared to $4.2 million, and net income per diluted share was $0.12 compared to $0.09. Non-GAAP EPS
was $0.16, compared to $0.09.
Adjusted EBITDA, a non-GAAP financial measure, was $19.2 million, compared to $16.1 million.
Additional Third Quarter 2016 Operating Highlights:
- Cash flows used in operating activities were $7.7 million, compared to $4.3 million provided by
operating activities in the prior year, and adjusted cash from operations, a non-GAAP financial measure, was $18.7 million,
compared to $25.3 million, reflecting the working capital used to support the growth in our Federal segment.
- Total project backlog was $1,498.3 million as of September 30, 2016 and consisted of:
- $443.8 million of fully-contracted backlog of signed customer contracts for installation or
construction of projects, which we expect to convert into revenue over the next 12-24 months, on average; and
- $1,054.5 million of awarded projects, representing projects in development for which we do not
have signed contracts.
- Assets in development were $149.0 million or 60 MWe.
FY 2016 Guidance
Based on year to date performance and expectations for the fourth quarter of 2016, Ameresco is narrowing its revenue guidance
for fiscal year 2016. The Company expects to generate revenue in the range of $645 million to $660 million. Ameresco is reaffirming
its full year outlook for adjusted EBITDA and net income per diluted share. The Company expects adjusted EBITDA for 2016 to be in
the range of $51 million to $57 million and net income per diluted share to be in the range of $0.25 to $0.30 for 2016. Our
guidance assumptions for the remainder of 2016 are as follows: gross margin in the range of 19% to 20%; operating expenses as a
percentage of revenue of 15.5% to 16.5%; an effective income tax rate of 25% to 27%; and weighted average common shares outstanding
of 47 million. This guidance excludes the impact of any non-controlling interest activity and any additional charges relating to
the SunEdison bankruptcy and our restructuring activities.
Share Repurchase Program
Through the end of the third quarter, the Company repurchased 920,944 shares of its Class A common stock for an average per
share price of $4.79. The Company has approximately $6 million of remaining authorization under the share repurchase program it
announced in May 2016.
Webcast Reminder
The Company will host a conference call today at 8:30 a.m. ET today to discuss results. Participants may access the earnings
conference call by dialing +1 (877) 359-9508 or internationally +1 (224) 357-2393. The passcode is 4413406. Participants are
advised to dial into the call at least ten minutes prior to register. A live, listen-only webcast of the conference call will also
be available over the Internet. Individuals wishing to listen can access the call through the “Investor Relations” section of the
Company’s website at www.ameresco.com. An archived webcast will be available on the Company’s website for one year.
In conjunction with the conference call, the Company will provide management’s prepared remarks in the “Investor Relations”
section of the Company's website, as well as in a Current Report on Form 8-K filed with the SEC.
Use of Non-GAAP Financial Measures
This press release and the accompanying tables include references to adjusted EBITDA, non-GAAP EPS, non-GAAP net income and
adjusted cash from operations, which are non-GAAP financial measures. For a description of these non-GAAP financial measures,
including the reasons management uses these measures, please see the section following the accompanying tables titled “Exhibit A:
Non-GAAP Financial Measures”. For a reconciliation of these non-GAAP financial measures to the most directly comparable financial
measures prepared in accordance with GAAP, please see Other Non-GAAP Disclosures and Non-GAAP Financial Guidance in the
accompanying tables.
About Ameresco, Inc.
Founded in 2000, Ameresco, Inc. (NYSE:AMRC) is a leading independent provider of comprehensive services, energy efficiency,
infrastructure upgrades, asset sustainability and renewable energy solutions for businesses and organizations throughout North
America and Europe. Ameresco’s sustainability services include upgrades to a facility’s energy infrastructure and the development,
construction and operation of renewable energy plants. Ameresco has successfully completed energy saving, environmentally
responsible projects with federal, state and local governments, healthcare and educational institutions, housing authorities, and
commercial and industrial customers. With its corporate headquarters in Framingham, MA, Ameresco has more than 1,000 employees
providing local expertise in the United States, Canada, and the United Kingdom. For more information, visit www.ameresco.com.
Safe Harbor Statement
Any statements in this press release about future expectations, plans and prospects for Ameresco, Inc., including statements
about market conditions, pipeline and backlog, as well as estimated future revenues and net income, and other statements containing
the words “projects,” “believes,” “anticipates,” “plans,” “expects,” “will” and similar expressions, constitute forward-looking
statements within the meaning of The Private Securities Litigation Reform Act of 1995. Actual results may differ materially from
those indicated by such forward-looking statements as a result of various important factors, including the timing of, and ability
to, enter into contracts for awarded projects on the terms proposed; the timing of work we do on projects where we recognize
revenue on a percentage of completion basis, including the ability to perform under recently signed contracts without unusual
delay; demand for our energy efficiency and renewable energy solutions; our ability to arrange financing for our projects; changes
in federal, state and local government policies and programs related to energy efficiency and renewable energy; the ability of
customers to cancel or defer contracts included in our backlog; the effects of our recent acquisitions and restructuring
activities; seasonality in construction and in demand for our products and services; a customer’s decision to delay our work on, or
other risks involved with, a particular project; availability and costs of labor and equipment; the addition of new customers or
the loss of existing customers; market price of the Company's stock prevailing from time to time; the nature of other investment
opportunities presented to the Company from time to time; the Company's cash flows from operations; and other factors discussed in
our Annual Report on Form 10-K for the year ended December 31, 2015, filed with the U.S. Securities and Exchange Commission on
March 4, 2016 and in our Quarterly Report on Form 10-Q for the quarter ended March 31, 2016, filed with the U.S. Securities and
Exchange Commission on May 5, 2016. In addition, the forward-looking statements included in this press release represent our views
as of the date of this press release. We anticipate that subsequent events and developments will cause our views to change.
However, while we may elect to update these forward-looking statements at some point in the future, we specifically disclaim any
obligation to do so. These forward-looking statements should not be relied upon as representing our views as of any date subsequent
to the date of this press release.
|
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AMERESCO, INC.
|
CONSOLIDATED BALANCE SHEETS
|
(in thousands, except share and per share amounts)
|
|
|
|
|
|
|
|
|
|
|
September 30, |
|
|
December 31, |
|
|
|
2016 |
|
|
2015 |
|
|
|
(Unaudited) |
|
|
|
ASSETS |
|
|
|
Current assets: |
|
|
|
|
|
|
Cash and cash equivalents |
|
|
$ |
18,357 |
|
|
|
$ |
21,645 |
|
Restricted cash |
|
|
12,449 |
|
|
|
16,236 |
|
Accounts receivable, net |
|
|
80,737 |
|
|
|
73,372 |
|
Accounts receivable retainage, net |
|
|
21,797 |
|
|
|
21,454 |
|
Costs and estimated earnings in excess of billings |
|
|
60,085 |
|
|
|
88,334 |
|
Inventory, net |
|
|
13,388 |
|
|
|
13,223 |
|
Prepaid expenses and other current assets |
|
|
14,728 |
|
|
|
11,745 |
|
Income tax receivable |
|
|
— |
|
|
|
2,151 |
|
Project development costs |
|
|
15,037 |
|
|
|
15,538 |
|
Total current assets |
|
|
236,578 |
|
|
|
263,698 |
|
Federal ESPC receivable |
|
|
124,888 |
|
|
|
125,804 |
|
Property and equipment, net |
|
|
5,637 |
|
|
|
5,328 |
|
Project assets, net |
|
|
279,257 |
|
|
|
244,309 |
|
Goodwill |
|
|
58,361 |
|
|
|
59,085 |
|
Intangible assets, net |
|
|
4,615 |
|
|
|
6,770 |
|
Other assets |
|
|
24,758 |
|
|
|
18,446 |
|
Total assets |
|
|
$ |
734,094 |
|
|
|
$ |
723,440 |
|
LIABILITIES AND STOCKHOLDERS' EQUITY |
|
|
|
Current liabilities: |
|
|
|
|
|
|
Current portions of long-term debt and capital lease liabilities |
|
|
$ |
15,246 |
|
|
|
$ |
13,427 |
|
Accounts payable |
|
|
125,014 |
|
|
|
114,759 |
|
Accrued expenses and other current liabilities |
|
|
22,403 |
|
|
|
21,983 |
|
Billings in excess of cost and estimated earnings |
|
|
18,723 |
|
|
|
28,744 |
|
Income taxes payable |
|
|
631 |
|
|
|
810 |
|
Total current liabilities |
|
|
182,017 |
|
|
|
179,723 |
|
Long-term debt and capital lease liabilities, less current portions and net of
deferred financing fees |
|
|
113,596 |
|
|
|
100,490 |
|
Federal ESPC liabilities |
|
|
108,039 |
|
|
|
122,040 |
|
Deferred income taxes |
|
|
2,417 |
|
|
|
4,010 |
|
Deferred grant income |
|
|
7,877 |
|
|
|
8,291 |
|
Other liabilities |
|
|
21,127 |
|
|
|
18,854 |
|
|
|
|
|
|
|
|
Redeemable non-controlling interest |
|
|
6,797 |
|
|
|
490 |
|
|
|
|
|
|
|
|
Stockholders' equity: |
|
|
|
|
|
|
Preferred stock, $0.0001 par value, 5,000,000 shares authorized, no shares issued and
outstanding at September 30, 2016 and December 31, 2015
|
|
|
— |
|
|
|
— |
|
Class A common stock, $0.0001 par value, 500,000,000 shares authorized, 28,980,284
shares issued and 28,059,340 shares outstanding at September 30, 2016, 28,684,392
shares issued and outstanding at December 31, 2015
|
|
|
3 |
|
|
|
3 |
|
Class B common stock, $0.0001 par value, 144,000,000 shares authorized, 18,000,000
shares issued and outstanding at September 30, 2016 and December 31, 2015
|
|
|
2 |
|
|
|
2 |
|
Additional paid-in capital |
|
|
112,366 |
|
|
|
110,311 |
|
Retained earnings |
|
|
193,217 |
|
|
|
184,454 |
|
Accumulated other comprehensive loss, net |
|
|
(8,913 |
) |
|
|
(5,228 |
) |
Less - treasury stock, at cost, 920,944 shares at September 30, 2016 |
|
|
(4,451 |
) |
|
|
— |
|
Total equity |
|
|
292,224 |
|
|
|
289,542 |
|
Total liabilities, redeemable non-controlling interest and equity |
|
|
$ |
734,094 |
|
|
|
$ |
723,440 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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AMERESCO, INC
|
CONSOLIDATED STATEMENTS OF INCOME
|
(in thousands, except share and per share amounts)
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended September 30, |
|
|
Nine Months Ended September 30, |
|
|
|
2016 |
|
|
2015 |
|
|
2016 |
|
|
2015 |
|
|
|
(Unaudited) |
|
|
(Unaudited) |
|
|
(Unaudited) |
|
|
(Unaudited) |
Revenues |
|
|
$ |
180,598 |
|
|
|
$ |
189,142 |
|
|
|
$ |
477,002 |
|
|
|
$ |
457,064 |
Cost of revenues |
|
|
141,803 |
|
|
|
152,849 |
|
|
|
378,675 |
|
|
|
370,232 |
Gross profit |
|
|
38,795 |
|
|
|
36,293 |
|
|
|
98,327 |
|
|
|
86,832 |
Selling, general and administrative expenses |
|
|
28,852 |
|
|
|
26,623 |
|
|
|
81,880 |
|
|
|
76,506 |
Operating income |
|
|
9,943 |
|
|
|
9,670 |
|
|
|
16,447 |
|
|
|
10,326 |
Other expenses, net |
|
|
2,268 |
|
|
|
2,149 |
|
|
|
4,961 |
|
|
|
6,158 |
Income before provision for income taxes |
|
|
7,675 |
|
|
|
7,521 |
|
|
|
11,486 |
|
|
|
4,168 |
Income tax provision |
|
|
1,865 |
|
|
|
3,343 |
|
|
|
2,872 |
|
|
|
2,187 |
Net income |
|
|
5,810 |
|
|
|
4,178 |
|
|
|
8,614 |
|
|
|
$ |
1,981 |
Net loss (income) attributable to redeemable non-controlling interest |
|
|
(95 |
) |
|
|
— |
|
|
|
149 |
|
|
|
— |
Net income attributable to Ameresco, Inc. |
|
|
$ |
5,715 |
|
|
|
$ |
4,178 |
|
|
|
$ |
8,763 |
|
|
|
$ |
1,981 |
Net income per share attributable to common shareholders: |
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
$ |
0.12 |
|
|
|
$ |
0.09 |
|
|
|
$ |
0.19 |
|
|
|
$ |
0.04 |
Diluted |
|
|
$ |
0.12 |
|
|
|
$ |
0.09 |
|
|
|
$ |
0.19 |
|
|
|
$ |
0.04 |
Weighted average common shares outstanding: |
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
46,360,575 |
|
|
|
46,517,638 |
|
|
|
46,606,494 |
|
|
|
46,473,375 |
Diluted |
|
|
46,430,163 |
|
|
|
48,056,359 |
|
|
|
46,669,036 |
|
|
|
47,623,042 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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|
AMERESCO, INC.
|
CONSOLIDATED STATEMENTS OF CASH FLOWS
|
(in thousands)
|
|
|
|
|
|
|
|
Nine Months Ended September 30, |
|
|
|
2016 |
|
|
2015 |
|
|
|
(Unaudited) |
|
|
(Unaudited) |
Cash flows from operating activities: |
|
|
|
|
|
|
Net income |
|
|
$ |
8,614 |
|
|
|
$ |
1,981 |
|
Adjustments to reconcile net income to cash flows from operating activities: |
|
|
|
|
|
|
Depreciation of project assets |
|
|
14,139 |
|
|
|
12,115 |
|
Depreciation of property and equipment |
|
|
2,300 |
|
|
|
2,349 |
|
Amortization of deferred financing fees |
|
|
994 |
|
|
|
850 |
|
Amortization of intangible assets |
|
|
1,793 |
|
|
|
3,041 |
|
Provision for bad debts |
|
|
5,137 |
|
|
|
239 |
|
Unrealized gain on interest rate swaps |
|
|
(227 |
) |
|
|
(277 |
) |
Stock-based compensation expense |
|
|
1,086 |
|
|
|
1,367 |
|
Deferred income taxes |
|
|
(344 |
) |
|
|
(2,920 |
) |
Unrealized foreign exchange (gain) loss |
|
|
(277 |
) |
|
|
1,324 |
|
Changes in operating assets and liabilities: |
|
|
|
|
|
|
Restricted cash |
|
|
(4,592 |
) |
|
|
(2,216 |
) |
Accounts receivable |
|
|
(7,136 |
) |
|
|
(5,258 |
) |
Accounts receivable retainage |
|
|
(403 |
) |
|
|
(1,501 |
) |
Federal ESPC receivable |
|
|
(83,431 |
) |
|
|
(50,555 |
) |
Inventory, net |
|
|
(165 |
) |
|
|
(3,347 |
) |
Costs and estimated earnings in excess of billings |
|
|
28,119 |
|
|
|
(10,792 |
) |
Prepaid expenses and other current assets |
|
|
(3,292 |
) |
|
|
(4,039 |
) |
Project development costs |
|
|
838 |
|
|
|
(4,999 |
) |
Other assets |
|
|
(137 |
) |
|
|
(2,807 |
) |
Accounts payable, accrued expenses and other current liabilities |
|
|
(1,225 |
) |
|
|
22,396 |
|
Billings in excess of cost and estimated earnings |
|
|
(9,510 |
) |
|
|
7,329 |
|
Other liabilities |
|
|
(2,005 |
) |
|
|
(573 |
) |
Income taxes payable |
|
|
2,348 |
|
|
|
3,674 |
|
Cash flows from operating activities |
|
|
(47,376 |
) |
|
|
(32,619 |
) |
Cash flows from investing activities: |
|
|
|
|
|
|
Purchases of property and equipment |
|
|
(2,696 |
) |
|
|
(1,040 |
) |
Purchases of project assets |
|
|
(45,205 |
) |
|
|
(29,932 |
) |
Proceeds from sales of assets |
|
|
— |
|
|
|
852 |
|
Cash flows from investing activities |
|
|
(47,901 |
) |
|
|
(30,120 |
) |
Cash flows from financing activities: |
|
|
|
|
|
|
Payments of financing fees |
|
|
(1,266 |
) |
|
|
(1,894 |
) |
Proceeds from exercises of options |
|
|
969 |
|
|
|
611 |
|
Repurchase of common stock |
|
|
(4,451 |
) |
|
|
— |
|
Proceeds (repayments) from senior secured credit facility, net |
|
|
7,501 |
|
|
|
(5,000 |
) |
Proceeds from long-term debt financing |
|
|
7,803 |
|
|
|
4,584 |
|
Proceeds from Federal ESPC projects |
|
|
65,075 |
|
|
|
61,846 |
|
Proceeds from sale-leaseback financing |
|
|
17,045 |
|
|
|
7,581 |
|
Non-controlling interest |
|
|
— |
|
|
|
(116 |
) |
Proceeds from investment by redeemable non-controlling interest, net |
|
|
6,456 |
|
|
|
— |
|
Restricted cash |
|
|
2,952 |
|
|
|
(74 |
) |
Payments on long-term debt |
|
|
(9,246 |
) |
|
|
(9,051 |
) |
Cash flows from financing activities |
|
|
92,838 |
|
|
|
58,487 |
|
Effect of exchange rate changes on cash |
|
|
(849 |
) |
|
|
1,746 |
|
Net decrease in cash and cash equivalents |
|
|
(3,288 |
) |
|
|
(2,506 |
) |
Cash and cash equivalents, beginning of period |
|
|
21,645 |
|
|
|
23,762 |
|
Cash and cash equivalents, end of period |
|
|
$ |
18,357 |
|
|
|
$ |
21,256 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Financial Measures (in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended September 30, |
|
|
Nine Months Ended September 30, |
|
|
|
2016 |
|
|
2015 |
|
|
2016 |
|
|
2015 |
|
|
|
(Unaudited) |
|
|
(Unaudited) |
|
|
(Unaudited) |
|
|
(Unaudited) |
Adjusted EBITDA: |
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to Ameresco, Inc. |
|
|
$ |
5,715 |
|
|
|
$ |
4,178 |
|
|
|
$ |
8,763 |
|
|
|
$ |
1,981 |
|
Impact from redeemable non-controlling interest |
|
|
95 |
|
|
|
— |
|
|
|
(149 |
) |
|
|
— |
|
Plus: Income tax provision |
|
|
1,865 |
|
|
|
3,343 |
|
|
|
2,872 |
|
|
|
2,187 |
|
Plus: Other expenses, net |
|
|
2,268 |
|
|
|
2,149 |
|
|
|
4,961 |
|
|
|
6,158 |
|
Plus: Depreciation and amortization of intangible assets |
|
|
6,290 |
|
|
|
6,010 |
|
|
|
18,232 |
|
|
|
17,505 |
|
Plus: Stock-based compensation |
|
|
328 |
|
|
|
396 |
|
|
|
1,086 |
|
|
|
1,367 |
|
Plus: Restructuring and other charges |
|
|
2,630 |
|
|
|
29 |
|
|
|
6,059 |
|
|
|
401 |
|
Plus: Non-Core Canada project loss |
|
|
— |
|
|
|
(5 |
) |
|
|
— |
|
|
|
3,148 |
|
Adjusted EBITDA |
|
|
$ |
19,191 |
|
|
|
$ |
16,100 |
|
|
|
$ |
41,824 |
|
|
|
$ |
32,747 |
|
Adjusted EBITDA margin |
|
|
10.6 |
% |
|
|
8.5 |
% |
|
|
8.8 |
% |
|
|
7.2 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP net income and EPS: |
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to Ameresco, Inc. |
|
|
$ |
5,715 |
|
|
|
$ |
4,178 |
|
|
|
$ |
8,763 |
|
|
|
$ |
1,981 |
|
Impact from redeemable non-controlling interest |
|
|
95 |
|
|
|
— |
|
|
|
(149 |
) |
|
|
— |
|
Plus: Restructuring and other charges |
|
|
2,630 |
|
|
|
29 |
|
|
|
6,059 |
|
|
|
401 |
|
Plus: Non-Core Canada project loss |
|
|
— |
|
|
|
(5 |
) |
|
|
— |
|
|
|
3,148 |
|
Plus: Income Tax effect of non-GAAP adjustments |
|
|
(868 |
) |
|
|
— |
|
|
|
(1,430 |
) |
|
|
(123 |
) |
Non-GAAP net income |
|
|
$ |
7,572 |
|
|
|
$ |
4,202 |
|
|
|
$ |
13,243 |
|
|
|
$ |
5,407 |
|
Diluted net income per common share |
|
|
$ |
0.12 |
|
|
|
$ |
0.09 |
|
|
|
$ |
0.19 |
|
|
|
$ |
0.04 |
|
Effect of adjustments to net income |
|
|
0.04 |
|
|
|
— |
|
|
|
0.09 |
|
|
|
0.07 |
|
Non-GAAP EPS |
|
|
$ |
0.16 |
|
|
|
$ |
0.09 |
|
|
|
$ |
0.28 |
|
|
|
$ |
0.11 |
|
Weighted average common shares outstanding - diluted |
|
|
46,430,163 |
|
|
|
48,056,359 |
|
|
|
46,669,036 |
|
|
|
47,623,042 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted cash from operations: |
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from operating activities |
|
|
$ |
(7,654 |
) |
|
|
$ |
4,341 |
|
|
|
$ |
(47,376 |
) |
|
|
$ |
(32,619 |
) |
Plus: proceeds from Federal ESPC projects |
|
|
26,316 |
|
|
|
20,976 |
|
|
|
65,075 |
|
|
|
61,846 |
|
Adjusted cash from operations |
|
|
$ |
18,662 |
|
|
|
$ |
25,317 |
|
|
|
$ |
17,699 |
|
|
|
$ |
29,227 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
September 30, |
|
|
|
|
|
|
|
|
|
2016 |
|
|
2015 |
|
|
|
|
|
|
|
|
|
(Unaudited) |
|
|
(Unaudited) |
Construction backlog: |
|
|
|
|
|
|
|
|
|
|
|
|
Awarded(1) |
|
|
|
|
|
|
|
|
$ |
1,054,500 |
|
|
|
$ |
1,032,600 |
|
Fully-contracted |
|
|
|
|
|
|
|
|
443,800 |
|
|
|
379,300 |
|
Total construction backlog |
|
|
|
|
|
|
|
|
$ |
1,498,300 |
|
|
|
$ |
1,411,900 |
|
Assets in development |
|
|
|
|
|
|
|
|
$ |
149,000 |
|
|
|
$ |
185,200 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Represents estimated future revenues from projects that have been awarded, though the contracts have not yet been
signed.
Non-GAAP Financial Guidance
|
Adjusted earnings before interest,
taxes, depreciation and amortization (adjusted EBITDA): |
(in thousands) |
Year Ended December 31, 2016 |
|
|
|
Low |
|
High |
Operating income |
|
|
$ |
18,000 |
|
|
$ |
21,000 |
Depreciation and amortization of intangible assets |
|
|
25,000 |
|
|
27,000 |
Stock-based compensation |
|
|
2,000 |
|
|
2,000 |
Restructuring and other charges |
|
|
6,000 |
|
|
7,000 |
Adjusted EBITDA |
|
|
$ |
51,000 |
|
|
$ |
57,000 |
|
|
|
|
|
|
|
|
|
Exhibit A: Non-GAAP Financial Measures
We use the non-GAAP financial measures defined and discussed below to provide investors and others with useful supplemental
information to our financial results prepared in accordance with GAAP. These non-GAAP financial measures should not be considered
as an alternative to any measure of financial performance calculated and presented in accordance with GAAP. For a reconciliation of
these non-GAAP measures to the most directly comparable financial measures prepared in accordance with GAAP, please see Other
Non-GAAP Disclosure and Non-GAAP Financial Guidance in the tables above.
We understand that, although measures similar to these non-GAAP financial measures are frequently used by investors and
securities analysts in their evaluation of companies, they have limitations as analytical tools, and investors should not consider
them in isolation or as a substitute for the most directly comparable GAAP financial measures or an analysis of our results of
operations as reported under GAAP. To properly and prudently evaluate our business, we encourage investors to review our GAAP
financial statements included above, and not to rely on any single financial measure to evaluate our business.
Adjusted EBITDA and Adjusted EBITDA Margin
We define adjusted EBITDA as operating income before depreciation, amortization of intangible assets, stock-based compensation
expense, restructuring charges, loss related to a significant non-core project in Canada and charges related to a significant
customer bankruptcy. We believe adjusted EBITDA is useful to investors in evaluating our operating performance for the following
reasons: adjusted EBITDA and similar non-GAAP measures are widely used by investors to measure a company's operating performance
without regard to items that can vary substantially from company to company depending upon financing and accounting methods, book
values of assets, capital structures and the methods by which assets were acquired; securities analysts often use adjusted EBITDA
and similar non-GAAP measures as supplemental measures to evaluate the overall operating performance of companies; and by comparing
our adjusted EBITDA in different historical periods, investors can evaluate our operating results without the additional variations
of depreciation and amortization expense, stock-based compensation expense, restructuring charges and loss related to a significant
non-core project in Canada. We define adjusted EBITDA margin as adjusted EBITDA stated as a percentage of revenue.
Our management uses adjusted EBITDA and adjusted EBITDA margin as measures of operating performance, because they do not include
the impact of items that we do not consider indicative of our core operating performance; for planning purposes, including the
preparation of our annual operating budget; to allocate resources to enhance the financial performance of the business; to evaluate
the effectiveness of our business strategies; and in communications with the board of directors and investors concerning our
financial performance.
During the first quarter of 2016, we changed our calculation and presentation of adjusted EBITDA to exclude restructuring
charges and losses related to a significant non-core project in Canada and during the third quarter of 2016, we changed our
calculation and presentation of adjusted EBITDA in order to exclude charges related to a significant customer bankruptcy. We do not
consider these items indicative of our core operating performance. Adjusted EBITDA and adjusted EBITDA margin for the prior periods
have been recalculated to be presented on a comparable basis.
Non-GAAP Net Income and EPS
We define non-GAAP net income and earnings per share ("EPS") to exclude certain discrete items that management does not consider
representative of our ongoing operations, including restructuring charges, loss related to a significant non-core project in
Canada, impact from redeemable non-controlling interest and charges related to a significant customer bankruptcy. We consider
non-GAAP net income and non-GAAP EPS to be important indicators of our operational strength and performance of our business because
they eliminate the effects of events that are not part of the Company's core operations.
Adjusted Cash From Operations
We define adjusted cash from operations as cash flows from operating activities plus proceeds from Federal ESPC projects. Cash
received in payment of Federal ESPC projects is treated as a financing cash flow under GAAP due to the unusual financing structure
for these projects. These cash flows, however, correspond to the revenue generated by these projects. Thus we believe that
adjusting operating cash flow to include the cash generated by our Federal ESPC projects provides investors with a useful measure
for evaluating the cash generating ability of our core operating business. Our management uses adjusted cash from operations as a
measure of liquidity because it captures all sources of cash associated with our revenue generated by operations.
Ameresco, Inc.
Media Relations
CarolAnn Hibbard, 508-661-2264
news@ameresco.com
or
Investor Relations
John Granara, 508-661-2215
ir@ameresco.com
or
The Blue Shirt Group
Gary Dvorchak, CFA, 323-240-5796
ir@ameresco.com
View source version on businesswire.com: http://www.businesswire.com/news/home/20161101005440/en/