Concrete Pumping Holdings Reports Second Quarter Fiscal Year 2024 Results (2024)

Concrete Pumping Holdings Reports Second Quarter Fiscal Year 2024 Results (1)

DENVER, June 06, 2024 (GLOBE NEWSWIRE) -- Concrete Pumping Holdings, Inc. (Nasdaq: BBCP) (the "Company" or "CPH"), a leading provider of concrete pumping and waste management services in the U.S. and U.K., reported financial results for the second quarterended April 30, 2024.

Second Quarter Fiscal Year 2024 Summary vs. SecondQuarter of Fiscal Year 2023 (unless otherwise noted)

	●	Revenue of $107.1 million compared to $107.8 million.
	●	Gross profit of $41.8 million compared to $43.5 million.
	●	Income from operations of $12.1 million compared to $13.2 million.
	●	Net income of $3.0 million compared to $5.6 million.
	●	Net income attributable to common shareholders of $2.6 million or $0.05 per diluted share, compared to $5.2 million or $0.09 per diluted share.
	●	Adjusted EBITDA¹ of $27.5 million compared to $28.8 million, with Adjusted EBITDA margin¹ of 25.7% compared to 26.7%.
	●	Amounts outstanding under debt agreements was $391.4 million with net debt¹of $373.5 million. Total available liquidity was $216.9 million as of April 30, 2024, compared to $100.4 million as of April 30, 2023.

Management Commentary

"In the second quarter, continued double-digit revenue growth in our U.S. Concrete Waste Management segment mostly offset a volume-driven decline in our U.S. Concrete Pumping segment," said CPH CEO Bruce Young. "This was due to interest-rate-sensitive commercial work being further delayed, as well as another quarter of above-average rainfall in Texas and our markets in the southwestern United States. These volume declines from commercial projects have been partially offset by promising volume improvements inresidential and infrastructure projects. Specifically on infrastructure, we experienced a 14% year-over-year increase in infrastructure project revenue in the second quarter, which we believe is driven by early stages of federal and state infrastructure funding from the Infrastructure Investment and Jobs Act.

"Our Concrete Waste Management business continued to deliver exceptional results, growing revenue by 19% based on our ability to growmarket share and improve price. We believe the opportunity to continue growing this business by double-digits will remain for the foreseeable future.

"Despite a challenging market environment driven by high interest rates and persistent inflation, we are optimistic for the remainder of the year. We believe our diversified business model, both by end market and region, has us positioned to deliver full-year revenue growth. Further,the operating leverage we have for better fleet utilization and the flexibility we have around our capex spend and capital allocation, specifically around fleet investments, provides us the abilityto maintain our outlook for free cash flow and to obtain our target leverage ratio. Over the long-term, the advantages of our scale—and the mission critical service we provide to a growing industrial economy—position us well to drive meaningful shareholder value."

¹ Adjusted EBITDA, Adjusted EBITDA margin,net debt and leverage ratio are financial measures that are not calculated in accordance with accounting principles generally accepted in the United States of America ("GAAP"). See "Non-GAAP Financial Measures" below for a discussion of the non-GAAP financial measures used in this release and a reconciliation to their most comparable GAAP measures.

Second Quarter Fiscal Year 2024Financial Results

Revenue in the second quarter of fiscal year 2024 was $107.1 million compared to $107.8 million in the second quarter of fiscal year 2023. The decrease was attributable to a revenue decline in the Company’s U.S. Concrete Pumping segment due to: (1) a slowdown in commercial construction work, mostly due to the impact from rising interest rates,(2) oversaturation of concrete pumps in certain markets and (3) higher than normal precipitation throughout the quarter, specifically in Texas and the Company'smarkets in the southwestern United States, partially offset by strong growth in Concrete Waste Management Services.

Gross profit in the second quarter of fiscal year 2024 decreased 4% to $41.8 million compared to $43.5 million in the prior year quarter. Gross margin was 39.0% compared to 40.3% in the prior year quarter, primarily related to lower revenue and labor utilization in the Company's U.S. Concrete Pumping segment andsubstantial market-drivenincreases in insurancecosts.

General and administrative expenses in the second quarter decreased to $29.7million compared to $30.2million in the prior year quarter. The decrease was largely due to: (1) non-cash decreases in amortization expense of $0.9 million, (2) a $0.7million increase in the gain on sale of assets, and (3) lower stock-based compensation of $0.3 million. As a percentage of revenue, G&A costs were 27.7% in the secondquarter compared to 28.0% in the prior year quarter.

See Also

French Open live reaction

A replay of the conference call will be available after 8:00 p.m. Eastern time on the same day through June 13, 2024.

Toll-free replay number: 1-844-512-2921
International replay number: 1-412-317-6671
Replay ID: 13746687

About Concrete Pumping Holdings

Concrete Pumping Holdings is the leading provider of concrete pumping services and concrete waste management services in the fragmented U.S. and U.K. markets, primarily operating under what we believe are the only established, national brands in both geographies – Brundage-Bone for concrete pumping in the U.S., Camfaud in the U.K., and Eco-Pan for waste management services in both the U.S. and U.K. The Company’s large fleet of specialized pumping equipment and trained operators position it to deliver concrete placement solutions that facilitate labor cost savings to customers, shorten concrete placement times, enhance worksite safety and improve construction quality. Highly complementary to its core concrete pumping service, Eco-Pan seeks to provide a full-service, cost-effective, regulatory-compliant solution to manage environmental issues caused by concrete washout. As of January 31, 2024, the Company provided concrete pumping services in the U.S. from a footprint of approximately 100 branch locations across approximately 21 states, concrete pumping services in the U.K. from approximately 30 branch locations, and route-based concrete waste management services from 20 operating locations in the U.S. and 1 shared location in the U.K. For more information, please visit www.concretepumpingholdings.com or the Company’s brand websites at www.brundagebone.com, www.camfaud.co.uk, or www.eco-pan.com.

Forward‐Looking Statements

This press release includes "forward-looking statements" within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. The Company’s actual results may differ from expectations, estimates and projections and consequently, you should not rely on these forward-looking statements as predictions of future events. Words such as "expect," "estimate," "project," "budget," "forecast," "anticipate," "intend," "plan," "may," "will," "could," "should," "believes," "predicts," "potential," "continue," "outlook" and similar expressions are intended to identify such forward-looking statements. These forward-looking statements include, without limitation, the Company’s expectations with respect to future performance, including the Company's fiscal year 2024outlook. These forward-looking statements involve significant risks and uncertainties that could cause actual results to differ materially from expected results. Most of these factors are outside the Company’s control and are difficult to predict. Factors that may cause such differences include, but are not limited to: the adverse impact of recent inflationary pressures, global economic conditions and developments related to these conditions, such as fluctuations in fuel costs on our business; adverse weather conditions; the outcome of any legal proceedings or demand letters that may be instituted against or sent to the Company or its subsidiaries; the ability of the Company to grow and manage growth profitably and retain its key employees; the ability to complete targeted acquisitions and to realize the expected benefits from completed acquisitions; changes in applicable laws or regulations;the possibility that the Company may be adversely affected by other economic, business, and/or competitive factors; and other risks and uncertainties indicated from time to time in the Company’s filings with the Securities and Exchange Commission, including the risk factors in the Company's latest Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. The Company cautions that the foregoing list of factors is not exclusive. The Company cautions readers not to place undue reliance upon any forward-looking statements, which speak only as of the date made. The Company does not undertake or accept any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in its expectations or any change in events, conditions or circ*mstances on which any such statement is based.

Non-GAAP Financial Measures

This press release presents Adjusted EBITDA, Adjusted EBITDA margin, net debt and free cash flow, all of which are important financial measures for the Companybut are not financial measures defined by GAAP.

EBITDA is calculatedby taking GAAP net income and adding back interest expense, income taxes, depreciation and amortization. Adjusted EBITDA is calculated by taking EBITDA and adding back transaction expenses, loss on debt extinguishment, stock-based compensation, changes in the fair value of warrant liabilities, other income, net, goodwill and intangibles impairment and other adjustments. Transaction expenses represent expenses for legal, accounting, and other professionals that were engaged in the completion of various acquisitions. Transaction expenses can be volatile as they are primarily driven by the size of a specific acquisition. As such, the Companyexcludes these amounts from Adjusted EBITDA for comparability across periods. Other adjustments include the adjustments for warrant liabilities revaluation, non-recurring expenses and non-cash currency gains/losses.

The Company believes these non-GAAP measures of financial results provide useful supplemental information to management and investors regarding certain financial and business trends related to our financial condition and results of operations, and as a supplemental tool for investors to use in evaluating our ongoing operating results and trends and in comparing our financial measures with competitors who also present similar non-GAAP financial measures. In addition, these measures (1) are used in quarterly and annual financial reports and presentationsprepared for management, our board of directors and investors, and (2) help management to determine incentive compensation. EBITDA and Adjusted EBITDA have limitations and should not be considered in isolation or as a substitute for performance measures calculated under GAAP. These non-GAAP measures exclude certain cash expenses that the Companyisobligated to make. In addition, other companies in our industry may calculate EBITDA and Adjusted EBITDA differently or may not calculate it at all, which limits the usefulness of EBITDA and Adjusted EBITDA as comparative measures. Adjusted EBITDA margin is defined as Adjusted EBITDA divided by total revenue for the period presented. See below for a reconciliation of Adjusted EBITDA to net income (loss) calculated in accordance with GAAP.

Net debt is calculated as all amounts outstanding under debt agreements (currently this includes the Company’s term loan and revolving line of credit balances, excluding any offsets for capitalized deferred financing costs) measured in accordance with GAAP less cash. Cash is subtracted from the GAAP measure because it could be used to reduce the Company’s debt obligations. A limitation associated with using net debt is that it subtracts cash and therefore may imply that there is less Company debt than the most comparable GAAP measure indicates. CPH believes this non-GAAP measure provides useful information to management and investors in order to monitor the Company’s leverage and evaluate the Company’s consolidated balance sheet. See "Non-GAAP Measures (Reconciliation of Net Debt)" below for a reconciliation of Net Debt to amounts outstanding under debt agreements calculated in accordance with GAAP.

The leverage ratio is defined as the ratio of net debt to Adjusted EBITDA for the trailing four quarters. The Company believes its leverage ratio measures its ability to service its debt and its ability to make capital expenditures. Additionally, the leverage ratio is a standard measurement used by investors to gauge the creditworthiness of an institution.

Free cash flow is defined as Adjusted EBITDA less net replacement capital expenditures and cash paid for interest. This measure is not a substitute for cash flow from operations and does not represent the residual cash flow available for discretionary expenditures, since certain non-discretionary expenditures, such as debt servicing payments, are not deducted from the measure. CPH believes this non-GAAP measure provides useful information to management and investors in order to monitor and evaluate the cash flow yield of the business.

The financial statement tables that accompany this press release include a reconciliation of Adjusted EBITDA and net debt to the applicable most comparable U.S. GAAP financial measure. However, the Company has not reconciled the forward-looking Adjusted EBITDA guidance range and free cash flow range included in this press release to the most directly comparable forward-looking GAAP measures because this cannot be done without unreasonable effort due to the lack of predictability regarding the various reconciling items such as provision for income taxes and depreciation and amortization.

Current and prospective investors should review the Company’s audited annual and unaudited interim financial statements, which are filed with the U.S. Securities and Exchange Commission, and not rely on any single financial measure to evaluate the Company’s business. Other companies may calculate Adjusted EBITDA, net debt and free cash flow differently and therefore these measures may not be directly comparable to similarly titled measures of other companies.

Contact:

Company:
Iain Humphries
Chief Financial Officer
1-303-289-7497

Investor Relations:
GatewayGroup, Inc.
Cody Slach
1-949-574-3860
BBCP@gateway-grp.com

Concrete Pumping Holdings, Inc.
CondensedConsolidated Balance Sheets

	As of April 30,			As of October 31,
(in thousands, except per share amounts)	2024			2023
Current assets:
Cash and cash equivalents	$	17,956		$	15,861
Receivables, net of allowance for doubtful accounts of $1,056 and $978, respectively		56,909			62,976
Inventory		6,202			6,732
Prepaid expenses and other current assets		18,392			8,701
Total current assets		99,459			94,270

Property, plant and equipment, net		426,884			427,648
Intangible assets, net		112,756			120,244
Goodwill		222,295			221,517
Right-of-use operating lease assets		27,226			24,815
Other non-current assets		4,506			14,250
Deferred financing costs		1,587			1,781
Total assets	$	894,713		$	904,525

Current liabilities:
Revolving loan	$	16,428		$	18,954
Operating lease obligations, current portion		4,673			4,739
Finance lease obligations, current portion		-			125
Accounts payable		8,417			8,906
Accrued payroll and payroll expenses		12,804			14,524
Accrued expenses and other current liabilities		35,956			34,750
Income taxes payable		1,695			1,848
Warrant liability, current portion		-			130
Total current liabilities		79,973			83,976

Long term debt, net of discount for deferred financing costs		372,564			371,868
Operating lease obligations, non-current		22,819			20,458
Finance lease obligations, non-current		-			50
Deferred income taxes		80,489			80,791
Other liabilities, non-current		5,567			14,142
Total liabilities		561,412			571,285


Zero-dividend convertible perpetual preferred stock, $0.0001 par value, 2,450,980 shares issued and outstanding as of April 30, 2024 and October 31, 2023		25,000			25,000

Stockholders' equity
Common stock, $0.0001 par value, 500,000,000 shares authorized, 53,741,044 and 54,757,445 issued and outstanding as of April 30, 2024 and October 31, 2023, respectively		6			6
Additional paid-in capital		384,585			383,286
Treasury stock		(18,131	)		(15,114	)
Accumulated other comprehensive loss		(2,932	)		(5,491	)
Accumulated deficit		(55,227	)		(54,447	)
Total stockholders' equity		308,301			308,240

Total liabilities and stockholders' equity	$	894,713		$	904,525

Concrete Pumping Holdings, Inc.
Condensed Consolidated Statements of Operations

	Three Months Ended April 30,						Six Months Ended April 30,
(in thousands, except per share amounts)	2024			2023			2024			2023

Revenue	$	107,062		$	107,791		$	204,773		$	201,366
Cost of operations		65,295			64,317			129,692			121,438
Gross profit		41,767			43,474			75,081			79,928
Gross margin		39.0	%		40.3	%		36.7	%		39.7	%

General and administrative expenses		29,712			30,258			61,570			57,299
Income from operations		12,055			13,216			13,511			22,629

Interest expense and amortization of deferred financing costs		(6,873	)		(7,348	)		(13,336	)		(14,219	)
Change in fair value of warrant liabilities		-			1,172			130			5,728
Other income (expense), net		44			13			84			34
Income (loss) before income taxes		5,226			7,053			389			14,172

Income tax expense		2,180			1,465			1,169			2,109
Net income (loss)		3,046			5,588			(780	)		12,063

Less preferred shares dividends		(430	)		(427	)		(870	)		(868	)

Income (loss) available to common shareholders	$	2,616		$	5,161		$	(1,650	)	$	11,195

Weighted average common shares outstanding
Basic		53,430			53,330			53,501			53,468
Diluted		54,380			54,225			53,501			54,343

Net income per common share
Basic	$	0.05		$	0.09		$	(0.03	)	$	0.20
Diluted	$	0.05		$	0.09		$	(0.03	)	$	0.20

Concrete Pumping Holdings, Inc.
Condensed Consolidated Statements of Cash Flows

	For the Six Months Ended April 30,
(in thousands, except per share amounts)	2024			2023

Net income (loss)	$	(780	)	$	12,063
Adjustments to reconcile net income to net cash provided by operating activities:
Non-cash operating lease expense		2,567			2,317
Foreign currency adjustments		(451	)		(1,106	)
Depreciation		20,565			19,523
Deferred income taxes		(590	)		1,128
Amortization of deferred financing costs		890			957
Amortization of intangible assets		7,771			9,647
Stock-based compensation expense		1,273			2,204
Change in fair value of warrant liabilities		(130	)		(5,728	)
Net gain on the sale of property, plant and equipment		(1,147	)		(640	)
Other operating activities		65			(70	)
Net changes in operating assets and liabilities:
Receivables		6,279			867
Inventory		612			(681	)
Other operating assets		(2,420	)		(3,216	)
Accounts payable		(1,218	)		(1,112	)
Other operating liabilities		(3,841	)		(5,061	)
Net cash provided by operating activities		29,445			31,092

Cash flows from investing activities:
Purchases of property, plant and equipment		(28,817	)		(34,745	)
Proceeds from sale of property, plant and equipment		5,236			4,416
Purchases of intangible assets		-			(800	)
Net cash used in investing activities		(23,581	)		(31,129	)

Cash flows from financing activities:
Proceeds on revolving loan		167,611			174,504
Payments on revolving loan		(170,138	)		(167,213	)
Purchase of treasury stock		(3,017	)		(8,285	)
Other financing activities		1,409			(58	)
Net cash provided by (used in) financing activities		(4,135	)		(1,052	)
Effect of foreign currency exchange rate changes on cash		366			250
Net increase (decrease) in cash and cash equivalents		2,095			(839	)
Cash and cash equivalents:
Beginning of period		15,861			7,482
End of period	$	17,956		$	6,643

Concrete Pumping Holdings, Inc.
Segment Revenue

	Three Months Ended April 30,						Change
(in thousands)	2024			2023			$			%
U.S. Concrete Pumping		74,617		$	78,386		$	(3,769	)		(4.8	)%
U.K. Operations		15,547			15,239			308			2.0	%
U.S. Concrete Waste Management Services - Third parties		16,898			14,166			2,732			19.3	%
U.S. Concrete Waste Management Services - Intersegment		144			2			142			*
Intersegment eliminations		(144	)		(2	)		(142	)		*
Reportable segment revenue	$	107,062		$	107,791		$	(729	)		(0.7	)%
*Change is not meaningful

	Six Months Ended April 30,						Change
(in thousands)	2024			2023			$			%
U.S. Concrete Pumping	$	141,300		$	145,573		$	(4,273	)		(2.9	)%
U.K. Operations		30,955			27,947			3,008			10.8	%
U.S. Concrete Waste Management Services - Third parties		32,518			27,846			4,672			16.8	%
U.S. Concrete Waste Management Services - Intersegment		244			94			150			*
Intersegment eliminations		(244	)		(94	)		(150	)		*
Reportable segment revenue	$	204,773		$	201,366		$	3,407			1.7	%
* Change is not meaningful

Concrete Pumping Holdings, Inc.
Segment Adjusted EBITDA and Net Income (Loss)

During the first quarter of fiscal year 2024, the Companymoved certain assets and associated revenues and expenses, whichwas previously categorized in the Company's Other activities, into the U.S. Concrete Pumping segment in order to better align its placement with the manner in which the Company now allocates resources and measures performance.As a result, segment results for prior periods have been reclassified to conform to thecurrent period presentation. In addition, in order to appropriately distribute the use of corporateresources and better align measures with segment performance, beginning in the first quarter of fiscal year 2024, the Companyis no longer adding back intercompany allocations to segment Adjusted EBITDA. The Company recast segment results for the three and six months ended April 30,2023below:

	Three Months Ended April 30, 2023												Six Months Ended April 30, 2023
(in thousands)	U.S. Concrete Pumping			U.K. Operations			U.S. Concrete Waste Management Services			Other			U.S. Concrete Pumping			U.K. Operations			U.S. Concrete Waste Management Services			Other
As Previously Reported
Net income (loss)	$	450		$	933		$	2,728		$	1,477		$	(650	)	$	833		$	5,540		$	6,340
Income tax expense		97			326			937			105			(292	)		286			1,905			210
Depreciation and amortization		10,592			1,849			2,065			215			20,966			3,676			4,100			428
EBITDA		17,787			3,808			5,730			1,797			32,850			6,188			11,545			6,978
Other Adjustments		(1,729	)		800			737			-			(3,237	)		1,612			1,474			-
Adjusted EBITDA		17,140			4,597			6,471			625			31,828			7,783			13,018			1,250

Recast Adjustment
Net income (loss)	$	305		$	-		$	-		$	(305	)	$	612		$	-		$	-		$	(612	)
Income tax expense (benefit)		105			-			-			(105	)		210			-			-			(210	)
Depreciation and amortization		215			-			-			(215	)		428			-			-			(428	)
EBITDA		625			-			-			(625	)		1,250			-			-			(1,250	)
Other Adjustments		1,511			(774	)		(737	)		-			3,022			(1,548	)		(1,474	)		-
Adjusted EBITDA		2,136			(774	)		(737	)		(625	)		4,272			(1,548	)		(1,474	)		(1,250	)

Current Report As Adjusted
Net income	$	755		$	933		$	2,728		$	1,172		$	(38	)	$	833		$	5,540		$	5,728
Income tax expense		202			326			937			-			(82	)		286			1,905			-
Depreciation and amortization		10,807			1,849			2,065			-			21,394			3,676			4,100			-
EBITDA		18,412			3,808			5,730			1,172			34,100			6,188			11,545			5,728
Other Adjustments		(218	)		26			-			-			(215	)		64			-			-
Adjusted EBITDA		19,276			3,823			5,734			-			36,100			6,235			11,544			-

Concrete Pumping Holdings, Inc.
Segment Adjusted EBITDA and Net Income (Loss) Continued

	Net Income (Loss)					Adjusted EBITDA
	Three Months Ended April 30,					Three Months Ended April 30,
(in thousands, except percentages)	2024			2023		2024		2023		$ Change			% Change
U.S. Concrete Pumping	$	(999	)	$	755	$	17,223	$	19,276	$	(2,053	)		(10.7	)%
U.K. Operations		1,044			933		4,137		3,823		314			8.2	%
U.S. Concrete Waste Management Services		3,001			2,728		6,188		5,734		454			7.9	%
Other		-			1,172		-		-		-			0.0	%
Total	$	3,046		$	5,588	$	27,548	$	28,833	$	(1,285	)		(4.5	)%

	Net Income (Loss)						Adjusted EBITDA
	Six Months Ended April 30,						Six Months Ended April 30,
(in thousands, except percentages)	2024			2023			2024		2023		$ Change			% Change
U.S. Concrete Pumping	$	(7,843	)	$	(38	)	$	27,930	$	36,100	$	(8,170	)		(22.6	)%
U.K. Operations		1,527			833			7,339		6,235		1,104			17.7	%
U.S. Concrete Waste Management Services		5,406			5,540			11,561		11,544		17			0.1	%
Other		130			5,728			-		-		-			0.0	%
Total	$	(780	)	$	12,063		$	46,830	$	53,879	$	(7,049	)		(13.1	)%

Concrete Pumping Holdings, Inc.
Quarterly Financial Performance

(dollars in millions)	Revenue		Net Income			Adjusted EBITDA¹		Capital Expenditures²		Adjusted EBITDA less Capital Expenditures			Earnings Per Diluted Share

Q3 2022	$	105	$	13		$	30	$	19	$	11		$	0.22
Q4 2022	$	115	$	9		$	36	$	48	$	(12	)	$	0.14
Q1 2023	$	94	$	6		$	25	$	15	$	10		$	0.11
Q2 2023	$	108	$	6		$	29	$	16	$	13		$	0.09
Q3 2023	$	120	$	10		$	35	$	5	$	30		$	0.18
Q4 2023	$	120	$	9		$	36	$	8	$	28		$	0.16
Q1 2024	$	98	$	(4	)	$	19	$	17	$	3		$	(0.08	)
Q2 2024	$	107	$	3		$	28	$	7	$	21		$	0.05

¹ Adjusted EBITDA is a financial measure that is not calculated in accordance with Generally Accepted Accounting Principles in the United States (“GAAP”). See “Non-GAAP Financial Measures” below for a discussion of the definition of this measure and reconciliation of such measure to its most comparable GAAP measure.



²Information on M&A or growth investments included in net capital expenditures have been included for relevant quarters below:

*Q3 2022 capex includes approximately $7 million growth investment.
*Q4 2022 capex includes approximately $31 million M&A and $13 million growth investment.
*Q1 2023 capex includes approximately $3 million growth investment.
*Q2 2023 capex includes approximately $6 million M&A and $1 million growth investment.
*Q3 2023 capex includes approximately $3 million growth investment.
*Q4 2023 capex includes approximately $3 million growth investment.
*Q1 2024 capex includes approximately $5 million growth investment.
*Q2 2024 capex includes approximately $1 million M&A and $3 million growth investment.

Concrete Pumping Holdings, Inc.
Reconciliation of Net Income to Reported EBITDA to Adjusted EBITDA

	Three Months Ended April 30,						Six Months Ended April 30,
(dollars in thousands)	2024			2023			2024			2023
Consolidated
Net income (loss)	$	3,046		$	5,588		$	(780	)	$	12,063
Interest expense and amortization of deferred financing costs		6,873			7,348			13,336			14,219
Income tax expense		2,180			1,465			1,169			2,109
Depreciation and amortization		14,239			14,721			28,337			29,170
EBITDA		26,338			29,122			42,062			57,561
Stock based compensation		737			1,064			1,273			2,204
Change in fair value of warrant liabilities		-			(1,172	)		(130	)		(5,728	)
Other expense (income), net		(44	)		(13	)		(84	)		(34	)
Other adjustments(1)		517			(168	)		3,709			(124	)
Adjusted EBITDA	$	27,548		$	28,833		$	46,830		$	53,879

U.S. Concrete Pumping
Net income (loss)	$	(999	)	$	755		$	(7,843	)	$	(38	)
Interest expense and amortization of deferred financing costs		6,193			6,648			11,947			12,826
Income tax expense (benefit)		515			202			(1,588	)		(82	)
Depreciation and amortization		10,270			10,807			20,500			21,394
EBITDA		15,979			18,412			23,016			34,100
Stock based compensation		737			1,064			1,273			2,204
Other expense (income), net		(7	)		(6	)		(27	)		(16	)
Other adjustments(1)		514			(194	)		3,668			(188	)
Adjusted EBITDA	$	17,223		$	19,276		$	27,930		$	36,100

U.K. Operations
Net income	$	1,044		$	933		$	1,527		$	833
Interest expense and amortization of deferred financing costs		680			700			1,389			1,393
Income tax expense		598			326			775			286
Depreciation and amortization		1,849			1,849			3,657			3,676
EBITDA		4,171			3,808			7,348			6,188
Other expense (income), net		(37	)		(11	)		(50	)		(17	)
Other adjustments		3			26			41			64
Adjusted EBITDA	$	4,137		$	3,823		$	7,339		$	6,235

⁽¹⁾ Other adjustments include the adjustment for non-recurring expenses and non-cash currency gains/losses. For the sixmonths ended April 30, 2024, other adjustments includes a $3.5 million non-recurring charge related to sales tax litigation.

	Three Months Ended April 30,					Six Months Ended April 30,
(dollars in thousands)	2024		2023			2024			2023
U.S. Concrete Waste Management Services
Net income	$	3,001	$	2,728		$	5,406		$	5,540
Income tax expense		1,067		937		$	1,982		$	1,905
Depreciation and amortization		2,120		2,065		$	4,180		$	4,100
EBITDA		6,188		5,730			11,568			11,545
Other expense (income), net		-		4			(7	)		(1	)
Adjusted EBITDA	$	6,188	$	5,734		$	11,561		$	11,544

Other
Net income	$	-	$	1,172		$	130		$	5,728
EBITDA		-		1,172			130			5,728
Change in fair value of warrant liabilities		-		(1,172	)		(130	)		(5,728	)
Adjusted EBITDA	$	-	$	-		$	-		$	-

Concrete Pumping Holdings, Inc.
Reconciliation of Net Debt

	April 30,			July 31,			October 31,			January 31,			April 30,
(in thousands)	2023			2023			2023			2024			2024
Senior Notes		375,000			375,000			375,000			375,000			375,000
Revolving loan draws outstanding		60,947			35,699			18,954			13,021			16,428
Less: Cash		(6,643	)		(11,532	)		(15,861	)		(14,688	)		(17,956	)
Net debt	$	429,304		$	399,167		$	378,093		$	373,333		$	373,472

Concrete Pumping Holdings, Inc.
Reconciliation of Historical Adjusted EBITDA

(dollars in thousands)	Q1 2023			Q2 2023			Q3 2023			Q4 2023			Q1 2024			Q2 2024
Consolidated
Net income (loss)	$	6,475		$	5,588		$	10,336		$	9,391		$	(3,826	)	$	3,046
Interest expense and amortization of deferred financing costs		6,871			7,348			7,066			6,834			6,463			6,873
Income tax expense (benefit)		644			1,465			3,318			3,345			(1,011	)		2,180
Depreciation and amortization		14,449			14,721			14,707			14,789			14,097			14,239
EBITDA		28,439			29,122			35,427			34,359			15,723			26,338
Transaction expenses		3			24			5			29			-			-
Stock based compensation		1,140			1,064			934			709			536			737
Change in fair value of warrant liabilities		(4,556	)		(1,172	)		(911	)		(260	)		(130	)		-
Other expense (income), net		(21	)		(13	)		(262	)		(34	)		(39	)		(44	)
Other adjustments(1)		41			(192	)		(277	)		1,002			3,191			517
Adjusted EBITDA	$	25,046		$	28,833		$	34,916		$	35,805		$	19,281		$	27,548

⁽¹⁾ Other adjustments include the adjustment for non-recurring expenses and non-cash currency gains/losses. For the first quarter of fiscal year 2024, other adjustments includes a $3.5 million non-recurring charge related to sales tax litigation.

Concrete Pumping Holdings Reports Second Quarter Fiscal Year 2024 Results (2024)

References