22.11.2024 - Page 13 of 19 - NEW STOCKBURGER

IES Holdings Reports Fiscal 2024 Fourth Quarter and Full Year Results

22.11.2024 by admin

HOUSTON, Nov. 22, 2024 (GLOBE NEWSWIRE) — IES Holdings, Inc. (or “IES” or the “Company”) IESC today announced financial results for the quarter and fiscal year ended September 30, 2024.

Fourth Quarter 2024 Highlights

Revenue of $776 million for the fourth quarter of fiscal 2024, an increase of 20% compared with $649 million for the same quarter of fiscal 2023
Operating income of $75.0 million for the fourth quarter of fiscal 2024, an increase of 41% compared with $53.2 million for the same quarter of fiscal 2023
Net income attributable to IES of $63.1 million for the fourth quarter of fiscal 2024, an increase of 67% compared with $37.8 million for the same quarter of fiscal 2023, and diluted earnings per share attributable to common stockholders of $3.06 for the fourth quarter of fiscal 2024, compared with $1.66 for the same quarter of fiscal 2023
Adjusted net income attributable to IES (a non-GAAP financial measure, as defined below) of $57.6 million for the fourth quarter of fiscal 2024, an increase of 46% compared with $39.5 million for the same quarter of fiscal 2023, and diluted adjusted earnings per share attributable to common stockholders of $2.79 for the fourth quarter of fiscal 2024, compared with $1.74 for the same quarter of fiscal 2023
Remaining performance obligations, a GAAP measure of future revenue to be recognized from current contracts with customers, of approximately $1.2 billion as of September 30, 2024
Backlog (a non-GAAP financial measure, as defined below) of approximately $1.8 billion as of September 30, 2024

Fiscal Year 2024 Highlights

Revenue of $2.9 billion for fiscal 2024, an increase of 21% compared with $2.4 billion for fiscal 2023
Operating income of $300.9 million for fiscal 2024, an increase of 88% compared with $159.8 million for fiscal 2023
Net income attributable to IES of $219.1 million for fiscal 2024, an increase of 102% compared with $108.3 million for fiscal 2023, and diluted earnings per share attributable to common stockholders of $9.89 for fiscal 2024, compared with $4.54 for fiscal 2023
Adjusted net income attributable to IES of $213.6 million for fiscal 2024, an increase of 91% compared with $111.9 million for fiscal 2023, and diluted adjusted earnings per share attributable to common stockholders of $9.62 for fiscal 2024 compared with $4.71 for fiscal 2023

Overview of Results

“In fiscal 2024 we continued to build on the progress we made in 2023, with all four of our operating segments growing revenue while expanding operating margins,” said Jeff Gendell, Chairman and Chief Executive Officer. “Year-over-year consolidated revenue increased 21%, as we continued to see strong demand across our key end markets and continued our Residential plumbing and HVAC expansion into new markets. Operating income increased substantially compared with the prior year, both for the fourth quarter and the full fiscal year, reflecting our revenue growth, strong project execution, improved capacity utilization and favorable impacts of materials purchases. I want to thank the entire IES team for their dedication and hard work in delivering these results.

“Looking forward to fiscal 2025, we expect our Communications, Infrastructure Solutions and Commercial & Industrial operating segments to benefit from continued strong demand, particularly in our data center end markets. In addition, we see opportunities to provide all of our operating segments with additional capital to drive further organic growth. Within our Residential segment, we remain cautious about near-term single-family housing demand due to housing affordability challenges and the potential that some buyers may delay home purchases in anticipation of lower mortgage rates over the next year. Nevertheless, we expect to continue to grow our Residential business through further expansion of our plumbing and HVAC services, and we remain optimistic about long-term demand in the housing market.”

Our Communications segment’s revenue was $776.5 million in fiscal 2024, an increase of 29% compared with fiscal 2023, with increased demand from data center customers driving the growth. We also continue to see strong demand from high-tech manufacturing and e-commerce customers. The segment’s operating income increased to $86.9 million for fiscal 2024, compared with $51.5 million for fiscal 2023, as we benefited from improved project execution and the impact of improved market conditions.

Our Residential segment’s revenue was $1.4 billion in fiscal 2024, an increase of 9% compared with fiscal 2023, reflecting expansion of our plumbing and HVAC trades, as well as continued strong demand, particularly in the Florida single-family housing market, and successful execution of our multi-family backlog. The Residential segment’s operating income was $137.3 million for fiscal 2024, an increase of 66% compared with fiscal 2023. During fiscal 2024, our operating margins benefited from favorable purchases of certain materials, improved project execution in our multi-family business, improved procurement processes and more disciplined project selection. While we did experience some disruption to our Florida operations as a result of hurricane Milton in mid-October, we expect only a minor impact on the Residential segment’s Florida revenues in the first quarter of fiscal 2025.

Our Infrastructure Solutions segment’s revenue was $351.1 million in fiscal 2024, an increase of 62% compared with fiscal 2023, primarily driven by continued strong demand in our custom power solutions business, including generator enclosures, primarily for the data center end market. Operating income for fiscal 2024 was $67.5 million, compared with $29.2 million for fiscal 2023. The year-over-year profit improvement was driven by higher volumes, improved pricing and operating efficiencies at our facilities as well as the impact of investments we have made over the last several years to increase capacity. Greiner Industries, which we acquired on April 1, 2024, contributed $34.0 million of revenue and $2.5 million of operating income for fiscal 2024.

Our Commercial & Industrial segment’s revenue was $368.0 million in fiscal 2024, compared with $279.6 million in fiscal 2023. Segment operating income for fiscal 2024 was $41.4 million, compared with $19.3 million for fiscal 2023. The increase in revenue and improved results from fiscal 2023 to 2024 were primarily driven by strong performance on a large data center project. Results for fiscal 2023 included a $13.0 million pretax gain from the sale of our former STR Mechanical business in the first quarter of fiscal 2023. The large data center project mentioned above was substantially complete as of the end of fiscal 2024. Therefore, we expect to see a reduction in segment revenue for the first quarter of fiscal 2025, and that revenue will begin to increase going into the second quarter, as work ramps up on new projects in backlog.

Matt Simmes, President and Chief Operating Officer, commented, “During fiscal 2024, we realized the benefits of investments we have made over the past few years to build more robust and scalable platforms for growth. These initiatives include expanded capacity for our Infrastructure Solutions business, a more coordinated procurement function across all of our businesses, and better controls and processes around project selection. We are pleased to see that these efforts have generated higher margins across the business. As we enter fiscal 2025, we will continue to invest in the scalability of the business, and expect to increase our expenditures on information technology solutions that will provide better visibility and data for decision making, including through the ongoing implementation of our new ERP system. We also expect to make additional investments in human capital management, as recruiting and retention of a skilled workforce is essential to continued growth to meet the needs of our customers.”

“We generated operating cash flow of $234.4 million in fiscal 2024, reflecting improved profitability and working capital efficiency,” added Tracy McLauchlin, Chief Financial Officer. “As a result, even after making significant investments during fiscal 2024, we ended the year with no debt and a cash balance of $100.8 million, compared with no debt and a cash balance of $75.8 million at September 30, 2023. During fiscal 2024, our strong cash flow generation enabled us to acquire Greiner Industries, invest in expansion capital expenditures, purchase the 20% retained interest in Bayonet Plumbing, Heating and Air Conditioning, invest $33 million in marketable securities and repurchase $39 million of our stock on the open market, while still growing our cash balance. In fiscal 2025, we expect to continue deploying our capital for acquisitions, organic expansion of our operations and select investment opportunities.”

Stock Buyback Plan

On July 31, 2024, the Company’s Board of Directors authorized and announced a stock repurchase program for purchasing up to $200 million of our common stock from time to time, which replaced the Company’s previous program. For the year ended September 30, 2024, the Company repurchased 289,284 shares at an average price of $136.34 under its previous and current programs combined. The Company had $198.1 million remaining under its stock repurchase authorization at September 30, 2024.

Non-GAAP Financial Measures and Other Adjustments

This press release includes adjusted net income attributable to IES, adjusted diluted earnings per share attributable to common stockholders, and backlog, and, in the non-GAAP reconciliation tables included herein, adjusted net income attributable to common stockholders, adjusted EBITDA and adjusted net income before taxes, each of which is a financial measure not calculated in accordance with generally accepted accounting principles in the U.S. (“GAAP”). Management believes that these measures provide useful information to our investors by, in the case of adjusted net income attributable to common stockholders, adjusted earnings per share attributable to common stockholders, adjusted EBITDA and adjusted net income before taxes, distinguishing certain nonrecurring events such as litigation settlements, significant expenses associated with leadership changes, or gains or losses from the sale of a business, or noncash events, such as impairment charges or our valuation allowances release and write-down of our deferred tax assets, or, in the case of backlog, providing a common measurement used in IES’s industry, as described further below, and that these measures, when reconciled to the most directly comparable GAAP measures, help our investors to better identify underlying trends in the operations of our business and facilitate easier comparisons of our financial performance with prior and future periods and to our peers. Non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information calculated in accordance with GAAP. Investors are encouraged to review the reconciliation of these non-GAAP measures to their most directly comparable GAAP financial measures, which has been provided in the financial tables included in this press release.

Remaining performance obligations represent the unrecognized revenue value of our contract commitments. While backlog is not a defined term under GAAP, it is a common measurement used in IES’s industry and IES believes this non-GAAP measure enables it to more effectively forecast its future results and better identify future operating trends that may not otherwise be apparent. IES’s remaining performance obligations are a component of IES’s backlog calculation, which also includes signed agreements and letters of intent which we do not have a legal right to enforce prior to work starting. These arrangements are excluded from remaining performance obligations until work begins. IES’s methodology for determining backlog may not be comparable to the methodologies used by other companies.

For further details on the Company’s financial results, please refer to the Company’s annual report on Form 10-K for the fiscal year ended September 30, 2024, to be filed with the Securities and Exchange Commission (“SEC”) by November 22, 2024, and any amendments thereto.

About IES Holdings, Inc.

IES designs and installs integrated electrical and technology systems and provides infrastructure products and services to a variety of end markets, including data centers, residential housing, and commercial and industrial facilities. Our more than 9,000 employees serve clients in the United States. For more information about IES, please visit www.ies-co.com.

Company Contact:

Tracy McLauchlin
Chief Financial Officer
IES Holdings, Inc.
(713) 860-1500

Investor Relations Contact:

Robert Winters or Stephen Poe
Alpha IR Group
312-445-2870
IESC@alpha-ir.com

Certain statements in this release may be deemed “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, all of which are based upon various estimates and assumptions that the Company believes to be reasonable as of the date hereof. In some cases, you can identify forward-looking statements by terminology such as “may,” “will,” “could,” “should,” “expect,” “plan,” “project,” “intend,” “anticipate,” “believe,” “seek,” “estimate,” “predict,” “potential,” “pursue,” “target,” “continue,” the negative of such terms or other comparable terminology. These statements involve risks and uncertainties that could cause the Company’s actual future outcomes to differ materially from those set forth in such statements. Such risks and uncertainties include, but are not limited to, a general reduction in the demand for our products or services; changes in general economic conditions, including supply chain constraints, high rates of inflation, changes in consumer sentiment, elevated interest rates, and market disruptions resulting from a number of factors, including geo-political events; competition in the industries in which we operate, which could result in the loss of one or more customers or lead to lower margins on new projects; our ability to successfully manage and execute projects, the cost and availability of qualified labor and the ability to maintain positive labor relations, and our ability to pass along increases in the cost of commodities used in our business; supply chain disruptions due to our suppliers’ access to materials and labor, their ability to ship products timely, or credit or liquidity problems they may face; inaccurate estimates used when entering into fixed-price contracts, the possibility of errors when estimating revenue and progress to date on percentage-of-completion contracts, and complications associated with the incorporation of new accounting, control and operating procedures; our ability to enter into, and the terms of, future contracts; the existence of a small number of customers from whom we derive a meaningful portion of our revenues; reliance on third parties, including subcontractors and suppliers, to complete our projects; the inability to carry out plans and strategies as expected, including the inability to identify and complete acquisitions that meet our investment criteria, or the subsequent underperformance of those acquisitions; challenges integrating new businesses into the Company or new types of work, products or processes into our segments; backlog that may not be realized or may not result in profits; failure to adequately recover on contract change orders or claims against customers; closures or sales of our facilities resulting in significant future charges or a significant disruption of our operations; the impact of future epidemics or pandemics on our business; an increased cost of surety bonds affecting margins on work and the potential for our surety providers to refuse bonding or require additional collateral at their discretion; the impact of seasonality, adverse weather conditions, and climate change; fluctuations in operating activity due to factors such as cyclicality, downturns in levels of construction or the housing market, and differing regional economic conditions; difficulties in managing our billings and collections; accidents resulting from the physical hazards associated with our work and the potential for accidents; the possibility that our current insurance coverage may not be adequate or that we may not be able to obtain policies at acceptable rates; the effect of litigation, claims and contingencies, including warranty losses, damages or other latent defect claims in excess of our existing reserves and accruals; costs and liabilities under existing or potential future laws and regulations, including those laws and regulations related to the environment and climate change, as well as the inability to transfer, renew and obtain electrical and other professional licenses; interruptions to our information systems and cyber security or data breaches; expenditures to conduct environmental remediation activities required by certain environmental laws and regulations; loss of key personnel, ineffective transition of new management, or general labor constraints; credit and capital market conditions, including changes in interest rates that affect the cost of construction financing and mortgages, and the inability of some of our customers to obtain sufficient financing at acceptable rates, which could lead to project delays or cancellations; limitations on our ability to access capital markets and generate cash from operations to fund our capital needs; the impact on our effective tax rate or cash paid for taxes from changes in tax positions we have taken or changes in tax laws; difficulty in fulfilling the covenant terms of our revolving credit facility, including liquidity, and other financial requirements, which could result in a default and acceleration of any indebtedness under such revolving credit facility; reliance on certain estimates and assumptions that may differ from actual results in the preparation of our financial statements; uncertainties inherent in the use of percentage-of-completion accounting, which could result in the reduction or elimination of previously recorded revenues and profits; the recognition of potential goodwill, long-lived assets and other investment impairments; the existence of a controlling shareholder, who has the ability to take action not aligned with other shareholders or to dispose of all or a significant portion of the shares of our common stock it holds, which may trigger certain change of control provisions in a number of our material agreements; the relatively low trading volume of our common stock, which could increase the volatility of our stock price and could make it more difficult for shareholders to sell a substantial number of shares for the same price at which shareholders could sell a smaller number of shares; the possibility that we issue additional shares of common stock, preferred stock or convertible securities that will dilute the percentage ownership interest of existing stockholders and may dilute the value per share of our common stock; the potential for substantial sales of our common stock, which could adversely affect our stock price; the impact of increasing scrutiny and changing expectations from investors and customers, or new or changing regulations, with respect to environmental, social and governance practices; the cost or effort required for our shareholders to bring certain claims or actions against us, as a result of our designation of the Court of Chancery of the State of Delaware as the sole and exclusive forum for certain types of actions and proceedings; and the possibility that our internal controls over financial reporting and our disclosure controls and procedures may not prevent all possible errors that could occur, as well as other risk factors discussed in this document, in the Company’s annual report on Form 10-K for the year ended September 30, 2024 and in the Company’s other reports on file with the SEC. You should understand that such risk factors could cause future outcomes to differ materially from those experienced previously or those expressed in such forward-looking statements. The Company undertakes no obligation to publicly update or revise any information or any forward-looking statements to reflect events or circumstances that may arise after the date of this release.

Forward-looking statements are provided in this press release pursuant to the safe harbor established under the Private Securities Litigation Reform Act of 1995 and should be evaluated in the context of the estimates, assumptions, uncertainties, and risks described herein.

General information about IES Holdings, Inc. can be found at http://www.ies-co.com under “Investor Relations.” The Company’s annual report on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K, as well as any amendments to those reports, are available free of charge through the Company’s website as soon as reasonably practicable after they are filed with, or furnished to, the SEC.


IES HOLDINGS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS (DOLLARS IN MILLIONS, EXCEPT PER SHARE DATA) (UNAUDITED)

		Three Months Ended						Year Ended
		September 30,						September 30,
			2024			2023			2024			2023
Revenues		$	775.8		$	649.0		$	2,884.4		$	2,377.2
Cost of services			589.4			508.5			2,187.8			1,932.7
	Gross profit		186.4			140.5			696.6			444.5
Selling, general and administrative expenses			110.9			87.2			396.7			298.6
Contingent consideration			0.6			0.1			0.7			0.3
(Gain) loss on sale of assets			(0.1	)		0.1			(1.7	)		(14.1	)
	Operating income		75.0			53.2			300.9			159.8
Interest expense			0.1			0.4			1.3			3.0
Other income			(5.4	)		(0.6	)		(5.1	)		(1.8	)
	Income from operations before income taxes		80.3			53.4			304.7			158.6
Provision for income taxes			14.8			12.4			72.2			38.8
	Net income		65.5			41.0			232.5			119.8
Net income attributable to noncontrolling interest			(2.4	)		(3.2	)		(13.4	)		(11.5	)
	Net income attributable to IES Holdings, Inc.	$	63.1		$	37.8		$	219.1		$	108.3

Computation of earnings per share:
Net income attributable to IES Holdings, Inc.		$	63.1		$	37.8		$	219.1		$	108.3
Increase in noncontrolling interest			(1.0	)		(4.0	)		(17.1	)		(15.7	)
Net income attributable to common stockholders of IES Holdings, Inc.		$	62.1		$	33.8		$	202.0		$	92.6

Earnings per share attributable to common stockholders:
	Basic	$	3.10		$	1.68		$	10.02		$	4.58
	Diluted	$	3.06		$	1.66		$	9.89		$	4.54

Shares used in the computation of earnings per share:
	Basic (in thousands)		19,991			20,192			20,160			20,197
	Diluted (in thousands)		20,257			20,426			20,415			20,413


IES HOLDINGS, INC. AND SUBSIDIARIES NON-GAAP RECONCILIATION OF ADJUSTED NET INCOME ATTRIBUTABLE TO IES HOLDINGS, INC. AND ADJUSTED EARNINGS PER SHARE ATTRIBUTABLE TO COMMON STOCKHOLDERS (DOLLARS IN MILLIONS, EXCEPT PER SHARE DATA) (UNAUDITED)

		Three Months Ended						Year Ended
		September 30,						September 30,
			2024			2023			2024			2023
Net income attributable to IES Holdings, Inc.		$	63.1		$	37.8		$	219.1		$	108.3
Gain on sale of STR Mechanical			—			—			—			(13.0	)
Gain on sale of real estate			—			—			—			(1.0	)
Severance expense			—			—			—			3.6
Provision for income taxes			14.8			12.4			72.2			38.8
	Adjusted income from operations before income taxes		77.9			50.1			291.3			136.6
Adjusted tax expense ⁽¹⁾			(20.3	)		(10.6	)		(77.7	)		(24.7	)
	Adjusted net income attributable to IES Holdings, Inc.		57.6			39.5			213.6			111.9

	Adjustments for computation of earnings per share:
	Increase in noncontrolling interest		(1.0	)		(4.0	)		(17.1	)		(15.7	)
	Adjusted net income attributable to common stockholders	$	56.6		$	35.5		$	196.5		$	96.2

Adjusted earnings per share attributable to common stockholders:
	Basic	$	2.83		$	1.76		$	9.75		$	4.76
	Diluted	$	2.79		$	1.74		$	9.62		$	4.71

Shares used in the computation of earnings per share:
	Basic (in thousands)		19,991			20,192			20,160			20,197
	Diluted (in thousands)		20,257			20,426			20,415			20,413

⁽¹⁾ The year ended September 30, 2024 was adjusted to remove non-cash tax benefits from the release of reserves for certain uncertain tax positions upon the lapse of the applicable statutes of limitations in fiscal 2024. The year ended September 30, 2023 was adjusted to reflect the utilization of tax net operating loss carryforwards to offset the cash impact of income tax expense. As our tax net operating loss carryforwards were substantially utilized in fiscal 2023, there was no such offset to cash taxes in the year ended September 30, 2024.


IES HOLDINGS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (DOLLARS IN MILLIONS) (UNAUDITED)

				September 30,			September 30,
					2024			2023
ASSETS
	CURRENT ASSETS:
		Cash and cash equivalents		$	100.8		$	75.8
		Marketable securities			35.0			—
		Accounts receivable:
			Trade, net of allowance		469.8			363.8
			Retainage		89.8			76.9
		Inventories			101.7			95.7
		Costs and estimated earnings in excess of billings			60.2			48.6
		Prepaid expenses and other current assets			14.4			10.5
	Total current assets				871.7			671.3
		Property and equipment, net			134.2			63.4
		Goodwill			93.9			92.4
		Intangible assets, net			45.9			56.2
		Deferred tax assets			22.4			20.4
		Operating right of use assets			62.0			61.8
		Other non-current assets			13.9			16.1
Total assets				$	1,244.0		$	981.6
LIABILITIES AND STOCKHOLDERS’ EQUITY
	CURRENT LIABILITIES:
		Accounts payable and accrued expenses		$	363.6		$	296.8
		Billings in excess of costs and estimated earnings			159.0			103.8
	Total current liabilities				522.6			400.6
	Long-term debt				—			—
	Operating long-term lease liabilities				40.4			42.1
	Other tax liabilities				16.7			22.0
	Other non-current liabilities				12.2			17.0
Total liabilities					591.9			481.7
Noncontrolling interest					41.0			50.0
	STOCKHOLDERS’ EQUITY:
		Preferred stock			—			—
		Common stock			0.2			0.2
		Treasury stock, at cost			(90.3	)		(49.5	)
		Additional paid-in capital			203.4			203.4
		Retained earnings			497.8			295.8
Total stockholders’ equity					611.1			449.9
Total liabilities and stockholders’ equity				$	1,244.0		$	981.6


IES HOLDINGS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (DOLLARS IN MILLIONS) (UNAUDITED)

		Year Ended
		September 30,
			2024			2023
CASH FLOWS FROM OPERATING ACTIVITIES:
	Net income	$	232.5		$	119.8
	Adjustments to reconcile net income to net cash provided by operating activities:
	Bad debt expense		1.5			(0.1	)
	Deferred financing cost amortization		0.3			0.3
	Depreciation and amortization		37.1			29.4
	Gain on sale of assets		(1.7	)		(14.1	)
	Non-cash compensation expense		5.5			4.4
	Deferred income tax expense (benefit) and other non-cash tax adjustments, net		(1.1	)		5.2
	Unrealized loss on trading securities		(1.8	)		—
	Changes in operating assets and liabilities:
	Marketable securities		(33.2	)		—
	Accounts receivable		(93.5	)		2.9
	Inventories		(3.5	)		(1.1	)
	Costs and estimated earnings in excess of billings		(4.0	)		3.5
	Prepaid expenses and other current assets		(16.7	)		(7.3	)
	Other non-current assets		0.2			2.1
	Accounts payable and accrued expenses		57.9			(10.0	)
	Billings in excess of costs and estimated earnings		54.5			19.1
	Other non-current liabilities		0.4			0.2
Net cash provided by operating activities			234.4			153.9
CASH FLOWS FROM INVESTING ACTIVITIES:
	Purchases of property and equipment		(45.2	)		(17.7	)
	Proceeds from sale of assets		3.7			20.6
	Cash paid in conjunction with equity investments		(0.4	)		(0.2	)
	Cash paid in conjunction with business combinations, net of cash acquired		(67.0	)		—
Net cash provided by (used in) investing activities			(108.9	)		2.8
CASH FLOWS FROM FINANCING ACTIVITIES:
	Borrowings of debt		2,896.3			2,381.6
	Repayments of debt		(2,896.3	)		(2,464.2	)
	Cash paid for finance leases		(4.3	)		(3.3	)
	Purchase of noncontrolling interest		(32.0	)		—
	Settlement of contingent consideration liability		(4.0	)		—
	Distribution to noncontrolling interest		(16.2	)		(11.5	)
	Purchase of treasury stock		(44.0	)		(8.3	)
Net cash used in financing activities			(100.5	)		(105.8	)
NET INCREASE IN CASH AND CASH EQUIVALENTS			25.0			50.9
CASH and CASH EQUIVALENTS, beginning of period			75.8			24.8
CASH and CASH EQUIVALENTS, end of period		$	100.8		$	75.8


IES HOLDINGS, INC. AND SUBSIDIARIES OPERATING SEGMENT STATEMENT OF OPERATIONS (DOLLARS IN MILLIONS) (UNAUDITED)

		Three Months Ended						Year Ended
		September 30,						September 30,
			2024			2023			2024			2023
Revenues
	Communications	$	219.9		$	170.8		$	776.5		$	600.8
	Residential		356.1			337.3			1,388.8			1,279.5
	Infrastructure Solutions		110.4			58.4			351.1			217.3
	Commercial & Industrial		89.4			82.5			368.0			279.6
Total revenue		$	775.8		$	649.0		$	2,884.4		$	2,377.2

Operating income (loss)
	Communications	$	22.6		$	16.8		$	86.9		$	51.5
	Residential ⁽¹⁾		34.8			30.2			137.3			82.9
	Infrastructure Solutions ⁽²⁾		20.7			8.1			67.5			29.2
	Commercial & Industrial ⁽³⁾		9.7			5.3			41.4			19.3
	Corporate		(12.8	)		(7.2	)		(32.2	)		(23.1	)
Total operating income		$	75.0		$	53.2		$	300.9		$	159.8

⁽¹⁾Residential’s operating income for the year ended September 30, 2023 includes pretax severance expense of $3.6 million.
⁽²⁾ Infrastructure Solutions’ operating income for the year ended September 30, 2023 includes a pretax gain of $1.0 million related to the sale of real estate.
⁽³⁾ Commercial & Industrial’s operating income for the year ended September 30, 2023 includes a pretax gain of $13.0 million related to the sale of STR Mechanical.


IES HOLDINGS, INC. AND SUBSIDIARIES NON-GAAP RECONCILIATION OF ADJUSTED EBITDA (DOLLARS IN MILLIONS) (UNAUDITED)

	Three Months Ended						Year Ended
	September 30,						September 30,
		2024			2023			2024			2023
Net income attributable to IES Holdings, Inc.	$	63.1		$	37.8		$	219.1		$	108.3
Provision for income taxes		14.8			12.4			72.2			38.8
Interest & other (income) expense, net		(5.3	)		(0.2	)		(3.8	)		1.2
Depreciation and amortization		11.1			9.3			37.1			29.4
EBITDA	$	83.7		$	59.3		$	324.6		$	177.7
Gain on sale of STR Mechanical		—			—			—			(13.0	)
Gain on sale of real estate		—			—			—			(1.0	)
Non-cash equity compensation expense		1.2			1.1			5.5			4.3
Severance expense		—			—			—			3.6
Adjusted EBITDA	$	84.9		$	60.4		$	330.1		$	171.6


IES HOLDINGS, INC. AND SUBSIDIARIES SUPPLEMENTAL REMAINING PERFORMANCE OBLIGATIONS AND NON-GAAP RECONCILIATION OF BACKLOG DATA (DOLLARS IN MILLIONS) (UNAUDITED)

	September 30,		June 30,		September 30,
		2024		2024		2023
Remaining performance obligations	$	1,176	$	1,177	$	1,143
Agreements without an enforceable obligation⁽¹⁾		610		520		415
Backlog	$	1,786	$	1,697	$	1,558

⁽¹⁾ Our backlog contains signed agreements and letters of intent which we do not have a legal right to enforce prior to work starting. These arrangements are excluded from remaining performance obligations until work begins.

Economics News

Atomic Layer Deposition (ALD) Equipment Market Key Drivers, Share, Restraintsand Emerging Trends 2024 to 2031 – Exactitude Consultancy

22.11.2024 by admin

Luton, Bedfordshire, United Kingdom, Nov. 22, 2024 (GLOBE NEWSWIRE) — The atomic layer deposition (ALD) market is expected to see substantial growth due to the rising demand for semiconductor chips, which are critical components in a variety of electronic devices. ALD is a widely used technique in semiconductor fabrication, enabling the precise deposition of materials at the atomic level. The growth of the semiconductor manufacturing industry is anticipated to accelerate during the forecast period, driven by the increasing need for more advanced electronic devices and integrated circuits.

Access PDF Sample Report (Including Graphs, Charts & Figures) @

https://exactitudeconsultancy.com/reports/34262/atomic-layer-deposition-ald-equipment-market/#request-a-sample

However, the market has faced challenges, especially during the COVID-19 pandemic, which disrupted semiconductor production and negatively impacted the ALD market. Additionally, the industrial demand for lithium-ion batteries and solar cells, two other key sectors where ALD is applied, also suffered due to supply chain disruptions and reduced manufacturing activity.

The growing emphasis on reducing carbon footprints and tackling environmental concerns has spurred governments worldwide to support the adoption of electric vehicles (EVs). This, in turn, has significantly increased the demand for lithium-ion batteries, which benefit from ALD in the deposition of nanostructured materials, enhancing their performance and efficiency. As the EV market expands, the ALD market for battery manufacturing is set to grow proportionally, contributing positively to market dynamics.

ALD is also making notable strides in the solar cell industry, particularly as manufacturers in countries like China shift to this technology to enhance the efficiency of photovoltaic cells. With rising investments in renewable energy, ALD’s role in improving solar technology is expected to continue expanding.

In addition to EVs and solar energy, the growing adoption of lightweight and portable electronic devices is further boosting the demand for ALD. The increasing use of these technologies, combined with advancements in ALD techniques for electronics and semiconductor fabrication, positions the market for continued growth over the forecast period.

The automotive sector is also playing a key role in expanding the ALD market, as the industry increasingly adopts ALD for various applications, including semiconductor fabrication for vehicle electronics. The rising global shift towards eco-friendly technologies, particularly in the electric vehicle sector, is contributing to the growth in demand for ALD in battery production, semiconductor manufacturing, and renewable energy applications.

Plasma Enhanced Atomic Layer Deposition (PEALD) equipment is expected to experience the highest compound annual growth rate (CAGR) in the ALD equipment market during the forecast period. PEALD offers the same advantages as conventional ALD methods but with additional benefits such as pre- and post-deposition in-situ treatment capabilities. This enhanced feature is especially beneficial in semiconductor applications like CMOS (Complementary Metal-Oxide-Semiconductor) structures, MOSFETs (Metal-Oxide-Semiconductor Field-Effect Transistors), capacitors, and other semiconductor devices. These advantages give PEALD a competitive edge, contributing significantly to its market growth.

The “More Moore” application is anticipated to capture the largest market share in the ALD equipment market during the forecast period. This application focuses on increasing the functionality and performance of integrated circuits without reducing the size of the chips. The growing demand for memory and logic devices, particularly for 3D NAND flash memory technology, is one of the key drivers for the ALD equipment market in More Moore applications. The increasing need for high storage speed, coupled with the growing adoption of 3D NAND flash memory, is expected to propel the market’s growth in this segment.

With the expansion of storage capacities and higher performance in electronics, the ALD equipment market for More Moore applications is forecasted to see robust growth. The semiconductor industry’s focus on advanced technologies such as 3D NAND flash memory, which avoids reducing chip size while enhancing storage speed, is anticipated to fuel this trend. It is estimated that this sector could experience a growth rate of approximately 15-18% over the next decade, reflecting the increasing demand for next-generation storage technologies in consumer electronics, data centers, and mobile devices.

Regional Analysis of the Atomic Layer Deposition Market

The global atomic layer deposition (ALD) market has been segmented into five key regions: Asia-Pacific, North America, Latin America, Europe, and the Middle East & Africa. Among these, Asia-Pacific held a dominant share of more than 43% of the global market in the period leading up to 2019, and is expected to maintain its leading position throughout the forecast period of 2024-2031. This growth can be attributed to the rising demand for consumer electronics such as smartphones, personal computers, laptops, and other advanced gadgets. The increasing reliance on complex integrated circuits (ICs) and chips for these devices is propelling the adoption of ALD techniques in the region.

In addition to the electronics sector, the medical industry is expected to significantly contribute to the growth of the ALD market in Asia-Pacific during the forecast period. The rising demand for high-performance medical devices, along with the need for precision in their fabrication, is anticipated to drive further adoption of ALD technologies.

In Europe, the market growth is primarily driven by the increasing application of ALD techniques in semiconductor fabrication, particularly for the production of cutting-edge devices and microchips. The region also benefits from a growing focus on nanomaterials synthesis. Furthermore, the automotive industry, which is robust in countries such as Germany, France, and Italy, is expected to further fuel market demand for ALD, as automotive manufacturers increasingly utilize advanced materials and technologies for vehicle design and production.

The North American market, particularly the United States, is poised for strong growth as the semiconductor and electronics industries continue to advance. Government initiatives and increasing investments in renewable energy and nanotechnology applications are expected to provide additional growth momentum.

In Latin America and the Middle East & Africa, while the ALD market is currently smaller in comparison, emerging industries in renewable energy and electronics manufacturing are likely to drive regional demand during the forecast period.

Overall, the global ALD market is forecasted to experience strong regional growth, with Asia-Pacific and Europe leading the way, fueled by advancements in electronics, semiconductors, and medical technology. The market is expected to grow at an approximate CAGR of 15%-18% through 2028, as industries continue to recognize the benefits of ALD for manufacturing precision and efficiency across a range of applications.

Report Link Click Here https://exactitudeconsultancy.com/reports/34262/atomic-layer-deposition-ald-equipment-market/

Key Players:

Forge Nano Inc.
Beneq Group
Oxford Instruments plc
The Kurt J. Lesker Company
Pico sun Oy
SENTECH Instruments GmbH
Arradiance, LLC
NCD Co. Ltd.
Lam Research Corporation
ASM International
Applied Materials, Inc.
Veeco Instruments Inc.
CVD Equipment Corporation

Market Segments:

By Deposition Method:

Plasma Enhanced ALD
Thermal ALD
Spatial ALD
Roll to Roll ALD
Powder ALD
Others (ALD on Polymers, Catalytic ALD)

By Film Type:

Oxide Films
Metal Films
Sulfide Films
Nitride Films
Fluoride Films

By Application (Non-Semiconductor):

Medical
Energy
Conventional Optics
Coating (Parts, Polymer, and Powder)

By Application (Semiconductor):

More than Moore
- MEMS & Sensors
- RF Devices
- Advanced Packaging
- Power Devices
- Photonics (LED and VCSEL)
- CMOS Image Sensors
Research & Development Facilities
More Moore

By Region

North America
US
Canada
Mexico
Europe
UK
Germany
France
Rest of Europe
Asia Pacific
China
Japan
India
South Korea
Rest of Asia Pacific
Rest of the World (RoW)
South America
Middle East & Africa
Gulf Coast Countries (GCC)
Rest of Middle East & Africa

Recent Developments in ALD Equipment Industry

Forge Nano’s ALD for Gallium Nitride Power Devices: Forge Nano has focused on advancing ALD technologies for gallium nitride (GaN) power devices. Their developments are critical for improving the performance of power electronics, which are used in electric vehicles and renewable energy applications
Beneq’s Compound Semiconductor Surge: Beneq, a company specializing in ALD equipment, has been contributing to the growth of compound semiconductors. Their work, especially in collaboration with Yole Group, emphasizes ALD’s role in the development of next-generation semiconductors used in optoelectronics and photonics
Beneq’s Anti-Reflective Coating Technology: Beneq has unveiled a novel solution called Beneq AtomGrass™, which is an anti-reflective coating made using ALD. This technology is poised to enhance performance in solar cells and LED applications, showcasing ALD’s growing role in energy-efficient technologies
Georgia Tech’s Crystallization of TiO2 via ALD: Researchers at Georgia Tech have made significant strides in the crystallization of titanium dioxide (TiO2) using ALD. This technology has important applications in solar cells and environmental sustainability, further solidifying ALD’s potential in green technologies
ALD and IoT Connectivity: ALD technologies are being increasingly applied to Internet of Things (IoT) devices, improving the performance and miniaturization of components. ALD enables the deposition of ultra-thin films, crucial for enhancing sensor reliability and functionality in various IoT applications

Get a Sample PDF Brochure: https://exactitudeconsultancy.com/reports/34262/atomic-layer-deposition-ald-equipment-market/#request-a-sample

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Markets News

Tesla Gains 55% In A Month With Strong China Role, Bullish Signals

22.11.2024 by admin

Tesla Inc. TSLA continues to defy expectations, not just as a trailblazer in the electric vehicle (EV) market but also as a juggernaut in the stock market.

With its stock up 45.02% over the past year, 36.72% year-to-date, and 55.82% in just the last month, TSLA stock has firmly established itself in bullish territory.

Chart created using Benzinga Pro

The technical signals back this sentiment. Tesla’s stock price of $339.64 sits comfortably above its eight, 20 and 50-day simple moving averages, signaling a strong upward trend. The Moving Average Convergence/Divergence (MACD) indicator, at 25.85, underscores the stock’s upward momentum, further supporting a bullish outlook.

Meanwhile, the Relative Strength Index (RSI) of 66.95 suggests TSLA is approaching overbought levels, reflecting a mix of optimism and caution among traders. However, the stock still appears to have room for upward movement in the near term.

The Role Of China In Tesla’s Stock Story

China, the largest EV market in the world, remains pivotal to Tesla’s growth strategy. The Shanghai Gigafactory is not just a cornerstone of Tesla’s global production but also a key revenue driver, contributing nearly a quarter of the company’s total income.

While this reliance has helped Tesla dominate in China, it also makes the company vulnerable to U.S.-China trade tensions. If tariffs on key EV components like lithium-ion batteries escalate, it could squeeze Tesla’s margins or limit its ability to pass on costs to consumers.

However, Tesla’s efforts to strengthen relationships with policymakers, both in the U.S. and abroad, may provide a safety net.

Investors have taken these geopolitical risks in stride, and TSLA stock has shown resilience even as broader market uncertainty persists.

Investor Outlook: TSLA In The Driver’s Seat

For TSLA stock investors, the outlook remains compelling. The combination of strong technical momentum and Tesla’s strategic position in the EV market suggests further room for growth. However, rising trade tensions and the stock nearing overbought territory suggest cautious optimism.

As Tesla balances its global ambitions with domestic trade policies, the company’s ability to navigate these challenges will likely shape its stock’s trajectory.

For now, the technicals remain firmly bullish, and TSLA investors are keeping their eyes on the road ahead.

Read Next:

Photo: Shutterstock

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Finance News

Ask an Advisor: We're 70 With $1.4M in an IRA and $99k in Retirement Income. Is a Roth Conversion Still an Option?

22.11.2024 by admin

My wife and I are 70 years old. We’ve paid off everything, including the house. Between my pension of $29,000 and Social Security, we’re getting a gross of $99,000 a year in income, which is more than enough. Our current savings in our brokerage account are $700,000. Our individual retirement account (IRA) totals $1.4 million. Our Roth is worth $400,000. We both anticipate living to age 90. At our age, is it too late to do a Roth conversation?

-Anonymous

The short answer is no. There is no age cap on your ability to convert to a Roth.

There is also no earned income requirement to convert to a Roth. As long as you have a balance in an IRA, in theory, you can keep converting to a Roth as long as you like.

The bigger question is this: Does converting to a Roth further your goals for the legacy of your wealth?

This should be the starting place before beginning a Roth conversion strategy regardless of your age. But it becomes particularly important when you are considering Roth conversions as you approach and start taking required minimum distributions (RMDs).

Most articles and conversations around converting to a Roth will focus on the years between retirement and taking RMDs. Those years can present a fantastic opportunity to convert IRA dollars to a Roth. But they are not your only opportunity. Answer this question: What do I want to happen to my wealth when I die? The answer is in the details. Here’s how to think through this strategy.

A financial advisor may help you understand how to manage the tax repercussions of a Roth conversion.

An Argument Against a Roth Conversion

Ask an Advisor: Is It Too Late to Convert to a Roth?

On one end of the spectrum, let’s assume that all of your wealth will be given to your favorite charity when you die. If a qualified charity receives your IRA when you pass away, there will be no taxes due, and you should strongly consider not converting any of your IRA balance to a Roth during your lifetime.

In that case, converting to a Roth would be choosing to pay taxes that you could otherwise never have to pay.

A Case for a Roth Conversion

The opposite extreme would be if your goal is to leave all of your wealth to your children, grandchildren or other loved ones – and to make sure that they never have to worry about paying taxes on those dollars.

In this case, an argument could be made for attempting to convert every last dollar of your IRA balance to a Roth before you die. That way, your beneficiaries will receive an enormous tax-free pie, and the IRS doesn’t get to share a single slice. This may not result in the most tax savings, but it would be the best way to make sure your beneficiaries don’t worry about taxes.

The Middle Ground on Roth Conversions

Ask an Advisor: We Are 70 Years Old, Have $99K in Retirement Income, a $1.4M IRA and Other Investments. Is It Ever Too Late to Convert to a Roth?

Most people are going to end up somewhere in between, where converting to a Roth can make a lot of sense but only up to a certain point.

Roth conversions make the most sense when you can choose to pay the income tax on your IRA balance and move it to a Roth in a relatively low-income tax year. “Relative” is an important word here because it is going to be unique to each taxpayer’s situation.

The question to ask yourself here is this: Am I concerned that, at some point in the future, I could be in a higher tax bracket than I am now?

Consider using this free tool to match with a financial advisor for professional guidance of your Roth conversion.

Roth Conversion Factors to Understand

If you decide a Roth conversion helps accomplish your wealth goals, there are several factors to keep in mind when deciding how much to convert in a particular year. They are:

How Much Income Tax Will Be Due

Generally speaking, the more we can spread out taxable income, the lower the federal income tax we will pay. That is an oversimplification. But it provides a starting point for thinking about how to put together a Roth conversion strategy.

In the example presented in this question, generally speaking, converting the full $1.4 million from an IRA to a Roth in a single year would result in more taxes paid than spreading those conversions over the remaining life expectancy of the taxpayers.

Other Tax Implications

Federal income tax gets all the attention when Roth conversions come up. But your marginal tax rate (the amount of tax you’ll pay on the next dollar of income) is hardly the only consideration.

In this example, 85% of the taxpayer’s Social Security (the highest amount possible) is already included in taxable income. But for taxpayers with lower taxable income, Roth conversions have the potential to change how much Social Security is taxable.

Increasing taxable income can also change a taxpayer’s eligibility for tax credits and deductions. For taxpayers who have not started claiming Medicare, the premium tax credit can be particularly impactful.

Medicare Premiums

For taxpayers approaching age 65 or already on Medicare, it is crucial to remember that the amount you pay for your Medicare is impacted by your taxable income (specifically through modified adjusted gross income) and can crank up the true cost of doing a Roth conversion.

This can be particularly dangerous because each income bracket for Medicare premiums is treated as a cliff. So once you are a single dollar over the threshold, your premiums take the full jump to the next level. In other words, in for a penny, in for a pound.

What If Tax Rules Change in the Future?

I often get asked whether I am concerned Congress will change Roth rules in the future and having large Roth balances could turn out to be a liability.

My answer is always the same: The tax code is written in pencil, and Congress can change anything it wants. We have to do the best we can with the information we have and the laws that are currently in place.

A financial advisor can help you navigate changes to legislation, including scheduled sunsetting of Tax Cuts and Jobs Act provisions in 2026.

What to Do Next

My crystal ball is still broken, so anything I say about future rule changes would just be a guess. What I do know is that holding an IRA is like having a variable-rate mortgage with the IRS where they have the ability to change the interest rate to whatever they’d like, whenever they’d like. An opportunity to take the IRS out of the picture by converting IRA dollars to Roth dollars is always worth considering.

Steven Jarvis, CPA, is a SmartAsset financial planning columnist and answers reader questions on personal finance and tax topics. Got a question you’d like answered? Email AskAnAdvisor@smartasset.com and your question may be answered in a future column.

Please note that Steven is not a participant in the SmartAdvisor Match platform, and he has been compensated for this article. Taxpayer resources from the author can be found at retirementtaxpodcast.com. Financial Advisor resources from the author are available at retirementtaxservices.com.

Find a Financial Advisor

If you have questions specific to your investing and retirement situation, a financial advisor can help. Finding a financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three vetted financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
Planning for retirement? Use SmartAsset’s Social Security calculator to get an idea of what your benefits could look like in retirement.
Keep an emergency fund on hand in case you run into unexpected expenses. An emergency fund should be liquid — in an account that isn’t at risk of significant fluctuation like the stock market. The tradeoff is that the value of liquid cash can be eroded by inflation. But a high-interest account allows you to earn compound interest. Compare savings accounts from these banks.
Are you a financial advisor looking to grow your business? SmartAsset AMP helps advisors connect with leads and offers marketing automation solutions so you can spend more time making conversions. Learn more about SmartAsset AMP.

Photo credit: ©iStock.com/BongkarnThanyakij, ©iStock.com/shapecharge

The post Ask an Advisor: We Are 70 Years Old, Have $99K in Retirement Income, a $1.4M IRA and Other Investments. Is It Too Late to Convert to a Roth? appeared first on SmartAsset Blog.

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Markets News

As MSTR's Michael Saylor Says Warren Buffett Is 'Destroying' Berkshire Capital, Analyst Suggests 'Overpriced…Hot Stock Market' Could Be The Reason Oracle Of Omaha Is Sitting On $325B Cash

22.11.2024 by admin

After Warren Buffett‘s conglomerate Berkshire Hathaway Inc BRK BRK declared its third-quarter results in early November, investors have been curious as to why he sitting on nearly $325 billion in cash and equivalents.

What Happened: Analysts have been speculating an array of reasons for the world’s most famous value investor to be holding such a huge pile of cash. It could be for an acquisition plan, a buyback plan in case of a succession, or an expectation of a market fall.

Also read: Warren Buffett ‘Destroying $3B A Month’ Of Berkshire Capital By Not Investing In Bitcoin, Says MicroStrategy’s Michael Saylor

The stock markets have been trading higher than their pre-election levels with a looming threat of a possible pause in the interest rate cuts. This has led analysts to wonder if Berkshire is avoiding investing because he cannot find any value in the markets at the current level.

“What some describe as a hot stock market, Warren Buffett would describe as overpriced,” Cathy Seifert, a director at CFRA Research told Fortune.

Buffet’s current stance on the cash “reflects a fundamental skepticism about the sustainability of current market valuations, the sustainability of the Trump trade, combined with the fact that they’re not seeing a lot of acquisition targets that are appealing to them,” she said.

The 94-year-old Buffet will be succeeded by Greg Abel to run Berkshire. “The unfortunate actuarial reality is, at some point in time, you have a change in senior management, and I suspect that they want to have a lot of cash to buy back Berkshire Hathaway stock,” said Meyer Shields, managing director at Keefe, Bruyette & Woods to Fortune. He implied that freely available cash can be utilized in case of a sell-off to benefit the shareholders

On the other hand, MicroStrategy Inc‘s MSTR co-founder, Michael Saylor has said that Buffett is destroying billions of dollars in capital by not utilizing the cash at their disposal to invest in Bitcoin BTC/USD.

“That $320 billion.. that is destroying $32 billion a year. They are destroying $3 billion a month in capital because they’re generating a 3% after-tax yield at best, and the cost of capital is 15%. So take 12% negative real yield,” Saylor said.

Also read: Reddit Tumbles 7% In Premarket Amid Advance’s Stake Sale Announcement: Technicals Show Strong Support, But Selling Pressure Persists At Overbought Levels

Why It Matters: By holding cash and equivalents Berkshire could be making only “3% after-tax yield at best, and the cost of capital is 15%. So take 12% negative real yield,” said MicroStrategy’s Saylor

While analysts speculate various reasons, Saylor in a podcast with Patrick Bet-David made a case for Buffet to invest in Bitcoin. “I’d want to bet you that if I had an hour alone with Buffett in a calm environment, I’d walk out and he would say this Bitcoin thing is a pretty good idea.”

Saylor was optimistic that Buffett would have wanted to buy Bitcoin after the interaction and would come out saying that the late Charlie Munger would have liked the idea.

Image via Shutterstock

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Markets News

Manulife Investment Management Announces November 2024 Cash Distributions for Manulife Exchange Traded Funds and Manulife ETF Series

22.11.2024 by admin

C$ unless otherwise stated TSX/NYSE/PSE: MFC SEHK: 945

TORONTO, Nov. 22, 2024 /CNW/ – Manulife Investment Management today announced the November 2024 cash distributions for Manulife Exchange Traded Funds (ETFs) and Manulife ETF series that distribute monthly. Unitholders of record at the close of business on November 29, 2024, will receive cash distributions payable on December 13, 2024.

Details of the distribution per unit amounts are as follows:

ETF	Ticker	Distribution Amount (per unit) ($)	Distribution Frequency
Manulife Smart Short-Term Bond ETF	TERM	0.025902	Monthly
Manulife Smart Core Bond ETF	BSKT	0.025406	Monthly
Manulife Smart Corporate Bond ETF	CBND	0.030424	Monthly
Manulife Smart Global Bond ETF	GBND	0.029122	Monthly
Manulife Smart Enhanced Yield ETF	CYLD	0.150000	Monthly
Manulife Smart U.S. Enhanced Yield ETF – Unhedged	UYLD.B	0.150000	Monthly
Manulife Smart U.S. Enhanced Yield ETF – US Dollar	UYLD.U	0.150000*	Monthly
Manulife Smart U.S. Enhanced Yield ETF – Hedged	UYLD	0.150000	Monthly
Manulife Strategic Income Fund – ETF Series	STRT	0.023847	Monthly
Manulife Alternative Opportunities Fund – ETF Series	OPPS	0.030369	Monthly
Manulife Strategic Income Plus Fund – ETF Series	PLUS	0.037411	Monthly

*Distribution amount ($) in USD.

Commissions, management fees and expenses all may be associated with exchange traded funds (ETFs) and ETF series. Please read the ETF Facts and prospectus before investing. ETFs and ETF series are not guaranteed, their values change frequently, and past performance may not be repeated. Manulife ETFs and Manulife ETF series are managed by Manulife Investment Management. Manulife Investment Management is a trade name of Manulife Investment Management Limited.

Manulife Alternative Mutual Funds have the ability to invest in asset classes or use investment strategies that are not permitted for conventional mutual funds. The specific strategies that differentiate these alternative mutual funds from conventional mutual funds may include the increased use of derivatives for hedging and non-hedging purposes, the increased ability to sell securities short and the ability to borrow cash to use for investment purposes. If undertaken, these strategies will be used in accordance with the funds’ objectives and strategies, and during certain market conditions, may accelerate the pace at which the funds decrease in value.

About Manulife Wealth & Asset Management

As part of Manulife Financial Corporation, Manulife Wealth & Asset Management provides global investment, financial advice, and retirement plan services to 19 million individuals, institutions, and retirement plan members worldwide. Our mission is to make decisions easier and lives better by empowering people today to invest for a better tomorrow. As a committed partner to our clients and as a responsible steward of investor capital, we offer a heritage of risk management, deep expertise across public and private markets, and comprehensive retirement plan services. We seek to provide better investment and impact outcomes and to help people confidently save and invest for a more secure financial future. Not all offerings are available in all jurisdictions. For additional information, please visit manulifeim.com.

About Manulife

Manulife Financial Corporation is a leading international financial services provider, helping people make their decisions easier and lives better. With our global headquarters in Toronto, Canada, we provide financial advice and insurance, operating as Manulife across Canada, Asia, and Europe, and primarily as John Hancock in the United States. Through Manulife Investment Management, the global brand for our Global Wealth and Asset Management segment, we serve individuals, institutions, and retirement plan members worldwide. At the end of 2023, we had more than 38,000 employees, over 98,000 agents, and thousands of distribution partners, serving over 35 million customers. We trade as ‘MFC’ on the Toronto, New York, and the Philippine stock exchanges, and under ‘945’ in Hong Kong. Not all offerings are available in all jurisdictions. For additional information, please visit manulife.com.

SOURCE Manulife Investment Management

View original content: http://www.newswire.ca/en/releases/archive/November2024/22/c3109.html

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Earnings News

Top Wall Street Forecasters Revamp Blue Bird Price Expectations Ahead Of Q4 Earnings

22.11.2024 by admin

Blue Bird Corporation BLBD will release earnings results for its fourth quarter, after the closing bell on Monday, Nov. 25.

Analysts expect the Macon, Georgia-based bank to report quarterly earnings at 65 cents per share, down from 66 cents per share in the year-ago period. Blue Bird projects to report revenue of $343.95 million for the recent quarter, compared to $302.96 million a year earlier, according to data from Benzinga Pro.

On Oct. 28, Blue Bird named Edward Hightower to its Board of Directors.

Blue Bird shares gained 2% to close at $40.08 on Thursday.

Benzinga readers can access the latest analyst ratings on the Analyst Stock Ratings page. Readers can sort by stock ticker, company name, analyst firm, rating change or other variables.

Let’s have a look at how Benzinga’s most-accurate analysts have rated the company in the recent period.

BTIG analyst Gregory Lewis initiated coverage on the stock with a Buy rating and a price target of $55 on Oct. 9. This analyst has an accuracy rate of 75%.
DA Davidson analyst Michael Shlisky maintained a Buy rating and raised the price target from $66 to $67 on Aug. 9. This analyst has an accuracy rate of 61%.
Craig-Hallum analyst Eric Stine maintained a Buy rating and increased the price target from $54 to $65 on May 24. This analyst has an accuracy rate of 60%.

Considering buying BLBD stock? Here’s what analysts think:

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Ark Invest's Cathie Wood Says Team Trump Would Give 'Regulatory Clarity' For Bitcoin And Other Digital Assets: '…Which They May Put In The Treasury's Strategic Reserve'

22.11.2024 by admin

Cathie Wood, CEO of ARK Invest, has shared her insights on the potential impact of a Trump administration on Bitcoin BTC/USD and decentralized finance (DeFi). Wood believes that the administration could bring much-needed “regulatory clarity” to the fintech sector, particularly if Gary Gensler steps down from his position.

What Happened: During a webinar prerecorded on Nov. 15 and published on Friday, Wood discussed how the Trump administration might influence the digital asset revolution, led by Bitcoin.

“If Gary Gensler leaves, that is going to open us up to regulatory clarity and probably, given the Trump administration’s pronouncements over the last few month, give much more focus on digital asset revolution, broadly led by Bitcoin, which they may put in the Treasury’s strategic reserve,” she said.

Wood suggested the possibility of adding Bitcoin to the U.S. Treasury’s strategic reserve, given the current circulation of over 19 million Bitcoin and a cap of 21 million. According to Wood, the government might aim to acquire 1 million Bitcoins over time.

Regarding DeFi, Wood highlighted the potential for peer-to-peer lending to remove intermediaries in financial transactions. Yassin Elmandjra, ARK’s director of digital assets, noted the accelerating trend of using cryptocurrency for commerce, driven by technological and regulatory advancements.

Elmandjra stressed the importance of governments establishing clear regulations on compliance, tax implications, and consumer protection to enable businesses to navigate the evolving landscape effectively.

Why It Matters: Wood’s predictions come amidst her ambitious price targets for Bitcoin, including a bull case of $3.8 million if more companies incorporate the cryptocurrency into their balance sheets. However, a recent Benzinga survey revealed skepticism, with 83% of respondents doubting this target will be met by 2030.

Additionally, ARK Invest has identified an “uptrend” in Bitcoin’s market structure, attributed to oversold conditions in the Stablecoin Supply Ratio Oscillator (SSRO). This indicator, which measures Bitcoin’s potential purchasing power, hit a significant low in September, a level not seen since the 2022 bear market. The SSRO is calculated by dividing Bitcoin’s supply by the supply of major stablecoins, providing insights into Bitcoin’s market dynamics.

Price Action: As per Benzinga Pro, at 8:03 am ET, Bitcoin was trading at $98,764.01, Ethereum ETH/USD at $3,345.98 and Dogecoin DOGE/USD was at $0.4045. In the past 14 days, post the elections, Bitcoin’s value experienced 29.9% increase, Ethereum increased by 14.7% and Dogecoin saw a 105.5% hike.

Meanwhile, ARK 21Shares Bitcoin ETF ARKB, which provides exposure to bitcoin which is kept in cold storage was trading only slightly higher at 0.58% during pre-market hours.

Read Next:

Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.

Image courtesy: ArkInvest

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Verizon announces early results for tender offers for six series of debt securities and extension of early participation date

22.11.2024 by admin

NEW YORK, Nov. 22, 2024 (GLOBE NEWSWIRE) — Verizon Communications Inc. (“Verizon”) ((NYSE, NASDAQ:VZ) today announced, in connection with Verizon’s previously announced Offers (as defined below) to purchase its outstanding Securities (as defined below) on the terms and subject to the conditions set forth in the offer to purchase dated November 7, 2024 (the “Offer to Purchase”): (1) the early participation results for the Offers as of 5:00 p.m. (Eastern time) on November 21, 2024 (the “Original Early Participation Date”) and (2) that, with respect to the Offers, the date and time by which Holders (as defined below) must validly tender their Securities to receive the applicable Total Consideration (as defined in the Offer to Purchase) and Accrued Coupon Payment (as defined below), has been extended to 5:00 p.m. (Eastern time) on December 9, 2024 (such date and time with respect to an Offer, the “Extended Early Participation Date”). Accordingly, the Extended Early Participation Date will occur at the same time the Offers are scheduled to expire. Except as described in this press release, the terms and conditions of the Offers remain unchanged.

The deadline to validly withdraw tenders of Securities was not modified by Verizon and the withdrawal rights for each Offer expired at 5:00 p.m. (Eastern time) on November 21, 2024. The Offers will expire at 5:00 p.m. (Eastern time) on December 9, 2024 (the “Expiration Date”), unless extended or earlier terminated by Verizon.

The table below sets forth the early participation results, as of the Original Early Participation Date, for Verizon’s previously announced six separate offers to purchase for cash, with respect to the outstanding series of debt securities (each a “Security” and collectively, the “Securities”) listed in the table below. Verizon refers to each offer to purchase a Security for cash as an “Offer” and all the offers to purchase the Securities, collectively as the “Offers.”

Verizon was advised by Global Bondholder Services Corporation, as the tender agent, that as of the Original Early Participation Date, the aggregate principal amounts of the Securities specified in the table below were validly tendered and not validly withdrawn:


Acceptance Priority Level	CUSIP Number(s)	Title of Security	Principal Amount Outstanding		Principal Amount Tendered as of the Original Early Participation Date	Percentage of Amount Outstanding Tendered as of the Original Early Participation Date
1	92343VEN0 / 92343VEB6 / U9221AAY4	3.376% notes due 2025		$1,287,477,000	$490,854,000	38.13%
2	92343VEP5	Floating Rate notes due 2025		$873,918,000	$373,004,000	42.68%
3	92343VFS8	0.850% notes due 2025		$1,232,569,000	$542,142,000	43.98%
4	92343VGG3	1.450% notes due 2026		$1,653,140,000	$803,974,000	48.63%
5	92343VGE8	Floating Rate notes due 2026		$493,127,000	$252,796,000	51.26%
6	92343VDD3	2.625% notes due 2026		$1,776,821,000	$771,770,000	43.44%

Verizon’s obligation to accept Securities tendered in the Offers is subject to the terms and conditions described in the Offer to Purchase, including, among other things, the Acceptance Priority Procedures. The Offers are not conditioned on any minimum amount of Securities being tendered, and none of the Offers is conditioned on the consummation of any of the other Offers.

All conditions applicable to the Offers as of the Original Early Participation Date were deemed satisfied by Verizon, or timely waived by Verizon. Accordingly, Verizon will settle all Securities validly tendered at or prior to the Original Early Participation Date and accepted for purchase, on November 26, 2024 (the “Early Settlement Date”), subject to the terms of the Offers.

Promptly after 10:00 a.m. (Eastern time) today, November 22, 2024, Verizon will issue a press release specifying, among other things, (i) the aggregate principal amount of Securities accepted in each Offer, (ii) the offer yield for each series of fixed-rate Securities, which is equal to the sum of (a) the applicable reference yield, which shall be based on the bid-side price of the applicable Reference U.S. Treasury Security (specified in the Offer to Purchase for such series of Securities) as quoted on the applicable Bloomberg reference page (specified in the Offer to Purchase for such series of Securities) as of 10:00 a.m. Eastern time, today, November 22, 2024, plus (b) the fixed spread for the applicable series of fixed-rate Securities and (iii) the Total Consideration for each series of fixed-rate Securities. The Total Consideration for each series of Securities includes an early participation payment of $50 per $1,000 principal amount of Securities.

Because the aggregate Total Consideration of the Securities validly tendered at or prior to the Original Early Participation Date and accepted for purchase is expected to not exceed the Waterfall Cap (as defined in the Offer to Purchase), Verizon will, until the Expiration Date, continue to accept for purchase all Securities validly tendered after the Original Early Participation Date, subject to all conditions having been satisfied or waived by Verizon with respect to the Offers. The Final Settlement Date (as defined in the Offer to Purchase) is expected to be the second business day after the applicable Expiration Date, unless extended with respect to any Offer.

On each relevant settlement date, holders of Securities (each, a “Holder” and collectively, “Holders”) that are validly tendered and accepted for purchase by Verizon will receive the applicable Total Consideration, in cash, and an additional cash payment equal to the accrued and unpaid interest on such Securities to, but not including, the relevant settlement date (the “Accrued Coupon Payment”).

Verizon has retained BofA Securities, Inc., Santander US Capital Markets LLC, SMBC Nikko Securities America, Inc. and TD Securities (USA) LLC to act as lead dealer managers for the Offers and Goldman Sachs & Co. LLC, J.P. Morgan Securities LLC, Academy Securities, Inc. and R. Seelaus & Co., LLC to act as co-dealer managers for the Offers. Questions regarding terms and conditions of the Offers should be directed to BofA Securities, Inc. at (980) 387-3907 (Collect) or (888) 292-0070 (Toll-Free), Santander US Capital Markets LLC at (212) 350-0660 (Collect) or (855) 404-3636 (Toll Free), SMBC Nikko Securities America, Inc. at (212) 224-5163 (Collect) or (888) 284-9760 (Toll Free), or TD Securities (USA) LLC at (212) 827-2842 (Collect) or (866) 584-2096 (Toll-Free).

Global Bondholder Services Corporation is acting as the tender agent for the Offers. Questions or requests for assistance related to the Offers or for additional copies of the Offer to Purchase may be directed to Global Bondholder Services Corporation at (855) 654-2015 (toll free) or (212) 430-3774 (collect). You may also contact your broker, dealer, commercial bank, trust company or other nominee for assistance concerning the Offers.

This announcement is for informational purposes only. This announcement is not an offer to purchase or a solicitation of an offer to sell any Securities. The Offers are being made solely pursuant to the Offer to Purchase. The Offers are not being made to Holders in any jurisdiction in which the making or acceptance thereof would not be in compliance with the securities, blue sky or other laws of such jurisdiction. In any jurisdiction in which the securities laws or blue sky laws require the Offers to be made by a licensed broker or dealer, the Offers will be deemed to be made on behalf of Verizon by the dealer managers or one or more registered brokers or dealers that are licensed under the laws of such jurisdiction.

This communication and any other documents or materials relating to the Offers have not been approved by an authorized person for the purposes of Section 21 of the Financial Services and Markets Act 2000, as amended (the “FSMA”). Accordingly, this announcement is not being distributed to, and must not be passed on to, persons within the United Kingdom save in circumstances where section 21(1) of the FSMA does not apply. Accordingly, this communication is only addressed to and directed at (i) persons who are outside the United Kingdom, or (ii) persons falling within the definition of investment professionals (as defined in Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the “Financial Promotion Order”)), or (iii) within Article 43 of the Financial Promotion Order, or (iv) high net worth companies and other persons to whom it may lawfully be communicated falling within Article 49(2)(a) to (d) of the Financial Promotion Order (such persons together being “relevant persons”). Any person who is not a relevant person should not act or rely on any document relating to the Offers or any of their contents.

This communication and any other documents or materials relating to the Offers are only addressed to and directed at persons in member states of the European Economic Area (the “EEA”), who are “Qualified Investors” within the meaning of Article 2(1)(e) of Regulation (EU) 2017/1129. The Offers are only available to Qualified Investors. None of the information in the Offer to Purchase and any other documents and materials relating to the Offers should be acted upon or relied upon in any member state of the EEA by persons who are not Qualified Investors.

Each Holder participating in the Offers will give certain representations in respect of the jurisdictions referred to above and generally as set out herein. Any tender of Securities for purchase pursuant to the Offers from a Holder that is unable to make these representations will not be accepted. Each of Verizon, the dealer managers and the tender agent reserves the right, in its absolute discretion, to investigate, in relation to any tender of Securities for purchase pursuant to the Offers, whether any such representation given by a Holder is correct and, if such investigation is undertaken and as a result Verizon determines (for any reason) that such representation is not correct, such tender shall not be accepted.

Cautionary statement regarding forward-looking statements
In this communication Verizon has made forward-looking statements. These forward-looking statements are not historical facts, but only predictions and generally can be identified by use of statements that include phrases such as “will,” “may,” “should,” “continue,” “anticipate,” “believe,” “expect,” “plan,” “appear,” “project,” “estimate,” “hope,” “intend,” “target,” “forecast,” or other words or phrases of similar import. Similarly, statements that describe our objectives, plans or goals also are forward-looking statements. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those currently anticipated, including those discussed in the Offer to Purchase under the heading “Risk Factors” and under similar headings in other documents that are incorporated by reference in the Offer to Purchase. Holders are urged to consider these risks and uncertainties carefully in evaluating the forward-looking statements and are cautioned not to place undue reliance on these forward-looking statements. The forward-looking statements included in this press release are made only as of the date of this press release, and Verizon undertakes no obligation to update publicly these forward-looking statements to reflect new information, future events or otherwise. In light of these risks, uncertainties and assumptions, the forward-looking events might or might not occur. Verizon cannot assure you that projected results or events will be achieved.

Media contact:

Eric Wilkens
201-572-9317
eric.wilkens@verizon.com

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Earnings News

Sucro Announces Third Quarter 2024 Results

22.11.2024 by admin

3^rd quarter volume growth of 54% in refining operations

CORAL GABLES, Fla., Nov. 22, 2024 /CNW/ – Sucro Limited SUGR SUGRF (“Sucro” or the “Company”), an integrated sugar refiner focused primarily on serving North American sugar markets, today announced financial results for the three and nine months ended September 30, 2024. All amounts are in United States dollars (“U.S. $” or “$”) unless otherwise noted.

Financial Highlights for the Third Quarter of 2024

Revenue of $171.9 million on sugar deliveries of 181,023 metric tons, increases over Q3 2023 levels of 23.7% and 48.1%, respectively
Adjusted gross profit1 of $14.0 million and adjusted gross profit margin1 percentage of 8.1%
EBITDA1 of $15.5 million, a 36.6% year-over-year increase and Adjusted EBITDA1 of $8.3 million
Adjusted gross profit per metric ton delivered1,2 of $89.23
For our refineries, Q3 volumes of 57,093 metric tons, reflecting a 54% year-over-year increase

Q3 2024 Highlights (unaudited)	Three Months Ended Sep 30		Nine Months Ended Sep 30
In 000s of U.S. $ except per share and volume metrics.	2024	2023	2024	2023
Sugar Deliveries (Metric Tons)	181,023	122,243	494,974	380,895

Revenue	$171,932	$139,041	$493,967	$382,274
Gross profit	21,967	16,148	79,355	75,135
Adjusted gross profit¹	13,971	13,103	44,166	39,651
Adjusted gross profit margin¹	8.1 %	9.4 %	8.9 %	10.4 %
EBITDA¹	15,455	11,316	60,155	59,583
Adjusted EBITDA¹	8,315	8,227	27,096	24,755
Adjusted EBITDA Margin¹	8.99 %	8.14 %	5.49 %	6.48 %
Net Income (Loss)	7,438	1,983	31,136	30,355
Per share (basic)	1.06	0.27	4.49	4.17
Per share (diluted)	0.31	0.09	1.32	1.38
Adjusted gross profit per metric ton delivered^1,2	77.18	107.19	89.23	104.10
Free cash flow¹	1,348	3,491	8,525	6,755

Refineries Results:
Refineries Volume (Metric Tons)	57,093	37,074	162,460	126,037
Adjusted gross profit¹	$7,917	$5,804	$23,978	$16,760
Adjusted gross profit per metric ton delivered¹	138.68	156.54	147.59	132.98
1. Per share figures for periods prior to Dec. 31, 2023, are adjusted for the Reorganization. Basic calculation counts each PVS as one share.
2. This is not a standardized financial measure under IFRS and may not be comparable to similar financial measures of other issuers. Please refer to “Non-IFRS and Other Financial Measures (Key Performance Indicators)” in Sucro’s Q2 2024 MD&A for further details which are incorporated by reference herein and available for viewing and download on SEDAR+ at www.sedarplus.ca.

“Our strong Q3 results are a testament to the success of our refining strategy and the resilience of our integrated supply chain,” said Jonathan Taylor, Founder and Chief Executive Officer of Sucro. “Increased refining volumes at our Hamilton and Lackawanna refineries have driven significant revenue growth and operational efficiencies. These achievements underscore our ability to scale production and meet rising customer demand while maintaining profitability.”

Taylor added, “As we continue executing on our capacity expansion projects, including our upcoming Hamilton and University Park refineries, we are well-positioned to deliver on our long-term growth plans.”

Taylor further commented “Alongside our efforts to continually improve the output of our Lackawanna and Hamilton facilities, we continue to be focused on executing our refinery expansion projects in both Hamilton and Chicago. The Hamilton refinery construction has made significant progress and we believe we are well positioned to begin refinery operations on or ahead of schedule. We will provide a further detailed update alongside our year-end results for 2024.

Results from Operations – Three Months Ended September 30, 2024

Q3 2024 Highlights (unaudited)	Three Months Ended Sep 30
In 000s of U.S. $ except per share and volume metrics.	2024	2023

Sugar Deliveries (Metric Tons)	181,023	122,243

Revenue	$171,932	$139,041
Gross Profit	21,967	16,148
Adjusted gross profit²	13,971	13,103
Adjusted gross profit margin²	8.1 %	9.4 %
Income From Operations	14,691	9,625
Income Before Income Taxes	8,226	4,237
Net Income	7,438	1,983
Net Income per share – basic¹	1.06	0.27
Net Income per share – diluted¹	0.31	0.09
EBITDA²	15,455	11,316
Adjusted EBITDA²	8,315	8,227
Adjusted EBITDA Margin²	9.0 %	8.1 %
Return on equity (TTM)²	14.6 %	42.2 %
Adjusted gross profit per metric ton delivered (net of cash settlements)	77.18	107.19
Free cash flow²	1,348	3,491

Refineries Results
Refineries Volume (Metric Tons)	57,093	37,074
Adjusted Gross Profit²	$7,917	$5,804
Adjusted Gross Profit per MT²	138.68	156.54
1. Per share figures for periods prior to Dec. 31, 2023, are adjusted for the Reorganization. Basic calculation counts each PVS as one share.
2. This is not a standardized financial measure under IFRS and may not be comparable to similar financial measures of other issuers. Please refer to “Non-IFRS and Other Financial Measures (Key Performance Indicators”)” in Sucro’s Q2 2024 MD&A for further details which is incorporated by reference herein and available for viewing and download on SEDAR+ at www.sedarplus.ca.

For the three months ended September 30, 2024, customer deliveries increased by 48% compared with the three months ended September 30, 2023, from 122,243 MTs in 2023 to 181,023 MTs in 2024, primarily due to an increase in our wholesale distribution volumes, but also from the 54% volume increase shipped from our Lackawanna and Hamilton refineries.

Adjusted EBITDA was $8.3 million for the three months ended September 30, 2024, which was essentially flat compared with $8.2 million for the corresponding 2023 period, a 1.2% increase. The Adjusted Gross Profit was $14.0 million, a 6.6% increase from the corresponding 2023 period, driven by a combination of significantly higher wholesale distribution volumes, with particular reference to Mexico and world market shipments) and lower adjusted gross profit margins from the refinery volumes. EBITDA was $15.5 million for the three months ended September 30, 2024, compared with $11.3 million for the corresponding 2023 period, a 36.6% increase driven primarily by higher volumes and higher unrealized mark-to-market gains on physical sugar contracts and inventory.

Net income for the three months ended September 30, 2024, amounted to $7.4 million, an increase of $5.4 million compared to net income of $2.0 million for the three months ended September 30, 2024. This increase was driven primarily by higher unrealized mark-to-market gains on physical sugar contracts.

Revenue for the three months ended September 30, 2024, increased by 23.7%, to $171.9 million, from $139.0 million for the three months ended September 30, 2023. This increase was mainly driven by a combination of higher wholesale distribution volumes, particularly from Mexico and world sugar sales, higher average sugar prices during the quarter, and higher refined sugar volumes shipped from our refineries in Hamilton and Lackawanna.

Results from Operations – Nine Months Ended September 30, 2024

Q3 2024 Highlights (unaudited)	Nine Months Ended Sep 30
In 000s of U.S. $ except per share and volume metrics.	2024	2023

Sugar Deliveries (Metric Tons)	494,974	380,895

Revenue	$493,967	$382,274
Gross Profit	79,355	75,135
Adjusted gross profit²	44,166	39,651
Adjusted gross profit margin²	8.9 %	10.4 %
Income From Operations	55,459	54,854
Income Before Income Taxes	38,162	40,734
Net Income	31,136	30,355
Net Income per share – basic¹	4.49	4.17
Net Income per share – diluted¹	1.32	1.38
EBITDA²	60,155	59,583
Adjusted EBITDA²	27,096	24,755
Adjusted EBITDA Margin²	5.5 %	6.5 %
Return on equity (TTM)²	14.6 %	42.2 %
Adjusted gross profit per metric ton delivered (net of cash settlements)	89.23	104.10
Free cash flow²	8,525	6,755

Refineries Results
Refineries Volume (Metric Tons)	162,460	126,037
Adjusted Gross Profit²	$23,978	$16,760
Adjusted Gross Profit per MT²	147.59	132.98
1. Per share figures for periods prior to Dec. 31, 2023, are adjusted for the Reorganization. Basic calculation counts each PVS as one share.
2. This is not a standardized financial measure under IFRS and may not be comparable to similar financial measures of other issuers. Please refer to “Non-IFRS and Other Financial Measures (Key Performance Indicators”)” in Sucro’s Q2 2024 MD&A for further details which is incorporated by reference herein and available for viewing and download on SEDAR+ at www.sedarplus.ca.

For the nine months ended September 30, 2024, customer deliveries increased by 30.0% compared with the nine months ended September 30, 2023, from 380,895 MTs in 2023 to 494,974 MTs in 2024, primarily due to an increase in CIF (cost, insurance, and freight) world market raw sugar volumes sold to Latin American destinations and additional volumes shipped from our Lackawanna and Hamilton refineries.

Adjusted EBITDA was $27.1 million for the nine months ended September 30, 2024, compared with $24.8 million for the corresponding 2023 period, a 9.5% increase, mainly because of higher Adjusted Gross Profit ($44.2 million for the nine months ended September 30, 2024, compared with $39.7 million for the corresponding 2023 period). The increase in Adjusted Gross Profit was in turn driven by higher volumes (30.0% increase). Likewise, EBITDA was $60.2 million for the nine months ended September 30, 2024, compared with $59.6 million for the corresponding 2023 period, a 1.0% increase where higher Adjusted Gross Profit was offset by lower unrealized mark-to-market gains.

Net income for the nine months ended September 30, 2024, amounted to $31.1 million, an increase of $0.8 million when compared to net income of $30.4 million for the nine months ended September 30, 2023. This increase was driven primarily by higher Adjusted Gross Profit, which was offset by higher interest expense relating primarily to increased average usage of our revolving working capital credit facility to support our growing operations.

Revenue for the nine months ended September 30, 2024, increased by 29.22%, to $494.0 million, from $382.3 million for the nine months ended September 30, 2023. This increase was mainly driven by higher sales volume.

Outlook

The Company’s final prospectus dated October 19, 2023, contained a 2024 full-year Adjusted EBITDA estimate of between $49.0 million and $51.0 million. Management is revising its 2024 full-year Adjusted EBITDA estimate to a range of between $38.0 and $40.0 million. This is as a result of lower refining volumes at our facilities and higher selling, general, and administrative expenses relating to payroll expenses related to the increase in our administrative headcount to support our growth in size and operation, as well as professional fees associated with our ongoing public company reporting obligations and in pursuing the strategic transaction with Beta San Miguel, S.A. de C.V. announced on November 5, 2024. The final 2024 full-year EBITDA estimate of between $73.0 million and $81.0 million is not being revised at this time.

Award of Restricted Share Units

The Board of Directors of the Company has awarded 17,835 restricted share units (“RSUs”) to directors as part of their annual retainer under the Company’s Omnibus Equity Incentive Plan. These RSU awards occur semi-annually in April and November of each year. The RSUs awarded will vest no earlier than one year from the date of the award.

Q3 2024 Investor Call

The Company will host a conference call on Friday, November 22, 2024, at 12:00 noon Eastern time during which Jonathan Taylor, Founder and Chief Executive Officer, and Stefano D’Aniello, Chief Financial Officer, will discuss Sucro’s financial performance for the third quarter ended September 30, 2024.

Date:	Friday, November 22, 2024
Time:	12:00 noon. ET
Conference Call:	Toll-Free (800) 836-8184 Local (GTA) (289) 819-1350
	Please dial in at least five minutes before the call begins.


Replay:	Available through December 6, 2024
Replay Access:	Toll-Free (888) 660-6345
	Local (GTA) (289) 819-1450
	Passcode 85338 #

About Sucro

Sucro is a growth-oriented sugar company that operates throughout the Americas, with a primary focus on serving the North American sugar market. The Company operates a highly integrated and interconnected sugar supply business, utilizing the entire sugar supply chain to service its customers. Sucro’s integrated supply chain includes sourcing raw and refined sugar from countries throughout Latin America, and refined sugar from its own refineries, and delivering to customers in North America and the Caribbean. Since its inception in 2014, Sucro has achieved growth by creating value for customers through continuous process innovation and supply chain re-engineering. Sucro has established a broad production, sales, and sourcing network throughout North America with two cane sugar refineries and an additional value-added proces sing facility, and two sugar cane refineries under development in Hamilton, Ontario and University Park, Illinois (a suburb of Chicago). The Company has offices in Miami, Mexico City, Cali, Sao Paulo, and Port of Spain. For more information, visit sucro.us and follow us on LinkedIn.

Non-IFRS and Other Financial Measures

In this Press Release, reference is made to the following non-IFRS measures: “EBITDA”, “EBITDA Margin”, “Adjusted EBITDA”, “Adjusted EBITDA Margin”, “Adjusted Gross Profit”, “Adjusted Gross Profit Margin”, “Adjusted Gross Profit Per Metric Ton Delivered”, “Return on Equity’ and “Free Cash Flow”. Such non-IFRS financial measures are not standardized financial measures under International Financial Reporting Standards (“IFRS”) and might not be comparable to similar financial measures disclosed by other issuers. For details on the composition and a reconciliation between such non-IFRS measures and the most directly comparable financial measure in our financial statements, please refer to the “Non-IFRS and Financial Measures (Key Performance Indicators)” section in our MD&A dated November 21, 2024 and filed on SEDAR+ at www.sedarplus.ca, which is specifically incorporated by reference herein.

Forward-Looking Statements

This Press Release contains “forward-looking information” and “forward-looking statements” (collectively, “forward-looking information”) within the meaning of applicable Canadian securities laws. Forward-looking information may relate to our future financial outlook and anticipated events or results and may include information regarding our financial position, business strategy, growth strategies, addressable markets, budgets, operations, financial results, taxes, dividend policy, plans and objectives. Particularly, information regarding our expectations of future results, performance, achievements, prospects or opportunities or the markets in which we operate is forward-looking information. In some cases, forward-looking information can be identified by the use of forward-looking terminology such as “annualized”, “plans”, “targets”, “expects”, “does not expect”, “is expected”, “an opportunity exists”, “budget”, “scheduled”, “estimates”, “outlook”, “forecasts”, “projection”, “pro forma”, “prospects”, “strategy”, “intends”, “anticipates”, “does not anticipate”, “believes”, or variations of such words and phrases or statements that certain actions, events or results “may”, “could”, “would”, “might”, “will”, “will be taken”, “occur” or “be achieved”, or the negative of these terms, or other similar expressions intended to identify forward-looking statements. In addition, any statements that refer to expectations, intentions, projections or other characterizations of future events or circumstances contain forward-looking information. Statements containing forward-looking information are not historical facts but instead represent management’s expectations, estimates and projections regarding future events or circumstances.

This forward-looking information includes, among other things, statements relating to: our expectations for the commencement of operations at our new Hamilton refinery currently under development and execution of our long-term growth plans.

This forward-looking information and other forward-looking information are based on our opinions, estimates and assumptions in light of our experience and perception of historical trends, current conditions and expected future developments, as well as other factors that we currently believe are appropriate and reasonable in the circumstances. Despite a careful process to prepare and review the forward-looking information, there can be no assurance that the underlying opinions, estimates and assumptions will prove to be correct. Certain assumptions include: revenue; our ability to build our market share; our ability to complete our proposed new refineries on time and on budget and with the anticipated processing capacity; our ability to retain key personnel; our ability to maintain and expand geographic scope; our ability to execute on our expansion plans; our ability to continue investing in infrastructure to support our growth; our ability to obtain and maintain existing financing on acceptable terms; currency exchange and interest rates; the impact of competition; our ability to respond to any changes and trends in our industry or the global economy; and the changes in laws, rules, regulations, and global standards are material factors made in preparing forward-looking information and management’s expectations.

Forward-looking information is necessarily based on a number of opinions, estimates and assumptions that, while considered to be appropriate and reasonable as of the date of this Press Release, are subject to known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking information, including, but not limited to, our ability to maintain and renew licenses and permits; fluctuations in the price of sugar that we purchase, process and sell; development of new or expansion of our existing refineries may experience cost-overruns and/or delays and actual costs, operational efficiencies, production volumes or economic returns may differ materially from the Company’s estimates and variances from expectations; disruptions to our supply chains as a result of outbreaks of illness, geopolitical events or other factors; inflation and rising interest rates; the risk of unhedged trading positions and counterparty defaults; a significant portion of our current credit facility is uncommitted and requests for additional advances may be refused; elimination or significantly reduction of protective duties relating to foreign sugar imports; our limited operating history and our recent growth may not be indicative of our future growth; dependence on management’s ability to implement its strategy; risks of early stage companies; competitive risks; our dependence on a small number of key persons; demands of growth on our management and our operational and financial resources; and the other risk factors discussed in greater detail under “Risk Factors” in the Company’s annual information form (“AIF”) dated April 18, 2024 and filed on SEDAR+ at www.sedarplus.ca, which section of the AIF is specifically incorporated by reference herein.

The above-mentioned factors should not be construed as exhaustive. If any of these risks or uncertainties materialize, or if the opinions, estimates or assumptions underlying the forward-looking information prove incorrect, actual results or future events might vary materially from those anticipated in the forward-looking information.

Prospective investors should not place undue reliance on forward-looking information, which speaks only as of the date made. The forward-looking information contained in this Press Release represents our expectations as of the date of this Press Release (or as of the date they are otherwise stated to be made) and is subject to change after such date. However, we disclaim any intention or obligation or undertaking to update or revise any forward-looking information whether as a result of new information, future events or otherwise, except as required under applicable securities laws. For additional information, readers should also refer to our AIF and other information filed on www.sedarplus.ca.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

SOURCE Sucro Limited

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