Contact: | Media Relations: | CarolAnn Hibbard, (508) 661-2264, news@ameresco.com | ||
Investor Relations: | Andrew Spence, (508) 661-2212, ir@ameresco.com |
• | Fourth quarter revenues of $179.3 million, an increase of 35% year-over-year |
• | Record 2010 revenues of $618.2 million, an increase of 44% year-over-year |
• | Record 2010 net income of $28.7 million, an increase of 44% year-over-year |
• | Record 2010 earnings per diluted share of $0.69, an increase of 14% year-over-year |
• | Ameresco's businesses contributed double digit revenue increases across all regions and markets during fiscal year 2010. |
• | Operating cash flows were $22.9 million for 2010. |
• | Revenue generated from backlog was $507 million for full year 2010, an increase of 50%. |
• | Total backlog of contracted and awarded but not yet contracted projects remains strong at $1.13 billion. |
• | Ameresco continued its success in its integrated photovoltaic (PV) business with some noteworthy projects: the Veterans Administration Medical Center in Salt Lake City, Utah; City of Englewood, Colorado; Commonwealth of Massachusetts Department of Energy and Resources; City of Lowell, Massachusetts; Greater Essex District School Board in Ontario, Canada; and the Grand Erie District School Board in Ontario, Canada. |
• | Ameresco placed three biogas facilities into service and commenced permitting and installation of five new biogas projects. |
• | Ameresco increased its presence in the northwestern United States by completing the acquisition of Quantum Engineering and Development. |
• | Ameresco continued to expand its expertise and geographic reach in 2010, increasing headcount 16.5% and adding five new offices. Of the new hires, 89% are field-based positions. |
December 31, | |||||||
2009 | 2010 | ||||||
(Unaudited) | |||||||
ASSETS | |||||||
Current assets: | |||||||
Cash and cash equivalents | $ | 47,927,540 | $ | 44,691,021 | |||
Restricted cash | 9,249,885 | 9,197,447 | |||||
Accounts receivable, net | 61,279,515 | 69,541,920 | |||||
Accounts receivable retainage | 9,242,288 | 14,536,071 | |||||
Costs and estimated earnings in excess of billings | 14,009,076 | 39,754,744 | |||||
Inventory, net | 4,237,909 | 6,780,092 | |||||
Prepaid expenses and other current assets | 8,077,761 | 13,310,277 | |||||
Income tax receivable | — | 2,511,542 | |||||
Deferred income taxes | 9,279,473 | 12,078,072 | |||||
Project development costs | 8,468,974 | 7,556,345 | |||||
Total current assets | 171,772,421 | 219,957,531 | |||||
Federal ESPC receivable financing | 51,397,347 | 194,684,135 | |||||
Property and equipment, net | 4,373,256 | 5,406,387 | |||||
Project assets, net | 117,637,990 | 145,147,475 | |||||
Deferred financing fees, net | 3,582,560 | 3,412,186 | |||||
Goodwill | 16,132,429 | 18,624,629 | |||||
Other assets | 10,648,605 | 3,154,636 | |||||
203,772,187 | 370,429,448 | ||||||
$ | 375,544,608 | $ | 590,386,979 | ||||
LIABILITIES AND STOCKHOLDERS' EQUITY | |||||||
Current liabilities: | |||||||
Current portion of long-term debt | $ | 8,093,016 | $ | 4,722,118 | |||
Accounts payable | 75,578,378 | 96,542,126 | |||||
Accrued liabilities | 18,362,674 | 15,088,250 | |||||
Billings in excess of cost and estimated earnings | 28,166,364 | 27,555,894 | |||||
Income taxes payable | 2,129,529 | 2,488,672 | |||||
Total current liabilities | 132,329,961 | 146,397,060 | |||||
Long-term debt: | |||||||
Long-term debt, less current portion | 102,807,203 | 202,409,484 | |||||
Subordinated debt | 2,998,750 | — | |||||
Deferred income taxes | 11,901,645 | 16,994,087 | |||||
Deferred grant income | 4,158,508 | 4,200,929 | |||||
Other liabilities | 18,578,754 | 25,333,688 | |||||
140,444,860 | 248,938,188 | ||||||
Stockholders' equity: | |||||||
Series A convertible preferred stock, $0.0001 par value, 3,500,000 shares authorized, 3,210,000 shares issued and outstanding at 12/31/2009, no shares issued and outstanding at 12/31/2010 | 321 | — |
December 31, | |||||||
2009 | 2010 | ||||||
Preferred stock, $0.0001 par value, 5,000,000 shares authorized, no shares issued and outstanding at 12/31/2009 and 12/31/2010 | — | — | |||||
Common stock, $0.0001 par value, 60,000,000 shares authorized, 17,998,168 shares issued and 13,282,284 outstanding at 12/31/2009, no shares issued and outstanding at 12/31/2010 | 1,800 | — | |||||
Class A Common stock, $0.0001 par value, 500,000,000 shares authorized, no shares issued and outstanding at 12/31/2009, 27,925,649 shares issued and 23,092,365 outstanding at 12/31/2010 | — | 2,793 | |||||
Class B common stock, $0.0001 par value, 144,000,000 shares authorized, no shares issued and outstanding at 12/31/2009, 18,000,000 shares issued and outstanding at 12/31/2010 | — | 1,800 | |||||
Additional paid-in capital | 10,466,312 | 74,069,087 | |||||
Retained earnings | 97,882,985 | 126,609,101 | |||||
Accumulated other comprehensive income | 2,831,970 | 3,551,521 | |||||
Less - treasury stock, at cost, 4,715,884 shares and 4,833,284 shares, respectively | (8,413,601 | ) | (9,182,571 | ) | |||
Total stockholders' equity | 102,769,787 | 195,051,731 | |||||
$ | 375,544,608 | $ | 590,386,979 |
Three Months Ended December 31, | |||||||
2009 | 2010 | ||||||
(Unaudited) | |||||||
Revenue: | |||||||
Energy efficiency revenue | $ | 99,344,814 | $ | 131,751,118 | |||
Renewable energy revenue | 34,032,801 | 47,591,019 | |||||
133,377,615 | 179,342,137 | ||||||
Direct expenses: | |||||||
Energy efficiency expenses | 82,759,076 | 110,589,160 | |||||
Renewable energy expenses | 23,874,565 | 37,484,158 | |||||
106,633,641 | 148,073,318 | ||||||
Gross profit | 26,743,974 | 31,268,819 | |||||
Operating expenses: | |||||||
Salaries and benefits | 9,456,066 | 8,827,730 | |||||
Project development costs | 2,736,880 | 5,783,237 | |||||
General, administrative and other | 3,270,744 | 4,155,289 | |||||
15,463,690 | 18,766,256 | ||||||
Operating income | 11,280,284 | 12,502,563 | |||||
Other income (expenses), net | 50,522 | (998,129 | ) | ||||
Income before provision for income taxes | 11,330,806 | 11,504,434 | |||||
Income tax provision | 1,756,491 | 3,804,551 | |||||
Net income | 9,574,315 | 7,699,883 | |||||
Other comprehensive income (loss): | |||||||
Unrealized gain from interest rate hedge, net of tax | — | 1,363,788 | |||||
Foreign currency translation adjustment | 261,110 | 963,633 | |||||
Comprehensive income | $ | 9,835,425 | $ | 10,027,304 | |||
Net income per share attributable to common shareholders: | |||||||
Basic | $ | 0.85 | $ | 0.19 | |||
Diluted | $ | 0.27 | $ | 0.17 | |||
Weighted average common shares outstanding: | |||||||
Basic | 11,224,458 | 41,086,998 | |||||
Diluted | 35,306,526 | 46,147,728 | |||||
OTHER NON-GAAP DISCLOSURES | |||||||
Gross margins: | |||||||
Energy efficiency revenue | 16.7 | % | 16.1 | % | |||
Renewable energy revenue | 29.8 | % | 21.2 | % | |||
Total | 20.1 | % | 17.4 | % | |||
Operating expenses as a percent of revenue | 11.6 | % | 10.5 | % | |||
Earnings before interest, taxes, depreciation and amortization (EBITDA): | |||||||
Operating income | $ | 11,280,284 | $ | 12,502,563 | |||
Depreciation and impairment | 1,671,338 | 2,560,922 | |||||
Stock-based compensation | 1,324,321 | 740,157 | |||||
EBITDA | $ | 14,275,943 | $ | 15,803,642 | |||
EBITDA margin | 10.7 | % | 8.8 | % | |||
Construction backlog: | |||||||
Awarded | $ | 705,950,788 | $ | 482,878,178 | |||
Fully-contracted | 597,853,401 | 651,232,855 | |||||
Total construction backlog | $ | 1,303,804,189 | $ | 1,134,111,033 |
Years Ended December 31, | |||||||
2009 | 2010 | ||||||
(Unaudited) | |||||||
Revenue: | |||||||
Energy efficiency revenue | $ | 340,635,122 | $ | 455,329,696 | |||
Renewable energy revenue | 87,881,467 | 162,896,963 | |||||
428,516,589 | 618,226,659 | ||||||
Direct expenses: | |||||||
Energy efficiency expenses | 282,344,502 | 378,084,610 | |||||
Renewable energy expenses | 66,472,031 | 129,439,629 | |||||
348,816,533 | 507,524,239 | ||||||
Gross profit | 79,700,056 | 110,702,420 | |||||
Operating expenses: | |||||||
Salaries and benefits | 28,273,987 | 30,721,486 | |||||
Project development costs | 9,599,862 | 13,676,795 | |||||
General, administrative and other | 16,532,355 | 20,311,842 | |||||
54,406,204 | 64,710,123 | ||||||
Operating income | 25,293,852 | 45,992,297 | |||||
Other income (expenses), net | 1,562,910 | (5,080,546 | ) | ||||
Income before provision for income taxes | 26,856,762 | 40,911,751 | |||||
Income tax provision | 6,949,614 | 12,185,635 | |||||
Net income | 19,907,148 | 28,726,116 | |||||
Other comprehensive income (loss): | |||||||
Unrealized loss from interest rate hedge, net of tax | — | (933,879 | ) | ||||
Foreign currency translation adjustment | 3,530,723 | 1,653,430 | |||||
Comprehensive income | $ | 23,437,871 | $ | 29,445,667 | |||
Net income per share attributable to common shareholders: | |||||||
Basic | $ | 1.99 | $ | 1.12 | |||
Diluted | $ | 0.61 | $ | 0.69 | |||
Weighted average common shares outstanding: | |||||||
Basic | 9,991,912 | 25,728,314 | |||||
Diluted | 32,705,617 | 41,513,482 | |||||
OTHER NON-GAAP DISCLOSURES | |||||||
Gross margins: | |||||||
Energy efficiency revenue | 17.1 | % | 17.0 | % | |||
Renewable energy revenue | 24.4 | % | 20.5 | % | |||
Total | 18.6 | % | 17.9 | % | |||
Operating expenses as a percent of revenue | 12.7 | % | 10.5 | % | |||
Earnings before interest, taxes, depreciation and amortization (EBITDA): | |||||||
Operating income | $ | 25,293,852 | $ | 45,992,297 | |||
Depreciation and impairment | 6,633,690 | 11,419,186 | |||||
Stock-based compensation | 3,168,721 | 2,498,660 | |||||
EBITDA | $ | 35,096,263 | $ | 59,910,143 | |||
EBITDA margin | 8.2 | % | 9.7 | % |
Three Months Ended December 31, | |||||||
2009 | 2010 | ||||||
(Unaudited) | |||||||
Cash flows from operating activities: | |||||||
Net income | $ | 9,574,315 | $ | 7,699,883 | |||
Adjustment to reconcile net income to cash provided by investing activities: | |||||||
Depreciation of project assets | 1,331,826 | 2,011,041 | |||||
Depreciation of property and equipment | 339,512 | 549,880 | |||||
Amortization of deferred financing fees | 93,043 | 92,369 | |||||
Provision for bad debts | 224,810 | 126,219 | |||||
Gain on sale of assets | (691,292 | ) | — | ||||
Unrealized gain on interest rate swaps | (629,183 | ) | — | ||||
Stock-based compensation expense | 1,324,321 | 740,157 | |||||
Deferred income taxes | 2,982,372 | 2,556,481 | |||||
Changes in operating assets and liabilities: | |||||||
(Increase) decrease in: | |||||||
Restricted cash draws | 11,439,330 | 42,086,566 | |||||
Accounts receivable | 10,025,216 | 22,773,872 | |||||
Accounts receivable retainage | 6,383,560 | 3,089,145 | |||||
Federal ESPC receivable financing | (25,844,770 | ) | (51,065,660 | ) | |||
Inventory | 1,543,393 | (1,470,915 | ) | ||||
Costs and estimated earnings in excess of billings | 6,057,847 | (6,849,359 | ) | ||||
Prepaid expenses and other current assets | 872,543 | 358,680 | |||||
Project development costs | 4,887,503 | 1,716,435 | |||||
Other assets | (2,360,935 | ) | 837,934 | ||||
Increase (decrease) in: | |||||||
Accounts payable and accrued expenses | 22,857,457 | 2,941,987 | |||||
Billings in excess of cost and estimated earnings | (5,282,082 | ) | (3,569,795 | ) | |||
Other liabilities | 2,055,407 | 3,964,429 | |||||
Income taxes payable | 1,204,148 | 666,161 | |||||
Net cash provided by operating activities | 48,388,341 | 29,255,510 | |||||
Cash flows from investing activities: | |||||||
Purchases of property and equipment | (367,345 | ) | (1,251,391 | ) | |||
Purchases of project assets | (5,254,404 | ) | (12,230,199 | ) | |||
Acquisitions, net of cash received | — | (164,065 | ) | ||||
Net cash used in investing activities | (5,621,749 | ) | (13,645,655 | ) | |||
Cash flows from financing activities: | |||||||
Payments of financing fees | (2,724,854 | ) | (73,113 | ) | |||
Proceeds from options and warrant exercises and issuance of stock | 874,760 | 10,380 | |||||
Payments on senior secured credit facility | (10,129,000 | ) | — | ||||
Proceeds from long-term debt financing | 121,680 | (65,036 | ) | ||||
Restricted cash | 1,961,655 | (342,555 | ) | ||||
Payments on long-term debt | (965,148 | ) | (422,058 | ) | |||
Net cash used in financing activities | (10,860,907 | ) | (892,382 | ) | |||
Effect of exchange rate changes on cash | 554,310 | 707,547 | |||||
Net increase in cash and cash equivalents | 32,459,995 | 15,425,020 | |||||
Cash and cash equivalents, beginning of period | 15,467,545 | 29,266,001 | |||||
Cash and cash equivalents, end of year | $ | 47,927,540 | $ | 44,691,021 |
Years Ended December 31, | |||||||
2009 | 2010 | ||||||
(Unaudited) | |||||||
Cash flows from operating activities: | |||||||
Net income | $ | 19,907,148 | $ | 28,726,116 | |||
Adjustment to reconcile net income to cash provided by investing activities: | |||||||
Depreciation of project assets | 5,260,805 | 9,634,891 | |||||
Depreciation of property and equipment | 1,372,885 | 1,784,295 | |||||
Amortization of deferred financing fees | 254,705 | 566,772 | |||||
Provision for bad debts | 552,368 | 126,219 | |||||
Gain on sale of assets | (691,292 | ) | — | ||||
Write-down of long-term receivable | — | 2,111,000 | |||||
Unrealized (gain) loss on interest rate swaps | (2,263,802 | ) | 133,591 | ||||
Stock-based compensation expense | 3,168,721 | 2,498,660 | |||||
Deferred income taxes | 3,400,628 | 2,556,481 | |||||
Changes in operating assets and liabilities: | |||||||
(Increase) decrease in: | |||||||
Restricted cash draws | 33,051,426 | 151,022,923 | |||||
Accounts receivable | (11,033,926 | ) | (1,263,281 | ) | |||
Accounts receivable retainage | 5,029,832 | (4,402,580 | ) | ||||
Federal ESPC receivable financing | (52,900,979 | ) | (161,588,391 | ) | |||
Inventory | 3,222,762 | (2,542,183 | ) | ||||
Costs and estimated earnings in excess of billings | (3,651,857 | ) | (23,509,824 | ) | |||
Prepaid expenses and other current assets | (1,591,213 | ) | (5,159,723 | ) | |||
Project development costs | 1,987,761 | 925,531 | |||||
Other assets | 3,846,224 | 7,419,953 | |||||
Increase (decrease) in: | |||||||
Accounts payable and accrued expenses | 27,280,548 | 9,691,890 | |||||
Billings in excess of cost and estimated earnings | 6,819,869 | (1,258,620 | ) | ||||
Other liabilities | 8,945 | 5,666,510 | |||||
Income taxes payable | 2,264,750 | (280,200 | ) | ||||
Net cash provided by operating activities | 45,296,308 | 22,860,030 | |||||
Cash flows from investing activities: | |||||||
Purchases of property and equipment | (1,797,949 | ) | (2,613,267 | ) | |||
Purchases of project assets | (19,841,648 | ) | (37,013,261 | ) | |||
Acquisitions, net of cash received | (674,110 | ) | (6,303,006 | ) | |||
Net cash used in investing activities | (22,313,707 | ) | (45,929,534 | ) | |||
Cash flows from financing activities: | |||||||
Payments of financing fees | (2,804,759 | ) | (1,373,171 | ) | |||
Proceeds from options and warrant exercises and issuance of stock | 874,760 | 60,073,139 | |||||
Repurchase of stock | (874,948 | ) | (768,970 | ) | |||
Payments on senior secured credit facility | (14,578,242 | ) | (19,915,218 | ) | |||
Proceeds from long-term debt financing | 28,196,538 | 747,362 | |||||
Restricted cash | (3,092,590 | ) | (6,298,988 | ) | |||
Repayment of subordinated debt | — | (2,998,750 | ) | ||||
Payments on long-term debt | (3,592,073 | ) | (10,970,656 | ) | |||
Net cash provided by financing activities | 4,128,686 | 18,494,748 | |||||
Effect of exchange rate changes on cash | 2,667,108 | 1,338,237 | |||||
Net increase (decrease) in cash and cash equivalents | 29,778,395 | (3,236,519 | ) | ||||
Cash and cash equivalents, beginning of year | 18,149,145 | 47,927,540 | |||||
Cash and cash equivalents, end of year | $ | 47,927,540 | $ | 44,691,021 |