Thursday, March 03, 2022
Orion Group Holdings (ORN)
Challenges Continued in 4Q2021
Orion Group Holdings, based in Houston, Texas, is a specialty construction company within the Marine and Industrial Construction sectors, with operations focused in the continental United States and Caribbean. Revenue is split roughly 50/50 between a Marine Construction segment that provides marine facility, pipeline and structural construction services and a Commercial Concrete segment that provides turnkey concrete services in the light commercial and structural construction markets.
Poe Fratt, Senior Research Analyst, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Challenges prevailed…again in 4Q2021. While revenue of $163.2 million was higher than expected, EBITDA of $0.8 million was in line with our recent revisions. Profitability remained under pressure to COVID related and other issues and EBITDA margin was 20 bps light.
Update after today’s call, but recovery expected this year and no change to 2022 EBITDA. Our current EBITDA estimate of $37.0 million sets the bar lower and incorporates the startup of large multi-year projects. Given the 2H2021 increase in backlog, we forecast that total 2022 revenue should rebound into the $665 million range, or Marine revenue of $325 million and Concrete revenue of $340 million …
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.
