Badger Q3 revenue beats expectations

Badger Infrastructure Solutions

05/11/2025 22:19

Overview

Badger Q3 revenue grows 13% yr/yr, beating analyst expectations

Adjusted EBITDA for Q3 beats analyst estimates, reflecting improved operational performance

Company announces quarterly cash dividend for Q4 2025

Outlook

Company anticipates 2025 hydrovac production at upper end of 180 to 210 units

Badger expects 2025 capital spending to increase to $115 mln to $130 mln

Company plans to develop a U.S. refurbishment facility operational in 2026

Result Drivers

FLEET INVESTMENTS - Co attributes revenue growth to investments in fleet expansion supporting demand for non-destructive excavation services

PRICING AND SALES STRATEGY - Disciplined pricing and targeted sales efforts drove revenue and fleet utilization, per CEO Rob Blackadar

STRATEGIC EXECUTION - Successful execution of business strategies during peak season led to a 15% increase in Adjusted EBITDA

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Beat
$237.35 mln
$233.40 mln (2 Analysts)
Q3 Net Income
$29.02 mln
Q3 Adjusted EBITDA
Beat
$66.81 mln
$65.40 mln (5 Analysts)
Q3 Adjusted EBITDA Margin
28.20%
Q3 Basic EPS
$0.86
Q3 Pretax Profit
$37.94 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the construction & engineering peer group is "buy"

Wall Street's median 12-month price target for Badger Infrastructure Solutions Ltd is C$71.00, about 1.9% below its November 4 closing price of C$72.36

The stock recently traded at 21 times the next 12-month earnings vs. a P/E of 17 three months ago

Press Release: ID:nGNX9JH8dy

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)