Southland Holdings Q2 revenue falls, net loss widens
Southland Holdings Q2 revenue falls, net loss widens
Overview
US infrastructure builder's Q2 revenue fell 47% yr/yr, impacted by project claim adjustments
Company's Q2 net loss widened to $84.3 mln
Gross margin for Q2 dropped to -62.9% from 6.0% a year earlier
Outlook
Company did not provide specific financial guidance for the current quarter or full year in press release
Result Drivers
CLAIM ADJUSTMENTS - Co said results were primarily impacted by unfavorable non-cash adjustments related to legacy project disputes
CLAIM REASSESSMENT - Co performed a comprehensive reassessment of expected recoverability of claims, leading to reduced estimated value of certain claims and a cumulative catch-up adjustment that negatively impacted revenue and gross profit
MATERIALS & PAVING IMPACT - Materials & Paving business negatively impacted gross profit by $16.3 mln in the quarter
Company press release: ID:nBwbkcGT2a
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue |
| $113.30 mln |
|
Analyst Coverage
The one available analyst rating on the shares is "buy"
The average consensus recommendation for the construction & engineering peer group is "buy"
Wall Street's median 12-month price target for Southland Holdings Inc is $3.00, about 323.7% above its August 12 closing price of $0.71
Reuters Recommended Reads
Aug 10 - Shimmick Q2 revenue falls, partly on project activity decline
Aug 11 - Cardinal Infrastructure Q2 revenue jumps 114% on organic and acquisition growth, raises 2026 sales guidance
Aug 10 - Asphalt equipment maker Gencor Industries' Q3 revenue, net income rise
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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.)
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Southland Holdings Q2 revenue falls, net loss widens
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