Tue, Mar 4, 10:16 PM (56 days ago)
Southland Holdings, Inc. (SLND) reported a challenging fiscal year ending December 31, 2024, with revenues of $980.2 million, down 15.5% from $1.16 billion in 2023. The decline was primarily due to a $166 million drop in the Transportation segment, influenced by the exit from the Materials & Paving (M&P) business. Operating loss surged to $126.3 million, compared to a loss of $31.4 million last year, attributed to project delays and material cost increases. Net loss attributable to stockholders reached $105.4 million, with a diluted loss per share of $2.19. The company has streamlined operations by discontinuing certain M&P projects, reallocating resources to more profitable sectors. As of the end of 2024, backlog stood at $2.57 billion, indicating ongoing project commitments, despite a decrease from the previous year. Liquidity remains a concern, with $300.2 million in long-term debt, including a new $160 million term loan secured in September 2024. The firm anticipates recognizing approximately 39% of its backlog in revenue over the next year, but faces risks from fluctuating material costs and project execution uncertainties. The outlook remains cautious, with a focus on strategic growth and cost management.