Engineering consulting firm Willdan's Q3 contract revenue beats estimates

Reuters11-07
Engineering consulting firm Willdan's Q3 contract revenue beats estimates

Overview

  • Willdan Q3 contract revenue up 15%, beating analyst expectations

  • Adjusted EPS for Q3 beats consensus, rising 65.8% year-over-year

  • Net income for Q3 rises 86.8% year-over-year

Outlook

  • Willdan raises 2025 net revenue target to $360 mln-$365 mln

  • Willdan expects 2025 adjusted EBITDA between $77 mln and $78 mln

  • Willdan forecasts 2025 adjusted diluted EPS of $4.10-$4.20

Result Drivers

  • ORGANIC GROWTH - Willdan reports 20% organic growth in net revenue, contributing to strong Q3 results

  • ELECTRICITY DEMAND - Growing electricity demand driven by data centers and electrification supported revenue growth

  • FINANCIAL MANAGEMENT - Reduction in net debt to $16.0 mln reflects effective financial management

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Contract Revenue

Beat

$182.01 mln

$86.27 mln (3 Analysts)

Q3 Adjusted EPS

Beat

$1.21

$0.83 (3 Analysts)

Q3 Net Income

$13.72 mln

Q3 Adjusted EBITDA

$23.10 mln

Q3 Pretax Profit

$14.29 mln

Analyst Coverage

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

  • The average consensus recommendation for the business support services peer group is "buy"

  • Wall Street's median 12-month price target for Willdan Group Inc is $120.00, about 21.6% above its November 5 closing price of $94.11

  • The stock recently traded at 24 times the next 12-month earnings vs. a P/E of 29 three months ago

Press Release: ID:nBwb39Sm6a

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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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