PALM BEACH GARDENS, Fla., Nov. 24 /PRNewswire-FirstCall/ -- Dycom Industries, Inc. announced today its results for the first quarter ended October 25, 2008. The Company reported income from continuing operations for the quarter ended October 25, 2008 of $10.6 million, or $0.27 per common share diluted, versus income from continuing operations for the quarter ended October 27, 2007 of $15.3 million, or $0.37 per common share diluted. On a non-GAAP basis, excluding the write-off of deferred financing costs of $0.6 million, income from continuing operations for the quarter ended October 25, 2008 was $10.9 million, or $0.28 per common share diluted, versus income from continuing operations for the quarter ended October 27, 2007 of $15.3 million, or $0.37 per common share diluted. The write-off resulted from the Company replacing its existing credit facility with a new $195 million three year facility. Net income, including the results of discontinued operations, for the quarter ended October 25, 2008 was $10.5 million, or $0.27 per common share diluted, compared to $14.9 million, or $0.36 per common share diluted for the quarter ended October 27, 2007. Total contract revenues from continuing operations for the quarter ended October 25, 2008 were $334.0 million, including approximately $15 million from work related to hurricanes that impacted the Southern United States during the quarter, compared to total contract revenues from continuing operations of $329.7 million for the quarter ended October 27, 2007, an increase of 1.3%.
Steven Nielsen, President and CEO stated, "We performed well during our first fiscal quarter with revenue and earnings exceeding our expectations despite an economic environment that became more challenging as the quarter progressed. As we look to the second quarter, our guidance reflects an economy now in recession. Accordingly, we have implemented a number of corporate initiatives including reductions in general and administrative expenses and capital expenditures. These second quarter initiatives are intended to fortify our already strong balance sheet and meaningfully increase our already robust liquidity. While we expect the economic environment to impact the spending plans of our customers, we are encouraged that our major customers possess significant financial strength and remain committed to multi-year capital spending initiatives."
Dycom announced its outlook for the second quarter of fiscal 2009. The Company currently expects revenue for the second quarter of fiscal 2009 to range from $250 million to $270 million and diluted earnings per share to range from $0.02 to $0.07.
A Tele-Conference call to review the Company's results and address its outlook will be hosted at 9:00 a.m. (ET), Tuesday, November 25, 2008; Call 800-288-8960 (United States) or 612-332-0523 International) and request "Dycom Results" conference call. A live webcast of the conference call, along with a slide presentation, will be available at http://www.dycomind.com/ under the heading "Investors" and subheading "Event Details". If you are unable to attend the conference call at the scheduled time, a replay of the live webcast will also be available at http://www.dycomind.com/ until Thursday, December 25, 2008.
Dycom is a leading provider of specialty contracting services throughout the United States. These services include engineering, construction, maintenance and installation services to telecommunications providers, underground facility locating services to various utilities including telecommunications providers, and other construction and maintenance services to electric utilities and others.
The fiscal 2009 first quarter results are preliminary and the information is unaudited. This press release contains forward-looking statements as contemplated by the 1995 Private Securities Litigation Reform Act. Such statements include, but are not limited to, the Company's expectations for revenues and earnings per share. These statements are based on management's current expectations, estimates and projections. Forward-looking statements are subject to risks and uncertainties that may cause actual results in the future to differ materially from the results projected or implied in any forward-looking statements contained in this press release. Such risks and uncertainties include: business and economic conditions in the telecommunications industry affecting our customers, the adequacy of our insurance and other reserves and allowances for doubtful accounts, whether the carrying value of our assets may be impaired, the impact of any future acquisitions, the anticipated outcome of other contingent events, including litigation, liquidity needs and the availability of financing, as well as other risks detailed in our filings with the Securities and Exchange Commission. The Company does not undertake to update forward-looking statements.
NYSE: "DY" DYCOM INDUSTRIES, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS October 25, 2008 and July 26, 2008 Unaudited October 25, July 26, 2008 2008 --------- --------- ($ in 000's) ASSETS Current Assets: Cash and equivalents $45,723 $22,068 Accounts receivable, net 155,791 146,420 Costs and estimated earnings in excess of billings 96,231 94,270 Deferred tax assets, net 16,779 19,347 Income taxes receivable 2,241 6,014 Inventories 10,135 8,994 Other current assets 11,945 7,301 Current assets of discontinued operations 618 667 --------- --------- Total current assets 339,463 305,081 Property and equipment, net 164,597 170,479 Goodwill 240,138 240,138 Intangible assets, net 61,035 62,860 Other 11,428 10,478 --------- --------- Total $816,661 $789,036 ========= ========= LIABILITIES AND STOCKHOLDERS' EQUITY Current Liabilities: Accounts payable $32,994 $29,835 Current portion of debt 2,064 2,306 Billings in excess of costs and estimated earnings 311 483 Accrued insurance claims 29,883 29,834 Other accrued liabilities 47,934 66,275 Current liabilities of discontinued operations 1,828 2,731 --------- --------- Total current liabilities 115,014 131,464 Long-term debt 180,621 151,049 Accrued insurance claims 39,118 37,175 Deferred tax liabilities, net non- current 19,947 19,514 Other liabilities 5,717 5,314 Non-current liabilities of discontinued operations 437 427 Stockholders' Equity 455,807 444,093 --------- --------- Total $816,661 $789,036 ========= ========= NYSE: "DY" DYCOM INDUSTRIES, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS Unaudited Three Months Three Months Ended Ended October 25, October 27, 2008 2007 ------------ ------------ (In 000's, except per share amounts) Contract revenues $333,967 $329,672 ------------ ------------ Cost of earned revenues, excluding depreciation and amortization 268,646 261,312 General and administrative expenses (1) 27,540 25,608 Depreciation and amortization 16,612 16,047 ------------ ------------ Total 312,798 302,967 ------------ ------------ Interest income 135 210 Interest expense (4,052) (3,556) Other income, net 402 1,572 ------------ ------------ Income from continuing operations before income taxes 17,654 24,931 Provision for income taxes 7,068 9,674 ------------ ------------ Income from continuing operations 10,586 15,257 Loss from discontinued operations, net of tax (38) (330) ------------ ------------ Net income $10,548 $14,927 ============ ============ Earnings per common share - Basic: Income from continuing operations $0.27 $0.37 Loss from discontinued operations - (0.01) ------------ ------------ Net income $0.27 $0.37 ============ ============ Earnings per common share - Diluted: Income from continuing operations $0.27 $0.37 Loss from discontinued operations - (0.01) ------------ ------------ Net income $0.27 $0.36 ============ ============ Shares used in computing earnings per common share: Basic 39,321,662 40,718,872 ============ ============ Diluted 39,421,590 41,174,497 ============ ============ Earnings per share amounts may not add due to rounding. (1) Includes stock-based compensation expense of $1.5 million and $2.1 million for the three months ended October 25, 2008 and October 27, 2007, respectively. NYSE: "DY" DYCOM INDUSTRIES, INC. AND SUBSIDIARIES RECONCILIATION OF GAAP TO NON-GAAP INFORMATION Unaudited Three Months Three Months Ended Ended October 25, October 27, 2008 2007 ------------ ------------ (In 000's, except per share amounts) Item: Write-off of deferred financing costs $(551) $- ============ ============ GAAP income from continuing operations $10,586 $15,257 Adjustment for item above, net of tax 330 - ------------ ------------ Non-GAAP income from continuing operations $10,916 $15,257 ============ ============ Earnings per common share from continuing operations: Basic earnings per share from continuing operations - GAAP $0.27 $0.37 Adjustment for item above 0.01 - ------------ ------------ Basic earnings per share from continuing operations - Non-GAAP $0.28 $0.37 ============ ============ Diluted earnings per share from continuing operations - GAAP $0.27 $0.37 Adjustment for item above 0.01 - ------------ ------------ Diluted earnings per share from continuing operations- Non-GAAP $0.28 $0.37 ============ ============ Shares used in computing GAAP and Non-GAAP earnings per common share from continuing operations and adjustment for item above: Basic 39,321,662 40,718,872 ============ ============ Diluted 39,421,590 41,174,497 ============ ============
