Orion Reports Narrower Second-Quarter Loss
Orion Group Holdings reported that it lost $0.3 million or $0.01 per share in the second quarter, an improvement from the $3.1 million loss reported for the second quarter of 2022.
Contract revenues were $182.5 million, up 14.7 percent from the first quarter but down 6.6 from the second quarter of 2022.
“Our second-quarter performance was a significant improvement over our first-quarter results and reflected the progress our team is making in executing our strategy to achieve long-term growth and value creation,” said Travis Boone, CEO of Orion Group Holdings.
“Nine months ago, we began our journey to turn Orion around. We started with a long checklist and have ticked off many of the boxes—all focused on de-risking the business to clear the path for long-term growth and profitability. After two years of reporting losses, our concrete business turned profitable in the month of March and continues to generate profit each month. We have attracted great talent to focus on business development and drive growth. And perhaps most critically, we shored up our balance sheet and liquidity, securing a new $103 million ABL credit facility and providing $25 million in liquidity through sale-leaseback transactions.
“Looking ahead, we are optimistic that we will see continued improvement for the rest of this year and beyond. Our company is now fundamentally stronger and well positioned for accelerated growth. We are fortunate to have the most exceptional people in the industry and two businesses with different catalysts of growth—concrete more driven by the private sector, marine by the public sector—that can balance one another during challenging times and different business cycles. When both businesses are performing well—as we believe is within reach in 2024—they can deliver dramatic growth and strong results for all stakeholders,” Boone said.
Orion reported its total backlog as of June 30 was $818.7 million, compared to $467.4 million as of March 31 and $603.2 million as of June 30, 2022. Backlog for the marine segment was $614.9 million, compared to $187 million on March 31, 2023, and $281 million on June 30, 2022.
In addition, Orion reported it has been awarded $84 million in new project work not included in the backlog at the end of the quarter. The company reported two Corps of Engineers contracts—$27 million for dredging in Texas and $18 million for dredging in Louisiana—that will be performed in 2023.
