News Release
Based on the strong financial performance delivered in the first half of the fiscal year and continued momentum through May, the Company has reaffirmed its full year financial guidance, including its expectation for 10% adjusted EBITDA1 growth at the mid-point of its guidance range and free cash flow2 of between
Business Performance Highlights
- The book-to-burn ratios for AECOM’s design business have exceeded 1.0 quarter-to-date, with broad-based strength in its largest market sectors and geographies.
- The Company has maintained industry-leading market share of
U.S. Federal spend for COVID-19 response work, winning approximately 25% of all work by value, according to Bloomberg BGOV. - Capitalizing on key investments in technology over the past several years, the Company is leading the industry’s digital transformation and is extending its competitive advantage, as highlighted by the recent launches of two innovative client engagement platforms: AECOM Environmental Engagement that streamlines documentation and stakeholder engagement throughout the environmental assessment process and AECOM’s virtual public consultation tool that enables clients to productively engage stakeholders in digital settings.
- These platforms have deepened client engagement by assisting in the seamless transition to a remote working environment as a result of limitations on movement and person-to-person interactions.
- Quarter-to-date cash collections are tracking ahead of the prior year, which underscores confidence in achieving the reaffirmed full year free cash flow2 guidance.
- The Company has executed an agreement with
Lindsay Goldberg andAmerican Securities that resolved all post disposition working capital adjustments related to the sale of the Management Services business and this cash was collected onMay 20 th, materially consistent with previously communicated expectations. - On
May 18 th, the Company announced that it successfully turned over care, custody and control of the West Riverside Energy Center plant to Alliant Energy, marking a substantial milestone for the project and in the Company’s commitment to exit all self-perform, at-risk construction.
Reaffirmed Fiscal Year 2020 Financial Guidance
AECOM reaffirmed its financial guidance for fiscal 2020, including adjusted EBITDA1 of between$700 million and$740 million , which would mark 10% year-over-year growth at the mid-point of the range and a second consecutive year of double-digit adjusted EBITDA growth.- This guidance includes the previously contemplated
$15 million negative impact due to changes in foreign exchange rates and other assumptions noted in the Company’s fiscal second quarter earnings announcement.
- This guidance includes the previously contemplated
- The Company also reiterated its full year free cash flow2 guidance of between
$100 million and$300 million .
“We are reaffirming our full year guidance, reflecting continued strong performance so far in our fiscal third quarter that builds on our outstanding performance in the first half of the year,” said
1 Excludes the impact of non-operating items, such as non-core operating losses and transaction-related expenses, restructuring costs and other items, and reflects Continuing Operations.
2 Free cash flow is defined as cash flow from operations less capital expenditures net of proceeds from disposals, and includes the net working capital purchase price adjustment collected in
About
Forward-Looking Statements
All statements in this communication other than statements of historical fact are “forward-looking statements” for purposes of federal and state securities laws, including any statements of the plans, strategies and objectives for future operations, profitability, strategic value creation, coronavirus impacts, risk profile and investment strategies, and any statements regarding future economic conditions and performance, and the expected financial and operational results of
Non-GAAP Financial Information
This press release contains financial information calculated other than in accordance with
Our non-GAAP disclosure has limitations as an analytical tool, should not be viewed as a substitute for financial information determined in accordance with GAAP, and should not be considered in isolation or as a substitute for analysis of our results as reported under GAAP, nor is it necessarily comparable to non-GAAP performance measures that may be presented by other companies.
When we provide our long term projections for adjusted EBITDA and free cash flow on a forward-looking basis, the closest corresponding GAAP measure and a reconciliation of the differences between the non-GAAP expectation and the corresponding GAAP measure generally is not available without unreasonable effort due to the length, high variability, complexity and low visibility associated with the non-GAAP expectation projected against the multi-year forecast which could significantly impact the GAAP measure.
View source version on businesswire.com: https://www.businesswire.com/news/home/20200526005186/en/
Investor Contact:
Senior Vice President, Investor Relations
213.593.8208
William.Gabrielski@aecom.com
Media Contact:
Vice President,
213.996.2367
Brendan.Ranson-Walsh@aecom.com
Source: