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EX - 99.1 2 a20210503ex991earningsrele.htm EX - 99.1 S Sterling Construction Company , Inc. NEWS RELEASE For Immediate Release : May 3 , 2021 Exhibit 99.1 Sterling Reports Record First Quarter 2021 Results Record First Quarter Revenue , Earnings , and Operating Cash Flow Backlog Reaches an All - Time High of $ 1.64 Billion THE WOODLANDS , TX - May 3 , 2021 Sterling Construction Company , Inc. ( NasdaqGS : STRL ) ( " Sterling " or the " Company " ) today announced financial results for the first quarter 2021 . Consolidated First Quarter 2021 Financial Results Compared to First Quarter 2020 : • Revenues were $ 315.3 million compared to $ 296.7 million ; • • Gross margin was 14.3 % of revenues compared to 11.9 % ; Operating income was $ 22.8 million compared to $ 12.1 million ; • Net Income was $ 10.6 million compared to $ 3.1 million ; • EPS was $ 0.37 compared to $ 0.11 ; and , • EBITDA ( 1 ) was $ 29.9 million compared to $ 20.3 million . Consolidated Financial Position and Liquidity : • • • Cash and Cash Equivalents were $ 61.4 million at March 31 , 2021 compared to $ 66.2 million at December 31 , 2020 ; Cash provided by operating activities were $ 38.7 million for the three months ended March 31 , 2021 compared to $ 10.8 million for the comparable prior year period ; Repayments of debt totaled $ 30.5 million for the three months ended March 31 , 2021 ; • Forward looking EBITDA coverage ratio of 2.4X at March 31 , 2021 . Heavy Civil and Specialty Services Backlog Highlights : • Backlog at March 31 , 2021 was $ 1.64 billion , up from $ 1.18 billion at December 31 , 2020 . • Combined Backlog at March 31 , 2021 was $ 1.71 billion , up from $ 1.53 billion at December 31 , 2020 , and includes Unsigned Low - bid Awards of $ 75.7 million and $ 356.9 million at March 31 , 2021 and December 31 , 2020 , respectively . The Company Reaffirms 2021 Full Year Revenue and Income Guidance : • Revenues : $ 1.46 billion to $ 1.49 billion . • Net Income : $ 52 million to $ 55 million . CEO Remarks and Outlook " Our first quarter was an excellent start to the year , even in the face of the weather challenges we encountered across much of our geographic footprint in February , " stated Joe Cutillo , Sterling's Chief Executive Officer . " We attribute our strong top and bottom line performance to our great team of people and the strategy that we have been implementing over the past several years to diversify our revenue streams and focus on higher margin lower risk opportunities where we can bring our experience and unique skill set to bear in order to bring value to our customers . " " Once again , our Specialty Services segment was a major contributor to our strong first quarter results . We continued to execute well on our robust pipeline of projects for large , high - profile customers as they develop new distribution centers , The Company defines EBITDA as GAAP net income attributable to Sterling common stockholders , adjusted for depreciation and amortization , net interest expense , taxes , and loss on extinguishment of debt . See the " EBITDA Reconciliation " section below for more information .