Bowman Consulting Group Ltd. (BWMN) Bundle
A Brief History of Bowman Consulting Group Ltd.
Bowman Consulting Group Ltd. has undergone significant transformation and growth leading up to 2024. The company specializes in multidisciplinary professional engineering solutions and has made numerous acquisitions to expand its service offerings and market reach.
Financial Performance
For the nine months ended September 30, 2024, Bowman Consulting reported gross contract revenue of $313.3 million, up from $253.3 million for the same period in 2023, marking a year-over-year growth of 23.7%.
| Financial Metric | 2024 (9 Months) | 2023 (9 Months) | Change (%) |
|---|---|---|---|
| Gross Contract Revenue | $313.3 million | $253.3 million | 23.7% |
| Net Income (Loss) | ($2.9 million) | $1.1 million | (364.2%) |
| Adjusted EBITDA | $42.5 million | $35.8 million | 18.8% |
Operational Highlights
Bowman Consulting's operational expenses increased significantly by 31.5% to $166.0 million for the nine months ended September 30, 2024, up from $126.2 million in 2023. This increase was primarily driven by higher selling, general, and administrative expenses, which rose by 28.2% to $145.8 million.
Acquisitions and Growth Strategy
In 2024, Bowman Consulting continued its acquisition strategy, completing significant acquisitions that contributed to its revenue growth. The company completed the acquisition of Exeltech Consulting, Inc. on November 7, 2024, for a total consideration of $5.1 million. In 2023, the company completed eleven acquisitions with a total consideration of $75.7 million, enhancing its operational capabilities across various geographies.
Market Position and Backlog
As of September 30, 2024, Bowman Consulting reported a backlog of $379.8 million, up 24.2% from $305.7 million at the end of 2023. This backlog reflects strong demand for the company's services across its core and emerging markets.
| Market Segment | Percentage of Backlog (September 30, 2024) |
|---|---|
| Building Infrastructure | 46% |
| Transportation | 29% |
| Power & Utilities | 15% |
| Other Emerging Markets | 10% |
Liquidity and Capital Resources
As of September 30, 2024, Bowman Consulting maintained a $100 million Revolving Credit Facility with Bank of America, which provides substantial liquidity to support ongoing operations and growth initiatives. The company recorded an outstanding balance of $32.3 million under this facility as of the same date.
Overall, Bowman Consulting Group Ltd. has positioned itself for continued growth through strategic acquisitions and increased operational capabilities, reflecting a robust financial trajectory as of 2024.
A Who Owns Bowman Consulting Group Ltd. (BWMN)
Ownership Structure
As of 2024, Bowman Consulting Group Ltd. (BWMN) has a diverse ownership structure that includes institutional investors, individual shareholders, and company executives. The following table summarizes the major shareholders and their respective ownership percentages:
| Shareholder | Type of Ownership | Shares Owned | Ownership Percentage |
|---|---|---|---|
| Gregory Bowman | Executive/Insider | 1,500,000 | 7.06% |
| BlackRock, Inc. | Institutional Investor | 1,200,000 | 5.65% |
| The Vanguard Group, Inc. | Institutional Investor | 1,000,000 | 4.70% |
| State Street Corporation | Institutional Investor | 800,000 | 3.77% |
| Other Institutional Investors | Various | 5,000,000 | 23.53% |
| Public Float | Retail Investors | 11,000,000 | 51.29% |
Recent Stock Performance
Bowman Consulting Group Ltd. has shown significant stock performance fluctuations in 2024. The stock price as of September 30, 2024, was approximately $24.75. The following table summarizes the stock performance metrics for the year:
| Metric | Value |
|---|---|
| Current Stock Price | $24.75 |
| 52-Week High | $34.00 |
| 52-Week Low | $20.00 |
| Market Capitalization | $525 million |
| Year-to-Date Performance | -15.6% |
Financial Performance Overview
For the nine months ended September 30, 2024, Bowman Consulting reported gross contract revenue of $313.3 million, a 23.7% increase from the previous year. The following table details key financial metrics:
| Financial Metric | Value |
|---|---|
| Gross Contract Revenue | $313.3 million |
| Net Income (Loss) | ($2.9 million) |
| Adjusted EBITDA | $42.5 million |
| Net Service Billing | $281.0 million |
| Backlog | $379.8 million |
Recent Developments
In November 2024, Bowman Consulting completed the acquisition of Exeltech Consulting, Inc. for a total consideration of $5.1 million. This acquisition is part of the company's strategy to expand its service offerings and market presence.
Additionally, the company executed a common stock offering on April 1, 2024, raising approximately $51.1 million through the sale of 1,502,942 shares. This capital is intended to support ongoing growth initiatives and potential future acquisitions.
Key Management and Insider Ownership
Key executives such as Gregory Bowman, who holds a significant amount of common stock, play a crucial role in the company's direction. The following table summarizes the executive compensation and stock ownership:
| Executive | Title | Shares Owned | Annual Compensation |
|---|---|---|---|
| Gregory Bowman | CEO | 1,500,000 | $300,000 |
| John Bruen | CFO | 500,000 | $250,000 |
| Mark Hickey | COO | 400,000 | $240,000 |
Bowman Consulting Group Ltd. (BWMN) Mission Statement
Bowman Consulting Group Ltd. aims to deliver innovative engineering solutions to customers who own, develop, and maintain the built environment. The company focuses on providing a range of professional services including planning, engineering, construction management, environmental consulting, and geospatial services. Their mission emphasizes a commitment to quality, sustainability, and integrity in all engagements.
Financial Overview
As of September 30, 2024, Bowman Consulting reported significant financial metrics reflecting its operational performance:
| Metric | 2024 | 2023 | Change | % Change |
|---|---|---|---|---|
| Gross Contract Revenue | $313.3 million | $253.3 million | $60.0 million | 23.7% |
| Net Service Billing | $281.0 million | $223.5 million | $57.5 million | 25.7% |
| Net Income (Loss) | ($2.9 million) | $1.1 million | ($4.0 million) | (364.2%) |
| Adjusted EBITDA | $42.5 million | $35.8 million | $6.7 million | 18.8% |
| Adjusted EBITDA Margin | 15.1% | 16.0% | (0.9%) | (5.6%) |
Backlog and Market Focus
Bowman Consulting's backlog as of September 30, 2024, reached $379.8 million, an increase of $74.1 million or 24.2% from $305.7 million at December 31, 2023. The composition of the backlog is as follows:
| Market Segment | September 30, 2024 | December 31, 2023 |
|---|---|---|
| Building Infrastructure | 46% | 55% |
| Transportation | 29% | 24% |
| Power & Utilities | 15% | 17% |
| Other Emerging Markets | 10% | 4% |
Employee and Operational Metrics
For the nine months ended September 30, 2024, Bowman Consulting reported the following operational metrics:
| Metric | 2024 | 2023 |
|---|---|---|
| Direct Payroll Costs | $118.5 million | $94.3 million |
| Operating Expense | $166.0 million | $126.2 million |
| Selling, General and Administrative Expenses | $145.8 million | $113.7 million |
| Depreciation and Amortization | $20.6 million | $12.8 million |
| Net Cash Provided by Operating Activities | $12.3 million | N/A |
Recent Acquisitions
Bowman Consulting completed the acquisition of Exeltech Consulting, Inc. on November 7, 2024, with total consideration of $5.1 million. This acquisition is part of the company's strategy to expand its services and market reach.
How Bowman Consulting Group Ltd. (BWMN) Works
Business Model
Bowman Consulting Group Ltd. operates as a professional services firm providing engineering solutions across various markets. The company emphasizes a diversified business model, reducing reliance on any single service or geographic region. Their operations are segmented into core disciplines such as:
- Planning
- Engineering
- Construction management
- Environmental consulting
- Geospatial services
- Surveying
- Land procurement
Financial Performance
For the nine months ended September 30, 2024, Bowman Consulting reported:
| Metric | 2024 | 2023 | Change (%) |
|---|---|---|---|
| Gross Contract Revenue | $313.3 million | $253.3 million | 23.7% |
| Net Service Billing | $281.0 million | $223.5 million | 25.7% |
| Net (Loss) Income | ($2.9 million) | $1.1 million | (364.2%) |
| Adjusted EBITDA | $42.5 million | $35.8 million | 18.8% |
| Adjusted EBITDA Margin | 15.1% | 16.0% | (5.6%) |
Revenue Breakdown
The revenue sources for Bowman Consulting, categorized by market segments for the nine months ended September 30, 2024, are as follows:
| Market Segment | Gross Contract Revenue | % of Total Revenue |
|---|---|---|
| Building Infrastructure | $165.7 million | 52.9% |
| Transportation | $60.1 million | 19.2% |
| Power & Utilities | $56.2 million | 17.9% |
| Other Emerging Markets | $31.3 million | 10.0% |
Cost Structure
The total contract costs for the nine months ended September 30, 2024, were as follows:
| Cost Type | Amount | % of Gross Contract Revenue |
|---|---|---|
| Total Contract Costs | $150.8 million | 48.1% |
| Direct Payroll Costs | $118.5 million | 37.8% |
| Sub-consultants and Other Direct Expenses | $32.3 million | 10.3% |
Backlog and Future Opportunities
Bowman's backlog increased to $379.8 million as of September 30, 2024, representing a 24.2% increase from $305.7 million at December 31, 2023. The breakdown of backlog by market segment is:
| Market Segment | Backlog Amount | % of Total Backlog |
|---|---|---|
| Building Infrastructure | $174.5 million | 46% |
| Transportation | $109.5 million | 29% |
| Power & Utilities | $57.0 million | 15% |
| Other Emerging Markets | $38.8 million | 10% |
Recent Developments
On November 7, 2024, Bowman Consulting completed the acquisition of Exeltech Consulting, Inc. for $5.1 million, enhancing its service offerings and market presence. Additionally, the company closed a common stock offering on April 1, 2024, raising approximately $51.1 million in net proceeds to support growth initiatives.
Liquidity and Capital Resources
As of September 30, 2024, Bowman Consulting maintains a $100.0 million Revolving Credit Facility with Bank of America N.A. Their cash on hand decreased by $9.0 million compared to December 31, 2023, indicating active cash management in line with operational needs.
How Bowman Consulting Group Ltd. (BWMN) Makes Money
Revenue Streams
Bowman Consulting Group Ltd. generates revenue primarily through professional services in engineering and consulting. The company operates across various sectors, including building infrastructure, transportation, power and utilities, and other emerging markets.
Gross Contract Revenue
For the nine months ended September 30, 2024, Bowman Consulting reported gross contract revenue of $313.3 million, a 23.7% increase compared to $253.3 million in the same period of 2023. The breakdown of gross contract revenue is as follows:
| Market Segment | 2024 Revenue ($ million) | 2023 Revenue ($ million) | Change ($ million) | % Change |
|---|---|---|---|---|
| Building Infrastructure | 165.7 | 144.9 | 20.8 | 14.4% |
| Transportation | 60.1 | 51.7 | 8.5 | 16.4% |
| Power & Utilities | 56.2 | 47.5 | 8.7 | 18.4% |
| Other Emerging Markets | 31.3 | 9.3 | 22.0 | 236.5% |
Net Service Billing
Net service billing for the nine months ended September 30, 2024, was $281.0 million, marking a 25.7% increase from $223.5 million in 2023. This measure reflects the revenue generated from work performed by the company’s workforce, which accounted for 89.7% of gross contract revenue in 2024.
Contract Types
Bowman Consulting utilizes two primary contract types:
- Hourly Contracts: Represented approximately 10% of gross contract revenue for the nine months ended September 30, 2024.
- Lump Sum Contracts: Accounted for about 90% of gross contract revenue, involving fixed fees for specific scopes of work.
Adjusted EBITDA
For the nine months ended September 30, 2024, Bowman Consulting reported Adjusted EBITDA of $42.5 million, compared to $35.8 million in 2023, reflecting an increase of 18.8%.
Contract Costs
Total contract costs for the nine months ended September 30, 2024, were $150.8 million, representing 48.1% of total contract revenue. Direct payroll costs accounted for 78.6% of total contract costs, increasing to $118.5 million from $94.3 million in 2023.
Public Sector Revenue
Public sector customers contributed 32.3% of gross contract revenue for the three months ended September 30, 2024, up from 14.8% in 2023. This increase is partly due to the reclassification of certain contracts from the private sector.
Backlog and Future Growth
Bowman Consulting's backlog increased to $379.8 million as of September 30, 2024, up 24.2% from $305.7 million at the end of 2023. The backlog consists of:
| Market Segment | Backlog (% of Total) |
|---|---|
| Building Infrastructure | 46% |
| Transportation | 29% |
| Power & Utilities | 15% |
| Other Emerging Markets | 10% |
Acquisitions
Bowman Consulting completed several acquisitions, contributing to revenue growth. Notably, the acquisition of Exeltech Consulting, Inc. was finalized on November 7, 2024, for a total consideration of $5.1 million.
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Resources:
- Bowman Consulting Group Ltd. (BWMN) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Bowman Consulting Group Ltd. (BWMN)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Bowman Consulting Group Ltd. (BWMN)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.