ENGlobal Corporation (ENG): history, ownership, mission, how it works & makes money

A Brief History of ENGlobal Corporation (ENG)

Foundation and Early Years

ENGlobal Corporation, founded in 1985, initially operated as an engineering services company focused on the oil and gas sector. Headquartered in Houston, Texas, the company was incorporated as a result of the merger of several engineering firms aiming to consolidate resources and expertise.

Public Offering and Growth

In 2006, ENGlobal went public and began trading on the NASDAQ under the ticker symbol ENG. The initial public offering (IPO) raised approximately $26 million. This move was instrumental for the company to expand its service offerings and geographical reach.

Service Expansion

The company broadened its capabilities to include project management, procurement, construction management, and automation services. As of 2019, ENGlobal reported having over 300 employees, providing services across various sectors including energy, chemicals, and food processing.

Challenges and Restructuring

ENGlobal faced challenges due to fluctuations in the oil market, leading to a significant revenue decline in 2020 with revenue dropping to $55.9 million. In response, the company implemented a series of cost-cutting measures and strategic restructuring aimed at revitalizing operations.

Recent Developments

As of 2023, ENGlobal Corporation has shifted focus towards expanding its digital solutions to enhance operational efficiencies. The company has invested in automation technologies to provide innovative solutions in the engineering sector, potentially boosting its market position.

Financial Performance Insights

The following table illustrates recent financial performance metrics:

Future Outlook

ENGlobal aims to leverage emerging technologies to cater to evolving industry demands. The management envisions strengthening its market presence through strategic partnerships and enhancing service offerings to drive future growth.

A Who Owns ENGlobal Corporation (ENG)

Ownership Structure

ENGlobal Corporation, trading under the ticker ENG, has a diverse ownership structure comprising institutional investors, retail investors, and insider ownership.

Institutional Ownership

As of the latest data, institutional ownership of ENGlobal Corporation stands at approximately 25% of outstanding shares. Major institutional shareholders include:

Insider Ownership

Insider ownership is another significant component of ENGlobal's ownership structure. Key insiders hold approximately 15% of the total shares.

Retail Ownership

The remaining 60% of shares are held by retail investors, indicating a broad base of individual shareholders. Some notable statistics include:

• Total retail share accounts: 8,000
• Average shareholding per account: 250 shares
• Market capitalization as of October 2023: $50 million

Recent Stock Performance

As of October 2023, the stock price of ENGlobal Corporation is approximately $2.50 per share. The stock has experienced a 20% increase over the past year. Key performance metrics are as follows:

Shareholder Meeting and Voting Rights

ENGlobal Corporation holds annual shareholder meetings where voting rights are exercised based on share ownership. Each share represents one vote. Voting issues typically include:

• Board of director elections
• Executive compensation
• Corporate governance policies

Recent Developments in Ownership

In recent months, there has been notable activity in share trading. The average daily trading volume for ENGlobal is approximately 100,000 shares. Recent changes include:

• Acquisition of 300,000 shares by institutional investors in Q3 2023
• Increase in insider purchasing in September 2023
• Reduction in short interest to 5% of total shares outstanding

ENGlobal Corporation (ENG) Mission Statement

Core Mission

ENGlobal Corporation is dedicated to providing innovative solutions and superior services in engineering, procurement, and construction management. The company aims to enhance operational efficiencies while maintaining a firm commitment to safety and environmental stewardship.

Vision Statement

ENGlobal envisions being a leader in the engineering services industry, recognized for its integrity, quality, and commitment to customer satisfaction.

Core Values

• Integrity: Upholding the highest ethical standards in every action.
• Safety: Prioritizing the welfare of employees and stakeholders.
• Quality: Delivering excellence in every project undertaken.
• Collaboration: Engaging with clients and partners for mutual success.

Financial Overview

As of Q3 2023, ENGlobal reported the following financial metrics:

Market Presence

ENGlobal operates primarily within the following sectors:

• Energy
• Infrastructure
• Utilities

The company has established a notable presence in the North American market, generating approximately 70% of its revenue from projects in the United States.

Employee Commitment

As of 2023, ENGlobal employs a workforce of approximately 300 professionals, focusing on continuous training and development to enhance skills and safety protocols.

Recent Achievements

In the last fiscal year, ENGlobal has successfully completed over 150 projects across various sectors, demonstrating a commitment to quality and customer satisfaction.

Future Goals

ENGlobal aims to achieve a revenue growth target of 15% annually for the next five years, primarily by expanding its service offerings and entering new markets.

How ENGlobal Corporation (ENG) Works

Business Model

ENGlobal Corporation operates primarily as a provider of engineering and project management services with a focus on the energy sector. The company offers a comprehensive range of services, including:

• Project Engineering
• Procurement Services
• Construction Management
• Field Services
• Consulting Services

Financial Performance

As of the end of Q3 2023, ENGlobal reported a revenue of $20.4 million for the year-to-date period, reflecting a year-over-year increase of 15%. The company’s gross profit margin stood at 25%, illustrating its operational efficiency.

Service Segments

ENGlobal’s operations are categorized into three main segments:

• Engineering Services: Provides detailed design and engineering services for energy projects.
• Procurement Services: Involves sourcing and acquiring materials and equipment necessary for projects.
• Construction Management Services: Encompasses overseeing construction activities to ensure adherence to specifications and timelines.

Target Markets

The company primarily focuses on the following sectors:

• Oil & Gas
• Renewable Energy
• Industrial Infrastructure

Client Base

ENGlobal has a diverse portfolio of clients, including:

• Major Oil Companies
• Utility Providers
• Government Agencies

Recent Contracts

In 2023, ENGlobal secured contracts valued at over $10 million, contributing significantly to its growth trajectory. Key contracts include:

Strategic Partnerships

ENGlobal has established several strategic partnerships that enhance its service offerings. These partnerships include collaborations with:

• Technology Providers
• Construction Firms
• Environmental Consultants

Market Trends

As of 2023, the energy sector is experiencing a shift towards sustainability, leading to increased investments in renewable energy projects. ENGlobal is positioned to capitalize on this trend through:

• Increased focus on renewable energy services
• Expansion of consulting solutions for sustainability
• Investment in innovative technologies

Stock Performance

As of October 2023, ENGlobal's stock (ENG) is trading at $2.50 per share, reflecting a market capitalization of approximately $35 million.

Future Outlook

Looking ahead, ENGlobal aims to expand its footprint in the renewable energy market, with projected revenue growth rates of 10-20% annually over the next five years, driven by increasing global demand for sustainable energy solutions.

How ENGlobal Corporation (ENG) Makes Money

Core Business Areas

ENGlobal Corporation operates primarily in the engineering services sector. They generate revenue through various business segments:

• Engineering Services
• Project Management
• Construction Management
• Facilities Management

Financial Performance

As of the latest financial reports for Q2 2023, ENGlobal's revenue reached approximately $29.5 million.

The following table illustrates the quarterly revenue breakdown for the past year:

Contract Awards

In 2023, ENGlobal secured several significant contracts that have impacted their revenue streams:

• A $13 million engineering contract with a major oil company.
• A $7 million project management contract for a renewable energy initiative.
• Multiple smaller contracts totaling approximately $5 million in various sectors.

Cost Structure

ENGlobal’s operational costs are primarily categorized into:

• Labor Costs
• Material Costs
• Administrative Expenses
• Research and Development

The following table summarizes the estimated cost breakdown for 2023:

Key Markets

ENGlobal primarily serves the following markets:

• Oil and Gas
• Renewable Energy
• Industrial
• Government Contracts

Recent Financial Metrics

As of Q2 2023, ENGlobal exhibited strong financial health with the following metrics:

• Net Income: $2.5 million
• Total Assets: $36.7 million
• Total Liabilities: $15.5 million
• Shareholder Equity: $21.2 million

Market Capitalization

As of October 2023, ENGlobal’s market capitalization was approximately $55 million.

Future Outlook

The company expects to continue increasing its revenue through expanding service offerings and entering new markets, particularly in sustainable energy.