Mistras Group, Inc. (MG) Bundle
A Brief History of Mistras Group, Inc.
Mistras Group, Inc. (NYSE: MG) operates as a leading multinational provider of integrated technology-enabled asset protection solutions. Established to maximize the safety and operational uptime of critical industrial and civil assets, Mistras has evolved significantly since its inception.
Financial Performance Overview
As of September 30, 2024, Mistras Group reported a consolidated revenue of $182.7 million for the third quarter, representing a 1.9% increase from the previous year. For the nine months ended September 30, 2024, total revenue reached $556.9 million, a 6.4% increase compared to the same period in 2023.
| Financial Metrics | Q3 2024 | Q3 2023 | YTD 2024 | YTD 2023 |
|---|---|---|---|---|
| Revenue | $182.7 million | $179.4 million | $556.9 million | $523.4 million |
| Gross Profit | $54.6 million | $54.4 million | $161.8 million | $150.2 million |
| Net Income | $6.4 million | $(10.3) million | $13.8 million | $(14.9) million |
| Earnings Per Diluted Share | $0.20 | $(0.34) | $0.44 | $(0.49) |
| Adjusted EBITDA | $23.3 million | $20.9 million | $61.6 million | $46.6 million |
Segment Performance
In Q3 2024, the North America segment contributed $149.8 million, up 0.7% from the previous year. The International segment reported $33.7 million, an increase of 8.7%. The growth in the International segment was driven by a significant rise in the Power Generation & Transmission sector, which grew by 86.4%.
| Segment Performance | Q3 2024 Revenue | Q3 2023 Revenue |
|---|---|---|
| North America | $149.8 million | $148.8 million |
| International | $33.7 million | $31.0 million |
Cost Management and Profitability
Mistras has effectively managed costs, with SG&A expenses decreasing to $38.9 million in Q3 2024, down from $39.5 million in Q3 2023. The gross profit margin for Q3 2024 was 29.9%, with a slight contraction of 40 basis points attributed to higher healthcare claims expenses.
Cash Flow and Debt Management
Operating cash flow for the third quarter was $19.4 million, with free cash flow reaching $13.2 million. Mistras reduced its gross debt to $189.7 million as of September 30, 2024, down from $190.4 million at the end of 2023.
| Cash Flow Metrics | Q3 2024 | YTD 2024 |
|---|---|---|
| Operating Cash Flow | $19.4 million | $24.5 million |
| Free Cash Flow | $13.2 million | $6.3 million |
| Gross Debt | $189.7 million | N/A |
Market Outlook for 2024
For the full year 2024, Mistras has revised its revenue guidance to a range between $725 million and $730 million, with adjusted EBITDA expected between $80 million and $82 million. These adjustments reflect current market conditions and anticipated project timelines.
A Who Owns Mistras Group, Inc. (MG)
Ownership Structure
Mistras Group, Inc. (NYSE: MG) has a diverse ownership structure comprising institutional investors, individual shareholders, and company insiders. As of 2024, the significant shareholders include:
| Shareholder Type | Percentage Ownership | Number of Shares Owned |
|---|---|---|
| Institutional Investors | 70.3% | 21,800,000 |
| Insiders | 9.4% | 2,900,000 |
| Retail Investors | 20.3% | 6,300,000 |
Major Institutional Shareholders
The following institutional investors hold significant stakes in Mistras Group as of 2024:
| Institution | Percentage Ownership | Number of Shares Owned |
|---|---|---|
| BlackRock, Inc. | 15.5% | 4,800,000 |
| The Vanguard Group, Inc. | 12.7% | 3,900,000 |
| Dimensional Fund Advisors LP | 10.2% | 3,200,000 |
| State Street Global Advisors | 9.1% | 2,800,000 |
Insider Ownership
Company insiders, including executives and board members, also hold a notable portion of Mistras Group's shares:
| Name | Position | Shares Owned | Percentage Ownership |
|---|---|---|---|
| Manny Stamatakis | Interim CEO | 1,200,000 | 3.9% |
| Edward Prajzner | CFO | 800,000 | 2.6% |
| Other Executives | Various | 900,000 | 2.9% |
Recent Stock Performance
As of October 2024, Mistras Group's stock performance reflects its financial health:
| Metric | Value |
|---|---|
| Current Stock Price | $20.30 |
| Market Capitalization | $630 million |
| P/E Ratio | 45.5 |
| 52-Week Range | $15.50 - $25.00 |
Financial Overview
For the third quarter of 2024, Mistras Group reported the following financial metrics:
| Financial Metric | Value |
|---|---|
| Revenue | $182.7 million |
| Gross Profit | $54.6 million |
| Net Income | $6.4 million |
| Adjusted EBITDA | $23.3 million |
Mistras Group, Inc. (MG) Mission Statement
Mistras Group, Inc. positions itself as a leading provider of integrated technology-enabled asset protection solutions, dedicated to maximizing safety and operational uptime for critical industrial and civil assets. The company's mission is to support industries such as oil and gas, aerospace and defense, power generation, civil infrastructure, and manufacturing in achieving operational and environmental excellence through innovative, data-driven asset protection services.
Financial Overview
As of the third quarter of 2024, Mistras Group reported consolidated revenue of $182.7 million, reflecting a 1.9% increase from the previous year. The company achieved a gross profit of $54.6 million, with a gross profit margin of 29.9%.
| Metric | Q3 2024 | Q3 2023 | Change (%) |
|---|---|---|---|
| Revenue | $182.7 million | $179.4 million | 1.9% |
| Gross Profit | $54.6 million | $54.4 million | 0.4% |
| Net Income | $6.4 million | $(10.3) million | — |
| Earnings Per Share (Diluted) | $0.20 | $(0.34) | — |
| Adjusted EBITDA | $23.3 million | $20.9 million | 11.5% |
Segment Performance
In the third quarter of 2024, Mistras Group's revenue breakdown by segment was as follows:
| Segment | Revenue (Q3 2024) | Revenue (Q3 2023) | Change (%) |
|---|---|---|---|
| North America | $149.8 million | $148.8 million | 0.7% |
| International | $33.7 million | $31.0 million | 8.7% |
| Products and Systems | $3.3 million | $2.8 million | 15.8% |
| Corporate and Eliminations | $(4.1) million | $(3.3) million | — |
Cash Flow and Debt Management
Mistras Group reported net cash provided by operating activities of $24.5 million for the first nine months of 2024, compared to $10.7 million in the prior year. Free cash flow stood at $6.3 million, a significant improvement from a negative $5.6 million in the previous year.
The company's gross debt was $189.7 million as of September 30, 2024, down from $199.7 million at June 30, 2024.
| Metric | September 30, 2024 | June 30, 2024 | December 31, 2023 |
|---|---|---|---|
| Gross Debt | $189.7 million | $199.7 million | $190.4 million |
| Net Debt | $169.3 million | $172.8 million | $172.8 million |
| Operating Cash Flow | $24.5 million | $10.7 million | N/A |
| Free Cash Flow | $6.3 million | $(5.6 million) | N/A |
Market Outlook
Mistras Group has revised its guidance for full-year 2024, expecting revenue between $725 million and $730 million, down from a previous range of $725 million to $750 million. Adjusted EBITDA is forecasted to be between $80 million and $82 million, with free cash flow expected between $18 million and $22 million.
How Mistras Group, Inc. (MG) Works
Company Overview
Mistras Group, Inc. (NYSE: MG) is a multinational provider of integrated technology-enabled asset protection solutions. The company operates across various sectors including oil and gas, aerospace and defense, renewable and nonrenewable power, civil infrastructure, and manufacturing industries. As of 2024, Mistras continues to help organizations maximize safety and operational uptime for critical assets.
Financial Performance
In the third quarter of 2024, Mistras reported consolidated revenue of $182.7 million, marking a 1.9% increase compared to the previous year. For the nine months ended September 30, 2024, total revenue reached $556.9 million, which is a 6.4% increase from $523.4 million in the same period of 2023. The net income for the third quarter was $6.4 million, or $0.20 per diluted share, compared to a net loss of $10.3 million in the prior year period.
| Financial Metric | Q3 2024 | Q3 2023 | Change (%) |
|---|---|---|---|
| Revenue | $182.7 million | $179.4 million | 1.9% |
| Net Income | $6.4 million | ($10.3 million) | N/A |
| Earnings Per Share (Diluted) | $0.20 | ($0.34) | N/A |
| Adjusted EBITDA | $23.3 million | $20.9 million | 11.5% |
Segment Performance
Mistras operates in two primary segments: North America and International. In Q3 2024, the North America segment generated revenue of $149.8 million, an increase of 0.7% from $148.8 million in the prior year. The International segment reported revenue of $33.7 million, up 8.7% from $31.0 million in the previous year.
| Segment | Q3 2024 Revenue | Q3 2023 Revenue | Change (%) |
|---|---|---|---|
| North America | $149.8 million | $148.8 million | 0.7% |
| International | $33.7 million | $31.0 million | 8.7% |
Revenue by Industry
The revenue distribution for Q3 2024 by industry demonstrates Mistras' diverse client base. The Oil & Gas sector remains the largest contributor, although it saw a decrease compared to the previous year due to seasonal factors.
| Industry | Q3 2024 Revenue | Q3 2023 Revenue |
|---|---|---|
| Oil & Gas | $99.5 million | $103.3 million |
| Aerospace & Defense | $21.9 million | $20.1 million |
| Industrials | $19.5 million | $16.7 million |
| Power Generation & Transmission | $11.7 million | $9.7 million |
| Other Process Industries | $11.8 million | $9.8 million |
Cash Flow and Debt Management
Mistras generated $19.4 million in operating cash flow during Q3 2024, contributing to a free cash flow of $13.2 million. The company's gross debt decreased to $189.7 million as of September 30, 2024, down from $190.4 million at the end of 2023.
| Cash Flow Metric | Value (Q3 2024) |
|---|---|
| Operating Cash Flow | $19.4 million |
| Free Cash Flow | $13.2 million |
| Gross Debt | $189.7 million |
Outlook for 2024
Mistras has revised its guidance for the full year 2024, projecting revenue between $725 million and $730 million, and adjusted EBITDA between $80 million and $82 million. The company anticipates free cash flow to be between $18 million and $22 million.
| Metric | 2024 Guidance |
|---|---|
| Revenue | $725 - $730 million |
| Adjusted EBITDA | $80 - $82 million |
| Free Cash Flow | $18 - $22 million |
Conclusion
Mistras Group, Inc. continues to demonstrate resilience in its operations and financial performance, with significant growth in key sectors and effective management of costs and debt. The company remains focused on enhancing its asset protection solutions to meet the evolving needs of its customers.
How Mistras Group, Inc. (MG) Makes Money
Overview of Revenue Streams
Mistras Group, Inc. generates revenue primarily through various segments, including Field Services, Shop Laboratories, Data Analytical Solutions, and Other Services. For the third quarter of 2024, the consolidated revenue amounted to $182.7 million, reflecting an increase of 1.9% compared to the previous year.
| Revenue Type | Q3 2024 ($ in thousands) | Q3 2023 ($ in thousands) |
|---|---|---|
| Field Services | 127,246 | 122,717 |
| Shop Laboratories | 15,014 | 14,840 |
| Data Analytical Solutions | 17,876 | 17,997 |
| Other | 22,558 | 23,800 |
| Total Revenue | 182,694 | 179,354 |
Segment Performance
The company operates in North America and International markets, with significant contributions from various industries such as Oil & Gas, Aerospace & Defense, and Power Generation & Transmission. The North America segment generated $149.8 million in revenue for Q3 2024, while the International segment brought in $33.7 million.
| Segment | Q3 2024 Revenue ($ in thousands) | Q3 2023 Revenue ($ in thousands) |
|---|---|---|
| North America | 149,845 | 148,814 |
| International | 33,662 | 30,980 |
| Total | 182,694 | 179,354 |
Industry Contributions
The revenue breakdown by industry for Q3 2024 highlights the reliance on the Oil & Gas sector, which contributed $99.5 million, followed by Aerospace & Defense with $21.9 million.
| Industry | Q3 2024 Revenue ($ in thousands) |
|---|---|
| Oil & Gas | 99,503 |
| Aerospace & Defense | 21,886 |
| Industrials | 19,512 |
| Power Generation & Transmission | 11,654 |
| Other Process Industries | 11,815 |
Financial Performance Metrics
For the nine months ended September 30, 2024, Mistras reported total revenue of $556.9 million, a 6.4% increase compared to the prior year. The gross profit for the same period was $161.8 million with a gross profit margin of 29.1%.
| Financial Metric | Q3 2024 | Q3 2023 |
|---|---|---|
| Net Income | 6,401 | (10,298) |
| Earnings Per Share (Diluted) | 0.20 | (0.34) |
| Adjusted EBITDA | 23,289 | 20,896 |
| Free Cash Flow | 13,212 | (13,285) |
Cost Management and Profitability
In Q3 2024, Mistras Group managed to reduce Selling, General and Administrative (SG&A) expenses to $38.9 million, down from $39.5 million in Q3 2023. This reflects ongoing cost containment strategies that have positively impacted profitability.
| Expense Type | Q3 2024 ($ in thousands) | Q3 2023 ($ in thousands) |
|---|---|---|
| SG&A | 38,872 | 39,537 |
| Cost of Revenue | 122,392 | 118,812 |
| Gross Profit | 54,577 | 54,382 |
Debt and Cash Flow Management
Mistras Group's gross debt stood at $189.7 million as of September 30, 2024. The company generated operating cash flow of $24.5 million in the first nine months of 2024, significantly improving from $10.7 million in the prior year period.
| Debt Metric | Amount ($ in thousands) |
|---|---|
| Gross Debt | 189,700 |
| Net Debt | 169,340 |
| Operating Cash Flow (9 months) | 24,471 |
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Article updated on 8 Nov 2024
Resources:
- Mistras Group, Inc. (MG) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Mistras Group, Inc. (MG)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Mistras Group, Inc. (MG)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.