Bowman announces record full year 2022 revenue and adjusted ebitda
Reston, va.--(business wire)--bowman consulting group ltd. (nasdaq: bwmn) (“bowman” or the “company”), a national engineering services firm supporting owners and developers of the built environment, today released record financial results for the year ended december 31, 2022. “during 2022, our first full year as a public company, we exceeded expectations and delivered on our commitment to strategic growth,” said gary bowman, chairman and ceo of bowman. “we generated record revenue, doubled our adjusted ebitda, added close to 700 professionals, and made meaningful progress on margin expansion. during the year we closed on eight acquisitions representing over $60 million of annualized revenue as of closing. demand for infrastructure related design and engineering continues to be strong across our markets, providing us continued optimism about our ability to grow and deliver on our strategic plans for 2023.” financial highlights for the three months ended december 31, 2022, compared to december 31, 2021: gross revenue of $75.6 million, compared to $41.9 million, an 80% increase year-over-year organic gross revenue growth1 of 30% net service billing2 of $66.2 million, compared to $37.8 million, a 75% increase year-over-year organic net service billing growth of 24% net income of $0.5 million, compared to a net loss of ($0.6) million adjusted ebitda2 of $9.4 million, compared to $3.5 million, a 169% increase adjusted ebitda margin, net 2 of 14.2%, compared to 9.4%, a 480 bps increase gross backlog2 of $243 million, compared to $167 million, a 46% increase financial highlights for the twelve months ended december 31, 2022, compared to december 31, 2021: gross revenue of $261.7 million, compared to $150.0 million, a 74% increase year-over-year organic gross revenue growth of 31% net service revenue1 of $235.2 million, compared to $134.9 million, 74% increase year-over-year organic net service billing growth of 26% net income of $5.0 million, compared to a net income of $0.3 million adjusted ebitda1 of $34.0 million, compared to $16.5 million, a 106% increase adjusted ebitda margin, net 1 of 14.5%, compared to 12.2%, a 230 bps increase business highlights during the fourth quarter 2022: closed on the acquisition of spatial acuity – november 2022 closed on the acquisition of sei engineering – november 2022 closed on the acquisition of h2h geoscience engineering – december 2022 increasing fy 2023 guidance the company is increasing its full year 2023 outlook for net service billing to be in the range of $280 to $295 million and adjusted ebitda in the range of $43 to $49 million. the current outlook for 2023 is based on completed acquisitions as of the date of this release and does not include contributions from any future acquisitions. management will discuss the company’s acquisition pipeline during its upcoming earnings call. fy 2022 earnings webcast bowman will host an earnings webcast to discuss the results of the quarter as follows: date: march 10, 2023 time: 9:00 a.m. eastern time hosts: gary bowman, chairman and ceo and bruce labovitz, chief financial officer where: http://investors.bowman.com revenue from acquired companies is reclassified as organic revenue in the first full quarter following the 12-month anniversary of closing. non-gaap financial metrics the company believes offer valuable perspective on results of operations. see non-gaap tables below for reconciliations. about bowman consulting group ltd. headquartered in reston, virginia, bowman is an established professional services firm delivering innovative engineering solutions to customers who own, develop, and maintain the built environment. with over 1,700 employees more than 65 locations throughout the united states, bowman provides a variety of planning, engineering, construction management, commissioning, environmental consulting, geomatics, survey, land procurement and other technical services to customers operating in a diverse set of regulated end markets. for more information, visit bowman.com or investors.bowman.com. forward-looking statements this press release may contain “forward-looking statements” within the meaning of the safe harbor provisions of the u.s. private securities litigation reform act of 1995. all statements contained in this press release other than statements of historical fact, including statements regarding our future results of operations and financial position, business strategy and plans and objectives for future operations, are forward-looking statements and represent our views as of the date of this press release. the words “anticipate”, “believe”, “continue”, “estimate”, “expect”, “intend”, “may”, “will”, “goal” and similar expressions are intended to identify forward-looking statements. we have based these forward-looking statements on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy, short-term and long-term business operations and objectives and financial needs, these forward-looking statements are subject to several assumptions and risks and uncertainties, many of which involve factors or circumstances that are beyond our control that could affect our financial results. the company cautions that these statements are qualified by important factors that could cause actual results to differ materially from those reflected by the forward-looking statements contained in this news release. such factors include: (a) changes in demand from the local and state government and private clients that we serve; (b) general economic conditions, nationally and globally, and their effect on the market for our services; (c) competitive pressures and trends in our industry and our ability to successfully compete with our competitors; (d) changes in laws, regulations, or policies; and (e) the “risk factors” set forth in the company’s most recent sec filings. considering these risks, uncertainties and assumptions, the future events and trends discussed in this press release may not occur and actual results could differ materially and adversely from those anticipates or implied in any forward-looking statements. except as required by law, we are under no obligation to update these forward-looking statements after the date of this press release, or to update the reasons if actual results differ materially from those anticipated in the forward-looking statements. non-gaap financial measures and other key metrics we supplement our consolidated financial statements, which are prepared and presented in accordance with gaap, with certain non-gaap financial measures, as described below, to help represent, explain, and understand our operating performance. these non-gaap financial measures may be different than similarly referenced measures used by other companies. the non-gaap measures are intended to enhance investors’ overall understanding and evaluation of our financial performance and should not be considered a substitute for, or superior to, the financial information prepared and presented in accordance with gaap. we present these non-gaap financial measures to assist investors in seeing our financial performance in a manner more aligned with management’s view and believe these measures provide additional tools by which investors can evaluate our core financial performance over multiple periods relative to other companies in our industry. reconciliations of non-gaap financial measures to the most directly comparable gaap financial measures are included in the financial tables accompanying this press release. $ 13,282 $ 20,619 64,443 38,491 16,321 9,189 1,016 1,260 7,068 4,850 102,130 74,409 25,104 20,202 30,264 - 53,210 28,471 903 903 1,417 1,218 27,950 12,286 13,759 - 1,020 681 $ 255,757 $ 138,170 $ 40,293 $ 17,921 6,370 4,623 10,168 4,450 - 724 6,949 - 5,297 5,136 69,077 32,854 356 - 16,276 8,407 - 4,179 28,087 - 14,254 10,020 4,848 - - 4,290 - 7 $ 132,898 $ 59,757 $ - $ - 159 137 162,922 120,842 578 - (20,831 ) (17,488 ) (173 ) (277 ) (19,796 ) (24,801 ) $ 122,859 $ 78,413 $ 255,757 $ 138,170 2022 2021 2022 2021 $ 75,609 $ 41,929 $ 261,714 $ 149,970 26,753 16,527 100,076 59,416 9,424 4,149 26,510 15,116 36,177 20,676 126,586 74,532 34,993 20,717 117,839 69,029 3,901 1,865 12,251 6,371 (39 ) (23 ) (82 ) (122 ) 38,855 22,559 130,008 75,278 577 (1,306 ) 5,120 160 1,297 734 3,384 1,440 (720 ) (2,040 ) 1,736 (1,280 ) (1,190 ) (1,441 ) (3,269 ) (1,579 ) $ 470 $ (599 ) $ 5,005 $ 299 67 - 783 56 $ 403 $ (599 ) $ 4,222 $ 243 $ 0.03 $ (0.07 ) $ 0.39 $ 0.03 $ 0.03 $ (0.07 ) $ 0.37 $ 0.03 11,538,128 9,073,424 10,887,620 7,525,206 12,234,109 9,073,424 11,683,758 7,635,615 2022 2021 $ 5,005 $ 299 8,363 5,974 3,888 397 (82 ) (122 ) 742 496 15,097 8,217 (18,049 ) (2,183 ) - 5 258 - (13,779 ) (8,802 ) (4,575 ) (387 ) (2,021 ) (2,251 ) (105 ) (31 ) 15,802 3,297 (1,374 ) (192 ) 9,170 4,717 (902 ) (905 ) 35 127 (5 ) (779 ) 49 36 (18,035 ) (20,345 ) 104 332 (18,754 ) (21,534 ) - 47,104 15,475 - - (3,481 ) (734 ) (722 ) (4,595 ) (1,084 ) (6,027 ) (4,663 ) - (2 ) - (75 ) (3,343 ) (582 ) 1,471 555 2,247 37,050 (7,337 ) 20,233 20,619 386 $ 13,282 $ 20,619 $ 1,896 $ 887 $ 400 1,921 $ (8,118 ) $ (8,877 ) - $ 139 $ (19,089 ) $ (10,200 ) 2022 2021 2022 2021 $ 75,609 $ 41,929 $ 261,714 $ 149,970 36,177 20,676 126,586 74,532 38,855 22,559 130,008 75,278 577 (1,306 ) 5,120 160 1,297 734 3,384 1,440 (1,190 ) (1,441 ) (3,269 ) (1,579 ) $ 470 $ (599 ) $ 5,005 $ 299 0.6 % -1.4 % 1.9 % 0.2 % $ 66,185 $ 37,780 $ 235,204 $ 134,854 9,415 3,534 34,022 16,485 14.2 % 9.4 % 14.5 % 12.2 % 2022 2021 2022 2021 $ 75,609 $ 41,929 $ 261,714 $ 149,970 9,424 4,149 26,510 15,116 $ 66,185 $ 37,780 $ 235,204 $ 134,854 2022 2021 2022 2021 $ 470 $ (599 ) $ 5,005 $ 299 1,234 268 2,457 918 3,901 1,865 12,251 6,371 (1,190 ) (1,441 ) (3,269 ) (1,579 ) $ 4,415 $ 93 $ 16,444 $ 6,009 3,922 2,876 15,409 8,217 - - - 1,555 439 - 654 - 639 565 1,515 704 $ 9,415 $ 3,534 $ 34,022 $ 16,485 14.2 % 9.4 % 14.5 % 12.2 % non-gaap financial metrics the company believes offer valuable perspective on results of operations. see non-gaap tables below for reconciliations. bowman consulting group ltd. gross contract revenue composition (amounts in thousands) 2022 % 2021 % 170,431 65.1% 105,242 70.2% 65,189 61.9% 44,846 17.1% 16,537 11.0% 28,309 171.2% 32,672 12.5% 22,525 15.0% 10,147 45.0% 13,765 5.3% 5,666 3.8% 8,099 142.9% 261,714 100.0% 149,970 100.0% 111,744 74.5% 2022 2021 193,251 73.8% 148,021 98.7% 45,230 30.6% 68,463 26.2% 1,949 1.3% 66,514 n/a 261,714 100.0% 149,970 100.0% 111,744 74.5% 2022 % 2021 % 44,338 58.6% 31,559 75.3% 12,779 40.5% 18,382 24.3% 3,845 9.2% 14,537 378.1% 8,302 11.0% 4,925 11.7% 3,377 68.6% 4,587 6.1% 1,600 3.8% 2,987 186.7% 75,609 100.0% 41,929 100.0% 33,680 80.3% 2022 % 2021 % 51,870 68.6% 39,980 95.4% 11,890 29.7% 23,739 31.4% 1,949 4.6% 21,790 n/a 75,609 100.0% 41,929 100.0% 33,680 80.3% revenue from acquired companies is reclassified as organic revenue in the first full quarter following the 12-month anniversary of closing. bowman consulting group ltd. gross backlog by category at december 31, 2022 51.2% 30.6% 13.4% 4.8% 100.0%
