Canada's Bird Construction Q2 adjusted EPS misses estimates

Overview

• Bird Q2 construction revenue falls 2.6% yr/yr

• Adjusted EPS and adjusted EBITDA miss analyst expectations, per LSEG data

Outlook

• Bird expects Q3 delays similar to Q2 due to market conditions

• Company remains confident in 2027 Strategic Plan targets

Result Drivers

• PROJECT DELAYS - Temporary project delays due to clients adapting to changing market conditions impacted Q2 revenue, which fell 2.6% year-over-year

• MARGIN IMPROVEMENT - Gross profit percentage improved to 10.6% from 8.6% in the prior year, despite revenue decline

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the construction & engineering peer group is "buy"

• Wall Street's median 12-month price target for Bird Construction Inc is C$35.00, about 13.4% above its August 12 closing price of C$30.32

• The stock recently traded at 61 times the next 12-month earnings vs. a P/E of 42 three months ago

Press Release: ID:nGNX7p7b4k