Thursday, February 17, 2022

Great Lakes Dredge & Dock (GLDD)
Strong Finish to Year and Positive 2022 Outlook Intact

Great Lakes Dredge & Dock Corp is a provider of dredging services in the United States. The company only’s operating segments is Dredging. Dredging involves the enhancement or preservation of navigability of waterways or the protection of shorelines through the removal or replenishment of soil, sand or rock. Its projects portfolio includes Coastal Restoration, Coastal Protection, Port expansion, and others.

Poe Fratt, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Strong finish to year. 4Q2021 results ahead of expectations due to solid execution and less COVID-19 issues which more than offset late-quarter weather issues in the Northeast. Revenue of $210 million was ~$15 million lower than expected, but gross margin expanded to $53.0 million with gross margin improving to 25%. After a couple of weaker quarters, it was the strongest quarter in almost two years.


Recovery expected this year.  Fine tuning 2022 EBITDA estimate. With moderating COVID-19 costs, we estimate that 2022 EBITDA will recover to $144.2 million. More than 80% of current backlog should be converted to revenue this year and 1Q2022 awards of $48 million are shorter term. Three factors create headwinds this year, including dry docking activity, higher offshore wind support infrastructure …

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary.  Proper due diligence is required before making any investment decision.