Overview

* Badger Q3 revenue grows 13% yr/yr, beating analyst expectations

* Adjusted EBITDA for Q3 beats analyst estimates, reflecting improved operational performance

* Company announces quarterly cash dividend for Q4 2025

Outlook

* Company anticipates 2025 hydrovac production at upper end of 180 to 210 units

* Badger expects 2025 capital spending to increase to $115 mln to $130 mln

* Company plans to develop a U.S. refurbishment facility operational in 2026

Result Drivers

* FLEET INVESTMENTS - Co attributes revenue growth to investments in fleet expansion supporting demand for non-destructive excavation services

* PRICING AND SALES STRATEGY - Disciplined pricing and targeted sales efforts drove revenue and fleet utilization, per CEO Rob Blackadar

* STRATEGIC EXECUTION - Successful execution of business strategies during peak season led to a 15% increase in Adjusted EBITDA

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Beat $237.35 $233.40

Revenue mln mln (2

Analysts

)

Q3 Net $29.02

Income mln

Q3 Beat $66.81 $65.40

Adjusted mln mln (5

EBITDA Analysts

)

Q3 28.20%

Adjusted

EBITDA

Margin

Q3 Basic $0.86

EPS

Q3 $37.94

Pretax mln

Profit

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 3 "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 Badger Infrastructure Solutions Ltd ( BDGIF ) is C$71.00, about 1.9% below its November 4 closing price of C$72.36

* The stock recently traded at 21 times the next 12-month earnings vs. a P/E of 17 three months ago

Press Release:

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)