Overview

* NACG Q2 revenue rises 16%, misses analyst expectations, per LSEG data

* Adjusted EPS and EBITDA for Q2 miss consensus

* Co remains positive about long-term growth targets despite near-term challenges

Outlook

* NACG maintains 2025 revenue guidance, supported by backlog

* Company adjusts 2025 EBITDA guidance to C$190-C$210 mln, down from C$205-C$225 mln

* Company targets 5%-10% annual organic revenue growth beyond 2025

Result Drivers

* HEAVY EQUIPMENT AUSTRALIA - Revenue increased 14% due to expanded fleet and new copper mine project

* HEAVY EQUIPMENT CANADA - Revenue rose 20% driven by reclamation activities and stream diversion project

* DISRUPTIONS - Gross profit impacted by subcontractor labor reliance in Australia and customer-requested shutdown in Canada

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Miss C$320.63 C$334.90

Revenue mln mln (7

Analysts

)

Q2 Miss C$0.02 C$0.81

Adjusted (3

EPS Analysts

)

Q2 Miss C$80.11 C$94.20

Adjusted mln mln (8

EBITDA Analysts

)

Q2 Gross C$35.83

Profit mln

Q2 C$22.79

Operatin mln

g Income

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the oil related services and equipment peer group is "buy"

* Wall Street's median 12-month price target for North American Construction Group Ltd ( NOA ) is C$36.00, about 37.1% above its August 12 closing price of C$22.65

* The stock recently traded at 6 times the next 12-month earnings vs. a P/E of 5 three months ago

Press Release:

(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.)