NORWALK - EMCOR Group, Inc. (NYSE:EME) today announced a significant earnings beat for the second quarter of 2024, with a record diluted EPS of $5.25, surpassing analyst expectations by a notable $1.49.
The company's revenue also exceeded forecasts, coming in at $3.67 billion against the anticipated $3.52 billion. This performance marks a 20.4% increase in revenue compared to the same period last year, showcasing robust year-over-year (YoY) growth.
The company's second-quarter results were driven by exceptional performance in its Electrical and Mechanical Construction segments, which saw over 35% revenue growth. This success contributed to the company's decision to raise its full-year 2024 revenue guidance to $14.5 billion - $15.0 billion, up from the previous range of $14.0 billion - $14.5 billion.
Adjusted EPS guidance for the full year has also been increased to $19.00 - $20.00, significantly higher than the analyst consensus of $16.25.
EMCOR's Chairman, President, and CEO, Tony Guzzi, commented on the results, "We had an exceptional first half of the year, the Company maintained its excellent momentum in the second quarter and again set new records across key financial and operational metrics."
He attributed the strong performance to high demand for EMCOR's specialty contracting services and a robust pipeline, which supports a positive outlook for the remainder of the year.
The company's Remaining Performance Obligations as of June 30, 2024, stood at $9.0 billion, an 8.6% increase YoY, indicating a healthy backlog of work. Guzzi expressed confidence in the trajectory of the business, citing near-record levels of performance obligations and a robust pipeline as the basis for the raised financial guidance for 2024.
EMCOR's operating income for the quarter was $332.8 million, or 9.1% of revenues, up from $196.7 million, or 6.5% of revenues, in the second quarter of 2023. The company's income tax rate for the quarter was 27.0%, slightly lower than the 27.4% rate for the same quarter last year.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.