nvee20180307_8k.htm

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

 

 

 

 

FORM 8-K

 

 

 

 

CURRENT REPORT PURSUANT

TO SECTION 13 OR 15(d) OF

THE SECURITIES EXCHANGE ACT OF 1934

 

Date of Report (Date of earliest event reported) March 8, 2018

 

NV5 GLOBAL, INC.

(Exact Name of Registrant as Specified in Its Charter)

   

  

  

Delaware

001-35849

45-3458017

(State or Other Jurisdiction

of Incorporation)

(Commission File Number)

(I.R.S. Employer Identification No.)

 

 

  

  

  

200 South Park Road, Suite 350

Hollywood, Florida

  

33021

(Address of Principal Executive Offices)

  

(Zip Code)

(954) 495-2112

(Registrant’s Telephone Number, Including Area Code)

 n/a

(Former Name or Former Address, if Changed Since Last Report)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

 

[_]

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

[_]

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

[_]

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

[_]

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 Indicate by check mark whether the registrant is an emerging growth company as defined in as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

 

Emerging growth company ☒

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

 

 

 

 

Item 2.02

Results of Operations and Financial Condition.

 

On March 8, 2018, NV5 Global, Inc. (the “Company”) reported its financial results for the quarter ended and the year ended December 30, 2017. The information contained in this Item 2.02 (including Exhibit 99.1) is furnished pursuant to Item 2.02 and shall not be deemed to be “filed” for the purpose of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section.

 

The Company does not have, and expressly disclaims, any obligation to release publicly any updates or any changes in the Company’s expectations or any change in events, conditions, or circumstances on which any forward-looking statement is based, except as required by law.

 

 

Item9.01

Financial Statements and Exhibits.

 

 

(d) Exhibits.

 

 

Exhibit

No. 

 

Description

 

 

 

99.1

 

Press Release dated December 30, 2017.

  

2

 

 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

Dated: March 8, 2018

 

 

NV5 GLOBAL, INC.

 

 

 

By:      /s/ Michael P. Rama                                     

Name: Michael P. Rama

Title: Vice President and Chief Financial Officer

 

3

ex_107240.htm

Exhibit 99.1

 

 

 

NV5 ANNOUNCES EXCEPTIONAL FOURTH QUARTER AND FULL YEAR 2017 FINANCIAL RESULTS; ISSUES 2018 GUIDANCE

 

Hollywood, FL – March 8, 2018 – NV5 Global, Inc. (Nasdaq: NVEE) (“NV5” or the “Company”), a provider of professional and technical engineering and consulting solutions, today reported financial results for the fourth quarter and year ended December 30, 2017.

 

 

Fourth Quarter 2017 Financial Highlights

 

 

Total Revenues for the quarter were $95.1 million, an increase of 48% year-over-year. Gross Revenues – GAAP for the quarter were $94.0 million, an increase of 49% year-over-year.

 

Net Revenues for the quarter were $73.2 million, an increase of 43% year-over-year

 

Organic revenue growth in the fourth quarter of 2017 was 6%.

 

EBITDA for the quarter was $11.8 million or 16% of Net Revenues, compared to $7.0 million or 14% of Net Revenues in the fourth quarter of 2016.

 

Fourth quarter of 2017 net income and earnings per share reflect a one-time tax benefit of approximately $5.9 million reflecting the impact from the enactment on December 22, 2017 of the Tax Cuts and Jobs Act of 2017 (“2017 Tax Reform”).

 

Net Income for the quarter was $11.5 million, a 250% increase from $3.3 million in the fourth quarter of 2016. Excluding the impact of the 2017 Tax Reform Net Income would have been $5.6 million, an increase of 71% compared to the fourth quarter of 2016.

 

Adjusted EPS for the quarter was $1.26 per diluted share, an increase of 207% from $0.41 per diluted share in the fourth quarter of 2016. Excluding the impact of the 2017 Tax Reform Adjusted EPS would have been $0.71 per share, an increase of 73% compared to the fourth quarter of 2016.

 

GAAP EPS for the quarter was $1.06 per diluted share over 10.9 million shares, an increase of 242% from $0.31 per diluted share over 10.5 million shares in the fourth quarter of 2016. Excluding the impact of the 2017 Tax Reform GAAP EPS would have been $0.51 per share, an increase of 65% compared to the fourth quarter of 2016.

 

Backlog was $296 million as of December 30, 2017, a 34% increase from $221 million as of December 31, 2016.

 

 

“We are very pleased to announce an exceptional performance of our fourth quarter and Full Year 2017 results and we are looking forward to increased organic, acquisition and strategic growth for 2018. Our success in the fourth quarter and Full Year 2017 was reflected in our strong backlog, profitability, and substantial growth in our strategic geographic presence and service offerings,” said Dickerson Wright, PE Chairman and CEO of NV5. “Our fourth quarter revenues were the highest of any quarter. This is noteworthy as the fourth quarter is typically our second slowest quarter based on seasonality. In the fourth quarter, revenues increased 48%, EBITDA increased 70% and Net Income increased 250%. In the Full Year 2017, revenues increased 48%, EBITDA increased 61%, and Net Income increased 107%. Our acquisition pipeline is very strong and we are pleased with the management structure we have in place to ensure operational growth in both our Infrastructure and Buildings, Technology and Sciences groups.”

 

1

 

 

Total Revenues for the fourth quarter of 2017 were $95.1 million, a 48% increase from the fourth quarter of 2016. Total Revenues includes intercompany revenues where the Company performed the services in lieu of using a third-party sub-consultant. Gross Revenues - GAAP for the fourth quarter of 2017 were $94.0 million, a 49% increase from the fourth quarter of 2016. Net Revenues for the fourth quarter of 2017 were $73.2 million, an increase of 43% from the fourth quarter of 2016.

 

EBITDA for the fourth quarter of 2017 was $11.8 million or 16% of Net Revenues, an increase of 70% from $7.0 million or 14% of Net Revenues for the fourth quarter of last year.

 

Adjusted EPS for the fourth quarter of 2017 was $1.26 per diluted share compared to $0.41 per diluted share in the fourth quarter of 2016. Excluding the impact of the 2017 Tax Reform Adjusted EPS would have been $0.71 per share, an increase of 73% compared to the fourth quarter of 2016. Net Income for the fourth quarter of 2017 was $11.5 million, resulting in GAAP EPS of $1.06 per diluted share, compared to net income of $3.3 million, or $0.31 per diluted share in the fourth quarter of 2016. Excluding the impact of the 2017 Tax Reform Net Income would have been $5.6 million and GAAP EPS would have been $0.51 per share.

 

GAAP EPS and Adjusted EPS reflect weighted-average shares outstanding of 10,867,713 for the fourth quarter of 2017, compared to weighted-average shares outstanding of 10,507,542 for the fourth quarter of 2016.

 

 

Full Year 2017 Financial Highlights

 

 

Full Year 2017 Total Revenues were $337.5 million, an increase of 48% from Full Year 2016 Total Revenues of $228.7 million. Gross Revenues – GAAP were $333.0 million for Full Year 2017, an increase of 49% from $223.9 million in Full Year 2016.

 

Net Revenues for Full Year 2017 were $268.3 million, an increase of 48% from $181.5 million in Full Year 2016.

 

Organic revenue growth for Full Year 2017 was 5%.

 

Full Year 2017 Gross Margin was 50% compared to 48% for the Full Year 2016.

 

EBITDA for Full Year 2017 was $39.7 million, or 15% of Net Revenues, compared to $24.6 million or 14% of Net Revenues in 2016.

 

Full Year 2017 Net Income and earnings per share reflect a one-time tax benefit of approximately $5.9 million reflecting the impact of 2017 Tax Reform.

 

Net Income was $24.0 million, an increase of 107% from $11.6 million for Full Year 2016. Excluding the impact of the 2017 Tax Reform Net Income would have been $18.1 million, an increase of 56% compared to Full-Year 2016.

 

Adjusted EPS for Full Year 2017 was $2.93 per diluted share, an increase of 92% from $1.53 per diluted share for Full Year 2016. Excluding the impact of the 2017 Tax Reform Adjusted EPS would have been $2.38 per share, an increase of 56% compared to the Full Year 2016.

 

GAAP EPS for Full Year 2017 was $2.23 over 10.8 million shares, an increase of 83%. compared to $1.22 per diluted share over 9.5 million shares for Full Year 2016. Excluding the impact of the 2017 Tax Reform GAAP EPS would have been $1.68 per share, an increase of 38% compared to the Full Year 2016.

 

2

 

 

Total Revenues for 2017 were $337.5 million, a 48% increase from 2016. Total Revenues include intercompany revenues where the Company performed the services in lieu of using a third-party sub-consultant. Gross Revenues - GAAP for Full Year 2017 were $333.0 million, a 49% increase from 2016. Net Revenues for Full Year 2017 were $268.3 million, an increase of 48% from 2016.

 

Gross Margin for the Full Year 2017 was 50% compared to 48% for 2016, which is the result of increased use of our billable professional employees and reduced use of sub-consultants to perform services.

 

EBITDA for 2017 was $39.7 million or 15% of Net Revenues, an increase of 61% compared to $24.6 million or 14% of Net Revenues for 2016.

 

Adjusted EPS for 2017 was $2.93 per diluted share versus $1.53 per diluted share for 2016. Excluding the impact of the 2017 Tax Reform Adjusted EPS would have been $2.38 per share, an increase of 56% compared to the Full Year 2016. Net Income for 2017 was $24.0 million, resulting in GAAP EPS of $2.23 per diluted share, compared to Net Income of $11.6 million, or $1.22 per diluted share for 2016. Excluding the impact of the 2017 Tax Reform Net Income would have been $18.1 million, $2.38 per diluted share and GAAP EPS would have been $1.68 per share for the Full-Year 2017.

 

GAAP EPS and Adjusted EPS reflect weighted-average shares outstanding of 10,777,806 for the Full Year 2017, compared to weighted-average shares outstanding of 9,540,051 for 2016.

 

At December 30, 2017, our cash and cash equivalents were $18.8 million compared to $35.7 million as of December 31, 2016.

 

At December 30, 2017, the Company reported backlog of $296 million, an increase of 34% from $221 million as of December 31, 2016.

 

 

2018 Outlook

 

The Company is initiating guidance for Full Year 2018 Gross Revenues, Net Revenues, Adjusted EPS and GAAP EPS, including the impact of acquisitions closed through February 28, 2018. The Company expects Gross Revenues will range from $370 million to $405 million, which represents an increase of 11% to 22% from 2017 Total Revenues of $333 million. Net Revenues is expected to range from $296 million to $324 million, which represents an increase of 10% to 21% from 2017 Net Revenues of $268 million. The Company expects that Full-Year 2018 Adjusted EPS will range from $2.92 per share to $3.21 per share, an increase of 23% to 35%. Furthermore, the Company expects that Full Year 2018 GAAP EPS will range from $2.20 per share to $2.47 per share. This guidance for Total Revenues, Net Revenues, Adjusted EPS and GAAP EPS excludes anticipated acquisitions for the remainder of 2018.

 

3

 

 

Use of Non-GAAP Financial Measures

 

Total Revenues and Net Revenues are not measures of financial performance under U.S. generally accepted accounting principles (“GAAP”). Gross Revenues – GAAP include sub-consultant costs and other direct costs which are generally pass-through costs. Furthermore, Gross Revenues – GAAP eliminates intercompany revenues where the Company performed the service in lieu of using a third-party sub-consultant. Therefore, the Company believes that Total Revenues and Net Revenues, which are non-GAAP financial measures commonly used in our industry, provide a meaningful perspective on its business results. A reconciliation of gross revenues as reported in accordance with GAAP to Total Revenues and Net Revenues is provided at the end of this news release.

 

Earnings before interest, taxes, depreciation and amortization (“EBITDA”) is not a measure of financial performance under GAAP. Management believes EBITDA, in addition to operating profit, net income and other GAAP measures, is a useful indicator of NV5’s financial and operating performance and its ability to generate cash flows from operations that are available for taxes, capital expenditures and debt service. A reconciliation of net income as reported in accordance with GAAP to EBITDA is provided at the end of this news release.

 

Adjusted earnings per diluted share data (“Adjusted EPS”) is not a measure of financial performance under GAAP. Adjusted EPS reflects adjustments to reported diluted earnings per share (“GAAP EPS”) data to eliminate amortization expense of intangible assets from acquisitions, net of tax benefits. As the Company continues its acquisition strategy, the growth in Adjusted EPS will likely increase at a greater rate than GAAP EPS as reported in accordance with GAAP. A reconciliation of GAAP EPS as reported in accordance with GAAP to Adjusted EPS is provided at the end of this news release.

 

NV5’s definition of Total Revenues, Net Revenues, EBITDA and Adjusted EPS may differ from other companies reporting similarly named measures. These measures should be considered in addition to, and not as a substitute for, or superior to, other measures of financial performance prepared in accordance with GAAP, such as contract revenues, net income and diluted earnings per share.

 

 

 

Conference Call

 

NV5 will host a conference call to discuss its fourth quarter and Full Year 2017 financial results at 4:30 p.m. (Eastern Time) on March 8, 2018.

 

Date:

Thursday, March 8, 2018

Time:

4:30 p.m. Eastern

Toll-free dial-in number:

+1 844-348-6875

International dial-in number:

+1 509-844-0152

Conference ID:

2078309

Webcast:

http://ir.nv5.com

 

 

Please dial-in at least 5-10 minutes prior to the start time in order for the operator to log your name and connect you to the conference.

 

The conference call will be webcast live and available for replay via the “Investors” section of the NV5 website.

 

4

 

 

About NV5

 

NV5 Global, Inc. (NASDAQ: NVEE) is a provider of professional and technical engineering and consulting solutions to public and private sector clients in the infrastructure, energy, construction, real estate and environmental markets. NV5 primarily focuses on five business verticals: construction quality assurance, infrastructure engineering and support services, energy, program management, and environmental solutions. The Company operates out of more than 100 locations nationwide and in Macau, Hong Kong and the UAE. For additional information, please visit the Company’s website at www.NV5.com. Also visit the Company on Twitter, LinkedIn, Facebook, and Vimeo.

 

Forward-Looking Statements

 

This press release contains “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. The Company cautions that these statements are qualified by important factors that could cause actual results to differ materially from those reflected by the forward-looking statements contained in this news release and on the conference call. Such factors include: (a) changes in demand from the local and state government and private clients that we serve; (b) general economic conditions, nationally and globally, and their effect on the market for our services; (c) competitive pressures and trends in our industry and our ability to successfully compete with our competitors; (d) changes in laws, regulations, or policies; and (e) the “Risk Factors” set forth in the Company’s most recent SEC filings. All forward-looking statements are based on information available to the Company on the date hereof, and the Company assumes no obligation to update such statements, except as required by law.

 

 

 

Investor Relations Contact

 

NV5 Global, Inc.

Jenna Carrick

Corporate Affairs Manager

Tel: +1-916-641-9124

Email: ir@nv5.com

 

 

Source: NV5 Global, Inc.

 

5

 

 

NV5 GLOBAL, INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(in thousands, except share data)

(Unaudited)

 

   

December 30, 2017

   

December 31, 2016

 

Assets

               

Current assets:

               

Cash and cash equivalents

  $ 18,751     $ 35,666  

Accounts receivable, net of allowance for doubtful accounts of $3,642 and $1,992 as of December 30, 2017 and December 31, 2016, respectively

    110,087       75,511  

Prepaid expenses and other current assets

    2,555       1,874  

Total current assets

    131,393       113,051  

Property and equipment, net

    8,731       6,683  

Intangible assets, net

    65,754       40,861  

Goodwill

    98,899       59,380  

Other assets

    1,003       1,511  

Total Assets

  $ 305,780     $ 221,486  
                 

Liabilities and Stockholders’ Equity

               

Current liabilities:

               

Accounts payable

  $ 18,373     $ 13,509  

Accrued liabilities

    18,994       17,316  

Income taxes payable

    6,102       1,134  

Billings in excess of costs and estimated earnings on uncompleted contracts

    665       228  

Client deposits

    197       106  

Current portion of contingent consideration

    977       564  

Current portion of notes payable and other obligations

    11,127       10,764  

Total current liabilities

    56,435       43,621  

Contingent consideration, less current portion

    913       1,875  

Notes payable and other obligations, less current portion

    57,430       21,632  

Deferred income tax liabilities, net

    10,905       6,197  

Total liabilities

    125,683       73,325  
                 

Commitments and contingencies

               
                 

Stockholders’ equity:

               

Preferred stock, $0.01 par value; 5,000,000 shares authorized, no shares issued and outstanding

    -       -  

Common stock, $0.01 par value; 45,000,000 shares authorized, 10,779,246 and 10,566,528 shares issued and outstanding as of December 30, 2017 and December 31, 2016, respectively

    108       106  

Additional paid-in capital

    125,954       118,026  

Retained earnings

    54,035       30,029  

Total stockholders’ equity

    180,097       148,161  

Total liabilities and stockholders’ equity

  $ 305,780     $ 221,486  

 

6

 

 

NV5 GLOBAL, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF NET INCOME AND COMPREHENSIVE INCOME

(in thousands, except share data)

(Unaudited)

 

   

Three Months Ended

   

Years Ended

 
   

December 30,

   

December 31,

   

December 30,

   

December 31,

 
   

2017

   

2016

   

2017

   

2016

 
                                 

Gross revenues

  $ 93,976     $ 63,022     $ 333,034     $ 223,910  
                                 

Direct costs (excluding depreciation and amortization):

                               

Salaries and wages

    27,776       20,222       103,011       73,966  

Sub-consultant services

    16,452       8,808       50,171       31,054  

Other direct costs

    4,322       3,101       14,598       11,310  

Total direct costs

    48,550       32,131       167,780       116,330  
                                 

Gross Profit

    45,426       30,891       165,254       107,580  
                                 

Operating Expenses:

                               

Salaries and wages, payroll taxes and benefits

    23,375       15,011       86,222       55,586  

General and administrative

    6,816       6,711       26,747       19,351  

Facilities and facilities related

    3,427       2,209       12,589       8,012  

Depreciation and amortization

    3,586       1,943       13,128       6,228  

Total operating expenses

    37,204       25,874       138,686       89,177  
                                 

Income from operations

    8,222       5,017       26,568       18,403  
                                 

Interest expense

    (893 )     (36 )     (1,935 )     (257 )
                                 

Income before income tax benefit (expense)

    7,329       4,981       24,633       18,146  

Income tax benefit (expense)

    4,176       (1,692 )     (627 )     (6,539 )

Net Income and Comprehensive Income

  $ 11,505     $ 3,289     $ 24,006     $ 11,607  
                                 

Earnings per share:

                               

Basic

  $ 1.12     $ 0.33     $ 2.36     $ 1.27  

Diluted

  $ 1.06     $ 0.31     $ 2.23     $ 1.22  
                                 

Weighted average common shares outstanding:

                               

Basic

    10,243,409       10,015,895       10,178,901       9,125,167  

Diluted

    10,867,713       10,507,542       10,777,806       9,540,051  

 

7

 

 

NV5 GLOBAL, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

(in thousands)

 

 

   

Years Ended

 
   

December 30, 2017

   

December 31, 2016

 

Cash Flows From Operating Activities:

               

Net income

  $ 24,006     $ 11,607  

Adjustments to reconcile net income to net cash provided by operating activities:

               

Depreciation and amortization

    13,128       6,228  

Provision for doubtful accounts

    586       138  

Stock based compensation

    4,011       2,343  

Change in fair value of contingent consideration

    (832 )     201  

Loss on disposal property and equipment

    35       14  

Excess tax benefit from stock based compensation

    -       (892 )

Deferred income taxes

    (11,242 )     (1,837 )

Changes in operating assets and liabilities, net of impact of acquisitions:

               

Accounts receivable

    (14,713 )     (7,681 )

Prepaid expenses and other assets

    295       920  

Accounts payable

    (1,495 )     3,047  

Accrued liabilities

    (2,442 )     (243 )

Income taxes payable

    4,969       1,212  

Billings in excess of costs and estimated earnings on uncompleted contracts

    436       (65 )

Client deposits

    883       221  

Net cash provided by operating activities

    17,625       15,213  
                 

Cash Flows From Investing Activities:

               

Cash paid for acquisitions (net of cash received from acquisitions)

    (60,633 )     (45,811 )

Purchase of property and equipment

    (2,239 )     (985 )

Net cash used in investing activities

    (62,872 )     (46,796 )
                 

Cash Flows From Financing Activities:

               

Proceeds from borrowings from Senior Credit Facility

    47,000       -  

Proceeds from secondary offering

    -       51,319  

Payments of borrowings from Senior Credit Facility

    (10,500 )     -  

Payments of secondary offering costs

    -       (4,173 )

Payments on notes payable

    (7,605 )     (4,594 )

Payments of contingent consideration

    (563 )     (296 )

Excess tax benefit from stock based compensation

    -       892  

Payments of debt issuance costs

    -       (383 )

Proceeds from exercise of unit warrant

    -       1,008  

Net cash provided by financing activities

    28,332       43,773  
                 
                 

Net (decrease) increase in Cash and Cash Equivalents

    (16,915 )     12,190  

Cash and cash equivalents – beginning of period

    35,666       23,476  

Cash and cash equivalents – end of period

  $ 18,751     $ 35,666  

 

8

 

 

NV5 GLOBAL, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

(in thousands)

 

 

   

Years Ended

 
   

December 30, 2017

   

December 31, 2016

 
                 

Supplemental disclosures of cash flow information:

               

Cash paid for interest

  $ 1,508     $ 272  

Cash paid for income taxes

  $ 7,607     $ 7,334  
                 

Non-cash investing and financing activities:

               

Contingent consideration (earn-out)

  $ 908     $ 1,417  

Notes payable and other obligations issued for acquisitions

  $ 9,371     $ 25,833  

Stock issuance for acquisitions

  $ 3,856     $ 4,239  

Payment of contingent consideration with common stock

  $ 63     $ 162  

 

9

 

 

NV5 GLOBAL, INC. AND SUBSIDIARIES

RECONCILIATION OF GROSS REVENUES TO TOTAL REVENUES

(Unaudited)

(in thousands)

 

 

     

Three Months Ended

   

Years Ended

 
     

December 30,

   

December 31,

   

December 30,

   

December 31,

 
     

2017

   

2016

   

2017

   

2016

 

Gross Revenues - GAAP

  $ 93,976     $ 63,022     $ 333,034     $ 223,910  

Add:

Intercompany revenues in lieu of sub-consultants

    1,123       1,171       4,508       4,822  

Total Revenues

  $ 95,099     $ 64,193     $ 337,542     $ 228,732  

 

10

 

 

NV5 GLOBAL, INC. AND SUBSIDIARIES

RECONCILIATION OF GROSS REVENUES TO NET REVENUES

(Unaudited)

(in thousands)

 

  

     

Three Months Ended

   

Years Ended

 
     

December 30,

   

December 31,

   

December 30,

   

December 31,

 
     

2017

   

2016

   

2017

   

2016

 

Gross Revenues - GAAP

  $ 93,976     $ 63,022     $ 333,034     $ 223,910  

Less:

Sub-consultant services

    (16,452 )     (8,808 )     (50,171 )     (31,054 )
 

Other direct costs

    (4,322 )     (3,101 )     (14,598 )     (11,310 )

Net Revenues

  $ 73,202     $ 51,113     $ 268,265     $ 181,546  

 

11

 

 

NV5 GLOBAL, INC. AND SUBSIDIARIES

RECONCILIATION OF GAAP NET INCOME TO EBITDA

(Unaudited)

(in thousands)

 

 

     

Three Months Ended

   

Years Ended

 
     

December 30,

   

December 31,

   

December 30,

   

December 31,

 
     

2017

   

2016

   

2017

   

2016

 

Net Income

  $ 11,505     $ 3,289     $ 24,006     $ 11,607  

Add:

Interest expense

    893       36       1,935       257  
 

Income tax expense

    (4,176 )     1,692       627       6,539  
 

Depreciation and Amortization

    3,586       1,943       13,128       6,228  

EBITDA

  $ 11,808     $ 6,960     $ 39,696     $ 24,631  

 

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NV5 GLOBAL, INC. AND SUBSIDIARIES

RECONCILIATION OF GAAP EPS TO ADJUSTED EPS

(Unaudited)

 

 

     

Three Months Ended

   

Years Ended

 
     

December 30,

   

December 31,

   

December 30,

   

December 31,

 
     

2017

   

2016

   

2017

   

2016

 
                                   

Net Income - per diluted share

  $ 1.06     $ 0.31     $ 2.23     $ 1.22  
                                   

Per diluted share adjustments:

                               

Add:

Amortization expense of intangible assets

    0.26       0.15       0.96       0.48  
 

Income tax expense

    (0.06 )     (0.05 )     (0.26 )     (0.17 )

Adjusted EPS

  $ 1.26     $ 0.41     $ 2.93     $ 1.53  
                                   

Less:

Impact of 2017 Tax Reform

    (0.55 )     -       (0.55 )     -  

Adjusted EPS, excluding impact of 2017 Tax Reform

  $ 0.71     $ 0.41     $ 2.38     $ 1.53  

 

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