Cover
Cover - shares | 9 Months Ended | |
Sep. 30, 2022 | Oct. 27, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2022 | |
Document Transition Report | false | |
Entity File Number | 1-6314 | |
Entity Registrant Name | Tutor Perini Corporation | |
Entity Incorporation, State or Country Code | MA | |
Entity Tax Identification Number | 04-1717070 | |
Entity Address, Address Line One | 15901 OLDEN STREET | |
Entity Address, City or Town | SYLMAR | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 91342-1093 | |
City Area Code | 818 | |
Local Phone Number | 362-8391 | |
Title of 12(b) Security | Common Stock, $1.00 par value | |
Trading Symbol | TPC | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding (in shares) | 51,485,216 | |
Document Fiscal Period Focus | Q3 | |
Entity Central Index Key | 0000077543 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2022 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Income Statement [Abstract] | ||||
REVENUE | $ 1,070,926 | $ 1,178,222 | $ 2,884,107 | $ 3,605,060 |
COST OF OPERATIONS | (1,020,586) | (1,064,245) | (2,817,645) | (3,253,139) |
GROSS PROFIT | 50,340 | 113,977 | 66,462 | 351,921 |
General and administrative expenses | (57,232) | (61,884) | (173,815) | (181,371) |
INCOME (LOSS) FROM CONSTRUCTION OPERATIONS | (6,892) | 52,093 | (107,353) | 170,550 |
Other income (expense) | 397 | (464) | 5,114 | 1,142 |
Interest expense | (17,015) | (16,694) | (49,711) | (52,442) |
INCOME (LOSS) BEFORE INCOME TAXES | (23,510) | 34,935 | (151,950) | 119,250 |
Income tax (expense) benefit | (560) | (8,694) | 47,047 | (26,293) |
NET INCOME (LOSS) | (24,070) | 26,241 | (104,903) | 92,957 |
LESS: NET INCOME ATTRIBUTABLE TO NONCONTROLLING INTERESTS | 8,385 | 10,847 | 12,189 | 30,364 |
NET INCOME (LOSS) ATTRIBUTABLE TO TUTOR PERINI CORPORATION | $ (32,455) | $ 15,394 | $ (117,092) | $ 62,593 |
BASIC EARNINGS (LOSS) PER COMMON SHARE (in dollars per share) | $ (0.63) | $ 0.30 | $ (2.28) | $ 1.23 |
DILUTED EARNINGS (LOSS) PER COMMON SHARE (in dollars per share) | $ (0.63) | $ 0.30 | $ (2.28) | $ 1.22 |
WEIGHTED-AVERAGE COMMON SHARES OUTSTANDING: | ||||
BASIC (in shares) | 51,404 | 51,072 | 51,263 | 50,995 |
DILUTED (in shares) | 51,404 | 51,366 | 51,263 | 51,364 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Statement of Comprehensive Income [Abstract] | ||||
NET INCOME (LOSS) | $ (24,070) | $ 26,241 | $ (104,903) | $ 92,957 |
OTHER COMPREHENSIVE LOSS, NET OF TAX: | ||||
Defined benefit pension plan adjustments | 458 | 492 | 1,373 | 1,475 |
Foreign currency translation adjustments | (2,527) | (1,125) | (3,660) | (353) |
Unrealized loss in fair value of investments | (2,510) | (448) | (8,772) | (1,412) |
TOTAL OTHER COMPREHENSIVE LOSS, NET OF TAX | (4,579) | (1,081) | (11,059) | (290) |
COMPREHENSIVE INCOME (LOSS) | (28,649) | 25,160 | (115,962) | 92,667 |
LESS: COMPREHENSIVE INCOME ATTRIBUTABLE TO NONCONTROLLING INTERESTS | 6,860 | 10,400 | 9,512 | 30,493 |
COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO TUTOR PERINI CORPORATION | $ (35,509) | $ 14,760 | $ (125,474) | $ 62,174 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
CURRENT ASSETS: | ||
Cash and cash equivalents ($158,943 and $102,679 related to variable interest entities (“VIEs”)) | $ 323,200 | $ 202,197 |
Restricted cash | 21,817 | 9,199 |
Restricted investments | 79,562 | 84,355 |
Accounts receivable ($65,059 and $116,415 related to VIEs) | 1,252,943 | 1,454,319 |
Retention receivable ($184,797 and $162,259 related to VIEs) | 583,789 | 568,881 |
Costs and estimated earnings in excess of billings ($97,510 and $143,105 related to VIEs) | 1,448,341 | 1,356,768 |
Other current assets ($37,816 and $43,718 related to VIEs) | 196,401 | 186,773 |
Total current assets | 3,906,053 | 3,862,492 |
PROPERTY AND EQUIPMENT (“P&E”), net of accumulated depreciation of $500,692 and $483,417 (net P&E of $16,016 and $2,203 related to VIEs) | 429,911 | 429,645 |
GOODWILL | 205,143 | 205,143 |
INTANGIBLE ASSETS, NET | 71,102 | 85,068 |
OTHER ASSETS | 148,765 | 142,550 |
TOTAL ASSETS | 4,760,974 | 4,724,898 |
CURRENT LIABILITIES: | ||
Current maturities of long-term debt | 26,875 | 24,406 |
Accounts payable ($62,943 and $96,097 related to VIEs) | 589,689 | 512,056 |
Retention payable ($43,174 and $37,007 related to VIEs) | 241,518 | 268,945 |
Billings in excess of costs and estimated earnings ($468,130 and $355,270 related to VIEs) | 966,065 | 761,689 |
Accrued expenses and other current liabilities ($10,675 and $8,566 related to VIEs) | 216,922 | 210,017 |
Total current liabilities | 2,041,069 | 1,777,113 |
LONG-TERM DEBT, less current maturities, net of unamortized discount and debt issuance costs totaling $14,784 and $17,109 | 934,259 | 969,248 |
DEFERRED INCOME TAXES | 13,760 | 70,989 |
OTHER LONG-TERM LIABILITIES | 252,523 | 233,828 |
TOTAL LIABILITIES | 3,241,611 | 3,051,178 |
COMMITMENTS AND CONTINGENCIES (NOTE 10) | ||
Stockholders' equity: | ||
Preferred stock - authorized 1,000,000 shares ($1 par value), none issued | 0 | 0 |
Common stock - authorized 112,500,000 shares ($1 par value), issued and outstanding 51,485,216 and 51,095,706 shares | 51,485 | 51,096 |
Additional paid-in capital | 1,139,905 | 1,133,150 |
Retained earnings | 397,218 | 514,310 |
Accumulated other comprehensive loss | (52,017) | (43,635) |
Total stockholders' equity | 1,536,591 | 1,654,921 |
Noncontrolling interests | (17,228) | 18,799 |
TOTAL EQUITY | 1,519,363 | 1,673,720 |
TOTAL LIABILITIES AND EQUITY | $ 4,760,974 | $ 4,724,898 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Cash and cash equivalents | $ 323,200 | $ 202,197 |
Accounts receivable | 1,252,943 | 1,454,319 |
Retention receivable | 583,789 | 568,881 |
Costs and estimated earnings in excess of billings | 1,448,341 | 1,356,768 |
Other current assets | 196,401 | 186,773 |
Accumulated depreciation | 500,692 | 483,417 |
Property and equipment, net | 429,911 | 429,645 |
Accounts payable | 589,689 | 512,056 |
Retainage payable | 241,518 | 268,945 |
Billings in excess of costs and estimated earnings | 966,065 | 761,689 |
Accrued expenses and other current liabilities | 216,922 | 210,017 |
Unamortized discount and debt issuance costs, non-current | $ 14,784 | $ 17,109 |
Preferred stock, shares authorized (in shares) | 1,000,000 | 1,000,000 |
Preferred stock, par value (in dollars per share) | $ 1 | $ 1 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common stock, shares authorized (in shares) | 112,500,000 | 112,500,000 |
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, shares issued (in shares) | 51,485,216 | 51,095,706 |
Common stock, shares outstanding (in shares) | 51,485,216 | 51,095,706 |
VIEs | ||
Cash and cash equivalents | $ 158,943 | $ 102,679 |
Accounts receivable | 65,059 | 116,415 |
Retention receivable | 184,797 | 162,259 |
Costs and estimated earnings in excess of billings | 97,510 | 143,105 |
Other current assets | 37,816 | 43,718 |
Property and equipment, net | 16,016 | 2,203 |
Accounts payable | 62,943 | 96,097 |
Retainage payable | 43,174 | 37,007 |
Billings in excess of costs and estimated earnings | 468,130 | 355,270 |
Accrued expenses and other current liabilities | $ 10,675 | $ 8,566 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Cash Flows from Operating Activities: | ||
Net income (loss) | $ (104,903) | $ 92,957 |
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | ||
Depreciation | 40,088 | 65,550 |
Amortization of intangible assets | 13,966 | 26,646 |
Share-based compensation expense | 7,681 | 8,103 |
Change in debt discounts and deferred debt issuance costs | 2,751 | 4,802 |
Deferred income taxes | (53,365) | 124 |
(Gain) loss on sale of property and equipment | (183) | 2,004 |
Changes in other components of working capital | 338,527 | (363,074) |
Other long-term liabilities | 10,862 | 11,225 |
Other, net | (4,146) | (955) |
NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES | 251,278 | (152,618) |
Cash Flows from Investing Activities: | ||
Acquisition of property and equipment | (42,809) | (27,162) |
Proceeds from sale of property and equipment | 6,738 | 5,236 |
Investments in securities | (11,145) | (25,541) |
Proceeds from maturities and sales of investments in securities | 8,333 | 16,443 |
NET CASH USED IN INVESTING ACTIVITIES | (38,883) | (31,024) |
Cash Flows from Financing Activities: | ||
Proceeds from debt | 498,606 | 448,270 |
Repayment of debt | (533,452) | (510,146) |
Cash payments related to share-based compensation | (1,389) | (1,627) |
Distributions paid to noncontrolling interests | (46,500) | (17,250) |
Contributions from noncontrolling interests | 3,961 | 7,000 |
NET CASH USED IN FINANCING ACTIVITIES | (78,774) | (73,753) |
Net increase (decrease) in cash, cash equivalents and restricted cash | 133,621 | (257,395) |
Cash, cash equivalents and restricted cash at beginning of period | 211,396 | 451,852 |
Cash, cash equivalents and restricted cash at end of period | $ 345,017 | $ 194,457 |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation The Condensed Consolidated Financial Statements do not include footnotes and certain financial information normally presented annually under generally accepted accounting principles in the United States (“GAAP”). Therefore, they should be read in conjunction with the audited consolidated financial statements and the related notes included in Tutor Perini Corporation’s (the “Company”) Annual Report on Form 10-K for the year ended December 31, 2021. The results of operations for the three and nine months ended September 30, 2022 may not be indicative of the results that will be achieved for the full year ending December 31, 2022. In the opinion of management, the accompanying unaudited Condensed Consolidated Financial Statements reflect all adjustments, including those of a normal recurring nature, necessary to present fairly the Company’s consolidated financial position as of September 30, 2022 and its consolidated statements of operations and cash flows for the interim periods presented. Intercompany balances and transactions have been eliminated. Certain amounts in the notes to the condensed consolidated financial statements of prior years have been reclassified to conform to the current year presentation. |
Revenue
Revenue | 9 Months Ended |
Sep. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | Revenue Disaggregation of Revenue The following tables disaggregate revenue by end market, customer type and contract type, which the Company believes best depict how the nature, amount, timing and uncertainty of its revenue and cash flows are affected by economic factors for the three and nine months ended September 30, 2022 and 2021. Three Months Ended Nine Months Ended (in thousands) 2022 2021 2022 2021 Civil segment revenue by end market: Mass transit (includes certain transportation and tunneling projects) $ 311,702 $ 386,913 $ 794,414 $ 1,062,322 Bridges 86,042 67,117 212,362 179,059 Military defense facilities 66,063 46,615 176,212 140,736 Water 27,098 22,470 70,134 74,080 Other 10,000 23,103 42,200 120,948 Total Civil segment revenue $ 500,905 $ 546,218 $ 1,295,322 $ 1,577,145 Three Months Ended Nine Months Ended (in thousands) 2022 2021 2022 2021 Building segment revenue by end market: Municipal and government $ 88,624 $ 76,471 $ 248,405 $ 222,855 Commercial and industrial facilities 60,711 75,402 149,106 307,414 Health care facilities 48,602 20,287 134,439 44,294 Hospitality and gaming 17,455 89,317 118,450 276,029 Mass transit (includes transportation projects) 40,783 38,868 111,431 99,747 Education facilities 41,538 39,528 102,574 123,988 Other 20,337 21,068 51,234 76,507 Total Building segment revenue $ 318,050 $ 360,941 $ 915,639 $ 1,150,834 Three Months Ended Nine Months Ended (in thousands) 2022 2021 2022 2021 Specialty Contractors segment revenue by end market: Mass transit (includes certain transportation and tunneling projects) $ 95,281 $ 135,971 $ 289,703 $ 465,179 Commercial and industrial facilities 50,213 33,897 116,514 109,283 Multi-unit residential 31,461 28,054 84,642 101,498 Water 20,274 29,161 55,693 67,829 Education facilities 20,186 13,876 40,627 45,657 Federal government 14,552 4,454 35,407 8,956 Other 20,004 25,650 50,560 78,679 Total Specialty Contractors segment revenue $ 251,971 $ 271,063 $ 673,146 $ 877,081 Three Months Ended Three Months Ended (in thousands) Civil Building Specialty Total Civil Building Specialty Total Revenue by customer type: State and local agencies $ 375,566 $ 136,082 $ 113,907 $ 625,555 $ 478,720 $ 99,540 $ 110,012 $ 688,272 Federal agencies 97,741 42,367 4,983 145,091 48,680 50,437 14,716 113,833 Private owners 27,598 139,601 133,081 300,280 18,818 210,964 146,335 376,117 Total revenue $ 500,905 $ 318,050 $ 251,971 $ 1,070,926 $ 546,218 $ 360,941 $ 271,063 $ 1,178,222 Nine Months Ended Nine Months Ended (in thousands) Civil Building Specialty Total Civil Building Specialty Total Revenue by customer type: State and local agencies $ 1,008,819 $ 349,245 $ 297,955 $ 1,656,019 $ 1,350,555 $ 268,396 $ 377,016 $ 1,995,967 Federal agencies 211,426 130,867 19,503 361,796 149,648 150,085 41,657 341,390 Private owners 75,077 435,527 355,688 866,292 76,942 732,353 458,408 1,267,703 Total revenue $ 1,295,322 $ 915,639 $ 673,146 $ 2,884,107 $ 1,577,145 $ 1,150,834 $ 877,081 $ 3,605,060 Three Months Ended Three Months Ended (in thousands) Civil Building Specialty Total Civil Building Specialty Total Revenue by contract type: Fixed price $ 416,216 $ 103,804 $ 206,886 $ 726,906 $ 473,212 $ 89,895 $ 235,534 $ 798,641 Guaranteed maximum price (13) 144,831 5,627 150,445 502 219,395 5,420 225,317 Unit price 90,372 — 25,951 116,323 71,429 130 23,558 95,117 Cost plus fee and other (5,670) 69,415 13,507 77,252 1,075 51,521 6,551 59,147 Total revenue $ 500,905 $ 318,050 $ 251,971 $ 1,070,926 $ 546,218 $ 360,941 $ 271,063 $ 1,178,222 Nine Months Ended Nine Months Ended (in thousands) Civil Building Specialty Total Civil Building Specialty Total Revenue by contract type: Fixed price $ 1,090,623 $ 270,618 $ 563,985 $ 1,925,226 $ 1,353,436 $ 269,693 $ 775,292 $ 2,398,421 Guaranteed maximum price 581 462,294 14,321 477,196 2,270 737,251 9,113 748,634 Unit price 213,092 33 62,837 275,962 212,678 (1,323) 80,558 291,913 Cost plus fee and other (8,974) 182,694 32,003 205,723 8,761 145,213 12,118 166,092 Total revenue $ 1,295,322 $ 915,639 $ 673,146 $ 2,884,107 $ 1,577,145 $ 1,150,834 $ 877,081 $ 3,605,060 Changes in Contract Estimates that Impact Revenue Changes to the total estimated contract revenue or cost for a given project, either due to unexpected events or revisions to management’s initial estimates, are recognized in the period in which they are determined. Revenue was negatively impacted during the three and nine months ended September 30, 2022 related to performance obligations satisfied (or partially satisfied) in prior periods by $54.2 million and $164.1 million, respectively. Likewise, revenue was negatively impacted during the three and nine months ended September 30, 2021 related to performance obligations satisfied (or partially satisfied) in prior periods by $2.1 million and $37.1 million, respectively. Remaining Performance Obligations Remaining performance obligations represent the transaction price of firm orders for which work has not been performed and exclude unexercised contract options. As of September 30, 2022, the aggregate amounts of the transaction prices allocated to the remaining performance obligations of the Company’s construction contracts were $4.7 billion, $2.3 billion and $1.3 billion for the Civil, Building and Specialty Contractors segments, respectively. As of September 30, 2021, the aggregate amounts of the transaction prices allocated to the remaining performance obligations of the Company’s construction contracts were $4.4 billion, $1.8 billion and $1.4 billion for the Civil, Building and Specialty Contractors segments, respectively. The Company typically recognizes revenue on Civil segment projects over a period of three one |
Contract Assets and Liabilities
Contract Assets and Liabilities | 9 Months Ended |
Sep. 30, 2022 | |
Contract with Customer, Contract Asset, Contract Liability, and Receivable [Abstract] | |
Contract Assets and Liabilities | Contract Assets and Liabilities The Company classifies contract assets and liabilities that may be settled beyond one year from the balance sheet date as current, consistent with the length of time of the Company’s project operating cycle. Contract assets include amounts due under retention provisions, costs and estimated earnings in excess of billings and capitalized contract costs. The amounts as included on the Condensed Consolidated Balance Sheets consisted of the following: (in thousands) As of September 30, As of December 31, Retention receivable $ 583,789 $ 568,881 Costs and estimated earnings in excess of billings: Claims 741,678 833,352 Unapproved change orders 584,388 418,054 Other unbilled costs and profits 122,275 105,362 Total costs and estimated earnings in excess of billings 1,448,341 1,356,768 Capitalized contract costs 60,740 69,027 Total contract assets $ 2,092,870 $ 1,994,676 Retention receivable represents amounts invoiced to customers where payments have been partially withheld pending the completion of certain milestones, satisfaction of other contractual conditions or the completion of the project. Retention agreements vary from project to project, and balances could be outstanding for several months or years depending on a number of circumstances such as contract-specific terms, project performance and other variables that may arise as the Company makes progress toward completion. As of September 30, 2022, the amount of retention receivable estimated by management to be collected beyond one year is approximately 47% of the balance. Costs and estimated earnings in excess of billings represent the excess of contract costs and profits (or contract revenue) over the amount of contract billings to date and are classified as a current asset. Costs and estimated earnings in excess of billings result when either: (1) the appropriate contract revenue amount has been recognized over time in accordance with Accounting Standards Codification (“ASC”) 606, Revenue from Contracts with Customers (“ASC 606”), but a portion of the revenue recorded cannot be billed currently due to the billing terms defined in the contract, or (2) costs are incurred related to certain claims and unapproved change orders. Claims occur when there is a dispute regarding both a change in the scope of work and the price associated with that change. Unapproved change orders occur when a change in the scope of work results in additional work being performed before the parties have agreed on the corresponding change in the contract price. The Company routinely estimates recovery related to claims and unapproved change orders as a form of variable consideration at the most likely amount it expects to receive and to the extent it is probable that a significant reversal of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is resolved. Claims and unapproved change orders are billable upon the agreement and resolution between the contractual parties and after the execution of contractual amendments. Increases in claims and unapproved change orders typically result from costs being incurred against existing or new positions; decreases normally result from resolutions and subsequent billings. As discussed in Note 10, the resolution of these claims and unapproved change orders may require litigation or other forms of dispute resolution proceedings. Other unbilled costs and profits are billable in accordance with the billing terms of each of the existing contractual arrangements and, as such, the timing of contract billing cycles can cause fluctuations in the balance of unbilled costs and profits. Ultimate resolution of other unbilled costs and profits typically involves incremental progress toward contractual requirements or milestones. Capitalized contract costs are included in other current assets and primarily represent costs to fulfill a contract that (1) directly relate to an existing or anticipated contract, (2) generate or enhance resources that will be used in satisfying performance obligations in the future and (3) are expected to be recovered through the contract. Capitalized contract costs are generally expensed to the associated contract over the period of anticipated use on the project. During the three and nine months ended September 30, 2022, $13.7 million and $45.3 million, respectively, of previously capitalized contract costs were amortized and recognized as expense on the related contracts. During the three and nine months ended September 30, 2021, $11.3 million and $36.6 million, respectively, of previously capitalized contract costs were amortized and recognized as expense on the related contracts. Contract liabilities include amounts owed under retention provisions and billings in excess of costs and estimated earnings. The amount as reported on the Condensed Consolidated Balance Sheets consisted of the following: (in thousands) As of September 30, As of December 31, Retention payable $ 241,518 $ 268,945 Billings in excess of costs and estimated earnings 966,065 761,689 Total contract liabilities $ 1,207,583 $ 1,030,634 Retention payable represents amounts invoiced to the Company by subcontractors where payments have been partially withheld pending the completion of certain milestones, other contractual conditions or upon the completion of the project. Generally, retention payable is not remitted to subcontractors until the associated retention receivable from customers is collected. As of September 30, 2022, the amount of retention payable estimated by management to be remitted beyond one year is approximately 43% of the balance. Billings in excess of costs and estimated earnings represent the excess of contract billings to date over the amount of contract costs and profits (or contract revenue) recognized to date. The balance may fluctuate depending on the timing of contract billings and the recognition of contract revenue. Revenue recognized during the three and nine months ended September 30, 2022 and included in the opening billings in excess of costs and estimated earnings balances for each period totaled $447.4 million and $487.1 million, respectively. Revenue recognized during the three and nine months ended September 30, 2021 and included in the opening billings in excess of costs and estimated earnings balances for each period totaled $288.0 million and $608.4 million, respectively. |
Cash, Cash Equivalents and Rest
Cash, Cash Equivalents and Restricted Cash | 9 Months Ended |
Sep. 30, 2022 | |
Cash and Cash Equivalents [Abstract] | |
Cash, Cash Equivalents and Restricted Cash | Cash, Cash Equivalents and Restricted Cash The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the Condensed Consolidated Balance Sheets to the amounts shown in the Condensed Consolidated Statements of Cash Flows: (in thousands) As of September 30, As of December 31, Cash and cash equivalents available for general corporate purposes $ 110,736 $ 60,192 Joint venture cash and cash equivalents 212,464 142,005 Cash and cash equivalents 323,200 202,197 Restricted cash 21,817 9,199 Total cash, cash equivalents and restricted cash $ 345,017 $ 211,396 Cash equivalents include short-term, highly liquid investments with maturities of three months or less when acquired. Cash and cash equivalents consist of amounts available for the Company’s general purposes, the Company’s proportionate share of cash held by the Company’s unconsolidated joint ventures and 100% of amounts held by the Company’s consolidated joint ventures. In both cases, cash held by joint ventures is available only for joint venture-related uses, including future distributions to joint venture partners. Restricted cash includes amounts held as collateral to secure insurance-related contingent obligations, such as insurance claim deductibles, in lieu of letters of credit. |
Earnings Per Common Share
Earnings Per Common Share | 9 Months Ended |
Sep. 30, 2022 | |
Earnings Per Share [Abstract] | |
Earnings Per Common Share | Earnings Per Common Share Basic earnings per common share (“EPS”) and diluted EPS are calculated by dividing net income (loss) attributable to Tutor Perini Corporation by the following: for basic EPS, the weighted-average number of common shares outstanding during the period; and for diluted EPS, the sum of the weighted-average number of both outstanding common shares and potentially dilutive securities, which for the Company can include restricted stock units and unexercised stock options. Potentially dilutive securities also included the Convertible Notes (as defined in Note 8) prior to their repayment on June 15, 2021; however, the Convertible Notes had no impact on diluted EPS. The Company calculates the effect of the potentially dilutive restricted stock units and stock options using the treasury stock method. Three Months Ended September 30, Nine Months Ended September 30, (in thousands, except per common share data) 2022 2021 2022 2021 Net income (loss) attributable to Tutor Perini Corporation $ (32,455) $ 15,394 $ (117,092) $ 62,593 Weighted-average common shares outstanding, basic 51,404 51,072 51,263 50,995 Effect of dilutive restricted stock units and stock options — 294 — 369 Weighted-average common shares outstanding, diluted 51,404 51,366 51,263 51,364 Net income (loss) attributable to Tutor Perini Corporation per common share: Basic $ (0.63) $ 0.30 $ (2.28) $ 1.23 Diluted $ (0.63) $ 0.30 $ (2.28) $ 1.22 Anti-dilutive securities not included above 3,011 2,131 3,280 1,861 For the three and nine months ended September 30, 2022, all outstanding restricted stock units and stock options were excluded from the calculation of weighted-average diluted shares outstanding, as the shares have an anti-dilutive effect due to the net loss for the period. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The Company recognized income tax expense of $0.6 million and an income tax benefit of $47.0 million, resulting in an effective income tax rate of (2.4)% and 31.0% for the three and nine months ended September 30, 2022, respectively. The Company recognized income tax expense based on a pre-tax loss for the three months ended September 30, 2022, primarily as a result of a change during the quarter to forecasted pre-tax earnings for 2022, the cumulative impact of which offset the tax benefits generated during the quarter. The effective income tax rates for both periods reflect pre-tax losses incurred in the periods and projected for the full year. In periods reporting pre-tax losses, tax benefits generated during the period increase the effective income tax rate. The tax benefits that increased the income tax rates in both periods were primarily state income taxes (net of federal tax benefit) and the earnings attributable to noncontrolling interests (for which income taxes are not the responsibility of the Company ). The Company’s effective income tax rates for the three and nine months ended September 30, 2021 were 24.9% and 22.0%, respectively. The effective income tax rates for both periods were higher than the 21% federal statutory rate primarily due to state income taxes and adjustments recorded when the final 2020 tax return information became available, partially offset by earnings attributable to noncontrolling interests, for which income taxes are not the responsibility of the Company. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 9 Months Ended |
Sep. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | Goodwill and Intangible Assets Goodwill The following table presents the changes in the carrying amount of goodwill since its inception through September 30, 2022: (in thousands) Civil Building Specialty Total Gross goodwill as of December 31, 2021 $ 492,074 $ 424,724 $ 156,193 $ 1,072,991 Accumulated impairment as of December 31, 2021 (286,931) (424,724) (156,193) (867,848) Goodwill as of December 31, 2021 205,143 — — 205,143 Current year activity — — — — Goodwill as of September 30, 2022 $ 205,143 $ — $ — $ 205,143 The Company performed its annual impairment test in the fourth quarter of 2021 and concluded goodwill was not impaired. In addition, the Company determined that no triggering events occurred and no circumstances changed since the date of our annual impairment test that would more likely than not reduce the fair value of the Civil reporting unit below its carrying amount. The Company will continue to monitor events and circumstances for changes that indicate the Civil reporting unit goodwill would need to be reevaluated for impairment during future interim periods prior to the annual impairment test. These future events and circumstances include, but are not limited to, changes in the overall financial performance of the Civil reporting unit, impacts to our business as a result of the COVID-19 pandemic, as well as other quantitative and qualitative factors which could indicate potential triggering events for possible impairment. Intangible Assets Intangible assets consist of the following: As of September 30, 2022 Weighted-Average Amortization Period (in thousands) Cost Accumulated Accumulated Impairment Charge Carrying Value Trade names (non-amortizable) $ 117,600 $ — $ (67,190) $ 50,410 Indefinite Trade names (amortizable) 69,250 (25,326) (23,232) 20,692 20 years Contractor license 6,000 — (6,000) — N/A Customer relationships 39,800 (23,155) (16,645) — N/A Construction contract backlog 149,290 (149,290) — — N/A Total $ 381,940 $ (197,771) $ (113,067) $ 71,102 As of December 31, 2021 Weighted-Average Amortization Period (in thousands) Cost Accumulated Accumulated Impairment Charge Carrying Value Trade names (non-amortizable) $ 117,600 $ — $ (67,190) $ 50,410 Indefinite Trade names (amortizable) 69,250 (23,650) (23,232) 22,368 20 years Contractor license 6,000 — (6,000) — N/A Customer relationships 39,800 (23,053) (16,645) 102 12 years Construction contract backlog 149,290 (137,102) — 12,188 3 years Total $ 381,940 $ (183,805) $ (113,067) $ 85,068 Amortization expense for the three and nine months ended September 30, 2022 was $3.8 million and $14.0 million, respectively. Amortization expense for the three and nine months ended September 30, 2021 was $9.3 million and $26.6 million, respectively. As of September 30, 2022, future amortization expense is estimated to be $0.6 million for the remainder of 2022, $2.2 million per year for the years 2023 through 2027 and $9.1 million thereafter. |
Financial Commitments
Financial Commitments | 9 Months Ended |
Sep. 30, 2022 | |
Debt Disclosure [Abstract] | |
Financial Commitments | Financial Commitments Long-Term Debt Long-term debt as reported on the Condensed Consolidated Balance Sheets consisted of the following: (in thousands) As of September 30, As of December 31, 2017 Senior Notes $ 497,020 $ 496,244 Term Loan B 404,696 406,335 2020 Revolver — 27,000 Equipment financing and mortgages 50,412 56,246 Other indebtedness 9,006 7,829 Total debt 961,134 993,654 Less: Current maturities 26,875 24,406 Long-term debt, net $ 934,259 $ 969,248 The following table reconciles the outstanding debt balances to the reported debt balances as of September 30, 2022 and December 31, 2021: As of September 30, 2022 As of December 31, 2021 (in thousands) Outstanding Debt Unamortized Discounts and Issuance Costs Debt, Outstanding Debt Unamortized Discounts and Issuance Costs Debt, 2017 Senior Notes $ 500,000 $ (2,980) $ 497,020 $ 500,000 $ (3,756) $ 496,244 Term Loan B 416,500 (11,804) 404,696 419,688 (13,353) 406,335 The unamortized issuance costs related to the 2020 Revolver were $1.7 million and $2.1 million as of September 30, 2022 and December 31, 2021, respectively, and are included in other assets on the Condensed Consolidated Balance Sheets. 2020 Credit Agreement On August 18, 2020, the Company entered into a credit agreement (the “2020 Credit Agreement”) with BMO Harris Bank N.A., as Administrative Agent, Swing Line Lender and L/C Issuer and other lenders. The 2020 Credit Agreement provides for a $425.0 million term loan B facility (the “Term Loan B”) and a $175.0 million revolving credit facility (the “2020 Revolver”), with sublimits for the issuance of letters of credit and swing line loans up to the aggregate amounts of $75.0 million and $10.0 million, respectively. The Term Loan B will mature on August 18, 2027 and the 2020 Revolver will mature on August 18, 2025, in each case, unless any of the 2017 Senior Notes are outstanding on January 30, 2025 (which is 91 days prior to the maturity of the 2017 Senior Notes), in which case, both the Term Loan B and the 2020 Revolver will mature on January 30, 2025 (subject to certain further exceptions). The 2020 Credit Agreement permits the Company to repay any or all borrowings outstanding under the 2020 Credit Agreement at any time prior to maturity without penalty. The 2020 Credit Agreement requires the Company to make regularly scheduled payments of principal on the Term Loan B in quarterly installments equal to 0.25% of the initial principal amount of the Term Loan B. The 2020 Credit Agreement also requires the Company to make prepayments on the Term Loan B in connection with certain asset sales, receipts of insurance proceeds, incurrences of unpermitted indebtedness and annual excess cash flow (subject to certain exceptions). Subject to certain exceptions, at any time prior to maturity, the 2020 Credit Agreement provides the Company with the right to increase the commitments under the 2020 Revolver and/or to establish one or more term loan facilities in an aggregate amount up to (i) the greater of $173.5 million and 50% LTM EBITDA (as defined in the 2020 Credit Agreement) plus (ii) additional amounts if (A) in the case of pari passu first lien secured indebtedness, the First Lien Net Leverage Ratio (as defined in the 2020 Credit Agreement) does not exceed 1.35:1.00, (B) in the case of junior lien secured indebtedness, the Total Net Leverage Ratio (as defined in the 2020 Credit Agreement) does not exceed 3.50:1.00 and (C) in the case of unsecured indebtedness, (x) the Total Net Leverage Ratio does not exceed 3.50:1.00 or (y) the Fixed Charge Coverage Ratio (as defined in the 2020 Credit Agreement) is no less than 2.00:1.00. Borrowings under the 2020 Credit Agreement bear interest, at the Company’s option, at a rate equal to (i) (a) London Interbank Offered Rate (“LIBOR”) or (b) a base rate (determined by reference to the highest of (1) the administrative agent’s prime lending rate, (2) the federal funds effective rate plus 50 basis points and (3) the LIBOR rate for a one-month interest period plus 100 basis points) plus, (ii) an applicable margin. The margin applicable to the Term Loan B is between 4.50% and 4.75% for LIBOR and between 3.50% and 3.75% for base rate, and, in each case, is based on the Total Net Leverage Ratio. The margin applicable to the 2020 Revolver is between 4.25% and 4.75% for LIBOR and 3.25% and 3.75% for base rate, and, in each case, is based on the First Lien Net Leverage Ratio. In addition to paying interest on outstanding principal under the 2020 Credit Agreement, the Company will pay a commitment fee to the lenders under the 2020 Revolver in respect of the unutilized commitments thereunder. The Company will pay customary letter of credit fees. If a payment or bankruptcy event of default occurs and is continuing, the otherwise applicable margin on overdue amounts will be increased by 2% per annum. The agreement includes provisions for the replacement of LIBOR with an alternative benchmark rate upon LIBOR being discontinued. The weighted-average annual interest rate on borrowings under the 2020 Revolver was 7.21% during the nine months ended September 30, 2022. The 2020 Credit Agreement initially required, with respect to the 2020 Revolver only, the Company and its restricted subsidiaries to maintain a maximum First Lien Net Leverage Ratio of 2.75:1:00, stepping down to 2.25:1.00 beginning the quarter ending March 31, 2022. On October 31, 2022, the 2020 Credit Agreement was amended to set the maximum First Lien Net Leverage Ratio covenant level to 2.75:1.00, effective the quarter ending September 30, 2022, and stepping back down to 2.25:1.00 beginning the quarter ending June 30, 2023. As of the effective date, the amendment also changes the reference interest rate on the 2020 Revolver from LIBOR to Secured Overnight Financing Rate (“SOFR”). The 2020 Credit Agreement also includes certain customary representations and warranties, affirmative covenants and events of default. Subject to certain exceptions, substantially all of the Company’s existing and future material wholly-owned subsidiaries unconditionally guarantee the obligations of the Company under the 2020 Credit Agreement; additionally, subject to certain exceptions, the obligations are secured by a lien on substantially all of the assets of the Company and its subsidiaries guaranteeing these obligations. As of September 30, 2022, the entire $175 million was available under the 2020 Revolver. The Company had not utilized the 2020 Revolver for letters of credit. The Company was in compliance with the financial covenant under the 2020 Credit Agreement for the period ended September 30, 2022. Repurchase and Repayment of Convertible Notes On June 15, 2021, the Company repaid the $69.9 million outstanding principal balance of the 2.875% Convertible Senior Notes (the “Convertible Notes”). 2017 Senior Notes On April 20, 2017, the Company issued $500 million in aggregate principal amount of 6.875% Senior Notes due May 1, 2025 (the “2017 Senior Notes”) in a private placement offering. Interest on the 2017 Senior Notes is payable in arrears semi-annually in May and November of each year, beginning in November 2017. The Company may redeem the 2017 Senior Notes at specified redemption prices described in the indenture. Upon a change of control, holders of the 2017 Senior Notes may require the Company to repurchase all or part of the 2017 Senior Notes at 101% of the principal amount thereof, plus accrued and unpaid interest to the redemption date. The 2017 Senior Notes are senior unsecured obligations of the Company and are guaranteed by substantially all of the Company’s existing and future subsidiaries that also guarantee obligations under the Company’s 2020 Credit Agreement, as defined above. In addition, the indenture for the 2017 Senior Notes provides for customary covenants, including events of default and restrictions on the payment of dividends and share repurchases. Interest Expense Interest expense as reported in the Condensed Consolidated Statements of Operations consisted of the following: Three Months Ended Nine Months Ended (in thousands) 2022 2021 2022 2021 Cash interest expense: Interest on 2017 Senior Notes $ 8,593 $ 8,594 $ 25,781 $ 25,781 Interest on Term Loan B 6,822 6,198 18,940 18,407 Interest on 2020 Revolver 106 436 739 1,109 Interest on Convertible Notes — — — 921 Other interest 559 532 1,499 1,422 Total cash interest expense 16,080 15,760 46,959 47,640 Non-cash interest expense: (a) Amortization of discount and debt issuance costs on Convertible Notes — — — 2,040 Amortization of discount and debt issuance costs on Term Loan B 528 547 1,549 1,613 Amortization of debt issuance costs on 2020 Revolver 144 142 427 426 Amortization of debt issuance costs on 2017 Senior Notes 263 245 776 723 Total non-cash interest expense 935 934 2,752 4,802 Total interest expense $ 17,015 $ 16,694 $ 49,711 $ 52,442 ____________________________________________________________________________________________________ (a) The combination of cash and non-cash interest expense produces effective interest rates that are higher than contractual rates. Accordingly, the effective interest rates for the 2017 Senior Notes and Term Loan B were 7.13% and 6.43%, respectively, for the nine months ended September 30, 2022. |
Leases
Leases | 9 Months Ended |
Sep. 30, 2022 | |
Leases [Abstract] | |
Leases | Leases The Company leases certain office space, construction and office equipment, vehicles and temporary housing generally under non-cancelable operating leases. Leases with an initial term of one year or less are not recorded on the balance sheet, and the Company generally recognizes lease expense for these leases on a straight-line basis over the lease term. As of September 30, 2022, the Company’s operating leases have remaining lease terms ranging from less than one year to 16 years, some of which include options to renew the leases. The exercise of lease renewal options is generally at the Company’s sole discretion. The Company’s leases do not contain any material residual value guarantees or material restrictive covenants. The following table presents components of lease expense for the three and nine months ended September 30, 2022 and 2021: Three Months Ended Nine Months Ended (in thousands) 2022 2021 2022 2021 Operating lease expense $ 3,685 $ 3,660 $ 11,754 $ 11,085 Short-term lease expense (a) 15,393 17,951 42,828 57,377 19,078 21,611 54,582 68,462 Less: Sublease income 193 176 573 522 Total lease expense $ 18,885 $ 21,435 $ 54,009 $ 67,940 ____________________________________________________________________________________________________ (a) Short-term lease expense includes all leases with lease terms of up to one year. Short-term leases include, among other things, construction equipment rented on an as-needed basis as well as temporary housing. The following table presents supplemental balance sheet information related to operating leases: (dollars in thousands) Balance Sheet Line Item As of September 30, As of December 31, Assets Right-of-use assets Other assets $ 61,693 $ 53,462 Total lease assets $ 61,693 $ 53,462 Liabilities Current lease liabilities Accrued expenses and other current liabilities $ 7,147 $ 7,481 Long-term lease liabilities Other long-term liabilities 59,352 50,057 Total lease liabilities $ 66,499 $ 57,538 Weighted-average remaining lease term 11.6 years 12.0 years Weighted-average discount rate 9.42 % 9.44 % The following table presents supplemental cash flow information and non-cash activity related to operating leases: Nine Months Ended (in thousands) 2022 2021 Operating cash flow information: Cash paid for amounts included in the measurement of lease liabilities $ (11,007) $ (10,344) Non-cash activity: Right-of-use assets obtained in exchange for lease liabilities $ 16,305 $ 6,686 The following table presents maturities of operating lease liabilities on an undiscounted basis as of September 30, 2022: Year (in thousands) Operating Leases 2022 (excluding the nine months ended September 30, 2022) $ 3,252 2023 12,344 2024 9,925 2025 9,023 2026 7,688 Thereafter 73,375 Total lease payments 115,607 Less: Imputed interest 49,108 Total $ 66,499 |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies The Company and certain of its subsidiaries are involved in litigation and other legal proceedings and forms of dispute resolution in the ordinary course of business, including but not limited to disputes over contract payment and/or performance-related issues (such as disagreements regarding delay or a change in the scope of work of a project and/or the price associated with that change) and other matters incidental to the Company’s business. In accordance with ASC 606, the Company makes assessments of these types of matters on a routine basis and, to the extent permitted by ASC 606, estimates and records recovery related to these matters as a form of variable consideration at the most likely amount the Company expects to receive, as discussed further in Note 3 . In addition, the Company is contingently liable for litigation, performance guarantees and other commitments arising in the ordinary course of business, which are accounted for in accordance with ASC 450, Contingencies . Management reviews these matters regularly and updates or revises its estimates as warranted by subsequent information and developments. These assessments require judgments concerning matters that are inherently uncertain, such as litigation developments and outcomes, the anticipated outcome of negotiations and the estimated cost of resolving disputes. Consequently, these assessments are estimates, and actual amounts may vary from such estimates. In addition, because such matters are typically resolved over long periods of time, the Company’s assets and liabilities may change over time should the circumstances dictate. The description of the legal proceedings listed below include management’s assessment of those proceedings. Management believes that, based on current information and discussions with the Company’s legal counsel, the ultimate resolution of other matters is not expected to have a material effect on the Company’s consolidated financial position, results of operations or cash flows. A description of the material pending legal proceedings, other than ordinary routine litigation incidental to the business is as follows: Alaskan Way Viaduct Matter In January 2011, Seattle Tunnel Partners (“STP”), a joint venture between Dragados USA, Inc. and the Company, entered into a design-build contract with the Washington State Department of Transportation (“WSDOT”) for the construction of a large-diameter bored tunnel in downtown Seattle, King County, Washington to replace the Alaskan Way Viaduct, also known as State Route 99. The Company has a 45% interest in STP. The construction of the large-diameter bored tunnel required the use of a tunnel boring machine (“TBM”). In December 2013, the TBM struck a steel pipe, installed by WSDOT as a well casing for an exploratory well. The TBM was significantly damaged and was required to be repaired. STP has asserted that the steel pipe casing was a differing site condition that WSDOT failed to properly disclose. The Disputes Review Board mandated by the contract to hear disputes issued a decision finding the steel casing was a Type I (material) differing site condition. WSDOT did not accept that finding. The TBM was insured under a Builder’s Risk Insurance Policy (the “Policy”) with Great Lakes Reinsurance (UK) PLC and a consortium of other insurers (the “Insurers”). STP submitted the claims to the Insurers and requested interim payments under the Policy. The Insurers refused to pay and denied coverage. In June 2015, STP filed a lawsuit in the King County Superior Court, State of Washington seeking declaratory relief concerning contract interpretation, as well as damages as a result of the Insurers’ breach of their obligations under the terms of the Policy. STP is also asserting extra-contractual and statutory claims against the Insurers. STP submitted damages to the Insurers in the King County lawsuit in the amount of $532 million. WSDOT is deemed a plaintiff since WSDOT is an insured under the Policy and had filed its own claim for damages. Hitachi Zosen (“Hitachi”), the manufacturer of the TBM, joined the case as a plaintiff for costs incurred to repair the damages to the TBM. In April and September 2018, rulings received on pre-trial motions limited some of the potential recoveries under the Policy for STP, WSDOT and Hitachi. On August 2, 2021, the Court of Appeals reversed in part certain of those limitations but affirmed other parts of those rulings. On September 15, 2022, the Washington Supreme Court affirmed the decision of the Court of Appeals, which limits recovery of certain damages under the Policy. Based on the rulings of the Court of Appeals, the case will continue for adjudication on the remaining facts and legal issues, including the number of covered occurrences which could increase the amount of available coverage under the Policy and the amount of investigative costs that are subject to the Policy limits. STP also has claims for costs, fees, pre-judgment interest and extra-contractual and statutory claims, which are not subject to the Policy limits. In March 2016, WSDOT filed a complaint against STP in Thurston County Superior Court alleging breach of contract, seeking $57.2 million in delay-related damages and seeking declaratory relief concerning contract interpretation. STP filed its answer to WSDOT’s complaint and filed a counterclaim against WSDOT and Hitachi, as the TBM designer, seeking damages of $667 million. On October 3, 2019, STP and Hitachi entered into a settlement agreement which released and dismissed the claims that STP and Hitachi had against each other. The jury trial between STP and WSDOT commenced on October 7, 2019 and concluded on December 13, 2019, with a jury verdict in favor of WSDOT awarding them $57.2 million in damages. Judgment was entered on January 10, 2020, and STP appealed the decision. On June 14, 2022, the Court of Appeals of the State of Washington affirmed the judgment. STP filed a petition for discretionary review by the Washington Supreme Court on July 12, 2022, which was denied by the Supreme Court on October 10, 2022. On October 18, 2022, STP paid the damages and associated interest from the judgment, which included the Company’s proportionate share of $34.6 million. As a result, the lawsuit between STP and WSDOT has concluded. The Company recorded the impact of the jury verdict during the fourth quarter of 2019, resulting in a pre-tax charge of $166.8 million, which included $25.7 million for the Company’s 45% proportionate share of the $57.2 million in damages awarded by the jury to WSDOT. The charge was for non-cash write-downs primarily related to the costs and estimated earnings in excess of billings and receivables that the Company previously recorded to reflect its expected recovery in this case. With respect to STP’s direct and indirect claims against the Insurers, management has included in receivables an estimate of the total anticipated recovery concluded to be probable. George Washington Bridge Bus Station Matter In August 2013, Tutor Perini Building Corp. (“TPBC”) entered into a contract with the George Washington Bridge Bus Station Development Venture, LLC (the “Developer”) to renovate the George Washington Bridge Bus Station, a mixed-use facility owned by the Port Authority of New York and New Jersey (the “Port Authority”) that serves as a transit facility and retail space. The $100 million project experienced significant design errors and associated delays, resulting in damages to TPBC and its subcontractors, including WDF and Five Star, wholly owned subsidiaries of the Company. The project reached substantial completion on May 16, 2017. On February 26, 2015, the Developer filed a demand for arbitration, subsequently amended, seeking $30 million in alleged damages and declaratory relief that TPBC’s requests for additional compensation are invalid due to lack of notice. TPBC denied the Developer’s claims and filed a counterclaim in March 2018. TPBC seeks in excess of $113 million in the arbitration, which includes unpaid contract balance claims, the return of $29 million retained by the Developer in alleged damages, as well as extra work claims, pass-through claims and delay claims. Hearings on the merits commenced on September 24, 2018 before the arbitration panel. On June 4, 2019, the arbitration panel, as confirmed by the U.S. District Court in the Southern District of New York, issued a writ of attachment for $23 million of the $29 million discussed above. On October 7, 2019, the Developer filed for bankruptcy protection in the Southern District of New York under Chapter 11 of the Bankruptcy Code. The filing for bankruptcy stayed the pending arbitration proceedings. TPBC appeared in the bankruptcy proceedings on October 8, 2019 and filed a Proof of Claim in the amount of $113 million on December 13, 2019. On June 5, 2020, the Developer, secured lenders and the Port Authority announced that they had reached a settlement of their disputes. As part of the settlement, the Port Authority waived the enforcement of its right to seek a “cure” pursuant to its lease agreement with the Developer which requires construction costs be paid prior to any sale of the leasehold, the sole asset in the Developer’s bankruptcy estate to be distributed in this bankruptcy. On July 14, 2020, the bankruptcy court conducted a hearing to determine (1) whether to approve the settlement agreement between the Developer, secured lenders and the Port Authority; and (2) whether TPBC can assert third-party beneficiary rights to the lease agreement and require that prior to the sale of the leasehold, any outstanding costs owed to contractors for the cost of building the project must be paid pursuant to the lease agreement’s “cure” provisions. On August 12, 2020, the bankruptcy court approved the settlement and denied TPBC’s third-party beneficiary rights under the lease agreement. On August 20, 2020, TPBC filed an appeal with the U.S. District Court for the Southern District of New York seeking to challenge the denial of its third-party beneficiary rights under the lease agreement’s “cure” provisions to avoid being subordinate to the claims of the secured lenders in the bankruptcy proceedings, which was denied by the U.S. District Court on August 4, 2021 and is now before the Second Circuit Court of Appeals and oral arguments before the Second Circuit were held on October 27, 2022. On August 25, 2021, the bankruptcy court approved the sale of the leasehold, which was completed on August 31, 2021, and is subject to a separate legal appeal pending before the U.S. District Court. On October 1, 2021, the bankruptcy court converted the case from a Chapter 11 to a Chapter 7 bankruptcy proceeding. Separately, on July 2, 2018, TPBC filed a lawsuit against the Port Authority, as owner of the project, seeking the same $113 million in damages pursuant to the lease agreement between the Port Authority and the Developer. On August 20, 2018, the Port Authority filed a motion to dismiss all causes of action, which was denied by the court on July 1, 2019. The Port Authority appealed this decision on July 15, 2019. On February 18, 2021, the Appellate Division affirmed in part and reversed in part the trial court's denial of the Port Authority's motion to dismiss TPBC’s causes of action. On April 11, 2022, the court granted the Port Authority’s motion to dismiss on statutory notice grounds. The Company filed a notice of appeal on April 28, 2022. In addition, on August 11, 2021, TPBC filed a second lawsuit in state court against the Port Authority alleging unjust enrichment and tortious interference with TPBC’s right to recover under the lease agreement’s “cure” provision in the bankruptcy proceeding. The case was removed to the federal bankruptcy court on September 21, 2021. The Port Authority filed a motion to dismiss on March 4, 2022, which the federal bankruptcy court granted on September 30, 2022. On January 27, 2020, TPBC filed separate litigation in the U.S. District Court for the Southern District of New York in which TPBC asserted related claims against individual owners of the Developer for their wrongful conversion of project funds and against lenders that received interest payments from project funds and other amounts earmarked to pay the contractors. On December 29, 2020, the court granted in part and denied in part the defendants’ motions to dismiss, resulting in the lender defendants being dismissed from the lawsuit and the lawsuit against the individual owners of the Developer continuing. The lawsuit was refiled in New York state court on July 26, 2021. On June 8, 2022, the court certified the class under the New York construction trust fund statutes. The case remains pending before the court. As of September 30, 2022, the Company has concluded that the potential for a material adverse financial impact due to the Developer’s claims is remote. With respect to TPBC’s claims against the Developer, its owners, certain lenders and the Port Authority, management has made an estimate of the total anticipated recovery on this project, and such estimate is included in revenue recorded to date. |
Share-Based Compensation
Share-Based Compensation | 9 Months Ended |
Sep. 30, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Share-Based Compensation | Share-Based Compensation As of September 30, 2022, there were 1,309,786 shares of common stock available for grant under the Tutor Perini Corporation Omnibus Incentive Plan. During the nine months ended September 30, 2022 and 2021, the Company granted the following share-based instruments: (1) restricted stock units (“RSUs”) totaling 375,769 and 555,986, respectively, with weighted-average grant date fair values per unit of $10.53 and $16.52, respectively; (2) cash-settled performance stock units (“CPSUs”) totaling 315,768 and 275,986, respectively, with weighted-average grant date fair values per unit of $14.89 and $20.21, respectively; and (3) shares of unrestricted stock totaling 165,030 and 96,668, respectively, with weighted-average grant date fair values per share of $10.63 and $15.62, respectively. During the nine months ended September 30, 2022, 500,000 stock options with a weighted-average exercise price per share of $11.15 expired. As of September 30, 2022 and December 31, 2021, liabilities totaling approximately $2.6 million and $4.8 million, respectively, were included on the Condensed Consolidated Balance Sheets for CPSUs and certain RSUs granted with guaranteed minimum payouts. The Company paid approximately $3.6 million and $0.3 million to settle certain awards during the nine-month periods ended September 30, 2022 and 2021, respectively. For the three and nine months ended September 30, 2022, the Company recognized, as part of general and administrative expenses, costs for share-based payment arrangements totaling $2.9 million and $7.7 million, respectively, and $3.1 million and $8.1 million for the three and nine months ended September 30, 2021, respectively. As of September 30, 2022, the balance of unamortized share-based compensation expense was $14.1 million, which is expected to be recognized over a weighted-average period of 2.0 years. |
Employee Pension Plans
Employee Pension Plans | 9 Months Ended |
Sep. 30, 2022 | |
Retirement Benefits [Abstract] | |
Employee Pension Plans | Employee Pension Plans The Company has a defined benefit pension plan and an unfunded supplemental retirement plan. Effective June 1, 2004, all benefit accruals under these plans were frozen; however, the current vested benefit was preserved. The pension disclosure presented below includes aggregated amounts for both of the Company’s plans. The following table sets forth a summary of the net periodic benefit cost for the three and nine months ended September 30, 2022 and 2021: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2022 2021 2022 2021 Interest cost $ 647 $ 582 $ 1,940 $ 1,746 Service cost 240 236 720 709 Expected return on plan assets (973) (1,015) (2,919) (3,045) Recognized net actuarial losses 639 683 1,916 2,049 Net periodic benefit cost $ 553 $ 486 $ 1,657 $ 1,459 |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements The fair value hierarchy established by ASC 820, Fair Value Measurement , prioritizes the use of inputs used in valuation techniques into the following three levels: • Level 1 inputs are observable quoted prices in active markets for identical assets or liabilities • Level 2 inputs are observable, either directly or indirectly, but are not Level 1 inputs • Level 3 inputs are unobservable The following fair value hierarchy table presents the Company’s assets that are measured at fair value on a recurring basis as of September 30, 2022 and December 31, 2021: As of September 30, 2022 As of December 31, 2021 Fair Value Hierarchy Fair Value Hierarchy (in thousands) Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Cash and cash equivalents (a) $ 323,200 $ — $ — $ 323,200 $ 202,197 $ — $ — $ 202,197 Restricted cash (a) 21,817 — — 21,817 9,199 — — 9,199 Restricted investments (b) — 79,562 — 79,562 — 84,355 — 84,355 Investments in lieu of retention (c) 23,434 58,441 — 81,875 27,472 58,856 — 86,328 Total $ 368,451 $ 138,003 $ — $ 506,454 $ 238,868 $ 143,211 $ — $ 382,079 ____________________________________________________________________________________________________ (a) Includes money market funds and short-term investments with maturity dates of three months or less when acquired. (b) Restricted investments, as of September 30, 2022 and December 31, 2021, consist of available-for-sale (“AFS”) debt securities, which are valued based on pricing models determined from a compilation of primarily observable market information, broker quotes in non-active markets or similar assets; therefore, they are classified as Level 2 assets. (c) Investments in lieu of retention are included in retention receivable as of September 30, 2022 and December 31, 2021, and are comprised of money market funds of $23.4 million and $27.5 million, respectively, and AFS debt securities of $58.4 million and $58.9 million, respectively. The fair values of the money market funds are measured using quoted market prices; therefore, they are classified as Level 1 assets. The fair values of AFS debt securities are determined from a compilation of primarily observable market information, broker quotes in non-active markets or similar assets; therefore, they are classified as Level 2 assets. Investments in AFS debt securities consisted of the following as of September 30, 2022 and December 31, 2021: As of September 30, 2022 As of December 31, 2021 (in thousands) Amortized Cost Unrealized Gains Unrealized Losses Fair Value Amortized Cost Unrealized Gains Unrealized Losses Fair Value Restricted investments: Corporate debt securities $ 47,529 $ 22 $ (3,866) $ 43,685 $ 46,649 $ 438 $ (438) $ 46,649 U.S. government agency securities 29,063 — (1,756) 27,307 28,316 459 (133) 28,642 Municipal bonds 9,334 — (1,274) 8,060 8,475 100 (78) 8,497 Corporate certificates of deposit 564 — (54) 510 571 2 (6) 567 Total restricted investments 86,490 22 (6,950) 79,562 84,011 999 (655) 84,355 Investments in lieu of retention: Corporate debt securities 61,656 — (4,143) 57,513 58,261 72 (741) 57,592 Municipal bonds 816 112 — 928 812 452 — 1,264 Total investments in lieu of retention 62,472 112 (4,143) 58,441 59,073 524 (741) 58,856 Total AFS debt securities $ 148,962 $ 134 $ (11,093) $ 138,003 $ 143,084 $ 1,523 $ (1,396) $ 143,211 The following table summarizes the fair value and gross unrealized losses aggregated by category and the length of time that individual securities have been in a continuous unrealized loss position as of September 30, 2022 and December 31, 2021: As of September 30, 2022 Less than 12 Months 12 Months or Greater Total (in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Restricted investments: Corporate debt securities $ 26,673 $ (1,817) $ 16,742 $ (2,049) $ 43,415 $ (3,866) U.S. government agency securities 22,552 (1,108) 4,755 (648) 27,307 (1,756) Municipal bonds 6,037 (816) 2,023 (458) 8,060 (1,274) Corporate certificates of deposit 118 (12) 392 (42) 510 (54) Total restricted investments 55,380 (3,753) 23,912 (3,197) 79,292 (6,950) Investments in lieu of retention: Corporate debt securities 57,513 (4,143) — — 57,513 (4,143) Total investments in lieu of retention 57,513 (4,143) — — 57,513 (4,143) Total AFS debt securities $ 112,893 $ (7,896) $ 23,912 $ (3,197) $ 136,805 $ (11,093) As of December 31, 2021 Less than 12 Months 12 Months or Greater Total (in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Restricted investments: Corporate debt securities $ 28,639 $ (434) $ 207 $ (4) $ 28,846 $ (438) U.S. government agency securities 5,382 (97) 824 (36) 6,206 (133) Municipal bonds 2,714 (35) 907 (43) 3,621 (78) Corporate certificates of deposit 435 (6) — — 435 (6) Total restricted investments 37,170 (572) 1,938 (83) 39,108 (655) Investments in lieu of retention: Corporate debt securities 46,486 (736) 714 (5) 47,200 (741) Total investments in lieu of retention 46,486 (736) 714 (5) 47,200 (741) Total AFS debt securities $ 83,656 $ (1,308) $ 2,652 $ (88) $ 86,308 $ (1,396) The unrealized losses in AFS debt securities as of September 30, 2022 and December 31, 2021 are primarily attributable to market interest rate increases and not a deterioration in credit quality of the issuers. Management evaluated the unrealized losses in AFS debt securities considering factors including credit ratings and other relevant information, which may indicate that contractual cash flows are not expected to occur. Based on the analysis, management determined that credit losses did not exist for AFS debt securities in an unrealized loss position as of September 30, 2022 and December 31, 2021. It is not considered likely that the Company will be required to sell the investments before full recovery of the amortized cost basis of the AFS debt securities, which may be at maturity. As a result, consistent with the same period in 2021, the Company has not recognized any impairment losses in earnings during the nine months ended September 30, 2022. The amortized cost and fair value of AFS debt securities by contractual maturity as of September 30, 2022 are summarized in the table below. Actual maturities may differ from contractual maturities because certain borrowers have the right to call or prepay certain obligations. (in thousands) Amortized Cost Fair Value Due within one year $ 20,553 $ 20,333 Due after one year through five years 117,590 108,498 Due after five years 10,819 9,172 Total $ 148,962 $ 138,003 The carrying values of receivables, payables and other amounts arising out of normal contract activities, including retention, which may be settled beyond one year, are estimated to approximate fair value. Of the Company’s long-term debt, the fair value of the 2017 Senior Notes was $374.9 million and $504.9 million as of September 30, 2022 and December 31, 2021, respectively. The fair value of the 2017 Senior Notes was determined using Level 1 inputs, specifically current observable market prices. The fair value of the Term Loan B was $384.2 million and $419.7 million as of September 30, 2022 and December 31, 2021, respectively. The fair value of the Term Loan B was determined using Level 2 inputs, specifically third-party quoted market prices. The reported value of the Company’s remaining borrowings approximates fair value as of September 30, 2022 and December 31, 2021. |
Variable Interest Entities (VIE
Variable Interest Entities (VIEs) | 9 Months Ended |
Sep. 30, 2022 | |
Variable Interest Entities [Abstract] | |
Variable Interest Entities (VIEs) | Variable Interest Entities (VIEs) The Company may form joint ventures or partnerships with third parties for the execution of projects. In accordance with ASC 810, Consolidation (“ASC 810”), the Company assesses its partnerships and joint ventures at inception to determine if any meet the qualifications of a VIE. The Company considers a joint venture a VIE if either (a) the total equity investment is not sufficient to permit the entity to finance its activities without additional subordinated financial support, (b) characteristics of a controlling financial interest are missing (either the ability to make decisions through voting or other rights, the obligation to absorb the expected losses of the entity or the right to receive the expected residual returns of the entity), or (c) the voting rights of the equity holders are not proportional to their obligations to absorb the expected losses of the entity and/or their rights to receive the expected residual returns of the entity, and substantially all of the entity’s activities either involve or are conducted on behalf of an investor that has disproportionately few voting rights. Upon the occurrence of certain events outlined in ASC 810, the Company reassesses its initial determination of whether a joint venture is a VIE. ASC 810 also requires the Company to determine whether it is the primary beneficiary of the VIE. The Company concludes that it is the primary beneficiary and consolidates the VIE if the Company has both (a) the power to direct the economically significant activities of the VIE and (b) the obligation to absorb losses of, or the right to receive benefits from, the VIE that could potentially be significant to the VIE. The Company considers the contractual agreements that define the ownership structure, distribution of profits and losses, risks, responsibilities, indebtedness, voting rights and board representation of the respective parties in determining if the Company is the primary beneficiary. The Company also considers all parties that have direct or implicit variable interests when determining whether it is the primary beneficiary. In accordance with ASC 810, management’s assessment of whether the Company is the primary beneficiary of a VIE is performed continuously. As of September 30, 2022, the Company had unconsolidated VIE-related current assets and liabilities of $0.6 million and $0.2 million, respectively, included in the Company’s Condensed Consolidated Balance Sheet. As of December 31, 2021, the Company had unconsolidated VIE-related current assets and liabilities of $0.7 million and $0.4 million, respectively, included in the Company’s Condensed Consolidated Balance Sheet. The Company’s maximum exposure to loss as a result of its investments in unconsolidated VIEs is typically limited to the aggregate of the carrying value of the investment and future funding commitments. There were no future funding requirements for the unconsolidated VIEs as of September 30, 2022. As of September 30, 2022, the Company’s Condensed Consolidated Balance Sheet included current and noncurrent assets of $544.1 million and $16.4 million, respectively, as well as current liabilities of $584.9 million related to the operations of its consolidated VIEs. As of December 31, 2021, the Company’s Condensed Consolidated Balance Sheet included current and noncurrent assets of $568.2 million and $3.0 million, respectively, as well as current liabilities of $496.9 million related to the operations of its consolidated VIEs. Below is a discussion of some of the Company’s more significant or unique VIEs. The Company established a joint venture to construct the Purple Line Extension Section 2 (Tunnels and Stations) and Section 3 (Stations) mass-transit projects in Los Angeles, California with an original combined value of approximately $2.8 billion. The Company has a 75% interest in the joint venture with the remaining 25% held by O&G Industries, Inc. The joint venture was initially financed with contributions from the partners and, per the terms of the joint venture agreement, the partners may be required to provide additional capital contributions in the future. The Company has determined that this joint venture is a VIE for which the Company is the primary beneficiary. The Company also established a joint venture with Parsons Corporation (“Parsons”) to construct the Newark Liberty International Airport Terminal One project, a transportation infrastructure project in Newark, New Jersey with an original value of approximately $1.4 billion. The Company has an 80% interest in the joint venture with the remaining 20% held by Parsons. The joint venture was initially financed with contributions from the partners and, per the terms of the joint venture agreement, the partners may be required to provide additional capital contributions in the future. The Company has determined that this joint venture is a VIE for which the Company is the primary beneficiary. |
Changes in Equity
Changes in Equity | 9 Months Ended |
Sep. 30, 2022 | |
Stockholders' Equity Note [Abstract] | |
Changes in Equity | Changes in Equity A reconciliation of the changes in equity for the three and nine months ended September 30, 2022 and 2021 is provided below: Three Months Ended September 30, 2022 (in thousands) Common Additional Retained Accumulated Noncontrolling Total Balance - June 30, 2022 $ 51,358 $ 1,137,966 $ 429,673 $ (48,963) $ (2,088) $ 1,567,946 Net income (loss) — — (32,455) — 8,385 (24,070) Other comprehensive loss — — — (3,054) (1,525) (4,579) Share-based compensation — 1,816 — — — 1,816 Issuance of common stock, net 127 123 — — — 250 Distributions to noncontrolling interests — — — — (22,000) (22,000) Balance - September 30, 2022 $ 51,485 $ 1,139,905 $ 397,218 $ (52,017) $ (17,228) $ 1,519,363 Nine Months Ended September 30, 2022 (in thousands) Common Additional Retained Accumulated Noncontrolling Total Balance - December 31, 2021 $ 51,096 $ 1,133,150 $ 514,310 $ (43,635) $ 18,799 $ 1,673,720 Net income (loss) — — (117,092) — 12,189 (104,903) Other comprehensive loss — — — (8,382) (2,677) (11,059) Share-based compensation — 6,818 — — — 6,818 Issuance of common stock, net 389 (63) — — — 326 Contributions from noncontrolling interests — — — — 961 961 Distributions to noncontrolling interests — — — — (46,500) (46,500) Balance - September 30, 2022 $ 51,485 $ 1,139,905 $ 397,218 $ (52,017) $ (17,228) $ 1,519,363 Three Months Ended September 30, 2021 (in thousands) Common Additional Retained Accumulated Noncontrolling Total Balance - June 30, 2021 $ 51,072 $ 1,130,368 $ 469,584 $ (46,526) $ 5,932 $ 1,610,430 Net income — — 15,394 — 10,847 26,241 Other comprehensive loss — — — (634) (447) (1,081) Share-based compensation — 2,030 — — — 2,030 Issuance of common stock, net — (2) — — — (2) Contributions from noncontrolling interests — — — — 3,000 3,000 Distributions to noncontrolling interests — — — — (10,000) (10,000) Balance - September 30, 2021 $ 51,072 $ 1,132,396 $ 484,978 $ (47,160) $ 9,332 $ 1,630,618 Nine Months Ended September 30, 2021 (in thousands) Common Additional Retained Accumulated Noncontrolling Total Balance - December 31, 2020 $ 50,827 $ 1,127,385 $ 422,385 $ (46,741) $ (10,911) $ 1,542,945 Net income — — 62,593 — 30,364 92,957 Other comprehensive income (loss) — — — (419) 129 (290) Share-based compensation — 6,787 — — — 6,787 Issuance of common stock, net 245 (1,776) — — — (1,531) Contributions from noncontrolling interests — — — — 7,000 7,000 Distributions to noncontrolling interests — — — — (17,250) (17,250) Balance - September 30, 2021 $ 51,072 $ 1,132,396 $ 484,978 $ (47,160) $ 9,332 $ 1,630,618 |
Other Comprehensive Income (Los
Other Comprehensive Income (Loss) | 9 Months Ended |
Sep. 30, 2022 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Other Comprehensive Income (Loss) | Other Comprehensive Income (Loss) ASC 220, Comprehensive Income , establishes standards for reporting comprehensive income and its components in the consolidated financial statements. The Company reports the change in pension benefit plan assets/liabilities, cumulative foreign currency translation and change in fair value of investments as components of accumulated other comprehensive income (loss) (“AOCI”). The components of other comprehensive income (loss) and the related tax effects for the three and nine months ended September 30, 2022 and 2021 were as follows: Three Months Ended September 30, 2022 Three Months Ended September 30, 2021 (in thousands) Before-Tax Amount Tax (Expense) Benefit Net-of-Tax Amount Before-Tax Amount Tax (Expense) Benefit Net-of-Tax Amount Other comprehensive loss: Defined benefit pension plan adjustments $ 639 $ (181) $ 458 $ 683 $ (191) $ 492 Foreign currency translation adjustments (3,016) 489 (2,527) (1,389) 264 (1,125) Unrealized loss in fair value of investments (3,188) 678 (2,510) (581) 133 (448) Total other comprehensive loss (5,565) 986 (4,579) (1,287) 206 (1,081) Less: Other comprehensive loss attributable to noncontrolling interests (1,525) — (1,525) (447) — (447) Total other comprehensive loss attributable to Tutor Perini Corporation $ (4,040) $ 986 $ (3,054) $ (840) $ 206 $ (634) Nine Months Ended September 30, 2022 Nine Months Ended September 30, 2021 (in thousands) Before-Tax Amount Tax (Expense) Benefit Net-of-Tax Amount Before-Tax Amount Tax (Expense) Benefit Net-of-Tax Amount Other comprehensive loss: Defined benefit pension plan adjustments $ 1,916 $ (543) $ 1,373 $ 2,049 $ (574) $ 1,475 Foreign currency translation adjustments (4,458) 798 (3,660) (541) 188 (353) Unrealized loss in fair value of investments (11,086) 2,314 (8,772) (1,828) 416 (1,412) Total other comprehensive loss (13,628) 2,569 (11,059) (320) 30 (290) Less: Other comprehensive income (loss) attributable to noncontrolling interests (2,677) — (2,677) 129 — 129 Total other comprehensive loss attributable to Tutor Perini Corporation $ (10,951) $ 2,569 $ (8,382) $ (449) $ 30 $ (419) The changes in AOCI balances by component (after tax) attributable to Tutor Perini Corporation and attributable to noncontrolling interests during the three and nine months ended September 30, 2022 were as follows: Three Months Ended September 30, 2022 (in thousands) Defined Foreign Unrealized Gain (Loss) in Fair Value of Investments, Net Accumulated Attributable to Tutor Perini Corporation: Balance as of June 30, 2022 $ (36,951) $ (6,568) $ (5,444) $ (48,963) Other comprehensive loss before reclassifications — (1,238) (2,337) (3,575) Amounts reclassified from AOCI 458 — 63 521 Total other comprehensive income (loss) 458 (1,238) (2,274) (3,054) Balance as of September 30, 2022 $ (36,493) $ (7,806) $ (7,718) $ (52,017) Attributable to Noncontrolling Interests: Balance as of June 30, 2022 $ — $ 190 $ (800) $ (610) Other comprehensive loss — (1,289) (236) (1,525) Balance as of September 30, 2022 $ — $ (1,099) $ (1,036) $ (2,135) Nine Months Ended September 30, 2022 (in thousands) Defined Foreign Unrealized Gain (Loss) in Fair Value of Investments, Net Accumulated Attributable to Tutor Perini Corporation: Balance as of December 31, 2021 $ (37,866) $ (5,787) $ 18 $ (43,635) Other comprehensive loss before reclassifications — (2,019) (7,832) (9,851) Amounts reclassified from AOCI 1,373 — 96 1,469 Total other comprehensive income (loss) 1,373 (2,019) (7,736) (8,382) Balance as of September 30, 2022 $ (36,493) $ (7,806) $ (7,718) $ (52,017) Attributable to Noncontrolling Interests: Balance as of December 31, 2021 $ — $ 542 $ — $ 542 Other comprehensive loss — (1,641) (1,036) (2,677) Balance as of September 30, 2022 $ — $ (1,099) $ (1,036) $ (2,135) The changes in AOCI balances by component (after tax) attributable to Tutor Perini Corporation and attributable to noncontrolling interests during the three and nine months ended September 30, 2021 were as follows: Three Months Ended September 30, 2021 (in thousands) Defined Foreign Unrealized Gain (Loss) in Fair Value of Investments, Net Accumulated Attributable to Tutor Perini Corporation: Balance as of June 30, 2021 $ (43,104) $ (5,126) $ 1,704 $ (46,526) Other comprehensive loss before reclassifications — (678) (391) (1,069) Amounts reclassified from AOCI 492 — (57) 435 Total other comprehensive income (loss) 492 (678) (448) (634) Balance as of September 30, 2021 $ (42,612) $ (5,804) $ 1,256 $ (47,160) Attributable to Noncontrolling Interests: Balance as of June 30, 2021 $ — $ 978 $ — $ 978 Other comprehensive loss — (447) — (447) Balance as of September 30, 2021 $ — $ 531 $ — $ 531 Nine Months Ended September 30, 2021 (in thousands) Defined Foreign Unrealized Gain (Loss) in Fair Value of Investments, Net Accumulated Attributable to Tutor Perini Corporation: Balance as of December 31, 2020 $ (44,087) $ (5,322) $ 2,668 $ (46,741) Other comprehensive loss before reclassifications — (482) (1,218) (1,700) Amounts reclassified from AOCI 1,475 — (194) 1,281 Total other comprehensive income (loss) 1,475 (482) (1,412) (419) Balance as of September 30, 2021 $ (42,612) $ (5,804) $ 1,256 $ (47,160) Attributable to Noncontrolling Interests: Balance as of December 31, 2020 $ — $ 402 $ — $ 402 Other comprehensive income — 129 — 129 Balance as of September 30, 2021 $ — $ 531 $ — $ 531 The significant items reclassified out of AOCI and the corresponding location and impact on the Condensed Consolidated Statements of Operations during the three and nine months ended September 30, 2022 and 2021 were as follows: Three Months Ended Nine Months Ended (in thousands) 2022 2021 2022 2021 Component of AOCI: Defined benefit pension plan adjustments (a) $ 639 $ 683 $ 1,916 $ 2,049 Income tax benefit (b) (181) (191) (543) (574) Net of tax $ 458 $ 492 $ 1,373 $ 1,475 Unrealized (gain) loss in fair value of investment adjustments (a) $ 79 $ (73) $ 121 $ (246) Income tax expense (benefit) (b) (16) 16 (25) 52 Net of tax $ 63 $ (57) $ 96 $ (194) ___________________________________________________________________________________________________ (a) Amount included in other income (expense) on the Condensed Consolidated Statements of Operations. (b) Amounts included in income tax (expense) benefit on the Condensed Consolidated Statements of Operations. |
Business Segments
Business Segments | 9 Months Ended |
Sep. 30, 2022 | |
Segment Reporting [Abstract] | |
Business Segments | Business Segments The Company offers general contracting, pre-construction planning and comprehensive project management services, including planning and scheduling of manpower, equipment, materials and subcontractors required for the timely completion of a project in accordance with the terms and specifications contained in a construction contract. The Company also offers self-performed construction services: site work, concrete forming and placement, steel erection, electrical, mechanical, plumbing, and HVAC (heating, ventilation and air conditioning). As described below, the Company’s business is conducted through three segments: Civil, Building and Specialty Contractors. These segments are determined based on how the Company’s Chairman and Chief Executive Officer (chief operating decision maker) aggregates business units when evaluating performance and allocating resources. The Civil segment specializes in public works construction and the replacement and reconstruction of infrastructure. The contracting services provided by the Civil segment include construction and rehabilitation of highways, bridges, tunnels, mass-transit systems, military defense facilities, and water management and wastewater treatment facilities. The Building segment has significant experience providing services for private and public works customers in a number of specialized building markets, including: hospitality and gaming, transportation, health care, commercial offices, government facilities, sports and entertainment, education, correctional facilities, biotech, pharmaceutical, industrial and technology. The Specialty Contractors segment specializes in electrical, mechanical, plumbing, HVAC and fire protection systems for a full range of civil and building construction projects in the industrial, commercial, hospitality and gaming, and mass-transit end markets. This segment provides the Company with unique strengths and capabilities that allow the Company to position itself as a full-service contractor with greater control over scheduled work, project delivery, and cost and risk management. To the extent that a contract is co-managed and co-executed among segments, the Company allocates the share of revenues and costs of the contract to each segment to reflect the shared responsibilities in the management and execution of the project. The following tables set forth certain reportable segment information relating to the Company’s operations for the three and nine months ended September 30, 2022 and 2021: Reportable Segments (in thousands) Civil Building Specialty Total Corporate Consolidated Three Months Ended September 30, 2022 Total revenue $ 564,205 $ 341,614 $ 251,974 $ 1,157,793 $ — $ 1,157,793 Elimination of intersegment revenue (63,300) (23,564) (3) (86,867) — (86,867) Revenue from external customers $ 500,905 $ 318,050 $ 251,971 $ 1,070,926 $ — $ 1,070,926 Income (loss) from construction operations $ 22,786 $ 56 $ (11,836) $ 11,006 (a) $ (17,898) (b) $ (6,892) Capital expenditures $ 11,872 $ 921 $ 748 $ 13,541 $ 423 $ 13,964 Depreciation and amortization (c) $ 12,166 $ 470 $ 529 $ 13,165 $ 2,368 $ 15,533 Three Months Ended September 30, 2021 Total revenue $ 624,549 $ 395,013 $ 271,316 $ 1,290,878 $ — $ 1,290,878 Elimination of intersegment revenue (78,331) (34,072) (253) (112,656) — (112,656) Revenue from external customers $ 546,218 $ 360,941 $ 271,063 $ 1,178,222 $ — $ 1,178,222 Income (loss) from construction operations $ 62,555 $ 10,786 $ (5,470) $ 67,871 $ (15,778) (b) $ 52,093 Capital expenditures $ 7,847 $ 87 $ 134 $ 8,068 $ 234 $ 8,302 Depreciation and amortization (c) $ 26,234 $ 416 $ 777 $ 27,427 $ 2,634 $ 30,061 ____________________________________________________________________________________________________ (a) During the three months ended September 30, 2022, the Company’s income (loss) from construction operations was adversely impacted by a $14.3 million ($10.2 million, or $0.20 per diluted share, after tax) unfavorable adjustment on a completed Civil segment highway project in the Northeast due to the reversal on appeal of a p reviously favorable lower-court ruling. (b) Consists primarily of corporate general and administrative expenses. (c) Depreciation and amortization is included in income (loss) from construction operations. Reportable Segments (in thousands) Civil Building Specialty Total Corporate Consolidated Nine Months Ended September 30, 2022 Total revenue $ 1,478,162 $ 960,148 $ 673,302 $ 3,111,612 $ — $ 3,111,612 Elimination of intersegment revenue (182,840) (44,509) (156) (227,505) — (227,505) Revenue from external customers $ 1,295,322 $ 915,639 $ 673,146 $ 2,884,107 $ — $ 2,884,107 Income (loss) from construction operations $ 12,052 $ 9,453 $ (82,461) $ (60,956) (a) $ (46,397) (b) $ (107,353) Capital expenditures $ 38,703 $ 973 $ 2,202 $ 41,878 $ 931 $ 42,809 Depreciation and amortization (c) $ 44,191 $ 1,261 $ 1,539 $ 46,991 $ 7,063 $ 54,054 Nine Months Ended September 30, 2021 Total revenue $ 1,850,748 $ 1,267,984 $ 877,634 $ 3,996,366 $ — $ 3,996,366 Elimination of intersegment revenue (273,603) (117,150) (553) (391,306) — (391,306) Revenue from external customers $ 1,577,145 $ 1,150,834 $ 877,081 $ 3,605,060 $ — $ 3,605,060 Income (loss) from construction operations $ 187,733 $ 19,514 $ 5,814 $ 213,061 (d) $ (42,511) (b) $ 170,550 Capital expenditures $ 26,027 $ 211 $ 298 $ 26,536 $ 626 $ 27,162 Depreciation and amortization (c) $ 80,125 $ 1,272 $ 2,628 $ 84,025 $ 8,171 $ 92,196 ____________________________________________________________________________________________________ (a) During the nine months ended September 30, 2022, the Company’s income (loss) from construction operations was adversely impacted by $36.0 million ($26.0 million, or $0.51 per diluted share, after tax) due to unfavorable adjustments related to the unforeseen cost of project close-out issues, remediation work, extended project supervision and associated labor inefficiencies on the electrical component of a transportation project in the Northeast in the Specialty Contractors segment, and $34.6 million ($27.3 million, or $0.53 per diluted share, after tax) for a Civil segment mass-transit project in California, which resulted from the successful negotiation of significant lower margin (and lower risk) change orders that increased the project’s overall estimated profit but reduced the project’s percentage of completion and overall margin percentage. The Company’s income (loss) from construction operations was also impacted by a non-cash charge of $25.5 million ($18.3 million, or $0.36 per diluted share, after tax) due to an adverse legal ruling on a dispute related to a completed Civil segment bridge project in New York, an $18.0 million ($13.9 million, or $0.27 per diluted share, after tax) unfavorable adjustment split evenly between the Civil and Building segments due to changes in estimates on the same transportation project in the Northeast mentioned above, a non-cash charge of $17.8 million ($12.8 million, or $0.25 per diluted share, after tax) that increased cost of operations associated with the partial reversal by an appellate court of previously awarded legal damages related to a completed electrical project in New York in the Specialty Contractors segment, a $16.2 million ($11.6 million, or $0.23 per diluted share, after tax) unfavorable non-cash impact related to the settlement of a long-disputed, completed Civil segment project in Maryland, a $14.3 million ($10.2 million, or $0.20 per diluted share, after tax) unfavorable adjustment on a completed Civil segment highway project in the Northeast due to the reversal on appeal of a previously favorable lower-court ruling, and $13.1 million ($9.4 million, or $0.18 per diluted share, after tax) of unfavorable adjustments on a Civil segment mass-transit project in California. (b) Consists primarily of corporate general and administrative expenses. (c) Depreciation and amortization is included in income (loss) from construction operations. (d) During the nine months ended September 30, 2021, the Company recorded a reduction of $20.1 million in cost of operations ($14.6 million, or $0.28 per diluted share, after tax) due to a favorable trial court ruling awarding the Company the recovery of certain costs previously incurred on a completed electrical project in New York in the Specialty Contractors segment. The Company also recognized $18.1 million of additional revenue ($13.0 million, or $0.25 per diluted share, after tax) as a result of favorable adjustments on a Civil segment mass-transit project in California reflecting improved profitability due to the mitigation of certain risks as the project progresses toward completion. The Company’s income from construction operations was also negatively impacted by $14.5 million ($10.5 million, or $0.21 per diluted share, after-tax) due to changes in estimates on an electrical project in New York in the Specialty Contractors segment that included unfavorable adjustments and the negative impact to the period associated with increases to project forecasts due to growth in unapproved change orders (expected to be negotiated in future periods). A reconciliation of segment results to the consolidated income (loss) before income taxes is as follows: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2022 2021 2022 2021 Income (loss) from construction operations $ (6,892) $ 52,093 $ (107,353) $ 170,550 Other income (expense) 397 (464) 5,114 1,142 Interest expense (17,015) (16,694) (49,711) (52,442) Income (loss) before income taxes $ (23,510) $ 34,935 $ (151,950) $ 119,250 Total assets by segment were as follows: (in thousands) As of September 30, As of December 31, Civil $ 3,467,173 $ 3,310,648 Building 976,400 980,989 Specialty Contractors 607,424 631,710 Corporate and other (a) (290,023) (198,449) Total assets $ 4,760,974 $ 4,724,898 ____________________________________________________________________________________________________ (a) Consists principally of cash, equipment, tax-related assets and insurance-related assets, offset by the elimination of assets related to intersegment revenue. |
Revenue (Tables)
Revenue (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following tables disaggregate revenue by end market, customer type and contract type, which the Company believes best depict how the nature, amount, timing and uncertainty of its revenue and cash flows are affected by economic factors for the three and nine months ended September 30, 2022 and 2021. Three Months Ended Nine Months Ended (in thousands) 2022 2021 2022 2021 Civil segment revenue by end market: Mass transit (includes certain transportation and tunneling projects) $ 311,702 $ 386,913 $ 794,414 $ 1,062,322 Bridges 86,042 67,117 212,362 179,059 Military defense facilities 66,063 46,615 176,212 140,736 Water 27,098 22,470 70,134 74,080 Other 10,000 23,103 42,200 120,948 Total Civil segment revenue $ 500,905 $ 546,218 $ 1,295,322 $ 1,577,145 Three Months Ended Nine Months Ended (in thousands) 2022 2021 2022 2021 Building segment revenue by end market: Municipal and government $ 88,624 $ 76,471 $ 248,405 $ 222,855 Commercial and industrial facilities 60,711 75,402 149,106 307,414 Health care facilities 48,602 20,287 134,439 44,294 Hospitality and gaming 17,455 89,317 118,450 276,029 Mass transit (includes transportation projects) 40,783 38,868 111,431 99,747 Education facilities 41,538 39,528 102,574 123,988 Other 20,337 21,068 51,234 76,507 Total Building segment revenue $ 318,050 $ 360,941 $ 915,639 $ 1,150,834 Three Months Ended Nine Months Ended (in thousands) 2022 2021 2022 2021 Specialty Contractors segment revenue by end market: Mass transit (includes certain transportation and tunneling projects) $ 95,281 $ 135,971 $ 289,703 $ 465,179 Commercial and industrial facilities 50,213 33,897 116,514 109,283 Multi-unit residential 31,461 28,054 84,642 101,498 Water 20,274 29,161 55,693 67,829 Education facilities 20,186 13,876 40,627 45,657 Federal government 14,552 4,454 35,407 8,956 Other 20,004 25,650 50,560 78,679 Total Specialty Contractors segment revenue $ 251,971 $ 271,063 $ 673,146 $ 877,081 Three Months Ended Three Months Ended (in thousands) Civil Building Specialty Total Civil Building Specialty Total Revenue by customer type: State and local agencies $ 375,566 $ 136,082 $ 113,907 $ 625,555 $ 478,720 $ 99,540 $ 110,012 $ 688,272 Federal agencies 97,741 42,367 4,983 145,091 48,680 50,437 14,716 113,833 Private owners 27,598 139,601 133,081 300,280 18,818 210,964 146,335 376,117 Total revenue $ 500,905 $ 318,050 $ 251,971 $ 1,070,926 $ 546,218 $ 360,941 $ 271,063 $ 1,178,222 Nine Months Ended Nine Months Ended (in thousands) Civil Building Specialty Total Civil Building Specialty Total Revenue by customer type: State and local agencies $ 1,008,819 $ 349,245 $ 297,955 $ 1,656,019 $ 1,350,555 $ 268,396 $ 377,016 $ 1,995,967 Federal agencies 211,426 130,867 19,503 361,796 149,648 150,085 41,657 341,390 Private owners 75,077 435,527 355,688 866,292 76,942 732,353 458,408 1,267,703 Total revenue $ 1,295,322 $ 915,639 $ 673,146 $ 2,884,107 $ 1,577,145 $ 1,150,834 $ 877,081 $ 3,605,060 Three Months Ended Three Months Ended (in thousands) Civil Building Specialty Total Civil Building Specialty Total Revenue by contract type: Fixed price $ 416,216 $ 103,804 $ 206,886 $ 726,906 $ 473,212 $ 89,895 $ 235,534 $ 798,641 Guaranteed maximum price (13) 144,831 5,627 150,445 502 219,395 5,420 225,317 Unit price 90,372 — 25,951 116,323 71,429 130 23,558 95,117 Cost plus fee and other (5,670) 69,415 13,507 77,252 1,075 51,521 6,551 59,147 Total revenue $ 500,905 $ 318,050 $ 251,971 $ 1,070,926 $ 546,218 $ 360,941 $ 271,063 $ 1,178,222 Nine Months Ended Nine Months Ended (in thousands) Civil Building Specialty Total Civil Building Specialty Total Revenue by contract type: Fixed price $ 1,090,623 $ 270,618 $ 563,985 $ 1,925,226 $ 1,353,436 $ 269,693 $ 775,292 $ 2,398,421 Guaranteed maximum price 581 462,294 14,321 477,196 2,270 737,251 9,113 748,634 Unit price 213,092 33 62,837 275,962 212,678 (1,323) 80,558 291,913 Cost plus fee and other (8,974) 182,694 32,003 205,723 8,761 145,213 12,118 166,092 Total revenue $ 1,295,322 $ 915,639 $ 673,146 $ 2,884,107 $ 1,577,145 $ 1,150,834 $ 877,081 $ 3,605,060 |
Contract Assets and Liabiliti_2
Contract Assets and Liabilities (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Contract with Customer, Contract Asset, Contract Liability, and Receivable [Abstract] | |
Schedule of Contract Assets and Liabilities | Contract assets include amounts due under retention provisions, costs and estimated earnings in excess of billings and capitalized contract costs. The amounts as included on the Condensed Consolidated Balance Sheets consisted of the following: (in thousands) As of September 30, As of December 31, Retention receivable $ 583,789 $ 568,881 Costs and estimated earnings in excess of billings: Claims 741,678 833,352 Unapproved change orders 584,388 418,054 Other unbilled costs and profits 122,275 105,362 Total costs and estimated earnings in excess of billings 1,448,341 1,356,768 Capitalized contract costs 60,740 69,027 Total contract assets $ 2,092,870 $ 1,994,676 Contract liabilities include amounts owed under retention provisions and billings in excess of costs and estimated earnings. The amount as reported on the Condensed Consolidated Balance Sheets consisted of the following: (in thousands) As of September 30, As of December 31, Retention payable $ 241,518 $ 268,945 Billings in excess of costs and estimated earnings 966,065 761,689 Total contract liabilities $ 1,207,583 $ 1,030,634 |
Cash, Cash Equivalents and Re_2
Cash, Cash Equivalents and Restricted Cash (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Cash and Cash Equivalents [Abstract] | |
Reconciliation of Cash, Cash Equivalents and Restricted Cash | The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the Condensed Consolidated Balance Sheets to the amounts shown in the Condensed Consolidated Statements of Cash Flows: (in thousands) As of September 30, As of December 31, Cash and cash equivalents available for general corporate purposes $ 110,736 $ 60,192 Joint venture cash and cash equivalents 212,464 142,005 Cash and cash equivalents 323,200 202,197 Restricted cash 21,817 9,199 Total cash, cash equivalents and restricted cash $ 345,017 $ 211,396 |
Earnings Per Common Share (Tabl
Earnings Per Common Share (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Earnings Per Share [Abstract] | |
Calculations of Basic and Diluted EPS | Three Months Ended September 30, Nine Months Ended September 30, (in thousands, except per common share data) 2022 2021 2022 2021 Net income (loss) attributable to Tutor Perini Corporation $ (32,455) $ 15,394 $ (117,092) $ 62,593 Weighted-average common shares outstanding, basic 51,404 51,072 51,263 50,995 Effect of dilutive restricted stock units and stock options — 294 — 369 Weighted-average common shares outstanding, diluted 51,404 51,366 51,263 51,364 Net income (loss) attributable to Tutor Perini Corporation per common share: Basic $ (0.63) $ 0.30 $ (2.28) $ 1.23 Diluted $ (0.63) $ 0.30 $ (2.28) $ 1.22 Anti-dilutive securities not included above 3,011 2,131 3,280 1,861 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Changes in Carrying Amount of Goodwill | The following table presents the changes in the carrying amount of goodwill since its inception through September 30, 2022: (in thousands) Civil Building Specialty Total Gross goodwill as of December 31, 2021 $ 492,074 $ 424,724 $ 156,193 $ 1,072,991 Accumulated impairment as of December 31, 2021 (286,931) (424,724) (156,193) (867,848) Goodwill as of December 31, 2021 205,143 — — 205,143 Current year activity — — — — Goodwill as of September 30, 2022 $ 205,143 $ — $ — $ 205,143 |
Intangible Assets | Intangible assets consist of the following: As of September 30, 2022 Weighted-Average Amortization Period (in thousands) Cost Accumulated Accumulated Impairment Charge Carrying Value Trade names (non-amortizable) $ 117,600 $ — $ (67,190) $ 50,410 Indefinite Trade names (amortizable) 69,250 (25,326) (23,232) 20,692 20 years Contractor license 6,000 — (6,000) — N/A Customer relationships 39,800 (23,155) (16,645) — N/A Construction contract backlog 149,290 (149,290) — — N/A Total $ 381,940 $ (197,771) $ (113,067) $ 71,102 As of December 31, 2021 Weighted-Average Amortization Period (in thousands) Cost Accumulated Accumulated Impairment Charge Carrying Value Trade names (non-amortizable) $ 117,600 $ — $ (67,190) $ 50,410 Indefinite Trade names (amortizable) 69,250 (23,650) (23,232) 22,368 20 years Contractor license 6,000 — (6,000) — N/A Customer relationships 39,800 (23,053) (16,645) 102 12 years Construction contract backlog 149,290 (137,102) — 12,188 3 years Total $ 381,940 $ (183,805) $ (113,067) $ 85,068 |
Financial Commitments (Tables)
Financial Commitments (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Long-term debt as reported on the Condensed Consolidated Balance Sheets consisted of the following: (in thousands) As of September 30, As of December 31, 2017 Senior Notes $ 497,020 $ 496,244 Term Loan B 404,696 406,335 2020 Revolver — 27,000 Equipment financing and mortgages 50,412 56,246 Other indebtedness 9,006 7,829 Total debt 961,134 993,654 Less: Current maturities 26,875 24,406 Long-term debt, net $ 934,259 $ 969,248 |
Reconciliation of Outstanding Debt Balance to Reported Debt Balance | The following table reconciles the outstanding debt balances to the reported debt balances as of September 30, 2022 and December 31, 2021: As of September 30, 2022 As of December 31, 2021 (in thousands) Outstanding Debt Unamortized Discounts and Issuance Costs Debt, Outstanding Debt Unamortized Discounts and Issuance Costs Debt, 2017 Senior Notes $ 500,000 $ (2,980) $ 497,020 $ 500,000 $ (3,756) $ 496,244 Term Loan B 416,500 (11,804) 404,696 419,688 (13,353) 406,335 |
Summary of Interest Expense as Reported in the Consolidated Statements of Operations | Interest expense as reported in the Condensed Consolidated Statements of Operations consisted of the following: Three Months Ended Nine Months Ended (in thousands) 2022 2021 2022 2021 Cash interest expense: Interest on 2017 Senior Notes $ 8,593 $ 8,594 $ 25,781 $ 25,781 Interest on Term Loan B 6,822 6,198 18,940 18,407 Interest on 2020 Revolver 106 436 739 1,109 Interest on Convertible Notes — — — 921 Other interest 559 532 1,499 1,422 Total cash interest expense 16,080 15,760 46,959 47,640 Non-cash interest expense: (a) Amortization of discount and debt issuance costs on Convertible Notes — — — 2,040 Amortization of discount and debt issuance costs on Term Loan B 528 547 1,549 1,613 Amortization of debt issuance costs on 2020 Revolver 144 142 427 426 Amortization of debt issuance costs on 2017 Senior Notes 263 245 776 723 Total non-cash interest expense 935 934 2,752 4,802 Total interest expense $ 17,015 $ 16,694 $ 49,711 $ 52,442 ____________________________________________________________________________________________________ (a) The combination of cash and non-cash interest expense produces effective interest rates that are higher than contractual rates. Accordingly, the effective interest rates for the 2017 Senior Notes and Term Loan B were 7.13% and 6.43%, respectively, for the nine months ended September 30, 2022. |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Leases [Abstract] | |
Components of Lease Expense | The following table presents components of lease expense for the three and nine months ended September 30, 2022 and 2021: Three Months Ended Nine Months Ended (in thousands) 2022 2021 2022 2021 Operating lease expense $ 3,685 $ 3,660 $ 11,754 $ 11,085 Short-term lease expense (a) 15,393 17,951 42,828 57,377 19,078 21,611 54,582 68,462 Less: Sublease income 193 176 573 522 Total lease expense $ 18,885 $ 21,435 $ 54,009 $ 67,940 ____________________________________________________________________________________________________ (a) Short-term lease expense includes all leases with lease terms of up to one year. Short-term leases include, among other things, construction equipment rented on an as-needed basis as well as temporary housing. |
Supplemental Financial Statement Information Related to Leases | The following table presents supplemental balance sheet information related to operating leases: (dollars in thousands) Balance Sheet Line Item As of September 30, As of December 31, Assets Right-of-use assets Other assets $ 61,693 $ 53,462 Total lease assets $ 61,693 $ 53,462 Liabilities Current lease liabilities Accrued expenses and other current liabilities $ 7,147 $ 7,481 Long-term lease liabilities Other long-term liabilities 59,352 50,057 Total lease liabilities $ 66,499 $ 57,538 Weighted-average remaining lease term 11.6 years 12.0 years Weighted-average discount rate 9.42 % 9.44 % The following table presents supplemental cash flow information and non-cash activity related to operating leases: Nine Months Ended (in thousands) 2022 2021 Operating cash flow information: Cash paid for amounts included in the measurement of lease liabilities $ (11,007) $ (10,344) Non-cash activity: Right-of-use assets obtained in exchange for lease liabilities $ 16,305 $ 6,686 |
Maturity of Operating Lease Liabilities on an Undiscounted Basis | The following table presents maturities of operating lease liabilities on an undiscounted basis as of September 30, 2022: Year (in thousands) Operating Leases 2022 (excluding the nine months ended September 30, 2022) $ 3,252 2023 12,344 2024 9,925 2025 9,023 2026 7,688 Thereafter 73,375 Total lease payments 115,607 Less: Imputed interest 49,108 Total $ 66,499 |
Employee Pension Plans (Tables)
Employee Pension Plans (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Retirement Benefits [Abstract] | |
Summary of Net Periodic Benefit Cost | The following table sets forth a summary of the net periodic benefit cost for the three and nine months ended September 30, 2022 and 2021: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2022 2021 2022 2021 Interest cost $ 647 $ 582 $ 1,940 $ 1,746 Service cost 240 236 720 709 Expected return on plan assets (973) (1,015) (2,919) (3,045) Recognized net actuarial losses 639 683 1,916 2,049 Net periodic benefit cost $ 553 $ 486 $ 1,657 $ 1,459 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Assets and Liabilities Measured at Fair Value on Recurring Basis | The following fair value hierarchy table presents the Company’s assets that are measured at fair value on a recurring basis as of September 30, 2022 and December 31, 2021: As of September 30, 2022 As of December 31, 2021 Fair Value Hierarchy Fair Value Hierarchy (in thousands) Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Cash and cash equivalents (a) $ 323,200 $ — $ — $ 323,200 $ 202,197 $ — $ — $ 202,197 Restricted cash (a) 21,817 — — 21,817 9,199 — — 9,199 Restricted investments (b) — 79,562 — 79,562 — 84,355 — 84,355 Investments in lieu of retention (c) 23,434 58,441 — 81,875 27,472 58,856 — 86,328 Total $ 368,451 $ 138,003 $ — $ 506,454 $ 238,868 $ 143,211 $ — $ 382,079 ____________________________________________________________________________________________________ (a) Includes money market funds and short-term investments with maturity dates of three months or less when acquired. (b) Restricted investments, as of September 30, 2022 and December 31, 2021, consist of available-for-sale (“AFS”) debt securities, which are valued based on pricing models determined from a compilation of primarily observable market information, broker quotes in non-active markets or similar assets; therefore, they are classified as Level 2 assets. (c) Investments in lieu of retention are included in retention receivable as of September 30, 2022 and December 31, 2021, and are comprised of money market funds of $23.4 million and $27.5 million, respectively, and AFS debt securities of $58.4 million and $58.9 million, respectively. The fair values of the money market funds are measured using quoted market prices; therefore, they are classified as Level 1 assets. The fair values of AFS debt securities are determined from a compilation of primarily observable market information, broker quotes in non-active markets or similar assets; therefore, they are classified as Level 2 assets. |
Schedule of Available-for-Sale Securities Reconciliation | Investments in AFS debt securities consisted of the following as of September 30, 2022 and December 31, 2021: As of September 30, 2022 As of December 31, 2021 (in thousands) Amortized Cost Unrealized Gains Unrealized Losses Fair Value Amortized Cost Unrealized Gains Unrealized Losses Fair Value Restricted investments: Corporate debt securities $ 47,529 $ 22 $ (3,866) $ 43,685 $ 46,649 $ 438 $ (438) $ 46,649 U.S. government agency securities 29,063 — (1,756) 27,307 28,316 459 (133) 28,642 Municipal bonds 9,334 — (1,274) 8,060 8,475 100 (78) 8,497 Corporate certificates of deposit 564 — (54) 510 571 2 (6) 567 Total restricted investments 86,490 22 (6,950) 79,562 84,011 999 (655) 84,355 Investments in lieu of retention: Corporate debt securities 61,656 — (4,143) 57,513 58,261 72 (741) 57,592 Municipal bonds 816 112 — 928 812 452 — 1,264 Total investments in lieu of retention 62,472 112 (4,143) 58,441 59,073 524 (741) 58,856 Total AFS debt securities $ 148,962 $ 134 $ (11,093) $ 138,003 $ 143,084 $ 1,523 $ (1,396) $ 143,211 |
Debt Securities, Available-for-Sale, Unrealized Loss Position, Fair Value | The following table summarizes the fair value and gross unrealized losses aggregated by category and the length of time that individual securities have been in a continuous unrealized loss position as of September 30, 2022 and December 31, 2021: As of September 30, 2022 Less than 12 Months 12 Months or Greater Total (in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Restricted investments: Corporate debt securities $ 26,673 $ (1,817) $ 16,742 $ (2,049) $ 43,415 $ (3,866) U.S. government agency securities 22,552 (1,108) 4,755 (648) 27,307 (1,756) Municipal bonds 6,037 (816) 2,023 (458) 8,060 (1,274) Corporate certificates of deposit 118 (12) 392 (42) 510 (54) Total restricted investments 55,380 (3,753) 23,912 (3,197) 79,292 (6,950) Investments in lieu of retention: Corporate debt securities 57,513 (4,143) — — 57,513 (4,143) Total investments in lieu of retention 57,513 (4,143) — — 57,513 (4,143) Total AFS debt securities $ 112,893 $ (7,896) $ 23,912 $ (3,197) $ 136,805 $ (11,093) As of December 31, 2021 Less than 12 Months 12 Months or Greater Total (in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Restricted investments: Corporate debt securities $ 28,639 $ (434) $ 207 $ (4) $ 28,846 $ (438) U.S. government agency securities 5,382 (97) 824 (36) 6,206 (133) Municipal bonds 2,714 (35) 907 (43) 3,621 (78) Corporate certificates of deposit 435 (6) — — 435 (6) Total restricted investments 37,170 (572) 1,938 (83) 39,108 (655) Investments in lieu of retention: Corporate debt securities 46,486 (736) 714 (5) 47,200 (741) Total investments in lieu of retention 46,486 (736) 714 (5) 47,200 (741) Total AFS debt securities $ 83,656 $ (1,308) $ 2,652 $ (88) $ 86,308 $ (1,396) |
Investments Classified by Contractual Maturity Date | The amortized cost and fair value of AFS debt securities by contractual maturity as of September 30, 2022 are summarized in the table below. Actual maturities may differ from contractual maturities because certain borrowers have the right to call or prepay certain obligations. (in thousands) Amortized Cost Fair Value Due within one year $ 20,553 $ 20,333 Due after one year through five years 117,590 108,498 Due after five years 10,819 9,172 Total $ 148,962 $ 138,003 |
Changes in Equity (Tables)
Changes in Equity (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Stockholders' Equity Note [Abstract] | |
Schedule of Stockholders Equity | A reconciliation of the changes in equity for the three and nine months ended September 30, 2022 and 2021 is provided below: Three Months Ended September 30, 2022 (in thousands) Common Additional Retained Accumulated Noncontrolling Total Balance - June 30, 2022 $ 51,358 $ 1,137,966 $ 429,673 $ (48,963) $ (2,088) $ 1,567,946 Net income (loss) — — (32,455) — 8,385 (24,070) Other comprehensive loss — — — (3,054) (1,525) (4,579) Share-based compensation — 1,816 — — — 1,816 Issuance of common stock, net 127 123 — — — 250 Distributions to noncontrolling interests — — — — (22,000) (22,000) Balance - September 30, 2022 $ 51,485 $ 1,139,905 $ 397,218 $ (52,017) $ (17,228) $ 1,519,363 Nine Months Ended September 30, 2022 (in thousands) Common Additional Retained Accumulated Noncontrolling Total Balance - December 31, 2021 $ 51,096 $ 1,133,150 $ 514,310 $ (43,635) $ 18,799 $ 1,673,720 Net income (loss) — — (117,092) — 12,189 (104,903) Other comprehensive loss — — — (8,382) (2,677) (11,059) Share-based compensation — 6,818 — — — 6,818 Issuance of common stock, net 389 (63) — — — 326 Contributions from noncontrolling interests — — — — 961 961 Distributions to noncontrolling interests — — — — (46,500) (46,500) Balance - September 30, 2022 $ 51,485 $ 1,139,905 $ 397,218 $ (52,017) $ (17,228) $ 1,519,363 Three Months Ended September 30, 2021 (in thousands) Common Additional Retained Accumulated Noncontrolling Total Balance - June 30, 2021 $ 51,072 $ 1,130,368 $ 469,584 $ (46,526) $ 5,932 $ 1,610,430 Net income — — 15,394 — 10,847 26,241 Other comprehensive loss — — — (634) (447) (1,081) Share-based compensation — 2,030 — — — 2,030 Issuance of common stock, net — (2) — — — (2) Contributions from noncontrolling interests — — — — 3,000 3,000 Distributions to noncontrolling interests — — — — (10,000) (10,000) Balance - September 30, 2021 $ 51,072 $ 1,132,396 $ 484,978 $ (47,160) $ 9,332 $ 1,630,618 Nine Months Ended September 30, 2021 (in thousands) Common Additional Retained Accumulated Noncontrolling Total Balance - December 31, 2020 $ 50,827 $ 1,127,385 $ 422,385 $ (46,741) $ (10,911) $ 1,542,945 Net income — — 62,593 — 30,364 92,957 Other comprehensive income (loss) — — — (419) 129 (290) Share-based compensation — 6,787 — — — 6,787 Issuance of common stock, net 245 (1,776) — — — (1,531) Contributions from noncontrolling interests — — — — 7,000 7,000 Distributions to noncontrolling interests — — — — (17,250) (17,250) Balance - September 30, 2021 $ 51,072 $ 1,132,396 $ 484,978 $ (47,160) $ 9,332 $ 1,630,618 |
Other Comprehensive Income (L_2
Other Comprehensive Income (Loss) (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Schedule of Components of Other Comprehensive Income (Loss) and Related Tax Effects | The components of other comprehensive income (loss) and the related tax effects for the three and nine months ended September 30, 2022 and 2021 were as follows: Three Months Ended September 30, 2022 Three Months Ended September 30, 2021 (in thousands) Before-Tax Amount Tax (Expense) Benefit Net-of-Tax Amount Before-Tax Amount Tax (Expense) Benefit Net-of-Tax Amount Other comprehensive loss: Defined benefit pension plan adjustments $ 639 $ (181) $ 458 $ 683 $ (191) $ 492 Foreign currency translation adjustments (3,016) 489 (2,527) (1,389) 264 (1,125) Unrealized loss in fair value of investments (3,188) 678 (2,510) (581) 133 (448) Total other comprehensive loss (5,565) 986 (4,579) (1,287) 206 (1,081) Less: Other comprehensive loss attributable to noncontrolling interests (1,525) — (1,525) (447) — (447) Total other comprehensive loss attributable to Tutor Perini Corporation $ (4,040) $ 986 $ (3,054) $ (840) $ 206 $ (634) Nine Months Ended September 30, 2022 Nine Months Ended September 30, 2021 (in thousands) Before-Tax Amount Tax (Expense) Benefit Net-of-Tax Amount Before-Tax Amount Tax (Expense) Benefit Net-of-Tax Amount Other comprehensive loss: Defined benefit pension plan adjustments $ 1,916 $ (543) $ 1,373 $ 2,049 $ (574) $ 1,475 Foreign currency translation adjustments (4,458) 798 (3,660) (541) 188 (353) Unrealized loss in fair value of investments (11,086) 2,314 (8,772) (1,828) 416 (1,412) Total other comprehensive loss (13,628) 2,569 (11,059) (320) 30 (290) Less: Other comprehensive income (loss) attributable to noncontrolling interests (2,677) — (2,677) 129 — 129 Total other comprehensive loss attributable to Tutor Perini Corporation $ (10,951) $ 2,569 $ (8,382) $ (449) $ 30 $ (419) |
Schedule of Changes in AOCI Balances by Component (After-Tax) | The changes in AOCI balances by component (after tax) attributable to Tutor Perini Corporation and attributable to noncontrolling interests during the three and nine months ended September 30, 2022 were as follows: Three Months Ended September 30, 2022 (in thousands) Defined Foreign Unrealized Gain (Loss) in Fair Value of Investments, Net Accumulated Attributable to Tutor Perini Corporation: Balance as of June 30, 2022 $ (36,951) $ (6,568) $ (5,444) $ (48,963) Other comprehensive loss before reclassifications — (1,238) (2,337) (3,575) Amounts reclassified from AOCI 458 — 63 521 Total other comprehensive income (loss) 458 (1,238) (2,274) (3,054) Balance as of September 30, 2022 $ (36,493) $ (7,806) $ (7,718) $ (52,017) Attributable to Noncontrolling Interests: Balance as of June 30, 2022 $ — $ 190 $ (800) $ (610) Other comprehensive loss — (1,289) (236) (1,525) Balance as of September 30, 2022 $ — $ (1,099) $ (1,036) $ (2,135) Nine Months Ended September 30, 2022 (in thousands) Defined Foreign Unrealized Gain (Loss) in Fair Value of Investments, Net Accumulated Attributable to Tutor Perini Corporation: Balance as of December 31, 2021 $ (37,866) $ (5,787) $ 18 $ (43,635) Other comprehensive loss before reclassifications — (2,019) (7,832) (9,851) Amounts reclassified from AOCI 1,373 — 96 1,469 Total other comprehensive income (loss) 1,373 (2,019) (7,736) (8,382) Balance as of September 30, 2022 $ (36,493) $ (7,806) $ (7,718) $ (52,017) Attributable to Noncontrolling Interests: Balance as of December 31, 2021 $ — $ 542 $ — $ 542 Other comprehensive loss — (1,641) (1,036) (2,677) Balance as of September 30, 2022 $ — $ (1,099) $ (1,036) $ (2,135) The changes in AOCI balances by component (after tax) attributable to Tutor Perini Corporation and attributable to noncontrolling interests during the three and nine months ended September 30, 2021 were as follows: Three Months Ended September 30, 2021 (in thousands) Defined Foreign Unrealized Gain (Loss) in Fair Value of Investments, Net Accumulated Attributable to Tutor Perini Corporation: Balance as of June 30, 2021 $ (43,104) $ (5,126) $ 1,704 $ (46,526) Other comprehensive loss before reclassifications — (678) (391) (1,069) Amounts reclassified from AOCI 492 — (57) 435 Total other comprehensive income (loss) 492 (678) (448) (634) Balance as of September 30, 2021 $ (42,612) $ (5,804) $ 1,256 $ (47,160) Attributable to Noncontrolling Interests: Balance as of June 30, 2021 $ — $ 978 $ — $ 978 Other comprehensive loss — (447) — (447) Balance as of September 30, 2021 $ — $ 531 $ — $ 531 Nine Months Ended September 30, 2021 (in thousands) Defined Foreign Unrealized Gain (Loss) in Fair Value of Investments, Net Accumulated Attributable to Tutor Perini Corporation: Balance as of December 31, 2020 $ (44,087) $ (5,322) $ 2,668 $ (46,741) Other comprehensive loss before reclassifications — (482) (1,218) (1,700) Amounts reclassified from AOCI 1,475 — (194) 1,281 Total other comprehensive income (loss) 1,475 (482) (1,412) (419) Balance as of September 30, 2021 $ (42,612) $ (5,804) $ 1,256 $ (47,160) Attributable to Noncontrolling Interests: Balance as of December 31, 2020 $ — $ 402 $ — $ 402 Other comprehensive income — 129 — 129 Balance as of September 30, 2021 $ — $ 531 $ — $ 531 The significant items reclassified out of AOCI and the corresponding location and impact on the Condensed Consolidated Statements of Operations during the three and nine months ended September 30, 2022 and 2021 were as follows: Three Months Ended Nine Months Ended (in thousands) 2022 2021 2022 2021 Component of AOCI: Defined benefit pension plan adjustments (a) $ 639 $ 683 $ 1,916 $ 2,049 Income tax benefit (b) (181) (191) (543) (574) Net of tax $ 458 $ 492 $ 1,373 $ 1,475 Unrealized (gain) loss in fair value of investment adjustments (a) $ 79 $ (73) $ 121 $ (246) Income tax expense (benefit) (b) (16) 16 (25) 52 Net of tax $ 63 $ (57) $ 96 $ (194) ___________________________________________________________________________________________________ (a) Amount included in other income (expense) on the Condensed Consolidated Statements of Operations. (b) Amounts included in income tax (expense) benefit on the Condensed Consolidated Statements of Operations. |
Business Segments (Tables)
Business Segments (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Segment Reporting [Abstract] | |
Reportable Segments | The following tables set forth certain reportable segment information relating to the Company’s operations for the three and nine months ended September 30, 2022 and 2021: Reportable Segments (in thousands) Civil Building Specialty Total Corporate Consolidated Three Months Ended September 30, 2022 Total revenue $ 564,205 $ 341,614 $ 251,974 $ 1,157,793 $ — $ 1,157,793 Elimination of intersegment revenue (63,300) (23,564) (3) (86,867) — (86,867) Revenue from external customers $ 500,905 $ 318,050 $ 251,971 $ 1,070,926 $ — $ 1,070,926 Income (loss) from construction operations $ 22,786 $ 56 $ (11,836) $ 11,006 (a) $ (17,898) (b) $ (6,892) Capital expenditures $ 11,872 $ 921 $ 748 $ 13,541 $ 423 $ 13,964 Depreciation and amortization (c) $ 12,166 $ 470 $ 529 $ 13,165 $ 2,368 $ 15,533 Three Months Ended September 30, 2021 Total revenue $ 624,549 $ 395,013 $ 271,316 $ 1,290,878 $ — $ 1,290,878 Elimination of intersegment revenue (78,331) (34,072) (253) (112,656) — (112,656) Revenue from external customers $ 546,218 $ 360,941 $ 271,063 $ 1,178,222 $ — $ 1,178,222 Income (loss) from construction operations $ 62,555 $ 10,786 $ (5,470) $ 67,871 $ (15,778) (b) $ 52,093 Capital expenditures $ 7,847 $ 87 $ 134 $ 8,068 $ 234 $ 8,302 Depreciation and amortization (c) $ 26,234 $ 416 $ 777 $ 27,427 $ 2,634 $ 30,061 ____________________________________________________________________________________________________ (a) During the three months ended September 30, 2022, the Company’s income (loss) from construction operations was adversely impacted by a $14.3 million ($10.2 million, or $0.20 per diluted share, after tax) unfavorable adjustment on a completed Civil segment highway project in the Northeast due to the reversal on appeal of a p reviously favorable lower-court ruling. (b) Consists primarily of corporate general and administrative expenses. (c) Depreciation and amortization is included in income (loss) from construction operations. Reportable Segments (in thousands) Civil Building Specialty Total Corporate Consolidated Nine Months Ended September 30, 2022 Total revenue $ 1,478,162 $ 960,148 $ 673,302 $ 3,111,612 $ — $ 3,111,612 Elimination of intersegment revenue (182,840) (44,509) (156) (227,505) — (227,505) Revenue from external customers $ 1,295,322 $ 915,639 $ 673,146 $ 2,884,107 $ — $ 2,884,107 Income (loss) from construction operations $ 12,052 $ 9,453 $ (82,461) $ (60,956) (a) $ (46,397) (b) $ (107,353) Capital expenditures $ 38,703 $ 973 $ 2,202 $ 41,878 $ 931 $ 42,809 Depreciation and amortization (c) $ 44,191 $ 1,261 $ 1,539 $ 46,991 $ 7,063 $ 54,054 Nine Months Ended September 30, 2021 Total revenue $ 1,850,748 $ 1,267,984 $ 877,634 $ 3,996,366 $ — $ 3,996,366 Elimination of intersegment revenue (273,603) (117,150) (553) (391,306) — (391,306) Revenue from external customers $ 1,577,145 $ 1,150,834 $ 877,081 $ 3,605,060 $ — $ 3,605,060 Income (loss) from construction operations $ 187,733 $ 19,514 $ 5,814 $ 213,061 (d) $ (42,511) (b) $ 170,550 Capital expenditures $ 26,027 $ 211 $ 298 $ 26,536 $ 626 $ 27,162 Depreciation and amortization (c) $ 80,125 $ 1,272 $ 2,628 $ 84,025 $ 8,171 $ 92,196 ____________________________________________________________________________________________________ (a) During the nine months ended September 30, 2022, the Company’s income (loss) from construction operations was adversely impacted by $36.0 million ($26.0 million, or $0.51 per diluted share, after tax) due to unfavorable adjustments related to the unforeseen cost of project close-out issues, remediation work, extended project supervision and associated labor inefficiencies on the electrical component of a transportation project in the Northeast in the Specialty Contractors segment, and $34.6 million ($27.3 million, or $0.53 per diluted share, after tax) for a Civil segment mass-transit project in California, which resulted from the successful negotiation of significant lower margin (and lower risk) change orders that increased the project’s overall estimated profit but reduced the project’s percentage of completion and overall margin percentage. The Company’s income (loss) from construction operations was also impacted by a non-cash charge of $25.5 million ($18.3 million, or $0.36 per diluted share, after tax) due to an adverse legal ruling on a dispute related to a completed Civil segment bridge project in New York, an $18.0 million ($13.9 million, or $0.27 per diluted share, after tax) unfavorable adjustment split evenly between the Civil and Building segments due to changes in estimates on the same transportation project in the Northeast mentioned above, a non-cash charge of $17.8 million ($12.8 million, or $0.25 per diluted share, after tax) that increased cost of operations associated with the partial reversal by an appellate court of previously awarded legal damages related to a completed electrical project in New York in the Specialty Contractors segment, a $16.2 million ($11.6 million, or $0.23 per diluted share, after tax) unfavorable non-cash impact related to the settlement of a long-disputed, completed Civil segment project in Maryland, a $14.3 million ($10.2 million, or $0.20 per diluted share, after tax) unfavorable adjustment on a completed Civil segment highway project in the Northeast due to the reversal on appeal of a previously favorable lower-court ruling, and $13.1 million ($9.4 million, or $0.18 per diluted share, after tax) of unfavorable adjustments on a Civil segment mass-transit project in California. (b) Consists primarily of corporate general and administrative expenses. (c) Depreciation and amortization is included in income (loss) from construction operations. (d) During the nine months ended September 30, 2021, the Company recorded a reduction of $20.1 million in cost of operations ($14.6 million, or $0.28 per diluted share, after tax) due to a favorable trial court ruling awarding the Company the recovery of certain costs previously incurred on a completed electrical project in New York in the Specialty Contractors segment. The Company also recognized $18.1 million of additional revenue ($13.0 million, or $0.25 per diluted share, after tax) as a result of favorable adjustments on a Civil segment mass-transit project in California reflecting improved profitability due to the mitigation of certain risks as the project progresses toward completion. The Company’s income from construction operations was also negatively impacted by $14.5 million ($10.5 million, or $0.21 per diluted share, after-tax) due to changes in estimates on an electrical project in New York in the Specialty Contractors segment that included unfavorable adjustments and the negative impact to the period associated with increases to project forecasts due to growth in unapproved change orders (expected to be negotiated in future periods). |
Reconciliation of Segment Results to Consolidated Income Before Income Taxes | A reconciliation of segment results to the consolidated income (loss) before income taxes is as follows: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2022 2021 2022 2021 Income (loss) from construction operations $ (6,892) $ 52,093 $ (107,353) $ 170,550 Other income (expense) 397 (464) 5,114 1,142 Interest expense (17,015) (16,694) (49,711) (52,442) Income (loss) before income taxes $ (23,510) $ 34,935 $ (151,950) $ 119,250 |
Total Assets for Reportable Segments | Total assets by segment were as follows: (in thousands) As of September 30, As of December 31, Civil $ 3,467,173 $ 3,310,648 Building 976,400 980,989 Specialty Contractors 607,424 631,710 Corporate and other (a) (290,023) (198,449) Total assets $ 4,760,974 $ 4,724,898 ____________________________________________________________________________________________________ (a) Consists principally of cash, equipment, tax-related assets and insurance-related assets, offset by the elimination of assets related to intersegment revenue. |
Revenue (Disaggregation Of Reve
Revenue (Disaggregation Of Revenue) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 1,070,926 | $ 1,178,222 | $ 2,884,107 | $ 3,605,060 |
State and local agencies | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 625,555 | 688,272 | 1,656,019 | 1,995,967 |
Federal agencies | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 145,091 | 113,833 | 361,796 | 341,390 |
Private owners | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 300,280 | 376,117 | 866,292 | 1,267,703 |
Civil | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 500,905 | 546,218 | 1,295,322 | 1,577,145 |
Civil | State and local agencies | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 375,566 | 478,720 | 1,008,819 | 1,350,555 |
Civil | Federal agencies | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 97,741 | 48,680 | 211,426 | 149,648 |
Civil | Private owners | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 27,598 | 18,818 | 75,077 | 76,942 |
Civil | Mass transit (includes certain transportation and tunneling projects) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 311,702 | 386,913 | 794,414 | 1,062,322 |
Civil | Bridges | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 86,042 | 67,117 | 212,362 | 179,059 |
Civil | Military defense facilities | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 66,063 | 46,615 | 176,212 | 140,736 |
Civil | Water | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 27,098 | 22,470 | 70,134 | 74,080 |
Civil | Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 10,000 | 23,103 | 42,200 | 120,948 |
Building | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 318,050 | 360,941 | 915,639 | 1,150,834 |
Building | State and local agencies | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 136,082 | 99,540 | 349,245 | 268,396 |
Building | Federal agencies | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 42,367 | 50,437 | 130,867 | 150,085 |
Building | Private owners | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 139,601 | 210,964 | 435,527 | 732,353 |
Building | Mass transit (includes certain transportation and tunneling projects) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 40,783 | 38,868 | 111,431 | 99,747 |
Building | Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 20,337 | 21,068 | 51,234 | 76,507 |
Building | Municipal and government | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 88,624 | 76,471 | 248,405 | 222,855 |
Building | Commercial and industrial facilities | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 60,711 | 75,402 | 149,106 | 307,414 |
Building | Health care facilities | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 48,602 | 20,287 | 134,439 | 44,294 |
Building | Hospitality and gaming | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 17,455 | 89,317 | 118,450 | 276,029 |
Building | Education facilities | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 41,538 | 39,528 | 102,574 | 123,988 |
Specialty Contractors | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 251,971 | 271,063 | 673,146 | 877,081 |
Specialty Contractors | State and local agencies | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 113,907 | 110,012 | 297,955 | 377,016 |
Specialty Contractors | Federal agencies | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 4,983 | 14,716 | 19,503 | 41,657 |
Specialty Contractors | Private owners | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 133,081 | 146,335 | 355,688 | 458,408 |
Specialty Contractors | Mass transit (includes certain transportation and tunneling projects) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 95,281 | 135,971 | 289,703 | 465,179 |
Specialty Contractors | Water | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 20,274 | 29,161 | 55,693 | 67,829 |
Specialty Contractors | Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 20,004 | 25,650 | 50,560 | 78,679 |
Specialty Contractors | Commercial and industrial facilities | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 50,213 | 33,897 | 116,514 | 109,283 |
Specialty Contractors | Education facilities | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 20,186 | 13,876 | 40,627 | 45,657 |
Specialty Contractors | Multi-unit residential | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 31,461 | 28,054 | 84,642 | 101,498 |
Specialty Contractors | Federal government | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 14,552 | $ 4,454 | $ 35,407 | $ 8,956 |
Revenue (Schedule Of Revenue By
Revenue (Schedule Of Revenue By Contract Type) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 1,070,926 | $ 1,178,222 | $ 2,884,107 | $ 3,605,060 |
Fixed price | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 726,906 | 798,641 | 1,925,226 | 2,398,421 |
Guaranteed maximum price | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 150,445 | 225,317 | 477,196 | 748,634 |
Unit price | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 116,323 | 95,117 | 275,962 | 291,913 |
Cost plus fee and other | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 77,252 | 59,147 | 205,723 | 166,092 |
Civil | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 500,905 | 546,218 | 1,295,322 | 1,577,145 |
Civil | Fixed price | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 416,216 | 473,212 | 1,090,623 | 1,353,436 |
Civil | Guaranteed maximum price | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | (13) | 502 | 581 | 2,270 |
Civil | Unit price | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 90,372 | 71,429 | 213,092 | 212,678 |
Civil | Cost plus fee and other | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | (5,670) | 1,075 | (8,974) | 8,761 |
Building | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 318,050 | 360,941 | 915,639 | 1,150,834 |
Building | Fixed price | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 103,804 | 89,895 | 270,618 | 269,693 |
Building | Guaranteed maximum price | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 144,831 | 219,395 | 462,294 | 737,251 |
Building | Unit price | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 0 | 130 | 33 | (1,323) |
Building | Cost plus fee and other | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 69,415 | 51,521 | 182,694 | 145,213 |
Specialty Contractors | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 251,971 | 271,063 | 673,146 | 877,081 |
Specialty Contractors | Fixed price | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 206,886 | 235,534 | 563,985 | 775,292 |
Specialty Contractors | Guaranteed maximum price | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 5,627 | 5,420 | 14,321 | 9,113 |
Specialty Contractors | Unit price | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 25,951 | 23,558 | 62,837 | 80,558 |
Specialty Contractors | Cost plus fee and other | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 13,507 | $ 6,551 | $ 32,003 | $ 12,118 |
Revenue (Narrative) (Details)
Revenue (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||
Net revenue recognized related to performance obligations satisfies (or partially satisfied) in prior periods | $ 54.2 | $ 2.1 | $ 164.1 | $ 37.1 |
Civil | ||||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||
Remaining performance obligations revenue amount | 4,700 | 4,400 | $ 4,700 | 4,400 |
Civil | Minimum | ||||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||
Remaining performance obligations revenue period | 3 years | |||
Civil | Maximum | ||||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||
Remaining performance obligations revenue period | 5 years | |||
Building | ||||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||
Remaining performance obligations revenue amount | 2,300 | 1,800 | $ 2,300 | 1,800 |
Specialty Contractors | ||||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||
Remaining performance obligations revenue amount | $ 1,300 | $ 1,400 | $ 1,300 | $ 1,400 |
Building and Specialty Contractors | Minimum | ||||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||
Remaining performance obligations revenue period | 1 year | |||
Building and Specialty Contractors | Maximum | ||||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||
Remaining performance obligations revenue period | 3 years |
Contract Assets and Liabiliti_3
Contract Assets and Liabilities (Schedule Of Contract Assets) (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Contract with Customer, Contract Asset, Contract Liability, and Receivable [Abstract] | ||
Retention receivable | $ 583,789 | $ 568,881 |
Costs and estimated earnings in excess of billings: | ||
Claims | 741,678 | 833,352 |
Unapproved change orders | 584,388 | 418,054 |
Other unbilled costs and profits | 122,275 | 105,362 |
Total costs and estimated earnings in excess of billings | 1,448,341 | 1,356,768 |
Capitalized contract costs | 60,740 | 69,027 |
Total contract assets | $ 2,092,870 | $ 1,994,676 |
Contract Assets and Liabiliti_4
Contract Assets and Liabilities (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Contract with Customer, Contract Asset, Contract Liability, and Receivable [Abstract] | ||||
Retainage receivable estimated by management to be collected beyond one year, percentage | 47% | 47% | ||
Capitalized contract costs amortized and recognized as expense | $ 13.7 | $ 11.3 | $ 45.3 | $ 36.6 |
Retainage payable estimated by management to be remitted beyond one year, percentage | 43% | 43% | ||
Liability revenue recognized from contract with customer | $ 447.4 | $ 288 | $ 487.1 | $ 608.4 |
Contract Assets and Liabiliti_5
Contract Assets and Liabilities (Schedule of Contract Liabilities) (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Contract with Customer, Contract Asset, Contract Liability, and Receivable [Abstract] | ||
Retainage payable | $ 241,518 | $ 268,945 |
Billings in excess of costs and estimated earnings | 966,065 | 761,689 |
Total contract liabilities | $ 1,207,583 | $ 1,030,634 |
Cash, Cash Equivalents and Re_3
Cash, Cash Equivalents and Restricted Cash (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Dec. 31, 2020 |
Cash and Cash Equivalents [Line Items] | ||||
Cash and cash equivalents | $ 323,200 | $ 202,197 | ||
Restricted cash | 21,817 | 9,199 | ||
Total cash, cash equivalents and restricted cash | 345,017 | 211,396 | $ 194,457 | $ 451,852 |
Joint venture cash and cash equivalents | ||||
Cash and Cash Equivalents [Line Items] | ||||
Cash and cash equivalents | 212,464 | 142,005 | ||
Cash and cash equivalents available for general corporate purposes | ||||
Cash and Cash Equivalents [Line Items] | ||||
Cash and cash equivalents | $ 110,736 | $ 60,192 |
Earnings Per Common Share (Deta
Earnings Per Common Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Earnings Per Share [Abstract] | ||||
Net income (loss) attributable to Tutor Perini Corporation | $ (32,455) | $ 15,394 | $ (117,092) | $ 62,593 |
Weighted-average common shares outstanding, basic (in shares) | 51,404 | 51,072 | 51,263 | 50,995 |
Effect of dilutive restricted stock units and stock options (in shares) | 0 | 294 | 0 | 369 |
Weighted-average common shares outstanding, diluted (in shares) | 51,404 | 51,366 | 51,263 | 51,364 |
Net income (loss) attributable to Tutor Perini Corporation per common share: Basic (in dollars per share) | $ (0.63) | $ 0.30 | $ (2.28) | $ 1.23 |
Net income (loss) attributable to Tutor Perini Corporation per common share: Diluted (in dollars per share) | $ (0.63) | $ 0.30 | $ (2.28) | $ 1.22 |
Anti-dilutive securities not included above (in shares) | 3,011 | 2,131 | 3,280 | 1,861 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Income Tax Disclosure [Abstract] | ||||
Income tax (expense) benefit | $ (560) | $ (8,694) | $ 47,047 | $ (26,293) |
Effective tax rate | 2.40% | (24.90%) | (31.00%) | 22% |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets (Changes in Carrying Amount of Goodwill) (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2022 | Dec. 31, 2021 | |
Goodwill [Roll Forward] | ||
Gross goodwill as of December 31, 2021 | $ 1,072,991 | |
Accumulated impairment as of December 31, 2021 | (867,848) | |
Balance at beginning of period | $ 205,143 | |
Current year activity | 0 | |
Balance at end of period | 205,143 | |
Civil | ||
Goodwill [Roll Forward] | ||
Gross goodwill as of December 31, 2021 | 492,074 | |
Accumulated impairment as of December 31, 2021 | (286,931) | |
Balance at beginning of period | 205,143 | |
Current year activity | 0 | |
Balance at end of period | 205,143 | |
Building | ||
Goodwill [Roll Forward] | ||
Gross goodwill as of December 31, 2021 | 424,724 | |
Accumulated impairment as of December 31, 2021 | (424,724) | |
Balance at beginning of period | 0 | |
Current year activity | 0 | |
Balance at end of period | 0 | |
Specialty Contractors | ||
Goodwill [Roll Forward] | ||
Gross goodwill as of December 31, 2021 | 156,193 | |
Accumulated impairment as of December 31, 2021 | $ (156,193) | |
Balance at beginning of period | 0 | |
Current year activity | 0 | |
Balance at end of period | $ 0 |
Goodwill And Intangible Asset_3
Goodwill And Intangible Assets (Narrative) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |||||
Goodwill impairment charge | $ 0 | ||||
Amortization expense | $ 3,800,000 | $ 9,300,000 | $ 13,966,000 | $ 26,646,000 | |
Estimated amortization expense, remainder of 2022 | 600,000 | 600,000 | |||
Estimated amortization expense, 2023 | 2,200,000 | 2,200,000 | |||
Estimated amortization expense, 2024 | 2,200,000 | 2,200,000 | |||
Estimated amortization expense, 2025 | 2,200,000 | 2,200,000 | |||
Estimated amortization expense, 2026 | 2,200,000 | 2,200,000 | |||
Estimated amortization expense, 2027 | 2,200,000 | 2,200,000 | |||
Estimated amortization expense, after year 2027 | $ 9,100,000 | $ 9,100,000 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets (Intangible Assets) (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2022 | Dec. 31, 2021 | |
Total intangible assets | ||
Cost | $ 381,940 | $ 381,940 |
Accumulated Amortization | (197,771) | (183,805) |
Accumulated Impairment Charge | (113,067) | (113,067) |
Carrying Value | 71,102 | 85,068 |
Trade Names | ||
Finite-Lived intangible assets | ||
Cost | 69,250 | 69,250 |
Accumulated Amortization | (25,326) | (23,650) |
Accumulated Impairment Charge | (23,232) | (23,232) |
Carrying Value | $ 20,692 | $ 22,368 |
Weighted-Average Amortization Period | 20 years | 20 years |
Customer relationships | ||
Finite-Lived intangible assets | ||
Cost | $ 39,800 | $ 39,800 |
Accumulated Amortization | (23,155) | (23,053) |
Accumulated Impairment Charge | (16,645) | (16,645) |
Carrying Value | 0 | $ 102 |
Weighted-Average Amortization Period | 12 years | |
Construction contract backlog | ||
Finite-Lived intangible assets | ||
Cost | 149,290 | $ 149,290 |
Accumulated Amortization | (149,290) | (137,102) |
Carrying Value | 0 | $ 12,188 |
Weighted-Average Amortization Period | 3 years | |
Trade Names | ||
Indefinite-lived intangible assets | ||
Cost | 117,600 | $ 117,600 |
Accumulated Impairment Charge | (67,190) | (67,190) |
Carrying Value | 50,410 | 50,410 |
Contractor license | ||
Indefinite-lived intangible assets | ||
Cost | 6,000 | 6,000 |
Accumulated Impairment Charge | $ (6,000) | $ (6,000) |
Financial Commitments (Long-Ter
Financial Commitments (Long-Term Debt) (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Debt Instrument [Line Items] | ||
Total debt | $ 961,134 | $ 993,654 |
Less: Current maturities | 26,875 | 24,406 |
Long-term debt, net | 934,259 | 969,248 |
Term Loan B | ||
Debt Instrument [Line Items] | ||
Total debt | 404,696 | 406,335 |
Equipment financing and mortgages | ||
Debt Instrument [Line Items] | ||
Total debt | 50,412 | 56,246 |
Other indebtedness | ||
Debt Instrument [Line Items] | ||
Total debt | 9,006 | 7,829 |
2017 Senior Notes | Senior Notes | ||
Debt Instrument [Line Items] | ||
Total debt | 497,020 | 496,244 |
2020 Revolver | ||
Debt Instrument [Line Items] | ||
Total debt | $ 0 | $ 27,000 |
Financial Commitments (Reconcil
Financial Commitments (Reconciliation of Outstanding Debt Balance to Reported Debt Balance) (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Debt Instrument [Line Items] | ||
Total debt | $ 961,134 | $ 993,654 |
Term Loan B | ||
Debt Instrument [Line Items] | ||
Outstanding Debt | 416,500 | 419,688 |
Unamortized Discounts and Issuance Costs | (11,804) | (13,353) |
Total debt | 404,696 | 406,335 |
2017 Senior Notes | Senior Notes | ||
Debt Instrument [Line Items] | ||
Outstanding Debt | 500,000 | 500,000 |
Unamortized Discounts and Issuance Costs | (2,980) | (3,756) |
Total debt | $ 497,020 | $ 496,244 |
Financial Commitments (Narrativ
Financial Commitments (Narrative) (Details) | 9 Months Ended | ||||||||
Aug. 18, 2020 USD ($) | Sep. 30, 2022 USD ($) | Apr. 01, 2023 | Jul. 01, 2022 | Dec. 31, 2021 USD ($) | Jun. 15, 2021 USD ($) | Jan. 01, 2021 | Apr. 20, 2017 USD ($) | Jun. 15, 2016 | |
BMO Harris Bank | |||||||||
Debt Instrument [Line Items] | |||||||||
Applicable margin on overdue amounts (as a percent) | 2% | ||||||||
Unsecured Debt | BMO Harris Bank | |||||||||
Debt Instrument [Line Items] | |||||||||
Total net leverage ratio (maximum) | 3.50 | ||||||||
Fixed charge coverage ratio (maximum) | 2 | ||||||||
Convertible Notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Current principal amount | $ 69,900,000 | ||||||||
Interest rate | 2.875% | ||||||||
2020 Credit Agreement | BMO Harris Bank | Federal Funds Rate | |||||||||
Debt Instrument [Line Items] | |||||||||
Basis spread on variable rate | 0.50% | ||||||||
2020 Credit Agreement | BMO Harris Bank | LIBOR | |||||||||
Debt Instrument [Line Items] | |||||||||
Basis spread on variable rate | 1% | ||||||||
2020 Credit Agreement | Line of Credit | BMO Harris Bank | |||||||||
Debt Instrument [Line Items] | |||||||||
Maximum borrowing capacity | $ 425,000,000 | ||||||||
Periodic payment principal percentage | 0.25% | ||||||||
First Lien | BMO Harris Bank | |||||||||
Debt Instrument [Line Items] | |||||||||
Net leverage ratio (maximum) | 1.35 | ||||||||
Term Loan B | BMO Harris Bank | LIBOR | Minimum | |||||||||
Debt Instrument [Line Items] | |||||||||
Basis spread on variable rate | 4.50% | ||||||||
Term Loan B | BMO Harris Bank | LIBOR | Maximum | |||||||||
Debt Instrument [Line Items] | |||||||||
Basis spread on variable rate | 4.75% | ||||||||
Term Loan B | BMO Harris Bank | Base Rate | Minimum | |||||||||
Debt Instrument [Line Items] | |||||||||
Basis spread on variable rate | 3.50% | ||||||||
Term Loan B | BMO Harris Bank | Base Rate | Maximum | |||||||||
Debt Instrument [Line Items] | |||||||||
Basis spread on variable rate | 3.75% | ||||||||
2020 Revolver | BMO Harris Bank | |||||||||
Debt Instrument [Line Items] | |||||||||
Net leverage ratio (maximum) | 2.75 | 2.75 | 2.25 | ||||||
Weighted-average annual interest rate on borrowings | 7.21% | ||||||||
Remaining borrowing capacity | $ 175,000,000 | ||||||||
2020 Revolver | BMO Harris Bank | Forecast | |||||||||
Debt Instrument [Line Items] | |||||||||
Net leverage ratio (maximum) | 2.25 | ||||||||
2020 Revolver | BMO Harris Bank | LIBOR | Minimum | |||||||||
Debt Instrument [Line Items] | |||||||||
Basis spread on variable rate | 4.25% | ||||||||
2020 Revolver | BMO Harris Bank | LIBOR | Maximum | |||||||||
Debt Instrument [Line Items] | |||||||||
Basis spread on variable rate | 4.75% | ||||||||
2020 Revolver | BMO Harris Bank | Base Rate | Minimum | |||||||||
Debt Instrument [Line Items] | |||||||||
Basis spread on variable rate | 3.25% | ||||||||
2020 Revolver | BMO Harris Bank | Base Rate | Maximum | |||||||||
Debt Instrument [Line Items] | |||||||||
Basis spread on variable rate | 3.75% | ||||||||
2017 Senior Notes | Senior Notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Current principal amount | $ 500,000,000 | $ 500,000,000 | |||||||
2017 Senior Notes | Senior Notes | Private Placement | |||||||||
Debt Instrument [Line Items] | |||||||||
Interest rate | 6.875% | ||||||||
Face amount | $ 500,000,000 | ||||||||
Redemption price, change of control triggering event (as a percent) | 101% | ||||||||
Revolving Credit Facility | 2020 Credit Agreement | BMO Harris Bank | |||||||||
Debt Instrument [Line Items] | |||||||||
Increase in line of credit | $ 173,500,000 | ||||||||
Accordion feature, percentage of LTM EBITDA | 50% | ||||||||
Revolving Credit Facility | 2020 Credit Agreement | Line of Credit | BMO Harris Bank | |||||||||
Debt Instrument [Line Items] | |||||||||
Maximum borrowing capacity | $ 175,000,000 | ||||||||
Revolving Credit Facility | 2020 Revolver | |||||||||
Debt Instrument [Line Items] | |||||||||
Unamortized debt issuance costs | $ 1,700,000 | $ 2,100,000 | |||||||
Letters of Credit | 2020 Credit Agreement | Line of Credit | BMO Harris Bank | |||||||||
Debt Instrument [Line Items] | |||||||||
Maximum borrowing capacity | 75,000,000 | ||||||||
Bridge Loan | 2020 Credit Agreement | Line of Credit | BMO Harris Bank | |||||||||
Debt Instrument [Line Items] | |||||||||
Maximum borrowing capacity | $ 10,000,000 | ||||||||
Secured Debt | BMO Harris Bank | Junior Lien | |||||||||
Debt Instrument [Line Items] | |||||||||
Total net leverage ratio (maximum) | 3.50 |
Financial Commitments (Summary
Financial Commitments (Summary of Interest Expense as Reported in the Consolidated Statements of Operations) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Debt Instrument [Line Items] | ||||
Other interest | $ 559 | $ 532 | $ 1,499 | $ 1,422 |
Total cash interest expense | 16,080 | 15,760 | 46,959 | 47,640 |
Non-cash interest expense | 2,751 | 4,802 | ||
Total non-cash interest expense | 935 | 934 | 2,752 | 4,802 |
Total interest expense | 17,015 | 16,694 | 49,711 | 52,442 |
Term Loan B | ||||
Debt Instrument [Line Items] | ||||
Cash interest expense | 6,822 | 6,198 | 18,940 | 18,407 |
Non-cash interest expense | $ 528 | 547 | $ 1,549 | 1,613 |
Effective interest rates | 6.43% | 6.43% | ||
Convertible Notes | ||||
Debt Instrument [Line Items] | ||||
Cash interest expense | 921 | |||
Non-cash interest expense | 2,040 | |||
2017 Senior Notes | Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Cash interest expense | $ 8,593 | 8,594 | $ 25,781 | 25,781 |
Non-cash interest expense | $ 263 | 245 | $ 776 | 723 |
Effective interest rates | 7.13% | 7.13% | ||
2020 Revolver | ||||
Debt Instrument [Line Items] | ||||
Cash interest expense | $ 106 | 436 | $ 739 | 1,109 |
Non-cash interest expense | $ 144 | $ 142 | $ 427 | $ 426 |
Leases (Narrative) (Details)
Leases (Narrative) (Details) | Sep. 30, 2022 |
Minimum | |
Lessee, Lease, Description [Line Items] | |
Operating lease, remaining lease terms | 1 year |
Maximum | |
Lessee, Lease, Description [Line Items] | |
Operating lease, remaining lease terms | 16 years |
Leases (Components Of Lease Exp
Leases (Components Of Lease Expense) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Lessee, Lease, Description [Line Items] | ||||
Operating lease expense | $ 3,685 | $ 3,660 | $ 11,754 | $ 11,085 |
Short-term lease expense | 15,393 | 17,951 | 42,828 | 57,377 |
Lease expense, gross | 19,078 | 21,611 | 54,582 | 68,462 |
Less: Sublease income | 193 | 176 | 573 | 522 |
Total lease expense | $ 18,885 | $ 21,435 | $ 54,009 | $ 67,940 |
Maximum | ||||
Lessee, Lease, Description [Line Items] | ||||
Short term lease, lease term | 1 year |
Leases (Supplemental Balance Sh
Leases (Supplemental Balance Sheet Information Related To Leases) (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
ASSETS | ||
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | OTHER ASSETS | OTHER ASSETS |
Right-of-use assets | $ 61,693 | $ 53,462 |
Liabilities | ||
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] | Accrued expenses and other current liabilities | Accrued expenses and other current liabilities |
Current lease liabilities | $ 7,147 | $ 7,481 |
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | Other Liabilities, Noncurrent | Other Liabilities, Noncurrent |
Long-term lease liabilities | $ 59,352 | $ 50,057 |
Total lease liabilities | $ 66,499 | $ 57,538 |
Weighted-average remaining lease term | 11 years 7 months 6 days | 12 years |
Weighted-average discount rate | 9.42% | 9.44% |
Leases (Supplemental Cash Flow
Leases (Supplemental Cash Flow And Other Information Related To Leases) (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Leases [Abstract] | ||
Cash paid for amounts included in the measurement of lease liabilities | $ (11,007) | $ (10,344) |
Right-of-use assets obtained in exchange for lease liabilities | $ 16,305 | $ 6,686 |
Leases (Maturity Of Leases Liab
Leases (Maturity Of Leases Liabilities On An Undiscounted Basis) (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Leases [Abstract] | ||
2022 (excluding the nine months ended September 30, 2022) | $ 3,252 | |
2023 | 12,344 | |
2024 | 9,925 | |
2025 | 9,023 | |
2026 | 7,688 | |
Thereafter | 73,375 | |
Total lease payments | 115,607 | |
Less: Imputed interest | 49,108 | |
Total | $ 66,499 | $ 57,538 |
Commitments and Contingencies (
Commitments and Contingencies (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||||||||
Oct. 18, 2022 | Dec. 13, 2019 | Jun. 04, 2019 | Feb. 26, 2015 | Mar. 31, 2016 | Jun. 30, 2015 | Aug. 31, 2013 | Dec. 31, 2019 | Sep. 30, 2022 | Jul. 02, 2018 | Mar. 31, 2018 | |
Subsequent Event | |||||||||||
Contingencies and Commitments | |||||||||||
Loss contingency, damages paid, value | $ 34.6 | ||||||||||
Alaskan Way Viaduct Matter | |||||||||||
Contingencies and Commitments | |||||||||||
Ownership percentage in joint venture | 45% | ||||||||||
Value of claim filed | $ 57.2 | $ 532 | |||||||||
Value of counterclaim filed | $ 667 | ||||||||||
Settlement on judgment, awarded to other party | $ 57.2 | ||||||||||
Pre-tax charge, impact from jury verdict | $ 166.8 | ||||||||||
Pre-tax accrual, impact from jury verdict | $ 25.7 | ||||||||||
George Washington Bridge Bus Station Matter | |||||||||||
Contingencies and Commitments | |||||||||||
Value of claim filed | $ 30 | ||||||||||
Value of project | $ 100 | ||||||||||
Value of counterclaim filed in excess of | $ 113 | ||||||||||
Court issued writ of attachment amount | $ 23 | ||||||||||
Proof of claim amount | $ 113 | ||||||||||
Value of damages seeking | $ 113 | ||||||||||
George Washington Bridge Bus Station Matter | Return Of Retainage By Developer | |||||||||||
Contingencies and Commitments | |||||||||||
Value of counterclaim filed in excess of | $ 29 | ||||||||||
STP | |||||||||||
Contingencies and Commitments | |||||||||||
Ownership percentage in joint venture | 45% |
Share-Based Compensation (Detai
Share-Based Compensation (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of shares available for future grant (in shares) | 1,309,786 | 1,309,786 | |||
Stock options expired (in shares) | 500,000 | ||||
Weighted-average exercise prices, expired (in dollars per share) | $ 11.15 | ||||
Costs for share-based payment arrangements | $ 2.9 | $ 3.1 | $ 7.7 | $ 8.1 | |
Unamortized share-based compensation expense | 14.1 | $ 14.1 | |||
Weighted average period over which unrecognized compensation cost is expected to be recognized | 2 years | ||||
Restricted Stock Units | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Units granted (in shares) | 375,769 | 555,986 | |||
Weighted-average fair values per share (in dollars per share) | $ 10.53 | $ 16.52 | |||
Unrestricted Stock Units | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Units granted (in shares) | 165,030 | 96,668 | |||
Weighted-average fair values per share (in dollars per share) | $ 10.63 | $ 15.62 | |||
Cash-settled Performance Stock Units | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Units granted (in shares) | 315,768 | 275,986 | |||
Weighted-average fair values per share (in dollars per share) | $ 14.89 | $ 20.21 | |||
Restricted Stock Units, Guaranteed Minimum Payouts | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Liabilities recognized for restricted stock grants | $ 2.6 | $ 2.6 | $ 4.8 | ||
Cash used to settle liabilities | $ 3.6 | $ 0.3 |
Employee Pension Plans (Summary
Employee Pension Plans (Summary Of Net Periodic Benefit Cost) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Summary of net periodic benefit cost | ||||
Interest cost | $ 647 | $ 582 | $ 1,940 | $ 1,746 |
Service cost | 240 | 236 | 720 | 709 |
Expected return on plan assets | (973) | (1,015) | (2,919) | (3,045) |
Recognized net actuarial losses | 639 | 683 | 1,916 | 2,049 |
Net periodic benefit cost | $ 553 | $ 486 | $ 1,657 | $ 1,459 |
Employee Pension Plans (Narrati
Employee Pension Plans (Narrative) (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2021 USD ($) | |
Pension Plan Assets | |
Company contribution | $ 1 |
Fair Value Measurements (Assets
Fair Value Measurements (Assets And Liabilities Measured At Fair Value On Recurring Basis) (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2022 | Dec. 31, 2021 | |
Assets: | ||
Cash and cash equivalents maturity period (maximum) | 3 months | |
Fair value measured on a recurring basis | ||
Assets: | ||
Cash and cash equivalents | $ 323,200 | $ 202,197 |
Restricted cash | 21,817 | 9,199 |
Restricted investments | 79,562 | 84,355 |
Investments in lieu of retainage | 81,875 | 86,328 |
Total | 506,454 | 382,079 |
Fair value measured on a recurring basis | Level 1 | ||
Assets: | ||
Cash and cash equivalents | 323,200 | 202,197 |
Restricted cash | 21,817 | 9,199 |
Restricted investments | 0 | 0 |
Investments in lieu of retainage | 23,434 | 27,472 |
Total | 368,451 | 238,868 |
Fair value measured on a recurring basis | Level 2 | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Restricted cash | 0 | 0 |
Restricted investments | 79,562 | 84,355 |
Investments in lieu of retainage | 58,441 | 58,856 |
Total | 138,003 | 143,211 |
Fair value measured on a recurring basis | Level 3 | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Restricted cash | 0 | 0 |
Restricted investments | 0 | 0 |
Investments in lieu of retainage | 0 | 0 |
Total | 0 | 0 |
Money Market Funds | Fair value measured on a recurring basis | Level 1 | ||
Assets: | ||
Investments in lieu of retainage | 23,400 | 27,500 |
Debt Securities | Fair value measured on a recurring basis | Level 1 | ||
Assets: | ||
Investments in lieu of retainage | $ 58,400 | $ 58,900 |
Fair Value Measurements (Availa
Fair Value Measurements (Available for Sale) (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Amortized Cost | $ 148,962 | $ 143,084 |
Unrealized Gains | 134 | 1,523 |
Unrealized Losses | (11,093) | (1,396) |
Fair Value | 138,003 | 143,211 |
Debt Securities, Available-for-Sale, Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Fair Value | 112,893 | 83,656 |
Less than 12 Months, Unrealized Losses | (7,896) | (1,308) |
12 Months or Greater, Fair Value | 23,912 | 2,652 |
12 Months or Greater, Unrealized Losses | (3,197) | (88) |
Total, Fair Value | 136,805 | 86,308 |
Total, Unrealized Losses | (11,093) | (1,396) |
Debt Securities, Available-for-Sale, Maturity, Allocated and Single Maturity Date, Fair Value [Abstract] | ||
Amortized Cost, Due within one year | 20,553 | |
Fair Value, Due within one year | 20,333 | |
Amortized Cost, Due after one year through five years | 117,590 | |
Fair Value, Due after one year through five years | 108,498 | |
Amortized Cost, Due after five years | 10,819 | |
Fair Value, Due after five years | 9,172 | |
Restricted investments: | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Amortized Cost | 86,490 | 84,011 |
Unrealized Gains | 22 | 999 |
Unrealized Losses | (6,950) | (655) |
Fair Value | 79,562 | 84,355 |
Debt Securities, Available-for-Sale, Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Fair Value | 55,380 | 37,170 |
Less than 12 Months, Unrealized Losses | (3,753) | (572) |
12 Months or Greater, Fair Value | 23,912 | 1,938 |
12 Months or Greater, Unrealized Losses | (3,197) | (83) |
Total, Fair Value | 79,292 | 39,108 |
Total, Unrealized Losses | (6,950) | (655) |
Investments in lieu of retention: | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Amortized Cost | 62,472 | 59,073 |
Unrealized Gains | 112 | 524 |
Unrealized Losses | (4,143) | (741) |
Fair Value | 58,441 | 58,856 |
Debt Securities, Available-for-Sale, Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Fair Value | 57,513 | 46,486 |
Less than 12 Months, Unrealized Losses | (4,143) | (736) |
12 Months or Greater, Fair Value | 0 | 714 |
12 Months or Greater, Unrealized Losses | 0 | (5) |
Total, Fair Value | 57,513 | 47,200 |
Total, Unrealized Losses | (4,143) | (741) |
Corporate debt securities | Restricted investments: | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Amortized Cost | 47,529 | 46,649 |
Unrealized Gains | 22 | 438 |
Unrealized Losses | (3,866) | (438) |
Fair Value | 43,685 | 46,649 |
Debt Securities, Available-for-Sale, Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Fair Value | 26,673 | 28,639 |
Less than 12 Months, Unrealized Losses | (1,817) | (434) |
12 Months or Greater, Fair Value | 16,742 | 207 |
12 Months or Greater, Unrealized Losses | (2,049) | (4) |
Total, Fair Value | 43,415 | 28,846 |
Total, Unrealized Losses | (3,866) | (438) |
Corporate debt securities | Investments in lieu of retention: | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Amortized Cost | 61,656 | 58,261 |
Unrealized Gains | 0 | 72 |
Unrealized Losses | (4,143) | (741) |
Fair Value | 57,513 | 57,592 |
U.S. government agency securities | Restricted investments: | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Amortized Cost | 29,063 | 28,316 |
Unrealized Gains | 0 | 459 |
Unrealized Losses | (1,756) | (133) |
Fair Value | 27,307 | 28,642 |
Debt Securities, Available-for-Sale, Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Fair Value | 22,552 | 5,382 |
Less than 12 Months, Unrealized Losses | (1,108) | (97) |
12 Months or Greater, Fair Value | 4,755 | 824 |
12 Months or Greater, Unrealized Losses | (648) | (36) |
Total, Fair Value | 27,307 | 6,206 |
Total, Unrealized Losses | (1,756) | (133) |
Municipal bonds | Restricted investments: | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Amortized Cost | 9,334 | 8,475 |
Unrealized Gains | 0 | 100 |
Unrealized Losses | (1,274) | (78) |
Fair Value | 8,060 | 8,497 |
Debt Securities, Available-for-Sale, Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Fair Value | 6,037 | 2,714 |
Less than 12 Months, Unrealized Losses | (816) | (35) |
12 Months or Greater, Fair Value | 2,023 | 907 |
12 Months or Greater, Unrealized Losses | (458) | (43) |
Total, Fair Value | 8,060 | 3,621 |
Total, Unrealized Losses | (1,274) | (78) |
Municipal bonds | Investments in lieu of retention: | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Amortized Cost | 816 | 812 |
Unrealized Gains | 112 | 452 |
Unrealized Losses | 0 | 0 |
Fair Value | 928 | 1,264 |
Corporate certificates of deposit | Restricted investments: | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Amortized Cost | 564 | 571 |
Unrealized Gains | 0 | 2 |
Unrealized Losses | (54) | (6) |
Fair Value | 510 | 567 |
Debt Securities, Available-for-Sale, Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Fair Value | 118 | 435 |
Less than 12 Months, Unrealized Losses | (12) | (6) |
12 Months or Greater, Fair Value | 392 | 0 |
12 Months or Greater, Unrealized Losses | (42) | 0 |
Total, Fair Value | 510 | 435 |
Total, Unrealized Losses | $ (54) | $ (6) |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Details) - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Senior Notes | 2017 Senior Notes | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term debt, fair value | $ 374.9 | $ 504.9 |
Term Loan B | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term debt, fair value | $ 384.2 | $ 419.7 |
Variable Interest Entities (Det
Variable Interest Entities (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2021 | |
Variable Interest Entity [Line Items] | |||||
Assets, current | $ 3,906,053 | $ 3,906,053 | $ 3,862,492 | ||
Liabilities, current | 2,041,069 | 2,041,069 | 1,777,113 | ||
Revenue | $ 1,070,926 | $ 1,178,222 | $ 2,884,107 | $ 3,605,060 | |
Purple Line Extension Section 2 And Section 3 | |||||
Variable Interest Entity [Line Items] | |||||
Percent interest in the joint venture | 75% | ||||
Newark Airport Terminal One Design Build Project | |||||
Variable Interest Entity [Line Items] | |||||
Percent interest in the joint venture | 80% | ||||
Joint Venture With O&G Industries | Purple Line Extension Section 2 And Section 3 | |||||
Variable Interest Entity [Line Items] | |||||
Revenue | $ 2,800,000 | ||||
O&G | Purple Line Extension Section 2 And Section 3 | |||||
Variable Interest Entity [Line Items] | |||||
Noncontrolling interest, ownership percentage by noncontrolling owners | 25% | 25% | |||
Joint Venture With Parsons | Newark Airport Terminal One Design Build Project | |||||
Variable Interest Entity [Line Items] | |||||
Revenue | $ 1,400,000 | ||||
Parsons Corporation | Newark Airport Terminal One Design Build Project | |||||
Variable Interest Entity [Line Items] | |||||
Noncontrolling interest, ownership percentage by noncontrolling owners | 20% | 20% | |||
Variable Interest Entity, Not Primary Beneficiary | |||||
Variable Interest Entity [Line Items] | |||||
Assets, current | $ 600 | $ 600 | 700 | ||
Liabilities, current | 200 | 200 | 400 | ||
VIEs | |||||
Variable Interest Entity [Line Items] | |||||
Assets, current | 544,100 | 544,100 | 568,200 | ||
Liabilities, current | 584,900 | 584,900 | 496,900 | ||
Assets, noncurrent | $ 16,400 | $ 16,400 | $ 3,000 |
Changes in Equity (Details)
Changes in Equity (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Attributable to Tutor Perini Corporation: | ||||
Balance at the beginning of the period | $ 1,567,946 | $ 1,610,430 | $ 1,673,720 | $ 1,542,945 |
Net income (loss) | (24,070) | 26,241 | (104,903) | 92,957 |
Other comprehensive income (loss) | (4,579) | (1,081) | (11,059) | (290) |
Share-based compensation | 1,816 | 2,030 | 6,818 | 6,787 |
Issuance of common stock, net | 250 | (2) | 326 | (1,531) |
Contributions from noncontrolling interests | 3,000 | 961 | 7,000 | |
Distributions to noncontrolling interests | (22,000) | (10,000) | (46,500) | (17,250) |
Balance at the end of the period | 1,519,363 | 1,630,618 | 1,519,363 | 1,630,618 |
Common Stock | ||||
Attributable to Tutor Perini Corporation: | ||||
Balance at the beginning of the period | 51,358 | 51,072 | 51,096 | 50,827 |
Issuance of common stock, net | 127 | 389 | 245 | |
Balance at the end of the period | 51,485 | 51,072 | 51,485 | 51,072 |
Additional Paid-in Capital | ||||
Attributable to Tutor Perini Corporation: | ||||
Balance at the beginning of the period | 1,137,966 | 1,130,368 | 1,133,150 | 1,127,385 |
Share-based compensation | 1,816 | 2,030 | 6,818 | 6,787 |
Issuance of common stock, net | 123 | (2) | (63) | (1,776) |
Balance at the end of the period | 1,139,905 | 1,132,396 | 1,139,905 | 1,132,396 |
Retained Earnings | ||||
Attributable to Tutor Perini Corporation: | ||||
Balance at the beginning of the period | 429,673 | 469,584 | 514,310 | 422,385 |
Net income (loss) | (32,455) | 15,394 | (117,092) | 62,593 |
Balance at the end of the period | 397,218 | 484,978 | 397,218 | 484,978 |
Accumulated Other Comprehensive Loss | ||||
Attributable to Tutor Perini Corporation: | ||||
Balance at the beginning of the period | (48,963) | (46,526) | (43,635) | (46,741) |
Other comprehensive income (loss) | (3,054) | (634) | (8,382) | (419) |
Balance at the end of the period | (52,017) | (47,160) | (52,017) | (47,160) |
Noncontrolling Interests | ||||
Attributable to Tutor Perini Corporation: | ||||
Balance at the beginning of the period | (2,088) | 5,932 | 18,799 | (10,911) |
Net income (loss) | 8,385 | 10,847 | 12,189 | 30,364 |
Other comprehensive income (loss) | (1,525) | (447) | (2,677) | 129 |
Contributions from noncontrolling interests | 3,000 | 961 | 7,000 | |
Distributions to noncontrolling interests | (22,000) | (10,000) | (46,500) | (17,250) |
Balance at the end of the period | $ (17,228) | $ 9,332 | $ (17,228) | $ 9,332 |
Other Comprehensive Income (L_3
Other Comprehensive Income (Loss) (Schedule Of Components Of Other Comprehensive Income (Loss) And Related Tax Effects) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ||||
Defined benefit pension plan adjustments, Before-Tax Amount | $ 639 | $ 683 | $ 1,916 | $ 2,049 |
Defined benefit pension plan adjustments, Tax (Expense) Benefit | (181) | (191) | (543) | (574) |
Defined benefit pension plan adjustments, Net-of-Tax Amount | 458 | 492 | 1,373 | 1,475 |
Foreign currency translation adjustment, Before-Tax Amount | (3,016) | (1,389) | (4,458) | (541) |
Foreign currency translation adjustment, Tax (Expense) Benefit | 489 | 264 | 798 | 188 |
Foreign currency translation adjustment, Net-of-Tax Amount | (2,527) | (1,125) | (3,660) | (353) |
Unrealized gain (loss) in fair value of investments, Before-Tax Amount | (3,188) | (581) | (11,086) | (1,828) |
Unrealized gain (loss) in fair value of investments, Tax (Expense) Benefit | 678 | 133 | 2,314 | 416 |
Unrealized gain (loss) in fair value of investments, Net-of-Tax Amount | (2,510) | (448) | (8,772) | (1,412) |
Total other comprehensive income (loss), Before-Tax Amount | (5,565) | (1,287) | (13,628) | (320) |
Total other comprehensive income (loss), Tax Benefit (Expense) | 986 | 206 | 2,569 | 30 |
TOTAL OTHER COMPREHENSIVE LOSS, NET OF TAX | (4,579) | (1,081) | (11,059) | (290) |
Less: Other comprehensive income (loss) attributable to noncontrolling interests, Before-Tax Amount | (1,525) | (447) | (2,677) | 129 |
Less: Other comprehensive income (loss) attributable to noncontrolling interests, Tax (Expense) Benefit | 0 | 0 | 0 | 0 |
Less: Other comprehensive income (loss) attributable to noncontrolling interests, Net-of-Tax Amount | (1,525) | (447) | (2,677) | 129 |
Total other comprehensive income (loss) attributable to Tutor Perini Corporation, Before-Tax Amount | (4,040) | (840) | (10,951) | (449) |
Total other comprehensive income (loss) attributable to Tutor Perini Corporation, Tax (Expense) Benefit | 986 | 206 | 2,569 | 30 |
Total other comprehensive income (loss) | $ (3,054) | $ (634) | $ (8,382) | $ (419) |
Other Comprehensive Income (L_4
Other Comprehensive Income (Loss) (Schedule Of Changes In AOCI Balances By Component (After-Tax)) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Attributable to Tutor Perini Corporation: | ||||
Balance at the beginning of the period | $ 1,654,921 | |||
Balance at the beginning of the period, noncontrolling interests | 18,799 | |||
Other comprehensive income (loss) before reclassifications | $ (3,575) | $ (1,069) | (9,851) | $ (1,700) |
Amounts reclassified from AOCI | 521 | 435 | 1,469 | 1,281 |
Total other comprehensive income (loss) | (3,054) | (634) | (8,382) | (419) |
Other comprehensive income (loss) attributable to noncontrolling interests | (1,525) | (447) | (2,677) | 129 |
Balance at the end of the period, noncontrolling interests | (17,228) | (17,228) | ||
Balance at the end of the period | 1,536,591 | 1,536,591 | ||
Defined Benefit Pension Plan | ||||
Attributable to Tutor Perini Corporation: | ||||
Balance at the beginning of the period | (36,951) | (43,104) | (37,866) | (44,087) |
Other comprehensive income (loss) before reclassifications | 0 | 0 | 0 | 0 |
Amounts reclassified from AOCI | 458 | 492 | 1,373 | 1,475 |
Total other comprehensive income (loss) | 458 | 492 | 1,373 | 1,475 |
Balance at the end of the period | (36,493) | (42,612) | (36,493) | (42,612) |
Foreign Currency Translation | ||||
Attributable to Tutor Perini Corporation: | ||||
Balance at the beginning of the period | (6,568) | (5,126) | (5,787) | (5,322) |
Other comprehensive income (loss) before reclassifications | (1,238) | (678) | (2,019) | (482) |
Amounts reclassified from AOCI | 0 | 0 | 0 | 0 |
Total other comprehensive income (loss) | (1,238) | (678) | (2,019) | (482) |
Balance at the end of the period | (7,806) | (5,804) | (7,806) | (5,804) |
Unrealized Gain (Loss) in Fair Value of Investments, Net | ||||
Attributable to Tutor Perini Corporation: | ||||
Balance at the beginning of the period | (5,444) | 1,704 | 18 | 2,668 |
Other comprehensive income (loss) before reclassifications | (2,337) | (391) | (7,832) | (1,218) |
Amounts reclassified from AOCI | 63 | (57) | 96 | (194) |
Total other comprehensive income (loss) | (2,274) | (448) | (7,736) | (1,412) |
Balance at the end of the period | (7,718) | 1,256 | (7,718) | 1,256 |
Accumulated Other Comprehensive Income (Loss) | ||||
Attributable to Tutor Perini Corporation: | ||||
Balance at the beginning of the period | (48,963) | (46,526) | (43,635) | (46,741) |
Balance at the end of the period | (52,017) | (47,160) | (52,017) | (47,160) |
AOCI Attributable to Noncontrolling Interest | ||||
Attributable to Tutor Perini Corporation: | ||||
Balance at the beginning of the period, noncontrolling interests | (610) | 978 | 542 | 402 |
Balance at the end of the period, noncontrolling interests | (2,135) | 531 | (2,135) | 531 |
Defined Benefit Pension Plan | ||||
Attributable to Tutor Perini Corporation: | ||||
Balance at the beginning of the period, noncontrolling interests | 0 | 0 | 0 | 0 |
Other comprehensive income (loss) attributable to noncontrolling interests | 0 | 0 | 0 | 0 |
Balance at the end of the period, noncontrolling interests | 0 | 0 | 0 | 0 |
Foreign Currency Translation | ||||
Attributable to Tutor Perini Corporation: | ||||
Balance at the beginning of the period, noncontrolling interests | 190 | 978 | 542 | 402 |
Other comprehensive income (loss) attributable to noncontrolling interests | (1,289) | (447) | (1,641) | 129 |
Balance at the end of the period, noncontrolling interests | (1,099) | 531 | (1,099) | 531 |
Unrealized Gain (Loss) in Fair Value of Investments, Net | ||||
Attributable to Tutor Perini Corporation: | ||||
Balance at the beginning of the period, noncontrolling interests | (800) | 0 | 0 | 0 |
Other comprehensive income (loss) attributable to noncontrolling interests | (236) | 0 | (1,036) | 0 |
Balance at the end of the period, noncontrolling interests | $ (1,036) | $ 0 | $ (1,036) | $ 0 |
Other Comprehensive Income (L_5
Other Comprehensive Income (Loss) (AOCI Reclassifications) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Other income (expense) | $ (397) | $ 464 | $ (5,114) | $ (1,142) |
Income tax expense (benefit) | 560 | 8,694 | (47,047) | 26,293 |
Net income (loss) attributable to Tutor Perini Corporation | 32,455 | (15,394) | 117,092 | (62,593) |
Defined Benefit Pension Plan | Reclassification out of Accumulated Other Comprehensive Income | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Other income (expense) | 639 | 683 | 1,916 | 2,049 |
Income tax expense (benefit) | (181) | (191) | (543) | (574) |
Net income (loss) attributable to Tutor Perini Corporation | 458 | 492 | 1,373 | 1,475 |
Unrealized (gain) loss in fair value of investment adjustments | Reclassification out of Accumulated Other Comprehensive Income | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Other income (expense) | 79 | (73) | 121 | (246) |
Income tax expense (benefit) | (16) | 16 | (25) | 52 |
Net income (loss) attributable to Tutor Perini Corporation | $ 63 | $ (57) | $ 96 | $ (194) |
Business Segments (Narrative) (
Business Segments (Narrative) (Details) | 9 Months Ended |
Sep. 30, 2022 segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 3 |
Business Segments (Reportable S
Business Segments (Reportable Segments) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Segment Reporting Information [Line Items] | ||||
Revenue | $ 1,070,926 | $ 1,178,222 | $ 2,884,107 | $ 3,605,060 |
Income (loss) from construction operations | (6,892) | 52,093 | (107,353) | 170,550 |
Capital expenditures | 13,964 | 8,302 | 42,809 | 27,162 |
Depreciation and amortization | 15,533 | 30,061 | 54,054 | 92,196 |
Favorable Legal Ruling Pertaining to Electrical Project in New York | ||||
Segment Reporting Information [Line Items] | ||||
Income (loss) from construction operations | (14,500) | |||
Gain (loss) related to additional revenue recognized, after tax | $ (10,500) | |||
Gain (loss) additional revenue recognized , after tax, per share, diluted (in dollars per share) | $ (0.21) | |||
Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 1,157,793 | 1,290,878 | 3,111,612 | $ 3,996,366 |
Intersegment Eliminations | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | (86,867) | (112,656) | (227,505) | (391,306) |
Corporate | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 0 | 0 | ||
Income (loss) from construction operations | (17,898) | (15,778) | (46,397) | (42,511) |
Capital expenditures | 423 | 234 | 931 | 626 |
Depreciation and amortization | 2,368 | 2,634 | 7,063 | 8,171 |
Civil | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 500,905 | 546,218 | 1,295,322 | 1,577,145 |
Income (loss) from construction operations | 18,100 | |||
Gain (loss) related to additional revenue recognized, after tax | $ 13,000 | |||
Gain (loss) additional revenue recognized , after tax, per share, diluted (in dollars per share) | $ 0.25 | |||
Civil | Unfavorable Legal Ruling Pertaining To Mass-Transit Project In California | ||||
Segment Reporting Information [Line Items] | ||||
Loss contingency | (34,600) | |||
Loss contingency, after tax | $ (27,300) | |||
Loss contingency, after tax, diluted (in dollars per share) | $ (0.53) | |||
Civil | Adverse Legal Ruling Pertaining to Bridge Project in the Northeast | ||||
Segment Reporting Information [Line Items] | ||||
Loss contingency | $ (25,500) | |||
Loss contingency, after tax | $ (18,300) | |||
Loss contingency, after tax, diluted (in dollars per share) | $ (0.36) | |||
Civil | Unfavorable Settlement due to Project in Maryland | ||||
Segment Reporting Information [Line Items] | ||||
Loss contingency | $ (16,200) | |||
Loss contingency, after tax | $ (11,600) | |||
Loss contingency, after tax, diluted (in dollars per share) | $ (0.23) | |||
Civil | Unfavorable Adjustment Due to Civil Segment Highway Project in the Northeast | ||||
Segment Reporting Information [Line Items] | ||||
Loss contingency | $ (14,300) | |||
Loss contingency, after tax | $ (10,200) | |||
Loss contingency, after tax, diluted (in dollars per share) | $ (0.20) | |||
Civil | Unfavorable Adjustments Due to Civil Segment Mass-transit Project in California | ||||
Segment Reporting Information [Line Items] | ||||
Loss contingency | $ (13,100) | |||
Loss contingency, after tax | $ (9,400) | |||
Loss contingency, after tax, diluted (in dollars per share) | $ (0.18) | |||
Civil | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 564,205 | 624,549 | $ 1,478,162 | $ 1,850,748 |
Income (loss) from construction operations | 22,786 | 62,555 | 12,052 | 187,733 |
Capital expenditures | 11,872 | 7,847 | 38,703 | 26,027 |
Depreciation and amortization | 12,166 | 26,234 | 44,191 | 80,125 |
Civil | Intersegment Eliminations | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | (63,300) | (78,331) | (182,840) | (273,603) |
Building | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 318,050 | 360,941 | 915,639 | 1,150,834 |
Building | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 341,614 | 395,013 | 960,148 | 1,267,984 |
Income (loss) from construction operations | 56 | 10,786 | 9,453 | 19,514 |
Capital expenditures | 921 | 87 | 973 | 211 |
Depreciation and amortization | 470 | 416 | 1,261 | 1,272 |
Building | Intersegment Eliminations | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | (23,564) | (34,072) | (44,509) | (117,150) |
Specialty Contractors | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 251,971 | 271,063 | 673,146 | 877,081 |
Specialty Contractors | Unfavorable Adjustment due to Electrical Project in the Northeast | ||||
Segment Reporting Information [Line Items] | ||||
Loss contingency | (14,300) | (36,000) | ||
Loss contingency, after tax | $ (10,200) | $ (26,000) | ||
Loss contingency, after tax, diluted (in dollars per share) | $ (0.20) | $ (0.51) | ||
Specialty Contractors | Unfavorable Legal Appeal due to Electrical Project in the Northeast | ||||
Segment Reporting Information [Line Items] | ||||
Loss contingency | $ (17,800) | |||
Loss contingency, after tax | $ (12,800) | |||
Loss contingency, after tax, diluted (in dollars per share) | $ (0.25) | |||
Specialty Contractors | Favorable Legal Ruling Pertaining to Electrical Project in New York | ||||
Segment Reporting Information [Line Items] | ||||
Favorable arbitration | 20,100 | |||
Favorable arbitration, after tax | $ 14,600 | |||
Favorable arbitration, after tax, diluted (in dollars per share) | $ 0.28 | |||
Specialty Contractors | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | $ 251,974 | 271,316 | $ 673,302 | $ 877,634 |
Income (loss) from construction operations | (11,836) | (5,470) | (82,461) | 5,814 |
Capital expenditures | 748 | 134 | 2,202 | 298 |
Depreciation and amortization | 529 | 777 | 1,539 | 2,628 |
Specialty Contractors | Intersegment Eliminations | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | (3) | (253) | (156) | (553) |
Total | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 1,070,926 | 1,178,222 | 2,884,107 | 3,605,060 |
Total | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 1,157,793 | 1,290,878 | 3,111,612 | 3,996,366 |
Income (loss) from construction operations | 11,006 | 67,871 | (60,956) | 213,061 |
Capital expenditures | 13,541 | 8,068 | 41,878 | 26,536 |
Depreciation and amortization | 13,165 | 27,427 | 46,991 | 84,025 |
Total | Intersegment Eliminations | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | $ (86,867) | $ (112,656) | (227,505) | $ (391,306) |
Civil and Building | Unfavorable Adjustment due to Changes in Estimates on Transportation Project in the Northeast | ||||
Segment Reporting Information [Line Items] | ||||
Loss contingency | (18,000) | |||
Loss contingency, after tax | $ (13,900) | |||
Loss contingency, after tax, diluted (in dollars per share) | $ (0.27) |
Business Segments (Reconciliati
Business Segments (Reconciliation Of Segment Results To Consolidated Income Before Income Taxes) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Segment Reporting [Abstract] | ||||
Income (loss) from construction operations | $ (6,892) | $ 52,093 | $ (107,353) | $ 170,550 |
Other income (expense) | 397 | (464) | 5,114 | 1,142 |
Interest expense | (17,015) | (16,694) | (49,711) | (52,442) |
INCOME (LOSS) BEFORE INCOME TAXES | $ (23,510) | $ 34,935 | $ (151,950) | $ 119,250 |
Business Segments (Total Assets
Business Segments (Total Assets For Reportable Segments) (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Segment Reporting Information [Line Items] | ||
Assets | $ 4,760,974 | $ 4,724,898 |
Corporate and other | ||
Segment Reporting Information [Line Items] | ||
Assets | (290,023) | (198,449) |
Civil | Operating Segments | ||
Segment Reporting Information [Line Items] | ||
Assets | 3,467,173 | 3,310,648 |
Building | Operating Segments | ||
Segment Reporting Information [Line Items] | ||
Assets | 976,400 | 980,989 |
Specialty Contractors | Operating Segments | ||
Segment Reporting Information [Line Items] | ||
Assets | $ 607,424 | $ 631,710 |