GLDD - Earnings call transcript Q4 2020 | Great Lakes Dredge & Dock Corporation

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Ladies and gentlemen, thank you for standing by and welcome to the Q4 2020 Great Lakes Dredge & Dock Corp. Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speakers' presentation, there will be a question-and-answer session. [Operator Instructions] Please be advised that today's conference is being recorded. now today, hand Tina would to conference I speaker your Baginskis. Instructions] like the to over [Operator Thank you and please go ahead.

Tina Baginskis

Hello. to Good our quarterly conference welcome morning call. and

Joining the Financial Officer, our Marinko. Lasse morning President, me an Petterson the Mark call update provide Officer on Lasse Chief Executive in and is our and will on the events Chief this an outlook and with financial results our the and quarter year. will market. update Lasse an year. the Then Mark on update conclude and business with the for will quarter on continue of

be Following there opportunity comments, their will an for questions.

expectations. call, make and business the we number including SEC, subsequent Certain in During earnings inherent actual factors statements this our in involve our our and uncertainties risks, cause will differ are forth XXXX other and factors in with our release to understand help filings. to you Form XX-K of risk from filings statements set that forward-looking These business. our could the materially certain results

this the and During continuing Relations explained our reconciliation release refer are to financial our non-GAAP on over certain adjusted which operations EBITDA that certain Lasse. in including to attached to adjusted will website With turn income from measures, along I continuing from to earnings EBITDA operating operations we Investor with other posted net call, also data. the call

Lasse Petterson

was fourth to working to changes initiatives, and as exceptional advancing the Dredge this challenges year and federally Despite of that be on year results a and quarter continue time strengthening full-year year We pandemic & fleet, for record upcoming were income full another results at all operations. that and EBITDA had impacted the project strong from Great with balance deliver designated our throughout wind This challenges, from operations financial had crisis. results prior net Lakes and unprecedented operations continuing US with company market. strategic offshore continuing the reflect presented our Infrastructure dredging renewal a COVID improved XXX.X our These full improving year Critical working as increase of the able Tina. positioning we a XX.X continued us sheet, of on an over same you, our Dock XX.X% from lives. Thank performance the for continuing a the We to million adjusted EBITDA and year fortunate million.

to the and pending our several repurchase mid-sized options Houston our with a upcoming cutter invested the positioning and debt then move us year clients. and of and from position of company XXXX, We ratio XX.X net and to We a year but to strong adjusted performance. dredges. Our was in in solid a both result our strong low million balance domestic economic a we and for to bids XXXX, product a the of hopper cash allowed the performance domestic program of market. storm ended million million. us which market in of the debt focus XXX.X have future. XXX.X market ended well decreased the net headquarters X.X. result as a flow cash operations Operationally, the we dredge. we growth to continuing resulted in invest strong a The to on not in of invested dredging offshore addition, for closer healthy and by in dredging share continued new withstand million for only with EBITDA we US A and backlog decided of our wind positioned XXX.X through upgraded our contracted markets sheet $XX be pandemic, to We In million shareholders large in

which work, of is to The successful continuing deepening in quarter, project Jacksonville. of the be was shipping of channels announce Jacksonville placed completing for to we the Harbor project to ahead were once Also Lakes phase support project the to is of the the Dredge forward the the deepening of Great backlog project. for Jacksonville million. successfully with now of XXXX, port January decade C look Brownsville includes year-end & next in Lakes the schedule, in in notice will expansion continuation contract received. A we on contract fourth Dock's be million backlog, the signing largest the LNG included proceed pleased the history. Great contract Additionally, the bidder Boston XXX XX.X At next

expect remain scale large XXXX, along project work Gulf the Coast. strong dredging that We in market and port deepening projects include by driven the to will East

projects the in to coastal delivery been the hurricane expected first the including and of a that budget hopper The market mid-sized on strong Louisiana of schedule had major on by build build impacted is coastal with we well as dredge of barrier in contract now and renourishment have announced and the cutting islands early constructions ceremony shipyard events beaches coastal in execution we XXXX. our new protection domestic As in the Louisiana. support project new vast To and demand, steel quarter Conrad with February. the

with to existing In upgrade build, the addition to productivity. technology increase to equipment and US fleet new new our continue we domestic

the paramount several and powerful dredge project East fleet complete most performance Middle is to year on last in strong projects busy and to in from our been renourishment returned Investing projects beach then. on to our has time market since the working cutter and maintaining US upgraded Ohio Our on budget.

dredges, well our to and the is current the dredging demand ongoing and fleet meet new equipped the future productivity growth in market. we the to With hopper domestic upgrades existing our believe dredge

to strategic the New the plan positioning and gas in with for upcoming US in new LNG which market on corporate Gulf, the Jacksonville, opening in company Florida market the model, the and and the growth oil as regional the projects Finally, and our moving in we The Company's see exports and Houston Coast East and for our the the Coast. the next on our operating to took office wind East announcement we markets new Gulf; model step offshore in York. related the include offices centrally dredging traditional situates

in Lakes Great And opening current changes in continued of environment the update for an I'll remarks, turn on be for Dredge call backlog now we and stated to positioned the the Dock the & economic the quarter XXXX. discuss and for to development. well over further As as enter results the Mark to future

Mark Marinko

to in I in XXXX Okay, will the all results discontinued I that that placed start results E&I quarterly business. dredging you with specifics from in great. and our were Thank not operations segment included remember and Lasse. some discuss the related our Please therefore will discuss. then the results

quarter the revenue, The capital protection partially operations compared continuing foreign due XX% million profit fourth quarter the compared in in Income an margin XXXX million. was EBITDA company to reduction a million, million For maintenance the XXXX, year settlement marine to compared the X.X domestic of fourth for and a total to prior was quarter received offset loss and increase insurance continuing XX.X quarter. by XX.X Gross increase from maintenance XX.X%, quarter from the represented of million was due rivers increase XX.X prior operations revenues and adjusted operations million were fourth quarter higher lower Gross million XXXX. in XXXX. The profit to XX.X fourth revenues was was was The result coastal was premiums. in or the income in X.X lakes of of company's was million X.X% fourth to claim of and the over small year The expense was decrease operating XX.X of million. a is decrease that primarily higher which continuing of XXX.X from The of margin primarily quarter. and the revenue. X.X use XXXX.

of partially expense. and change in administrative of the from The quarter million by continuing continuing X.X XX.X operations the income million, income of compared XXXX. a compared from in general prior sale from fourth million was the XXXX offset to impacted the includes of XX.X EBITDA of operations fourth tax X.X assets. of XXXX interest Additionally, X.X year expense Income for quarter by net gain net included to fourth in and higher of XX.X current million, quarter XX.X interest quarter Income operations was of expense quarter operating quarter. from continuing fourth Adjusted million of EBITDA adjusted for the was X from tax income the million. expense the XXXX million million expense,

December and adjusted in operations net million. adjusted XXXX. of XX, million results EBITDA for XX.X in increase These increase from was Turning XXX.X operations from of XX.X Net from increase a million and year-over-year continuing operations. million XX.X were income full continuing Revenues year our million million. an XX.X was continuing XXX.X year from in revenue, EBITDA the represent to operations continuing ended results an income

some COVID-XX The was related our to additional keep employees expenses XXXX projects. our equipment approximately changes safe. For to procedural to million cost did have to the X.X additional were cost the pandemic, company direct that and related

to million our continued cash in XXXX on balance XXXX, XXX.X Next, we cash. revolver. balance we our had zero turn XX, December sheet, Throughout to we a maintain

was XXXX million. XX, December XXX.X at debt net Our

stock $X.X previously and that Also million. we included for to at of related to expenditures capital Contracted million This Great the back new our outlook turn XXXX. XXXX million to XXXX construction repurchase dredge. his XXX.X expenditures over XXX.X of totaled the XX, backlog Lakes' XX.X The to announced expenditures moving were program. XXXX. XX, I hopper December million the remarks during will capital XX.X related forward. compared common compares December million at XXXX Our call the of to backlog for a date, Lasse million, XX.X in capital repurchased mid-sized to With

Lasse Petterson

Yeah.

projects COVID-XX, still port the oversee and as continued damage the needed during all project to coastal service, dredging, schedule critical majority necessary avoid challenges industry to As facing Engineers on of follow of to including Army operate storm as the the our are types prioritize Corps deepening, restoration essential infrastructure and country protection these continues and work projects. bid an The of US coastal maintenance port on and and deemed of is the season. expansion, that hurricane dredging infrastructure

quickly project move an and Dock a as to has the result and pandemic Lakes and injury & respond the safety of program. remains approach members This our through effectively forward, COVID-XX health incident us team of maintaining challenges allowed and any Great to Dredge to our safety As pandemic. committed management value-based free the

positive the crews several to de-contaminating dredging projects, we operations. we board to on follow recommence safety procedures cases replacement As continue of vessels having order and experience COVID-XX for

the on XX, surrounds and safety financial value, by has operational employees, of COVID-XX that environment business the impact not but results December company's that potential As to virus, continuing operations. and due the plans Company's significantly this this future evolving the the has be company of and been business, uncertainty condition impacted will the

Moving strong be Great Corpus remains rate bid projects, At multiple and port The XX% project was for to channel East ship the projects billion several XXXX maintenance for the bid coastal the and bids of deepening for the comprised that the reached will market deepenings of to market in Gulf and see next and an win in dredging domestic capital, phases million, continue continue years. the resulting the market. along from Lakes Christi, domestic driven Mobile awarded will Houston protection which large-scale of XXX.X in Coast. port for end XXXX XXXX. projects X.X annual the year, for

recurring as ecosystems, to damages, events. which protection resulted maintenance and resilience storm other hurricane an economic are the erosion coastal from of and of needed adds job damage These seasons our more important development. And port providing nature and help storm in creation business as frequent for to future have strong coastal risk and the increase are they well driving as projects Additionally, the and projects. and to flood communities reduce need in and in

in confident as XXXX bid we the to the be anticipate be and market to XXXX. strong as markets continue We total

high Corps X.X industry is that in reinforced at XXXX in Our of approved seen support the budget US the confidence billion. by Army a for the and dredging was Engineers market we record the have

Development some material earlier in on in Act. the and more Coronavirus WRDA, significant into on infrastructure is additional Maintenance Congress to reforms Act, to In surplus, includes the both the having encouraging draw that billion Relief the and advocating. Fund down use Great active Water addition, and Economic was X for addition allow the the to Security which includes issues first Trust in annual environmental listed year, will beneficial also fund law Harbor that Resource language, language dredged WRDA time for natural signed the caps Lakes particularly was Aid, the in important,

Looking foundations. flagged resource to fall-pipe in the of rock announced Lakes design gain new installation significant Lakes. specialized for future, this vessel Great market energy significant is the US. for US December, extensive first compliant, in offshore the vessel for Act the as enter of We This us in this wind this a will Jones represents industry. for advancement existing US offshore would opportunity And to building momentum Great the exciting believe future we to critical to development time subsea US. an windmill believe exciting now the leverage the vessel expertise and represent and optimal coming inclined the renewable And

enhancing developers the Great basis use timeline SVP projects are wind. wind construction creation of has on for responsible engage execution. US Eleni Beyko these the the Development, As these US market, our US are in value and to be company both Business partners To being the wind Lakes lead She during and we Strategy offshore for owned offshore tendering this built operations continuing help as including and and project with content local to appointed offshore and projects equipment developed, and operated on developing will operations.

in new that to on We board implementing a operational lies are excited capitalize look to markets. our to emerging to In seeking we ahead. Eleni XXXX opportunities model in these and assist conclusion, opportunities forward on us strong are pleased the performance have with

a balance for and sheet. project performance pandemic respond our fleet potential We the we and to turn plans able over maintain advance safety that focus safety will actively continuing impact COVID-XX economic must while the changes to to strategy strengthening this questions. contingency of be With to on continue Entering potential on in and also sharp we recognize in continue employee evolving environment. the and call to I that long-term to investigate XXXX, our the operational investing

Operator

We a the do of have from Instructions] Jon Tanwanteng. [Operator question line

Jon Tanwanteng

Hi, good morning everyone. Can you hear me?

Mark Marinko

John. Hi, Yes.

Jon Tanwanteng

Good, doing. you thanks for questions. taking my are How

start about was was there weather internal any insurance else? you could mentioned what I think anything there but the in you there quarter maintenance maybe for rates, expectations. or If other maybe unusual high gather but your just was compared COVID you to unexpected events, talk I was impacts.

it how last thinking played to compared you Just what tell me out reported? you're when

Mark Marinko

quarter. overall two to Right. Actually did my on we vessels a some in maintenance expected. little handle expense the we did can I When bit we comments let's it, though and project performance today. we, was that than we I the, have say, when on have unplanned had was referred the that's better the, the did What downtime what drove that

So that the downtime. really there. vessels This piece. was two was really the being Those debt offset

Jon Tanwanteng

range you. impact within the the Got project? given I weather guess your And was

Mark Marinko

Correct.

Jon Tanwanteng

Okay. Correct.

drive of look ability to have I within QX that Okay of be lot about some weather, and your constraints? revenue some we winter into there been journal then has the as thinking in you in read we liquidating did COVID delayed those industry How a your should that of backlog ships. some

Lasse Petterson

employees I'm safety place efforts you procedures that employees, program a into company to to very outbreaks. the want value have impacts to our I home situation cases on as we not take sites. that situation but take had it are our we some it we on before to but go our execute that? come but our detected, tested see of to COVID unfortunately, that tested fill and then on the care some have mobilize some Again how they vessels confident projects project our safety a some ensure and these remarks, Yes we is this do XXXX, to to Mark, for this and prepared my and policies in us unfortunately on leave our program appear strong I'm cases as and have in our confident in of and operation. and said we evolves. see are vessels, in will able our will be we of before

Mark Marinko

it We I When crew the -- a and is an we in down have We've vessel new that before. a have exactly we the become, we we and talked vessel, that bring bring had outbreak do have bring crew have a does disinfected. up, a vessel think do obviously right. Lasse

the to So, procedures but a does minimize extent vessels than impact, down we that an put and of usually week, the we when the that in place but less have happens it that can.

Jon Tanwanteng

the pretty comprised Okay, drill you else Boston great. bid that Thank bid the scheduled maybe about I large. just out? you. talk but to wanted in the pending what was one out decade that down have been has two, in I what's is low left there, you want that that the award a I you for there? number mentioned into had which are that QX in might there, pushed projects think you Can Lasse to QX, one next is been guess

Lasse Petterson

take? Yes, you Mark can

Mark Marinko

Yeah, sure.

So in December our XX, low at bid pending awards XXXX.

XXXX first bid we the the originally Boston be award number additional to that pending bid we million so low the larger were our of So projects, XXXX, are related obviously we now two there's clients at. that into one what the some January. that make so phase with the There historically big was the but decade, number energy Lasse numbers in XX of that deepening energy next on clients in on being up would LNG are quarter have to the working bids as it and mentioned, of have which two smaller top Boston large there of bulk XXXX, you one far. chunk and December until really is the projects that. the anticipating occurred the go But XX, the of didn't current options project

that bid So award. pleased very yes, low in pending to have

Jon Tanwanteng

extended new year on to dredging terms offshore wind and of year, this ship. extend got vessel, the Just your in just the expecting the CapEx you Okay, it this

invested you are between expect spend other into think mentioned that I to spending. this a not of XXXX? you much picture how dredges on we just Give and maintenance you had vessels get as capital, two us year

Mark Marinko

Sure.

So for about and our fleet of from is fleet let's call bit as improve regular a it million. little the CapEx our there maintaining which XX growth in That's we the fleet.

For this not and the that of before year. dredge, talked we about are new this this I then we a We, and we bit million expecting schedule be that believe that hopper XX the XXXX little payments for million, multi-kit XXXX for XX expect is the year two dredges. in about said about we're should

So a of a bit small offshore of $X.X the million It's, doing nothing wind. we're the on south really little so XX. neighborhood just $X and million offshore XXXX. that that's There's the in is for the on construction design yet, no amount

Jon Tanwanteng

Got it. me. Thank you. all And for that's

your If to market terms you ability of the and your for you're fund coupon debt what run right And right as level sort what's absolute are looking rate just, number in now? investments to the debt company close business. getting in kind at of that two, a your refinance the

Mark Marinko

Yes.

at we May As XX. par call the think is date about

that coupon. much our that X% are The than is to currently we more still the is So attractive date. market attractive,

are, the market as for We is still yield. good high very

We be looked will now, it coupon market coupon you so expect right of at be that we to dictate the better The May than a as better. get if and lot into or could that X% X%. much that

amount. today could we depending expecting movement same that so rate the also it or to upon at where now, a refinance is. more course are we upsize we're attractive, can little expect rate we of where bit, a but Of gets If and good the same but it market kind right move,

Jon Tanwanteng

Thank it. you, Got guys. Understood.

Mark Marinko

Sure. Thanks, Jon

Operator

question the DeForest line comes of next from Hinman. Your

DeForest Hinman

prices that SG&A been color us Few moves, office some favorably. part perspective? quarter. had have fall kind moved a number know, Can in help and answered. first does from of XXXX taking think the about of for in just a call. we the you bit fourth I share asked number thanks us dollar you Hi, of expense where my Can on the out questions my little more give of

Mark Marinko

and expense quarter, was the of of quarters yes than higher really in in prior it so little the seen driven a actually about that year severance the was XXX,XXX. by you've Yes, bit

can move that to just retirement a of that that some program So impacted one-time, related the few some call a in was people a you made severance small but of and, early quarter. was but also it XXX,XXX the was

So that be a one-time.

out, were where take we if that quarters. in would lot So the to you we a previous been closer

DeForest Hinman

brought we leases I Okay. know some some And for had, more offices. we

really the function it is just XXX,XXX kind new of that's So of a rate? minus XX the run

Mark Marinko

you'll go what but leases, a quo see next status have going couple into other move that you of on. as From year, things new the Yes. you

Houston in the for headquarter. the So XXXX there wasn't lease

G&A comments. $X and really you'll one about So obviously that. of to million people But look at a times we're those expecting that talked be it XXXX. was relocation it the those have we little as in We'll than on impacts, be have and XXXX I in XXXX, higher bit my would about for

So would digitization. lease. I for some we move times, IT some looking except office see the one at, making those the Houston we're some in of investments And are the things around then

So have expecting. those increase why we're million $X next this impacts, that's overall you'll year

DeForest Hinman

Okay, to And give when you the do thinking share have in we the a there. the as dividend, the initiation a maybe coming restatement you're very debt or refinancing. repurchase share you. understand more thinking capital Thank it helpful. an of and as closer terms were that. thinking and potential to It's us we're to Can be the repurchase We activity structure, relates update for just very closer Board's of the permanent using helpful authorization. comfortable day. about then by if then That get the

Mark Marinko

to take that like you one? Lasse, me

Lasse Petterson

that. do Yeah,

Mark Marinko

Sure. Yes, sure.

are. dividend the on so notes Overall right. these see with refinancing the where side, to the change between So, we in

from of, would program that's structure. I these dividends versus program. out capital share a on the do and discuss options perspective, fallen repurchasing kind we share repurchase different all the with a priority have Board say We the They

the and the I a priority for it's to notes, call size want as because would vessel. mentioned You hopper as how obviously tell with of this, items, offshore equipment looking the but our you like see the that the final new effective of lower the of the let's waiting other we're investing refinance other our some wind we've where fleet the would at pieces dredge, and well than be also multi-kit

of do that do say would We we from So dividends, it. but know there that's for definitely things priorities before discuss number an other I us. is management's Board's the a and our option perspective

DeForest Hinman

Okay, very helpful. time, just last excess realized to backlog. in certain And had the about you question. those most Can into XXXX. XXX you the we past have little had maybe talk some Can then bids in pending numbers revenue? talk If ability you of turn about million years revenues backlog in large you recently, look some in and of back

Now numbers a busy generate the a where good bids, backlog over in Hopefully that $X all reasonable expectation to we over we this put very of just think but weather, million year. have billion. a pending $XXX Hopefully, XXXX? revenues it situation is together two can

Mark Marinko

E&I XXXX out you in to to have business take one So comparing there. do -- the

recall You the up have my don't I'm of north head, million. to take top it that and was number sure XXX out I but

year a that yes, have a which pending file XXXX do week number. that million, that, we increase very so from K expect revenue expect in lot XXXX. we we So so, were it have is next But our yes you'll award of the similar XXXX be to bid and to do into do low where coming actually looking the we when backlog XXX when at or we XX% you're to earned and of see we

DeForest Hinman

versus looking and look Okay, for if catching and I thanks said, numbers that's I the I me at [indiscernible]. segment was at the then helpful

Mark Marinko

problem. No

DeForest Hinman

All for right, I it. question. thanks the taking appreciate

Mark Marinko

Sure.

Operator

line from Your Fratt. Poe next comes question of the

Poe Fratt

the XX% just XXX. could said clarify, you what low bid that for expect of I looks us realized award? give it XXX And sort you is standards thing be pending idea in to you would like bids in Mark in do you morning. now that Good awards XXXX? to an of your low pending backlog wanted Can million. Right number same

Mark Marinko

large to projects chunk as for, that don't the proceed. stated Since wait I that Yes. yet. investment of prior a then LNG on solid we a we decision We Unfortunately, final with before can't. notice have timing a as and being

we on can't some but 'XX. year, this I there, that So the of into but number give work some will will Boston, go a of you Boston

you So a yet can't a to notice yes, unfortunately projects give I get number proceed. those until LNG

So have I don't for that yet can't add on you. that. I

Poe Fratt

that talk you I And talk can't you us highlight haven't confidentiality, know maybe that or did that second that, but that? or one about of you a announced on then we is, next missed decade Okay. then Sabine is about the which can seen, LNG the give you I of sort the when that the color project also Pass and size

Mark Marinko

Yes.

So actually low in it's bid been long a one, that one time. was actually for

award been when bit in pending we contracts put signed low since we So the a has out there 'XX.

of XXX yet. Still with them, south So million. but it's the moved in same one for not it's forward discussions that has

to of again, I give a but So bit you perspective, on that. number can't little a give you just yes

Poe Fratt

Okay. program. quarter? that then at you the stock bought amount And buyback fourth if look of I the could missed we in the back

Mark Marinko

was Yes. all Not much in quarter. the third the in really fourth quarter

regular Let's [ph] plan. BXX say a like XX

it's price the with where grid has has on ceiling any grids spend a so, and each one grid today at ceiling program. even limits a with we above and that prices of have amounts of parameters one targets the limit repurchase on those set stock we So our that those that that trials grids each would

didn't buy we in any QX. So additional

Poe Fratt

Okay.

time, seem get completed That program, adjust by you in the third buyback it's doesn't goal likely you I you the stock And to XXXX quarter at end unless point that it, originally savings was of the the a implemented think, this you so the when when year. at of that look fair? or within

Mark Marinko

Yes.

plan you old stay plan place would in technically adjust do though do is would the be, would a one. plan you what leave is to we and wouldn't could additional what them an You another that

Poe Fratt

then cash you can you doing flow us do, Okay. the wouldn't mind on And if work quarter. fourth

You had missed is the working in capital changes. I thing maybe the one

items million flow capital was, figure working resulted cash before in flow XX.X potentially operating cash the out then can quarter-to-quarter? to the You that in cash capital and other decline pushed that working what any

Mark Marinko

really cash decline the senior the so paying quarter was the the related notes. in Yes on for to biggest interest

the XX some, that million, some X were hopper move, so million really paid the money that's new So for there pluses about which big obviously minuses. is We dredge. and

quarter, actually that wasn't on fourth in that quarter. movement the in the much we items there normal had capital some working So

Poe Fratt

XX Okay. almost so. CapEx Yeah XX or million million because like looked was, or

Mark Marinko

Yeah.

Poe Fratt

up cash you is just inclusive. the just XXXX. that then your outlays that that of or higher G&A? at billion And Is looking in clarify exclusive Can X XXX,XXX severance

the X.X guess net, net, million it So I or of net is that is million? number the what's X a

Mark Marinko

year-over-year. a is it's we're expecting on increase G&A million X what No,

Poe Fratt

Not adjusting the severance, for so.

Mark Marinko

Correct.

Poe Fratt

And impact exercise? the hopper almost that quick that at when the decision highlighted, look rock also, talk a year you final barge investment that then you CapEx you option With dumper for of the XX the I Okay. on you're second have until moving the you million. can XXXX June and to at this or then for execute about number barge, on think math,

Mark Marinko

extension on XX second that make dredge decision. hopper We actually another an for to the got months on that

impact our have don't any then to decide already cash we we number on So flows to from vessel. the don't point, to the offshore doing on the But that on this so, at that quoted if -- related were in need question expect vessel, that. any we the any impact impact of design do have that, earlier perspective, more related don't in wind to expect on time outside I XXXX want to. And

the We half issue investment year this that. back of in an decision make will on

material amount minimal when it very a but impact XXXX. sign maybe have the upfront contract, otherwise have really could shouldn't a you You in

Poe Fratt

landscape revenue talked competitive but pressure in you're advantage if competitive color the and jobs viewing and you added you could just point It business the or give the as XXXX. like wondering some in about you landscape last, you're how potentially than the the as adding I bit at then or seems was or there -- sort is about out this in of call some then and jobs going, XXXX, about a for little I do guess? at you've XXXX a could higher into sort great shorter where XXXX projects time. is and be wondering bid talk shift it's there being there, term if is just and little that that any also strong market I if it more larger or of bigger you talk Okay, Can just could you of seen mix is on any looking flavor if is think equipment, or out from us competitive capacity

Lasse Petterson

strong Well, markets believe all in and will the we XXXX be onwards. first of

freeze think investments of because continue, that I Chicago US increasing. budgets year. we and We with last Army we the Corps is big we days, of do have Houston, season had couple Engineers the As having the the last climate change and just reminded here record record marine in were will infrastructure, and year-over-year maritime the as of for said need a hurricane are

need the into and marine in coastal and just So the is areas for investing the increasing. the infrastructure

is like with up getting Also getting maintenance funding this we XXX% saw the to now for a So Maintenance Trust and saw from we are could we as being of. open Fund, the strong think how will equipment annual strong forward. who competitive also which go itself the of Congress for used be new that support we to receipts competitors stronger stronger, Harbor potentially fund dredging landscape a be we very market see we the part and as you our and in Act, forward. will this as that for would strong the into year which going are as looking same at market these investing use The do are be markets up a an competitors will

enters our in of and market new is the happens with awarded building service Army of of see the see equipment covered the challenges market. we Once were new It's a being equipment to and to and competitors have competitors which the when the are our US US to entrants backlog. are sure the industry, it for our the So couple we meeting equipment dredging dredge the new backlog you which Corps we of Engineers new have new to we that that good adding comes projects, Yes, and making and equipment. phase some initial programs. that saw

changing back in equipment a no, situation seen size large of last We been for getting general actually most respond industry for jobs, have before. a for view award is that or projects, maintenance can to we've but emergencies the see have that the record eventually. projects is the of market good years. for port new better will note contracting happening to in deepening don't and equipment model the over performance. do as able what of staying then also US are the think are gives investments in a cost the the particularly be then the and regional renourishment up also The we its I for nothing the on that as the optimize fairly had long being the market larger So in support it's and This little you the of projects the XXXX the more the and is tooth to Charleston we a And goes deepening Corps the our beach of of same we than size The projects reduced. which Louisiana. Army Engineers us to the need couple phases

Poe Fratt

influenced like comments just it at If out last legislation Can one on Washington. wouldn't about mind some we XXXX all? stocks the, a like bid moving stimulus just oriented coming the if hopes that's seems your one legislation could whether in up highlight just infrastructure you have been you you of by the market are with of potential Great. infrastructure

Lasse Petterson

also high which what impacts years is and of Well the Corps Army has market couple the last the for Engineers, of for been for record our US funding XXXX.

our supportive Congress the Trust general with from see Maintenance in infrastructure the as general of improving So and is dredging the in then we in forward. Harbor operations focus funding do for coming Fund

In and supports and as renew opportunity product addition, seen good the gives you is generate our market strong fleet. a us this have then also market just performance to, to it and

Poe Fratt

Great. Lasse. Thank much, you so

Lasse Petterson

you. Thank

Operator

time, would like Baginskis at remarks. further I for the to turn no questions are this additional There call Tina or back closing any to over

Tina Baginskis

important business our forward earnings Thank support speaking in employees, appreciate us We you. you look developments shareholders, this during and for joining the and discussion. of with the initiatives to we you We business. about Thank in our and you. partners discussion next thank our

Operator

today's conference call. Ladies and gentlemen, conclude this does

You disconnect. may now

Great Lakes Dredge & Dock (GLDD) 18 Feb 212020 Q4 Earnings call transcript