Earnings call transcript Q3 2023

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Operator

Greetings and welcome to the Construction Partners Third Quarter Earnings Conference Call. At this time all participants’ are in a listen-only mode. A brief question-and-answer session will follow the formal presentation. [Operator Instructions]

It is now my pleasure to introduce your host, Rick Black with Investor Relations. ahead. go Please

Rick Black

also and and us operator, review everyone. appreciate Relations link constructionpartners.net. call We quarter accessed of can Thank the section page through the good of Construction joining audio is This XXXX. for for the to webcast Partners you and results be Events you, on fiscal morning being Presentations conference third Investor call the

as only Information recorded today, Xnd, XXXX. call on of August speaks this

that the events no to Reform made that discussion or today's So expectations pursuant XXXX. you accurate time would facts, any longer please financial may of Private listening of be made Act Safe of of forward-looking information statements replay also or or provision Harbor advised transcript Securities time statements not the future the Litigation in be that of statements remind are performance, as historical including future sensitive I like any to are considered reading.

forward-looking of materially. of statements Actual differ the may We outside will results as company's and that be today's by nature uncertain part making control. are their call

today's non-GAAP revise or our release. update Construction earnings statements. with measures, to Exchange Management forward-looking described to other will the no found of detail our are end disclosures to company's and press nearest These and forward-looking factors refer Please and release EBITDA. statements. publicly risks to the including refer Reconciliations in be Partners in adjusted the uncertainties earnings the Securities GAAP filings for on also measures at can any obligation Commission. assumes

Smith. to Jule? over the Jule would CEO, And like now, I turn Partners' call to Construction

Jule Smith

Chairman. me our Hoffman, are Officer, Chief you, and Ned and our With Executive on call the today morning Greg Thank Rick, good Financial Fleming, everyone.

quarter. We are pleased report excellent an to

in want In thank expertise over fact, hard despite conditions. our employees to I in quarter ways. work was for and this battling CPI wetter-than-normal delivering record their it X,XXX for numerous quarter, record a

only by Greg and Not states several the cover a before quarter, at call throughout key growth our six backlog great growth to the strong Our employees did to our they which success they also adding success the today financial establishing CPI. on initiatives, future information. reviews we will are set for and our continue deliver table

the quarter at million. in revenue single represented QX highest history $XXX our

by to and evidenced more As the of it's than our When comparing 'XX. and productive margins revenue, abnormally index efficient. hot CPI local our throughout liquid guidance markets in continues above-normal anticipated XX%, gross million but strong reflects announced important of take XX that an revenue. to over $XX XX% annual of asphalt produce not acquisitive precipitation organic also and teams quarter, growth account this only the FY adjustment produced additional last year-over-year growth year into were our revised today

in quarter, our anticipated As post-inflationary came from the backlog. work of substantially all third

adjusted Gross Additionally, income, result than costs work, the cash hard a single quarter margin basis and backlog high year margin the generation. conversion, EBITDA, net company margins, adjusted and XXX lower was from over lower benefited a some EBITDA two strong of gross energy with margins years. higher costs. ago points and were in The XX.X%,

to Cash model free over value. flow growth CPI's generated cash continues shareholder as invest to compound conversion is historically strong and from has XX% operations of initiatives available be in

quarter. the in significant made progress we lowering leverage addition, our In ratio during

we is now for are As typical operational stated last performance quarter, normalizing our and experiencing we business CPI.

expectation normal to of healthy a the to recurring environment. stable We performance this business more for The continue is cost trajectory. much pursue revenue in maintain sources and

revenue quarter. great though growing A of even our indicator future backlog growth record is a

local growing both fact the quarter in of continued for opportunities of in relative now produced creating other and is states road in in a is in private for strong CPI. throughout backlog the busy CPI's resurfacings, in widenings effect public good that IIJA’s and opportunities our our work teams infrastructure the row historically many XXth backlog evidence taxiways, The for types demand and and season, public our a markets. in markets market bridge Our investment shrink share might the record replacements, airport

gives In at Southeast the markets, our visibility patient remain A adding United migration the high-quality residential in demand services States produce record into to industrial, us continues private to allows and future new attractive work the to margins. for projects. and non-residential, great in backlog us

strategic initiatives. we model, announced CPI two week growth this to now growth Turning

entered in We've opportunities from a First, Carolina acquisition opportunities additional market acquired fastest very plant those resources Myrtle ago. Jackson. a with metro asphalt We team this year hot-mix to gives the dynamic impressed related C.R. our South been and Beach, South and we operations in and area market This on local our growing grow of relative share. second capitalize growth Carolina. the

strategic from focus organic allow to new Waycross, continue This a we week, growth, we hot-mix markets. to emanating location for the our on Georgia South our to rapid greenfield reach large Brunswick, as port adjacent in in the Second, current Georgia, announced extend asphalt greenfield will growth us this a eastward Georgia.

years and asphalt and have plants successfully Tennessee just now as in wholesale of And capture and margin been levers vertical Florida. Gulf This servicing of Panhandle our key we the while expansion margin I'm four is for pleased liquid terminal our terminal executing XX Coast to will of North between Alabama that Alabama integration with retail, in our finally, dollars over asphalt operational. new the is and announce terminal one

the the Before by call 'XX net as EBITDA I income and over FY demonstrated the are for ranges. and to Greg, of I remainder turn raising conclude, how adjusted reiterating to the outlook I with we want pleased quarter

resilience operating and and FY it's great to of CPI we quick the 'XX see As beyond, to look model recovery the effectively.

generational benefiting and ready growth a The as investment for opportunities opportunities by industry. economy and in strengthen company is Southeast the we infrastructure, booming afforded and in from numerous consolidate our

road indeed, are and We ahead. the cited for

call the turn Greg. to over to like now I'd

Greg Hoffman

performance third quarter begin the Thank review our good of you, Jule, everyone. key before XXXX in ranges. fiscal outlook morning our raised I'll and of discussing metrics with a

year. same QX of XX.X%, $XXX.X was last to revenue an million, compared increase quarter the

index of large from revenue XX%. reimbursements the in liquid year, asphalt quarter last additional million to third was increase growth $XX Excluding revenue asphalt the prices, due in

Gross same to $XX.X quarter last increase million, was compared profit XX% the year. approximately an of

percentage to of in total same the gross revenues, X.X%, a in quarter administrative As quarter, quarter XX.X% of and expenses last General was profit last in the percentage same year. total the were revenue the to XX.X% quarter X.X%, compared as in year. a compared

of million the year. same XX.X%, same $XX.X In year. quarter same last to EBITDA increased The EBITDA an margin compared quarter quarter QX, was the for Adjusted the quarter last $XX.X million, XX%, million, adjusted to an to last X.X% net in of income $XX.X to year. increase XX%, in compared compared increase the was

find release. of net GAAP non-GAAP adjusted can end to income EBITDA today's and earnings at You financial reconciliations measures of the

as of reporting project XXXX. backlog record are billion addition, mentioned we June a at In $X.XX XXth, Jule

now sheet. cash Turning We of million and equivalents facility, a of $XXX under the to credit of reduction balance the net million for and had available credit. $XX letters cash outstanding

high-value $X.X facility allow principal is potential our under credit except for million generation term We growth outstanding XXst outstanding provide will and from and cash opportunities. the near-term It unchanged $XXX.X continue on acquisitions loan capacity payments term credit and under for million. March the of facility. debt revolving to to have $XXX.X availability flexibility The million and

spread. into term the agreement from rate an to fixed As results on company of is prior $XXX a interest the reminder, leverage surface our an due swap reduction in SOFR which decrease X.XX%. in of X.XX%, quarters interest X.X% entered This that rate at million debt our ratio, in a improved

of swap is date XXth, this Maturity XXXX. June

the X.XX. debt of to of As ratio EBITDA the XX-months quarter, end our trailing was

Cash operating quarter, fiscal was to of million activities the Our at ratio by for compared is trend leverage downward use provided continue the expectation cash $XX in to the FY will QX of $XX.X million the 'XX. year-end.

fiscal of flow quarters of $XX.X we XXXX, Capital million operating quarter. three the first million from the cash $XX.X were have generated expenditures activities. for For

to the We includes invested remaining million. growth million to approximately $XX capital to high-return of amount of X.XX% CapEx expenditures of in fiscal range in continue the XXXX be with revenue $XX expect This maintenance initiatives. for

adjusted we and have in cash converted XX% of the expense retained after interest taxes. XX% of EBITDA to Historically, flow range subtracting

amount the adjusted has invested adjusted this generated attractive to XXXX. been year growth in track long-term This growth is target on that on last XX% fiscal flow in environment. in XX% in generate And despite challenging year, XX% are We Retained EBITDA cash investments. macro to EBITDA. generate a to

Beach, These Carolina South Georgia, an investments mentioned Myrtle earlier. Jule expanding include that into terminal, the plant Alabama liquid HMA in and Waycross, asphalt acquiring

compound. As we value margins to expect high-value for organic shareholder continue continue, cash retained growth to investments, utilize and increase, we to growth this to

expect now and ranges billion adjusted in billion, million EBITDA Today tightening of million revenue income fiscal of our million. in to year of range XXXX range net the million income adjusted are $XX and our to range and the outlook $XX we the $XXX to we raising $XXX for our range in $X.XXX net EBITDA $X.XXX revenue and

And take to now with ready that, your Operator? questions. are we

Operator

Thank you.

question We will Brown with ahead. Your from conducting first question-and-answer Please comes [Operator session. James. Instructions] be go Tyler now Raymond a

Tyler Brown

guys. morning good Hey,

Jule Smith

Good Tyler. morning,

Greg Hoffman

Tyler. morning, Good

Tyler Brown

Congrats like this weather quarter? on the during on way the a how Jule, awfully did the I particularly quarter. seemed you -- yes, get cost quarter, ask the it hey, of because business, is congrats it, wet was I quantify is April. in normally I the just much don't but part mean just weather could there any it

strong how just underlying is. the highlights maybe business it think I

Jule Smith

Tyler. XX% the of in normal Yes, normal. our precipitation There our a each that or asphalt said around -- of our local higher than plants, measured when report was markets XXX% was

revenue. that a our we I Clearly, good and think would our accurate. pretty really typical I crews had delivered much it to what is and but that's the pulled record great it think a result. through the was impressed people but I we So we the but significant, we'd margins can't revenue even with exactly come and had higher just quarter, was is, and been weather, that news I anticipated if that's with and great quantify precipitation through, would how say see have And the was

Tyler Brown

Interesting. Yes.

real it, to great. do revenue? the going in quarter did but you did margins state you or have sec, to just quick, -- Okay, have you contribution a the to We're Greg, missed the get was may what M&A I in what but

Greg Hoffman

that's X%, were but I’m oh yes I'm sorry XX% organic, roughly -- acquisitive. acquisitive thought sorry, I you XX%. asking was It

Tyler Brown

back actually the get I year, going that probably this on seemed year. a maybe that million $XX drag, to is a then like you was and that there asphalt negative Perfect -- to a last it year, so adjustments, there because there contribution this need get it XX%. negative was adjustment X% to Okay, are

Greg Hoffman

for for pickup this a million release, and year, last year, had the $X.X $X.X No, both delta about this year reconciliation actually so in year-over-year. earnings revenue we million it's

Tyler Brown

I here lastly I'll take to of right. margins. kind at that. All And maybe Okay. look to back do a want just come

be margin if that? points So think XXX lower that but know year-over-year mentioned kind you this I I hard, but what bridge. we may was about of a revenue mean, you can basis drove of mean there I index adjustments. I know zero-margin unpack improvement

but was help those rose. even core So were lower help, I'd prices a surmise maybe that still that energy margin with tailwinds

Greg Hoffman

did know little costs Yes, bit say would just where was we tailwind we've of didn't trend a were -- back it. that Tyler. getting have say a backlog been energy to able just it's they work for down, the normal world the access able I pre-inflationary the cost, way to just CPI now We that year we and as being build overall, but over to it's and to cost a the finishing bid the

build where just that see able work the to we way, it and costs input starting we're you're we knew as come that so through. to And bid

just returning what so to really And done. always sense, in we've a it's

typical, would see the of so is which And work. was me of I margins, that say so it. jobs to finishing improvement be building bid higher most would is margin that We that, are the most just than

far just it's As I don't I the backlog. say bridge, but as getting typical would that's -- back really know, building to

Tyler Brown

so your much for time. Okay. Perfect, you thank guys

Greg Hoffman

Tyler. right, Thank you. All

Jule Smith

man. you, Thank

Operator

from with Thompson Research Kathryn comes Please question ahead. next Your Group. Thompson go

Brian Biros

my Kathryn, for thank This question. good for Brian taking is morning. you actually on Hey, Biros

Jule Smith

Hey, Brian, good morning.

Brian Biros

-- funding more that think release and press mentioned the the on it worked funded the Good means still actually are I or IIJA are you? To the into is already that engineering what being that just now on projects for projects in fully seeing Just process? morning, guess, is today, going and of guys does is you Can I money going is design or forward that from look kind just you projects like ground, in what IIJA some for implemented. provide in around context more everyone. start, new you context

Jule Smith

Yeah, really Brian, It's fall we good lettings winter than later it's a five-year industry. plan, big this for basis. started generational all know states, and our happening expected question. so started infrastructure investment IIJA a just clearly deal. It's it as on a a the past our is in in really regular last in

So just will lettings. don't going I the year that in as come through funding it as be impactful would it next to I projects. say we're It seeing this be think year. is it's

to and airports, stations I able to is think ramp roads, continue of all participate infrastructure going up CPI to really charging to it's ports, railroads, provide a that see in. good of just and to demand, going you're is going not five be this it's years

Brian Biros

off I before. And Understood. from question think building of the

the has return going the new now cost forward a is here performance we're year and kind that -- that going in the with this finish historical few up mentioned pre-inflationary of anything the in as terms quarters? to I kind cadence basically all kind headwind too, there return or to in year of to consider we was rolled bid next has off guess, of volatility environment, You price that kind in normal to norm past else the guys of the of forward work had

Greg Hoffman

guidance Brian, No, our reflects feel I fourth updated think quarter. good really about the really we

our we're year. of is day jobs bidding every and to that a model duration estimating typical Our nine jobs and months a have

left, most through took and to results a with we being is. for that we're very our to really the that back surprised about normal it so model, are getting so to which cost backlog hit, reflect and inflation jobs able seeing just when the we minimal world pre-inflationary And now just as got part able is that and were through we're burn bid the the year it us

Brian Biros

you. it. Got Thank

Greg Hoffman

Brian. Thank Okay, you.

Operator

W. Robert question, Your go with ahead. Andy Wittmann Please next Baird.

Andy Wittmann

Hey guys, thanks.

Jule Smith

morning. good Hey,

Andy Wittmann

to you I little talk just -- about Jule so I wanted Hey, I a bit labor hear particular. guess, in

a couple has been So factor big last over the obviously, it's of years.

a energy the how just and but find is mentioned labor wages comparing You can are prior you -- your to about ability just the year? benefit, talk to that

Jule Smith

big Hey, a continues labor Andy, be topic. to

as in compete We a still in and is normalized. that's attract retires. what it advantage. We great a It's have to like our market sense see We're out compete ages to as to workforce. long-term going that labor we're at you we to CPI workforce, our going our know retain So workforce do feel and in question. to for as industry, the the have and an takes

So that we can continue to grow.

short-term, doing attracting are market we're the things but would labor. of lot now labor the And need so not a great on find and that, job local able doing we to really workers the in impediment our markets we're is say I any a

Andy Wittmann

the just expect terms work between bidding So from sector next sector impact Got way of public view rates about it. your you that takes maybe your bids that and you or it to that higher out environment of private you're in could the was Do of be I is hold your also the comment what address of of the are work doing number kind also mix seeing sector talk chasing? year? there, on the year you're public in today that customers this in terms and company on the the sector hoping more you private going do. that as

Jule Smith

numbers and private it's really Greg remain split market and between and how but to the going split really quarter, it's continues IJAA, that Andy, and closing to at Yes, really we indication near just XX-XX were to just we I, trend that steady maybe steady. you we surprising when see that's up and -- that that the think look public Southeast we is those an be right with it's private continued XX-XX were

amount And I really of got you, Southeast. you've any the businesses would opportunities, we drop-off into seen come just haven't tell the private significantly in

the I split pretty And and so just bit little really would we close constant going really more to very see say that let picture, Ned but big the that. speak to on Andy held remain has a

Ned Fleming

we're Andy, is markets. XX-plus we're mean and they're markets come things the growing or done to there growing, the you I Greenville go we've a housing shortage. in, that if is think I one years to in for well of you all

houses, want issue, market-after-market So and an issue. with not issue who there in. a more to are a in see buy There that homes interest participate is the up, supply we that even our it's and there supply people though it's we are houses, today, interest rates

the strong really private accelerating demographic It's to the in projects growth we feel continue and since do growing. be that fact good that we're markets we we commercial going to really of to stay actually that able pick think COVID, for sides So the is curve. to both I on of to the continue us because markets areas about the so that want are

Andy Wittmann

all the questions a day. hope I today. you Okay, great. That's all I nice for have had

Ned Fleming

Andy. right, All

Jule Smith

Thank you, Andy.

Operator

next Your go Co. from Davis with Please ahead. Thompson Adam comes question Thalhimer &

Adam Thalhimer

Hey, good quarter. guys. morning Nice

Jule Smith

morning. good Adam, Hey,

Greg Hoffman

Thanks, Adam.

Adam Thalhimer

margins I'm Hey, growth comment curious backlog, called can nice in because out. margins you bid or on and a that just backlog sequential had you you I'm --

Just backlog give little you're us in of that right on putting a color work type the now?

Jule Smith

continuing was attractive backlog there this the good is continue that margins grow busy to out in we and and our -- margins, backlog. strong which us Adam, the that quarter margins demand Yeas, that are people added tells see to so really healthy we're

to quarter, to but And so fourth also help guidance and gives going just, ‘XX confidence really us really FY it's raise our that's what for the beyond.

Adam Thalhimer

I which think like curious, I a you early, it's annual EBITDA on was to get Well, you XX% think going little but an were basis. was if curious might just margins, XX%, I maybe that's where historical Jule. back more

Jule Smith

talk good is probably about. to so it's Yes. a coming, Yes, question and FY time 'XX well

way. feel beginning Adam 'XX with to really get XX% take our in step get of like we big and to double-digit this expectations We'd now -- our toward you EBITDA grown still 'XX, we've margins said, at have least and the the We margins back to in that. see back wanted We're to can updated since guidance. a year. As

we're next So the excited about year.

Adam Thalhimer

then Okay. right among M&A one, Good outlook, now? attitude to the what's a sellers hear. just last on the And

Jule Smith

the on good hasn't been strong. to of it lot lot. I Well, I've potential lot a about backlogs, lately a Most activity also, really so be sellers Adam, good long-term continues but our are that the they We're we're have would selling, of to a having really with M&A and are people their really changed planning their more conversations changed. issues hasn't busy say, family they that and talking thinking sellers, about road generational

excited we're future the we're having So in about conversations acquisitions.

And both it's part acquisitive. growth strategy a and big growth organic so of our

So you're us at going to continue do steady acquisitions to rate. a see

Adam Thalhimer

it Great. I'll turn Thanks. over.

Jule Smith

you. thank Adam,

Operator

Stanley question, Stifel. Next with go Please Elliott ahead.

Stanley Elliott

question on on And you guys, a Good are Thank on -- all is you there, backlog talked question backlog you curious will jobs? increasing a this we've question. slower about have the side? morning, larger guys too price in on kind the everyone. Quick that sequentially, size shaking the quick for lot was bidding the that composition, of how it weather, bit then, the was for how cost, the maybe organic out? Just -- curious you little

Jule Smith

a a when was say in a then I'll as We revenue. backlog you it. the in burning factor Stanley grew season answer work lot know as makeup our historically in Greg of backlog big record and as backlog the answer shrunk I'll the and not weather I jobs we're would sequentially busy off of that has to CPI's far let growth.

it that relative million, demand. fact growing of just over in grew think strong $XX market we share the evidence I So a is

the backlog, our that of So Greg really sort the jobs guys backlog. I'll the speak say of would in let of but job the we're I did a good growing seeing makeup to

Greg Hoffman

Yes, Stanley.

will went So but job when guidance 'XX, to track how back that, hasn't Even years look our go our year public, is but our to doubled we has 'XX, we than the revenue showing at in for to you double back at our changed of all. all. want we fiscal if what though terms it XX-K, from what yes, makeup earlier earlier and one of revenue this we know -- that our changed or not hardly 'XX we've stratify,

Stanley Elliott

there more, recurring you nature do talking that, news. Could it little of revenue. I besides Great resurfacing that something about healthy just you kind that? the of more does of you mean, flush kind then -- all And mentioned of add the of else kind was sources work a bit or

Jule Smith

amount our to we build work going certain why build to as going have build know keep of are every year, are that is spend local question, to means teams Good a what revenue. they're for of why resurfacing year. just Stanley. is of crews And going a so developers in right? we have certain going we in of our can strategy do local year one customers local money amount big us the Huntsville -- we and a contract and they Pensacola markets, city know amount CPI recurring that's have a a parts in and of Yes, so revenue a the those every every That's that of we busy workforce steady is and do certain relationships very repeat we XX so markets, work let to

So and going know that's be to just in private public a amount the we our the on what revenues of mean is we by certain of each recurring demand markets. there's both

Stanley Elliott

the overall us speak you help also and to of help OEMs me, lead supply kind seems And kind are and the then a better. like productivity? to Perfect. little about of getting talking are equipment lastly technologies for you availability need, then the maybe you that getting with some Are some of guys bit implementing chain the it of with that the times

Jule Smith

help. ago, in the the while business historically certainly our our a a from than ordering you still our with what adapted Yeah, they would improved be say relationships Stanley, longer have quite equipment might we've and I year model, have, manufacturer lead bit, times just

year, really, some that need, equipment longer it's onto sold a equipment we lead getting year because this you held maybe we we see are of times. So we've the

a So that's development. been good really

to an technology up real-time keeping how that with it you in the to be the and years fleet your are grow run things that's equipment, as repaired, to trucks from it telling in wouldn't is as five wouldn't telematics, and the you where have is going up it equipment to ever -- we ago, the technology really tell able up systems margins the the efficiently. XX asphalt or far be doing, needs future dreamed can helping our road. going the constant, tracking plant to operate have whether but us we be business, us It's just to us As when keeping can more that really help with the our

And something really stay to try curve. we of the ahead so it's

Stanley Elliott

congratulations. Perfect, and so guys. much Thanks

Jule Smith

Thank you, Stanley.

Ned Fleming

Stanley. you, Thank

Operator

ahead. from Russo question comes next Sidoti & Please Brian go with Your Company.

Brian Russo

Yes, good morning. but missed this, organic I'm if what hi, sorry I year-over-year year-over-year? was the growth,

Greg Hoffman

X%. So that about talked at if for Brian, the liquid adjust we adjustment asphalt you

Brian Russo

mentioned volumes you and year-over-year? tons How quarter. with or that you thanks. asphalt this mentioned -- last this of hours And Okay, equipment triangulate does maybe

Jule Smith

Brian, going been I had we had three up so year, a at but when asphalt say tons. would quarters than half in first is, were typical our our we've business. is pretty and up to equipment we're quarter were what we've wetter up revenue this we it's the just revised than of the in and year-to-date you a XX% far wetter our to so that last about a than as typical two are year And not XX% look quarter XX% third CPI last to have biggest year, organic, which XX%. we outlook, at last We've wetter of experiencing had year-over-year, increases to substantially our end volumes our XX% look acquisitive up historically real hours when And being growing and That's done. year's volume it's half XX%. growing growth

Brian Russo

And in side the the is great. difference the private versus there Okay, any public side? on margins

Jule Smith

comparable, No, about they're pretty changes really margin profile market. the more Brian,

public you versus profile pretty they're higher look when others, but private have markets comparable. Some at a than margin

Brian Russo

suppose being And in involved that I Okay. down Southeast this assume? in facilities electric battery all I vehicle you're and re-shoring of actively built the

Jule Smith

is working Southeast. Toyota facilities a Carolina, now we businesses And the Absolutely, then we just right the work are have which one Sanford. electric facility battery where building building of a in up do road on a moving and huge you our right North that's here car several re-shoring, manufacturing asphalt electric good facility plants, into have miles facility few the battery on in then huge are from provided VinFast,

So that working -- in participating around. we're and

yes, throughout see that and well a moving of just lot So, you as businesses Southeast, it's as people. the

And to us sites. that opportunities for work lot those industrial a creates of so on

Brian Russo

quickly lastly, Great. spending. or go allow bridges matching on just DOTs you And the might and of Are margins. put work airports might that then up some referenced You the roadways projects? flow resurfacing would to first it funding funds. to to bigger complex seeing follow be rate that the funds IIJA Obviously, more now and and to maybe get the into to more higher complex for

Jule Smith

good projects. -- we those Southeast, Yes, us Brian, as jobs asphalt you're we're even lower risk right see projects to infrastructure. And for number or projects, don't IIJA where really bigger those lot though on see grading projects that participate different we are on of and mega those a they airports, of of margins And a the pursue with think types going and is subcontractor us. are an but now, throughout the subcontractor so better higher you'll working

lot going is IIJA a produce of different to ways. and us for revenue So

Brian Russo

a thanks lot. great, Okay,

Jule Smith

Brian. you, Thank

Operator

management turn like floor the would closing to I over remarks. you. Thank to for

Jule Smith

everyone, you, again. a you and this talking your looking we're quarter Have good morning, to for day. Thank good time forward to a fourth

Operator

This teleconference. concludes today's

participation. your time thank for you You may and at disconnect your lines this

Construction Partners (ROAD) 2 Aug 232023 Q3 Earnings call transcript