BAER - Earnings call transcript Q4 2023 | Bridger Aerospace Group Holdings, Inc. Common Stock

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Operator

Good afternoon, everyone. Welcome to today's Bridger Aerospace Fourth Quarter 2023 Earnings Conference Call. [Operator Instructions] Also, today's call is being recorded, and I will be standing by if anyone should need any assistance.

Now at this time, I would like to turn the call over to the Chief Financial Officer, Mr. Eric Gerratt. sir. ahead, go Please

Eric Gerratt

thank joining and today. you afternoon, us for Good

is call Officer, Joining the afternoon Chief Sheehy. me on Tim this Executive Director, Founder and

this of statements assumptions, actual as please statements in on the not begin, various that Litigation defined forward-looking historical conference Reform results statements Securities in based Act describe forward-looking we uncertainties, do Since call may risks are Before facts and Private that Factors expressed but and or company's XXXX. cause implied note contained to, differ that certain materially financial statements. from include, could the Exchange to such expressed those from regarding expectations are results materially differ Securities those including filings with the results XXXX. by for limited Commission, discussed those are in not

or We ultimately management's Management events that should forward-looking predict results. Listeners reliance that today. place reflect and statements, change. will which our many of future anticipate factors not as assessment impact undue to on cause subsequent developments only cannot views control

However, forward-looking make statements. statements forward-looking or any other we or update any to no to undertake revise obligation

GAAP. results under a to reported and Tim. supplement is available substitute the that, on evaluating our release of afternoon's be in call our we calculation of which website. release, Exhibit to We turn results reconciliation Throughout of definition, refer financial EBITDA. earnings non-GAAP believe as can financial this to call in our not adjusted measure our to EBITDA adjusted I'd the is to earnings our and adjusted reported The and over useful for like EBITDA statements the a today, With A found

Timothy Sheehy

adjusted in as seasons deal a performance of quarter in $XX.X revenue record the fire for and the joining full Eric. nearly slowest achieved and Good you, the million afternoon, Thank XX We whole. of fourth for States. record in the This thank million you $XX in despite years a year. of was record EBITDA today. one accomplished Bridger great United and XXXX

fire larger season our its suppression, technology seasonal capabilities. has and long-term continues. and trend and aerial own and of regional fire wildfires continued each seasons fluctuations overall for services drives While longer demand surveillance, complexion, the This

X-year In awards use contract million in fact, and Department Attack and from of exclusive including $XXX surveillance fire support a XXXX saw a contract million XX-year technology U.S. of for to $XX Bridger for contract the record the Interior up Air

awarded in Service third Forest the quarter.

While aerial expanding history kicked time first a in we internationally to the acreage by off wildfires slow was we for and saw impact Canada U.S. year, where our start firefighting fire early our last the the season operations offset into burned. record

the as fires are These below In surface that today continue they overwintering XXX burn Canada. underneath fact, have months recent cold become more the during there and burn fires, wildfires common in still the are snow to or called, over across years. slowly zombie

gone of Having hopeful we in year, last through part operations. the Canada normal as are Canada the assist could that future in in regulatory process Bridger

strides to in company, history make expand aerial to we in the further last deployment new year mission-critical territory with Our the continue geographies. translated services of areas most our firefighting the and and covered to Canada

years X Spain. In This Management from expand us and Asset Sustainable complete was positions a Marathon in our Avenue to partnership Solutions late we awarded making and the purchase Fund years. the government of venture XXXX, meaningfully the the into joint over LP with of to Scoopers fleet entered transaction coming Spanish several recently

to including Aero, Scoopers the It Spanish are current of is Scoopers, the subsidiary, to our our Spanish established of that service which have any on to guidance. Albacete a we begun. has part new expansion note XXXX we work not into Spanish As in the important oversee return Europe, X impact already

our support hangar a acquired to in growth fourth in quarter also We Europe. in Spain the

Through firefighter also and September to pioneering surveillance touch federal, and firefighting data our to offering awareness our SaaS fully picture investments in want surveillance units assets. creates been which fire with elevates unique operating risk. real-time, and showcase integrated intelligence this with fire software a high-value produces across of I mobile web common organizations, and Technologies, Ignis wildfire development Recent marketplace. contracts acquisition this has on state situational better platform the in and differentiated local manage

of to our historically flight and that It's are used we to quarter complete finish winter XXXX. have to remember, our we training carding fleet come to important Turning so first to spring. and ready mobilize maintenance

year, in May, by company wildfires driven seasonal arid our begins and Central the typically to history of this in season in April fire earliest Texas Scooper late are being deployment conditions saw While U.S. and where we aircraft or surveillance Oklahoma,

will this and be up spending to for offset While revenue another is negative to EBITDA, not record in sufficient of adjusted QX set seasonally helpful company the growth. it year

performance. And I'll back Eric turn talk about to it our financial to

Eric Gerratt

Tim. Thanks,

$XX.X for record compared to million results grew XX% Revenue million XXXX. to our at Looking XXXX. a in $XX.X

the of growing wildfire record activity shorter-than-average company's After quarter, North season. Super start XXXX U.S. utilization the the driving to fleet wildfire Scooper late fire third American in season, the the increased despite

million was This revenues flight included million $XX.X in related $XX.X expenses. that of in aircraft revenues expenses was operations million $XX.X to service of employee $XX.X and higher XXXX, comprised $XX.X Cost of $XX.X million primarily placed were increase of compared X and respectively. and February Super The the to flight expenses expenses which to million. of Scooper maintenance September XXXX relates and depreciation into of operations of and additional XXXX, of million labor cost maintenance expenses

compensation XXXX. management with increase to million in granted related the certain employees million surveillance in a in our expenses as as XX% company's to primarily stock-based XXXX an million and XXXX, platforms remaining to operating phase increase to plan attributable aging expenses $XX.X aircraft other $X.X the fleet. Scooper in insurance, publicly with million aerial RSUs increased $XX.X professional XXXX our administrative increase business or in $XX.X employees development, company SG&A primarily $XX.X and with to as attributable of of a and of by traded was bonuses in to margin were services The out Super recorded becoming company. noncash utilization associated driven record Selling, connection of well XXXX, by quarter XXXX, business the general in million increase preparation was compared in XX% charges operations. up from Gross of of for with transaction-related combination public partially in impairment the to the offset and third associated primarily The

of XXXX. Bridger XXXX million $X.X $X.X income other expenses to Interest $XX.X from also increased for for other $XX for reported in compared of to XXXX. million million expense million XXXX

excludes noncash $XX.X transactions, related debt $XX.X million tax in EBITDA benefit, in to consideration, in for disposal integration on financing to employees compared million of XXXX. was extinguishment amortization, XXXX. warrants, loss XXXX in bonuses charges, fair and compared impairment and and other value Net to depreciation loss fair and and of Adjusted interest or onetime earnout and Adjusted discretionary of loss on to stock-based EBITDA costs XXXX million expenses, million expense offering changes changes in value compensation, executives. expense, development was income $X.X business $XX.X

Cost $X.X of Turning compared was $X.X to million expenses of year. million of quarter million was revenue quarter revenue our fourth last of XXXX, for in quarter was revenues flight and to flight $X.X comprised of results $X.X the fourth the operation million year, to cost $X.X maintenance million and fourth which of of This million expenses. and expenses of expenses compares million. last the $X.X million maintenance operations in $X.X included of $X.X

other stock-based the million the in companies. the increase with also noncash associated SG&A mentioned primarily in operating an our of XXXX impairment fourth compared charges related due quarter compensation to out I to aging to as in with expenses partially professional a increase aircraft, were services and the publicly $X.X RSUs insurance quarter The noncash before. and well traded was increase by plan to fourth phase $XX.X of was expenses XXXX. million as as certain The as associated driven

Interest for from to decreased million quarter XXXX fourth fourth quarter in $X the expense XXXX. the of million, $X of down

$XX with compared fourth quarter in investments net the For under short-term quarter just net of debt to million million. of and $XX.X long-term outstanding we million the million million fourth of negative the XXXX. EBITDA quarter, a fourth $XX.X a loss year reported of was to of and compared loss $XXX cash XXXX. million restricted in negative $XX.X the cash, $X.X of We Adjusted ended

wildfire are venture Bridger LLP Also, in which to ], which anticipated EBITDA full to early for Bridger's partnership company's XXXX, of EBITDA Spanish expected November the with fixed Fund line in issued second Sustainable structure despite Solutions This $XX our fixed between prior the to million season, service. negative quarter impact Scoopers, from EBITDA is of joint adjusted our the Bridger given Marathon adjusted in the the and cost adjusted third impact stand-alone acquired start million. is in million Asset company's [ to $XX to positive anticipated reductions undergoing maintenance in LP (sic) Super to excludes the year generate XXXX and structure, guidance, of largely order million operations to includes XXXX Scoopers Management quarters. the recent and guidance any the is cost with by the work Avenue the be at including revenues $XX Looking X range largely first returned from $XX Aerospace, on to

to the Tim I'd comments. With back that, like call to turn for final

Timothy Sheehy

your support. for everyone thank joining us and for on today's Eric, Thanks, and to call you

first and controls, and our its cost public positioned challenges, model, a a strict with reported fundamentals year without record company are we well as business not While XXXX. for was strong profitable results

areas fed and and of Scoopers multiple demand is Super heightened purpose-built are supply for expand effectiveness to Scoopers both wildfire and to limited aircraft. mission-critical unprecedented continue governments our by the the services. technology for to requests opportunities and surveillance services the to the This of awareness due geographies aircraft, pursue functional suppression receiving of and foreign of global these Super aerial We new an firefighting from influx

data, their on updating government and against and progress report you when these and innovative battle and drive aircraft, With use in federal high-quality team our supporting we forward of we the results stakeholder technology uniquely May. are positioned our look We while first growing our state to clients wildfires. quarter returns specialized to

the has of website. contact found Thank out and Investor a If any great day. reach anyone follow-up our questions, IR to please on section our have you, Relations

Operator

Quarter Fourth Ladies a for much like remainder joining Aerospace Goodbye. to the and XXXX you, your that thank conclude all you Earnings great and day. Mr. Sheehy. Bridger so wish you We'd Thank us of Call. Conference will all gentlemen,

Bridger Aerospace Group Holdings, Inc. Common Stock (BAER) 19 Mar 242023 Q4 Earnings call transcript