DY - Earnings call transcript Q2 2023 | Dycom Industries, Inc.

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Operator

Good day and thank you for standing by. Welcome to the Dycom Industries, Incorporated Second Quarter Results Conference Call. At this time all participants are in a listen-only mode. After the speaker’s presentation there will be a question-and-answer session. [Operator Instructions]. today’s being that advised be conference recorded. is Please hand over to would now host conference to like I your the today, Mr. and Steven President Chief Officer. Nielsen, Executive Please ahead. go

Steven E. Nielsen

Thank second quarter to XXXX results. I’d this morning, call fiscal you, for conference our you attending like review to operator. Good thank everyone.

Going X. to Slide

we slide our be website’s Urness, on this main Investor Officer have During a page. we presentation. identified be DeFerrari, can Relevant Financial be will which call, will by our Center throughout number found Today, to slides Drew Chief call referring presentation, on Counsel. the General our our Ryan and

I call Now, over Urness. the turn to will Ryan

Ryan F. Urness

Reform statements pursuant you, Safe the Harbor All forward-looking call Litigation this of to of made Act Thank XXXX. the provided are provisions Steve. Securities during Private

or all historical reflecting future not statements about expectations, that assumptions, to relate or solely Forward-looking our events beliefs performance do comments periods. include

Forward-looking projections, other in Commission. any statements Steve? results filed no risks the materially actual assume to Form our on XXXX, differ from March Securities and uncertainties, U.S. update those with We cause obligation may XX-K X, including forward-looking together and which are to Annual Report subject with our filings statements. risks current to Exchange our described

Steven E. Nielsen

Ryan. Thanks,

review moving quarter Now of and Slide to results. X, a second our

website As and you refer to we in in a that referenced measures. their review today of non-GAAP our section corresponding reconciliation measures measures. We to the our results our the of we comments for please these note GAAP report certain accompanying non-GAAP slides quarterly

XXX.X XX.X%. the increase revenue of was for organic an quarter, Now million

were of of and basis of partially XXXX. basis top this offset Improved the quarter performance was XXX points margin converged earnings wireline during demand five revenue and $X.XX year quarter XX $XXX.X at all And in XXX,XXX As networks, these customers. operating X.X% points improving $X.XX quarter fiscal of of higher to the reflected of wireless from networks, Gross of we by ago EBITDA second administrative in share revenue costs. deploy of wireless expenses quarter factors Liquidity wireline and to shares fuel produced per second XX was points million sequentially. revenue, and for we the basis XXX.X quarter. gigabit XX.X% an repurchased the was of increased solid compared General of our increase $XX or in million. compared three networks, XX.X% adjusted and million

investment. capacity telecommunications and and of broaden and unserved increasing The be an networks high communications high country. level This participants underserved society, constructing access areas gigabit in of single believe most the our wirelessly to generally to networks construction sections opportunities both and country. Jobs Infrastructure continues view fiber deploy Now or across going a their for to Slide network to or fiber major provision directly multiple networks that to meaningfully represents the America. industry support. are designed rural to significant of to the over rural Investment cost for using of to speeds industry. individual revenue industry for consumers X. technologies. high billion enabling effort in the continues are can streams networks to includes wireline XG a especially across broad belief from the $XX Act appetite unprecedented Today, fiber effectively wireline single either the consumers participants upgrading These that deployments deliver capacity capacity stated businesses, set Increasing Industry crucial services have we and is network This businesses,

deployments. wireline construction networks, the even and aerial, and initiation planning, prior and gigabit We're In funding underground engineering, of These being addition, as that numerous design, substantially across rural emerging provide elements the all Fiber under the deployment entirely in converged funding management, include for participants respond of wired provided wireless providing appointments states services customers. new network are networks. industry will programs act. wireless initiatives. networks to and societal in telecommunications consisting are areas infrastructure are commencing program America fulfillment to services for increasing multiple to multi-use geographic These country network opportunities

to optic related supply and plans. in near the continue may provide We effects short several some cause maintenance equipment customer execution for delivery influence engineering intermediate Macroeconomic procurement integrated and the Broad and and participants. planning, demand construction term cable design may to and of industries fiber and volatility to term. services increases constraints

It automotive tight and persists. particularly country. remains addition, around capital chains many equipment are to equipment. specialty in for remains increasing. how regions Prices market truck In this chassis for seen remains large required supply the for be the long condition for the labor the equipment Furthermore, challenged,

as confident to As remain Several with wide. to industry addressed scale that and service these well are encouraged we customers. that we cost valuable have financial as participants increasingly well. impacts, context, this contend so that Within understand strength factors deliver pressures our are we position while others expected industry are our do to those

during quarter increased Moving X, revenue Slide organic the to XX.X%.

largest XX.X% organic was XXX.X Frontier AT&T. our fiber growth Verizon from X.X% organically. total is Demand or our was finally, or our organic at Frontier of Revenue million revenue. X.X% customers customer Our since revenue and from largest XXX.X of revenue. our our electric top quarter of XX.X at XXXX, second or from year-over-year. was excluding grew customer. XXX.X AT&T XX.X% aggregate was top was million. XX.X% XX.X% first increased revenue organically. of growth have of from XX.X was increased XX.X%. increasing $XX.X other the where customers Lumen largest Lumen of million, other largest utilities five quarter was top in XX% customer million. and consecutive XX.X% This And grew the with quarter organically. Lumen. revenue second or customers revenue of sixth All of increased of five organically third of This Comcast XX.X% was with grew three Comcast fourth customers or five This quarter at organically. customers. organically. XX.X% of customer Dycom’s million combined XXX% our was April revenue our our AT&T produce million five Of quarter grew revenue. excess where of organically organically XX.X% the customers consecutive XXth and the in construction note, all grown top

We have program services. expanded geographic and planning our extended and our reach management network

we increase deployments amount that of the trend we plant and networks be converged believe and fact, last wireline maintenance will gigabit value meaningfully over increased wireless long-term must parallel a the outside wireline the years, which In direct network believe deployment operations of our and business, of our several have dramatically extended as those we maintained.

X.XXX during to of the the billion be performance is Backlog quarter, Now booked in to existing Backlog Slide XX X.XX X. work. activity an and at reflect of XXX this backlog increase solid billion end next was approximately the April the second second quarter as million. of end going we completed XXXX X.XXX months. billion at the Of quarter expected new versus the work renewed

opportunities of We continue future a customers. our to anticipate substantial broad array across

from Minnesota. Arizona, the in Lumen construction and we agreements fiber During Washington, Colorado, Oregon, quarter received

construction Jersey, Brightspeed Verizon, North For and New From and Pennsylvania. construction Pennsylvania, Virginia agreements maintenance a fiber agreement in with Carolina.

from Ohio XX,XXX. construction Pennsylvania. Headcount fiber construction rural For was and and California, in Louisiana. and And agreements maintenance a agreement fiber Conexon, Frontier, in construction

for call Now his financial the I over outlook. Drew review to will and turn

H. Andrew DeFerrari

morning, Thanks, everyone. Steve and good

operating of last of performance of per points share on per compensation of Gross higher increased to X, and Net higher were QX organic year. was improvement gains EBITDA, at million points of Slide depreciation compared and last compared an and XXXX offset revenue improved This partially million XX.X%. compared share or XX.X from offset expense and to fuel X.X% interest X.X% XXX Going amortization, gross reflects management by reflects revenues EBITDA in of of XXX X.X% to higher higher sales, revenue XX.X% stock-based income This $X.XX Adjusted lower higher basis asset in of XX costs. revenue contract of and the million basis expense. tight adjusted points leverage increase basis year. G&A and from operating was QX was increased or decreased revenue. costs. XXX.X $X.XX revenue was QX points. by revenue of XX.X% basis of XXX.X Improved margin margin partially to of XX level

Slide X. Going to

Our notes, $XXX.XX sheet senior million and remains were of million $XXX.X balance was quarter with position strong. of no loan, financial $XXX We revolver million liquidity million. and solid ended and term the equivalents at $XXX.X and Cash borrowings.

the opportunistic repurchases prioritizes share followed within of M&A range of and Our net capital our context leverage. historical by organic allocation growth,

Cash gross disposal $XX.X Slide operating XX. used to in CAPEX million, operations. flow million the growth of Going $XX fund activities and was proceeds for $XX.X Capital was expenditures million. were sequential net to

million. $XX for stock common of a was and accounts sequential our of shares combined XXX,XXX days, repurchased contract we net of QX, days. assets two During DSOs XXX The increase receivable

Going to Slide XX.

to October of increase contract as of non-GAAP ending revenues and the XX, percentage As expects the EBITDA we mid-teens we compared quarter of last look XXXX low revenues contract the XX, increase XXXX expect a QX to contract ended modestly to revenues year. as to October quarter adjusted ahead percentage company compared to to

rates, XX million of million shares. interest market higher diluted reflecting expect rate, also a effective We income interest expense, $XX.X and tax XX.X%

weather, a seasonality the and January workdays the payroll including we For to year, These results work of normal on due QX hours October quarterly for the well for taxes. as growth moderate to factors seasonal expect available restart may fewer other XXXX pronounced impact winter compared ending daylight inclement are to Each reduced January impacted of holidays, actual revenues our results contract the our by the rate in quarter. impacts calendar January as quarter. have

call turn Now will the I Steve. to back

Steven E. Nielsen

Drew. Thanks,

XX. Slide to Moving

and This quarter, experienced solid we significant strengths. our on capitalized activity

throughout our we maintained significant First customer and foremost, presence markets.

the encouraged are our We business. by breadth in

portion is Federal speeds is of same. and consolidating share and as allowed deployments Our supply state in opportunities. gigabit process. deploying are particularly for creating in enable customer long-term growing, business. deploying to at Deployments of networks and underway. presence anticipation support are doing chains, businesses consumers dramatically and has opportunities to Customers Wireless bands being forefront of spectrum year. connections. the are market are rural are build us support maintenance utilities are fiber are communications deployments Telephone high-speed as the growth, this Dramatically increasing A market fiber-to-the-home electric and capacity available provisioned our value well medium and newly activity Cable consumer industry evolving of is enterprises. in to be these of operators the to the operations for construction upstream. usage companies increasing duration. extensive Increasingly, of and expand opportunities sales data new increased small scale to increasing rural

spending capital some initiatives. industry growing we our encouraged economic increased nation are navigate to and of uncertainty, remain a number our multiyear customers As committed that

in confident strategies, are our management of and the dedicated our the prospects for of We capabilities employees, our experience the our company, team.

Now operator, questions. will for open call the we

Operator

Thank Instructions]. you. [Operator

Riley Our first question Rygiel comes B. Financial. from with

Your line is open. now

Alexander Rygiel

Good morning Thank Steve. you.

Steven E. Nielsen

Alex. Hey,

Alexander Rygiel

A questions here. couple of

its First, address and that, second can think -- of sense, But quarter. labor felt you've in in looking address of the guidance you do bit it probably biggest in ahead? in understanding it how the here inflation little and sort a first broadest about your that you

Steven E. Nielsen

Yes.

what in So hires, cost our training open it the think first in we positions raised to labor And or marketplace new door, a even highlighted programs more. skill fact and does to around seeing we positions we were into cost in we get maybe Alex, around I ago the those year that a issues we little that some had around the folks areas. that semi more the saw issue

We're in I particularly cost, think people bring to those market areas, think But working in. tight is that are continues. the higher. more certainly and hard I

ahead, but tight set in going with make to to we labor look this unemployment this, that time first to the tight. not we're sure now need. a be and low, customers the going we And able resources It's think way the what's if the about the broadly, more is are thinking really cost is seen about that that's but is up -- we've what is right ever So important of forward we're this a they to it. way valuable is deliver that one

Alexander Rygiel

helpful. to there's or whether not not. obviously, is That or talk And been plenty we're then, in of an as recession economic

developing sort how impact they that past this sources in your a lot at might reacted customers how And with and dynamics future your funding second, or how see have in the all? cost and given business you recession do to structure? different First, business a of might your the in react different your of

Steven E. Nielsen

Sure.

work sequentially, Obviously, if in when quarter, recession lots Alex, from our that the So currently important out their to are customers the that revenue see, indicators the business. and sheet big don't of balance They working instance, the With ability we're of signs businesses well-established there. we I us what's at, a this now capacity been we there clearly always grow we is their opportunity terms not we that respect for able near-term $XX own to large, look grow for April is future. to the have programs we're very think are of businesses. in seeing we're seeing have a strategic million recession into for that in

it. And so out. always we think, and good, tale I there's doing strategic. But we're cycle that's, way never for the for any comfort economic which guarantee And work what any play we individual from I for we how well-resourced think at is a will them look customers

Alexander Rygiel

you. color. nice and helpful Very Thank

Steven E. Nielsen

you. Thank

Operator

Fisher next question from UBS. the Steven you. for our of our comes Thank moment line And question. with next One

is line open. now Your

Steven Fisher

Great, morning. thanks, good and

Sorry here. for the background noise

margins I QX from a little historically are to down think sequentially bit QX. your

anything I'm the relief this on if there's unusual little of and year, expecting and the some year costs trends maybe given it's So you're that. pass-through different wondering timing a of the an that of getting bit with that

I as can or margins on be guess, it would So it this year? be typically down sequentially different or QX

H. Andrew DeFerrari

question. Steve, this for is the Drew. Thanks

and I the of So think range both of the is percentage outlook you'll we QX. EBITDA that in within revenue as with see line kind expectations in margin provided,

Steven E. Nielsen

of encouraged pressure out don't again, through Yes. the now the We're the to cost in again, it's marketplace exactly Once don't see August. right indicate would that in month plays But particular I the fuel of we entire with guarantees. quarter. how too early -- anything that see no any there. for

Steven Fisher

give accept to made increasingly customers cost I'm kind just then And understanding come Okay, will participants I how your headwind well, the thanks. of you just that. and as from maybe so relief round for through? that others despite what the of you of and on moving are you relief reference mean timing maybe of sense of on quarter to the follow-up. when then this everything some just the you Can the others follow nailed a mean I expected increase could have industry us percentage fuel around curious next pressures of sort

Steven E. Nielsen

the demand would cost we But the realities but working encouraged I the to we're Steve, pressures that economics together, there. participants all have broadly or it's the quarter. lots we that those in not I going industry. say employees were that our have customers of just would Yes. the of have we able think can on those to There we pressures recognized industry that for major I cost are but a minimize business and economics they pressures, and think across subcontractors acknowledged to that reflect to specifically also market what's that that going programs I given point don't that talk in customers, And there There's us. cost are industry. to of kind varying that with in address -- are ways -- the individual were happened number during

Steven Fisher

relief But relative quarter you Okay. in expect do the quarter? to incremental the third second

Steven E. Nielsen

if as we we're the down can an half year. order see mean, just take organic everybody get we fine, to the make business. that the tying we're mean down we those, first two the came there's to in in grow of first to day we quarter. going that remember, a quarters together annualize it marketplace to after that it capacity was just you not to get and be growing to acknowledgment I XXX grow make a deliver, the in sure It's over economics too. got capacity And if would sure I by quarter, I up right. the in revenue and and million that the big mean continue

Steven Fisher

Terrific, thank you very much.

Operator

for moment next our KeyBanc. our from you. Eastman please. One question Sean with question And Thank next comes

Your line open. now is

Sean Eastman

Hi taking Steve my for and Drew. questions. Thanks

about headcount Steve. from growth is should organic possible go should half XQ last the on X% I in from achievable, that how about XQ, we first a that a actually So this think dynamic just to forward? and think of the like that segue comment, how went we was looks is on that, it mean growth kind how headcount so down how XX%

Steven E. Nielsen

consider region quarter-to-quarter. think movement fluctuates Sean, it you from that can can Yes. to of of subcontract. the from when from to headcount to reflect I country we versus program, region a what influence It program country self-perform choose the

into quarter, whole any on always given So a I working lot to We're read back-office field in and think hard efficiencies better it. productivity. it's

And we obviously, bring get into have. factors resources then to work and people from that the on we So productive able more able over more this were that in to with case, done time. it were we subcontractors

not read of perspective, that at into a to lot So from level fluctuation, it. our not

Sean Eastman

Okay.

back And coming to customer the base, enough. the the recognizing Fair comments Okay. about pressures. cost

sounds base what but any that, like actually you that, contractors of higher the pressures, cost in everybody have of evidence And this So addressed cost seen -- light with at it build would the back addressed throttle say pressures has has recognition recognized already you resulting plans? point? proportion that's any the of in broad-based costs, in customer

Steven E. Nielsen

be the we not calls pressures. less, a have seem plans, I they've these or successful earnings can't that long-term it quarter-to-quarter. that's long-term comments, own comments there we're cost their be But going getting you but investors. them with were sure encouraging. acknowledged of on like plans being be they industry not discussed we Sean it doesn't us are We major about long-term with in addressed the buy their the but only that going customers nothing is discussed with that as a like assets, with they're based was again, affecting everybody based I'm industry there issue, they're think it other was because to the there very what that folks think that customers but on it's to So as like They when know. that there on to And do sit service then But to the We're Steve, a not else. where think quantify some our less. -- to we positive, have for presentations their to as plans like number -- and probably impacting cost we of you number

Sean Eastman

if in that. holding we're sneak It for by Thanks FCC. pattern, rural one you help sort dynamic, be us a of broadband any have activity of maps in what to sort that frame seems produced just for rural just the ramp going the for what to help to be it. Got side. that we're maps Okay. could these without waiting I'm would the on going wait like more, for I'm can these maps, on wondering helpful? to for,

Steven E. Nielsen

Sean, It's good things. a of question. So couple a

in the just encouraged So did quarter one, that million. deployments our less than with for we were electric we $XX utilities, fiber

I year-over-year. think that was up over XX% organically

So a -- it's still dynamic it's market.

already things, think COVID maps. prior State necessarily keep on missed And not contingent the State amounts billion folks is north RDOF States course, of Infrastructure the that was that. own focus score programs was under also there budgets. Act that substantial mechanism. of general the We release think to stimulus the that's Phase their of money it's of We on then, fundings underway release X one through to $XX as as the of the well on as I were out they released that

huge So finalized been these be to have a federal get period, there but RDOF as a and in followed is any going out -- maps is been money. money would what other by of would State amount have

on States is of around seeing State-funded a contingent So country maps. activity now lots right the of not in the that we're number

Sean Eastman

thanks helpful, Steve. Very

Operator

Thank you.

with the question comes of D.A. Thielman Davidson. line Our next Brent from

Your now line is open.

Brent Thielman

thanks. Hey, morning Drew. Steve, Good

Steven E. Nielsen

good Brent. Hey, morning

Brent Thielman

of are Hey a the or and component activities programs Steve, a so offering imagine of phases a and I occurring still lot maybe there's lot still still so versus of earning to about procurement-related a where is that early of these you're activities services assume forth. Is in services you're deployment I history? buildup to abnormal margins, in you're much field think those way there higher doing us relative actually the for the mix the or

Steven E. Nielsen

providing out into least in those materials programs we actual provide at as where released we they they get go we of inventory Brent, So procurement the acquire inventory, in the we're when the way them, service. do

following I'm add? as as items same services We the margin I'm Drew, the anything on those So recognize time. the the not I to sure question. that well at mean, margin

H. Andrew DeFerrari

Yes. No, that's correct.

Brent Thielman

couple customers resources function that a today a Okay. of And that of sort then sort is value you their in five or to levels are more? you lower when initiatives for historically top seeing year-on-year, spending we the frankly of reallocating revenue that others look at these you are of larger

Steven E. Nielsen

Yes.

I think it's primarily the former, Brent.

it's reflecting conferences in Verizon, down. I the is we it in that is comments, earnings we known our our We with have in their on think for the based for Fiber that at well call certainly investors discussions did industry on state as the them. new One are coming highlighted pick although up a program revenues,

can offset to some we and broadly in to perform to we taking to, do that deliver, that. make And about technical construction to capacity, industry, that's then whatever we've they're more commit cable We sure approach a happy the but plus want that related, upgrading to that. as talked happy service. we're helpful So of

Brent Thielman

Okay, thanks guys.

Operator

Thank you. question. our One moment for next

Fargo. comes with Eric question Luebchow next from Our Wells

open. Your line now is

Eric Luebchow

upgrades the a increasing of still this spectrum Steve, Thanks question. about you of Great. spending ahead for made year, are capital lot it us. seems wireless mid-band and a taking like comment still

other mostly like So seeing T-Mobile? this diversified perhaps DISH perhaps that operators about still or from where next year in largest customer, Verizon, are you that talk your can go or opportunities from And you coming year? the contribution quarter, more the the AT&T, could is

Steven E. Nielsen

Sure.

a little year-over-year. over in a X% grew more wireless. was than revenue quarter Eric, actually the XX% It little So XX%,

quite that's the sequential growth we've first had in while. think I there time a

good spectrum opportunities were bands we new there. we to these have encouraged be as So begin some deployed that

That's grown We somewhat. have helpful. always our footprint

do work number, for that a on expect focused grow certainly one, we We and largest particularly others customer, but also. our are to and we still primarily

out this So just generally we're coming encouraged wireless. think into next year on I year of

Eric Luebchow

I that Fair your enough. cease one and order ask, don't I fiber Also, Connecticut want underground you to the anything specific desist but was what in changes for if in any comment outlook of or wondering growth know Yes. issued that constructing. might customer quarter typically had wanted And geography? just either to have just that top customers, on that the on for from customers impact

Steven E. Nielsen

that it have add handling Yes, Eric, customer just is it. situation, guidance, I'd say to of aware the in we're our reflected that. The is don't and we anything really beyond

Eric Luebchow

And one on me, enough. discussion. touched Fair more you then Infrastructure big kind for Bill -- of bid just is topic Steve. Obviously, of Yes. the that earlier, a

with are like it the allocated program states, completed, timing gets until on it best once So may sense not kind your XXXX to that of XXXX. on and when flow the from what's or funding kind But maps you past seems programs? commence, funding could expect the of based construction ahead you subsidy precedent in the actually would to see of come activities private some these of capital

Steven E. Nielsen

Yes.

look, not getting experts Eric, overall, bureaucracy. it process and think on I we're through the mapping

there we So We what are as that XXXX. maps certainly into the reads. opportunities everybody come out read some think else

will what their based additional to who a be able will that, source. is do I that possibility. confident though, certainly help think programs is prospect from private program be that -- geographies the new well may capital highlighted, reorienting think funding strong I get that that they of on the the is to you've very And

market who on to Just their certainly that use were confident begin. RDOF of number that eventually sources able and the receive funding to funding like they participants share were was early there a fair other begin RDOF, to before we of the we're would that saw

market of rural capital government to on to from place I wait that. good until going kind support. And equilibrium in it's of capital people well people don't think an in is just a first says overall combination act as the have I comes dollar think So where -- returns private to as the that expect change a are their

Eric Luebchow

the taking Thanks fair Steve. for enough. Okay, questions

Operator

next our question. for moment One you. Thank

from comes question Adam next Davis. with Thompson Our Thalhimer

Your line is now open.

Adam Thalhimer

Hey quarter. Drew, and Steve good morning nice

Steven E. Nielsen

Good morning Adam.

Adam Thalhimer

better First build do did margins is can how some the going we in you you results off than QX question, little expected forward, of? think about despite QX you headwinds, inflation something a

Steven E. Nielsen

had we are average opportunities historical as Adam, we grow the have when distributed that of we service we've a basis. and be And industry that as from achieve robust we deliver with we work been we're to for so now we customers together a I that on in can have to we value think our customer. where expressed long growth, think good that encouraged margins where they when broadly have can view continue long-term excess that create they that long

Adam Thalhimer

on And the over benefit customers still comp? that that with you does is last the that second you or worked months, the three benefit together kind the of in quarter

Steven E. Nielsen

we it. in were didn't as certainly There in May, some impacts the quarter. obviously, But we talked it about reference

latter part beginning. the say towards of than happened it the more quarter the would I So

Adam Thalhimer

to to then wanted QX. growth seasonal comment sense. in normal Makes about understand And I just the try your deceleration

high in range imply you're single-digit kind does for QX, something guiding teens to of in QX? the that of So growth low year-over-year kind growth

Steven E. Nielsen

did to that in and want been really highlight year a end long at unusual a Adam providing I had the we Everybody the the you're time. what slower next, aware, quarter. you've are not where perhaps guidance, is not of it's lots fourth company of as We're growth. year But calendar busy the if the has for things followed you at beginning know, somewhat the of

the year goes of the of talked the isn't predictive we quarter, all seasonal effects all that because how about. that January fourth quarter Our subsequent

purpose So of the that's the comment.

Adam Thalhimer

Okay, thanks guys.

Operator

Dilts One Stifel. with moment you. for from Thank our next comes question. next our question And Noelle

now is open. Your line

Noelle Dilts

on congrats the quarter. and nice Hi,

a how nice just that are and Google. Google opportunity, recognize five customer about when we be lot of generally there you that announce large Just question it about to the that But there, you in opportunity? to a I be go historical see any should were terms work we now to states. your of aerial, I a should think we on to positioning was that work wanted ask just back did to years margin seemed a we thoughts Thanks. on speak that how of customer just work, so with be to lot Could layers spending. thinking customer believe Google, when doing more and

Steven E. Nielsen

Yes, we're work customer. Google comments mix Noelle. to I or individual any to don't think the for of to specific any have going

say It that markets new every their There's I there's going reflective expansion I a a that network there's we deployment of commitment the of private on. think a a entrants. week would into to the number network seems the see day, we of is maybe of new their operator. in robust resume size equity industry. environment but some mean every new into what lot investment like not is

And just what the think going and they've successful, so read that certainly that I I in about the to -- they expand. they're been that about so is article talked

Noelle Dilts

-- this in bit Okay, pricing just of got And it. in terms then a of progress been with on terms quite customers. obviously, has discussed

believe, curious, bit Just towards of year. a be, tends I end terms of there a in the MSA to and concentration renewals reopenings of the

there some of should around still sort a of metric, how think or that's about tied repricing are concentration And year-end? of just any curious formulaic to of these reopenings sort the Thank that? case if is bit you. a curious sort that inflationary Just around of we

Steven E. Nielsen

calendar there. Noelle, processes Certainly, year. some renewal quarter-by-quarter, there so say but I'd two that are we've that that under got the it certainly contracts questions think not I there's customers are really are So there time. are all

And new renewed, the that you of have contemplate work escalators. before service. the through do provide There to annual others you costs to current the term are is so the formal as have obviously, agreement, renewal the

in some that those And have out help we costs are are do new or to of certainly where such opportunities an other new Some customer, current that, out there. but on when -- when reflect future there those for they opportunities that what costs propose are we an the a then based perhaps work formulaic. do situations have we ability arrangement. holds and think geography Others the we we and

we work reflect out holds to in current when and ability costs arrangement those New geography opportunities new perhaps think opportunities. the out future or what we do we an those when that on that, for an help we the a costs

Noelle Dilts

it, Got thank you.

Operator

over further hand closing I'm no And conference time. for this I'd currently to at like Steven the Nielsen you. Thank questions showing Mr. comments. to back

Steven E. Nielsen

we everybody and your Well, Thanksgiving. and speaking to look attention for forward the week of to thank today, time you we

Operator

for in thank today's gentlemen, Ladies you participation and conference. your

disconnect. wonderful now You Everyone, may day. a have

Dycom Industries (DY) 24 Aug 222023 Q2 Earnings call transcript