#United States #financial results #Little Rock #Montrose Environmental #2024 guidance

Montrose Environmental Group Achieves Record Financial Results for 2024

Montrose Environmental Group, Inc. has reported outstanding financial performance for the fourth quarter and the full year of 2024, showcasing robust growth and operational excellence. The company reported its highest-ever quarterly revenue of $189.1 million, marking a 14.1% increase compared to the same quarter last year. For the entire year, Montrose recorded total revenues of $696.4 million, which reflects an 11.6% growth over 2023.

Despite the impressive revenue growth, Montrose experienced a net loss of $28.2 million in the fourth quarter and $62.3 million for the full year. This net loss was primarily influenced by a one-time charge pertaining to the cancellation of executive Stock Appreciation Rights (SARs) and increases in tax and interest expenses. However, the Adjusted Net Income remained steady, standing at $14.7 million for Q4 and $55.8 million for the full year.

One significant highlight was the company’s record Consolidated Adjusted EBITDA of $27.2 million in Q4, which is a 55.8% increase year-over-year, indicating an improved operating margin of 14.4% of revenue. Full-year Consolidated Adjusted EBITDA reached $95.8 million, a 21.9% increase from 2023. This impressive growth demonstrates Montrose’s ability to leverage its diverse service offerings and robust operational capabilities.

Montrose’s CEO, Vijay Manthripragada, expressed satisfaction with the company's achievements, stating, “We are pleased to report another record year and record quarter driven by increased demand for our integrated environmental solutions and technologies. Our strategic model continues to demonstrate value through strong organic growth, enhanced efficiency, and successful acquisition integrations.”

The company aims to build upon its success in 2025, projecting revenues between $735.0 million and $785.0 million, with organic growth anticipated in the range of 7% to 9%. The expectations for Consolidated Adjusted EBITDA are set at $101.0 million to $108.0 million, further underscoring Montrose's commitment to operational excellence, cash flow improvement, and margin expansion.

Beyond the numbers, Montrose emphasizes its mission of promoting environmental stewardship alongside economic value creation. As political and market dynamics shift under the new administration in the U.S., the company sees potential for increased demand for its services, driven by trends such as onshoring and enhanced industrial production.

Montrose’s approach combines strategic capital allocation and maintaining a strong balance sheet. The company announced the initiation of a $500 million Senior Secured Credit Agreement, designed to bolster liquidity and provide further opportunities for growth. Montrose asserts that employees, clients, and shareholders alike will recognize the value creation opportunities available through the company's commitment to environmental health—clean air, water, and soil.

During the Q4 webcast, Montrose leaders will delve deeper into these topics and the potential opportunities that lie ahead in 2025 and beyond. With its robust growth strategies, Montrose Environmental Group remains optimistic about its trajectory in the environmental solutions industry.

For more details on Montrose Environmental Group's achievements and goals, visit Montrose's website.