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MasTec's Stellar Financial Performance in 2024

MasTec, Inc. recently unveiled its fourth quarter and full year 2024 financial results, showcasing a remarkable performance driven by robust revenue growth and a record project backlog. The company's revenue surged to a staggering $3.4 billion in the fourth quarter, up from $3.3 billion in the previous year. For the entire year, total revenue reached $12.3 billion, a significant rise from $12.0 billion in 2023.

CEO Jose Mas expressed satisfaction with the results, stating, "The financial performance of the third and fourth quarters demonstrated substantial improvement, allowing us to enter 2025 with strong momentum." MasTec's adjusted net income for 2024 was reported at $348.3 million, translating to adjusted diluted earnings per share of $3.95, compared with $144.1 million and $1.81 respectively in 2023.

Record Backlog and Cash Flow

One of the noteworthy highlights of MasTec's announcement is its record backlog, which now stands at $14.3 billion, an increase of $1.9 billion from the previous year. This backlog is a positive indicator of future growth, as it comprises anticipated future work on various projects across the nation. Additionally, the company reported a robust cash flow from operations for 2024, totaling $1.1 billion, marking a significant 63% increase from the previous year. This strong cash flow has already facilitated a net debt reduction of $318 million, bringing the net debt leverage ratio to a comfortable 1.8x by year-end.

Financial Highlights

Analyzing the full-year figures, MasTec's GAAP net income exhibited a turnaround with a reported figure of $199.4 million, equivalent to 1.6% of total revenue. The company's diluted earnings per share also improved significantly to $2.06 compared to a net loss reported in 2023. Furthermore, its adjusted EBITDA stood at $1.0 billion, representing a 19% year-over-year growth from $846.4 million in 2023.

MasTec's fourth quarter adjusted EBITDA was reported at $270.9 million, which demonstrates a healthy profit margin at 8.0%, a 1.1 basis point increase from the same quarter last year. These figures underscore the company's operational efficiency and its ability to drive profitability even in a competitive market.

2025 Guidance

Looking ahead, MasTec has issued optimistic guidance for 2025, anticipating record revenues of approximately $13.45 billion, reflecting a 9% increase from 2024's figures. The company expects its GAAP net income to range between $327 million and $366 million, and adjusted EBITDA to fall between $1.10 billion and $1.15 billion. Adjusted diluted earnings per share are projected to be within the range of $5.35 and $5.84, showcasing an expected continuation of the company's upward trajectory.

Conclusion

In summary, MasTec's impressive performance in 2024 has set a solid foundation for future growth through a record backlog and substantial cash flow. As the company prepares to embark on 2025, its strategy for continued operational excellence and smart capital allocation positions it well in the infrastructure market. Investors and industry experts alike are keenly observing how MasTec will leverage this momentum, and the decisions made by management regarding project execution and capital allocation.

For further information, MasTec management will hold a conference call on February 28, 2025, to delve deeper into these results and discuss future plans, reflecting the company's commitment to transparency and stakeholder engagement.