Bird sees revenue rise in Q1, expects profitable 2020 despite COVID-19
More industrial work helped Bird Construction Inc. record a nearly 23 per cent increase in revenue in the first quarter of 2020 and shifted its bottom line into the black.
The company posted $321.6 million in revenue for the first three months of 2020, compared to $261.8 million a year earlier. Net income of $1.1 million topped a net loss of $6.5 million in Q1 of 2019. It cited “higher margin” industrial projects for the positive momentum.
Looking ahead, Bird said COVID-19 was not a major factor for the company in the first quarter, but it has seen impacts in April and early May in the form of temporary project shutdowns or reduced productivity on job sites. Like other contractors, Bird has implemented a number of health protocols, such as social distancing, on projects coast to coast.
“Our field staff deserve a special recognition for having continued to work on our projects with the utmost professionalism and dedication, while quickly embracing new safety practices and procedures,” Teri McKibbon, the company’s president and CEO, said in the earning report.
The COVID-19 situation remains “extremely fluid,” Bird noted, but the company says it is well positioned to address the fallout.
“We have sufficient cash and liquidity to support our anticipated work program while maintaining the current dividend based on our current expectations of the impact of COVID-19,” McKibbon said. “Despite those impacts, we still expect 2020 to be more profitable than recent years.”
At the end of March, the company’s backlog stood at $1.42 billion. The figure is up from $1.28 billion a year ago, but down from $1.54 billion at the end of 2019.