Willdan Group (NASDAQ: WLDN) reported Q2 EPS of $0.17, $0.28 better than the analyst estimate of ($0.11). Revenue for the quarter came in at $83.5 million versus the consensus estimate of $39.13 million.

Second Quarter 2020 Summary

• Consolidated contract revenue of $83.5 million, a decrease of 20.0%
• Net revenue of $43.2 million, a decrease of 7.7%
• Net loss of $5.0 million, or $(0.43) per diluted share
• Adjusted net income of $2.0 million, or $0.17 per diluted share
• Adjusted EBITDA of $7.2 million, or 16.7% of net revenue
• Cash provided by operating activities of $12.8 million

“In the second quarter, revenue and net income were down due to the pandemic, but adjusted EBITDA was down only marginally compared with last year, indicating that we did a good job of controlling our costs. We also continued our focus on cash flow, and this was very successful. We have now generated $29.2 million in cash flow from operations in the first half of this year, a company record. Our business environment continued to improve each month in the quarter, and the improvement has continued thus far in the third quarter. We currently estimate that pandemic related slowdowns and work suspensions are reducing our revenue by approximately 20% from pre-pandemic levels, an improvement from the estimated 40% reduction that we saw in April.

"The most significant pandemic related impacts to our business are now occurring in California to our direct install business. Our business in New York has been improving over the last month and all New York utility programs have restarted. Our other programs, which generate approximately 60% of our gross contract revenue, have either been determined to be “essential” by government agencies or have continued to progress without significant impacts. In response to the Covid-19 pandemic, the Company has taken, and will continue to take, temporary precautionary measures intended to help minimize the risk of Covid-19 to its employees, including requiring the majority of its employees to work remotely, suspending non-essential travel and restricting in-person work-related meetings. The Company expects to continue to implement these measures until it has determined that the Covid-19 pandemic is adequately contained for purposes of its business, and may take further actions as government authorities require or recommend or as it determines to be in the best interests of its employees, customers, and business partners including subcontractors and material suppliers,” said Tom Brisbin, Willdan’s Chairman and Chief Executive Officer.

For earnings history and earnings-related data on Willdan Group (WLDN) click here.