AECOM has provided an update on its business and operational performance, noting that the company has reaffirmed its full year financial guidance, including its expectation for 10 percent adjusted EBITDA growth at the mid-point of its guidance range and free cash flow of between $100 million and $300 million, AECOM announced on Tuesday.
“We are reaffirming our full year guidance, reflecting continued strong performance so far in our fiscal third quarter that builds on our outstanding performance in the first half of the year,” said Troy Rudd, AECOM’s chief financial officer. “We entered the year with tremendous momentum following our many accomplishments in fiscal 2019, and our employees have responded admirably to the unprecedented challenges created by the COVID pandemic.
AECOM noted that the book-to-burn ratios for design business have exceeded 1.0 quarter-to-date, with broad-based strength in its largest market sectors and geographies. The company has extended its competitive advantage through the launch of AECOM Environmental Engagement and its virtual public consultation tool.
AECOM Environmental Engagement has streamlined documentation and stakeholder engagement throughout the environmental assessment process and AECOM’s virtual public consultation tool that enables clients to productively engage stakeholders in digital settings.
These platforms have deepened client engagement by assisting in the seamless transition to a remote working environment as a result of limitations on movement and person-to-person interactions.
AECOM’s quarter-to-date cash collections have been ahead of the prior year. The company has made an agreement with Lindsay Goldberg and American Securities that resolved all post disposition working capital adjustments related to the sale of the Management Services business.
The company announced that it successfully turned over care, custody and control of the West Riverside Energy Center plant to Alliant Energy, marking a substantial milestone for the project and in the company’s commitment to exit all self-perform, at-risk construction
AECOM reaffirmed its financial guidance for fiscal 2020, including adjusted EBITDA of between $700 million and $740 million, which would mark 10 percent year-over-year growth at the mid-point of the range and a second consecutive year of double-digit adjusted EBITDA growth.
“While the severity of the economic downturn and the speed of the recovery remain unknown, some markets are showing signs of recovery, and our actions have best positioned the company to achieve our long-term strategic and financial objectives,” added Rudd.
AECOM (NYSE:ACM) is the world’s premier infrastructure firm, delivering professional services throughout the project lifecycle – from planning, design and engineering to consulting and construction management.
We partner with our clients in the public and private sectors to solve their most complex challenges and build legacies for generations to come. On projects spanning transportation, buildings, water, governments, energy and the environment, our teams are driven by a common purpose to deliver a better world. AECOM is a Fortune 500 firm with revenue of approximately $20.2 billion during fiscal year 2019.