EMCOR Group, Inc. Increases 2007 Full Year Guidance and Announces Two-For-One Stock Split
- New Revenue Range $5.5 Billion to $5.7 Billion
- Diluted EPS Now Expected to be Between $2.75 and $3.00
The Company now expects revenue for the 2007 full year period to be in the range of $5.5 billion to $5.7 billion, and diluted earnings per share for 2007 of $2.75 to $3.00. The Company’s previous financial guidance was revenue in the range of $5.3 billion to $5.5 billion and diluted earnings per share of $2.45 to $2.80. The increased guidance reflects continuing indications of strong demand patterns within many of the Company’s markets.
Frank T. MacInnis, Chairman and CEO of EMCOR Group, stated, “2007 began with a strong first quarter, and the drivers of that performance have retained their momentum. We have leveraged these trends to generate outstanding growth opportunities, particularly in the commercial, healthcare, gaming and hospitality markets, and have also seen continued strong performance in the market for mobile and site-based facilities services. At the same time, we have experienced a more favorable competitive dynamic surrounding time-sensitive, highly-complex projects, where we have benefited from our reputation and standing in the marketplace. The result has been better than expected performance across most of our operations, as well as continued growth in our contract backlog from 2007 first quarter levels.”
Mr. MacInnis concluded, “We believe these favorable conditions will continue, based on the encouraging market indicators we are seeing and our backlog growth, and expect our earnings performance during 2007 to follow our typical seasonal pattern of sequentially accelerating growth as we proceed through the year.”
The Company also announced that on Friday, June 8, 2007 its Board of Directors declared a two-for-one stock split, to be effected in the form of a 100% stock distribution.
The record date for the stock split will be June 20, 2007 and the payment date will be July 9, 2007. On the payment date, each stockholder of record on June 20, 2007 will receive one additional share of Common Stock for each share then held. As a result, the number of shares of Common Stock outstanding will be increased from approximately 32.15 million to approximately 64.30 million shares.
EMCOR Group, Inc. is a Fortune 500® worldwide leader in mechanical and electrical construction services, energy infrastructure and facilities services.
This release may contain certain forward-looking statements within the meaning of the Private Securities Reform Act of 1995. Any such comments are based upon information available to EMCOR management’s perception thereof, as of this date, and EMCOR assumes no obligation to update any such forward-looking statements. These forward-looking statements may include statements regarding market opportunities, market share growth, gross profit, project mix, projects with varying profit margins, and selling, general and administrative expenses. These forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Accordingly these statements are no guarantee of future performance. Such risk and uncertainties include, but are not limited to, adverse effects of general economic conditions, changes in the political environment, changes in the specific markets for EMCOR’s services, adverse business conditions, availability of adequate levels of surety bonding, increased competition, unfavorable labor productivity, mix of business, and risks associated with foreign operations. Certain of the risks and factors associated with EMCOR’s business are also discussed in the Company’s 2006 Form 10-K, its Form 10-Q for the first quarter ended March 31, 2007, and in other reports filed from time to time with the Securities and Exchange Commission. All these risks and factors should be taken into account in evaluating any forward-looking statements.
EMCOR GROUP, INC.
CONTACT:
R. Kevin Matz
Senior Vice President
Shared Services
(203) 849-7938
Financial Dynamics Investors:
Eric Boyriven – 212-850-5600
Linden Alschuler & Kaplan, Inc.
Media: Hannah Arnold – 212-575-4545
