Mayville Engineering reports Q4 EPS 21c, consensus 13c

Reports Q4 revenue $148.6M, consensus $152.3M. “In 2023, we demonstrated significant progress on our multi-year business transformation journey, while leveraging our position as the market leading U.S. based vertically integrated provider of best-in-class design, engineering, and fabrications solutions,” stated Jag Reddy, CEO. “Last year, we sharpened our commercial focus, expanding within higher-value market adjacencies, while improving our operational discipline through increased automation and process efficiencies. We introduced a balanced capital allocation strategy, investing in innovation and inorganic growth, while returning capital to shareholders through opportunistic open market share repurchases. Following the recent acquisition of Mid-States Aluminum, MEC is uniquely positioned to capitalize on rising multi-sector demand for lightweight materials fabrication capabilities.MSA positions us to grow our share-of-wallet with existing customers as they make investments in energy transition-related technologies, including those that support fleet electrification and infrastructure. Importantly, customer interest in our expanded capabilities has been strong with a quickly growing pipeline of lightweight materials fabrication bidding activity currently underway. We continue to expect that we will deliver at least $20 million of annual synergies resulting from the MSA acquisition by year-end 2026. Our fourth quarter performance was a solid finish to the year. We delivered organic net sales growth of more than 6% in the fourth quarter, while our Adjusted EBITDA margins finished the year at nearly 12%.”