Hill International Reports Fourth Quarter and Full Year 2017 Financial Results
PHILADELPHIA, Aug. 31, 2018 (GLOBE NEWSWIRE) -- Hill International, the global leader in managing construction risk, announced today financial results for the fourth quarter and full year ended December 31, 2017.
Fourth Quarter 2017 Results
Hill’s total revenue for the fourth quarter of 2017 was $119.0 million, a decrease of 5.0% from the fourth quarter of 2016.
The firm’s operating loss for the fourth quarter was ($1.7 million), an improvement from an operating loss of ($17.5 million) in the prior year's fourth quarter. Our net loss from continuing operations was ($6.1 million), or ($0.12) per diluted share, an improvement from net loss from continuing operations of ($18.5 million), or ($0.36) per diluted share, during the prior year's fourth quarter. Hill’s net loss from discontinued operations was ($2.2 million), or ($0.04) per diluted share, an improvement from a net loss from discontinued operations of ($9.4 million), or ($0.18) per diluted share, during the prior year's fourth quarter. Our net loss for the fourth quarter was ($9.9 million), or ($0.19) per diluted share, an improvement from a net loss of ($27.9 million), or ($0.54) per diluted share, in the fourth quarter of 2016.
One-time expenses in the fourth quarter relating to the firm’s Profit Improvement Plan and other one-time costs total $3.8 million, or $0.07 per diluted share, adversely impacted Hill's profitability during the fourth quarter of 2017.
EBITDA (as defined below) for the fourth quarter was a loss of ($.2 million), an improvement from EBITDA loss of ($15.9 million) in the fourth quarter of 2016.
Full Year 2017 Results
Hill’s total revenue for 2017 was $483.7 million, a decrease of 6.3% from 2016.
The operating loss for 2017 was ($0.6 million), an improvement from an operating loss of ($13.6 million) in the prior year. The net loss from continuing operations for 2017 was ($6.7 million), or ($0.13) per diluted share, an improvement from a net loss from continuing operations of ($22.0 million), or ($0.43) per diluted share in 2016. The net loss from discontinued operations for 2017 was ($14.5 million), or ($0.28) per diluted share, an improvement from a net loss from discontinued operations of ($11.8 million), or ($0.22) per diluted share, in the prior year. During 2017 the Company sold the Construction Claims Group resulting in a gain, net of taxes, of $48.7 million or $.93 per diluted share. The net earnings for 2017 were $27.4 million, or $0.52 per diluted share, an improvement from a net loss of ($33.8 million), or ($0.65) per diluted share, for 2016.
One-time expenses relating to Hill’s Profit Improvement Plan and other one-time costs total $13.5 million, or $0.26 per diluted share, adversely impacted Hill's profitability for the full year 2017.
EBITDA (as defined below) for 2017 was $6.0 million, an improvement from an EBITDA loss of ($6.4 million) in 2016.
Hill's total backlog at December 31, 2017 was $846 million, an increase from $842 million at December 31, 2016.
"2017 has been a transitional year for the company. We sold the claims group, substantially reduced debt, and instituted our Profit Improvement Plan to right size the company structure for sustainable future growth and positive financial results. Although ongoing improvements continue, I am pleased that these achievements have put the company in a much stronger position today. With this filing of the 2017 10K, the company is one significant step closer to becoming current in our filings. We look forward to achieving current status in the near future,” said Paul Evans, Hill’s Interim CEO.
Earnings before interest, taxes, depreciation and amortization ("EBITDA") is not a measure of financial performance under generally accepted accounting principles ("GAAP"). EBITDA, in addition to operating profit, net income, and other GAAP measures, is a useful indicator of Hill's financial and operating performance and its ability to generate cash flow from operations that are available for taxes and capital expenditures. Investors should recognize that EBITDA might not be comparable to similarly-titled measures of other companies. This measure should be considered in addition to, and not as a substitute for or superior to, any measure of performance prepared in accordance with GAAP.
Hill International, with approximately 3,000 professionals in more than 50 offices worldwide, provides program management, project management, construction management, and other consulting services to clients in a variety of market sectors. Engineering News-Record magazine recently ranked Hill as the eighth-largest construction management firm in the United States. For more information on Hill, please visit our website at www.hillintl.com.
Forward Looking Statements
Certain statements contained herein may be considered "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, and it is our intent that any such statements be protected by the safe harbor created thereby. Except for historical information, the matters set forth herein including, but not limited to, any statements of belief or intent, any statements concerning our plans, strategies and objectives for future operations; and any statements regarding our intent to file late periodic reports or relisting on a national securities exchange, are forward-looking statements. These forward-looking statements are based on our current expectations, estimates and assumptions and are subject to certain risks and uncertainties. Although we believe that the expectations, estimates and assumptions reflected in our forward-looking statements are reasonable, actual results could differ materially from those projected or assumed in any of our forward-looking statements. Important factors that could cause our actual results to differ materially from estimates or projections contained in our forward-looking statements are set forth in the Risk Factors section and elsewhere in the reports we have filed with the Securities and Exchange Commission, including that unfavorable global economic conditions may adversely impact our business, our backlog may not be fully realized as revenue, our expenses may be higher than anticipated, and the review of the Company's accounting, accounting policies and internal control over financial reporting, and the preparation of and the audit or review, as applicable, of filings may take longer than currently anticipated or additional restatement adjustments may be identified. We do not intend, and undertake no obligation, to update any forward-looking statement.
Hill International, Inc.
Elizabeth J. Zipf, LEED AP BD+C
Senior Vice President
Hill International, Inc.
One Commerce Square
2005 Market Street, 17th Floor
Philadelphia, PA 19103
Hill International, Inc.
Marco A. Martinez
SVP & Interim Chief Financial Officer
John Glenn Grau