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Dycom Industries, Inc. is set to announce its second-quarter fiscal 2024 results on August 23, before the market opens. In the previous quarter, the company’s earnings exceeded the Zacks Consensus Estimate by 147.1% and increased significantly to .73 per share from 51 cents per share reported the previous year. Revenues also grew by 19.3% year over year and surpassed the consensus mark by 11.2%. Dycom Industries witnessed increased demand from four of its top five customers.

The company has consistently surpassed earnings estimates in the last four quarters. The Zacks Consensus Estimate for Dycom’s fiscal second-quarter earnings is .66, indicating a 13.7% increase year over year. The consensus estimate for revenues is .04 billion, pointing to a 7.3% year-over-year rise.

Dycom Industries is expected to report increased revenues and earnings for the second quarter due to strong demand, extended geographic reach, proficient program management, and network planning services. The company has experienced higher demand for network bandwidth and mobile broadband. Impressive fiber-to-the-home deployments from six of its top 10 customers are likely to have contributed to second-quarter revenues.

Dycom Industries anticipates contract revenues to grow in the mid-single digits compared to the previous year. The adjusted EBITDA margin is expected to increase by 50-100 basis points. The company’s model predicts second-quarter revenues in the Telecommunications segment to be 2.5 million, representing growth of 7.1% from the previous quarter. Revenues for the Underground Facility unit are estimated to be .8 million, while Electrical and gas utilities and other business revenues are pegged at .7 million.

However, tight labor and higher costs are expected to have affected the company’s performance. Dycom faces challenges in the automotive and equipment supply chain and foreign currency exchange rate risk. Fluctuations in oil prices also pose a significant headwind.

Dycom Industries expects an effective tax rate of 26% and diluted shares of around 29.7 million for the quarter. Interest expenses are projected to be .2 million.

The Zacks model does not conclusively predict an earnings beat for Dycom this quarter. Although the company has a Zacks Rank #3, it has an Earnings ESP of 0.00%.

AECOM, Fluor Corporation, and KBR, Inc. have also recently reported their quarterly results.

The post Dycom Industries to Report Q2 Fiscal 2024 Results appeared first on ISP Today.