Bridger Aerospace Group Holdings, Inc. (NASDAQ: BAER, BAERW), one of the nation’s leading aerial firefighting companies, has announced record financial results for the third quarter of 2024, marking a strong performance driven by high demand for its Super Scooper fleet. As a result, the company has raised its revenue guidance for the year and narrowed its Adjusted EBITDA forecast.
Highlights:
– Bridger posted record third-quarter revenue of $64.5 million, a 20% increase compared to $53.6 million in Q3 2023.
– Net income for the quarter surged to $27.3 million, or $0.31 per diluted share, reflecting a 56% year-over-year increase.
– Adjusted EBITDA rose 21% to $47.0 million, up from $38.7 million in Q3 2023.
– The company now expects 2024 revenue to range between $90 million and $95 million, a 35% increase, while Adjusted EBITDA is forecast to grow by over 85% from 2023 levels.
– Bridger anticipates generating positive free cash flow for 2024.
Bridger’s Super Scooper fleet, which is vital for combating wildfires, saw its highest utilization levels during the 2024 wildfire season, with several aircraft still in operation into November. The company’s six Super Scoopers and six Air Attack aircraft were integral to the season’s success, contributing significantly to Bridger’s record-breaking revenue and earnings.
“We are on track for a record year, with adjusted EBITDA expected to nearly double from 2023,” said Sam Davis, CEO of Bridger Aerospace. “The strong performance of our fleet validates our business model and positions us for continued growth, including generating positive free cash flow.”
The company’s acquisition of FMS Aerospace earlier this year contributed $1.6 million to its Q3 revenue. FMS is expected to generate additional business opportunities that will benefit Bridger in 2025 and 2026. Bridger’s international expansion into Spain is also progressing, with two Super Scoopers nearing the completion of return-to-service work.
Bridger’s third-quarter cost of revenues increased to $23.0 million, compared to $16.0 million in the same period last year, driven by higher flight operations, maintenance expenses, and the return-to-service work for Spanish Super Scoopers. Selling, general and administrative expenses (SG&A) decreased to $8.6 million, primarily due to a reduction in the fair value of outstanding warrants and lower stock-based compensation expenses.
Interest expenses remained stable at $6.0 million, while other income for the quarter totaled $0.5 million.
As of September 30, 2024, Bridger’s cash, cash equivalents, and restricted cash increased to $42.6 million from $22.5 million at the end of June. With approximately $26.7 million in accounts receivable expected from wildfire season-related billing, the company’s cash position is anticipated to grow in the coming months.
Bridger remains confident in its continued growth and performance for the remainder of 2024, as it works toward further expanding its fleet and business operations.
