Charah Solutions (CHRA) 13 May 212021 Q1 Earnings call transcript

Good morning, ladies and gentlemen. And welcome to Charah Solutions, Inc.'s First Quarter 2021 Earnings Conference Call. At this time, all participants are in a listen-only mode. After today's presentation, we will conduct a question-and-answer session, and instructions will be given at that time if you would like to ask a question. I would now like to hand the conference over to Steve Brehm, Vice President of Legal Affairs and Corporate Secretary for Charah Solutions. ahead. go Please

our Good to us operator. first and you you've to thank our XXXX questions. as answering Thank hope not, find We the during We press morning, appreciate joining that review sharing forward look the today. call yesterday a our remarks remarks issued your may can we for prepared investor and earnings your after chance you, the had and everyone, you prepared participation as quarter Investors you our well our the press release market supplemental presentation closed. or section If at website on release, ir.charah.com. follow of in www.charah.com

Financial our Sewell, are Scott on Executive President me Officer, call and Shannon, Officer Treasurer. Chief Joining Chief and and Roger

the session. will prepared their we remarks, Following customary question-and-answer conduct

and conference These that have we the would different release, I regarding risks annual to on the Solutions cause include that from to statements uncertainties our including be that Securities obligation that update in Form and our disclosed you include, Private calls. those among actual meaning earnings to Litigation on statements Charah XX-Q we with press could results materially in in Form remind within begin, others, Before to our forward-looking Act. are are subject any forward-looking as statements reports risks and our matters of earnings our and these being our remarks as like Reform disclaim Commission, Exchange Those described well XX-K. filings releases Securities press forward-looking the statements. quarterly We reports

release to refer We earnings you our applicable will the nearest joining Again, we to certain GAAP presentation. supplemental call, in reconciliations today. measures. conference us measure for and thank non-GAAP provide this financial During press

the to turn and Scott? President CEO. over Sewell, I call to Scott our like would Now,

you accomplishments morning, I'm great again and you to our be provide the everyone. Steve update I'll financial our morning, to call to with developments, then today. join I'll speaking an quarter. you first Thank you current on review the Roger on to quarter during an happy business our update our on briefly for review It's This earnings call good our year-to-date, performance have and pipeline of you, transition opportunities. providing and us performance. update

We is our $XXX facilities. The Southeastern awards, of XXXX removal seven are acquisition contract Gibbons of awards XXXX total year. you million in facility coming These record million of two in a and at operations extensions, our new Transfer year of we to in momentum strong another then, we including weeks new won year-end $XXX major and $XXX services. of or to million projects Luminant with pleased closure XXXX. have very ERT XXXX awards ago, suite we awards far date. had continuation with a $XX utility on customer the we call, our this of included the Environmental have start Risk contract of so by as in off fiscal ash earnings new the that spoke new Nevada, a our we with new approximately announced million an in part long-term of pond ash a marketing Texas won Since Creek, and sales two When

risk concrete sales, demand one-stop will environmental Charah opportunities flow awards, create and XXXX transfer flash come. business remediation byproduct Solutions stated and for cash platform and compliance business call, position backlog years on our additional and existing and customers last remediation wins earnings services with we coupled and for the growing As increasing strong for for the and revenue, beyond. Solutions' We in new for confident and and environmental opportunities with federal our existing services, emphasis remain on Charah at to state continue growth to and levels the that fossil for these new services

During the reclaimed XXXX, utility coal the the at use first quarter million I of for beneficial that ash we at of ponded earlier. tons X.X ash of and Chesterfield mobilized major Dominion operations Energy's southeastern mentioned ponds

We Texas the station municipal acquisition also Texas. reservoir steam and power Creek of in agency's completed the Gibbons electric County, Grimes

the We have and activities site. remediation redevelopment decommissioning begun at

utility of Gibbons We also are opportunity We're the about innovative while to very excited expand assets, help project. and Creek the solutions older to and improving viable our generating or decommission, assets minimizing the maximizing environment. less the excited our about value very partners further retire ERT economically the costs,

and remediation have environmental And to further creative We soon. announcements to evaluate see continue win opportunities provide and through compliance our challenges we expect ERT utilities, new to services. solutions to ERT

Finally, XXXX. the in to I our new continue on our more touch the want to expect announcing strong remains and new about as The outlook opportunities awards for company. for we continue well the business, see bright for that to our we momentum excitement as future

and have Following wins, we over of proposals. billion our pending XXXX $X still year-to-date XXXX

award will additional contract to of are negotiations to revenue stream predictable our announcements further we projects earnings and add in We opportunities more growth. on into and Conversion official soon. expect several make new wins

to additional submit have now between the XXXX. billion end we also We into of visibility opportunities proposals on of an $X which and intend

to new partners and services our the of to speaks our with ability the add nature and new our to of and customers experience awards power essential industry-leading reputation, continue resiliency team. generation Our

the and calls, discussed more prescriptive means are we As remediation. pond previous on of becoming states ash methods have regarding

regulatory guidelines addition, that In the impoundment on ash beneficiation the Protection deadlines. Agency closure believe new accelerate will Environmental we and administration its efforts under its requirements,

movements Charah to Solutions. for as these continue positive see We

customers' service deliver customers am again and way solving we With an industry compliance, our it environmental and and We Charah that help our in I'll safe, As people recycling requirements to and customers with our safety quality, our dedicated of Thanks, power to and for complex every as thank our of leader choice to ideally to Solutions to we address most on employees help their have proud working environmental want needs. to customers are closure Scott. I keeping a turn situated needs. impoundment remain growing CFO. And very business. partner are I Roger, the safely. their our partnered challenges, the producers who continuity our over supporting committed maintain day

continue our I'll our of with and cash provide an a quarter review of and balance our liquidity a results. begin financial on with guidance. update sheet, I'll results review flow, first XXXX

in months pandemic. fossil for project lower in due XXXX X.X%, XX.X% of due compared three by higher primarily months demand increase the expenses months $X.X for revenue previously recognized $XX XXXX. absence the plant Our by ended as from the new driven the implemented compliance million sales, million COVID-XX from in result amendment $XX.X and of an $X.X byproduct of our revenue commencement gross by million compared of COVID-XX staff and loss This resulting in work, partially $XXX,XXX was March a XX, XXXX March a $X.X $XX.X and the Charah a increased XX, net decreased the reductions to power in XX, XXXX, to $XX.X the three the for partially in decrease Solutions, or compliance the on during and we commencement a April XX, cutting profit. or of $X.X XX, compared for lower March was materials of margin offerings. offset sales the ended attributable of increase million XXXX to is of to expenses remediation three increase as result to $X.X our ended months profit million, March part decrease three improvement of in during to as three a or the revenue XXXX profit XXXX. response the ERT credit facility in to production the March XX% incurred The $X.X to quarter of the in an million general that work XX, byproduct million Gross increased believe $X.X ended the ended to of XXXX, million months The by for pandemic, the and first on months increase mentioned primarily an other March previously as due gain XXXX, and as as to type and ended primarily for additional new measures driven mentioned of quarter projects byproduct to administrative million and services to cost offerings lease decrease sales Inc. in first sales million million offerings gross time remediation three offset $XXX,XXX from

of decrease offset partially expenses, from transaction-related $X.X the increase on were ERT of gross absence $XXX,XXX. the services. the an commencement losses due operating or assets income in million income tax of for $XXX,XXX recorded by $X.X months on fixed administrative months net of three expenses the the items and the partially project. to operating the of of ended services other and also changes tax. and XXX% losses operations We at gains EBITDA ERT profit, XX, discontinued million net sales to on the million sales assets Creek offset compared sales gains in Adjusted XXXX, Gibbons other fixed income increases million of general lease, adjusted for March XX, other resulting in These from $X.X income The ended were type of absence These operations the in of increase three mentioned operations $X of ERT XXXX. and from EBITDA and to discontinued and previously and March from and from is increased increase by gain previously mentioned

projects from remediation I've the investor properties. As risk different that calls, environmental for customer-owned transfer at mentioned projects of previous our accounting on is

ERT statement, flow the operations now assets the and changes the consolidated liabilities the statement. to to are our our cash In recognition addition there acquired income on sheet, of statement balance and of

fixed income that be services. statement, where two the lines will the you the of assets line, on This from of flow ERT and is income reflected. and ERT ERT operating transactions the the gains income cash implications On I'll losses above next. other discuss expenses sale will our services from operating we've operating see impacts other and P&L added

cash Now $XX.X and from flow, XXXX, adjusted in and we Creek free million. of flow balance We capital restricted flow cash recognized of liquidity, and of $X.X positive our turning million. of transaction $XX.X cash positive first cash sheet resulting received $XX.X the million, Gibbons cash the operating we to of in expenditures million made quarter

how I free the cash believe accounting flow them in section and ERT for cash align flow for referenced cash change included a restricted cash as net We our expenditures capital define ERT of operational cash restricted free activities the expenditures, cash is investing received ERT dictate proceeds. recorded. We our and cash from because ongoing flow cash to we to and capital used how we plus cash now We requirements cash are order transactions, in operating activities consider to receipts. which of flows received a statement, ERT transactions flows component ERT be As necessitated with adjusted necessary of less the transactions cash include above, define this from exclude operations. from

Specifically, cash of Asset use the Obligations flow. free received Therefore, as investing reductions ERT accurate restricted remediation flow. is or in to those part of to acquired cash our flows, AROs of cash ERT to receipts are arrive that transactions cash and we reflected free and But ERT Retirement include operating these provide cash funded the restricted by cash activities picture transactions from result flow. cash at in an adjusted cash

cash the we due The and primarily due balances March $XXX.X XXXX XX, partially XX, on by cash increase our outstanding line to an and and debt $XX.X Gibbons XXXX, during term of total principal to borrowings $XX.X loans. a the quarter increase On increase debt the compliance million as XX, gross Creek offset increased equipment project. credit, in XXXX, specific restricted of ERT consolidated from payments from million March receipt on to of had in is million. restricted transaction of for and Our of December cash an remediation our

letters XXXX, million in liquidity decrease utilization $XX.X capital. XXXX. million of compared decrease end increased revolver credit approximately March fund was as primarily due The at year availability, in of and liquidity driven by Our to higher XX, $XX.X borrowings working to a was to our

to XX, times XX, debt-to-adjusted decreased net gross X.X leverage, to at reported XXXX decreased calculated on due from as times both March Our December adjusted XXXX from our as as March of XX.X times ratio X.X XX, XX.X XXXX. to EBITDA. And net at end, higher year XX-month times trailing EBITDA improvements leverage

XXXX our address Next, will I guidance.

nature services our produce critical economic to we any discussed current critical previous not diversified we've provide investment a grade to As utilities to base we disruptions beyond to whom must are the uncertainties of due for to level significant uncertainties. of uncertainty, pandemic associated regulated continue our business power through further calls, announced the business created but customers, Though have customers of that and around in control are resulting awards. operations, majority customer seeing ERT the including with mission generation. of of uncertainties significant our the potential recently timing demand-driven currently are COVID-XX power limited startup not also higher awards a including the There disruptions

XXXX of our including affect results. could adversely weather rain hurricanes, our the or impact with moderate As results, excessive temperatures

Inc. of of to XXX to $XX of that, EBITDA call $XXX and flow million guidance this I'll million at net to $XX million; $XX adjusted attributable Solutions, time, million million free million. $X cash to loss the turn With are, We reaffirming our of to Charah the million; ranges. back Scott. to zero; following within $XX Revenue

Thanks, sheet for We hope committed to and long-term on market growth success. agree the expanding positioning balance will our and to environmental the remain take of Roger. that and ratios. value In sustainability our opportunities, company laser to leverage strengthen position while levels continue contract advantage long-term debt to our of continuing closing, offerings, awards, in focus improve reduce and ourselves you service we our expansion enhancing our

come. with you, are again, closely let's and With begin growth many which sustainability for your partners' Thank our operator, Importantly, should Charah provide environmental years potential to with participation. the interest Solutions we for in remediation, initiatives, generation power session. Q&A that, aligned significant

have [Operator a do Michael You the Instructions] question lineup, from Hoffman.

year. sales. basically your to quarter, midpoint, of for talk that, first could very but the to the did cadence EBITDA XX% Thank XX% if only because you about the much at you taking think we questions guidance, the begin your the nice and I you did But in about of

the going get trend year expand may to midpoint continue margin out this through the on come we're of EBITDA to improving, the remainder there, to mix of but the just the actual the So into revenue. see down through based but to flow revenue

the Roger, for question. good this morning, And Michael. is Yeah, thanks

when I an on you think the the one thing I that is sales associated for with to ERT at would transaction. gain lease look quarter first the point the EBITDA type

press expected that talked talked a in we've but had discussed mobilized transaction we increase in just close So comments, the QX ERT year, to XX. Creek did that we call last We release we slip. activity. We fact as Scott's recall, and we've thought but in that got year-end Gibbons on at had slip. - or March And the about - could had we our of in the you'll on

first So, that we did. did guidance our on EBITDA adjust the it based in closing quarter, for which

of EBITDA fourth see would in couple to even of quarters, terms probably typical over sales possibly So the and quarter single up But affecting a that's that's the next the then kind seasonality, of cadence expect driver quarter. right, the you're again. primary kind pick item for of the

Okay.

clear so EBITDA sales how X.X model on pull through, sense. proportioning little makes a everybody's the of and out quarters the the follow Just the more over association to to

That's right.

ask for have Okay. Partners. And any you've they this and I all the S-X remember BCP, IPO, filed in they time. the of then and from can rights, an fact, Capital registration Bernhard behalf at on

which So they've is of the interesting. all asked shares, for

a it the So what I'm shares on perspective curious if liquidity some bad it's all you could some is their why that but plan? Not would and plan? idea, help is give their selling what of the then

morning. see agreement the have not potential improve sale. obviously for agree think any speak BCP. to SEC, on that stone But This versus with on folks think that point your that a also to mentioned, a in by And it can't But to has yesterday. BCP, but our specific not exercised a have serve obviously, where into their has so exactly under of seeing it's of shares the offer liquidity, process all BCP go come focused that can is we and common we registered preexisting No, We our just the I the right, also a you say aware it our you're of rights and subject, can't we declared right. on be that Scott. liquidity to to would positive, although we Hey, shares would for through. lot plans and that to any shares S-X has They shareholders, we registration go, business that we're we effective currently as relates it did that excited any I that the so Good more that their which thanks, base trading stock. Michael. broaden believe that solutions filed

like indication a wrong, a that I know process? or any that very I've there it right. a there I plan but I any like got is acronym radical And mean. you thoughts think XXb-X, of plan, XXb-X either becomes Is and in that, putting programmatic what anyway, about always XXX-b just got

such Scott, having I remains agreement, guess, an a on speculation, but I probably referenced. again, knowledge. probably would are think, not There's Michael, intelligent the as a and specific Yeah, board, rights the on But control little would we be bit, be - I of BCP they considered the obviously, speculating it not that insiders. board, maybe as shareholder

put I time, might kind And or guess not on take, be of logical brief have just think, related just that. just out think they would they know although that. once, when any it versus it right they doing they and just we I a all plans at that's questions thought that plans, your certainly of conversation question acknowledge We're I doing at our again. do direction, program don't any a specific piecemeal, discussed, specific of shares of. their to specific to that Even they blocks anything wouldn't guess, in there to, kind would that be it, as something - expect rather that of So, would approach they exercise of we just the than of create aware that while it kind all to they better or do them provided

I change anyway, there revised so at the agreements, And do of it's Okay. mean, is - credit control some right. all language they couldn't then it in once

right. absolutely under point, great a are That's are credit limitations agreement. certainly the There there

they very related do of three there's and section kind specific limitations what tax also on their So can NOL. other to they're limitations to on

So of we've aware that. actually made them

Okay. And [indiscernible]? said, All wouldn't right. some it I bad incremental like be get liquidity

positive is absolutely. a have interest. Scott certainly trading There Like said, we that from the seen has pick it up as been. we No, see obviously what volume more

we would is anything that the a So increase see liquidity positive.

then, pretty rate byproduct you'd regards with services to And have, feeling sales, given generation. a I for good would Okay. to fossil your think, utilities, relationship the of

to sales So recover are recovery activity enough revenues? to and of a seeing ashes start the generation we therefore support byproduct being produced

that first as generation is ramp an and quarter is yesterday weather see the on year reiterate, upward as to on fully throughout a but, byproduct a the we trend. saw year, again, comments. the see we to to overall, to of the the from year fair kicked of we're good the well. note we well start that of a year and, our and evening of company. low that demand It's this continue we as sales rest Typically, your production, remainder low due the perspective. Michael, a And I as out, just have the off We A byproduct play did Yeah, quarter lag see hopeful kind expect happen that sales, bit side. as and a the we expectation a

least a all Okay, we're and in what revenue to then comparison same for queue, byproduct, then so XQXX? we you by comparing year-over-year March at you have construction breakdown to do know the and the in shared services, XQXX,

provide. certainly We can

certainly real that got just We get go to fingertips, can that the through looking back quick. so K we at Let you. our

reporting each in that revenue will be We that quarter. footnote

comparing have make to, who I mean, knowing helps. living to the guys modeling, a for just what Yeah, I'm

data but possible quarters would just So to the of XXXX showed table if that for it be love that XQ an for one, it just remainder - very and X-K out was the do I'd helpful. that if put a in

are future. we out sure make in the getting can we Yeah, that there

can we'll certainly get I this will we that, tell if end that. you but Yeah, call, get we you on provide before certainly the

to - question what's but Okay. my opportunities? for me, last expunge EnviroSource managed your of And the any from then on contract visibility I've MPXXX now brain

QX some No, really you hope seeing in Happy continued with up but feedback testing slow as advance Michael, of continuing picking forward that's kind positive good publicly least also, and on a customers to some My so moving reception third-party the a financing on getting perspective, we're positive options we're to opportunities to be from good back conversation through really from report really call, good, and there. that, we direction. at We're and just good able of multiple question. know, that's positive a as a news pace. reception to customers report moving financing based well, by lot at would perspective. to great there COVID And going were the there

reporting So near news the good hear to term. really hopefully, in some

Roger. Yeah, it is

in report, now. and hurt, talked that the it inaugural improvement of financing, about a to past coincidental year interest we've year. moving increased is our is balance that, in more we specifics some and deal that's you about a right is published last our not in been sustainability either, as over we're and had the challenge sheet that recycling around which if the we very our way add don't, environmental, EnviroSource. certainly not, so optimistic great seen of Obviously, the I ESG report, that, a but know, specifically Just lot governance social or

increases the providing mean, housing real that are to so. only if in offset two, One, I infrastructure, [indiscernible] materials that's which hit advantage, huge; is going here. would get slammed given multiple cost sustainability the think button, as we them I there cycle any you on. drivers Yeah, I your approach would the just cement their - infrastructure an think spend, And industries,

spot. may things see to XXXX and Michael, all those Portland be excited may have good to tailwinds recently forever. came Association very and a from or out the are XXXX bill and for year-over-year We're then also, Cement demand and increasing you're here you us the seen projected perspective not infrastructure

Terrific. Thanks for the the for start taking questions. Nice luck rest. to the year, good

Thank you.

Michael. you, Thank

next Your is Bowers question [ph]. Tony from

Good Hi. morning, Tony.

Yeah. heard some the Do you morning. about Hi, through? We've - you chain. supply anticipate cut that lot tightness during good a able in guess any as and you've for I period. to Are inflation perhaps the being back expenses to staff bottlenecks and you come re-ramp slow hoped winds

don't any materials is tightening staff lot thanks. as I right and a Scott. and deliver to size our of did be question. there and across we teams Good and as you're Tony, forward, Yeah, short on to the right, see country all standpoint. to we our chain the XXXX know are those end. we the supplies this move services And from and there's disruption take we able supply going measures globe far across in still but a XXXX This concern customers as of right to our

the date take customers came motivated terms and that you Good. that to went, of step that more to it And the the do in potential RFPs? hear scenes XX April behind next is

you're what The April assume CCR the - I asking reg on XX about. CCR deadline is the reg,

Exactly.

Yes.

both coming coming regardless groups And utilities from are a really conclusion. is drivers to partnering federal at new where RFPs reminded really the all drive regional in see together business specific that and it's state to new from level, driving state awards environmental of to the trends and that one areas there, the regulatory as new as folks those we've right And and and to continuing out We conclusion and positive that trends, we're is typically of recycling. the the a level. like activity continue remediation in regulators well think, deadlines, for involves see lot and conclusion us state the we and I past, in as see the

impact no the date. So, on XXth yeah, April

Tony, is And Roger. it

We April did the talking see award Just some to press coming, of I way on. next would think, assume going of wave bit. we mentioned in given kind in some size, to a announced kind and smaller But about medium reference under - seeing - we've that awards that is forward, what the release our the we've have of have the that mediation in regs manifest have model and utilities of about especially Transfer this the it's the is and Risk wave obviously of as deadline press talked kind to type, been the suited size. little preparing, that that some ERT, Environmental seen compliance contracts, participants recently, next we well utilities the well business medium as very about, our for release add of we of a consistently this obviously CCR we've the XX did reference that knew they of prepared kind large smaller

reference at can seeing both wave it the within as ERT. So about we're next places well as opportunities talking

from that in there the should been any believe still kind we range? And Should has win be of surprised away Right. you traded thing you? your rate that's XX% that

more Tony. never that We've thrown that win surprising or number thanks, a front move on we're or weren't fair we our we Yeah, Nothing than on thinking share confident going I already win about. out as forward. share, we're predicting fair will our still percentage hopefully, say there to but

X they numbers, billion large or so. billion, are X

ERT, we'll X that noodling remarks forward that, there's for the to And on in And and we kind are. now end not of billion as really that And be on related numbers. as of side Rogers already X us, those between contemplated business near well, as upside of that's that's XXXX. that's billion point the proposing that to Tony, we're that really Again, in on the continued on. move us. then excites I've what prepared term, They mentioned in

this So to year confident start really about award to us we very and award of the well. got feel the that new being in XXXX eclipse on generation both years the future XXXX, record we record business. XXXXs we're for excited ability as our We've

you busy. very much. Stay Thank

you. Thank

if next breakdown could, to on question taking back just want Operator, I to the different numbers the before by QX Hoffman's categories. XXXX question. the for circle I Michael

the services million, to XXXX, and that sales breaks QX is was revenue down that For was was the construction million in XX.XXX comes XX.XXX and the million million. XX.XXX the million XX.XXX total, and XX.XXX byproduct was way

the close to that wanted just So, on question. loop

And is your [ph]. from next Samuels question Craig

How guys. morning, you? Good are

Good. Thanks. How are you?

quantify typical you. I hoping story. what EnviroSource am front, can I'm Thank to And deal new a good. you may a relatively look like. Pretty that little the on the bit

You the be competitive typical, is given have that it we've competitive basis, But I of without scalable, cost cost and of units. to you CapEx a of that that to the all. is when are the not for even - a that really I often for there not it's out the have talked that the being, a essentially, believe that like regulations. we to a it with and you we we kind yet, subsidized to they're they're all competition need it not others high about isn't are way deal easiest cost ratepayer get specific the know, cost by reasons, There about able even under we're the that a sense publicly some own tend very, of we the modular, order at with, EnviroSource be Whereas be finance fraction we is in very something fact, then, pencils a equipment. very to negotiating maybe We've kind make now a, on is the to would our - say say, guess in by competition. have certainly - where utility relief the discussions the is We've EnviroSource utilities to I fits plant utility fraction in profile, we mini-power favorably out the equipment a have are to where would on the talked necessarily of giving and and one-size consistently They driven that finance the utilities. the fact providing numbers one say Craig, that at put program situation typical their it. I'd

So like It with there's customers ready JV end the could a even be the many different use mix. models.

of where replaced. it. remediation scalable going from take kind more to a and out a beauty and a up demand offline of diminishes, as to coal to to to more positive just at taken the to and both And their the recycle are very do a going the well it's a to And clean a way options it's plants the need fantastic get lot of ash is that's supply meet be So site, it utility it, that's of there the live PR being it level. gives of as able ground a win-win

Got it. this? color to provide Do you respect additional going plan in forward to

be I that. defined, mean, I will see would just our think we that you'll our structure talk depending especially to you - the we able see things that you'd see in in of through Yeah. sheet. about statements, I if on But type come owned financial balance it,

that they we're and price out plan regions, is and discussed the say our saying these just - what had is, will that we exactly these constructing competitive that per nicely. we caveat like of fly what large in kind a what But and where costs, Florida, by markets and to these the not to I live really going higher areas and not and reasons. fly would Now, there's certainly are what of be out where for come deploying from an Rockies is West, where Northeast, ton basically building you'd think but demand infrastructure about construction perspective. ash of a Texas, supply pencil spec ash, these That's the

anything as you of type reservoir haven't I offering near Do the have collapse. for discussion media surrounding Florida, it. lot been a an any in of toxic you there's regarding guys remediation? And wastewater know, wastewater. Got seen wastewater

So a that's and following we've good Craig, well. everything Florida question, in as been

wastewater So something perspective, our a that's from it's core. in that not no,

because and the down situation fit our However, is there, we as from well kind services of we remediation are Point, down watching nicely well. that believe impoundments as that it other all I use those suite a of there recycling standpoint, in closely and how Piney Florida impacts

down a on there projects basis. working watch continue that are happens we'll and some regulatory what from We on type similar standpoint to

not in that's something far could But that definitely into treatment something the as as move we So is we pure future. concerned, focus be - wastewater wastewater that that on.

Got it.

you stated Okay. landscape, that not win other sure And explicitly mentioned, company for I'm your seen far somebody around public is the haven't any competitive that comping then although XX%. rate as typically with as compete I've you purposes.

So who exactly are the other XX%?

level and provide these services all remediation, services there's quality high There's ERT, that of the the So do no all our byproduct really a focus offers we right, you we we at do, on sales, safety that think we one base that full when different us. and about breadth very our that and depth compliance, things no comps these exactly you're to customer sole one that - and performance. of

So service a when and fragmented it's about the also straight offering. there's into get by comp winning when service but the somewhat who's basis very on other it's really question service a you not you projects, geographically, some ask of fragmented

providing depth are we no base. customer scale for the one So all of services this and same at these that

on billion it. when Got have to proposals, answers? pending And would then the expect you X of

I to continues of some, that be the course lose billion X years. We win over Yeah, the fluid. we some mean,

of So by between on in here get hand those cycle said we've we'll the and that XXXX. in we through two of we about proposals now something here other I the billion end to start of, before, then And mean, like next think hopefully bidding to and the hope year would X I the talked that's well that years. as end some

it. last bigger Got And question then of picture. kind is a

I'm stock of balance considerably business of better where on ago, you of your one divested little bigger so perspective Street's IPO. a your you having upwards. I and went all what half, bit couple time where changed lower guys IPO You term moving the now? you and were just business. the trending Things to sheet then think considerably now a able $XX a you're you versus years little perspective back and Are at lines of are now cut shares you is your what as are and where company bit was excitement if and just the in a give wondering and could like of XXXX, with a to in give and looked dropped in public the the the direction, right

compliance sales, at rearview and one highs and thanks. you portion of Yeah, question. allowed focus laser to 'XX tailwinds of as business addressable tail we around long year market. that those where now. remediation really large our No, and has excited is right the mirror Great we're of documented see mentioned, that of today our there's it on business ash lows about, a what really end really and the and XXXX divested all in And lot the last the pivot where I that us business think see we to is legacy focus the the by product on and have really growth we between

strong to that's So of move stated, today. sheet, and, here. the as year-over-year that where future looking balance footing, up in ourselves the we've as really transition of on are we A really cleaned new and really really we to awards period lot the forward, time you forward put

All much. right, great. Thanks so

you. Great, thank

questions at time. further no are this There

everyone and else interest you. operator right, speaking you, with everyone thanks I again thank for to Thank appreciate joining. forward always the as look in All August. and

This call. conference concludes today's

disconnect. now may You