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Charah Solutions (CHRA)

Participants
Steve Brehm Vice President, Legal Affairs & Corporate Secretary
Scott Sewell President & Chief Executive Officer
Roger Shannon Chief Financial Officer & Treasurer
Brian Butler Stifel
Call transcript
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Operator

Good morning, ladies and gentlemen. And welcome to Charah Solutions Inc.'s Second 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 like to now hand the conference over to Steve Brehm, Vice President of Legal Affairs and Corporate Secretary for Charah Solutions. ahead. go Please

Steve Brehm

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

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

to remarks, question-and-answer prepared we customary back come will the their session. Following

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

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

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

Scott Sewell

for joining and today. earnings Thank you our morning, call everyone. Thanks, for good us Steve,

opportunities on for capitalize to continued we quarter, business. significant second the During new

update half. I'll refinancing we posted see to financial in review advancing for as path morning, winning $XXX progress million significantly debt, us This our plans totaled had business. on quarter to record flexibility our This of for expect and will the highly far results strong awards, in of also year the through us. was awards our also a a for which and during to briefly will bank you early review awards which puts additions this our improved financial pipeline, Roger significantly projects. exceed the our Board Directors. to recent quarter We second new to also our grow a ESG which so continue successful our in our new $XXX then financial we quarter. We've I'll pace performance initiatives, this our on review in bid year He August. the million received of terms XXXX, and

The power and to to ability total for Our includes awards services, experience, our and fossil team. These this our remediation call of sales, the first since new million awards environmental $XXX recent byproduct our earnings our and essential across continue resiliency the lines, reputation, compliance, our of and nature new partners with generation of received risk quarter new business services. all in are transfer mid-May. ERT speaks awards services industry-leading year-to-date customers to add

fossil generating services for our the ERT assets. to address looking one-stop economically with viable or retiring compelling to challenges and economic be solution a older less continue customers Our businesses environmental associated

operation when in a Lake of plant plant coal is Ohio potential Taheri. from the the this about Avon business. Lake seizes excited in a reached we In are acquire to the Avon along grow May, binding next to XXX-megawatt GenOn April We agreement year. plant

sustainable redevelopment in site Texas. and demolition for responsibility at as Gibbons assume ERT are doing we will We of the our project environmental the remediation of and Creek plant

Speaking of this on we Demolition year. of the the to ash pond Remediation continued schedule. ongoing and of Creek, the site. completed activity plant is to at up ramp is during quarter, and largely expected the be Gibbons is underway

We redevelopment are the nearing the plan finalization for of site.

We utility. other also up track. project ash The which and continue in in projects include at year ramp A which position large for totaled removal closure these on major the cash for large have two to projects Dominion growth date, that remediation by to These earlier portion projects remediation pond a we this we projects Energy and ash These coal this significant revenue, the started and work will $X.X a long-term activity Southeast to reclamation southeast year. take strong earnings, in on and complete. several next. of new awards received, are us XXXX flow years business billion are awards XXXX and for

have we This average contract we billion and weighted hear in years years have our of XXXX. received Notwithstanding result, approximately life balance of has currently durability flow extended the in over of expect we $X remaining and visibility year we to awards still already, provides proposals life revenue, a contract three and significant As pending this have past. greater the in increased than had XXXX. approximately the from on which approximately earnings, cash to six

the we year second us. result in another half noted, for award record additional in I that expect As announcements should

identified of We to also across billion opportunities our businesses. $X close have

very We to stream for predictability that additional add well our business are some the environment into further these the favorable optimistic to into layer on revenue The new for converting our will prospects about growth future. of and the business. continues opportunities be of regulatory

regarding on calls, the administration means become believe level, ash the requirements, impoundment guidelines, ash deadlines. remediation. the states and have methods Agency of Protection pond we efforts will prescriptive closure on beneficiation we At under the its continuing are federal more previous and Environmental regulatory accelerate to As Biden discussed

power situated quality, on deliver leader closure we their and the industry ideally As of needs. customer's and choice generation most and compliance, requirements our companies in partner safety, impoundment for are challenges as utilities help and solving environmental an complex to

addition, support. sales would proposed economic If bipartisan $X to ash concrete as trillion The and environmental In business concrete our fly attractive we cement alternative time concrete ready-mix in production to serves bill byproduct administration and Biden the has over from benefit over in an as infrastructure enacted, a for Portland period. of has investment demand increasing multi-year products. the expect

ESG Next, I'd our on like to touch initiatives.

at As remediation and and natural and practice beneficial emissions, we ash, inaugural capabilities, is conservation We recycling noted In ESG redevelopment this sustainability business. the waterwaste. in coal disposal, of land heart laid our environmental, the activities earlier of protect conserve report objectives These report, our recovery diversity the and reporting closure our in and through gas key resources, community resource safety. inclusion, services, of and year, and decrease impoundment commercial landfill ash data the use. greenhouse the we and of XXXX reduce areas acquisition for out

is lower. and this X.XX record lost ahead or recordable plan excellent to track site rate to these on on to goals. our a unsafe are inspections we just total safety and Also, injuries year-to-date our quality of have X.XX, We and we undertook or quality maintained observations. of incident below a improve respect observations of with which steps time To of cite examples, zero near the focus with of the miss goal safety, few on our reporting

the of both amount implemented terms have and of energy, environmental, have methods cross-training our to and fuel notices consumption electrical of site quality of acquisition or at are we and of Year-to-date, production track and any violation developing audits deficiency. On level to of increase the reporting, not notices waste. sessions In site received disposal water, and of we we data and implementing inspections. our

industries annual and meeting growth, trusted is Dennis talent. are announce more another frequent that in earnings public services, area, for He to more developing July. in innovative or use unlock XX energy, has advisor and and has California recently, utility, the call, Public sciences on expertise of in of since infrastructure, He across consumption industries, Directors global effective emerging infrastructure, has Alan sector. inclusion. partner pleased developed have Dennis the three Whalen joined been diversity. Board members at KPMG our and Board the and energy, of our deep with More manufacturing, public and the years value to a Board experience, construction, to Timothy qualified Commission markets. strategy, June. also serves ways We water with also experience our individuals primarily our to brings both and to shaping driving risk a energy projects dynamic first looking having utility of water. in XXXX he I'm industrial on our served Simon financial and we a long-term leaders XXXX. life years power Timothy added recycled In an to aligning Utilities the a been highly retired important on has in reduce in attorney quarter as broadband than XX and than to the senior of from consultant of create Directors. strategy senior understanding diversity, governance He Board joined a and speaker of is

our financial to provide and our background customers solutions experience performance. helpful tremendously innovative accelerating M. business be that we expect Kenneth Board management We and team to will while Timothy's continue as to and

CEO forward to the is last contributions B. our President B. Board has the closed equity Financial primarily joined and executive, experience, Principal than director Young of Kenny to basis. operational, global a his and of B. years and of industries look energy, Riley We communications, our finance issuance XX Riley on effective He Investments. more with Riley, week. which within to Board.

call over and who to every and Charah the needs. turn like our dedicated the employees and Shannon, ensure recycling are address to over keeping growing CFO. environmental that, their business. to our reliability, With remain customers turning help our to I'll service, our day I'd Roger working Before people supporting We customers, our it to committed safe, to thank Roger, Solutions

Roger Shannon

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

also noted, Scott will refinancing. our As I address

would the Before business. on ERT lines ERT remind lines XXXX our year-to-date is adjusted two loss are ERT ERT Thus, included services I'll in is second for other captured gains different you quarter services reviewing EBITDA. the on treatment net our results for the results, operating with our three or income that business included and of not and expenses second of that and profit other our I in is from in to sales and revenues our income from start quarter statement, accounting property our like results. Profit gross and equipment services. operating

the services compliance to XXXX. $XX.X of This the quarter a from increase due LLC due offset the compared shipping commencement services decrease increase to $XX.X million project completions $X increase million million revenue fossil $X.X primarily of joint in Ash to remediation second million partially quarter, and byproduct in by $XX.X in and by rates decrease second an and in work, for million as XXXX. dissolution a Ventures, XX% of $XX.X was revenues revenue increased a For or to second driven the sales new of million the quarter in our in venture project

or project the decrease to increased for The million to QX profit second of services profit our $X.X million $X.X Our million increase The XXXX, and $XXX,XXX $X.X joint during completions. general ERT a a work and sold This gross or our other partially quarter margin quarter of from operations agreement sales business million of purchase Solutions the and in our project a the for for November reflect the of as XXXX. LLC $X.X services an profit of resulting million in $X.X equipment, administrative XX% increase $X.X the in and offset Creek XX% compared from XXXX. gross net due of Ash $XXX,XXX to decrease gross EBITDA of million certain discontinued and second which sale in second of million year operating of operations, an remediation increased assets. from primarily offset on to the of quarter of second profit adjusted project of of increase million by with increased expense. commencement attributable third-party from our loss in XXXX. primarily period; absence second million; million grinding-related by driven the $X.X increase $X allied on new gross ERT increased Ventures, These and in our operations services recorded a in discussed, profit as expenses by the to Discontinued gains completion quarter net to XXXX profit, of tax negative from the XXXX. income was the commencement compliance a subsidiary, property of QX to variances ago was to compared $X.X sales gross the at byproduct to we in previously $X.X to loss on quarter due the compared and Gibbons fossil partially due as for in were venture and $X.X million gross dissolution better asset Charah

gains to For pandemic the power part second levels in results as were million decreased XXXX and $X.X on the the six to The factors. XXXX, to quarter Fossil quarter was June XX, due the $XX.X primarily first increase $XX our $XX.X lower from byproduct projects and from other and income sales increased as gross in other generation first new quarter compared sales million and the by gross the and the offset by to impact of remediation offset the $X.X general completions. to compliance and quarter. partially ramping due of to was $XXX.X XX% operating decreased absence profit of decreased associated due or Gross first of occurred expenses slightly attributable to to services, $XX.X profit, net, from to increase for in as the the probable mostly lease; and or of million gross XXXX the as $XXX.X our or in from gain revenue COVID-XX $XX variances the ended amending to profit our revenue services increased to months positive a loss credit new months of Net loss primarily for ERT lower XX% for These of the The year decreased partially tax million of in operations, the XXXX. sales-type as $XX.X remediation work, profit levels property of in in increase to was primarily expenses of six expenses. equipment first occurred two Adjusted the million and in net and period. for increase pre-pandemic second absence Byproduct million million XXXX. in project second EBITDA $X.X by $XX.X recorded million XXXX. administrative million compared project comparable six the attributable discontinued sales compared six-month as fossil Solutions services. $X.X in period to partially months were a six XX% offset XXXX. to first million due million compared on compliance mostly to Charah follows: XXXX; of The compared facility million to on months services of attributable with increased the slightly

the in and Now of XXXX. from flow discontinued quarter absence to which liquidity. million second the the of million operations, to The quarter turning decrease $XX.X cash of the in significant balance flow attributable was declined second our sheet, from negative quarter to Operating of flow, $X.X cash was partially positive in XXXX. second XXXX cash

During second of the we received $X.X XXXX, made capital of cash of adjusted property resulting in $X.X expenditures, equipment cash $X.X we net, the million and of quarter free from and of flow sale negative million. million

was increase For period. the from six first cash adjustments offset million to in to partially favorable changes comparable XXXX flow increased capital, to non-cash million primarily The of operating million working the $X.X income. in XXXX, $XX.X $X by months attributable

XXXX, six of the million. we $X.X During made capital first months expenditures of

$XX.X from ERT of cash cash equipment, million sale million from and million. In and flow terms transaction of the of in restricted inflows, we Creek the adjusted cash of Gibbons free resulting of cash received $XX.X $X.X

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

approximately Our June as million $XX.X slightly XXXX. XX, of liquidity million than XXXX, was $XX.X the March XX, lower at

net as-reported not credit credit X.Xx June than to and our XX, calculation as-reported our our to our And XXXX, as did Our leverage of of as-reported credit XXXX. X.Xx our leverage ratio our by June the leverage primarily facility gross that budget March We our as did from different XX, higher calculation. anticipated, because X.Xx at the ratio were is at X.Xx Note leverage meet from net leverage EBITDA calculated leverage. to improved to facility not XXth at XXXX, that XX, improved facility of XXXX, at June timing adjusted we March from we although debt XX, net closer than leverage agreement, required meet had because significantly levels certain debt level assumptions. the was covenant credit test X.Xx

not also it. ratio, very meet were coverage we fixed meeting the close to did charge although We

an We XXXX. our week agreed amendment June such appreciative to the of who for waiver financial to a the of required are covenants XX, lenders covenant September last by for XXXX, support and XX,

and previous $X structure repaid maturity the our our in would outstanding due our at to have associated address plan near-term The we amendment allows the accrued amendment financial otherwise agreement, and the us profile on focus efforts million to flexibility the additional debt. XXXX. fee increases maturity to credit been and an a of under credit consideration, the of $X facility million loans As with previously which

a to detail with forward plan on look future, our working may I'm existing more to under refinance as I but have debt. you sharing the laws, on this seen, additional call. to constrained you you in today As we to are providing information securities

Of other our conditions conditions. course, to plans market and are subject

As share B. for price proceeds part million to of refinancing a of $XX issued Riley our plan, at million. common shares per approximately X.X of $X.XX approximately we

In addition, this completion an to place asset-backed planned national post we refinancing. bank lending put of are working with leading a facility in

beneficial future our year would the following reaffirming the are borrowing, we time, million million; provide a security within not As Charah guidance. Inc. in $X million of in $XX by terms revenue to we this our net and financing addressing guidance zero; EBITDA undertaking or for full would $XXX of million, does Solutions cash our assets, anticipated $XX XXXX refinancing equipment flow project-based new ranges: in conclude interest be be less to $XX constrained adjusted At new growth. I'll million. $XXX of million loss $XX to of adjusted free of attributable to to million which

benefit we our an half EBITDA, from year. that the second look Gibbons the in reflected half year, contribution As to not project be income though Creek revenues. should relative operating to and the Recall will increased results ERT in of first the adjusted from this of

of ramping projects. second large results recent of and continued since the half driver Another compliance new remediation awards, including

In addition, see during that of half first projects year. or other ongoing the certain in we improvement expect adverse issues weather to the experienced

adjusted were expected This free restricted cash Creek cash in implies $XX.X the this year of of when attributable this the to year inflows the is As ramp guidance XXXX. $XX closed in cash be to remediation primarily I the The noted, for our Recall second for for outcome that is to and continue transaction $XX.X million, into had our half and the we million. expect we February which the cash we half negative. this Results in demolition of will first range $XX timing million XXXX cash flow outlays project. up over balance at Gibbons that million and receipts of year. of of outflows results ERT

in discussed our As I'll earnings on turn more certain Scott. release. that, we've guidance assumptions, With which previous calls, predicated back our detail discussed in is in the to call are

Scott Sewell

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

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

Operator

[Operator the Instructions] [ph]. Your Ag with Bowers question line from Tony of comes first Intra

Unidentified Analyst

believe prospect facilities. quarter. I haven't the this you, on samples clients for heard And In talked EnviroSource. quite progress your a edge nice about anything few past, Nice business. I winning competitive a for the about put being through we've different you've pilot

on So give that's update an can you looking? us how

Scott Sewell

ESG Sure, the continue all question. that a lot else. our talk sorry. when something appreciate I Brian. -- we're and initiatives on, quarter about EnviroSource that to is everything be we in obviously the one laser-focused Tony, of Definitely, busy and and things we of especially

So continue two the make working closely potential to bring on of good progress half customers with market. throughout the year to one back here EnviroSource, very to

the going details new about but of our due that our SEC plan, insight plan prepared flexibility that. remarks, some about and can guidelines, else opportunities you debt things know we're of We the and you is that work excited provide gave or going into I to be us. we one hopefully, little the the more of discuss in is can't Roger flexibility. as things his Roger, us excites a want on But our to to So growth forward. give refinancing appreciate, really, hearing updates anything of bit one add? me some restructuring we're the to really on us exciting move more as doing you'll

Roger Shannon

of that, along we We'll obviously of forward we we very last we supportive that later, with to expect in release. able completely that these would more did we'll we've be our alternatives financing finalize the to these have work refer some of earnings -- have with potential filings I right. technology our we been looking kind customers the we with but talk agree table, that those But That's remain, once with and call, and but yesterday the on on and we as a deal to the to with better SEC will evening to kind working which been that. significantly have the and in put we'll everyone back until future, talked holding view providers increased initiatives be think flexibility on able have certainly, the be we what better. be

Scott Sewell

But the long story short, interest continues to be strong soon. for EnviroSource, and hope to have something

Unidentified Analyst

to EnviroSource to So this, your you the that of sheet interpret an ability remove balance of actually own to provide will implementation? impediment

Scott Sewell

correct. That's

Roger Shannon

right. That's

Unidentified Analyst

Fair Thank you. enough.

Scott Sewell

Tony. you, Thank

coming And sorry queue, the name for the I looking the mix-up Brian's was and were there. early was on on queue, you at and through.

the appreciate as I So always. question,

Operator

next comes of from with Butler question the line Brian Our Stifel.

Brian Butler

mean, talk And can for quarter kind the through how I just the that fourth segments the EBITDA growth. pace quarter other? of to about first, in the the versus see of revenue kind the and weighted quarter? where talked third full the maybe it Just think back the year? about and one half guidance we we the for Is

Scott Sewell

Sure.

was the of at the in stated, think least guidance. we I that reaffirming one earnings things really call,

to half year. the of confident continue the back very We in be

the balance of quarter-to-quarter QX shift going not and feel going for one Our the the to to lay year. in very, but where was going to things of kind plan of solid best -- be still were very of quarters we knew our here, we're year

$XX $XXX between between XX million. adjusted million, revenues Our EBITDA and

ramp, the back are balance more Roger, a if as projects year. the details half. half? little reaffirming of the our to we going And back to strong on the a want bit you of talk still So have

Roger Shannon

ERT in in Yes. we -- our an contribution had uptick from the the expected we budget, It's -- projects.

about, then other not property. -- Creek Gibbons ERT the P&L equipment flow some rather do QX the we offset expense impacted through weather revenue at from operating did services. but sale and were go property lines the ERT and by through we have net is As and projects on profit, significantly the events gain in We gross on of talked new two our

up have So that contribution expected. the the quarter been the things was and less through for second picked than of rest rescheduled year. But

to a year. So we of make expect course that recovery the that the is over

a segments about. look quarter reflects awards that expected. had from at compliance, forward, million we just for wound of the contracts some in these projects QX to As of the revenue these of into QX talked different sales, strong million in that to QX to under sequential was we $XX.X increase of very warmer under the well as from ramp-up as we both remediation service during you year-to-date and is then and in compared down improvement at a and we've increased services Byproduct got compliance a from and expected obviously, the and used That just $XX QX, plants. across from in we concrete QX. to million as going $XX have QX. as resulted transition had talked a more new that million in that and a We $XX quarter decrease start-up did seasonally some production months remediation the We

some like kind million to prepared $XX QX. of termination said of some Mainly, the So we went $XX.X as reemerged we remediation downs that QX projects. or projects some services in from remarks, wind million in in about been about on

Brian Butler

Okay. Would I just know But it revenues? just thinking it of through be fair the it. on to kind impact segment the through ERT doesn't the the revenues. think Because

going see fourth to at some at is material million quarter, you're third and as then fair it and look product a it at to improvements for fair it? run to the that $XX-plus construction the pace the that way contracts So in of quarter, sales kind look Is services?

Roger Shannon

like remarks, I mobilized are construction I the getting utility Because the ramping those large continue two think projects, of Well, at contracts. we the we'll over in of quarter going. had kind to in see southeastern kind prepared said

in we're the additional not there but in QX on yet full some was there kind QX, of there So contribution wasn't that ramp.

continue. will year. will over the project, the to that that So Same thing of pick the course on continue up Dominion

of Byproduct getting year. the from R&C the pickup out in over a construction once continues same is ash just sales infrastructure kind the the production pick customers from you as benefits see although usage from we'll and of in expect and our see been driving where sales, and to want were we in think continued point from demand going year, the the a events bill or expect ERT, but guidance that again So And this that's pickup in, from of think not signed, will sequential the quarter I up important in projects rest as type hasn't And on be second some that over comes significant to closer of it thing, in don't pretty our we year this that increase and course versus concrete fly yet significant that then tailwind we specifically there go the kind -- pickup, I be with recovery significant of weather-related giving I we half a an Gibbons Services, of cement the substitute. the consistent will I necessarily of including revenue, probably progressing like into quarter. said, QX through concrete. well. next,

Brian Butler

helpful. that's Okay,

million, ERT, the it half if the I've was calculated in ERT first on So about correctly. $X.X

That's from that, quarter. than the little a So be the you're if half correct? second better bit making should up especially second slower

Roger Shannon

No, I yes, that's right. right. well, That's -- would

from the had an we QX had that year. in number a from over project So big ERT carried previous

higher of for scrap significant in expectations -- we QX, our affected So number QX, the the area the -- Creek QX, a in number that's of sales The Gibbons in QX in rain amount starting number Gibbons correct. of had quarter. kind a

the from they than so less $X in from year. previous So $X we've addition million Gibbons net to when are contribution $X.X over in around million far million the carried had

a we -- It Gibbons you're the second pickup will expect half over Creek. of significant So do year the from correct.

Brian Butler

on then, award -- award for on realistically months? $XXX we I it, -- what's are I the or looking that $XXX that The that exceeding million? contract in kind mean, big mean, at call six sorry, I'm the can at in build of million XXXX of be? million, say And I I the you're Okay. it didn't How next, mean second can looking significantly level pipeline guess, half, be awarded close on the I -- $XXX right. the that the book

Scott Sewell

question. Great Brian. Yes,

for and with sitting year-to-date our You 'XX $XXX that new The progress And million continuing new beating pipeline make now, we discussed, year pipeline. work converting the right We're customers on and awards. a very the of of to being at with billions award think the about about XX this us, dollars next million. getting and 'XX $XXX XXXX for significant record to of significantly here -- ability hard in number put eclipse year's last near we new When feel to half our think year, billions about couple awards. of it, of term, we an to on we're the but the back good exact us record convert. -- next years

whether or at to that range on continuing XXXX the that awards exact it right into on about into talking number if of several have to to we a stream give working that predictable and higher that in very excite put on the There's close falls And go future. and all convert can early line you're an but earnings and we're had XXXX that very on grow previous that are to or successes -- say paths even But good clear too in that falls are stream now We kind that to still it us point. we've sight we that of that. build have optimism new continue definitely that the is I we contracted. very and being revenue this pipeline in can couple us, than of

Brian Butler

demand that's pointed And beneficial. start do infrastructure of bill we Is cement? flowed even increased if potentially for XXXX? could a on great. gets it maybe the it see you be really Or the is further me that one money and think about you for you that out How kind benefits? timing of that Okay, one that see to that the than last that out when

Scott Sewell

-- for beyond, even likely. the bill, could Yes. see from zero in impact the 'XX actually guessing. back be and and 'XX, demand the in this But without demand half Definitely, to like. bill continues most would our services increase. some the really for ball the Any side depending crystal what it see products XXXX, we looking into would we answer impact on 'XX here really to looks But and of infrastructure --

relying come added the definitely value not on think that's demand if that, it So added we'll we're in and future does just to but we something provide that fruition.

Operator

are At there like call the to turn any would management to no time, this Instructions] for I questions. [Operator further back over closing remarks.

Scott Sewell

next and Great. talking look to to as the forward you, your you quarter. always, I the Thank we on everyone, appreciate, you. Thank you, operator, interest thank and business call. in

Operator

gentlemen, conclude thank for conference. participating. that We and does Ladies you today's

disconnect. now may You