– моментальные уведомления о рынке акций
– моментальные уведомления о рынке акций
- Ongoing Delays Represents Headwinds to Current Year While Strong Awards Drive Longer-Term Tailwinds -
TYSONS, Va.--(BUSINESS WIRE)--Maximus (NYSE: MMS), a leading provider of government services worldwide, reported financial results for the three and six months ended March 31, 2022.
Highlights for the second quarter of fiscal year 2022 include:
"Results for the second quarter reflected our expectations for the business, which continues to face delays that we firmly believe to be temporary. As evidenced by strong bookings year-to-date, the business continues to be well positioned as these policy and COVID-related delays abate," shared Bruce Caswell, President and Chief Executive Officer. "Our new awards, virtually all of which are longer-term in nature, underscore our business model and prove the durability of Maximus and our ability to use strategic M&A to grow market share."
Second Quarter Results
Revenue for the second quarter of fiscal year 2022 increased 22.7% to $1.18 billion, compared to $959.3 million for the prior year period. The $218.0 million increase was principally driven by anticipated contributions from the U.S. Federal Services Segment acquisitions and the U.K. Restart Programme in the Outside the U.S. Segment. These increases were offset by expected declines in short-term COVID-19 response work. Organic revenue for the second quarter of fiscal 2022 remained relatively flat while adjusting for COVID-19 response work, normalized organic growth would be approximately 20% over the prior year period.
Earnings results in the second quarter of fiscal year 2022 reflected expectations for lower earnings caused primarily by delays in our core programs returning to pre-pandemic levels as the COVID-19 response work continues its predicted decline. Operating income totaled $75.3 million yielding an operating margin of 6.4%, or 8.3% adjusting for amortization of intangible assets. This compares to an operating margin of 11.8% for the prior year period, or 12.3% adjusting for amortization. Diluted earnings per share were $0.80, or $1.07 adjusting for amortization as compared to $1.29 per share, or $1.35 adjusting for amortization, for the prior year period.
U.S. Services Segment
The U.S. Services Segment reported revenue of $398.1 million for the second quarter of fiscal year 2022 compared to $448.2 million reported in the prior year period. The revenue decline was due to the expected reduction in short-term COVID-19 response work. Adjusting for this work, normalized organic growth in the segment would be approximately 25% driven by ramping of new work, including COVID-19 response work that has evolved into longer-term work with new customers gained during the pandemic.
Operating margin for the second quarter of fiscal year 2022 was 11.7% for the segment compared to 18.5% reported for the prior year period. Expected declines in profitable, short term COVID-19 response work while the redetermination activities tied to the PHE remain paused were responsible for the lower comparative margin.
U.S. Federal Services Segment
U.S. Federal Services Segment revenue for the second quarter of fiscal year 2022 increased 74% to $573.3 million, compared to $330.1 million reported for the prior year. Growth was driven by expected contributions from the acquisitions of Attain Federal, VES, and Aidvantage. Organic revenue in the segment for the second quarter of fiscal 2022 increased approximately 9%. Adjusting for COVID-19 response work, normalized organic growth in the segment would be approximately 13% over the prior year period.
The segment's operating margin for the second quarter of fiscal year 2022 was 8.1% as compared to 7.0% reported for the prior year period. Contributions from the Attain Federal and VES acquisitions improved margins in the segment but were tempered by impacts from the Aidvantage business. Costs tied to the transition from the prior provider were higher than anticipated and the continued delay in return to repayment resulted in reduced revenue and lower profitability in the quarter.
Outside the U.S. Segment
Outside the U.S. Segment revenue for the second quarter of fiscal year 2022 increased 13.8% to $206.0 million as compared to $180.9 million reported for the prior year. The primary driver of growth was ramping of the U.K. Restart Programme.
The segment's operating margin for the second quarter of fiscal year 2022 was 2.1%. The margin for the prior year period of 8.3% benefited from above average performance in Australia. Results for this quarter benefited from stronger than anticipated performance on the U.K. Restart Programme which achieved profitability ahead of schedule. This is tempered by future volume reductions on the largest employment services contract in Australia following a rebid process.
Sales and Pipeline
Year-to-date signed contract awards at March 31, 2022, totaled $1.47 billion and contracts pending (awarded but unsigned) totaled $1.75 billion. The awards are comprised of longer periods of performance that reflect solid, long-term drivers in the business.
The sales pipeline at March 31, 2022, was $29.8 billion (comprised of approximately $7.4 billion in proposals pending, $3.6 billion in proposals in preparation, and $18.8 billion in opportunities tracking). New work opportunities represent approximately 55% of the total sales pipeline.
Balance Sheet and Cash Flows
At March 31, 2022, cash and cash equivalents totaled $92.6 million and gross debt was $1.46 billion. The ratio of debt, net of allowed cash, to pro-forma EBITDA for the quarter ended March 31, 2022, as calculated in accordance with our credit agreement, was 2.4x.
For the second quarter of fiscal year 2022, cash flows were strong as anticipated. Cash from operating activities totaled $114.8 million, and free cash flow was $98.2 million.
As of March 31, 2022, Days Sales Outstanding (DSO) were 68 days and within the Company's typical range of 65 to 80 days.
Purchases of Maximus common stock totaled $24.5 million in the second quarter of fiscal year 2022.
On April 8, 2022, our Board of Directors declared a quarterly cash dividend of $0.28 for each share of our common stock outstanding. The dividend is payable on May 31, 2022, to shareholders of record on May 13, 2022.
Revised Earnings Guidance
The Company is maintaining revenue guidance for fiscal year 2022 with revenue expected to range between $4.5 billion and $4.7 billion. Earnings guidance is revised following further extensions of the ongoing PHE and other delays. Diluted earnings per share (DEPS) is expected to range between $3.00 and $3.50 per share, or between $4.07 and $4.57 per share adjusting for amortization of intangible assets.
The reduction to earnings guidance is comprised of three primary components. First, the PHE has been extended through mid-July, which is approximately $0.30 DEPS of estimated impact for the one-quarter delay. The Company has further lowered the bottom end of earnings guidance to allow for an additional PHE extension through mid-October, representing an additional $0.30 DEPS of estimated impact. Second, further delays on ramping of new work in the U.S. Services and Outside the U.S. segments reduced guidance by an estimated $0.20 DEPS. These delays are believed to be temporary and are partly attributable to ongoing COVID-19 disruptions. Third, the revised expectations for the Australia employment services rebid result in an estimated DEPS reduction of approximately $0.15; the impact is outsized in fiscal year 2022 compared to subsequent periods and includes severance charges in the third quarter.
For fiscal year 2022, cash flows from operations are expected to range between $225 million and $300 million, and free cash flow to range between $175 million and $250 million in fiscal year 2022. The effective income tax rate is expected to range between 24.5% and 25.5%, weighted average shares outstanding to range between 62.0 million and 62.2 million, absent significant share purchase activity, and interest expense to range between $40 million and $42 million for fiscal year 2022.
"While pandemic-related delays continue to constrain our fiscal 2022 earnings, I am encouraged by the potential of our business next fiscal year and beyond once the uncertainties of the pandemic are behind us. In the meantime, we continue to build momentum for the business," Caswell continued. "We believe the long-term macroeconomic drivers favor our business as we continue to be a valuable partner to government with growing capabilities. I look forward to sharing more, including our refreshed 3-to-5-year strategy for Maximus, on our Investor Day on May 24, 2022."
Conference Call and Webcast Information
Maximus will host a conference call tomorrow, May 5, 2022, at 9:00 a.m. (ET). Shareholders are invited to submit questions for management’s consideration by emailing IR@maximus.com up to one hour prior to the call.
The call is open to the public and available by webcast or by phone at:
877.407.8289 (Domestic) / +1.201.689.8341 (International)
For those unable to listen to the live call, a recording of the webcast will be available on investor.maximus.com.
Since 1975, Maximus has operated under its founding mission of Helping Government Serve the People®, enabling citizens around the globe to successfully engage with their governments at all levels and across a variety of health and human services programs. Maximus delivers innovative business process management and technology solutions that contribute to improved outcomes for citizens and higher levels of productivity, accuracy, accountability, and efficiency of government-sponsored programs. With more than 38,000 employees worldwide, Maximus is a proud partner to government agencies in the United States, Australia, Canada, Italy, Saudi Arabia, Singapore, South Korea, Sweden, and the United Kingdom. For more information, visit maximus.com.
Non-GAAP Measures and Risk Factors
This release refers to non-GAAP measures and other indicators, including free cash flow, operating income and EPS adjusted for amortization of intangible assets and other non-GAAP measures.
A description of these non-GAAP measures, the reasons why we use and present them, and details as to how they are calculated are included in our forthcoming Form 10-Q.
The presentation of these non-GAAP numbers is not meant to be considered in isolation, nor as alternatives to cash flows from operations, revenue growth, or net income as measures of performance. These non-GAAP financial measures, as determined and presented by us, may not be comparable to related or similarly titled measures presented by other companies.
Statements that are not historical facts, including statements about the Company’s confidence and strategies, and the Company’s expectations about revenues, results of operations, profitability, future contracts, market opportunities, market demand, or acceptance of the Company’s products are forward-looking statements that involve risks and uncertainties.
These risks could cause the Company’s actual results to differ materially from those indicated by such forward-looking statements. A summary of risk factors can be found in Item 1A, "Risk Factors" in our Annual Report on Form 10-K for the year ended September 30, 2021, which was filed with the Securities and Exchange Commission (SEC) on November 18, 2021. The Company's SEC reports are accessible on maximus.com.
Maximus, Inc. |
|||||||||||||||
Consolidated Statements of Operations |
|||||||||||||||
(Unaudited) |
|||||||||||||||
|
For the Three Months Ended |
|
For the Six Months Ended |
||||||||||||
|
March 31, 2022 |
|
March 31, 2021 |
|
March 31, 2022 |
|
March 31, 2021 |
||||||||
|
(in thousands, except per share amounts) |
||||||||||||||
Revenue |
$ |
1,177,326 |
|
|
$ |
959,280 |
|
|
$ |
2,328,202 |
|
|
$ |
1,904,834 |
|
Cost of revenue |
|
948,875 |
|
|
|
728,622 |
|
|
|
1,871,596 |
|
|
|
1,468,121 |
|
Gross profit |
|
228,451 |
|
|
|
230,658 |
|
|
|
456,606 |
|
|
|
436,713 |
|
Selling, general, and administrative expenses |
|
130,307 |
|
|
|
112,402 |
|
|
|
254,528 |
|
|
|
224,369 |
|
Amortization of intangible assets |
|
22,856 |
|
|
|
5,070 |
|
|
|
45,261 |
|
|
|
11,586 |
|
Operating income |
|
75,288 |
|
|
|
113,186 |
|
|
|
156,817 |
|
|
|
200,758 |
|
Interest expense |
|
(9,438 |
) |
|
|
(756 |
) |
|
|
(19,076 |
) |
|
|
(962 |
) |
Other income/(expense), net |
|
715 |
|
|
|
(520 |
) |
|
|
404 |
|
|
|
(1,295 |
) |
Income before income taxes |
|
66,565 |
|
|
|
111,910 |
|
|
|
138,145 |
|
|
|
198,501 |
|
Provision for income taxes |
|
16,469 |
|
|
|
31,296 |
|
|
|
34,719 |
|
|
|
53,810 |
|
Net income |
$ |
50,096 |
|
|
$ |
80,614 |
|
|
$ |
103,426 |
|
|
$ |
144,691 |
|
|
|
|
|
|
|
|
|
||||||||
Earnings per share: |
|
|
|
|
|
|
|
||||||||
Basic |
$ |
0.81 |
|
|
$ |
1.30 |
|
|
$ |
1.66 |
|
|
$ |
2.33 |
|
Diluted |
$ |
0.80 |
|
|
$ |
1.29 |
|
|
$ |
1.66 |
|
|
$ |
2.33 |
|
Weighted average shares outstanding: |
|
|
|
|
|
|
|
||||||||
Basic |
|
62,227 |
|
|
|
62,026 |
|
|
|
62,256 |
|
|
|
62,022 |
|
Diluted |
|
62,381 |
|
|
|
62,294 |
|
|
|
62,409 |
|
|
|
62,212 |
|
|
|
|
|
|
|
|
|
||||||||
Dividends declared per share |
$ |
0.28 |
|
|
$ |
0.28 |
|
|
$ |
0.56 |
|
|
$ |
0.56 |
|
Maximus, Inc. |
|||||||
Consolidated Balance Sheets |
|||||||
|
March 31, 2022 |
|
September 30, 2021 |
||||
|
(unaudited) |
|
|
||||
|
(in thousands) |
||||||
Assets: |
|
|
|
||||
Cash and cash equivalents |
$ |
92,638 |
|
|
$ |
135,061 |
|
Accounts receivable, net |
|
885,685 |
|
|
|
834,819 |
|
Income taxes receivable |
|
14,757 |
|
|
|
5,413 |
|
Prepaid expenses and other current assets |
|
97,420 |
|
|
|
104,201 |
|
Total current assets |
|
1,090,500 |
|
|
|
1,079,494 |
|
Property and equipment, net |
|
57,945 |
|
|
|
62,627 |
|
Capitalized software, net |
|
42,877 |
|
|
|
42,868 |
|
Operating lease right-of-use assets |
|
160,183 |
|
|
|
179,349 |
|
Goodwill |
|
1,780,370 |
|
|
|
1,774,406 |
|
Intangible assets, net |
|
851,564 |
|
|
|
879,168 |
|
Deferred contract costs, net |
|
42,813 |
|
|
|
36,486 |
|
Deferred compensation plan assets |
|
44,773 |
|
|
|
46,738 |
|
Deferred income taxes |
|
2,635 |
|
|
|
990 |
|
Other assets |
|
34,036 |
|
|
|
16,839 |
|
Total assets |
$ |
4,107,696 |
|
|
$ |
4,118,965 |
|
Liabilities and Shareholders' Equity: |
|
|
|
||||
Liabilities: |
|
|
|
||||
Accounts payable and accrued liabilities |
$ |
302,912 |
|
|
$ |
305,565 |
|
Accrued compensation and benefits |
|
142,512 |
|
|
|
186,809 |
|
Deferred revenue, current portion |
|
122,070 |
|
|
|
98,588 |
|
Income taxes payable |
|
3,883 |
|
|
|
6,782 |
|
Long-term debt, current portion |
|
59,911 |
|
|
|
80,555 |
|
Operating lease liabilities, current portion |
|
70,731 |
|
|
|
76,077 |
|
Other current liabilities |
|
51,247 |
|
|
|
35,057 |
|
Total current liabilities |
|
753,266 |
|
|
|
789,433 |
|
Deferred revenue, non-current portion |
|
30,429 |
|
|
|
35,932 |
|
Deferred income taxes |
|
198,848 |
|
|
|
194,638 |
|
Long-term debt, non-current portion |
|
1,387,386 |
|
|
|
1,429,137 |
|
Deferred compensation plan liabilities, non-current portion |
|
44,923 |
|
|
|
47,405 |
|
Operating lease liabilities, non-current portion |
|
106,670 |
|
|
|
121,771 |
|
Other liabilities |
|
31,958 |
|
|
|
20,320 |
|
Total liabilities |
|
2,553,480 |
|
|
|
2,638,636 |
|
Shareholders' equity: |
|
|
|
||||
Common stock, no par value; 100,000 shares authorized; 61,610 and 61,954 shares issued and outstanding as of March 31, 2022 and September 30, 2021, respectively (shares in thousands) |
|
550,228 |
|
|
|
532,411 |
|
Accumulated other comprehensive loss |
|
(26,098 |
) |
|
|
(39,908 |
) |
Retained earnings |
|
1,030,086 |
|
|
|
987,826 |
|
Total shareholders' equity |
|
1,554,216 |
|
|
|
1,480,329 |
|
Total liabilities and shareholders' equity |
$ |
4,107,696 |
|
|
$ |
4,118,965 |
|
Maximus, Inc. |
|||||||||||||||
Consolidated Statements of Cash Flows |
|||||||||||||||
(Unaudited) |
|||||||||||||||
|
For the Three Months Ended |
|
For the Six Months Ended |
||||||||||||
|
March 31, 2022 |
|
March 31, 2021 |
|
March 31, 2022 |
|
March 31, 2021 |
||||||||
|
(in thousands) |
||||||||||||||
Cash flows from operating activities: |
|
|
|
|
|
|
|
||||||||
Net income |
$ |
50,096 |
|
|
$ |
80,614 |
|
|
$ |
103,426 |
|
|
$ |
144,691 |
|
Adjustments to reconcile net income to cash flows from operating activities: |
|
|
|
|
|
|
|
||||||||
Depreciation and amortization of property, equipment and capitalized software |
|
9,834 |
|
|
|
11,018 |
|
|
|
21,199 |
|
|
|
22,835 |
|
Amortization of intangible assets |
|
22,856 |
|
|
|
5,070 |
|
|
|
45,261 |
|
|
|
11,586 |
|
Amortization of debt issuance costs and debt discount |
|
648 |
|
|
|
— |
|
|
|
1,297 |
|
|
|
— |
|
Deferred income taxes |
|
(3,089 |
) |
|
|
6,653 |
|
|
|
(3,318 |
) |
|
|
7,951 |
|
Stock compensation expense |
|
6,804 |
|
|
|
7,417 |
|
|
|
15,052 |
|
|
|
13,479 |
|
Change in assets and liabilities, net of effects of business combinations |
|
|
|
|
|
|
|
||||||||
Accounts receivable |
|
(34,950 |
) |
|
|
62,408 |
|
|
|
(49,064 |
) |
|
|
70,217 |
|
Prepaid expenses and other current assets |
|
14,884 |
|
|
|
3,181 |
|
|
|
9,769 |
|
|
|
8,074 |
|
Deferred contract costs |
|
380 |
|
|
|
(8,979 |
) |
|
|
(6,431 |
) |
|
|
(9,184 |
) |
Accounts payable and accrued liabilities |
|
29,405 |
|
|
|
1,196 |
|
|
|
(3,047 |
) |
|
|
12,395 |
|
Accrued compensation and benefits |
|
28,024 |
|
|
|
18,921 |
|
|
|
(28,281 |
) |
|
|
(16,761 |
) |
Deferred revenue |
|
12,544 |
|
|
|
7,539 |
|
|
|
18,473 |
|
|
|
13,296 |
|
Income taxes |
|
(23,836 |
) |
|
|
(13,717 |
) |
|
|
(13,515 |
) |
|
|
3,230 |
|
Operating lease right-of-use assets and liabilities |
|
5,077 |
|
|
|
4,513 |
|
|
|
(1,293 |
) |
|
|
(414 |
) |
Other assets and liabilities |
|
(3,899 |
) |
|
|
(4,251 |
) |
|
|
2,331 |
|
|
|
(1,697 |
) |
Net cash provided by operating activities |
|
114,778 |
|
|
|
181,583 |
|
|
|
111,859 |
|
|
|
279,698 |
|
|
|
|
|
|
|
|
|
||||||||
Purchases of property and equipment and capitalized software |
|
(16,571 |
) |
|
|
(14,490 |
) |
|
|
(22,898 |
) |
|
|
(23,584 |
) |
Acquisitions of businesses, net of cash acquired |
|
(4 |
) |
|
|
(413,781 |
) |
|
|
(4 |
) |
|
|
(413,940 |
) |
Net cash used in investing activities |
|
(16,575 |
) |
|
|
(428,271 |
) |
|
|
(22,902 |
) |
|
|
(437,524 |
) |
Cash flows from financing activities: |
|
|
|
|
|
|
|
||||||||
Cash dividends paid to Maximus shareholders |
|
(17,312 |
) |
|
|
(17,207 |
) |
|
|
(34,659 |
) |
|
|
(34,414 |
) |
Purchases of Maximus common stock |
|
(24,464 |
) |
|
|
— |
|
|
|
(25,843 |
) |
|
|
(3,363 |
) |
Tax withholding related to RSU vesting |
|
— |
|
|
|
— |
|
|
|
(9,673 |
) |
|
|
(9,818 |
) |
Proceeds from borrowings |
|
140,000 |
|
|
|
352,310 |
|
|
|
240,000 |
|
|
|
500,162 |
|
Principal payments for debt |
|
(287,023 |
) |
|
|
(117,650 |
) |
|
|
(303,708 |
) |
|
|
(263,838 |
) |
Other |
|
— |
|
|
|
1 |
|
|
|
— |
|
|
|
(2,762 |
) |
Net cash (used in)/provided by financing activities |
|
(188,799 |
) |
|
|
217,454 |
|
|
|
(133,883 |
) |
|
|
185,967 |
|
Effect of exchange rate changes on cash, cash equivalents, and restricted cash |
|
(48 |
) |
|
|
(619 |
) |
|
|
324 |
|
|
|
3,263 |
|
Net change in cash, cash equivalents, and restricted cash |
|
(90,644 |
) |
|
|
(29,853 |
) |
|
|
(44,602 |
) |
|
|
31,404 |
|
Cash, cash equivalents and restricted cash, beginning of period |
|
202,612 |
|
|
|
149,818 |
|
|
|
156,570 |
|
|
|
88,561 |
|
Cash, cash equivalents and restricted cash, end of period |
$ |
111,968 |
|
|
$ |
119,965 |
|
|
$ |
111,968 |
|
|
$ |
119,965 |
|
Maximus, Inc. |
|||||||||||||||||||||||||||
Consolidated Results of Operations by Segment |
|||||||||||||||||||||||||||
(Unaudited) |
|||||||||||||||||||||||||||
|
For the Three Months Ended |
|
For the Six Months Ended |
||||||||||||||||||||||||
|
March 31, 2022 |
|
March 31, 2021 |
|
March 31, 2022 |
|
March 31, 2021 |
||||||||||||||||||||
|
Amount |
|
% (1) |
|
Amount |
|
% (1) |
|
Amount |
|
% (1) |
|
Amount |
|
% (1) |
||||||||||||
|
(dollars in thousands) |
||||||||||||||||||||||||||
Revenue: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
U.S. Services |
$ |
398,077 |
|
|
|
|
$ |
448,215 |
|
|
|
|
$ |
784,494 |
|
|
|
|
$ |
833,149 |
|
|
|
||||
U.S. Federal Services |
|
573,288 |
|
|
|
|
|
330,136 |
|
|
|
|
|
1,155,159 |
|
|
|
|
|
735,381 |
|
|
|
||||
Outside the U.S. |
|
205,961 |
|
|
|
|
|
180,929 |
|
|
|
|
|
388,549 |
|
|
|
|
|
336,304 |
|
|
|
||||
Revenue |
$ |
1,177,326 |
|
|
|
|
$ |
959,280 |
|
|
|
|
$ |
2,328,202 |
|
|
|
|
$ |
1,904,834 |
|
|
|
||||
Gross Profit: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
U.S. Services |
$ |
84,971 |
|
|
21.3 |
% |
|
$ |
119,440 |
|
|
26.6 |
% |
|
$ |
174,670 |
|
|
22.3 |
% |
|
$ |
218,442 |
|
|
26.2 |
% |
U.S. Federal Services |
|
115,153 |
|
|
20.1 |
% |
|
|
74,133 |
|
|
22.5 |
% |
|
|
241,729 |
|
|
20.9 |
% |
|
|
156,629 |
|
|
21.3 |
% |
Outside the U.S. |
|
28,327 |
|
|
13.8 |
% |
|
|
37,085 |
|
|
20.5 |
% |
|
|
40,207 |
|
|
10.3 |
% |
|
|
61,642 |
|
|
18.3 |
% |
Gross Profit |
$ |
228,451 |
|
|
19.4 |
% |
|
$ |
230,658 |
|
|
24.0 |
% |
|
$ |
456,606 |
|
|
19.6 |
% |
|
$ |
436,713 |
|
|
22.9 |
% |
Selling, general, and administrative expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
U.S. Services |
$ |
38,273 |
|
|
9.6 |
% |
|
$ |
36,593 |
|
|
8.2 |
% |
|
$ |
73,375 |
|
|
9.4 |
% |
|
$ |
74,049 |
|
|
8.9 |
% |
U.S. Federal Services |
|
68,949 |
|
|
12.0 |
% |
|
|
50,978 |
|
|
15.4 |
% |
|
|
133,874 |
|
|
11.6 |
% |
|
|
103,230 |
|
|
14.0 |
% |
Outside the U.S. |
|
24,011 |
|
|
11.7 |
% |
|
|
22,013 |
|
|
12.2 |
% |
|
|
45,351 |
|
|
11.7 |
% |
|
|
42,045 |
|
|
12.5 |
% |
Other (2) |
|
(926 |
) |
|
NM |
|
|
|
2,818 |
|
|
NM |
|
|
|
1,928 |
|
|
NM |
|
|
|
5,045 |
|
|
NM |
|
Selling, general, and administrative expenses |
$ |
130,307 |
|
|
11.1 |
% |
|
$ |
112,402 |
|
|
11.7 |
% |
|
$ |
254,528 |
|
|
10.9 |
% |
|
$ |
224,369 |
|
|
11.8 |
% |
Operating income/(loss): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
U.S. Services |
$ |
46,698 |
|
|
11.7 |
% |
|
$ |
82,847 |
|
|
18.5 |
% |
|
$ |
101,295 |
|
|
12.9 |
% |
|
$ |
144,393 |
|
|
17.3 |
% |
U.S. Federal Services |
|
46,204 |
|
|
8.1 |
% |
|
|
23,155 |
|
|
7.0 |
% |
|
|
107,855 |
|
|
9.3 |
% |
|
|
53,399 |
|
|
7.3 |
% |
Outside the U.S. |
|
4,316 |
|
|
2.1 |
% |
|
|
15,072 |
|
|
8.3 |
% |
|
|
(5,144 |
) |
|
(1.3 |
) % |
|
|
19,597 |
|
|
5.8 |
% |
Amortization of intangible assets |
|
(22,856 |
) |
|
NM |
|
|
|
(5,070 |
) |
|
NM |
|
|
|
(45,261 |
) |
|
NM |
|
|
|
(11,586 |
) |
|
NM |
|
Other (2) |
|
926 |
|
|
NM |
|
|
|
(2,818 |
) |
|
NM |
|
|
|
(1,928 |
) |
|
NM |
|
|
|
(5,045 |
) |
|
NM |
|
Operating income/(loss) |
$ |
75,288 |
|
|
6.4 |
% |
|
$ |
113,186 |
|
|
11.8 |
% |
|
$ |
156,817 |
|
|
6.7 |
% |
|
$ |
200,758 |
|
|
10.5 |
% |
| (1) | Percentage of respective segment revenue. Percentages not considered meaningful are marked "NM." |
|
(2)
|
Other selling, general, and administrative expenses includes costs that are not allocated to a particular segment. This includes expenses incurred as part of our acquisitions, as well as potential acquisitions which have not been or may not be completed. |
Maximus, Inc. |
|||||||||||||||
Consolidated Free Cash Flow - Non-GAAP |
|||||||||||||||
(Unaudited) |
|||||||||||||||
|
For the Three Months Ended |
|
For the Six Months Ended |
||||||||||||
|
March 31, 2022 |
|
March 31, 2021 |
|
March 31, 2022 |
|
March 31, 2021 |
||||||||
|
(in thousands) |
||||||||||||||
Net cash provided by operating activities |
$ |
114,778 |
|
|
$ |
181,583 |
|
|
$ |
111,859 |
|
|
$ |
279,698 |
|
Purchases of property and equipment and capitalized software costs |
|
(16,571 |
) |
|
|
(14,490 |
) |
|
|
(22,898 |
) |
|
|
(23,584 |
) |
Free cash flow (Non-GAAP) |
$ |
98,207 |
|
|
$ |
167,093 |
|
|
$ |
88,961 |
|
|
$ |
256,114 |
|
Maximus, Inc. |
|||||||||||||||
Non-GAAP Adjusted Results Excluding Amortization of Intangible Assets |
|||||||||||||||
(Unaudited) |
|||||||||||||||
|
For the Three Months Ended |
|
For the Six Months Ended |
||||||||||||
|
March 31, 2022 |
|
March 31, 2021 |
|
March 31, 2022 |
|
March 31, 2021 |
||||||||
|
(dollars in thousands, except per share data) |
||||||||||||||
Operating income |
$ |
75,288 |
|
|
$ |
113,186 |
|
|
$ |
156,817 |
|
|
$ |
200,758 |
|
Add back: Amortization of intangible assets |
|
22,856 |
|
|
|
5,070 |
|
|
|
45,261 |
|
|
|
11,586 |
|
Adjusted operating income excluding amortization of intangible assets (Non-GAAP) |
$ |
98,144 |
|
|
$ |
118,256 |
|
|
$ |
202,078 |
|
|
$ |
212,344 |
|
Adjusted operating income margin excluding amortization of intangible assets (Non-GAAP) |
|
8.3 |
% |
|
|
12.3 |
% |
|
|
8.7 |
% |
|
|
11.1 |
% |
|
|
|
|
|
|
|
|
||||||||
Net income |
$ |
50,096 |
|
|
$ |
80,614 |
|
|
$ |
103,426 |
|
|
$ |
144,691 |
|
Add back: Amortization of intangible assets, net of tax |
|
16,884 |
|
|
|
3,756 |
|
|
|
33,414 |
|
|
|
8,578 |
|
Adjusted net income excluding amortization of intangible assets (Non-GAAP) |
$ |
66,980 |
|
|
$ |
84,370 |
|
|
$ |
136,840 |
|
|
$ |
153,269 |
|
|
|
|
|
|
|
|
|
||||||||
Diluted earnings per share |
$ |
0.80 |
|
|
$ |
1.29 |
|
|
$ |
1.66 |
|
|
$ |
2.33 |
|
Add back: Effect of amortization of intangible assets on diluted earnings per share |
|
0.27 |
|
|
|
0.06 |
|
|
|
0.53 |
|
|
|
0.13 |
|
Adjusted diluted earnings per share excluding amortization of intangible assets (Non-GAAP) |
$ |
1.07 |
|
|
$ |
1.35 |
|
|
$ |
2.19 |
|
|
$ |
2.46 |
|
- Продолжающиеся Задержки Представляют собой Встречный Ветер в Текущем году, В то время как Сильные Награды Приводят К Долгосрочным Попутным Ветрам -
ТАЙСОНС, Вирджиния.--(BUSINESS WIRE)--MAXIMUS (NYSE: MMS), ведущий поставщик государственных услуг по всему миру, отчитался о финансовых результатах за три и шесть месяцев, закончившихся 31 марта 2022 года.
Основные события второго квартала 2022 финансового года включают:
"Результаты за второй квартал отразили наши ожидания в отношении бизнеса, который продолжает сталкиваться с задержками, которые, по нашему твердому убеждению, носят временный характер. Как свидетельствуют высокие заказы с начала года, бизнес по-прежнему находится в хорошем положении, поскольку эти политические и связанные с COVID задержки уменьшаются", - поделился Брюс Касвелл, президент и главный исполнительный директор. "Наши новые награды, практически все из которых носят долгосрочный характер, подчеркивают нашу бизнес-модель и доказывают долговечность MAXIMUS и нашу способность использовать стратегические слияния и поглощения для увеличения доли рынка".
Результаты второго квартала
Выручка за второй квартал 2022 финансового года увеличилась на 22,7% до 1,18 млрд долларов по сравнению с 959,3 млн долларов за аналогичный период прошлого года. Увеличение на 218,0 млн. долл. США было в основном обусловлено ожидаемыми взносами от приобретений Сегмента федеральных услуг США и Программы перезапуска Великобритании в сегменте за пределами США. Это увеличение было компенсировано ожидаемым сокращением краткосрочной работы по реагированию на COVID-19. Органический доход за второй квартал 2022 финансового года остался относительно неизменным, в то время как с поправкой на работу по реагированию на COVID-19 нормализованный органический рост составит примерно 20% по сравнению с предыдущим годом.
Результаты по доходам во втором квартале 2022 финансового года отражают ожидания снижения доходов, вызванные главным образом задержками в возвращении наших основных программ к уровню, предшествовавшему пандемии, поскольку работа по реагированию на COVID-19 продолжает прогнозируемый спад. Операционная прибыль составила 75,3 млн долларов США, при этом операционная маржа составила 6,4%, или 8,3% с поправкой на амортизацию нематериальных активов. Это сопоставимо с операционной рентабельностью в размере 11,8% за период предыдущего года, или 12,3% с поправкой на амортизацию. Разводненная прибыль на акцию составила 0,80 доллара, или 1,07 доллара с поправкой на амортизацию, по сравнению с 1,29 доллара на акцию, или 1,35 доллара с поправкой на амортизацию, за аналогичный период предыдущего года.
Сегмент услуг в США
Сегмент услуг в США сообщил о выручке в размере 398,1 миллиона долларов за второй квартал 2022 финансового года по сравнению с 448,2 миллионами долларов, о которых сообщалось в предыдущем году. Снижение выручки было вызвано ожидаемым сокращением краткосрочной работы по реагированию на COVID-19. С поправкой на эту работу нормализованный органический рост в сегменте составит примерно 25% за счет увеличения объема новой работы, включая работу по реагированию на COVID-19, которая превратилась в долгосрочную работу с новыми клиентами, приобретенными во время пандемии.
Операционная маржа за второй квартал 2022 финансового года составила 11,7% для сегмента по сравнению с 18,5%, о которых сообщалось за предыдущий год. Ожидаемое снижение прибыльной краткосрочной работы по реагированию на COVID-19, в то время как мероприятия по пересмотру определения, связанные с PHE, остаются приостановленными, стало причиной более низкой сравнительной маржи.
Сегмент федеральных служб США
Выручка сегмента федеральных услуг США за второй квартал 2022 финансового года увеличилась на 74% до 573,3 млн долларов по сравнению с 330,1 млн долларов, о которых сообщалось за предыдущий год. Рост был обусловлен ожидаемым вкладом от приобретений Achievement Federal, VES и Aidvantage. Органическая выручка в сегменте за второй квартал 2022 финансового года увеличилась примерно на 9%. С поправкой на работу по реагированию на COVID-19 нормализованный органический рост в сегменте составит примерно 13% по сравнению с предыдущим годом.
Операционная маржа сегмента за второй квартал 2022 финансового года составила 8,1% по сравнению с 7,0%, о которых сообщалось за предыдущий год. Вклад приобретений Achieve Federal и VES позволил повысить рентабельность в сегменте, но был сдержан воздействием бизнеса Aidvantage. Затраты, связанные с переходом от предыдущего поставщика, оказались выше, чем ожидалось, а продолжающаяся задержка возврата средств привела к снижению выручки и снижению прибыльности в квартале.
За пределами американского сегмента
Выручка сегмента за пределами США за второй квартал 2022 финансового года увеличилась на 13,8% до 206,0 млн долларов по сравнению с 180,9 млн долларов, о которых сообщалось за предыдущий год. Основной движущей силой роста стало расширение Программы перезапуска в Великобритании.
Операционная маржа сегмента за второй квартал 2022 финансового года составила 2,1%. Рентабельность за предыдущий год в размере 8,3% была обусловлена показателями в Австралии выше среднего. Результаты за этот квартал улучшились благодаря более высоким, чем ожидалось, показателям Программы перезапуска в Великобритании, которая достигла прибыльности с опережением графика. Это сдерживается будущим сокращением объема работ по крупнейшему контракту на оказание услуг по трудоустройству в Австралии после процесса пересмотра.
Продажи и конвейер
По состоянию на 31 марта 2022 года сумма подписанных контрактов составила 1,47 миллиарда долларов, а незавершенные контракты (заключенные, но неподписанные) составили 1,75 миллиарда долларов. Награды присуждаются за более длительные периоды работы, которые отражают устойчивые долгосрочные факторы в бизнесе.
Объем продаж по состоянию на 31 марта 2022 года составлял 29,8 миллиарда долларов (включая примерно 7,4 миллиарда долларов в виде незавершенных предложений, 3,6 миллиарда долларов в виде подготовленных предложений и 18,8 миллиарда долларов в виде отслеживания возможностей). Новые рабочие места составляют примерно 55% от общего объема продаж.
Баланс и движение денежных средств
По состоянию на 31 марта 2022 года денежные средства и их эквиваленты составили 92,6 миллиона долларов, а валовой долг составил 1,46 миллиарда долларов. Отношение долга, за вычетом разрешенных денежных средств, к формальной EBITDA за квартал, закончившийся 31 марта 2022 года, рассчитанное в соответствии с нашим кредитным соглашением, составило 2,4 раза.
Во втором квартале 2022 финансового года денежные потоки были высокими, как и ожидалось. Денежные средства от операционной деятельности составили 114,8 миллиона долларов, а свободный денежный поток составил 98,2 миллиона долларов.
По состоянию на 31 марта 2022 года количество дней просроченных продаж (DSO) составляло 68 дней и находилось в типичном для Компании диапазоне от 65 до 80 дней.
Покупки обыкновенных акций MAXIMUS составили 24,5 миллиона долларов во втором квартале 2022 финансового года.
8 апреля 2022 года наш Совет директоров объявил ежеквартальный денежный дивиденд в размере 0,28 доллара США на каждую акцию наших обыкновенных акций, находящихся в обращении. Дивиденды выплачиваются 31 мая 2022 года акционерам record 13 мая 2022 года.
Пересмотренное Руководство по доходам
Компания сохраняет прогноз по выручке на 2022 финансовый год, при этом ожидается, что выручка составит от 4,5 до 4,7 миллиарда долларов. Руководство по доходам пересмотрено в связи с дальнейшим продлением текущего PHE и другими задержками. Ожидается, что разводненная прибыль на акцию (DEPS) составит от 3,00 до 3,50 доллара США на акцию, или от 4,07 до 4,57 доллара США на акцию с поправкой на амортизацию нематериальных активов.
Сокращение до ориентира по доходам состоит из трех основных компонентов. Во-первых, PHE был продлен до середины июля, что составляет примерно 0,30 доллара США от предполагаемого воздействия задержки на одну четверть. Компания еще больше понизила нижнюю границу прогноза по прибыли, чтобы учесть дополнительное продление PHE до середины октября, что представляет собой дополнительные 0,30% от предполагаемого воздействия. Во-вторых, дальнейшие задержки с расширением новых рабочих мест в сегментах услуг США и за пределами США снизили прогноз примерно на 0,20 доллара США. Считается, что эти задержки носят временный характер и частично объясняются продолжающимися сбоями в работе из-за COVID-19. В-третьих, пересмотренные ожидания в отношении перерасчета австралийской службы занятости приведут к предполагаемому сокращению DEPS примерно на 0,15 долл. США; влияние в 2022 финансовом году будет большим по сравнению с последующими периодами и включает выплаты выходного пособия в третьем квартале.
Ожидается, что в 2022 финансовом году денежные потоки от операционной деятельности составят от 225 до 300 миллионов долларов, а свободный денежный поток составит от 175 до 250 миллионов долларов в 2022 финансовом году. Ожидается, что эффективная ставка подоходного налога составит от 24,5% до 25,5%, средневзвешенное количество акций в обращении составит от 62,0 млн до 62,2 млн, при отсутствии значительной активности по покупке акций, а процентные расходы составят от 40 млн до 42 млн долларов США за 2022 финансовый год.
"В то время как задержки, связанные с пандемией, продолжают ограничивать наши доходы в 2022 финансовом году, я воодушевлен потенциалом нашего бизнеса в следующем финансовом году и в последующий период, когда неопределенность, связанная с пандемией, останется позади. Тем временем мы продолжаем наращивать обороты для бизнеса", - продолжил Касвелл. "Мы считаем, что долгосрочные макроэкономические факторы благоприятствуют нашему бизнесу, поскольку мы продолжаем оставаться ценным партнером правительства с растущими возможностями. Я с нетерпением жду возможности поделиться чем-то еще, в том числе нашей обновленной 3-5-летней стратегией для MAXIMUS, в наш День инвестора 24 мая 2022 года".
Конференц-связь и информация о веб-трансляции
MAXIMUS проведет селекторное совещание завтра, 5 мая 2022 года, в 9:00 утра (по восточному времени). Акционерам предлагается направлять вопросы на рассмотрение руководства по электронной почте IR@MAXIMUS.com до одного часа до звонка.
Звонок открыт для публики и доступен через веб-трансляцию или по телефону по адресу:
877.407.8289 (Внутренний) / +1.21.689.8341 (Международный)
Для тех, кто не может прослушать прямую трансляцию, запись веб-трансляции будет доступна на сайте investor.MAXIMUS.com .
С 1975 года MAXIMUS работает в соответствии со своей основополагающей миссией - Помогать правительству служить людям®, позволяя гражданам по всему миру успешно взаимодействовать со своими правительствами на всех уровнях и в рамках различных программ здравоохранения и социальных служб. MAXIMUS предоставляет инновационные решения для управления бизнес-процессами и технологиями, которые способствуют улучшению результатов для граждан и повышению производительности, точности, подотчетности и эффективности программ, спонсируемых правительством. Имея более 38 000 сотрудников по всему миру, MAXIMUS является гордым партнером правительственных учреждений в Соединенных Штатах, Австралии, Канаде, Италии, Саудовской Аравии, Сингапуре, Южной Корее, Швеции и Соединенном Королевстве. Для получения дополнительной информации посетите MAXIMUS.com .
Показатели и факторы риска, не относящиеся к ОПБУ
В этом выпуске упоминаются показатели, не относящиеся к GAAP, и другие показатели, включая свободный денежный поток, операционную прибыль и прибыль на акцию, скорректированную с учетом амортизации нематериальных активов и других показателей, не относящихся к GAAP.
Описание этих показателей, не относящихся к GAAP, причины, по которым мы их используем и представляем, а также подробная информация о том, как они рассчитываются, включены в нашу готовящуюся форму 10-Q.
Представление этих показателей, не относящихся к GAAP, не предназначено для рассмотрения изолированно или в качестве альтернативы денежным потокам от операций, росту выручки или чистой прибыли в качестве показателей эффективности. Эти финансовые показатели, не относящиеся к GAAP, определенные и представленные нами, могут быть несопоставимы с аналогичными или аналогичными показателями, представленными другими компаниями.
Заявления, которые не являются историческими фактами, включая заявления о доверии и стратегиях Компании, а также об ожиданиях Компании в отношении доходов, результатов деятельности, прибыльности, будущих контрактов, рыночных возможностей, рыночного спроса или принятия продуктов Компании, являются прогнозными заявлениями, которые связаны с рисками и неопределенностями.
Эти риски могут привести к тому, что фактические результаты Компании будут существенно отличаться от тех, которые указаны в таких прогнозных заявлениях. Краткое описание факторов риска можно найти в пункте 1А "Факторы риска" нашего Годового отчета по форме 10-K за год, закончившийся 30 сентября 2021 года, который был подан в Комиссию по ценным бумагам и биржам (SEC) 18 ноября 2021 года. Отчеты SEC компании доступны на MAXIMUS.com .
MAXIMUS, Inc. |
|||||||||||||||
Consolidated Statements of Operations |
|||||||||||||||
(Unaudited) |
|||||||||||||||
|
For the Three Months Ended |
|
For the Six Months Ended |
||||||||||||
|
March 31, 2022 |
|
March 31, 2021 |
|
March 31, 2022 |
|
March 31, 2021 |
||||||||
|
(in thousands, except per share amounts) |
||||||||||||||
Revenue |
$ |
1,177,326 |
|
|
$ |
959,280 |
|
|
$ |
2,328,202 |
|
|
$ |
1,904,834 |
|
Cost of revenue |
|
948,875 |
|
|
|
728,622 |
|
|
|
1,871,596 |
|
|
|
1,468,121 |
|
Gross profit |
|
228,451 |
|
|
|
230,658 |
|
|
|
456,606 |
|
|
|
436,713 |
|
Selling, general, and administrative expenses |
|
130,307 |
|
|
|
112,402 |
|
|
|
254,528 |
|
|
|
224,369 |
|
Amortization of intangible assets |
|
22,856 |
|
|
|
5,070 |
|
|
|
45,261 |
|
|
|
11,586 |
|
Operating income |
|
75,288 |
|
|
|
113,186 |
|
|
|
156,817 |
|
|
|
200,758 |
|
Interest expense |
|
(9,438 |
) |
|
|
(756 |
) |
|
|
(19,076 |
) |
|
|
(962 |
) |
Other income/(expense), net |
|
715 |
|
|
|
(520 |
) |
|
|
404 |
|
|
|
(1,295 |
) |
Income before income taxes |
|
66,565 |
|
|
|
111,910 |
|
|
|
138,145 |
|
|
|
198,501 |
|
Provision for income taxes |
|
16,469 |
|
|
|
31,296 |
|
|
|
34,719 |
|
|
|
53,810 |
|
Net income |
$ |
50,096 |
|
|
$ |
80,614 |
|
|
$ |
103,426 |
|
|
$ |
144,691 |
|
|
|
|
|
|
|
|
|
||||||||
Earnings per share: |
|
|
|
|
|
|
|
||||||||
Basic |
$ |
0.81 |
|
|
$ |
1.30 |
|
|
$ |
1.66 |
|
|
$ |
2.33 |
|
Diluted |
$ |
0.80 |
|
|
$ |
1.29 |
|
|
$ |
1.66 |
|
|
$ |
2.33 |
|
Weighted average shares outstanding: |
|
|
|
|
|
|
|
||||||||
Basic |
|
62,227 |
|
|
|
62,026 |
|
|
|
62,256 |
|
|
|
62,022 |
|
Diluted |
|
62,381 |
|
|
|
62,294 |
|
|
|
62,409 |
|
|
|
62,212 |
|
|
|
|
|
|
|
|
|
||||||||
Dividends declared per share |
$ |
0.28 |
|
|
$ |
0.28 |
|
|
$ |
0.56 |
|
|
$ |
0.56 |
|
MAXIMUS, Inc. |
|||||||
Consolidated Balance Sheets |
|||||||
|
March 31, 2022 |
|
September 30, 2021 |
||||
|
(unaudited) |
|
|
||||
|
(in thousands) |
||||||
Assets: |
|
|
|
||||
Cash and cash equivalents |
$ |
92,638 |
|
|
$ |
135,061 |
|
Accounts receivable, net |
|
885,685 |
|
|
|
834,819 |
|
Income taxes receivable |
|
14,757 |
|
|
|
5,413 |
|
Prepaid expenses and other current assets |
|
97,420 |
|
|
|
104,201 |
|
Total current assets |
|
1,090,500 |
|
|
|
1,079,494 |
|
Property and equipment, net |
|
57,945 |
|
|
|
62,627 |
|
Capitalized software, net |
|
42,877 |
|
|
|
42,868 |
|
Operating lease right-of-use assets |
|
160,183 |
|
|
|
179,349 |
|
Goodwill |
|
1,780,370 |
|
|
|
1,774,406 |
|
Intangible assets, net |
|
851,564 |
|
|
|
879,168 |
|
Deferred contract costs, net |
|
42,813 |
|
|
|
36,486 |
|
Deferred compensation plan assets |
|
44,773 |
|
|
|
46,738 |
|
Deferred income taxes |
|
2,635 |
|
|
|
990 |
|
Other assets |
|
34,036 |
|
|
|
16,839 |
|
Total assets |
$ |
4,107,696 |
|
|
$ |
4,118,965 |
|
Liabilities and Shareholders' Equity: |
|
|
|
||||
Liabilities: |
|
|
|
||||
Accounts payable and accrued liabilities |
$ |
302,912 |
|
|
$ |
305,565 |
|
Accrued compensation and benefits |
|
142,512 |
|
|
|
186,809 |
|
Deferred revenue, current portion |
|
122,070 |
|
|
|
98,588 |
|
Income taxes payable |
|
3,883 |
|
|
|
6,782 |
|
Long-term debt, current portion |
|
59,911 |
|
|
|
80,555 |
|
Operating lease liabilities, current portion |
|
70,731 |
|
|
|
76,077 |
|
Other current liabilities |
|
51,247 |
|
|
|
35,057 |
|
Total current liabilities |
|
753,266 |
|
|
|
789,433 |
|
Deferred revenue, non-current portion |
|
30,429 |
|
|
|
35,932 |
|
Deferred income taxes |
|
198,848 |
|
|
|
194,638 |
|
Long-term debt, non-current portion |
|
1,387,386 |
|
|
|
1,429,137 |
|
Deferred compensation plan liabilities, non-current portion |
|
44,923 |
|
|
|
47,405 |
|
Operating lease liabilities, non-current portion |
|
106,670 |
|
|
|
121,771 |
|
Other liabilities |
|
31,958 |
|
|
|
20,320 |
|
Total liabilities |
|
2,553,480 |
|
|
|
2,638,636 |
|
Shareholders' equity: |
|
|
|
||||
Common stock, no par value; 100,000 shares authorized; 61,610 and 61,954 shares issued and outstanding as of March 31, 2022 and September 30, 2021, respectively (shares in thousands) |
|
550,228 |
|
|
|
532,411 |
|
Accumulated other comprehensive loss |
|
(26,098 |
) |
|
|
(39,908 |
) |
Retained earnings |
|
1,030,086 |
|
|
|
987,826 |
|
Total shareholders' equity |
|
1,554,216 |
|
|
|
1,480,329 |
|
Total liabilities and shareholders' equity |
$ |
4,107,696 |
|
|
$ |
4,118,965 |
|
MAXIMUS, Inc. |
|||||||||||||||
Consolidated Statements of Cash Flows |
|||||||||||||||
(Unaudited) |
|||||||||||||||
|
For the Three Months Ended |
|
For the Six Months Ended |
||||||||||||
|
March 31, 2022 |
|
March 31, 2021 |
|
March 31, 2022 |
|
March 31, 2021 |
||||||||
|
(in thousands) |
||||||||||||||
Cash flows from operating activities: |
|
|
|
|
|
|
|
||||||||
Net income |
$ |
50,096 |
|
|
$ |
80,614 |
|
|
$ |
103,426 |
|
|
$ |
144,691 |
|
Adjustments to reconcile net income to cash flows from operating activities: |
|
|
|
|
|
|
|
||||||||
Depreciation and amortization of property, equipment and capitalized software |
|
9,834 |
|
|
|
11,018 |
|
|
|
21,199 |
|
|
|
22,835 |
|
Amortization of intangible assets |
|
22,856 |
|
|
|
5,070 |
|
|
|
45,261 |
|
|
|
11,586 |
|
Amortization of debt issuance costs and debt discount |
|
648 |
|
|
|
— |
|
|
|
1,297 |
|
|
|
— |
|
Deferred income taxes |
|
(3,089 |
) |
|
|
6,653 |
|
|
|
(3,318 |
) |
|
|
7,951 |
|
Stock compensation expense |
|
6,804 |
|
|
|
7,417 |
|
|
|
15,052 |
|
|
|
13,479 |
|
Change in assets and liabilities, net of effects of business combinations |
|
|
|
|
|
|
|
||||||||
Accounts receivable |
|
(34,950 |
) |
|
|
62,408 |
|
|
|
(49,064 |
) |
|
|
70,217 |
|
Prepaid expenses and other current assets |
|
14,884 |
|
|
|
3,181 |
|
|
|
9,769 |
|
|
|
8,074 |
|
Deferred contract costs |
|
380 |
|
|
|
(8,979 |
) |
|
|
(6,431 |
) |
|
|
(9,184 |
) |
Accounts payable and accrued liabilities |
|
29,405 |
|
|
|
1,196 |
|
|
|
(3,047 |
) |
|
|
12,395 |
|
Accrued compensation and benefits |
|
28,024 |
|
|
|
18,921 |
|
|
|
(28,281 |
) |
|
|
(16,761 |
) |
Deferred revenue |
|
12,544 |
|
|
|
7,539 |
|
|
|
18,473 |
|
|
|
13,296 |
|
Income taxes |
|
(23,836 |
) |
|
|
(13,717 |
) |
|
|
(13,515 |
) |
|
|
3,230 |
|
Operating lease right-of-use assets and liabilities |
|
5,077 |
|
|
|
4,513 |
|
|
|
(1,293 |
) |
|
|
(414 |
) |
Other assets and liabilities |
|
(3,899 |
) |
|
|
(4,251 |
) |
|
|
2,331 |
|
|
|
(1,697 |
) |
Net cash provided by operating activities |
|
114,778 |
|
|
|
181,583 |
|
|
|
111,859 |
|
|
|
279,698 |
|
|
|
|
|
|
|
|
|
||||||||
Purchases of property and equipment and capitalized software |
|
(16,571 |
) |
|
|
(14,490 |
) |
|
|
(22,898 |
) |
|
|
(23,584 |
) |
Acquisitions of businesses, net of cash acquired |
|
(4 |
) |
|
|
(413,781 |
) |
|
|
(4 |
) |
|
|
(413,940 |
) |
Net cash used in investing activities |
|
(16,575 |
) |
|
|
(428,271 |
) |
|
|
(22,902 |
) |
|
|
(437,524 |
) |
Cash flows from financing activities: |
|
|
|
|
|
|
|
||||||||
Cash dividends paid to MAXIMUS shareholders |
|
(17,312 |
) |
|
|
(17,207 |
) |
|
|
(34,659 |
) |
|
|
(34,414 |
) |
Purchases of MAXIMUS common stock |
|
(24,464 |
) |
|
|
— |
|
|
|
(25,843 |
) |
|
|
(3,363 |
) |
Tax withholding related to RSU vesting |
|
— |
|
|
|
— |
|
|
|
(9,673 |
) |
|
|
(9,818 |
) |
Proceeds from borrowings |
|
140,000 |
|
|
|
352,310 |
|
|
|
240,000 |
|
|
|
500,162 |
|
Principal payments for debt |
|
(287,023 |
) |
|
|
(117,650 |
) |
|
|
(303,708 |
) |
|
|
(263,838 |
) |
Other |
|
— |
|
|
|
1 |
|
|
|
— |
|
|
|
(2,762 |
) |
Net cash (used in)/provided by financing activities |
|
(188,799 |
) |
|
|
217,454 |
|
|
|
(133,883 |
) |
|
|
185,967 |
|
Effect of exchange rate changes on cash, cash equivalents, and restricted cash |
|
(48 |
) |
|
|
(619 |
) |
|
|
324 |
|
|
|
3,263 |
|
Net change in cash, cash equivalents, and restricted cash |
|
(90,644 |
) |
|
|
(29,853 |
) |
|
|
(44,602 |
) |
|
|
31,404 |
|
Cash, cash equivalents and restricted cash, beginning of period |
|
202,612 |
|
|
|
149,818 |
|
|
|
156,570 |
|
|
|
88,561 |
|
Cash, cash equivalents and restricted cash, end of period |
$ |
111,968 |
|
|
$ |
119,965 |
|
|
$ |
111,968 |
|
|
$ |
119,965 |
|
MAXIMUS, Inc. |
|||||||||||||||||||||||||||
Consolidated Results of Operations by Segment |
|||||||||||||||||||||||||||
(Unaudited) |
|||||||||||||||||||||||||||
|
For the Three Months Ended |
|
For the Six Months Ended |
||||||||||||||||||||||||
|
March 31, 2022 |
|
March 31, 2021 |
|
March 31, 2022 |
|
March 31, 2021 |
||||||||||||||||||||
|
Amount |
|
% (1) |
|
Amount |
|
% (1) |
|
Amount |
|
% (1) |
|
Amount |
|
% (1) |
||||||||||||
|
(dollars in thousands) |
||||||||||||||||||||||||||
Revenue: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
U.S. Services |
$ |
398,077 |
|
|
|
|
$ |
448,215 |
|
|
|
|
$ |
784,494 |
|
|
|
|
$ |
833,149 |
|
|
|
||||
U.S. Federal Services |
|
573,288 |
|
|
|
|
|
330,136 |
|
|
|
|
|
1,155,159 |
|
|
|
|
|
735,381 |
|
|
|
||||
Outside the U.S. |
|
205,961 |
|
|
|
|
|
180,929 |
|
|
|
|
|
388,549 |
|
|
|
|
|
336,304 |
|
|
|
||||
Revenue |
$ |
1,177,326 |
|
|
|
|
$ |
959,280 |
|
|
|
|
$ |
2,328,202 |
|
|
|
|
$ |
1,904,834 |
|
|
|
||||
Gross Profit: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
U.S. Services |
$ |
84,971 |
|
|
21.3 |
% |
|
$ |
119,440 |
|
|
26.6 |
% |
|
$ |
174,670 |
|
|
22.3 |
% |
|
$ |
218,442 |
|
|
26.2 |
% |
U.S. Federal Services |
|
115,153 |
|
|
20.1 |
% |
|
|
74,133 |
|
|
22.5 |
% |
|
|
241,729 |
|
|
20.9 |
% |
|
|
156,629 |
|
|
21.3 |
% |
Outside the U.S. |
|
28,327 |
|
|
13.8 |
% |
|
|
37,085 |
|
|
20.5 |
% |
|
|
40,207 |
|
|
10.3 |
% |
|
|
61,642 |
|
|
18.3 |
% |
Gross Profit |
$ |
228,451 |
|
|
19.4 |
% |
|
$ |
230,658 |
|
|
24.0 |
% |
|
$ |
456,606 |
|
|
19.6 |
% |
|
$ |
436,713 |
|
|
22.9 |
% |
Selling, general, and administrative expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
U.S. Services |
$ |
38,273 |
|
|
9.6 |
% |
|
$ |
36,593 |
|
|
8.2 |
% |
|
$ |
73,375 |
|
|
9.4 |
% |
|
$ |
74,049 |
|
|
8.9 |
% |
U.S. Federal Services |
|
68,949 |
|
|
12.0 |
% |
|
|
50,978 |
|
|
15.4 |
% |
|
|
133,874 |
|
|
11.6 |
% |
|
|
103,230 |
|
|
14.0 |
% |
Outside the U.S. |
|
24,011 |
|
|
11.7 |
% |
|
|
22,013 |
|
|
12.2 |
% |
|
|
45,351 |
|
|
11.7 |
% |
|
|
42,045 |
|
|
12.5 |
% |
Other (2) |
|
(926 |
) |
|
NM |
|
|
|
2,818 |
|
|
NM |
|
|
|
1,928 |
|
|
NM |
|
|
|
5,045 |
|
|
NM |
|
Selling, general, and administrative expenses |
$ |
130,307 |
|
|
11.1 |
% |
|
$ |
112,402 |
|
|
11.7 |
% |
|
$ |
254,528 |
|
|
10.9 |
% |
|
$ |
224,369 |
|
|
11.8 |
% |
Operating income/(loss): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
U.S. Services |
$ |
46,698 |
|
|
11.7 |
% |
|
$ |
82,847 |
|
|
18.5 |
% |
|
$ |
101,295 |
|
|
12.9 |
% |
|
$ |
144,393 |
|
|
17.3 |
% |
U.S. Federal Services |
|
46,204 |
|
|
8.1 |
% |
|
|
23,155 |
|
|
7.0 |
% |
|
|
107,855 |
|
|
9.3 |
% |
|
|
53,399 |
|
|
7.3 |
% |
Outside the U.S. |
|
4,316 |
|
|
2.1 |
% |
|
|
15,072 |
|
|
8.3 |
% |
|
|
(5,144 |
) |
|
(1.3 |
) % |
|
|
19,597 |
|
|
5.8 |
% |
Amortization of intangible assets |
|
(22,856 |
) |
|
NM |
|
|
|
(5,070 |
) |
|
NM |
|
|
|
(45,261 |
) |
|
NM |
|
|
|
(11,586 |
) |
|
NM |
|
Other (2) |
|
926 |
|
|
NM |
|
|
|
(2,818 |
) |
|
NM |
|
|
|
(1,928 |
) |
|
NM |
|
|
|
(5,045 |
) |
|
NM |
|
Operating income/(loss) |
$ |
75,288 |
|
|
6.4 |
% |
|
$ |
113,186 |
|
|
11.8 |
% |
|
$ |
156,817 |
|
|
6.7 |
% |
|
$ |
200,758 |
|
|
10.5 |
% |
| (1) | Percentage of respective segment revenue. Percentages not considered meaningful are marked "NM." |
|
(2)
|
Other selling, general, and administrative expenses includes costs that are not allocated to a particular segment. This includes expenses incurred as part of our acquisitions, as well as potential acquisitions which have not been or may not be completed. |
MAXIMUS, Inc. |
|||||||||||||||
Consolidated Free Cash Flow - Non-GAAP |
|||||||||||||||
(Unaudited) |
|||||||||||||||
|
For the Three Months Ended |
|
For the Six Months Ended |
||||||||||||
|
March 31, 2022 |
|
March 31, 2021 |
|
March 31, 2022 |
|
March 31, 2021 |
||||||||
|
(in thousands) |
||||||||||||||
Net cash provided by operating activities |
$ |
114,778 |
|
|
$ |
181,583 |
|
|
$ |
111,859 |
|
|
$ |
279,698 |
|
Purchases of property and equipment and capitalized software costs |
|
(16,571 |
) |
|
|
(14,490 |
) |
|
|
(22,898 |
) |
|
|
(23,584 |
) |
Free cash flow (Non-GAAP) |
$ |
98,207 |
|
|
$ |
167,093 |
|
|
$ |
88,961 |
|
|
$ |
256,114 |
|
MAXIMUS, Inc. |
|||||||||||||||
Non-GAAP Adjusted Results Excluding Amortization of Intangible Assets |
|||||||||||||||
(Unaudited) |
|||||||||||||||
|
For the Three Months Ended |
|
For the Six Months Ended |
||||||||||||
|
March 31, 2022 |
|
March 31, 2021 |
|
March 31, 2022 |
|
March 31, 2021 |
||||||||
|
(dollars in thousands, except per share data) |
||||||||||||||
Operating income |
$ |
75,288 |
|
|
$ |
113,186 |
|
|
$ |
156,817 |
|
|
$ |
200,758 |
|
Add back: Amortization of intangible assets |
|
22,856 |
|
|
|
5,070 |
|
|
|
45,261 |
|
|
|
11,586 |
|
Adjusted operating income excluding amortization of intangible assets (Non-GAAP) |
$ |
98,144 |
|
|
$ |
118,256 |
|
|
$ |
202,078 |
|
|
$ |
212,344 |
|
Adjusted operating income margin excluding amortization of intangible assets (Non-GAAP) |
|
8.3 |
% |
|
|
12.3 |
% |
|
|
8.7 |
% |
|
|
11.1 |
% |
|
|
|
|
|
|
|
|
||||||||
Net income |
$ |
50,096 |
|
|
$ |
80,614 |
|
|
$ |
103,426 |
|
|
$ |
144,691 |
|
Add back: Amortization of intangible assets, net of tax |
|
16,884 |
|
|
|
3,756 |
|
|
|
33,414 |
|
|
|
8,578 |
|
Adjusted net income excluding amortization of intangible assets (Non-GAAP) |
$ |
66,980 |
|
|
$ |
84,370 |
|
|
$ |
136,840 |
|
|
$ |
153,269 |
|
|
|
|
|
|
|
|
|
||||||||
Diluted earnings per share |
$ |
0.80 |
|
|
$ |
1.29 |
|
|
$ |
1.66 |
|
|
$ |
2.33 |
|
Add back: Effect of amortization of intangible assets on diluted earnings per share |
|
0.27 |
|
|
|
0.06 |
|
|
|
0.53 |
|
|
|
0.13 |
|
Adjusted diluted earnings per share excluding amortization of intangible assets (Non-GAAP) |
$ |
1.07 |
|
|
$ |
1.35 |
|
|
$ |
2.19 |
|
|
$ |
2.46 |
|
