Breaking Down Orion Group Holdings, Inc. (ORN) Financial Health: Key Insights for Investors

Are you keeping a close watch on Orion Group Holdings, Inc. (ORN) and wondering about its financial stability? Did you know that in 2024, Orion Group Holdings saw a contract revenue increase of 11.9%, reaching $796.4 million? But how does this translate to the company's overall financial health, especially with a GAAP net loss of $1.6 million? Let's explore the key financial insights that can help you make informed decisions.

Orion Group Holdings, Inc. (ORN) Revenue Analysis

Orion Group Holdings, Inc. (ORN) generates revenue primarily through its two main segments: Civil Construction and Specialty Construction. Understanding the contribution of each segment and their respective growth trends is crucial for investors.

Analyzing the year-over-year revenue growth rate provides insights into the company's performance and market position. Factors influencing these trends include project execution, market demand, and economic conditions.

For a deeper dive into Orion Group Holdings, Inc. (ORN) financial health, check out: Breaking Down Orion Group Holdings, Inc. (ORN) Financial Health: Key Insights for Investors

Here’s a breakdown of what to consider when evaluating Orion Group Holdings, Inc.'s revenue streams:

• Civil Construction: This segment focuses on heavy civil construction projects, including roadways, bridges, and marine facilities. Revenue is derived from contracts with government entities and private clients.
• Specialty Construction: This segment specializes in providing services such as pile driving, marine construction, and complex concrete work. Revenue is generated through contracts with diverse clients across various industries.

To effectively assess Orion Group Holdings, Inc.'s financial health, investors should consider the following:

• Historical Revenue Trends: Reviewing past revenue performance helps identify patterns and potential growth trajectories.
• Segment Contribution: Understanding the percentage of revenue contributed by each segment provides insights into the company's diversification and reliance on specific markets.
• Significant Changes: Identifying any notable shifts in revenue streams, such as new projects or market expansions, can indicate strategic adjustments and future opportunities.

Analyzing the revenue streams of Orion Group Holdings, Inc. (ORN) requires a detailed examination of both its Civil Construction and Specialty Construction segments. By evaluating historical trends, segment contributions, and any significant changes, investors can gain a comprehensive understanding of the company's financial performance and growth potential.

Orion Group Holdings, Inc. (ORN) Profitability Metrics

Analyzing Orion Group Holdings, Inc. (ORN)'s profitability involves examining several key metrics that provide insights into the company's financial health and operational efficiency. These metrics include gross profit, operating profit, and net profit margins, which are essential for understanding the company's ability to generate profits from its revenue.

As of the fiscal year 2024, details on the specific profitability figures (gross profit, operating profit, and net profit margins) for Orion Group Holdings, Inc. (ORN) are not available in the provided search results. To provide a comprehensive analysis, one would typically look at the following:

• Gross Profit: The revenue a company retains after deducting the costs associated with producing its goods and services.
• Operating Profit: Calculated by deducting operating expenses from gross profit, indicating earnings before interest and taxes.
• Net Profit: The profit remaining after all expenses, including interest, taxes, and other costs, have been deducted from revenue.

To fully assess Orion Group Holdings, Inc.'s profitability, examining these metrics over a period of time is crucial. Trends in profitability can reveal whether the company is improving its efficiency and effectiveness in managing costs and generating revenue.

Comparing Orion Group Holdings, Inc.'s profitability ratios with industry averages can provide valuable context. If ORN's margins are higher than the industry average, it may indicate a competitive advantage. Conversely, lower margins could suggest areas for improvement.

Operational efficiency is critical to profitability. Effective cost management and positive gross margin trends are indicators of a well-run company. Analysis of these elements can show how well Orion Group Holdings, Inc. (ORN) manages its resources to maximize profits.

Without specific 2024 fiscal year data, a detailed comparative analysis is not possible. Investors and analysts should refer to Orion Group Holdings, Inc.'s official financial statements and reports for the most accurate and up-to-date information.

Orion Group Holdings, Inc. (ORN) Debt vs. Equity Structure

Understanding how Orion Group Holdings, Inc. (ORN) manages its debt and equity is crucial for investors assessing the company's financial stability and growth potential. This involves analyzing the levels of debt, key ratios, and any recent financing activities.

As of the fiscal year 2024, Orion Group Holdings, Inc. (ORN) showcases the following debt profile:

• Long-term debt: Specific figures for long-term debt would be detailed in the company's financial statements.
• Short-term debt: Similarly, the exact amount of short-term debt is available in their reports.

The balance between these components reflects the company's strategy in funding its operations and expansion.

The debt-to-equity ratio is a critical metric for evaluating financial leverage. To calculate this ratio:

1. Divide the company's total liabilities by shareholders' equity.

A comparison against industry averages provides context on whether Orion Group Holdings, Inc. (ORN)'s leverage is conservative or aggressive. For example, if the industry average is 1.5, a ratio below this might indicate lower risk, while a significantly higher ratio could signal increased financial risk. Remember, these ratios are based on 2024 financial data.

Recent financial activities, such as debt issuances or refinancing, can significantly impact the company's financial structure. Investors should monitor:

• New bond offerings.
• Changes in credit ratings from agencies like Standard & Poor's or Moody's.
• Any efforts to refinance existing debt to lower interest rates or extend maturities.

How Orion Group Holdings, Inc. (ORN) chooses to fund its activities—whether through debt or equity—reflects its financial management philosophy. Relying more on debt can amplify returns (and losses), while equity financing might dilute ownership but provide a more stable capital base.

Here's a hypothetical overview in a table format:

For more insights into Orion Group Holdings, Inc. (ORN)'s financial health, you can read: Breaking Down Orion Group Holdings, Inc. (ORN) Financial Health: Key Insights for Investors

By staying informed on these aspects, investors can better assess the financial risks and opportunities associated with Orion Group Holdings, Inc. (ORN).

Orion Group Holdings, Inc. (ORN) Liquidity and Solvency

Assessing a company's financial health involves a close look at its liquidity and solvency. These metrics provide insights into its ability to meet short-term obligations and sustain long-term operations. For Orion Group Holdings, Inc. (ORN), evaluating these aspects is crucial for investors.

Liquidity Positions: Current and Quick Ratios

The current and quick ratios are key indicators of a company's ability to cover its short-term liabilities with its short-term assets. A higher ratio generally indicates better liquidity. To assess Orion Group Holdings, Inc. (ORN)'s liquidity, we analyze these ratios:

• Current Ratio: This ratio measures a company's ability to pay off its current liabilities with its current assets. The formula is Current Assets / Current Liabilities.
• Quick Ratio: Also known as the acid-test ratio, this is a more conservative measure than the current ratio, as it excludes inventories from current assets. The formula is (Current Assets - Inventory) / Current Liabilities.

A review of these ratios over the past few fiscal years helps identify trends and potential areas of concern.

Analysis of Working Capital Trends

Working capital, calculated as current assets minus current liabilities, is a fundamental measure of a company's short-term financial health. Monitoring trends in working capital provides insights into Orion Group Holdings, Inc. (ORN)'s operational efficiency and liquidity management. Analyzing the components of working capital—such as accounts receivable, accounts payable, and inventory levels—can further reveal how effectively the company is managing its short-term resources.

Cash Flow Statements Overview

The cash flow statement is a critical component of financial analysis, as it details the movement of cash both into and out of a company during a specific period. It is divided into three main sections:

• Operating Activities: This section reflects the cash generated from the company's core business operations.
• Investing Activities: This includes cash flow related to the purchase and sale of long-term assets, such as property, plant, and equipment (PP&E).
• Financing Activities: This section covers cash flow related to debt, equity, and dividends.

By examining these trends, investors can gain a clearer picture of Orion Group Holdings, Inc. (ORN)'s financial stability and its ability to generate cash.

Potential Liquidity Concerns or Strengths

Identifying potential liquidity concerns or strengths involves a comprehensive review of the aforementioned metrics. For example, a declining current ratio coupled with negative operating cash flow could signal liquidity issues. Conversely, a consistently high quick ratio and strong positive cash flow from operations may indicate robust liquidity. Monitoring these indicators is vital for assessing Orion Group Holdings, Inc. (ORN)'s overall financial health and stability.

Here is a sample table illustrating the trends in key liquidity ratios for illustrative purposes:

Understanding who is investing in a company can provide insights into market sentiment and potential future performance. For more on this topic, see Exploring Orion Group Holdings, Inc. (ORN) Investor Profile: Who’s Buying and Why?

Orion Group Holdings, Inc. (ORN) Valuation Analysis

Determining whether Orion Group Holdings, Inc. (ORN) is overvalued or undervalued requires examining several key financial metrics and market indicators. These include price-to-earnings (P/E), price-to-book (P/B), and enterprise value-to-EBITDA (EV/EBITDA) ratios, stock price trends, dividend yield and payout ratios (if applicable), and analyst consensus.

As of April 21, 2025, here's a breakdown of these factors:

• Price-to-Earnings (P/E) Ratio: A high P/E ratio suggests that investors expect higher earnings growth in the future compared to companies with a lower P/E.
• Price-to-Book (P/B) Ratio: The P/B ratio compares a company's market capitalization to its book value of equity. A lower P/B ratio might indicate that the stock is undervalued.
• Enterprise Value-to-EBITDA (EV/EBITDA) Ratio: This ratio is often used as a valuation tool to compare the total value of a company to its earnings before interest, taxes, depreciation, and amortization. A lower ratio generally suggests better value.

Analyzing these ratios in comparison to industry peers and historical averages can provide insights into whether ORN is trading at a premium or discount.

Stock Price Trends: Reviewing the stock price trends over the last 12 months (or longer) can reveal important information about market sentiment and company performance. Recent trends may reflect investor reactions to earnings reports, industry developments, and overall market conditions.

Dividend Yield and Payout Ratios: These are relevant if Orion Group Holdings, Inc. (ORN) distributes dividends. The dividend yield indicates the return on investment based on the dividend payout, while the payout ratio shows the proportion of earnings paid out as dividends. A sustainable dividend yield and payout ratio can be attractive to investors.

Analyst Consensus: Major brokerage firms and investment banks provide ratings (buy, hold, or sell) and price targets for stocks. The consensus rating reflects the overall sentiment of analysts covering Orion Group Holdings, Inc. (ORN), while the price target indicates the expected future stock price. Significant discrepancies between the current stock price and the consensus price target may suggest overvaluation or undervaluation.

For example, according to Yahoo Finance, the average analyst rating for ORN is Hold. This is based on the views of 3 analysts. The consensus EPS estimate for the current year is 0.71

Here is a summary of key stock information for ORN:

To make informed decisions, investors should consider these valuation metrics in combination with other factors, such as the company's financial health, growth prospects, and competitive position within the industry.

Read more about ORN: Exploring Orion Group Holdings, Inc. (ORN) Investor Profile: Who’s Buying and Why?

Orion Group Holdings, Inc. (ORN) Risk Factors

Orion Group Holdings, Inc. (ORN) faces a variety of internal and external risks that could significantly impact its financial health. These risks span industry competition, regulatory changes, market conditions, and specific operational and strategic challenges highlighted in their financial reports.

Industry Competition: The construction industry is intensely competitive. ORN competes with numerous local, regional, and national firms, some of which may have greater financial resources or more specialized expertise. Increased competition could lead to lower margins and reduced project opportunities.

Regulatory Changes: Construction projects are subject to various federal, state, and local regulations, including environmental laws, safety standards, and permitting requirements. Changes in these regulations can increase project costs, delay project timelines, or even prevent projects from moving forward. For example, stricter environmental regulations could require ORN to invest in new equipment or processes, increasing capital expenditures.

Market Conditions: Economic downturns, fluctuations in commodity prices (such as steel and concrete), and changes in interest rates can all significantly impact ORN's financial performance. A decrease in infrastructure spending or a slowdown in commercial construction could reduce demand for ORN's services.

Recent earnings reports and filings have highlighted several key risks:

• Operational Risks: Construction projects are inherently complex and can be subject to cost overruns, delays, and unforeseen issues. Poor project management, inaccurate cost estimations, or supply chain disruptions can negatively impact profitability.
• Financial Risks: ORN's financial performance is sensitive to its ability to accurately estimate project costs and manage cash flow. Failure to secure favorable financing terms or maintain sufficient liquidity could limit its ability to pursue new projects or meet its financial obligations.
• Strategic Risks: ORN's growth strategy relies on its ability to successfully bid for and execute projects in its target markets. Changes in market conditions or increased competition could make it more difficult to win new projects or maintain its market share.

Mitigation strategies that Orion Group Holdings, Inc. (ORN) might employ include:

• Diversification: Expanding into new geographic markets or service offerings can reduce reliance on any single market or project type.
• Risk Management: Implementing robust risk management processes, including detailed project planning, cost controls, and insurance coverage, can help mitigate potential losses.
• Strategic Alliances: Forming partnerships or joint ventures with other companies can provide access to new markets, technologies, or expertise.
• Technology Adoption: Investing in technology to improve project efficiency, enhance communication, and reduce costs.

For more insights into Orion Group Holdings, Inc. (ORN) financial health, you can read: Breaking Down Orion Group Holdings, Inc. (ORN) Financial Health: Key Insights for Investors

Orion Group Holdings, Inc. (ORN) Growth Opportunities

Orion Group Holdings, Inc. (ORN) faces a landscape of potential growth drivers, including strategic market expansions and innovative service offerings. To understand the future trajectory, it's crucial to consider both the quantitative projections and the qualitative strategies the company employs.

Analysis of key growth drivers for Orion Group Holdings, Inc. (ORN):

• Market Expansion: Exploring new geographical markets and expanding service offerings within existing regions.
• Service Innovation: Developing and implementing innovative construction and specialty services to meet evolving client needs.
• Strategic Acquisitions: Pursuing strategic acquisitions to broaden capabilities and market presence.

Assessing future revenue growth projections and earnings estimates requires a look at recent performance and analyst expectations. While exact figures fluctuate, understanding the general trend provides valuable insight. Keep in mind that these are estimates and are subject to change based on market conditions and company performance.

Strategic initiatives and partnerships that may drive future growth:

• Technology Adoption: Investing in and integrating new technologies to improve project efficiency and accuracy.
• Client Relationship Management: Strengthening relationships with key clients to secure repeat business and expand project scopes.
• Sustainability Initiatives: Focusing on sustainable construction practices to appeal to environmentally conscious clients and projects.

Orion Group Holdings, Inc.'s competitive advantages that position the company for growth:

• Specialized Expertise: Possessing specialized knowledge and experience in marine construction, concrete, and other specialty services.
• Strong Reputation: Maintaining a strong reputation for quality, safety, and reliability in project execution.
• Experienced Management Team: Having an experienced leadership team with a proven track record of driving growth and profitability.

For more detailed insights into Orion Group Holdings, Inc. (ORN)'s financial health, you can refer to this comprehensive analysis: Breaking Down Orion Group Holdings, Inc. (ORN) Financial Health: Key Insights for Investors