Dycom Industries, Inc. Announces Fiscal 2014 First Quarter Results And Provides Guidance For The Next Fiscal Quarter

    Dycom Industries, Inc. Announces Fiscal 2014 First Quarter Results And
                Provides Guidance For The Next Fiscal Quarter

PR Newswire

PALM BEACH GARDENS, Fla., Nov. 25, 2013

PALM BEACH GARDENS, Fla., Nov. 25, 2013 /PRNewswire/ --Dycom Industries, Inc.
(NYSE: DY) announced today its results for the first quarter ended October 26,
2013.

The Company reported:

  oContract revenues of $512.7 million for the quarter ended October 26,
    2013, compared to contract revenues of $323.3 million for the quarter
    ended October 27, 2012. Contract revenues for the quarter ended October
    26, 2013 grew 10.0% on an organic basis after excluding $157.1 million of
    revenue from businesses acquired during fiscal 2013.
  oAdjusted EBITDA (Non-GAAP) of $63.2 million for the quarter ended October
    26, 2013, compared to $40.4 million for the quarter ended October 27,
    2012.
  oNet income of $18.7 million, or $0.54 per common share diluted, for the
    quarter ended October 26, 2013, compared to $11.9 million, or $0.35 per
    common share diluted, for the quarter ended October 27, 2012. On a
    Non-GAAP basis, net income for the quarter ended October 27, 2012 was
    $12.3 million, or $0.36 per common share diluted. Non-GAAP net income for
    the quarter ended October 27, 2012 excludes $0.7 million in pre-tax
    acquisition related costs.

The Company also announced its outlook for the second quarter of fiscal 2014.
The Company currently expects revenue for the second quarter of fiscal 2014 to
range from $400.0 million to $420.0 million and diluted earnings per share to
range from $0.03 to $0.09.

The Company has defined Adjusted EBITDA (Non-GAAP) as earnings before
interest, taxes, depreciation and amortization, gain on sale of fixed assets,
acquisition related costs, stock-based compensation expense, and certain
non-recurring items. See the accompanying tables which present a
reconciliation of GAAP to Non-GAAP financial information.

A conference call to review the Company's results  will be hosted at
9a.m.(ET), Tuesday, November 26, 2013; call (800) 230-1074 (United States)
or (612) 234-9959 (International) ten minutes before the conference call
begins and ask for the "Dycom Results" conference call. A live webcast of the
conference call, along with related materials, will be available at
http://www.dycomind.com under the heading "Events." The conference call
materials will be available at approximately 8 a.m. (ET) on November 26, 2013.
If you are unable to attend the conference call at the scheduled time, a
replay of the live webcast and the conference call materials will be available
at http://www.dycomind.com until Thursday, December 26, 2013.

For additional detail on selected financial information including organic
revenue, customer metrics, and certain other selected financial data and
Non-GAAP measures, please refer to the Trend Schedule on Dycom's website
athttp://www.dycomind.com in the Investor Center.

Dycom is a leading provider of specialty contracting services throughout the
United States and in Canada. These services include engineering, construction,
maintenance and installation services to telecommunications providers,
underground facility locating services to various utilities, including
telecommunications providers, and other construction and maintenance services
to electric and gas utilities and others.

The Company reports its financial results in accordance with U.S. generally
accepted accounting principles (GAAP). The Company believes that the
presentation of certain Non-GAAP financial measures in this press release
provides information that is useful to investors because it allows for a more
direct comparison of the Company's performance for the period with the
Company's performance in the comparable prior-year period. The Company
cautions that Non-GAAP financial measures should be considered in addition to,
but not as a substitute for, the Company's reported GAAP results.

Fiscal 2014 first quarter results are preliminary and are unaudited. This
press release contains forward-looking statements as contemplated by the 1995
Private Securities Litigation Reform Act. These statements are based on
management's current expectations, estimates and projections. Forward-looking
statements are subject to risks and uncertainties that may cause actual
results in the future to differ materially from the results projected or
implied in any forward-looking statements contained in this press release. The
most significant of these risks and uncertainties are described in our Form
10-K, Form 10-Q and Form 8-K reports (including all amendments to those
reports) and include business and economic conditions and trends in the
telecommunications industry affecting our customers, the adequacy of our
insurance and other reserves and allowances for doubtful accounts, whether the
carrying value of our assets may be impaired, preliminary purchase price
allocations of businesses acquired, expected benefits and synergies of
acquisitions, future financial and operating results, the future impact of any
acquisitions or dispositions, the anticipated outcome of other contingent
events, including litigation, liquidity and other financial needs, the
availability of financing, and the other risks and uncertainties detailed from
time to time in our filings with the Securities and Exchange Commission. The
Company does not undertake to update forward-looking statements.

---Tables Follow---



DYCOM INDUSTRIES, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
October 26, 2013 and July 27, 2013
Unaudited
                                                     October 26,   July 27,
                                                     2013          2013
ASSETS                                               (Dollars in thousands)
CURRENT ASSETS:
Cash and equivalents                               $ 14,394      $ 18,607
Accounts receivable, net                             304,412       252,202
Costs and estimated earnings in excess of billings   221,110       204,349
Inventories                                          39,273        35,999
Deferred tax assets, net                             17,718        16,853
Income taxes receivable                              2,231         2,516
Other current assets                                 16,192        10,608
Total current assets                                 615,330       541,134
PROPERTY AND EQUIPMENT, NET                          203,916       202,703
GOODWILL                                             267,810       267,810
INTANGIBLE ASSETS, NET                               120,021       125,275
OTHER                                                17,199        17,286
TOTAL NON-CURRENT ASSETS                             608,946       613,074
TOTAL ASSETS                                       $ 1,224,276   $ 1,154,208
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable                                   $ 68,926      $ 77,954
Current portion of debt                              8,594         7,813
Billings in excess of costs and estimated earnings   13,347        13,788
Accrued insurance claims                             31,528        29,069
Other accrued liabilities                            79,453        71,191
Total current liabilities                            201,848       199,815
LONG-TERM DEBT                                       475,735       444,169
ACCRUED INSURANCE CLAIMS                             30,114        27,250
DEFERRED TAX LIABILITIES, NET NON-CURRENT            49,603        48,612
OTHER LIABILITIES                                    5,992         6,001
Total liabilities                                    763,292       725,847
Total Stockholders' Equity                           460,984       428,361
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY         $ 1,224,276   $ 1,154,208



DYCOM INDUSTRIES, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
Unaudited
                                  Three Months               Three Months
                                  Ended                      Ended
                                  October 26,                October 27,
                                  2013                       2012
                                  (Dollars in thousands, except per share
                                  amounts)
Contract revenues            $   512,720            $       323,286
Costs of earned revenues,
excluding depreciation and        410,119                    257,066
amortization
General and administrative        43,075                     28,824
expenses (1)
Depreciation and amortization     23,552                     15,311
Total                            476,746                    301,201
Interest expense, net             (6,886)                    (4,197)
Other income, net                 2,012                      1,614
Income before income taxes        31,100                     19,502
Provision for income taxes        12,440                     7,641
Net income                    $   18,660             $       11,861
Earnings per common share:
Basic earnings per common     $   0.56               $       0.36
share
Diluted earnings per common   $   0.54               $       0.35
share
Shares used in computing
income per common share:
 Basic                          33,423,678                 33,089,959
 Diluted                        34,638,998                 33,721,070
(1) Includes stock-based compensation expense of $3.5 million and $2.3 million
for the three months ended October 26, 2013 and October 27, 2012,
respectively.



DYCOM INDUSTRIES, INC. AND SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP INFORMATION
Unaudited
The below table presents the reconciliation of GAAP contract revenues to
Non-GAAP contract revenues adjusted to exclude revenues from subsidiaries
acquired during fiscal 2013.
             Contract    Revenues from         Contract    %        %
             Revenues -  subsidiaries          Revenues -  Growth   Growth -
             GAAP        acquired in fiscal    Non-GAAP    - GAAP
                         2013                                       Non-GAAP
             (Dollars in thousands)
  Three
  Months     $                                $ 
  Ended      512,720    $    (157,076)     355,644    58.6   % 10.0     %
  October
  26, 2013
  Three
  Months     $          $            $ 
  Ended      323,286    -                     323,286
  October
  27, 2012



DYCOM INDUSTRIES, INC. AND SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP INFORMATION
Unaudited
(continued)
The below table presents the Non-GAAP financial measure of Adjusted EBITDA for
the three months ended October 26, 2013 and October 27, 2012 and a
reconciliation of Adjusted EBITDA to net income, the most directly comparable
GAAP measure.
                                            Three Months      Three Months
                                            Ended             Ended
                                            October 26,       October 27,
                                            2013              2012
                                            (Dollars in thousands)
    Reconciliation of net income to
    Adjusted EBITDA (Non-GAAP):
           Net income                   $   18,660        $   11,861
           Interest expense, net            6,886             4,197
           Provision for income taxes       12,440            7,641
           Depreciation and                 23,552            15,311
           amortization expense
            Earnings Before
           Interest, Taxes,                 61,538            39,010
           Depreciation & Amortization
           ("EBITDA")
           Gain on sale of fixed assets     (1,865)           (1,581)
           Stock-based compensation         3,506             2,266
           expense
           Acquisition related costs        -                 710
            Adjusted EBITDA      $   63,179        $   40,405
           (Non-GAAP)



DYCOM INDUSTRIES, INC. AND SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP INFORMATION
Unaudited
(continued)
The below table presents a reconciliation of GAAP to Non-GAAP net income for
the three months ended October 27, 2012.
                                                      Three Months
                                                      Ended
                                                      October 27,
                                                      2012
                                                      (Dollars in thousands,
                                                      except per share
                                                      amounts)
Reconciling Item:
            Acquisition related costs, pre-tax    $   710
GAAP net income                                   $   11,861
Adjustment for Reconciling Item above, net of tax     431
Non-GAAP net income                               $   12,292
Earnings per common share:
Basic earnings per common share - GAAP           $   0.36
Adjustment for Reconciling Item above, net of tax     0.01
Basic earnings per common share - Non-GAAP       $   0.37
Diluted earnings per common share - GAAP          $   0.35
Adjustment for Reconciling Item above, net of tax     0.01
Diluted earnings per common share - Non-GAAP     $   0.36
Earnings per share amounts may not add due to
rounding.
Shares used in computing GAAP and Non-GAAP earnings per common share and
adjustment for Reconciling Item above:
 Basic                                              33,089,959
 Diluted                                            33,721,070



SOURCE Dycom Industries, Inc.

Website: http://www.dycomind.com
Contact: Steven E. Nielsen, President and CEO, H. Andrew DeFerrari, Senior
Vice President and CFO, (561) 627-7171