Great Lakes Dredge & Dock's Q1 2025: Contradictions Unveiled on Equinor Project, Offshore Wind Opportunities, and Market Demand

Equinor project status and impact on Acadia's contract time, offshore wind market opportunities, Acadia's project timeline and utilization, port deepening and coastal protection market demand are the key contradictions discussed in Great Lakes Dredge & Dock's latest 2025Q1 earnings call.



Strong Financial and Operational Performance:
- Great Lakes Dredge & Dock Corp reported revenue of $242.9 million for Q1 2025, with adjust EBITDA of $60.1 million and an adjusted EBITDA margin of 24.7%.
- The growth was driven by high asset utilization and strong project performance in complex port deepening and coastal restoration projects.

Backlog and Business Outlook:
- The company's dredging backlog remained strong at $1 billion, with capital and coastal protection projects accounting for 95%.
- This backlog supports high asset utilization and a solid revenue year for 2025, providing visibility for 2026 and beyond.

Share Repurchase Program and Liquidity:
- The Board of Directors approved a $50 million share repurchase program, reflecting the belief that the share price did not reflect the company's financial performance.
- The revolving credit facility was upsized to $330 million, enhancing liquidity and supporting the newbuild program.

Market and Market Share:
- The company expects the 2025 bid market to be approximately $2 billion, focusing on coastal protection projects and maintenance dredging.
- Despite the slow start in 2025 due to a continuing congressional resolution, Great Lakes maintains strong market positioning with a fully booked year.