Target Hospitality Slips To Loss In Q1, Reaffirms FY25 Revenue Outlook

Target Hospitality

7.22 USD -0.35%

• Charts
• News
• Analysen

Kaufen Verkaufen

(RTTNews) - Modular accommodations and value added hospitality services company Target Hospitality Corp. (TH), Monday announced net loss for the first quarter compared to profit last year. The results were impacted by reduced revenue reflecting lower average utilized beds.

The quarterly loss was $6.459 million or $0.07 per share, compared to profit of $20.363 million or $0.20 per share last year.

Three analysts, on average, were looking for loss of $0.02 per share. Analysts estimates usually exclude special items.

Revenue for the quarter declined to $69.897 million from $106.672 million in the prior year.

The company noted that the decrease were primarily attributable to the government segment, driven by the termination of the Pecos Children's Center Contract, effective February 21, 2025, and partially by the termination of the South Texas Family Residential Center Contract, effective August 9, 2024.

Average utilized beds were 9.898 million, down from 53.688 million a year ago. While the utilization percentage was 60, compared to 87 in the prior year.

Further, the company reiterated outlook for 2025 and total revenue is expected to be in a range of $265 to $285 million. Adjusted EBITDA is projected to be between $47 and $57 million.