Tetra Tech Reports Q3 2024 Results

TL;DR

TETRA TECH (TTEK) Q3 2024 earnings are in, check the filing for details.

AI Summary

Tetra Tech Inc. reported its third-quarter results for the period ending June 30, 2024. The company's filing indicates a fiscal year end of September 29, 2024. Specific financial figures and comparative data from previous periods are detailed within the report.

Why It Matters

This filing provides investors with an update on Tetra Tech's financial performance, crucial for understanding the company's current health and future prospects.

Risk Assessment

Risk Level: low — This is a standard quarterly earnings report (10-Q) with no immediately apparent red flags.

Key Players & Entities

• TETRA TECH INC (company) — Filer
• 0000831641-24-000035 (filing_id) — Accession Number
• 20240630 (date) — Period of Report
• 20240802 (date) — Filed as of Date
• 3475 EAST FOOTHILL BOULEVARD (address) — Business Address
• PASADENA (city) — Business Address City
• CA (state) — Business Address State
• 91107 (zip_code) — Business Address Zip
• 6263514664 (phone_number) — Business Phone

FAQ

Key Financial Figures

• $0.01 — ange on which registered Common Stock, $0.01 par value TTEK The NASDAQ Stock Market

Filing Documents

• ttek-20240630.htm (10-Q) — 1631KB
• ttekex311fy24q3.htm (EX-31.1) — 12KB
• ttekex312fy24q3.htm (EX-31.2) — 12KB
• ttekex321fy24q3.htm (EX-32.1) — 7KB
• ttekex322fy24q3.htm (EX-32.2) — 7KB
• ttekex95fy24q3.htm (EX-95) — 13KB
• 0000831641-24-000035.txt ( ) — 8835KB
• ttek-20240630.xsd (EX-101.SCH) — 61KB
• ttek-20240630_cal.xml (EX-101.CAL) — 104KB
• ttek-20240630_def.xml (EX-101.DEF) — 287KB
• ttek-20240630_lab.xml (EX-101.LAB) — 742KB
• ttek-20240630_pre.xml (EX-101.PRE) — 527KB
• ttek-20240630_htm.xml (XML) — 1297KB

Financial Statements (Unaudited)

Financial Statements (Unaudited) 3 Consolidated Balance Sheets as of June 3 0 , 2024 and October 1, 2023 3 Consolidated Statements of Income for the Three and Nine Months Ended June 3 0 , 2024 and July 2, 2023 4 Consolidated Statements of Comprehensive Income for the Three and Nine Months Ended June 3 0 , 2024 and July 2, 2023 5 Consolidated Statements of Cash Flows for the Nine Months Ended June 3 0 , 2024 and July 2, 2023 6 Consolidated Statements of Equity for the Three and Nine Months Ended June 3 0 , 2024 and July 2, 2023 7 Notes to Unaudited Consolidated Financial Statements 9 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 29 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 43 Item 4.

Controls and Procedures

Controls and Procedures 44 PART II. OTHER INFORMATION 44 Item 1.

Legal Proceedings

Legal Proceedings 44 Item 1A.

Risk Factors

Risk Factors 45 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 45 Item 4. Mine Safety Disclosures 45 Item 5. Other Information 45 Item 6. Exhibits 45

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements Tetra Tech, Inc. Consolidated Balance Sheets (unaudited - in thousands, except par value) ASSETS June 30, 2024 October 1, 2023 Current assets: Cash and cash equivalents $ 212,321 $ 168,831 Accounts receivable, net 1,053,758 974,535 Contract assets 118,556 113,939 Prepaid expenses and other current assets 121,846 98,719 Total current assets 1,506,481 1,356,024 Property and equipment, net 70,694 74,832 Right-of-use assets, operating leases 167,317 175,932 Goodwill 1,992,110 1,880,244 Intangible assets, net 164,459 173,936 Deferred tax assets 89,510 89,002 Other non-current assets 94,334 70,507 Total assets $ 4,084,905 $ 3,820,477 LIABILITIES AND EQUITY Current liabilities: Accounts payable $ 198,341 $ 173,271 Accrued compensation 317,457 302,755 Contract liabilities 372,283 335,044 Short-term lease liabilities, operating leases 65,932 65,005 Current contingent earn-out liabilities 47,407 51,108 Other current liabilities 244,842 280,959 Total current liabilities 1,246,262 1,208,142 Deferred tax liabilities 17,254 14,256 Long-term debt 861,830 879,529 Long-term lease liabilities, operating leases 128,892 144,685 Non-current contingent earn-out liabilities 22,876 22,314 Other non-current liabilities 141,588 148,045 Commitments and contingencies (Note 18) Equity: Preferred stock - authorized, 2,000 shares of $ 0.01 par value; no shares issued and outstanding at June 30, 2024 and October 1, 2023 — — Common stock - authorized, 150,000 shares of $ 0.01 par value; issued and outstanding, 53,532 and 53,248 shares at June 30, 2024 and October 1, 2023, respectively 535 532 Additional paid-in capital 28,171 — Accumulated other comprehensive loss ( 154,689 ) ( 195,295 ) Retained earnings 1,792,121 1,598,196 Tetra Tech stockholders' equity 1,666,138 1,403,433 Noncontrolling interests 65 73 Total stockholders' equity 1,666,203 1,403,506 Total liabilities and stockholders' equity $ 4,084,905 $ 3,820,477

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements 1. Basis of Presentation The accompanying unaudited consolidated financial statements and related notes of Tetra Tech, Inc. ("we," "us," "our" or "Tetra Tech") have been prepared in accordance with generally accepted accounting principles in the United States of America ("U.S. GAAP") for interim financial information and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. They do not include all of the information and footnotes required by U.S. GAAP for complete financial statements and, therefore, should be read in conjunction with the audited consolidated financial statements and the notes contained in our Annual Report on Form 10-K for the fiscal year ended October 1, 2023. These financial statements reflect all normal recurring adjustments that are considered necessary for a fair statement of our financial position, results of operations and cash flows for the interim periods presented. The results of operations and cash flows for any interim period are not necessarily indicative of results for the full fiscal year or for future fiscal yea rs. Certain prior year amounts have been reclassified to conform to the current year presentation in the accompanying notes. 2. Recent Accounting Pronouncements In November 2023, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures , which requires that an entity report segment information in accordance with Topic 280, Segment Reporting. The amendments in the ASU are intended to improve reportable segment disclosure requirements primarily through enhanced disclosures about significant segment expenses. The amendments in this ASU are effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024 (fiscal 2025 for us). Early adoption is permitted. We are curren

View Full Filing

View this 10-Q filing on SEC EDGAR