North American Construction Group withdraws 2020 financial guidance
April 13, 2020 By Newswire
Acheson, Alta. – North American Construction Group (NACG) announced due to the ongoing global pandemic, financial guidance for 2020 have been withdrawn.
“Our whole business model is based on the provision of safe and cost effective heavy construction and mine support services to our customers. Clearly, our clients are currently dealing with the extremely negative and wide-ranging impacts of the COVID-19 pandemic,” said NACG chairman and CEO, Martin Ferron. “Therefore, discussions are in full swing about how we can best continue to support them in these toughest of times.
“It is too early to predict the full effect of these talks on our outlook for this year but we have already begun to flex our highly variable cost structure and capital spending plan to mitigate any adverse changes to our workload and pricing. We hope to have a clearer view by the time we report first quarter earnings in a few weeks. Our performance in that quarter was robust and we expect to at least meet consensus estimates.
“We have also taken steps to bolster our liquidity and recently reduced our already manageable debt level, via the call of a convertible debenture. Additionally, our efforts to diversify our business by natural resource and geography continue to gather momentum.”
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