HOUSTON - Orion Group Holdings, Inc. (NYSE: NYSE:ORN), a specialty construction company, has announced the award of three significant contracts totaling over $63 million. The projects, spanning its Concrete and Marine segments, are set to commence in the third quarter of 2024.
The largest of the three, a contract exceeding $28 million, was awarded to Orion Concrete by Costco Wholesale (NASDAQ:COST) for the construction of the Port Saint Lucie Costco Depot Phase 1 in southeast Florida. This distribution center, one of Costco's largest, represents Orion's 16th collaboration with the retail giant and is among the top ten largest projects recently secured by Orion Concrete.
The work scope includes the placement of over 100,000 cubic yards of concrete for a 550,000 square foot facility and nearly 3 million square feet of concrete paving.
In addition, Orion Concrete has secured a contract for a data center project in North Texas, valued at approximately $15 million. The company has completed 19 data centers and continues to focus on infrastructure projects that support the growing Artificial Intelligence market.
Orion's Marine segment has been awarded a $20 million project by Port Tampa Bay to construct a new berth. The project involves building a 481 ft by 125 ft Berth 218 to accommodate bulk materials, along with additional infrastructure to enhance port operations.
Travis Boone, CEO of Orion Group Holdings, highlighted the company's competitive edge, citing their extensive experience, quality work, and exceptional safety record. Boone also emphasized the significance of the projects in supporting regional economic growth and the country's infrastructure needs.
Orion Group Holdings operates both on and off the water, providing a range of services in the infrastructure, industrial, and building sectors across the United States, Canada, and the Caribbean Basin.
The company's recent contract wins underscore its continued growth and the ongoing demand for its specialized construction services. The information for this article is based on a press release statement from Orion Group Holdings.
InvestingPro Insights
Orion Group Holdings, Inc. (NYSE: ORN) has recently secured contracts that affirm its expansion and growth trajectory. As the company embarks on these new projects, the financial landscape painted by InvestingPro Data presents a dynamic picture.
With a market capitalization of $289.13 million, Orion demonstrates a solid presence in the specialty construction sector. Despite a negative P/E ratio of -25.44, reflecting challenges in profitability over the last twelve months, the company's revenue stands at a notable $713.28 million. This is particularly relevant considering the substantial contracts Orion has been awarded, which could influence future financial outcomes.
The company's stock has experienced a significant price surge over the last six months, with a 91.45% increase, indicating investor confidence and a positive market response to Orion's operations and growth prospects. This aligns with the InvestingPro Tips that highlight a strong return over the last five years and an anticipated net income growth this year. Analysts also predict the company will be profitable this year, which could be a turning point for Orion's financials.
Orion's recent performance also includes a robust 288.43% one-year price total return, which is a testament to the company's market resilience and strategic initiatives. Still, it is worth noting that Orion does not pay a dividend, which could be a factor for income-focused investors.
For those looking to delve deeper into Orion's financial health and future prospects, InvestingPro offers additional insights. There are currently 11 more InvestingPro Tips available, which can be accessed for a more comprehensive analysis. Interested readers can use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
Overall, the data and insights provided by InvestingPro paint a nuanced picture of Orion Group Holdings, balancing current financial challenges with potential for future growth and profitability. As the company initiates its new projects, these metrics will be crucial in monitoring its progress and success.
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