Concentration of Risk and Enterprise-Wide Disclosures

9 Months Ended

Sep. 30, 2024

Risks and Uncertainties [Abstract]

Concentration of Risk and Enterprise Wide Disclosures

4.Concentration of Risk and Enterprise-Wide Disclosures

In both reportable segments accounts receivable include amounts billed to governmental agencies and private customers and do not bear interest. Balances billed to customers but not paid pursuant to retainage provisions generally become payable upon contract completion and acceptance by the owner.

The table below presents the concentrations of current receivables (trade and retainage) at September 30, 2024 and December 31, 2023, respectively:

	September 30, 2024				December 31, 2023
Federal Government	$	44,604	24	%	$	8,885	6	%
State Governments		6,657	4	%		2,355	2	%
Local Governments		26,376	14	%		12,804	9	%
Private Companies		107,011	58	%		119,590	83	%
Gross receivables		184,648	100	%		143,634	100	%
Allowance for credit losses		(716)				(361)
Net receivables	$	183,932			$	143,273

At September 30, 2024, the United States Navy, which is included in the Federal Government category, accounted for 23.7% of total current receivables. At December 31, 2023, a customer in the Private Companies category accounted for 19.9% of total current receivables.

Additionally, the table below represents concentrations of contract revenue by type of customer for the three and nine months ended September 30, 2024 and 2023, respectively:

	Three months ended September 30,								Nine months ended September 30,
	2024		%		2023		%		2024		%		2023		%
Federal Government	$	58,149	26	%	$	27,336	16	%	$	178,552	31	%	$	94,808	19	%
State Governments		18,748	8	%		12,360	7	%		48,185	8	%		44,864	9	%
Local Government		28,604	13	%		29,422	18	%		84,469	15	%		71,803	14	%
Private Companies		121,174	53	%		99,358	59	%		268,308	46	%		298,709	58	%
Total contract revenues	$	226,675	100	%	$	168,476	100	%	$	579,514	100	%	$	510,184	100	%

For the three months ended September 30, 2024, the United States Navy, which is included in the Federal Government category, accounted for 25.2% of total contract revenues and a customer in the Private Companies category accounted for 10.0% of total contract revenues. For the three months ended September 30, 2023, the United States Navy, which is included in the Federal Government category, accounted for 10.2% of total contract revenues. For the nine months ended September 30, 2024, the United States Navy, which is included in the Federal Government category, accounted for 26.0% of total contract revenues. For the nine months ended September 30, 2023, no single customer accounted for more than 10.0% of total contract revenues.

With the exception of the Unites States Navy, the Company does not believe that the loss of any one of its customers would have a material adverse effect on the Company or its subsidiaries and affiliates since no single specific customer besides the United States Navy sustains such a large portion of receivables or contract revenue over time.  On March 10, 2023, the United States Navy awarded the Dragados/Hawaiian Dredging/Orion Joint

Venture a $2.8 billion contract to complete the construction of a dry dock at Pearl Harbor Naval Shipyard.  The Company’s portion of work as a dedicated subcontractor totals $447.6 million.  For the fiscal year ended December 31, 2023 and the three months and nine months ended September 30, 2024, the Company’s revenue related to the joint venture subcontract was approximately $90.5 million, $57.2 million and $150.7 million, respectively.

The concrete segment primarily purchases concrete from select suppliers. The loss of any one of these suppliers could adversely impact short-term operations.

Contract revenues generated outside the United States totaled 10.1% and 2.7% of total revenues for the three months ended September 30, 2024 and 2023, respectively, and 8.4% and 2.8% for the nine months ended September 30, 2024 and 2023, respectively, and were primarily located in the Caribbean Basin.