As reported by Bridger Aerospace Group Holdings, Inc. on November 15, 2024, the company experienced record earnings in the third quarter of 2024, attributed largely to high utilization of its aerial firefighting fleet during the U.S. wildfire season.
The company announced $64.5 million in revenue, $27.3 million in net income, and $47 million in adjusted EBITDA for the quarter, marking year-over-year increases of 20%, 56%, and 21%, respectively.
This strong financial performance has prompted Bridger to increase its revenue guidance for 2024 to a range of $90 million to $95 million, with an adjusted EBITDA projection of $35 million to $40 million.
Bridger’s CEO Sam Davis noted the role of their Super Scooper fleet in meeting wildfire response demands: “Bridger’s Super Scooper fleet was in strong demand during the 2024 wildfire season, driving record revenue, net income, and adjusted EBITDA in the third quarter.”
The increased deployment of Bridger’s aircraft through November is expected to further impact revenue.
Bridger’s recent acquisition of FMS Aerospace contributed $1.6 million in third-quarter revenue, and the company expects FMS to further benefit future results, especially in 2025 and 2026.
Additionally, a partnership with MAB Funding LLC allowed Bridger to generate approximately $2.2 million from return-to-service work for four Super Scoopers in Spain, where they have also been expanding operations.
With the addition of FMS and the Spanish partnership, Bridger anticipates between $6 million to $8 million in 2024 revenue as a result of return-to-service work and other projects.
The company continues to focus on growth opportunities both within the U.S. and internationally.
Bridger reported an increase in the third-quarter cost of revenue, rising to $23 million due to greater flight hours, depreciation, and maintenance linked to higher fleet utilization.
Maintenance and flight operation expenses for the period totaled $7.9 million and $15.1 million, respectively.
Inflationary pressures also contributed to the rise in costs.
However, selling, general, and administrative expenses (SG&A) decreased to $8.6 million from $15.1 million in the same period last year.
Bridger attributes this decrease to a decline in the fair value of outstanding warrants and lower stock-based compensation expenses.
The company expects these adjustments to help offset increased operational costs.
Driven by strong third-quarter performance, Bridger’s cash and cash equivalents rose to $42.6 million as of September 30, 2024, an increase from $22.5 million at the end of June.
The company expects incoming trade and accounts receivables of approximately $26.7 million from the wildfire season, which will likely further boost cash reserves in the coming months.
For the full fiscal year, Bridger expects positive free cash flow between $5 million and $10 million after accounting for maintenance expenses and debt service obligations.
The company believes its largely fixed cost structure and seasonal revenue patterns position it well to achieve these targets.
Bridger Aerospace announced record financial results for the third quarter of 2024, citing high demand for its firefighting fleet during the U.S.
wildfire season as the key driver.
The company reported a revenue increase of approximately 20% year-over-year to $64.5 million, alongside a 56% rise in net income.
Bridger raised its 2024 revenue guidance by over 35% to a range of $90 million to $95 million and narrowed its adjusted EBITDA guidance to $35 million to $40 million, representing an 85% increase from 2023.
Additional contributions came from the recent acquisition of FMS Aerospace and a partnership for return-to-service work in Spain.
Despite inflationary pressures on operational costs, Bridger reduced SG&A expenses through adjustments to stock-based compensation and outstanding warrants.
The company expects positive cash flow for 2024, with cash and receivables expected to grow as end-of-year figures settle.
