Great Lakes reports ‘great first quarter’ earnings

Great Lakes Dredge & Dock Corporation (GLDD) yesterday reported financial results for the first quarter ended March 31, 2025.

According to Lasse Petterson, President and Chief Executive Officer, Great Lakes had an great first quarter, with strong project performance and high utilization as all of the company’s active dredges were operational.

“We ended the quarter with revenue of $242.9 million, net income of $33.4 million, and adjusted EBITDA of $60.1 million. Our substantial dredging backlog stood at approximately $1 billion as of the end of the first quarter, with an additional $265.3 million in low bids and options pending award, providing revenue visibility for the remainder of 2025 and well into 2026. Capital and coastal protection projects accounted for 95% of our backlog, which typically yield higher margins,” said Petterson.

He also said that dredging for the private companies in the Liquefied Natural Gas (“LNG”) market is gaining momentum. As a result, post-quarter end, GLDD received notice to proceed for dredging work on the Woodside Louisiana LNG project.

This project will be included in GLDD’s second quarter 2025 backlog along with two options that will be included in the second quarter 2025 options pending award. Dredging is expected to commence early 2026.

“Included in our current backlog are two other LNG projects awarded in 2023, the Port Arthur LNG Phase 1 Project and the Brownsville Ship Channel Project for the Next Decade Corporation’s Rio Grande LNG Project, the latter representing the largest project in the Company’s history. Dredging operations for both of these capital projects commenced in the third quarter of 2024 and are ongoing,” added Petterson.

“We continue to make progress on our new build program with our newest hopper dredge, the Amelia Island, expected to be delivered in the third quarter of this year will immediately go to work when she leaves the shipyard. The Amelia Island and her sister ship, the Galveston Island, which was delivered in early 2024, will primarily work on projects aimed at the redevelopment and enhancement of our shorelines, which are consistently impacted by storms, and rising sea,” continued Petterson.

The Administration continues to demonstrate strong and consistent support for the dredging industry. The U.S. Army Corps of Engineers is operating in fiscal year 2025 under a continuing resolution, enacted on March 15, 2025, which sustains the funding levels established in the prior fiscal year’s record-setting budget through September 30, 2025.

“Our $1 billion project backlog and the inclusion of resources from the 2023 Disaster Relief Supplemental Appropriations should enable us to continue to deliver on a very busy 2025, with sustained execution capacity and expected project visibility extending well into 2026,” said Petterson.

The Water Resources Development Act (“WRDA”) is reauthorized biannually and provides funding for the Corps’ projects focused on flood protection, dredging, and ecosystem restoration. WRDA 2022 authorized the projects for the deepening of shipping channels in New York and New Jersey to 55 feet, as well as for the Coastal Texas Protection and Restoration Program, which is designed to safeguard the Texas Gulf Coast from hurricanes.

On January 4, 2025, WRDA 2024 was signed into law, authorizing numerous capital investments and initiatives aimed at enhancing flood protection, strengthening coastal resilience, and advancing ecosystem restoration efforts.

Read the full first quarter report.