Aaron MacNeil's questions to North American Construction Group (NOA) leadership • Q2 2025
Question
Aaron MacNeil of TD Securities inquired about the 2026 free cash flow outlook, asking for a quantification of the non-recurring challenges from 2025 and the key drivers for future cash generation. He also questioned the sustainability of Australia's high growth rate given recent labor-related margin pressures.
Answer
CFO Jason Veenstra explained that the H1 EBITDA shortfall directly impacted free cash flow but expects a working capital benefit in H2. He projected 2026 sustaining CapEx to normalize to the $180-200M range, supporting a free cash flow target of $130-150M. CEO Joe Lambert added that a 5-10% growth rate in Australia is manageable and that the company has already taken steps to address the skilled trades shortage, which is less pressured at lower growth rates.