Jean Paul Ramirez Veliz's questions to Southland Holdings Inc (SLND) leadership • Q1 2025
Question
Jean Paul Ramirez Veliz sought guidance on a normalized margin for the Civil segment, whether to expect revenue contraction in the Transportation segment in 2025, updates on upcoming claims, and the outlook for free cash flow development.
Answer
President and CEO Frankie S. Renda projected that mid-teen returns are 'more than achievable' for the Civil segment. He also noted that while exiting the M&P business will affect Transportation revenue, new core bridge projects are ramping up to contribute more to margins. On claims, Renda reported small progress on legacy settlements and expects significant cash flow in coming quarters, though CFO Keith Bassano cautioned that timing remains uncertain. Bassano also stated that after a positive Q1, free cash flow is expected to be weighted towards the second half of the year.