Paul Strigler's questions to Willdan Group Inc (WLDN) leadership • Q2 2025
Question
Paul Strigler asked about the future impact of the Section 179D tax credit's potential termination on Willdan's tax rate and on its customers' decisions to pursue energy efficiency upgrades.
Answer
CFO Creighton Kim Early acknowledged the termination would have a significant impact, potentially increasing the effective tax rate by 'five points or more,' but noted the effect would likely not be seen until 2027 due to the timing of eligible projects. He clarified that the 179D credit, which Willdan receives for work on government and non-profit facilities, is distinct from renewable energy investment tax credits that more directly influence customer project decisions, stating the latter is a minor part of Willdan's business.