ICF Reports Fourth Quarter and Full Year 2021 Results

Feb 24, 2022

FAIRFAX, Va., Feb. 24, 2022 /PRNewswire/ --

Fourth Quarter Highlights:

  • Total Revenue Was $388 Million; Service Revenue¹ Increased 4.3% to $273 Million
  • Diluted EPS Was $0.63, Inclusive of $0.43 of Tax-Effected Facility and M&A Charges
  • Non-GAAP EPS¹ Was $1.19
  • Adjusted EBITDA Margin on Service Revenue¹ Was 13.9%
  • Contract Awards of $652 Million, Up 24% for a Book-to-Bill Ratio of 1.68

Full Year Highlights:  

  • Total Revenue Was $1.55 Billion; Service Revenue Increased 6.4% to $1.11 Billion
  • Diluted EPS Was $3.72, Inclusive of $0.57 of Tax-Effected Facility and M&A Charges
  • Non-GAAP EPS Was $4.82
  • Adjusted EBITDA Margin on Service Revenue Was 14.4%
  • Record Contract Awards of $2.25 Billion, Up 15% for a Book-to-Bill Ratio of 1.45
  • Operating Cash Flow of $110 Million

—Backlog and Business Development Pipeline at Record Year-End Levels—

—2022 Guidance Anticipates Double-Digit Revenue Growth and Strong
Margin Performance Inclusive of Continued Growth Investments—

ICF (NASDAQ:ICFI), a global consulting and digital services provider, reported results for the fourth quarter and full year ended December 31, 2021. 

Commenting on the results, John Wasson, chairman and chief executive officer, said, "Our fourth quarter operating results were in line with our expectations, capping a year of strong performance. As anticipated, service revenue was similar to that of the third quarter, led by strong growth in our government and commercial energy client categories. In the fourth quarter, we continued to benefit from our expanded capabilities in key growth areas, namely IT modernization/digital transformation, public health, disaster management and utility consulting, as well as climate, environment and infrastructure. Together, annual revenues from these markets increased over 10% and accounted for approximately 65% of our full year 2021 service revenue.

"ICF reported exceptional margins in 2021 with adjusted EBITDA to service revenue reaching 13.9% for the fourth quarter and 14.4% for the full year. Both full year and fourth quarter performance reflected a favorable business mix, high utilization and lower facility-related costs, together with pandemic-related expense savings. While certain operating expense items will increase with the return of pre-pandemic activities, we are confident in our ability to progressively increase normalized EBITDA margins over the next several years through a combination of scale, lower facility costs and other operating efficiencies.

"Both the fourth quarter and full year were periods of record contract wins for ICF, bringing our book-to-bill ratios to 1.68 and 1.45, respectively. Approximately two-thirds of the value of the contracts we won in 2021 represented new business, a clear indication of how well aligned ICF's subject matter expertise and implementation capabilities are with trends in market demand and client spending.

"In the fourth quarter, we were pleased to announce the acquisition of Creative Systems and Consulting, which we completed at the start of 2022. Creative is a premier provider of IT modernization and digital transformation solutions to U.S. federal agencies that brings substantial expertise in Salesforce and Microsoft platforms, which complements our leading ServiceNow and Appian capabilities. We expect this acquisition to provide significant opportunities for revenue synergies over time as ICF now will offer leading practices supporting the most widely adopted low-code/no-code platforms in the federal government."

Fourth Quarter 2021 Results

Fourth quarter 2021 total revenue was $388.0 million compared to $434.3 million in the fourth quarter of 2020, which included approximately $65 million of low margin pass-through revenue tied to the completion of a large commercial marketing contract. Service revenue was $273.4 million, up 4.3% year-over-year from $262.2 million. Net income totaled $12.1 million and diluted EPS was $0.63 per share in the 2021 fourth quarter, inclusive of tax-effected special charges of $0.43 related to facilities and M&A. This compares to $12.8 million and $0.67 per share last year, which included $0.56 of tax-effected special charges.     

Adjusted EBITDA¹ was $38.0 million, equivalent to adjusted EBITDA margin on service revenue of 13.9%. This compares to adjusted EBITDA of $44.9 million in the fourth quarter of 2020, equivalent to an adjusted EBITDA margin on service revenue of 17.1%, which reflected lower SG&A and fringe benefit-related expenses associated with the pandemic. 2021 fourth quarter EBITDA was $26.8 million, compared to $30.3 million a year ago. Non-GAAP EPS was $1.19 per share, compared to the $1.36 per share reported in the fourth quarter of 2020.

Full Year 2021 Results

2021 total revenue was $1.55 billion, an increase of 3.1% from $1.51 billion reported a year ago. Service revenue increased 6.4% year-over-year to $1.11 billion, from $1.04 billion in 2020. Full year 2021 net income was $71.1 million, or $3.72 per diluted share, inclusive of $0.63 of tax-effected special charges, of which $0.57 were facility and M&A-related charges. This compares to net income of $55.0 million reported in 2020, or $2.87 per diluted share, inclusive of $0.79 of tax-effected special charges.   

Non-GAAP EPS was $4.82 per share, up 15.6% from $4.17 per share. EBITDA increased 16.3% to $142.9 million, compared to $122.9 million reported in 2020. Adjusted EBITDA was $159.6 million, representing an 11.5% increase over $143.2 million in 2020. The 2021 adjusted EBITDA margin on service revenue was 14.4%, compared to 13.7% in 2020.       

Operating cash flow was $110 million in 2021.

Backlog and New Business Awards

Total backlog was $3.2 billion at the end of the fourth quarter of 2021. Funded backlog was $1.6 billion, or approximately 50% of the total backlog. The total value of contracts awarded in the 2021 fourth quarter was $652 million, up 24% year-on-year for a quarterly book-to-bill ratio of 1.68. Trailing-twelve-month contract awards totaled $2.25 billion for a book-to-bill ratio of 1.45.

Government Revenue Fourth Quarter 2021 Highlights

Revenue from government clients was $272.6 million, up 9.2% year-over-year.  

  • U.S. federal government revenue was $181.7 million, 9.8% above the $165.5 million reported in the year-ago quarter. Federal government revenue accounted for 47% of total revenue, compared to 38% of total revenue in the fourth quarter of 2020.
  • U.S. state and local government revenue increased 19.5% to $60.4 million, from $50.5 million in the year-ago quarter. State and local government clients represented 15% of total revenue, compared to 12% in the fourth quarter of 2020.
  • International government revenue was $30.5 million, compared to $33.7 million in the year-ago quarter. International government revenue remained constant year-on-year at 8% of total revenue.       

Key Government Contracts Awarded in the Fourth Quarter 2021

ICF was awarded more than 100 U.S. federal contracts and task orders and more than 200 additional contracts from U.S. state and local and international governments with an aggregate value of approximately $485 million. Notable awards won in the fourth quarter 2021 included:

Disaster Management

  • A recompete contract with a value of over $80 million to provide FEMA grant management support.

Cybersecurity

  • A new multiyear contract with a value greater than $75 million with a U.S. federal government agency to provide cybersecurity and resilience planning, partnership engagement and communications services.

Digital Transformation/IT Modernization

  • A new contract with a value of $30.3 million with a U.S. federal agency to continue to support the modernization of its federal assisted acquisition services system.
  • A new subcontract with a value of $8.8 million to provide IT modernization services for the U.S. Department of Defense, Deputy Assistant Secretary of Defense for Military Community and Family Policy.

Communications

  • A recompete framework contract with a value of $35.0 million with a directorate of the European Commission to support information and communications campaigns for the European Union.

Program Evaluation and Technical Assistance

  • A new contract with a value of $23.6 million with the U.S. Department of Health and Human Services Administration for Children and Families to conduct audits and provide technical assistance to care providers for one of its programs.

Energy and Environment

  • Two contract modifications with a combined value of $17.5 million with an office of the U.S. Department of Energy to continue to provide technical, information technology and management support.
  • A new task order with a value of $8.7 million to provide site planning and permitting services for the Sites Reservoir Project in California.

Commercial Revenue Fourth Quarter 2021 Highlights

Commercial revenue was $115.4 million, accounting for 30% of total revenue, compared to $184.6 million, or 43% of total revenue, in the year-ago quarter. The fourth quarter of 2020 included approximately $65 million of pass-through revenue tied to a large commercial marketing contract that was completed in the quarter.

  • Energy markets, which include energy efficiency programs, represented 62% of commercial revenue.
  • Marketing services accounted for 28% of commercial revenue, primarily reflecting lower pass-through revenues.

Key Commercial Contracts Awarded in the Fourth Quarter 2021

ICF was awarded commercial projects valued at more than $165 million during the quarter including:

Energy Markets

  • A recompete contract with Con Edison of New York to manage and significantly expand implementation of its residential energy efficiency portfolio.
  • A contract extension with Entergy Mississippi to expand implementation of its residential and commercial energy efficiency portfolios.
  • A sole source, recompete contract with a Northeastern U.S. utility to continue to support its energy efficiency program portfolio.

Marketing Services

  • A new multimillion-dollar contract with a mid-Atlantic U.S. energy company to serve as agency of record, providing marketing and advertisement services to each of its operating utilities.
  • Multiple new awards to continue to provide public relations and social media marketing services to a U.S. floor care products manufacturer.
  • Multiple new awards and modifications to provide loyalty program support services to a U.S. hospitality chain.

Dividend Declaration

On February 23, 2022, ICF declared a quarterly cash dividend of $0.14 per share, payable on April 13, 2022, to shareholders of record on March 25, 2022.

2021 Recognitions

ICF received several important recognitions in 2021:

  • For the sixth straight year, Forbes included ICF on its list of "America's Best Management Consulting Firms," and ICF was also included on Forbes list of "America's Best Employers for Diversity."
  • ICF was recognized as one of the "Best Places to Work" for parents working remotely.
  • ICF was named to the CDP (formerly the Climate Disclosure Project) Climate Change "A" List and was recognized with a Climate Leadership Award for goal setting by The Center for Climate and Energy Solutions and The Climate Registry.
  • ICF was named an Appian Trusted Delivery Partner for the Public Sector.
  • ICF Next was named a "Strong Performer" by Forrester Research in its report, The Forrester Wave™: Customer Database & Engagement Agencies, Q1 2021.

Summary and Outlook

"Last year was a period of significant achievement for ICF. Our service revenue growth rate was substantially higher than in 2020, reflecting excellent execution on existing contracts and demonstrating our strong positioning in key growth markets, where we continue to build our capabilities, backlog and pipeline. These accomplishments have laid the foundation for even stronger growth in 2022.

"Looking ahead, we expect 2022 to be a year of double-digit service revenue growth, driven by high single-digit organic growth and the benefit of our Creative acquisition. Business trends are anticipated to be similar to those of 2021, with revenue growth from our government and commercial energy clients more than offsetting lower comparisons in commercial marketing services, where activity has not recovered to pre-pandemic levels. Specifically, we expect service revenue for full year 2022 to range from $1.225 billion to $1.275 billion, representing year-on-year growth of over 12% at the midpoint. Pass-through revenues are anticipated at approximately 28% of total revenue in 2022, implying total revenue of $1.7 billion to $1.76 billion.

"EBITDA is expected to range from $160 million to $172 million, inclusive of continued organic investments in people, recruiting, technology and expanded business development capabilities and tools to ensure we take full advantage of the strong long-term demand trends in our growth markets. Based on current visibility, adjusted EBITDA is expected to range from $168 million to $180 million, equivalent to an adjusted EBITDA margin on service revenue of 13.9% at the midpoints of the ranges. This represents a 50-basis point expansion from the 13.4% we reported pre-pandemic in 2019. The difference between EBITDA and adjusted EBITDA guidance is primarily due to the add-back of a non-cash rent expense of approximately $8 million associated with our new Reston, Virginia, headquarters. GAAP EPS is projected at $4.15 to $4.45, and non-GAAP EPS is expected to range from $5.15 to $5.45, representing increases of 15% and 10%, respectively, over 2021. Operating cash flow is expected to be approximately $130 million in 2022.

"We expect the positive trends underlying our 2022 guidance to remain in place over the coming years given spending priorities across our government and commercial client sets and ICF's domain knowledge, cross-cutting implementation skills and expanded scale. The great majority of our work in any given year involves helping clients address critical environmental and social issues, which has enabled ICF to attract and retain professionals who are committed to making a positive impact on society. On our part, we are committed to providing those professionals with a collaborative working environment that meets the highest standards of corporate responsibility. We encourage you to visit our website to learn more about our achievements in this area," Mr. Wasson concluded.

1 Non-GAAP EPS, Service Revenue, EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin and Adjusted EBITDA Margin on Service Revenue are non-GAAP measurements. A reconciliation of all non-GAAP measurements to the most applicable GAAP number is set forth below. Special charges are items that were included within our consolidated statements of comprehensive income but are not indicative of ongoing performance and have been presented net of applicable U.S. GAAP taxes. The presentation of non-GAAP measurements may not be comparable to other similarly titled measures used by other companies.

About ICF

ICF (NASDAQ:ICFI) is a global consulting services company with approximately 8,000 full- and part-time employees, but we are not your typical consultants. At ICF, business analysts and policy specialists work together with digital strategists, data scientists and creatives. We combine unmatched industry expertise with cutting-edge engagement capabilities to help organizations solve their most complex challenges. Since 1969, public and private sector clients have worked with ICF to navigate change and shape the future. Learn more at icf.com.

Caution Concerning Forward-looking Statements

Statements that are not historical facts and involve known and unknown risks and uncertainties are "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. Such statements may concern our current expectations about our future results, plans, operations and prospects and involve certain risks, including those related to the government contracting industry generally; our particular business, including our dependence on contracts with U.S. federal government agencies; our ability to acquire and successfully integrate businesses; and the effects of the novel coronavirus disease (COVID-19) and related federal, state and local government actions and reactions on the health of our staff and that of our clients, the continuity of our and our clients' operations, our results of operations and our outlook. These and other factors that could cause our actual results to differ from those indicated in forward-looking statements that are included in the "Risk Factors" section of our securities filings with the Securities and Exchange Commission. The forward-looking statements included herein are only made as of the date hereof, and we specifically disclaim any obligation to update these statements in the future.

Investor Contacts:
Lynn Morgen, ADVISIRY PARTNERS, lynn.morgen@advisiry.com +1.212.750.5800
David Gold, ADVISIRY PARTNERS, david.gold@advisiry.com +1.212.750.5800

Company Information Contact:
Lauren Dyke, ICF, lauren.dyke@ICF.com +1.571.373.5577

 

ICF International, Inc. and Subsidiaries

Consolidated Statements of Comprehensive Income

(Unaudited)












Three Months Ended


Twelve Months Ended



December 31,


December 31,

(in thousands, except per share amounts)


2021


2020


2021


2020

Revenue


$                    387,985


$                  434,335


$              1,553,048


$                1,506,875

Direct costs


246,667


295,095


979,570


972,406

Operating costs and expenses:









Indirect and selling expenses


114,472


108,963


430,572


411,612

Depreciation and amortization


4,815


5,013


19,478


20,399

Amortization of intangible assets


3,443


3,506


12,492


13,349

Total operating costs and expenses


122,730


117,482


462,542


445,360










Operating income


18,588


21,758


110,936


89,109

Interest expense


(2,407)


(2,971)


(10,252)


(13,892)

Other expense


(212)


(860)


(594)


(544)

Income before income taxes


15,969


17,927


100,090


74,673

Provision for income taxes


3,890


5,107


28,958


19,714

Net income


$                      12,079


$                    12,820


$                   71,132


$                     54,959










Earnings per Share:









Basic


$                          0.64


$                        0.68


$                       3.77


$                         2.92

Diluted


$                          0.63


$                        0.67


$                       3.72


$                         2.87










Weighted-average Shares:









Basic


18,877


18,841


18,868


18,841

Diluted


19,138


19,143


19,124


19,135










Cash dividends declared per common share


$                          0.14


$                        0.14


$                       0.56


$                         0.56










Other comprehensive income (loss), net of tax


1,830


5,654


3,071


(1,962)

Comprehensive income, net of tax


$                      13,909


$                    18,474


$                   74,203


$                     52,997

 

ICF International, Inc. and Subsidiaries

Reconciliation of Non-GAAP financial measures(2) 

(Unaudited)












Three Months Ended


Twelve Months Ended



December 31,


December 31,

(in thousands, except per share amounts)


2021


2020


2021


2020

Reconciliation of Service Revenue









Revenue


$                  387,985


$                  434,335


$            1,553,048


$             1,506,875

Subcontractor and other direct costs (3)


(114,613)


(172,148)


(443,135)


(463,364)

Service revenue


$                  273,372


$                  262,187


$            1,109,913


$             1,043,511










Reconciliation of EBITDA and Adjusted EBITDA









Net income


$                    12,079


$                    12,820


$                 71,132


$                  54,959

Other expense


212


860


594


544

Interest expense


2,407


2,971


10,252


13,892

Provision for income taxes


3,890


5,107


28,958


19,714

Depreciation and amortization


8,258


8,519


31,970


33,748

EBITDA


26,846


30,277


142,906


122,857

Adjustment related to impairment of long-lived assets  (4)


7,563


3,090


7,901


3,090

Special charges related to acquisitions (5)


1,388


30


4,798


1,983

Special charges related to severance for staff realignment (6)


98


1,069


1,242


4,764

Special charges related to facilities consolidations and office closures (7)


1,295


1,643


1,434


1,643

Special charges related to the transfer to our new corporate headquarters (8)


899



899


Special charges related to retirement of Executive Chair (9)


(81)


8,825


397


8,825

Total special charges


11,162


14,657


16,671


20,305

Adjusted EBITDA


$                    38,008


$                    44,934


$               159,577


$                143,162










EBITDA Margin Percent on Revenue (10)


6.9%


7.0%


9.2%


8.2%

EBITDA Margin Percent on Service Revenue (10)


9.8%


11.5%


12.9%


11.8%

Adjusted EBITDA Margin Percent on Revenue (10)


9.8%


10.3%


10.3%


9.5%

Adjusted EBITDA Margin Percent on Service Revenue (10)


13.9%


17.1%


14.4%


13.7%










Reconciliation of Non-GAAP Diluted EPS









Diluted EPS


$                        0.63


$                        0.67


$                     3.72


$                      2.87

Adjustment related to impairment of long-lived assets


0.41


0.16


0.43


0.16

Special charges related to acquisitions


0.08



0.25


0.10

Special charges related to severance for staff realignment



0.06


0.06


0.25

Special charges related to facilities consolidations and office closures


0.07


0.10


0.08


0.10

Special charges related to the transfer to our new corporate headquarters 


0.05



0.05


Special charges related to retirement of Executive Chair 



0.46


0.02


0.46

Amortization of intangibles


0.17


0.18


0.65


0.70

Income tax effects (11)


(0.22)


(0.27)


(0.44)


(0.47)

Non-GAAP EPS


$                        1.19


$                        1.36


$                     4.82


$                      4.17










(2)These tables provide reconciliations of non-GAAP financial measures to the most applicable GAAP numbers. While we believe that these non-GAAP financial measures may be useful in evaluating our financial information, they should be considered supplemental in nature and not as a substitute for financial information prepared in accordance with GAAP. Other companies may define similarly titled non-GAAP measures differently and, accordingly, care should be exercised in understanding how we define these measures. 










(3)Subcontractor and other direct costs is direct costs excluding direct labor and fringe costs.










(4) Adjustment related to impairment of long-lived assets: We recognized impairment expense of $7.9 million during 2021 and $3.1 million in 2020 related to impairment of right-of-use lease assets.


(5) Special charges related to acquisitions: These costs consist primarily of consultants and other outside third-party costs and integration costs associated with our acquisitions and/or potential acquisitions.










(6) Special charges related to severance for staff realignment: These costs are mainly due to involuntary employee termination benefits for Company officers, groups of employees who have been terminated as part of a consolidation or reorganization or, to the extent that the costs are not included in the previous two categories, involuntary employee termination benefits for employees who have been terminated as a result of COVID-19.










(7)Special charges related to facilities consolidations, office closures: These costs are exit costs associated with terminated leases or full office closures.  The exit costs include charges incurred under a contractual obligation that existed as of the date of the accrual and for which we will (i) continue to pay until the contractual obligation is satisfied but with no economic benefit to us or (ii) we contractually terminated the obligation and ceased utilizing the facilities.










(8) Special charges related to the transfer to our new corporate headquarters:  These costs are additional rent as a result of us taking possession of our new corporate headquarters in Reston, Virginia, during the fourth quarter of 2021 while maintaining our current headquarters in Fairfax, Virginia.  We intend to complete the transition to our new corporate headquarters by the end of 2022 when our Fairfax lease ends.










(9)Special charges related to retirement of Executive Chair: These costs include severance, pro rata incentive bonus, welfare benefits, and acceleration of equity awards we incurred under the departing officer's severance agreement during the fourth quarter of 2020. As a result of the employment agreement, the departing officer was able to maintain certain equity awards beyond his retirement date, including performance-based awards that are subject to changes until they vest.










(10) EBITDA Margin Percent and Adjusted EBITDA Margin Percent were calculated by dividing the non-GAAP measure by the corresponding revenue.










(11)Income tax effects were calculated using an effective U.S. GAAP tax rate of 28.9% for the three and twelve months ended December 31, 2021, and 28.5% and 26.4% for the three and twelve months ended December 31, 2020, respectively.

 

ICF International, Inc. and Subsidiaries

Consolidated Balance Sheets

(Unaudited)






(in thousands, except share and per share amounts)


December 31,
2021


December 31,
2020

ASSETS





Current Assets:





Cash and cash equivalents


$                        8,254


$                     13,841

Restricted cash - current


12,179


68,146

Contract receivables, net


237,684


222,850

Contract assets


137,867


143,369

Prepaid expenses and other assets


42,354


25,492

Income tax receivable


10,825


1,977

Total Current Assets


449,163


475,675

Property and Equipment, net


52,053


62,434

Other Assets:





Goodwill


1,046,760


909,913

Other intangible assets, net


79,645


59,887

Operating lease - right-of-use assets


177,417


127,132

Other assets


44,496


32,249

Total Assets


$                 1,849,534


$                1,667,290






LIABILITIES AND STOCKHOLDERS' EQUITY





Current Liabilities:





Current portion of long-term debt


$                      10,000


$                     10,000

Accounts payable


105,652


91,365

Contract liabilities


39,665


42,050

Operating lease liabilities - current


34,901


23,350

Accrued salaries and benefits


85,517


80,512

Accrued subcontractors and other direct costs


39,400


78,842

Accrued expenses and other current liabilities


61,496


100,908

Total Current Liabilities


376,631


427,027

Long-term Liabilities:





Long-term debt


411,605


303,214

Operating lease liabilities - non-current


191,805


115,614

Deferred income taxes


41,913


34,330

Other long-term liabilities


24,110


40,144

Total Liabilities


1,046,064


920,329






Commitments and Contingencies 










Stockholders' Equity:





Preferred stock, par value $.001; 5,000,000 shares authorized; none issued



Common stock, $.001 par value; 70,000,000 shares authorized; 23,535,671 and 23,305,255 shares issued; and
18,876,490 and 18,909,983 shares outstanding at December 31, 2021 and 2020, respectively


23


23

Additional paid-in capital


384,984


369,058

Retained earnings


649,298


588,731

Treasury stock, 4,659,181 and 4,395,272 shares at December 31, 2021 and 2020, respectively


(219,800)


(196,745)

Accumulated other comprehensive loss


(11,035)


(14,106)

Total Stockholders' Equity


803,470


746,961

Total Liabilities and Stockholders' Equity


$                 1,849,534


$                1,667,290

 

ICF International, Inc. and Subsidiaries

Consolidated Statements of Cash Flows

(Unaudited)



 Years ended 



 December 31, 

(in thousands)


2021


2020

Cash Flows from Operating Activities





Net income


$                    71,132


$                    54,959

Adjustments to reconcile net income to net cash provided by operating activities:





Provision for credit losses


10,912


4,062

Deferred income taxes


8,816


(1,865)

Non-cash equity compensation


13,230


17,555

Depreciation and amortization


31,970


33,748

Facilities consolidation reserve


(302)


(288)

Amortization of debt issuance costs


617


710

Impairment of long-lived assets


7,901


3,090

Other adjustments, net


1,099


964

Changes in operating assets and liabilities, net of the effect of acquisitions:





Net contract assets and liabilities


3,069


6,064

Contract receivables


(19,021)


54,384

Prepaid expenses and other assets


4,529


(5,410)

Operating lease assets and liabilities, net


(5,481)


(2,307)

Accounts payable


13,479


(51,177)

Accrued salaries and benefits


(5,616)


26,810

Accrued subcontractors and other direct costs


(38,575)


32,544

Accrued expenses and other current liabilities


26,697


(18,198)

Income tax receivable and payable


(12,802)


5,375

Other liabilities


(1,449)


12,125

Net Cash Provided by Operating Activities


110,205


173,145






Cash Flows from Investing Activities





Capital expenditures for property and equipment and capitalized software


(19,932)


(17,683)

Payments for business acquisitions, net of cash acquired


(174,549)


(253,265)

Net Cash Used in Investing Activities


(194,481)


(270,948)






Cash Flows from Financing Activities





Advances from working capital facilities


881,037


1,020,451

Payments on working capital facilities


(773,264)


(870,114)

Payments on capital expenditure obligations



(1,712)

Receipt of restricted contract funds


264,214


65,694

Payment of restricted contract funds


(319,990)


(106)

Debt issue costs



(2,094)

Proceeds from exercise of options


2,848


37

Dividends paid


(10,565)


(10,551)

Net payments for stock issuances and buybacks


(20,040)


(29,726)

Payments on business acquisition liabilities


(1,007)


(1,924)

Net Cash Provided by Financing Activities


23,233


169,955

Effect of Exchange Rate Changes on Cash, Cash Equivalents, and Restricted Cash


(511)


3,353






(Decrease) Increase in Cash, Cash Equivalents, and Restricted Cash


(61,554)


75,505

Cash, Cash Equivalents, and Restricted Cash, Beginning of Period


81,987


6,482

Cash, Cash Equivalents, and Restricted Cash, End of Period


$                    20,433


$                    81,987






Supplemental Disclosure of Cash Flow Information





Cash paid during the period for:





Interest


$                    10,331


$                    14,337

Income taxes


$                    34,132


$                    15,954

Non-cash investing and financing transactions:





Share repurchases transacted but not settled and paid


552


Tenant improvements funded by lessor


$                           —


$                      3,124

Exercise of options receivable from shareholders


$                           —


$                      2,615

 

ICF International, Inc. and Subsidiaries

Supplemental Schedule(12)(13)



















Revenue by client markets


Three Months Ended


Twelve Months Ended



December 31,


December 31,



2021


2020


2021


2020

Energy, environment, and infrastructure


43%


37%


42%


40%

Health, education, and social programs


44%


50%


44%


45%

Safety and security


7%


7%


7%


8%

Consumer and financial


6%


6%


7%


7%

Total


100%


100%


100%


100%



















Revenue by client type


Three Months Ended


Twelve Months Ended



December 31,


December 31,



2021


2020


2021


2020

U.S. federal government


47%


38%


47%


44%

U.S. state and local government


15%


11%


15%


15%

International government


8%


8%


9%


6%

Government


70%


57%


71%


65%

Commercial


30%


43%


29%


35%

Total


100%


100%


100%


100%



















Revenue by contract mix


Three Months Ended


Twelve Months Ended



December 31,


December 31,



2021


2020


2021


2020

Time-and-materials


40%


52%


41%


49%

Fixed-price


44%


33%


41%


35%

Cost-based


16%


15%


18%


16%

Total


100%


100%


100%


100%



















(12)As is shown in the supplemental schedule, we track revenue by key metrics that provide useful information about the nature of our operations. Client markets provide insight into the breadth of our expertise.  Client type is an indicator of the diversity of our client base.  Revenue by contract mix provides insight in terms of the degree of performance risk that we have assumed.










(13)Certain immaterial revenue percentages in the prior year have been reclassified due to minor adjustments and reclassifications.

 

SOURCE ICF