Annual report pursuant to Section 13 and 15(d)

Condensed Financial Statements of Parent Company (Tables)

v3.22.2.2
Condensed Financial Statements of Parent Company (Tables)
 12 Months Ended
Sep. 30, 2022
Condensed Financial Information Disclosure [Abstract]  
Schedule of condensed balance sheet
CONSTRUCTION PARTNERS, INC.
PARENT COMPANY ONLY
CONDENSED BALANCE SHEETS
(in thousands, except share and per share data)
September 30,
2022 2021
ASSETS
Cash and cash equivalents $ 43,130  $ 65,225 
Prepaid expenses and other current assets 2,995  1,063 
Total current assets 46,125  66,288 
Property, plant and equipment, net 4,646  5,160 
Investment in subsidiaries 444,473  409,245 
Deferred income taxes, net —  892 
Due from subsidiaries 58,593  — 
Other assets 28,140  2,014 
Total assets $ 581,977  $ 483,599 
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Due to subsidiaries $ —  $ 46,304 
Accrued expenses and other current liabilities 3,477  2,970 
Current maturities of long-term debt 1,204  238 
Total current liabilities 4,681  49,512 
Long-term liabilities:
Due to subsidiaries 39,275  — 
Deferred income taxes, net 4,553  — 
Long-term debt, net of current maturities and debt issuance costs 77,589  24,440 
Other long-term liabilities —  748 
Total long-term liabilities 121,417  25,188 
Total liabilities 126,098  74,700 
Stockholders’ Equity
Preferred stock, par value $0.001; 10,000,000 shares authorized at September 30, 2022 and September 30, 2021 and no shares issued and outstanding
 —  — 
Class A common stock, par value $0.001; 400,000,000 shares authorized, 41,195,730 shares issued and 41,193,024 shares outstanding at September 30, 2022, and 36,600,639 shares issued and outstanding at September 30, 2021
 41  37 
Class B common stock, par value $0.001; 100,000,000 shares authorized, 14,275,867 shares issued and 11,352,915 shares outstanding at September 30, 2022, and 18,614,791 shares issued and 15,691,839 shares outstanding at September 30, 2021
 15  19 
Additional paid-in capital 256,571  248,571 
Treasury stock, at cost, 2,706 shares of Class A common stock at September 30, 2022, and no shares at September 30, 2021, par value $0.001
 (39) — 
Treasury stock, at cost, 2,922,952 shares of Class B common stock, par value $0.001
 (15,603) (15,603)
Accumulated other comprehensive loss 17,620  (23)
Retained earnings 197,274  175,898 
Total stockholders’ equity 455,879  408,899 
Total liabilities and stockholders’ equity $ 581,977  $ 483,599 
See note to condensed financial statements of parent company.
Schedule of condensed income statement
CONSTRUCTION PARTNERS, INC.
PARENT COMPANY ONLY
CONDENSED STATEMENTS OF COMPREHENSIVE INCOME
(in thousands, except share and per share amounts)
For the Fiscal Year Ended 
September 30,
2022 2021 2020
Equity in net income of subsidiaries $ 24,690  $ 25,505  $ 43,712 
General and administrative expenses (4,758) (6,399) (4,167)
Interest expense, net 68  834  (1,218)
Gain on sale of equipment, net 6  —  — 
Other income 13  3  — 
Income before provision for income taxes 20,019  19,943  38,327 
Income tax benefit 1,357  234  1,970 
Net income $ 21,376  $ 20,177  $ 40,297 
Other comprehensive (loss), net of tax
Unrealized gain (loss) on interest rate swap contract, net 18,091  (23) — 
Unrealized (loss) on restricted investments, net (448) —  — 
Other comprehensive (loss) 17,643  (23) — 
Comprehensive income $ 39,019  $ 20,154  $ 40,297 
Net income per share attributable to common stockholders:
Basic $ 0.41  $ 0.39  $ 0.78 
Diluted $ 0.41  $ 0.39  $ 0.78 
Weighted average number of common shares outstanding:
Basic 51,773,559  51,636,955  51,489,211 
Diluted 51,957,420  51,773,213  51,636,934 
See note to condensed financial statements of parent company.
Schedule of condensed cash flow statement
CONSTRUCTION PARTNERS, INC.
PARENT COMPANY ONLY
CONDENSED STATEMENTS OF CASH FLOWS
(in thousands)
For the Fiscal Year Ended
September 30,
2022 2021 2020
Cash flows from operating activities:
Net income $ 21,376  $ 20,177  $ 40,297 
Adjustments to reconcile net income to net cash (used in) provided by operating activities:
Depreciation, depletion and amortization of long-lived assets 757  475  463 
Gain on sale of equipment (6) —  — 
Loss (gain) on derivative instruments (1,668) (894) 1,397 
Equity-based compensation expense 8,000  3,549  1,570 
Equity in net income of subsidiaries (24,690) (25,505) (43,712)
    Deferred income tax benefit (248) (451) (425)
    Other non-cash adjustments (73) 9  — 
Changes in operating assets and liabilities:
Prepaid expenses and other current assets (1,932) (135) (183)
Other assets (593) (2,008) (6)
Accrued expenses and other current liabilities 507  1,001  (965)
Other liabilities (748) (97) — 
Net cash (used in) provided by operating activities 682  (3,879) (1,564)
Cash flows from investing activities:
Purchases of property, plant and equipment (243) (2,641) (1,189)
Proceeds from sale of equipment 6  —  — 
Investment in subsidiary (10,986) —  (17,303)
Net cash (used in) investing activities (11,223) (2,641) (18,492)
Cash flows from financing activities:
Change in amounts due to (from) subsidiaries, net (65,622) (6,296) 34,150 
Purchase of treasury stock (39) —  — 
Principal payments on long-term debt (420) —  — 
Proceeds from issuance of long-term debt, net of debt issuance costs and discount 54,527  —  — 
Net cash (used in) provided by financing activities (11,554) (6,296) 34,150 
Net change in cash and cash equivalents (22,095) (12,816) 14,094 
Cash and cash equivalents:
Beginning of period 65,225  78,041  63,947 
End of period $ 43,130  $ 65,225  $ 78,041 
See note to condensed financial statements of parent company.