Shimmick Corp

Century-old water/infrastructure contractor with a strong backlog but a loss year and acute liquidity strain.

Strengths

• $793M backlog, 96% prime contracts, top-15 ENR rankings in water niches
• Strategy shift toward smaller, higher-margin, lower-risk projects

Risks

• Cash runway only ~1.1 quarters (14th pct) with negative FCF (-$71M) and negative interest coverage
• Net margin -5%, ROA -11.7% (18th pct), current ratio 0.89; liquidity is the binding risk

Notable findings

• No interest coverageInterest coverage -2.91 (cannot cover interest)
• Net lossNet loss (net margin -5.2%)
• Cash burnNegative free cash flow (-71.5M)
• Exec changeRecent 8-K item 5.02 8-K ↗
• Weak liquidityCurrent ratio 0.89 (<1)
• Chronic dilutionShare count +18%/yr over 2y (dilution)
• Revenue declineRevenue -12.3% YoY