Montrose Environmental Group Inc
For the period ended Dec 31, 2023. Filed Feb 29, 2024.
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A company's yearly report to the SEC, with audited financial statements. It is the fullest account a company gives of its business, its finances and the risks it sees.
FY2023 · Filed Feb 29, 2024
ONT$23.59+7.6%Stored close · as of Nov 9, 2026
Extracted filing text, with the paragraph anchors used by the comparison.
See the whole filing, with its images and exhibitsContents
Statements of Cash Flows
CONSOLIDATED STATEM ENTS OF CASH FLOWS
(In thousands)
| Year Ended December 31, | |||
|---|---|---|---|
| 2023 | 2022 | 2021 | |
| OPERATING ACTIVITIES: | |||
| Net loss | $(30,859) | $(31,819) | $(25,325) |
| Adjustments to reconcile net loss to net cash provided by operating activities: | |||
| Provision for bad debt | 3,142 | (1,097) | 1,135 |
| Depreciation and amortization | 45,780 | 47,479 | 44,810 |
| Amortization of right-of-use asset | 10,194 | 9,289 | 8,151 |
| Stock-based compensation expense | 47,267 | 43,290 | 10,321 |
| Fair value changes in financial instruments | (4,129) | (3,396) | 2,195 |
| Fair value changes in business acquisition contingencies | 84 | (3,227) | 24,372 |
| Deferred income taxes | (980) | 2,250 | 1,709 |
| Debt extinguishment costs | — | — | 4,052 |
| Other | (84) | 349 | (195) |
| Changes in operating assets and liabilities—net of acquisitions: | |||
| Accounts receivable and contract assets | (2,923) | 4,394 | (36,164) |
| Prepaid expenses and other current assets | (918) | (1,763) | (1,148) |
| Accounts payable and other accrued liabilities | (8,912) | (9,878) | 23,996 |
| Accrued payroll and benefits | 9,464 | (6,830) | 3,244 |
| Payment of contingent consideration | (611) | (19,457) | (15,628) |
| Change in operating leases | (10,493) | (8,935) | (7,944) |
| Net cash provided by operating activities | $56,022 | $20,649 | $37,581 |
| INVESTING ACTIVITIES: | |||
| Proceeds from corporate owned and property insurance | 573 | 329 | 413 |
| Purchases of property and equipment | (29,578) | (9,583) | (6,885) |
| Proceeds from the sale of property and equipment | 971 | 174 | 597 |
| Proprietary software development and other software costs | (3,352) | (593) | (699) |
| Payment of purchase price true ups | (1,425) | (389) | (9,336) |
| Minority investments | (2,626) | — | — |
| Cash paid for acquisitions—net of cash acquired | (66,187) | (28,625) | (55,731) |
| Net cash used in investing activities | $(101,624) | $(38,687) | $(71,641) |
| FINANCING ACTIVITIES: | |||
| Proceeds from line of credit | — | — | 109,000 |
| Repayment of the line of credit | — | — | (109,000) |
| Proceeds from term loans | — | — | 175,000 |
| Repayment of term loans | (12,211) | (8,750) | (173,905) |
| Proceeds from the aircraft loan | 10,935 | — | — |
| Repayment of aircraft loan | (591) | — | — |
| Payment of contingent consideration and other purchase price true ups | (1,949) | (11,107) | (9,865) |
| Repayment of finance leases | (4,584) | (3,967) | (2,711) |
| Proceeds from issuance of common stock in public offerings, net of issuance costs | — | — | 169,783 |
| Payments of deferred offering costs | — | (183) | (446) |
| Debt issuance cost | — | — | (2,590) |
| Proceeds from issuance of common stock for exercised stock options | 4,690 | 1,643 | 7,237 |
| Dividend payment to the series A-2 shareholders | (16,400) | (16,400) | (16,400) |
| Net cash (used in) provided by financing activities | $(20,110) | $(38,764) | $146,103 |
| CHANGE IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH | (65,712) | (56,802) | 112,043 |
| Foreign exchange impact on cash balance | (876) | (111) | (183) |
| CASH, CASH EQUIVALENTS AND RESTRICTED CASH: | |||
| Beginning of year | 89,828 | 146,741 | 34,881 |
| End of year | $23,240 | $89,828 | $146,741 |
| (continued in next page) | |||
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
| Year Ended December 31, | |||
|---|---|---|---|
| 2023 | 2022 | 2021 | |
| SUPPLEMENTAL DISCLOSURES OF CASH FLOWS INFORMATION: | |||
| Cash paid for interest | $8,059 | $6,514 | $5,012 |
| Cash paid for income tax, net | $997 | $789 | $412 |
| SUPPLEMENTAL DISCLOSURES OF NON-CASH INVESTING AND FINANCING ACTIVITIES: | |||
| Accrued purchases of property and equipment | $1,098 | $2,261 | $790 |
| Property and equipment purchased under finance leases | $8,298 | $5,061 | $1,766 |
| Accrued lease surrender liability (Note 7) | $5,947 | $— | $— |
| Common stock issued to acquire new businesses | $2,598 | $— | $8,320 |
| Acquisitions unpaid contingent consideration | $6,040 | $8,255 | $35,800 |
| Acquisitions contingent consideration paid in shares | $1,000 | $— | $26,084 |
| Offering costs included in accounts payable and other accrued liabilities | $— | $— | $183 |
| Promissory note receivable issued in connection with the sale of assets of the Discontinued Specialty Lab (Note 19) | $4,348 | $— | $— |
| (concluded) | |||
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