Welcome to MasTec's Fourth Quarter and Annual 2020 Earnings Conference Call initially broadcast on Friday, February 26, 2021. Let me remind participants that today's call is being recorded. At this time, I'd like to turn the call over to Marc Lewis, MasTec's Vice President of Investor Relations. Marc?

Thanks Kristina and good morning everyone. Welcome to MasTec's fourth quarter 2020 earnings call. The following statement is made pursuant to the Safe Harbor for forward-looking statements described in the Private Securities Litigation Reform Act of 1995. In these communications, we may make certain statements that are forward-looking such as statements regarding MasTec's future results, plans and anticipated trends in the industries where we operate. These forward-looking statements are the company's expectations on the day of the initial broadcast of this conference call February 26, 2021 and the company does not undertake to update expectations based on subsequent events or knowledge. Various risks, uncertainties and assumptions are detailed in our press releases and filings with the SEC. Should one or more of these risks or uncertainties materialize or should any of our underlying assumptions prove incorrect actual results may differ significantly from results expressed or implied in these communications. In today's remarks by management, we will be discussing adjusted financial metrics reconciled in yesterday's press releases and supporting schedule. In addition, when -- we may use certain non-GAAP financial measures in this conference call. A reconciliation of the non-GAAP financial measure not reconciling these comments to the most comparable GAAP financial measure can be found in our earnings press release, our 10-K or in our posted PowerPoint presentations located in the Investors and News sections of our website located at mastec.com. With us today, we have Jose Mas, our CEO; and George Pita, our CFO. The format of the call will be open remarks and announcement by Jose followed by a financial review from George. These discussions will be followed by a Q&A session and we expect the call to last about 60 minutes. We had another great quarter and a lot of good things to talk about today. So I'll go ahead and turn it over to Jose. Jose?

Thanks Marc. Good morning, and welcome to MasTec's 2020 fourth quarter and year-end call. Today I will be reviewing our fourth quarter and full-year results, as well as providing my outlook for 2021 and the markets we serve. I'd like to thank you for joining us today. And I hope in pray that you and your love ones are healthy and state. The safety of our team members has been our top priority. And as I reflect on the unprecedented challenges during 2020, I am incredibly proud of the men and women of MasTec. Our operations have exhibited tremendous resiliency during the pandemic. And as I look forward to 2021 and beyond, I am extremely excited about various significant growth opportunities as we provide critical power, communications and other infrastructure services to our customers. I'd like to congratulate and thank the men and women of MasTec for their fantastic performance. I am honored and privileged to lead such a great group. The men and women of MasTec are committed to the values of safety, environmental stewardship, integrity, honesty and in providing our customers a great quality project at the best value. These traits have been recognized by our customers and it's because of our people's great work that we've been able to deliver these outstanding financial results in the challenging environment and position ourselves for continued growth and success. Now some fourth quarter highlights. Revenue was $1.6 billion for the fourth quarter. Fourth quarter adjusted EBITDA was $262 million, and fourth quarter adjusted EPS was $1.75. For the full year, 2020 revenue was $6.3 billion, 2020 adjusted EBITDA was $810 million, and 2020 full year adjusted earnings per share was $5.11. And finally, cash flow from operations for the year was $937 million a record level. In summary, we had…

Thanks, Jose, and good morning everyone. Today I'll briefly cover our fourth quarter and annual 2020 financial results including cash flow, liquidity and capital structure as well as our initial guidance expectation for 2021. As Mark indicated at the beginning of the call, our discussion of financial results and guidance will include non-GAAP adjusted earnings and adjusted EBITDA. Reconciliation and details of non-GAAP measures can be found in our press release, on our website or in our SEC filings. In summary, while fourth quarter 2020 revenue was slightly below our expectation at $1.63 billion, earnings margin exceeded our expectation with fourth quarter 2020 adjusted EBITDA at $262 million or 16% of revenue, a 370 basis point increase when compared to the fourth quarter of last year. This capped a strong year for MasTec, despite the negative impact of the COVID-19 pandemic with annual 2020 adjusted EBITDA of $810 million and strong adjusted EBITDA margin rate of 12.8%, a 110 basis point improvement over last year. It is worth noting, that 2020 results show significant strength and growth in our non-oil and gas segment results. With 2020 revenue growing approximately $470 million or 12% and, 2020 adjusted EBITDA for these segments increasing $90 million or 43% when compared to 2019. We expect this trend to continue and accelerate in 2021. We ended 2020 with a new record level of cash flow from operations of $937 million this allowed us to reduce our net debt levels during 2020 by $481 million to approximately $880 million which equates to a book leverage ratio of just over one. With this level representing one of the best leverage metrics ever recorded by MasTec. In summary, our capital structure is in an extremely strong position, allowing us to fund any and all worthwhile future growth opportunities.…

[Operator Instructions] We'll go to our first question from Jamie Cook with Credit Suisse.

Hi. Good morning and good year in terms of performance. I guess my first question Jose the Oil and Gas business continues to surprise on the upside. You talked about 30% top line growth and margins in the high teens. I guess as you think about Oil and Gas in the context of you're sort of a $10 billion revenue target and the EBITDA forecast you sort of lay out. As you sit here today, can you get to the $10 billion target quicker and does Oil and Gas now become a larger contribution relative to what you would have thought? And then my second question is, understanding you never want to take one quarter and extrapolate. The margins in ET and Clean Energy and Infrastructure were below expectations. Some of the questions, I get from investors is, how comfortable why they like those businesses and they're comfortable with the revenue potential less comfortable with sort of the margin potential of those businesses. So, could you sort of help us understand your confidence level and what needs to happen to get those margins to more comparable I guess to your other segments? Thanks.

Sure, good morning, Jamie. So a couple of things. On the Oil and Gas side, we always expected 2021 to be a really good year, because of the projects that we knew we'd be working. We've laid out $1.5 billion to $2 billion recurring revenue number on our Oil and Gas business, which we still think is the right number to think about. We talked about at that number being in the high-teens as we reflect on a $10 billion double-digit business – double-digit EBITDA business. So we haven't really changed our thoughts on that. Quite frankly, if anything, I do think that the environment is significantly better than it was even in the third quarter relative both to what the industry outlook is and from where oil prices sit today, which drive all the other commodity prices to some of the stuff that we saw in Texas. So it may be better. But at this point, we're still of the same mindset that, we're trying to plan our business as to how we get there in a depressed Oil and Gas market, where our revenues are about $1.5 billion to $2 billion. So I don't think you're going to hear us say anything different until something substantially changes. As we talk about margins and I think, it's important, we did grow margins in our non-oil and gas business by 40% in 2020. We're talking about growing them again by 45% in 2021. Our margin expectations for Clean Energy for the year were 5%. We said that, number over and over, again all year long, and we achieved 5.3%. So we're comfortable on where we are in margins in that business. It is a seasonal business, right? It is impacted by weather depending on where we're working. There is no…

Okay. Thank you. I’ll let someone else to ask question.

Thank you, Jamie.

Congrats.

Thanks.

We go to our next question from Andy Kaplowitz with Citi.

Good morning, guys.

Hey. Good morning, Andy.

So Jose, could you give us a little more color into how you're thinking about communications inflection at this point? You mentioned your larger customers slow down and second half of 2020, but obviously you have a lot of trends that George mentioned in your favor. So can you give us more color into the landscape now in 2021? Does your confidence this year for ramp-up come from just more diversification as you mentioned, or are your customers actually telling you that they will ramp up CapEx significantly in the second half of the year?

Yes. Look so we feel a lot better about it than, I think, we have in a long time. I think this is one of the areas where I think we have potential to beat nicely in 2021 quite frankly. When you look at 2020 right there's a lot of good and a lot of bad in it, right? When you look -- and obviously COVID played a huge impact on that, but if you look at Verizon our revenues year-over-year were down about $100 million, if you look at AT&T our revenues were down almost $250 million, right? So that's a $350 million headwind. We were down about $100 million. So we made up $250 million with other customers. And that includes what we talked about the 100% growth at Comcast. We were able to grow T-Mobile in the second half of the year it grew three-fold from the first half of the year. So we had fantastic growth as the year progressed and as they close their merger and as they started those are very positive trends. We grew our Frontier business by 50% year-over-year. We grew our CenturyLink business by 25% year-over-year. So we had a lot of clients where we were able to win market share and grow. The headwind was two of our larger customers. We feel great about our AT&T business and where it's going to be in 2021 compared to where it was in 2020 that makes a huge impact, right? A lot of that has to do with the spectrum auctions and we had built some of this in, right? So we didn't really miss our communication revenue targets versus where we said we'd be but these were the things that impacted our year. So looking into 2021 as that recovers it's going to have a big impact on our business. We're in obviously constant dialogue with them. We're excited about the results of the spectrum auctions for both AT&T and Verizon. We think it's going to meaningfully impact our business with both of them. So yes we actually feel really good about it.

Helpful. And then could you give us a little more color into the acquisitions you closed in the quarter and the environment seeing right now. How difficult is it to get transactions done in some of the hotter areas that you've talked about the Clean Energy transmission, would you expect your acquisition-related activity to continue to ramp 2021?

Look we've been talking about it for -- I feel like a few quarters. We had a lot of deals that were kind of in the hopper in 2020 that we weren't able to close until 2021. We've been very active on a number of other deals. And again, I feel it's a good time. I feel there's a lot of complementary companies out there that can really help us achieve what we're trying to achieve. Obviously, we're conscious of the multiples that exist out there and there is a higher expectation of multiples for some companies vis-à-vis where multiples have been trading. So we're managing through that. Again, we're -- we've been talking about being more acquisitive. I mean the acquisitions are going to add approximately $300 million in revenue which is considerable. And I think you could expect MasTec to continue to be active in the M&A front in 2021.

Appreciate it, Jose.

Thanks, Andy.

We'll take our next question from Noelle Dilts with Stifel.

Hi. Good morning.

Hi.

Good morning. I just wanted to expand on Andy's last question. Historically, when you've looked at acquisitions they've tended to be smaller companies that have growth opportunity, but some sort of capital constraint or other limit on that growth. And then you've structured those with pretty aggressive earn-outs. Any change in how you're thinking about what you view as your sweet spot for M&A or the types of targets that you would pursue in this market? Thanks.

No. Look no I think that those are definitely targets that we have today. We still think there is a subset of companies out there that have tremendous opportunities in our -- for whatever reason with investment dollars that come into them can significantly change the profile of their businesses. That hasn't changed. I think that is an advantage for MasTec. I think we've done very well in that space. I think we're going to continue to do deals in that space. I think even when you look at the two acquisitions that we closed in the first quarter there's some of that in there right? I think there was an underinvestment in both of those companies. I think both of those companies have tremendous growth opportunities that because of capital constraints they weren't able to execute on them. So it's very similar to what we've typically seen. I think you're going to see us do a number of other deals that fit into that mold in some shape or form right? So we've been flexible. We've done all kinds of different deals. And again we're just seeing an active marketplace out there that we think brings tremendous value to MasTec.

Okay, great. And then second I was hoping you could expand on how you're thinking about the renewable opportunities? There's, obviously, a huge discussion around solar and some expectation that wind will kind of start to fall as we move into 2022 when solar picks up the slack. So two questions there. I guess are you thinking that solar will be the preponderance of your revenues as you move into 2022? And could you also speak to how you're thinking about your competitive differentiation in the market as you kind of shift from wind to solar? And how you stand out from folks trying to get into the industry? Thanks.

Yeah. So the first thing I'd say is in our wind business, I think years ago we made the decision to really go after programmatic spend right? So if you look at our wind customers today they're generally the larger utilities that have long-term plans in place and we've got relationships where we expect to be working for them over a long period of time on their build-outs that are laid out years in advance. So we feel really good about where our wind business sits and the sustainability of our wind business over a much longer period of time. Irrespective of tax credits right, which will have an impact on the business depending on what the new administration does. So I think on our wind business we're in a great spot. Our solar business is growing rapidly. About 40% of our total growth in our clean energy business this year will be driven by our solar growth. So we're very excited about what's happening there. We've made enormous investments in that business over the last year and half. We think over time our solar business will probably be bigger than our wind business. And we feel the same way about biofuels quite frankly. We're seeing tremendous opportunities there, a lot of the same customers. We think that that also has an opportunity to match the size of our wind business currently. And those are going to be in our mind our three biggest pieces of our clean energy business right? We expect to have a wind, solar and biofuel business. That roughly are in the same revenue range with the balance coming from our infrastructure investments.

Thanks.

And we'll go to our next question from Steven Fisher with UBS.

Great. Thanks. Good morning. I wonder if you could just give us maybe George a little bit more color on that oil and gas depreciation change that you mentioned. It does drive the EBITDA growth somewhat materially. So just kind of a little more explanation there. How long we should expect that depreciation to be elevated? And as a result, should we think of the profits may be for the year and for the company in general being a little more still up but more modestly and maybe this is kind of still a bit of a transition year?

Hello. Good morning, Steve. Yeah, a couple of things. I think when you look at our depreciation trends it's really been the last couple of quarters that you've seen a bit of an increase in the trend that started I think in the back half of 2020 relative to our conservatism and our view on some of the lives and salvage values has been in effect and that continues into 2021. So 2021, we expect that expresses over a full year right versus part of the growth. We also indicated that we have some M&A activity. Obviously you're adding operations that adds depreciation with it as well. And I think you're right. Generally speaking I think as you look at both the combination of a reduced capital spend in 2021 coupled with expectation of against a lower or similar decline again in 2022, I would look at a depreciation rate in 2022 that I would expect would decline as a percentage of revenue. And that's what we've been saying right? As you look at our mix of our business, it's pretty clear that oil and gas is our highest depreciation dollar and rate business. And as that becomes a lesser portion of our business, our depreciation rate profile will improve and the overall number should reduce in terms of -- as on a rate basis.

Okay. That's helpful. And then maybe just a follow-up on the M&A discussion, I was a little bit surprised by the transportation focused deal. So can you talk about, how that fits into your strategy overall? Is this part of a bigger expansion into transportation construction? Is it more supportive of something else, or was it just sort of a one-off? If you could just talk a little bit more about that. Thanks.

Yeah. Look, we're -- we've been talking about infrastructure for a long time and really positioning ourselves for what we think is going to be a dramatic increase, in infrastructure spend. We bought a small transportation asset early in 2020 to really get our feet in that business and get a much better understanding of what was happening in that market that acquisition has actually performed really well above our expectations. It was a small deal during 2020. So this new company gives us exposure to a lot of different markets, right? They're basically focused in Texas Arizona and New Mexico. We studied the market a lot. We realized that over the last 45 years, there's only been six years where there's been a year-over-year decline in spending in this marketplace. It was important that they were fully integrated. So they've got a big aggregates business which is important to a lot of the different types of projects that we're actually chasing now. We think there's going to be a lot of work that they can provide internal to MasTec on what they're trying to do. And quite frankly, we're thinking about the future, right? When you think about what's happening around the world, when you think about electric vehicles, in Sweden they just finished the first electrified street. It's a small project. It was only about a two-mile project but it's a street that charges electric vehicles that is driving over them. So we think that technology is coming to the US. And we want to be able to participate in those type of technologies in every, which way or form. We think we're obviously exposed to that through our energy business, but we think there's going to be new technologies that are going to give us the ability to participate on the infrastructure side as well. So it's a market that we're very bullish in.

Okay. Thanks very much.

Thank you.

We go to our next question from Andy Whitmann with Baird.

Great. And thanks for taking my questions. George, I thought it would be worth digging into the cash flow a little bit here. And I was hoping you could talk about the drivers in the fourth quarter. Obviously, the year was great in the fourth quarter was good too. I was just wondering, some of this is receivables were there like big retainages on jobs that completed the paid out? Were there any claims collections? Anything that was kind of chunkier and unusual besides obviously the Cares Act, if you could quantify that for the year that would be helpful as well. But just trying to understand the nature of what drove the strong cash flow continuing on a very strong year? And if you could comment obviously you give the CapEx budget for next year. But if you could just talk about any puts and takes that you might have in 2021 that would be helpful as well.

Sure. There's nothing unusual or non-recurring regarding our 2020 cash flow performance. I guess I'd dig a little bit of an exception. Obviously, we along with everyone else we referred I think it's about $60 million of payroll tax amounts that will be payable in 2021, 2022. That's just from the Cares Act. And that's something that everyone's done. So that's the one thing that I'd say outside of the norm. If you look at our DSOs at the end of the year they were 86 days compared to 90. That's again generally in the neighborhood of where we are. Our days payable at the end of the year is about right. So there's nothing extraordinary about it. I mean obviously we were helped by lower revenue levels. So as I think in 2021, I think our cash flow profile stays very strong. I think our will the free cash flow once again certainly exceed adjusted net income. But I also anticipate that we'll use some working capital because if we're going to grow 24%. And we're going to grow from $6.3 billion to $7.8 billion there's obviously going to be some working capital associated with that. I think it's a good use of working capital if you will, right? But there's nothing extraordinary about the performance in 2020 or in the fourth quarter related to cash. It was something that really, if you look at the metrics in our working capital they're pretty much within our normal kind of confines. And it's a good -- if you look at it, and it's the third year in a row that we have record cash flow from operations, right? And if you look at our metrics the metrics are always kind of consistently in those same -- the working capital metrics…

That's great. Thank you for that detail, George. My only other question is just a quick one. Last quarter you had in the oil and gas segment, you kind of called out kind of the delta between what was in the quarter for a unique circumstance here you had the idle equipment you called out but you didn't quantify. I was wondering if you could take a stab at that for us?

Yes. Look, I think we actually called it out in the third quarter as well. It's really the same thing as Q3, right? Our EBITDA dollars didn't change much. Our revenue was a lot lower than what we expected, right? So when you get to equipment reimbursement, you got to add back the depreciation which makes the margin obviously increase without the associated revenue. So if you look at our fourth quarter miss on revenues internally, it really came from oil and gas, right? At the low end of our guidance we missed by about $75 million. We were about $80 million short in our oil and gas business from a revenue perspective. So that's really where the margin driver is. As we had that $80 million of revenue margins, the EBITDA dollars wouldn't have been much different. And thus the margin would have been a lot lower.

Helpful. Thanks, guys.

We'll take our next question from Adam Thalhimer with Thompson Davis.

Yes. Perfect pronunciation. One for Jose, one for George. Has the – what's the outlook for Verizon One fiber this year?

Look, it's a program that I think slowed, right? I think when you look at the backlog drop that we have from Q4 of 2019 to Q4 of 2020 a lot of that has to do with the one fiber work. I think we had an expectation that revenues would be substantially higher. If you look at our Verizon revenues in 2020, they were down about $100 million from 2019. I think the program is actually going to extend far beyond what we originally thought. So I think revenues might be a little bit lower. I think 2021 revenues will be similar to but it's a program that's probably going to last a lot longer, right? So maybe not at the same pace and rate that we were seeing in late 2019. But I think it will extend for a longer period of time. Obviously, they've gone from their first phase to their second phase, which we've talked about in the past. And I think from a profitability perspective that's something really good because that first phase was challenging I think for all the contractors. So look, I think that based on everything that's happened in the industry, there's been shifts, right? When you think about the spectrum auctions and how all the carriers are building out their 5G plans. During 2020 some of those initiatives and some of those forecasts changed. It was important to get these spectrum auctions behind this because I think it's going to be a huge catalyst to the business in the second half of 2021 for both of the big winners which are Verizon and AT&T.

Okay. And then George, can you walk me through again the quarterly cadence in oil and gas? Did you say Q2 revenue flat year-over-year and then it ramps in the back half?

Yes. What we talked about obviously, for the year we talked about approaching 30% growth, right? And when you look at the cadence of that mix, in the first half, we talked about approaching $600 million in the first quarter, which when you compare it to last year first quarter is a much bigger number and that's because we're going to be – we're initiating and working on more large project activity now in the first quarter than we did last year. The point I was making was that as you look at the second quarter of the year, that growth rate it will decline because on that large project, we're going to break for spring road frost bands. So we're going to stop and break the project. So the second quarter of 2021 won't have the same trend where it's significantly higher than last year. It will be more approaching last year's level. And then the second half of the year will be continued additional growth patterns. So there's a little bit of a mix in the year-over-year changes of the projects because of the timing and the activity that we're having in 2021.

Okay. Thanks.

We go to our next question from Brent Thielman with D.A. Davidson.

Great. Thanks. Hey Jose, on the transmission business some good tailwinds really behind that area and it looks like you're going to grow that business a lot in 2021. As you get kind of $600 plus million in that business, do you need to start looking at deals beyond that to keep the pace? Can you keep growing that organically?

We think we can keep growing inorganically. There's actually a number of awards that were in the middle of from a negotiation perspective which we think could help us maintain or grow those levels beyond 2021 in a pretty sizable way. So we're -- again we're excited. We've talked about our ability to reach $1 billion in that business. We think that's achievable organically based on the activities that we see and the awards that we expect to get right? So for us 2021 is about not only hitting those revenue targets, but more importantly getting back to the margin levels that we enjoyed and at least the margin levels that we enjoyed in 2019. So that's -- so it's a dual focus for sure.

Okay. And then I caught some comments in the opening remarks about sort of hydrogen battery storage. Can you talk about how MasTec is positioned within some of these areas and what that might mean for the business over the next few years?

Look this fast plant that we're building it's a really important project for us. It's a Mitsubishi engine that's really going to be in our minds the engine of choice for those that are deploying hydrogen projects. We're going to be one of very few contractors that's installed these. We think that gives us a huge competitive position on future projects. So we think we're early in the game. We think it's going to be a huge market and a big driver to our business. So it's something that we're very excited about.

Okay. Thank you.

Our next question from Alex Rygiel with B. Riley Securities.

This is Min for Alex. Just a couple of quick questions. Jose in terms of the rural digital opportunity fund winners and there are obviously several new names on that list. Just wondering does that provide more opportunity for you, or is just the overall ARTF opportunity what you're excited about?

No I think the winners provide unique opportunities to MasTec. And I think the technologies actually provide unique opportunities to MasTec. So one of the things that we saw in those original awards there was a lot of fixed wireless type awards that generally wouldn't be considered -- historically we've seen a lot of fiber awards, right? So these fixed wireless projects require both an installation at a sell-side along with some form of antenna at the home. When you think about what we do in the wireless sector and what we do on the fulfillment side, when the people's houses and installing a DIRECTV dish it's actually a very similar initiative that would happen in a 5G Home product. So we think again it's a really good opportunity for us on a cross disciplined basis on the things that we think we're really good at. So based on the technology and the overall dollars again we think it's a good place for us.

Great. That definitely makes sense. And then obviously the news that AT&T is spinning off its DIRECTV business, does that impact you at all? Does that provide more opportunities long term? Just curious how that relationship will go moving forward?

Look we're excited about it. We think that there needs to be a focus on the video product. Obviously they've been losing a lot of customers. I think that they've obviously had their attention and been spending their dollars elsewhere. So to have a company that's fully committed on sustaining their customer accounts and hopefully over time growing their customer accounts, it can only be a positive for us. I think they've already come out and said that they want to stem the losses from a subscriber basis. That's fantastic for us. So we're encouraged by it. We think over time that will create more opportunities. We were already excited coming into 2021 because we think it's going to be the first year we don't have significant declines in the business on a year-over-year period like we've had the last few years. So that coupled with this change I think is going to be a very positive from our side. Q – Unidentified Analyst: Great. Thank you. Good luck in 2021.

Thank you.

We'll take our last question from Sean Eastman with KeyBanc Capital Markets.

Hi, Team. Congrats on the strong finish.

Thank you.

I just wanted to go back to the Comm segment. Just as we look at the cadence of revenue over the next 12 to 18 months kind of timeframe. Just curious if you could comment on the wireless versus wireline trajectory there? That would be a helpful discussion.

Yes. Look so I think that obviously the wireline is right now is a hot market. I think it's going to continue to grow very sustainably throughout 2021. I think the wireless market growth will be more back-end loaded just based on the spectrum auctions right? So today our business is -- it's probably just a little bit bigger on the wireline side than it is on the wireless side. I think we've done a good job at really following the market and changing that mix. I think we're going to benefit from both. I think shorter term over the next couple of years, fiber will probably be a really big growth opportunity for us. And the wireless will be right behind it. So I think over time our wireless exposure is fantastic because I think that that business is going to grow tremendously in the coming years both from a deployment perspective and then ultimately from a maintenance perspective. So again, we think we're really well positioned on both sides of that market and are going to benefit from both.

Okay. That's helpful. And I might have missed this, but just in terms of -- congrats on getting two acquisitions done in the first quarter. I think I heard there's $300 million in revenue coming from those. But did you guys give sort of the EBITDA and EPS contribution in the guidance? And I would think there's a little bit of bottom line juice into the out-year as some of the intangible amortization rolls off. So if there's a comment there that would be helpful as well.

Yes. Look again, they were good businesses. Purchase price we disclosed at about 110, businesses are doing about $300 million in revenue expected for 2021. They're roughly at about 10% of EBITDA margin and they'll be about $0.10 accretive in that range.

Okay. Very helpful. Again, nice work this year, guys. Thanks very much.

Thank you.

That concludes today's question-and-answer session. I'll now turn the call back to Jose Mas for any additional or closing remarks.

Sure. Again, I'd like to thank everybody for participating. We look forward to updating you on our first quarter call. We hope everyone stays safe. Thank you.

This concludes today's call. Thank you for your participation. You may now disconnect.