You're right. It hasn't made sense for some time. On the last 3 conference calls, they've stated that the revenues from our acquisitions have outperformed and the core WLDN parent has underperformed. They've also mentioned that it was through the new companies that they now have decent mechanical and electrical engineering expertise. The question I've been asking for nearly a year now is what did WLDN do besides be an employment leasing agency, and it appears we don't do 90% of what our website shows. Look up Willdan on any corporate research site of your choosing and you will see that they list between 625 and 690 employees. What do they all do?
No...this doesn't make sense, nor does Brisbin. No wonder the stock is flat on news of huge new contracts.
As others have pointed out regarding comments made by the company on their conference calls, they didn't have much in the way of engineering depth. They openly admitted that their acquisitions, brought in engineering expertise they didn't have previously and are seeking rounding out their abilities perhaps with further buyouts. I was really surprised to discover how week WLDN was and still is...and are in transition from an being engineering employment agency, with incredibly low margins, to actually having professionals on their staff to package solutions for municipalities and energy companies.
Again, as others have posted, the WLDN employee base is officially listed at between 620 and nearly 700 people. What do they do??? I love the revenue per employee stat often shown on growing companies. I haven't found one for WLDN yet.
Until WLDN can bring on staff a truly deep and qualified Engineering staff of certified professionals across their platform, they can never make the kind of margins we all thought probable. Why are their top administrative staff salaries making such moderate incomes??? They can't afford to pay them more...they haven't earned it in becoming a top tier "in- house'" engineering firm. The merely find freelancers to fill in where needed at barely break even contracts to stay competitive. Tom Brisbin has been less thorough in his assessments of the company during his conference calls.