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  "documentTitle": "Construction Partners, Inc. (ROAD)",
  "authorId": "54_Spruce_Point_Capital",
  "authorName": "Spruce Point Capital Management",
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  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2025-01-23 00:00:00",
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  "pageNumber": 64,
  "pageCount": 70,
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  "notes": "The slide highlights ROAD's outlier status in leverage and its lower-than-peer-average margins in the materials segment.",
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      "kind": "callout",
      "text": "ROAD levered its balance sheet to acquire LSP (and Overland Corp.) and now has pro forma Net Debt / Adj. EBITDA of approximately 3.4x.",
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      "kind": "chart",
      "text": "2025E EBITDA Margin",
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      "text": "Net Debt / 2025E EBITDA",
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      "text": "Net Debt / 2025E EBITDA: 3.4x",
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      "kind": "paragraph",
      "text": "ROAD levered its balance sheet to acquire LSP (and Overland Corp.) and now has pro forma Net Debt / Adj. EBITDA of approximately 3.4x. This puts its leverage at the highest amongst its peer group and underscores our belief that ROAD must execute extremely well to avoid any negative impact on its share price.",
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      "kind": "paragraph",
      "text": "ROAD's Adj. EBITDA margins more closely resemble a high-quality contractor vs. a leading materials and aggregates producer. This further supports our contention that its valuation should reflect this fact.",
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      "kind": "source-note",
      "text": "Source: Company financials, Bloomberg and Spruce Point estimates. Note: ROAD pro forma for LSP acquisition. ACA is adjusted for Stavola acquisition.",
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      "kind": "title",
      "text": "We Believe ROAD Is Now Precariously Levered And Must Execute Flawlessly",
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      "evidence": "The deck concludes with an estimate of 35-50% downside risk and a call to action for investors.",
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      "objective": "What is the potential downside risk to ROAD's share price?",
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      "description": "Quantify what happens if the audience does nothing"
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