Everus Construction (ECG) Q1 2026 earnings summary

Executive summary

• Achieved record Q1 2026 revenues of $1.04 billion, up 25.4% year-over-year, with strong growth in both E&M and T&D segments.

• EBITDA rose 44% to $88.9 million, with margin up 110 basis points to 8.6%; net income increased 58.9% to $58.3 million, with net income margin at 5.6%.

• Backlog reached a record $3.68 billion, up 20% year-over-year, supporting future growth and reflecting robust demand.

• Completed the acquisition of SE & M for $158 million, expanding geographic reach, diversifying end markets, and adding specialized capabilities.

• Raised full-year 2026 revenue and EBITDA guidance following strong Q1 and SE & M inclusion.

Financial highlights

• Q1 2026 revenues: $1.04 billion, up 25% year-over-year; EBITDA: $88.9 million, up 44%; EBITDA margin: 8.6% (up from 7.5%).

• Net income for Q1 2026 was $58.3 million, up 59% from $36.7 million in Q1 2025; net income margin at 5.6%.

• Operating cash flow: $143.7 million, up from $7.1 million last year; free cash flow: $131.9 million, compared to a use of $8.1 million in Q1 2025.

• CapEx: $15.5 million, down from $18.5 million last year; gross profit increased 41.3% to $130.7 million, with gross margin at 12.6%.

• Cash, cash equivalents, and restricted cash totaled $293.4 million at quarter-end; $275 million in unrestricted cash and $281.2 million gross debt.

Outlook and guidance

• 2026 revenue guidance raised to $4.3–$4.4 billion (from $4.1–$4.2 billion); EBITDA guidance to $345–$360 million (from $320–$335 million).

• Implied full-year EBITDA margin of 8.1% at midpoint, reflecting Q1 execution and SE & M margin accretion.

• Full-year 2026 capital expenditures expected in the range of $90–$100 million, or 2.0–2.3% of forecasted revenues.

• Expect more muted seasonality in 2026 due to E&M growth and revenue mix shift.

• Management anticipates continued revenue growth, margin expansion, and robust cash generation.