Matrix Service Company (MTRX) Q2 2026 earnings summary

Executive summary

• Revenue increased 12% year-over-year to $210.5 million in Q2 FY2026, with all segments contributing to growth.

• Net loss narrowed to $0.9 million ($0.03/share), with adjusted EBITDA turning positive at $2.4 million, reflecting improved profitability.

• Backlog remains strong at $1.1–$1.13 billion, with a robust $7.3 billion opportunity pipeline and key segment book-to-bill ratios above 1.0.

• Leadership transition announced: CEO John R. Hewitt to retire June 30, 2026; Shawn P. Payne to become CEO July 1, 2026.

• $3.6 million in one-time charges and commissioning costs impacted Storage and Terminal Solutions results.

Financial highlights

• Quarterly revenue: $210.5 million (up 12% year-over-year); gross profit: $13.1 million (up 21%); gross margin improved to 6.2%.

• Adjusted EBITDA: $2.4 million, up $4.6 million from a loss last year.

• SG&A expenses decreased 13% to $15.1 million due to cost reductions and lower stock-based compensation.

• Cash and cash equivalents at period end: $199.0 million; total liquidity: $257.6 million; no outstanding debt.

• Operating loss reduced to $2.2 million from $6.4 million year-over-year.

Outlook and guidance

• Full-year FY2026 revenue guidance reaffirmed at $875–$925 million, representing 14–20% projected growth.

• Profitability expected to improve in the second half of FY2026, driven by large LNG and NGL projects and higher volumes.

• Margin improvement anticipated as high-quality backlog converts to revenue; long-term demand supported by macrotrends in energy, power, and infrastructure.