Bowman Consulting Group (BWMN) Q4 2025 earnings summary

Executive summary

• Achieved record financial results in Q4 and FY 2025, with double-digit growth in gross revenue, organic net revenue, and Adjusted EBITDA, driven by organic expansion and multiple acquisitions across engineering, infrastructure, and energy sectors.

• Entered 2026 with strong momentum, improved cash conversion, and a record $479 million backlog, up 20% year-over-year.

• Strengthened market position through acquisitions, workforce expansion, and service breadth, with notable wins in power utilities, transportation, and natural resources.

• Integration of RPT Alliance completed, expanding LNG and midstream natural gas capabilities and enabling successful cross-selling.

• CEO transition planned for 2026, with focus on management continuity and retention.

Financial highlights

• Q4 2025 gross revenue rose 14% year-over-year to $129 million; net service billing up 16.2% to $114.6 million.

• Full-year 2025 gross revenue up 14.9% to $490 million; net revenue up 14.5% to $434.8 million, with an 89% net-to-gross ratio.

• Organic net revenue growth was 12.4% for the year; gross margin improved to 53.4%, up 120 bps year-over-year.

• Adjusted EBITDA for FY 2025 up 22.5% to $72.9 million; margin at 16.8%.

• Net income for 2025 was $12.8 million, up from $3 million prior year; GAAP EPS rose to $0.74 (basic), adjusted EPS $1.72.

• Cash from operations increased 50% to $35.8 million; free cash flow for FY 2025 was $33.4 million.

Outlook and guidance

• 2026 net revenue guidance raised to $495–$510 million, with Adjusted EBITDA margin of 17–17.5%.

• Guidance includes only completed and definitively contracted acquisitions as of March 2026.

• Revenue expected to be nonlinear, with 47% in Q1/Q4 and 53% in Q2/Q3.

• Focus remains on both organic and selective inorganic growth, margin expansion, and technology investment.