Centuri (CTRI) Q3 2026 earnings summary

Executive summary

• Record Q3 revenue was $1.192B, up 40.2% YoY, and gross profit was $113.4M, up 45.4%; gross margin was 9.5%.

• Productivity and operating efficiency after first-half workforce and capacity investments supported margin expansion, particularly in U.S. Gas.

• Backlog was $6.2B, up 5% YoY, and the opportunity pipeline reached $19B; YTD bookings totaled ~$2.9B.

Financial highlights

• Q3 net income attributable to common stock was $26.9M vs. $2.1M; adjusted net income was $42.5M, up 154.9% YoY, and adjusted EPS was $0.42 vs. $0.19.

• Adjusted EBIT was $73.0M, up 79.4%, and Adjusted EBITDA was $108.0M, up 43.6%; margins were 6.1% and 9.1%, respectively.

• Q3 operating cash flow was negative $28M and free cash flow was negative $30.4M; 9M operating cash flow was negative $42.6M and free cash flow was negative $90.9M.

• 9M revenue rose 35.5% to $2.877B; gross profit rose 31.4% to $218.3M, and adjusted EBITDA rose 26.3% to $216.3M.

• Q3 operating income was $61.0M vs. $36.3M; diluted EPS was $0.27 vs. $0.02 YoY.

Outlook and guidance

• FY2026 guidance: revenue $3.8B–$3.9B, Adjusted Gross Profit $305M–$315M, Adjusted EBITDA $290M–$300M, adjusted net income $80M–$90M, and net CapEx $60M–$70M; assumes no Q4 storm contribution.

• FY2026 free cash flow outlook was reduced to $25M–$50M due to higher working capital needs; management characterized the shortfall as timing-related, with cash generation shifting into 2027.

• Preliminary 2027 outlook: revenue above $4.4B and mid-teens growth, with gross margin of 8.5%–9%; revenue coverage exceeded $3.7B and was expected to approach $4B by year-end.

• Nearly $4.8B of outstanding bids included $2B of MSA renewals expected by year-end; FY2026 book-to-bill was expected to exceed the prior 1.2x target.

• 2027 margin expansion expectations reflect improved pricing, productivity, operating efficiencies, reduced seasonality and bid portfolio quality.