Everus Construction (ECG) Q1 2025 earnings summary

Executive summary

• Q1 2025 revenue rose 32% year-over-year to $826.6 million, driven by strong Electrical & Mechanical (E&M) segment growth and robust demand in data center, hospitality, and high-tech markets.

• EBITDA increased 32% to $61.8 million, with margins stable at 7.5% despite higher standalone operating costs.

• Net income rose 30.1% to $36.7 million, with diluted EPS up 30.9% to $0.72.

• Backlog reached a record $3.1 billion, up 10% sequentially and over 40% year-over-year, with E&M backlog up 46% and T&D up 8%.

• Completed spinoff from MDU Resources in October 2024, now operating as an independent public company.

Financial highlights

• Q1 2025 revenue: $826.6 million, up 32% year-over-year.

• EBITDA: $61.8 million, up 32%; EBITDA margin held steady at 7.5%.

• Net income: $36.7 million, up 30.1%; diluted EPS: $0.72, up from $0.55.

• Gross profit: $92.5 million (+23.8%), gross margin: 11.2% (down from 11.9%).

• CapEx: $18.5 million, up from $9.2 million, mainly for facility expansion.

Outlook and guidance

• 2025 guidance affirmed: revenue of $3.0–$3.1 billion and EBITDA of $210–$225 million.

• Backlog conversion may be extended due to larger, multi-year projects.

• Management expects strong demand in data center, high-tech, and utility infrastructure, but notes macroeconomic and project timing uncertainties.

• Full-year 2025 CapEx projected at $65–$70 million.

• Long-term targets: 5–7% organic revenue CAGR, 7–9% EBITDA CAGR, net leverage 1.5x–2.0x.