Primoris Services (PRIM) CJS Securities 26th Annual "New Ideas for the New Year” Investor Conference summary

Company overview and market positioning

• Operates in utilities and energy segments, with utilities focused on power delivery, gas, and communications, and energy on renewables, natural gas, and pipeline projects.

• Utilities segment generated $2.7B in trailing 12-month revenue, with margins at the higher end of the 10–12% target.

• Energy segment reported $4.9B in trailing 12-month revenue, with 60% from renewables, 20% from industrial/natural gas, and the rest from heavy civil and pipeline.

• Long-term customer relationships and master service agreements drive stability and recurring business.

Demand environment and competitive dynamics

• Utilities contracts are typically three to five years, with decades-long client relationships and high service standards.

• Project-based energy work is highly competitive, especially in heavy civil and pipeline, where price is a key differentiator.

• Solar and gas power generation benefit from higher demand, allowing for more collaborative, less competitive contract structures.

• Selectivity in project bidding and early client engagement reduce risk and support growth in gas power generation.

Segment growth outlook and revenue drivers

• Natural gas power generation expected to be the highest growth area over the next one to two years.

• Pipeline segment anticipated to rebound as a significant contributor by 2026–2027, with $4.5B in tracked opportunities.

• Solar revenue saw a temporary boost in 2025 due to project acceleration, with flat or slightly down expectations for 2026 before growth resumes in 2027.

• Power delivery aims to shift mix toward higher-margin transmission and substation work, targeting 30–40% of segment volume.

• Gas distribution and heavy civil expected to grow at low single digits, with a focus on margin improvement and cash flow.