Orion Reverses Second-Quarter Loss With $5.5 Million Profit

The Tip Desk · October 28, 2026 · 3 min read

Third-quarter revenue reached $256.2 million as year-over-year growth accelerated to 14% and the company reiterated 2026 guidance.

Orion Group Holdings (ORN), a specialty construction company, reported GAAP net income of $5.5 million, or $0.14 a share, for the third quarter ended September 30, 2026, reversing a $4.1 million net loss in the second quarter.

Contract revenues were $256.2 million, up 14% from $225.1 million a year earlier, after 8% year-over-year growth in the second quarter. The company said the increase was driven by double-digit growth in both operating segments, highly active projects, disciplined execution, favorable operating conditions, and the acquisition of J.E. McAmis.

Adjusted EBITDA rose 37% to $17.9 million from $13.1 million a year earlier, and the adjusted EBITDA margin expanded to 7.0% from 5.8%. Adjusted EPS was $0.12 a share.

Gross profit was $33.1 million, up 11% from $29.8 million a year earlier. Orion said the increase was primarily driven by higher revenue volume and increased profitability in the Concrete segment attributable to strong execution, partially offset by Marine close-out benefits in 2025 that did not recur. Selling, general and administrative expenses were $24.7 million.

Marine contract revenues were $161.2 million and Concrete $95.0 million. Concrete Adjusted EBITDA was $10.3 million with a 10.8% margin, versus $1.5 million and a 1.8% margin a year earlier. Marine Adjusted EBITDA was $18.8 million with an 11.6% margin, versus $24.3 million and a 17.0% margin.

President and Chief Executive Officer Travis Boone said the Concrete segment delivered top- and bottom-line growth with margin expansion from strong execution, and that activity remains robust across mission-critical and large-scale infrastructure markets. He said Marine end markets remain strong and that the company is engaging early on large, complex projects.

The company booked $179 million of awards and change orders in the third quarter, versus $277 million in the second quarter. Third-quarter Marine awards included a significant wharf repair for the U.S. Navy, the next phase of construction on the North Jetty project, and two projects in Hawaii. Recent Concrete awards included a large concrete paving package, new phases of data center campuses, a college research building, and a water treatment plant.

Orion won positions on two U.S. Navy Multiple Award Construction Contract vehicles: the $9 billion VENTI MACC, which the company described as the largest procurement action in Naval Facilities Engineering Systems Command Northwest’s history, and the $700 million NAVFAC Northwest Waterfront MACC. The company said those programs limit the pool of qualified contractors competing for future task orders under large federal programs.

Backlog was $645 million at September 30, 2026, including Marine of $506 million and Concrete of $139 million. Working capital was $81 million, including unrestricted cash of $5.7 million. Total debt outstanding was $109 million, with $83 million of outstanding borrowings under the UMB Credit Facility.

The company reiterated full-year 2026 guidance after a reset in the second-quarter release: revenue of $900 million to $950 million, or 9% growth at the midpoint; Adjusted EBITDA of $50 million to $54 million, or 15% at the midpoint; and Adjusted EPS of $0.23 to $0.30, or 6% at the midpoint. Capital expenditures are estimated at $25 million to $35 million. Boone said the company expects momentum to continue into the fourth quarter.