Everus Raises 2026 Revenue Outlook After Record Quarter

The Tip Desk · November 4, 2026 · 3 min read

Third-quarter revenue reached $1.38 billion, up 40.3%, and the company lifted full-year revenue guidance to $5.0 billion to $5.1 billion.

Everus Construction Group (ECG) reported third-quarter 2026 revenue of $1.38 billion, up 40.3% from a year earlier, as year-over-year growth accelerated from 33.7% in the second quarter and 25.4% in the first.

The electrical and mechanical specialty contractor said organic revenue, excluding 2026 acquisitions, rose 35.8%. President and Chief Executive Officer Jeffrey S. Thiede said third-quarter revenues increased 40%, including 36% organic growth driven by both electrical and mechanical and transmission and distribution.

Net income rose 61.2% to $91.9 million, or $1.79 a share, from $57.0 million, or $1.11 a share, a year earlier. Net income margin was 6.6%. EBITDA increased 57.5% to $140.2 million, with an EBITDA margin of 10.1%.

Electrical and mechanical revenues increased 48.0% to $1.14 billion, faster than the 41.6% E&M increase in the second quarter. The company said the increase was primarily driven by commercial and industrial end markets, particularly data center and high-tech submarkets, partially offset by lower renewables revenues. E&M net income rose 73.3% to $88.2 million, and E&M EBITDA increased 79.1% to $119.8 million.

Transmission and distribution revenues increased 14.4% to $255.6 million, faster than the 7.1% T&D increase in the second quarter, with higher utility work in transmission, distribution and underground submarkets partially offset by lower transportation revenues. T&D net income rose 13.3% to $23.0 million, and T&D EBITDA increased 13.3% to $38.3 million.

Gross profit increased 65.1% to $205.0 million. Gross margin was 14.8%. The company said the increase was primarily from revenue growth and gross margin improvement due to increased workloads, solid project execution, project timing and a dispute resolution on prior billings that drove a $7.6 million net benefit. SG&A expenses increased 55.8% to $80.7 million, driven by higher incentive compensation of $13.4 million, $6.7 million of acquisition-related costs and higher amortization of $5.7 million from acquisitions.

Backlog reached $5.48 billion as of Sept. 30, 2026, up 86.1% from Sept. 30, 2025, after a 52.8% year-over-year increase to $4.55 billion at June 30, 2026. Acquisitions completed during the nine months ended Sept. 30, 2026, contributed an estimated $742.3 million of backlog. E&M backlog increased to $5.11 billion. T&D backlog decreased to $371.3 million.

On Sept. 1, 2026, Everus completed the acquisition of Epsilon Industries, after announcing a definitive agreement on July 31. Thiede said the deal significantly expands off-site modular construction and prefabrication capabilities and that integration is progressing as planned.

Net leverage was 0.7x as of Sept. 30, 2026, versus 0.3x as of June 30, 2026. The company had $244.8 million of unrestricted cash and $571.5 million of gross debt. During the third quarter it entered an amended credit agreement that increased the revolving facility by $125.0 million and drew $100.0 million, still outstanding at quarter-end.

Because of the first three quarters and 2026 acquisitions, Everus is raising its 2026 outlook. It now expects revenues of $5.0 billion to $5.1 billion, updated from $4.5 billion to $4.7 billion, and EBITDA of $485 million to $495 million, updated from $410 million to $425 million. Gross capital expenditures remain expected at $90 million to $100 million.