Centuri Holdings Inc (NYSE:CTRI) Reports Mixed Q3 2025 Results with Record Revenue but EPS Miss

Centuri Holdings Inc (NYSE:CTRI) has announced its financial results for the third quarter of 2025, revealing a mixed performance against analyst expectations. The company achieved a record quarterly revenue but fell short on a key profitability metric, a combination that appears to have influenced a muted market response.

Earnings and Revenue Versus Estimates

The company's top-line performance significantly exceeded expectations, while its bottom-line earnings did not meet analyst forecasts.

• Revenue: The company reported record quarterly revenue of $850.0 million, an 18.1% increase year-over-year. This figure substantially surpassed the analyst estimate of $777.3 million.
• Earnings Per Share: Adjusted diluted EPS came in at $0.19 for the quarter. This result was below the analyst estimate of $0.30 per share.

The divergence between strong revenue growth and weaker-than-expected earnings per share suggests that profitability, as measured by EPS, did not keep pace with the impressive sales expansion during the quarter.

Market Reaction

The initial market reaction to this mixed earnings report has been subdued. In pre-market trading, the stock showed a slight uptick of approximately 0.05%. This minimal movement indicates a neutral to cautiously optimistic initial response from investors. The stock's performance over recent weeks has been negative, with declines of 3.0% over the past week and 4.1% over the past two weeks, reflecting broader market sentiment or anticipation leading into the earnings release. The post-earnings price action suggests the market is balancing the positive revenue surprise against the earnings miss.

Outlook and Analyst Estimates

Management provided an updated full-year 2025 outlook, which offers a point of comparison with existing analyst expectations.

• Revenue Guidance: Centuri increased its full-year 2025 revenue outlook to a range of $2.8 to $2.9 billion. This updated guidance brackets the analyst consensus estimate of $2.814 billion, indicating alignment with market expectations.
• Adjusted EBITDA Guidance: The company revised its Adjusted EBITDA outlook downward to a range of $240 to $250 million, citing lower forecasted storm restoration services.

Quarterly Business Highlights

Beyond the headline earnings figures, the quarterly press release outlined several key operational and financial achievements.

• Record Backlog: The company reached a record high backlog of $5.9 billion, a 59% increase from the end of 2024, signaling strong future revenue visibility.
• Strong Bookings: Secured bookings of $815 million in the quarter drove a book-to-bill ratio of 1.8x for the first nine months of 2025, significantly exceeding the full-year target.
• Introduction of "Base" Metrics: Centuri introduced new non-GAAP measures—Base Revenue and Base Gross Profit—which exclude the impact of unpredictable storm restoration services. Base Revenue was $848.6 million, a 25% year-over-year increase, and Base Gross Profit grew 28%, indicating robust growth in its core, recurring operations.
• Strategic Initiatives: The company completed its separation from Southwest Gas Holdings on September 5, 2025, establishing itself as a fully independent public company. It also successfully completed a refinancing of its debt, extending maturities and enhancing financial flexibility.

For a detailed look at historical earnings, future estimates, and in-depth analyst projections for Centuri Holdings Inc, you can review the data available on its earnings and estimates page.

Disclaimer: This article is for informational purposes only and does not constitute investment advice, financial analysis, or a recommendation to buy or sell any security. The information presented is based on publicly available data and should not be relied upon as the sole basis for making an investment decision. Readers are encouraged to conduct their own research and consult with a qualified financial advisor before making any investment decisions.