Everus Construction Group (NYSE:ECG) delivered a powerful finish to its inaugural year as an independent public company, reporting fourth-quarter results that significantly exceeded analyst expectations and providing initial guidance for 2026 that underscores continued confidence in its growth trajectory. The specialty contractor’s performance, driven by robust demand in key end markets like data centers and utilities, has been met with a positive reaction from investors.
Earnings and Revenue: A Substantial Beat
The company’s fourth-quarter results for 2025 showcased exceptional top and bottom-line growth, comfortably surpassing the consensus estimates held by Wall Street analysts.
Key Q4 2025 Results vs. Estimates:
- Revenue: Reported $1.01 billion, a 33.1% year-over-year increase.
- Vs. Estimate: Surpassed the analyst estimate of approximately $888.4 million.
- Earnings Per Share (EPS): Reported diluted EPS of $1.08, a 61.2% increase from the prior year.
- Vs. Estimate: Topped the consensus EPS estimate of $0.78.
The strength was not confined to the quarter. For the full year 2025, Everus posted record revenues of $3.75 billion, up 31.5%, and record net income of $201.8 million, which translated to diluted EPS of $3.95.
Market Reaction and Price Action
The market has responded favorably to the strong earnings beat and the company's forward-looking commentary. Following the earnings release, the stock has seen notable upward momentum across multiple timeframes, indicating sustained investor optimism.
Recent Stock Performance:
- Post-Earnings (Current): +10.35%
- Past Month: +13.77%
- Past Two Weeks: +2.57%
This positive price action suggests investors are rewarding the company for its exceptional execution, record backlog, and the clear visibility provided by its 2026 guidance. The move signifies a market reassessment, aligning the stock price more closely with the company's demonstrated growth and future potential.
Record Backlog and Segment Performance
A cornerstone of the earnings report was the company's record year-end backlog, which provides a strong foundation for future revenue. Backlog as of December 31, 2025, stood at $3.23 billion, an increase of 16.1% from the previous year. This growth occurred on top of the record revenues achieved in 2025, highlighting sustained demand.
The company’s two segments performed as follows:
- Electrical & Mechanical (E&M): This segment was the primary growth driver, with Q4 revenues surging 44.0% to $791.6 million. Management specifically cited continued growth in the data center submarket as a key contributor. E&M backlog grew 13.4% to $2.84 billion.
- Transmission & Distribution (T&D): The T&D segment saw more modest Q4 revenue growth of 6.8% to $227.7 million. However, its backlog experienced explosive growth, increasing 40.5% to $384.5 million, signaling a strong pipeline of future work.
2026 Guidance vs. Analyst Expectations
Looking ahead, management initiated formal guidance for 2026, projecting revenues in the range of $4.1 billion to $4.2 billion and EBITDA between $320 million and $335 million. This outlook is notably constructive when compared to existing analyst projections.
Guidance Comparison:
- Revenue Guidance: $4.1B - $4.2B
- Analyst Estimate for FY 2026 Revenue: ~$3.97 billion
- Implied Growth: The midpoint of company guidance ($4.15B) represents approximately 9.4% growth over 2025 results and is about 4.5% above the current analyst consensus, suggesting management sees continued momentum.
CEO Jeffrey S. Thiede attributed the company's success to "robust demand in our key end markets" and the team's disciplined focus on strategic priorities. He emphasized the company's "exceptionally strong financial position," highlighted by a net leverage ratio of 0.4x and $375.5 million in available liquidity, which provides flexibility for organic growth and strategic acquisitions.
For a detailed look at upcoming earnings dates and a complete history of analyst estimates, visit the ECG earnings and estimates page.
Disclaimer: This article is for informational purposes only and does not constitute financial advice, investment recommendation, or an offer to buy or sell any security. Investors should conduct their own research and consult with a qualified financial advisor before making any investment decisions.
