The quarter was solid, but not a clear blowout versus expectations. Revenue reached $999.4 million and adjusted diluted EPS was $1.08, compared with published estimates ranging roughly from $949 million to $990 million for revenue and $1.01 to $1.11 for EPS. That puts the top line modestly ahead of some estimates, while earnings were approximately in line overall rather than a decisive beat.
| Fiscal Q3 ended June 30 | 2026 | 2025 | Change / comparison |
|---|---|---|---|
| Revenue | $999.4M | $779.3M | +28% (Income Statement) |
| GAAP diluted EPS | $1.06 | $0.79 | +34% (Income Statement) |
| Adjusted diluted EPS | $1.08 | $0.81 | +33% (Non-GAAP reconciliation) |
| Adjusted EBITDA | $163.0M | $131.7M | +24%; margin fell to 16.3% from 16.9% (Non-GAAP reconciliation) |
| Backlog | $3.36B | — | Record level (Management commentary) |
The important upside is the raised full-year outlook. Management lifted fiscal 2026 revenue guidance to $3.64 billion-$3.68 billion from the prior $3.59 billion-$3.65 billion range, and adjusted EBITDA guidance to $559 million-$569 million from $552 million-$564 million. The increase is meaningful because it incorporates the recently announced Ellsworth acquisition, not merely a stronger reading of the existing business.
Growth remains strong, but profitability did not expand this quarter. Revenue grew 28% and adjusted EBITDA rose 24%, while adjusted EBITDA margin compressed 60 basis points to 16.3% amid energy-cost inflation and wet weather. General and administrative expense improved slightly as a percentage of revenue, but the lower EBITDA margin means the quarter was more growth-heavy than margin-accretive (Non-GAAP reconciliation; Management commentary).
The balance sheet shows the cost of the acquisition-led strategy. Cash and equivalents declined to $94.5 million from $156.1 million at fiscal year-end, while total debt increased to roughly $1.79 billion from $1.61 billion. Nine-month operating cash flow was strong at $240.9 million, but acquisitions and capital spending consumed $481.7 million combined, leaving the company reliant on financing and reducing cash balances (Balance Sheet; Cash Flow statement).
Net read: positive because the outlook moved higher, not because the quarter dramatically exceeded consensus. The record $3.36 billion backlog and Ellsworth acquisition improve forward visibility, and the raised guidance is the clearest change relative to what investors already knew. The offset is modest margin pressure and higher leverage, so this reads as a meaningful but not unqualified upgrade to the earnings picture.
Read the original 8-K on SEC EDGAR ↗