Construction Partners, Inc. Announces Fiscal 2026 First Quarter Results

Core Insights - Construction Partners, Inc. reported a strong start to fiscal 2026 with a 44% increase in revenue and a 63% increase in Adjusted EBITDA compared to the same quarter last year, achieving a record Adjusted EBITDA margin of 13.9% [2][6] - The company ended the quarter with a record project backlog of $3.09 billion, indicating strong demand across its markets [2][6] - The company has raised its fiscal 2026 outlook based on better-than-expected first-quarter results and anticipated contributions from recent acquisitions [7][8] Financial Performance - Revenue for the first quarter of fiscal 2026 was $809.5 million, up from $561.6 million in the same quarter last year, representing a 44.1% increase [3][6] - Adjusted net income for the quarter was $26.4 million, compared to a net loss of $3.1 million in the same quarter last year [5][21] - Adjusted EBITDA reached $112.2 million, a 63.1% increase from $68.8 million in the prior year [6][21] Operational Highlights - The company completed two strategic acquisitions in high-growth regions during the quarter, with plans for further expansion in the Houston market [3][8] - General and administrative expenses increased to $61.5 million but decreased as a percentage of total revenues to 7.7% from 7.9% year-over-year [4][21] - The company emphasized its culture of operational excellence and commitment to safety as key drivers of its performance [3][9] Future Outlook - The company anticipates organic revenue growth of approximately 7% to 8% for fiscal 2026, supported by strong industry tailwinds and increasing infrastructure funding [7][8] - The fiscal 2026 outlook has been raised for revenue, net income, Adjusted net income, Adjusted EBITDA, and Adjusted EBITDA margin [8][22] - The company is well-positioned to capitalize on the growing infrastructure repair and maintenance needs across the Sunbelt region [9][22]