Financial Data and Key Metrics Changes - In Q4 2025, the company generated revenues of $4.5 billion, representing a 19.7% growth year-over-year. Adjusted earnings per share were $7.19, a 13.8% increase from 2024, with adjusted operating income of $440 million, up 13.1% from 2024 [5][6][34] - For the full year 2025, the company achieved record revenues of nearly $17 billion and a record adjusted full-year operating margin of 9.4%. Adjusted diluted earnings per share reached $25.87, an increase of 20% from 2024 [7][24] Business Line Data and Key Metrics Changes - The U.S. electrical construction segment reported revenues of $1.36 billion, a quarterly record, increasing by 45.8% due to strong organic growth and the acquisition of Miller Electric. Data center projects within this segment contributed significantly to this growth [25][26] - The U.S. mechanical construction segment saw revenues of $1.94 billion, up 17%, with the largest increase coming from network and communications, where revenues grew nearly 80% year-over-year [27] - U.S. Building Services revenues increased by 2.2% to $772.5 million, driven by the mechanical services division, which grew nearly 5% [28] Market Data and Key Metrics Changes - RPOs (Remaining Performance Obligations) grew to $13.25 billion from $10.1 billion year-over-year, with a 0.2% increase overall and a 17.6% organic growth. The network and communications sector saw RPOs increase by nearly 60% year-over-year to $4.46 billion [11][12] - Institutional RPOs increased by 40% to $1.55 billion, driven by demand in the education sector. Manufacturing and industrial RPOs rose by 23% to $1.1 billion [12][13] Company Strategy and Development Direction - The company divested its U.K. business to focus on U.S. operations and acquired Miller Electric, which is expected to serve as a growth platform in the Southeast and Texas. The company also made nine other acquisitions to enhance its service capabilities [9][10] - The company aims to maintain a balanced capital allocation strategy, focusing on organic investments, strategic acquisitions, and returning cash to shareholders through share repurchases and dividends [10][35] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the demand from most end markets, particularly in data centers, and expects to leverage training, VDC, fabrication, and project planning capabilities to sustain growth [38][39] - The company anticipates revenues of $17.75 billion to $18.5 billion for 2026, with diluted earnings per share guidance of $27.25 to $29.25, and an operating margin between 9% and 9.4% [36][39] Other Important Information - The company maintained a strong balance sheet with $1.1 billion in cash and a commitment to a balanced capital allocation strategy, including a recent 60% increase in dividends and $500 million in share repurchase authorization [34][35] - The company achieved inclusion in the S&P 500 and was recognized by Fortune as the most admired company in the engineering construction industry [11] Q&A Session Summary Question: Margin compression initiatives in Q3 - Management acknowledged some headwinds from new project territories but indicated that these issues are largely behind them, with strong underlying margins in the business [44][45] Question: Regional exposure for data center work - Management discussed their solid positions in various markets and plans to strengthen their presence through acquisitions and organic growth, particularly in Texas and Arizona [49][50] Question: RPOs and diversification strategy - Management confirmed that their RPOs reflect a geographic and sector mix strategy, emphasizing the importance of maintaining a diverse demand portfolio while still pursuing data center opportunities [67][68] Question: Growth in mechanical vs. electrical data center work - Management noted that mechanical work is growing faster due to new market openings and the nature of AI data centers, which require more extensive mechanical systems [84]