Financial Data and Key Metrics Changes - Consolidated revenue for 2025 was $493 million, a 3% increase from $480 million in 2024 [19] - Gross margin improved to 7% of revenue in 2025, up from a negative 12% in 2024, reflecting a $90 million increase in total gross margin [19] - Adjusted EBITDA for 2025 was $5 million, a significant improvement from a negative $61 million in 2024 [20] Business Line Data and Key Metrics Changes - Revenue from Shimmick projects was $395 million in 2025, a 12% increase year-over-year, representing 75% of total revenue [2] - Gross margin for Shimmick projects increased to 10%, a 400 basis point improvement over the previous year [3] - Non-core project revenue decreased to $96 million in 2025 from $125 million in 2024, reflecting the focus on winding down these projects [19] Market Data and Key Metrics Changes - The backlog grew to $793 million at the end of 2025, with a book-to-burn ratio of 1.4 times [18] - The company expects a robust pipeline supporting $600 million to $1 billion in bidding volumes per month [7] - The market environment remains healthy, with consistent investment in core markets [4] Company Strategy and Development Direction - The company is focused on three strategic pillars: growing the top line, winding down low-margin non-core projects, and driving operational improvements [2] - The strategy includes diversifying the customer base and focusing on growth markets geographically [4] - The company aims to position itself as a top infrastructure provider by winning strategic, risk-balanced work [24] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for 2026, expecting revenue growth between 12% and 22% [22] - The company anticipates improved gross margins driven by a favorable project mix and efficient SG&A management [31] - Management noted that the market remains healthy, with a strong backlog and pipeline dynamics moving in the right direction [12] Other Important Information - The company ended 2025 with total liquidity of $44 million, consisting of $20 million in cash and $24 million available under credit agreements [18] - The company has been awarded contracts worth $128 million in early 2026, with an additional $234 million pending [21] Q&A Session Summary Question: How does the mix of projects impact margins going into 2026? - Management expects gross margins to increase, influenced by the mix of projects, with some projects yielding higher margins than others [31] Question: What is the visibility on overall spending and macro environment across territories? - Management indicated strong activity in California and Texas, with no shortage of opportunities in the next 12-24 months [34] Question: What is the guidance for 2026, especially regarding EBITDA and non-core revenue? - Management simplified guidance, expecting to burn through most non-core work, which currently represents about 11% of the backlog [43] Question: Can you provide more details on the electrical infrastructure projects? - The electrical business is seeing strong bidding activity, with project sizes ranging from $5 million to $200 million, particularly in Texas and California [46] Question: How is the company managing the wrap-up of legacy non-core projects? - Management reported that only two non-core projects remain active, with expectations to complete them this year [50]