Financial Data and Key Metrics Changes - Dycom reported record fourth quarter revenue of $1.46 billion, a 34.4% increase compared to Q4 FY 2025, with organic revenue growth of 16.6% [8][30] - Adjusted EBITDA for the quarter was $162.4 million, with an adjusted EBITDA margin of 11.1%, reflecting a 41 basis point increase year-over-year [9][31] - For the full fiscal year, total revenue reached $5.55 billion, a 17.9% increase compared to FY 2025, with non-GAAP adjusted diluted EPS of $11.97, up 29.7% year-over-year [10][34] Business Line Data and Key Metrics Changes - The Communications segment generated $1.362 billion in revenue, driven by fiber-to-the-home programs and maintenance services, with adjusted EBITDA increasing 30% to $151.3 million [31][32] - The Building Systems segment, which includes Power Solutions, reported revenue of $95.8 million and adjusted EBITDA of $11.1 million, with results impacted by seasonal holidays [33] Market Data and Key Metrics Changes - Dycom concluded the year with a record total backlog of $9.5 billion, with $6.3 billion expected to be completed in the next 12 months [12][33] - The company anticipates total revenue for FY 2027 to range between $6.85 billion and $7.15 billion, representing a year-over-year growth of approximately 23.6%-29% [13][39] Company Strategy and Development Direction - Dycom's strategy focuses on expanding its footprint in the digital infrastructure market, particularly through the acquisition of Power Solutions, which positions the company in the data center sector [7][23] - The company aims to enhance its service offerings by integrating Communications and Building Systems services to meet the growing demands of hyperscalers [23][24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the robust demand for Communications services, particularly in fiber-to-the-home deployments, and highlighted the importance of maintaining a skilled workforce to meet future needs [16][25] - The company expects continued margin expansion and improved cash flow in FY 2027, driven by disciplined growth and operational efficiencies [14][26] Other Important Information - Dycom's acquisition of Power Solutions was completed on a cash-free, debt-free basis, with a total purchase price of $1.95 billion [35][36] - The company ended the quarter with cash and equivalents of $709.2 million and total liquidity of $1.46 billion, maintaining a pro forma net leverage of approximately 2.3x adjusted EBITDA [37][38] Q&A Session Summary Question: Plans to increase the scope of work at Power Solutions - Management indicated that the integration of Power Solutions is progressing well, with expectations for significant growth in the range of 15%-25% for the year, and highlighted opportunities for cross-selling between Communications and Building Systems [46][47] Question: Insights on fourth quarter organic growth surprises - Management noted that there were no pull-forwards in revenue, and the overall demand exceeded expectations despite challenges from winter weather [50][51] Question: Progress on long-haul middle-mile and inside the fence work - Management confirmed that the $20 billion addressable market is expected to grow, with increasing demand from hyperscalers and a ramp-up in projects anticipated in calendar 2028 [55][56] Question: Updates on the BEAD program and construction timelines - Management expects some revenue opportunities to materialize in Q2, with significant momentum anticipated in calendar 2027 as funding progresses [59][68] Question: Current growth rate at Power Solutions - Management stated that Power Solutions is projected to grow at a rate of 15%-25%, with a focus on investing in the workforce to support this growth [72][73]

Financial Data and Key Metrics Changes - Dycom reported record fourth quarter revenue of $1.46 billion, a 34.4% increase compared to Q4 FY 2025, with organic revenue growth of 16.6% [7][28] - Adjusted EBITDA was $162.4 million, with an adjusted EBITDA margin of 11.1%, reflecting a 41 basis point increase year-over-year [8][29] - For the full fiscal year, total revenue reached $5.55 billion, a 17.9% increase compared to FY 2025, with organic revenue growth of 6.5% [9][32] - Non-GAAP adjusted diluted EPS was $11.97, a 29.7% year-over-year increase [9] Business Line Data and Key Metrics Changes - The Communications segment generated $1.362 billion in revenue, driven by fiber-to-the-home programs and maintenance services, with adjusted EBITDA increasing 30% to $151.3 million [30] - The Building Systems segment, including Power Solutions, reported revenue of $95.8 million and adjusted EBITDA of $11.1 million, with results impacted by seasonal holidays [31] Market Data and Key Metrics Changes - Dycom concluded the year with a record total backlog of $9.5 billion, with $6.3 billion expected to be completed in the next 12 months [11][31] - The book-to-bill ratio for the year was 1.3 times in total and 1.2 times on an organic basis, indicating strong demand for services [11] Company Strategy and Development Direction - The acquisition of Power Solutions positions Dycom at the intersection of digital infrastructure and the data center market, broadening its total addressable market [5][10] - The company is focused on four core strategic priorities: talent and workforce development, expansion of the Building Systems segment, margin expansion, and operating cash flow optimization [22][23] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the robust demand for Communications services, particularly fiber-to-the-home deployments, and anticipates continued growth in FY 2027 [12][14] - For FY 2027, total revenue is expected to range from $6.85 billion to $7.15 billion, representing a year-over-year growth of approximately 23.6%-29% [12][36] Other Important Information - Dycom's cash and equivalents at the end of the quarter were $709.2 million, with total liquidity of $1.46 billion [34] - The company has a clear path to deleveraging to approximately 2 times net leverage over the next 12 months [35] Q&A Session Summary Question: Plans to increase the scope of work inside Power Solutions - Management indicated that the integration of Power Solutions is going well, with significant growth opportunities anticipated, and cross-selling efforts are already taking flight [42][43] Question: Organic growth surprises in Q4 - Management noted no pull forwards in organic growth, highlighting strong overall demand despite challenges from winter weather [47][48] Question: Long-haul and middle-mile work progress - Management believes the $20 billion addressable market is conservative, with increasing demand from hyperscalers and a ramp-up expected in 2027 [52][53] Question: BEAD program timelines and revenue opportunities - Management expects some revenue opportunities to begin in Q2, with significant momentum anticipated in calendar 2027 [56][57] Question: Current growth rate at Power Solutions - Management stated that Power Solutions is expected to grow at a rate of 15%-25%, with a focus on responsible growth and maintaining service quality [71][73]