Granite Construction Inc Q3 revenue misses estimates

Granite Construction Incorporated

06/11/2025 11:59

Overview

Granite Q3 revenue grows 12% yr/yr but misses analyst expectations

Adjusted EPS for Q3 beats consensus, indicating strong operational performance

Company reports record CAP increase to $6.3 bln, reflecting strategic growth initiatives

Outlook

Granite narrows 2025 revenue forecast to $4.35 bln-$4.45 bln

Company raises 2025 adjusted EBITDA margin forecast to 11.50%-12.50%

Capital expenditures expected to total approximately $130 mln, or 3% of revenue

Result Drivers

RECORD CAP - Granite reports record increase in Committed and Awarded Projects (CAP) to $6.3 bln, supporting future growth

ACQUISITIONS DRIVE REVENUE - Revenue growth supported by contributions from Warren Paving and Papich Construction acquisitions

MATERIALS SEGMENT PROFIT - Higher sales volumes and prices in aggregates and asphalt drive significant gross profit improvements in Materials segment

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Miss
$1.43 bln
$1.51 bln (2 Analysts)
Q3 Adjusted EPS
Beat
$2.70
$2.60 (2 Analysts)
Q3 EPS
$1.98
Q3 Adjusted Net Income
Beat
$124 mln
$114.50 mln (1 Analyst)
Q3 Net Income
$103 mln
Q3 Adjusted EBITDA
Beat
$216 mln
$201.60 mln (1 Analyst)

Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

The average consensus recommendation for the construction & engineering peer group is "buy"

Wall Street's median 12-month price target for Granite Construction Inc is $131.50, about 21.9% above its November 5 closing price of $102.76

The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 16 three months ago

Press Release: ID:nBw7n8pySa

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)