Construction firm Sterling's Q3 revenue up 32%, beats estimates

Sterling Infrastructure

03/11/2025 21:34

Overview

Sterling Q3 revenue grows 32% yr/yr, beating analyst expectations

Adjusted EPS for Q3 rises 58%, reflecting strong operational performance

Company raises full-year guidance, citing strong performance and backlog growth

Outlook

Sterling raises 2025 revenue guidance to $2.375 bln to $2.390 bln

Company projects full-year adjusted EBITDA of $486 mln to $491 mln

Sterling expects full-year adjusted EPS of $10.35 to $10.52

Result Drivers

E-INFRASTRUCTURE GROWTH - Revenue in E-Infrastructure Solutions grew 58%, driven by large, mission-critical projects

TRANSPORTATION SOLUTIONS - Revenue increased 10% with strong demand in Rocky Mountain and Arizona regions

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Beat
$689.01 mln
$618.80 mln (4 Analysts)
Q3 Gross Margin
24.70%
Q3 EBITDA
$143.10 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 1 "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 Sterling Infrastructure Inc is $351.50, about 7.5% below its October 31 closing price of $377.90

The stock recently traded at 40 times the next 12-month earnings vs. a P/E of 34 three months ago

Press Release: ID:nPn46HMcqa

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(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.)