Sterling Infrastructure Q2 revenue beats estimates on E-Infrastructure growth

Sterling Infrastructure

03/08/2026 21:25

Overview
US infrastructure services firm's Q2 revenue rose 90%, beating analyst expectations
Adjusted net income and adjusted EPS more than doubled year-over-year
Company raised full-year 2026 guidance on strong demand and expanded backlog

Outlook
Sterling raises 2026 revenue guidance to $4.00 bln-$4.15 bln
Company now sees 2026 net income of $536 mln-$555 mln and diluted EPS of $17.25-$17.85
Sterling expects 2026 adjusted EBITDA of $891 mln-$916 mln, up from $504 mln in 2025

Result Drivers
E-INFRASTRUCTURE GROWTH - Strong revenue and margin gains in E-Infrastructure Solutions, driven by both organic growth and acquisitions, including significant demand for data centers and manufacturing projects
ACQUISITION IMPACT - Revenue growth benefited from acquisitions, with CEC and Stone Ridge contributing $250.8 mln in the quarter
RESOURCE SHIFT - Transportation Solutions revenue declined 20% as company reallocated resources to higher-margin E-Infrastructure projects

Company press release: ID:nPn29vNfFa

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Beat
$1.17 bln
$989.78 mln (8 Analysts)
Q2 EBITDA
 
$233.6 mln
 

Analyst Coverage
The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 9 "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 Sterling Infrastructure Inc is $953.00, about 59.7% above its July 31 closing price of $596.77
The stock recently traded at 29 times the next 12-month earnings vs. a P/E of 38 three months ago

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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.)