SMID · Smith-Midland Corporation

Smith-Midland Corporation delivered a record-breaking performance in 2025, with annual revenue reaching $93.4 million (up 19%) and net income surging 63% to $12.5 million. The company achieved its highest annual revenue and net income in company history, driven by growth across all business segments. Revenue growth was complemented by proactive cost management efforts, resulting in a 240-basis point improvement in gross margin to 27.9%. The fourth quarter showed particularly strong momentum with 25% revenue growth to $23.1 million and net income of $2.1 million. Product sales increased across multiple categories, with Soundwall sales rising to $14.6 million, Easi-Set and Easi-Span building sales growing to $11.5 million, and SlenderWall sales reaching $3.6 million after having no sales in 2024. Service revenue was a significant driver, increasing to $45.2 million, primarily due to higher barrier rentals ($19.7 million, up from $12.0 million) and shipping and installation revenue ($21.3 million). The barrier rental growth was attributed to two special rental projects in the first half of 2025 and greater utilization of the company's expanded rental fleet. Management cited funding from the Infrastructure and Jobs Act for highway projects as a key driver for Soundwall panels and barrier rentals, while increased marketing efforts supported Easi-Set and Easi-Span building sales. The approaching timeline for MASH-TL3 compliance presents ongoing opportunities for the patented JJ-Hooks highway barrier system. For 2026, the company anticipates similar product sales volumes compared to 2025, supported by continued infrastructure funding through state and local governments. Barrier rentals, excluding special projects, are expected to be higher in 2026 than in 2025, though overall barrier rental revenue may decrease due to the high level of special projects in 2025. The company remains focused on long-term strategic growth initiatives, including increased marketing and sales efforts toward SlenderWall sales and barrier rentals.