0001628280-26-032643
SEC filingStrong quarter driven by robust demand and acquisitions, with revenue surging 34.6% and net income more than doubling, though higher interest and acquisition costs tempered bottom-line growth.
Revenue for the second quarter of fiscal 2026 increased 34.6% to $769.2 million compared to $571.6 million in the prior-year quarter. The growth was driven by strong demand in both public and private work, as well as contributions from acquisitions. The company continues to benefit from robust infrastructure spending and a favorable market environment.
Net income more than doubled to $9.2 million, or $0.16 per diluted share, compared to $4.2 million, or $0.08 per diluted share, in the prior-year quarter. The increase was driven by higher gross profit and gains on asset sales, partly offset by higher general and administrative expenses and interest expense. The effective tax rate remained consistent with prior periods.
Net cash provided by operating activities was $147.8 million, up from $96.3 million in the prior-year quarter, reflecting strong operational performance and working capital management. Capital expenditures were $81.7 million, supporting fleet and equipment investments. Free cash flow, defined as operating cash flow minus capital expenditures, was $66.0 million. The company continues to invest in growth through acquisitions and organic expansion.
The company maintains a strong backlog and expects continued demand in both public and private sectors. However, prolonged fuel price volatility may negatively impact demand, project timing, equipment operating costs, and overall margins. The company regularly monitors capital sources to meet planned capital expenditures and liquidity requirements. There can be no assurance that operations and other capital resources will provide sufficient cash to maintain planned or future levels of capital expenditures.