Construction Partners Lifts Full-Year Outlook as Q3 Revenue Climbs 28% to $999M
ROAD sits 27% above its 52-week low of $93.42.
Summary
Construction Partners posted Q3 FY2026 revenue of $999.4 million, a 28% year-over-year increase, and raised its full-year outlook. The company also disclosed a $3.4 billion backlog and the acquisition of Ellsworth Construction.
Key Events · Earnings and Guidance · ROAD
-
Q3 Revenue and Earnings Beat
Driven by acquisitions and 8.9% organic growth, revenue climbed 28% to $999.4 million from $779.3 million a year ago. Net income rose 35% to $59.6 million, or $1.06 per diluted share.
-
Full-Year Guidance Raised
Reflecting confidence in sustained strong demand and the contribution from recent acquisitions, management lifted its full-year outlook.
-
Record Contract Backlog
As of June 30, 2026, the backlog stood at $3.4 billion, providing significant revenue visibility for future quarters.
-
Ellsworth Construction Acquisition
On July 10, 2026, the company acquired Ellsworth Construction for $77.2 million in cash and $24.8 million in stock, expanding into Oklahoma and adding asphalt manufacturing and construction capabilities.
Analysis · ROAD · Real Estate & Construction
A standout quarter saw revenue surge 28% to $999.4 million and net income jump 35% to $59.6 million, both comfortably ahead of the prior year. Bolstered by that momentum, management raised its full-year guidance, signaling confidence that robust demand and acquisition-driven growth will persist. A $3.4 billion contract backlog offers clear visibility, while the recent purchase of Ellsworth Construction extends the company's reach into Oklahoma. Financial flexibility also improved markedly: the revolving credit facility was expanded by $200 million and the term loan by $300 million, providing ample capacity for further deals. In short, this is a classic beat-and-raise quarter that reinforces the growth narrative.
At the time of this filing, ROAD was trading at $118.46 on NASDAQ in the Real Estate & Construction sector, with a market capitalization of approximately $6.7B. The 52-week trading range was $93.42 to $151.00. This filing was assessed with positive market sentiment and an importance score of 8 out of 10.