Primoris Services Reports Fourth Quarter and Full Year 2025 Financial Results
Primoris Services Corporation (NYSE: PRIM) (“Primoris” or the “Company”) today announced its financial results for the fourth quarter and full year ended December 31, 2025, along with an initial outlook for 2026. The Company delivered strong performance across revenue, earnings, and backlog, highlighting growth in its Energy and Utilities segments.
Full Year 2025 Highlights
For the full year 2025, Primoris achieved significant growth across key financial metrics:
- Revenue reached $7.6 billion, up $1.2 billion or 19.0% compared to 2024. This growth was primarily driven by double-digit increases in both the Energy and Utilities segments.
- Net income rose to $274.9 million, or $5.02 per diluted share, marking a 52.0% increase over 2024, supported by higher operating income and lower interest expenses.
- Net cash provided by operating activities totaled $470.4 million for the year.
- Total backlog stood at $11.9 billion, increasing by $0.1 billion from year-end 2024, including a Master Service Agreement (MSA) backlog of $7.0 billion.
- Adjusted net income was $308.2 million, or $5.62 per diluted share, up 45.8% from the prior year.
- Adjusted EBITDA reached $531.1 million, a 22.0% increase compared to 2024.
Fourth Quarter 2025 Highlights
During the fourth quarter, Primoris delivered solid results, despite some operational challenges:
- Revenue was $1.9 billion, up $116.4 million, or 6.7%, compared to Q4 2024, driven by growth in the Energy and Utilities segments.
- Net income for the quarter was $51.8 million, or $0.95 per diluted share, a decrease of 4.1% from Q4 2024, due to lower operating income partially offset by lower interest expenses.
- Net cash provided by operating activities for Q4 2025 totaled $142.9 million.
- Adjusted net income was $59.3 million, or $1.08 per diluted share, down 4.0% from the same period in 2024.
- Adjusted EBITDA declined 7.2% to $108.2 million from $116.6 million in Q4 2024.
Management Commentary
Koti Vadlamudi, President and CEO of Primoris, stated: “Primoris concluded another year of profitable growth in 2025, delivering record revenue, earnings, and backlog, while progressing ahead of schedule on our multi-year goals. We strengthened our balance sheet and liquidity position, positioning the Company to allocate capital toward opportunities that create additional value for our stakeholders.”
He added, “2025 posed challenges with changes in trade and regulatory policy, but our employees remained committed to delivering high-quality infrastructure solutions safely and efficiently. We improved margins in the Utilities segment despite lower storm response work, increased revenue from natural gas generation projects, and exceeded $3 billion in revenue in our renewables business.”
Looking forward, Vadlamudi noted optimism for 2026: “We aim to grow our project backlog, meet the increasing needs of our customers, enhance margins, and generate cash flow. Our end markets remain robust, and Primoris is well-positioned to capitalize on upcoming opportunities.”
Fourth Quarter 2025 Segment Performance
Utilities Segment: Revenue increased $33.7 million, or 5.1%, compared to Q4 2024. The growth was primarily driven by increased activity in gas operations and power delivery. Operating income decreased by $6.8 million, or 13.5%, due to lower gross profit. Gross profit margin declined to 10.5% from 12.1% in the prior year, mainly because of decreased storm restoration work.
Energy Segment: Revenue increased $87.8 million, or 8.0%, primarily driven by higher renewables activity, partially offset by reduced industrial and pipeline work. Operating income decreased by $5.6 million, or 8.4%, due to higher costs on certain renewables projects. Gross profit margin fell to 8.5% from 9.5% in Q4 2024 due to challenging soil conditions impacting project costs.
Full Year 2025 Segment Performance
Utilities Segment: The Utilities segment contributed to revenue growth through expanded gas operations and power delivery services. Operating income and gross profit increased, supporting a full-year operating margin improvement to 5.4% from 5.0% in 2024.
Energy Segment: The Energy segment experienced double-digit growth in revenue, largely due to renewables projects. Operating income increased $94.1 million, or 29.6%, driven by higher gross profit. This growth contributed to the overall increase in net income and adjusted EBITDA for the year.
Full Year Financial Overview
Revenue for the year reached $7.6 billion, a 19.0% increase from 2024. Net income rose to $274.9 million, or $5.02 per diluted share, a 52.0% increase. Adjusted net income was $308.2 million, or $5.62 per diluted share, up 45.8% year-over-year. Adjusted EBITDA increased 22.0% to $531.1 million. The Company ended the year with a strong backlog of $11.9 billion, supporting continued growth and operational stability.
Non-GAAP Measures
This press release includes Non-GAAP financial measures, which management believes are useful for evaluating performance by excluding items that may impact comparability between periods. Non-GAAP measures include Adjusted Net Income, Adjusted EPS, and Adjusted EBITDA. Detailed definitions and reconciliations are available in Schedules 1–4.
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