Construction Partners, Inc. Announces Fiscal 2026 Third Quarter Results

Rhea-AI Summary

Construction Partners (NASDAQ: ROAD) reported strong fiscal 2026 third quarter results for the period ended June 30, 2026, with revenue of $999.4 million, up 28.2% from $779.3 million in Q3 FY25. Gross profit rose to $168.4 million from $131.8 million, while net income increased to $59.6 million from $44.0 million. Adjusted net income was $60.6 million versus $45.2 million, implying diluted EPS of $1.08 versus $0.81. Adjusted EBITDA was $163.0 million, up 23.8% from $131.7 million.

Project backlog reached a record $3.36 billion, compared with $2.94 billion a year earlier. The company recently acquired Ellsworth Construction to expand its Oklahoma and data center market presence. Based on Q3 performance and Ellsworth’s expected contribution, the company raised FY26 guidance, now expecting revenue of $3.64–$3.68 billion, net income of $165.0–$168.0 million, adjusted net income of $177.6–$181.4 million, and adjusted EBITDA of $559.0–$569.0 million, with an adjusted EBITDA margin of 15.36%–15.46%.

Positive

• Q3 2026 revenue $999.4M, up 28.2% YoY from $779.3M
• Q3 2026 net income $59.6M vs. $44.0M in Q3 2025
• Q3 2026 Adjusted EBITDA $163.0M, up 23.8% from $131.7M
• Record backlog $3.36B at June 30, 2026 vs. $2.94B YoY
• FY26 revenue guidance raised to $3.64–$3.68B
• FY26 Adjusted EBITDA guidance increased to $559.0–$569.0M, margin 15.36%–15.46%

Negative

• Interest expense YTD 2026 $83.3M vs. $65.0M in 2025
• Long-term debt $1.79B total (including current portion) vs. $1.61B at Sept. 30, 2025
• Cash, cash equivalents and restricted cash down to $94.7M from $159.0M at period start
• Net cash used in investing activities $445.0M for nine months, largely from $337.4M acquisitions
• General and administrative expenses up to $63.1M in Q3 2026 from $51.0M in Q3 2025

Market reaction after 3Q26 earnings report: ROAD +20.45%

+20.45% $120.64

15m delay

+20.45% Vs previous close

$120.64 Last Price

$101.89 $121.00 Day Range

$7.15B Market Cap

0.7x Rel. Volume

Following this news, ROAD has gained 20.45%, reflecting a significant positive market reaction. Our momentum scanner has triggered 42 alerts so far, indicating elevated trading interest and price volatility. The stock is currently trading at $120.64.

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Market Context

ROAD's prior Q2 FY2026 results produced a 6.94% 24-hour reaction, providing a direct earnings compar...

Analysis

ROAD's prior Q2 FY2026 results produced a 6.94% 24-hour reaction, providing a direct earnings comparison. The active S-3ASR had 0 recorded uses; execution of the raised outlook remains the key item to monitor.

Key Figures

Q3 revenue: $999.4 million Adjusted net income: $60.6 million Adjusted EBITDA: $163.0 million +5 more

8 metrics

Q3 revenue $999.4 million Fiscal Q3 2026, up 28.2% year over year

Adjusted net income $60.6 million Fiscal Q3 2026, compared with $45.2 million prior year

Adjusted EBITDA $163.0 million Fiscal Q3 2026, up 23.8% year over year

Project backlog $3.36 billion Record backlog at June 30, 2026

Adjusted diluted EPS $1.08 Fiscal Q3 2026, compared with $0.81 prior year

FY26 revenue outlook $3.640 billion to $3.680 billion Raised fiscal 2026 outlook

FY26 adjusted EBITDA outlook $559.0 million to $569.0 million Raised fiscal 2026 outlook

FY26 adjusted EBITDA margin outlook 15.36% to 15.46% Raised fiscal 2026 outlook

Historical Context

5 past events · Latest: Jul 16 (Positive)

Pattern 5 events

Date	Event	Sentiment	24h Move	Catalyst
Jul 16	Index inclusion	Positive	+2.0%	ROAD was scheduled to enter the S&P SmallCap 600 effective July 22.
Jul 14	Earnings schedule	Neutral	+6.7%	Company announced August 7 results release and 10:00 a.m. conference call.
Jul 13	Oklahoma acquisition	Positive	+4.1%	Company completed Ellsworth acquisition, expanding Oklahoma asphalt and data-center capabilities.
May 08	Q2 earnings report	Positive	+6.9%	Revenue, adjusted EBITDA, backlog and full-year guidance increased in the reported quarter.
Apr 02	Earnings schedule	Neutral	+2.8%	Company announced May 8 results release and 10:00 a.m. Eastern conference call.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

ROAD's recent event history showed positive reactions to earnings and acquisition announcements, while both earnings-schedule notices also preceded gains.

Key Terms

adjusted ebitda, adjusted net income, non-gaap, basis points

4 terms

adjusted ebitda financial

"Adjusted EBITDA growth of 24% compared to Q3 FY25"

Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.

adjusted net income financial

"Adjusted net income(1) was $60.6 million in the third quarter"

Adjusted net income is a company's reported profit after removing unusual, one-time, or non-operational items so the number reflects the business’s regular earning power. Investors use it like a cleaned-up scorecard — similar to judging a player’s season performance without a few fluke games — to compare companies or assess trends without being misled by rare gains or losses that won’t affect future cash flow.

non-gaap financial

"Adjusted net income, Adjusted EBITDA and Adjusted EBITDA margin are financial measures"

Non-GAAP refers to financial measures that companies use to show their earnings or performance without including certain expenses or income that are often added back to give a different picture. It matters because it can make a company's results look better or more favorable, but it may also hide important costs, so investors need to look at both GAAP (official rules) and non-GAAP numbers to get a full understanding.

View in glossary

basis points financial

"decreased 20 basis points to 6.3%"

Basis points are a way to measure small changes in interest rates or percentages, where one basis point equals 0.01%. For example, if a loan's interest rate increases by 50 basis points, it's gone up by 0.50%. They help people understand tiny differences in rates that can add up over time, making financial comparisons clearer.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Revenue Up 28% Compared to Q3 FY25

Adjusted Net Income Up 34% Compared to Q3 FY25

Adjusted EBITDA Up 24% Compared to Q3 FY25

Record Backlog of $3.36 Billion

Company Raises FY26 Outlook

DOTHAN, Ala., Aug. 7, 2026 /PRNewswire/ -- Construction Partners, Inc. (NASDAQ: ROAD) ("CPI" or the "Company"), a vertically integrated civil infrastructure company specializing in the construction and maintenance of roadways in local markets throughout the Sunbelt, today reported financial and operating results for the fiscal third quarter ended June 30, 2026.

Fred J. (Jule) Smith, III, the Company's President and Chief Executive Officer, said, "Our strong third quarter results reflect the continued execution of our operating strategy and the dedication of our teams throughout the CPI family of companies. During the quarter, we delivered revenue growth of 28% and Adjusted EBITDA growth of 24%, despite the impact of energy cost inflation and extremely wet weather in May across many of our markets. These results underscore the resilience of our decentralized operating model, the strength of our local market strategy, and our ability to consistently execute across diverse market conditions. Demand for both public infrastructure and commercial construction projects remained healthy throughout our markets, driving backlog to a record $3.36 billion and providing continued visibility into future growth."

Revenues were $999.4 million in the third quarter of fiscal 2026, an increase of 28.2% compared to $779.3 million in the same quarter last year.

Gross profit was $168.4 million in the third quarter of fiscal 2026, compared to $131.8 million in the same quarter last year.

General and administrative expenses were $63.1 million in the third quarter of fiscal 2026, compared to $51.0 million in the same quarter last year, and as a percentage of total revenues, decreased 20 basis points to 6.3%, compared to 6.5% in the same quarter last year.

Net income was $59.6 million in the third quarter of fiscal 2026, compared to net income of $44.0 million in the same quarter last year.

Adjusted net income⁽¹⁾ was $60.6 million in the third quarter of fiscal 2026, compared to Adjusted net income of $45.2 million in the same quarter last year. Using Adjusted net income, diluted earnings per share would have been $1.08 for the third quarter of fiscal 2026, compared to $0.81 in the same quarter last year.

Adjusted EBITDA⁽¹⁾ in the third quarter of fiscal 2026 was $163.0 million, an increase of 23.8% compared to $131.7 million in the same quarter last year.

Project backlog was a record $3.36 billion at June 30, 2026, compared to $2.94 billion at June 30, 2025 and $3.14 billion at March 31, 2026.

Smith added, "Earlier this month, we were pleased to expand our Oklahoma footprint through the acquisition of Ellsworth Construction, which further strengthens our presence into two of the fastest-growing markets in the Sunbelt. Ellsworth adds experienced employees, strategically located facilities, and a strong reputation for execution, enhancing our ability to serve the rapidly growing Tulsa and Oklahoma City metropolitan areas. The acquisition also expands our capabilities in the fast-growing data center construction market, where Ellsworth has established a strong presence that complements Overland's extensive data center portfolio in North Texas. Based on our strong third quarter performance and the expected contribution from Ellsworth, we are raising our fiscal 2026 guidance. We remain on track to deliver sustained revenue growth, expanding profitability, and continued progress toward achieving our ROAD 2030 objectives."

Fiscal 2026 Outlook

The Company is raising its outlook for fiscal year 2026 with regard to revenue, net income, Adjusted net income, Adjusted EBITDA and Adjusted EBITDA margin as follows:

• Revenue in the range of $3.640 billion to $3.680 billion
• Net income in the range of $165.0 million to $168.0 million
• Adjusted net income⁽¹⁾ in the range $177.6 million to $181.4 million
• Adjusted EBITDA⁽¹⁾ in the range of $559.0 million to $569.0 million
• Adjusted EBITDA margin⁽¹⁾ in the range of 15.36% to 15.46%

Ned N. Fleming, III, the Company's Executive Chairman, stated, "CPI continues to create long-term shareholder value through the disciplined execution of our proven growth strategy, combining strong organic growth with strategic acquisitions that expand our platforms across the Sunbelt, increase scale, and enhance operating efficiencies. Supported by a strong balance sheet, experienced leadership team, and healthy customer funding for both public and private construction projects, we believe CPI is well positioned to continue growing and compounding value. The Board and I remain highly confident in CPI's long-term strategy, competitive position, and our ability to capitalize on the significant opportunities ahead."

Conference Call

The Company will conduct a conference call today at 10:00 a.m. Eastern Time (9:00 a.m. Central Time) to discuss financial and operating results for the fiscal quarter ended June 30, 2026. To access the call live by phone, dial (412) 902-0003 and ask for the Construction Partners call at least 10 minutes prior to the start time.  A webcast of the call will also be available live and for later replay on the Company's Investor Relations website at www.constructionpartners.net.

About Construction Partners, Inc.

Construction Partners, Inc. is a vertically integrated civil infrastructure company operating in local markets throughout the Sunbelt in Alabama, Florida, Georgia, North Carolina, Oklahoma, South Carolina, Tennessee and Texas. Supported by its hot-mix asphalt plants, aggregate facilities and liquid asphalt terminals, the Company focuses on the construction, repair and maintenance of surface infrastructure. Publicly funded projects make up the majority of its business and include local and state roadways, interstate highways, airport runways and bridges. The company also performs private sector projects that include paving and sitework for office and industrial parks, shopping centers, local businesses and residential developments. To learn more, visit www.constructionpartners.net.

Cautionary Note Regarding Forward-Looking Statements

Certain statements contained herein that are not statements of historical or current fact constitute "forward-looking statements" within the meaning of Section 21E of the Securities Exchange Act of 1934. These statements may be identified by the use of words such as "may," "will," "expect," "should," "anticipate," "intend," "project," "outlook," "believe" and "plan." The forward-looking statements contained in this press release include, without limitation, statements related to financial projections, future events, business strategy, future performance, future operations, backlog, financial position, estimated revenues and losses, projected costs, prospects, plans and objectives of management. These and other forward-looking statements are based on management's current views and assumptions and involve risks and uncertainties that could significantly affect expected results. Important factors could cause actual results to differ materially from those expressed in the forward-looking statements, including, among others: our ability to successfully manage and integrate acquisitions; failure to realize the expected economic benefits of acquisitions, including future levels of revenues being lower than expected and costs being higher than expected; failure or inability to implement growth strategies in a timely manner; declines in public infrastructure construction and reductions in government funding, including the funding by transportation authorities and other state and local agencies; risks related to our operating strategy; competition for projects in our local markets; risks associated with our capital-intensive business; government requirements and initiatives, including those related to funding for public or infrastructure construction, land usage and environmental, health and safety matters; unfavorable economic conditions and restrictive financing markets; our ability to obtain sufficient bonding capacity to undertake certain projects; our ability to accurately estimate the overall risks, requirements or costs when we bid on or negotiate contracts that are ultimately awarded to us; the cancellation of a significant number of contracts or our disqualification from bidding for new contracts; risks related to adverse weather conditions; our substantial indebtedness and the restrictions imposed on us by the terms thereof; our ability to maintain favorable relationships with third parties that supply us with equipment and essential supplies; our ability to retain key personnel and maintain satisfactory labor relations; property damage, results of litigation and other claims and insurance coverage issues; risks related to our information technology systems and infrastructure; our ability to maintain effective internal control over financial reporting; and the risks, uncertainties and factors set forth under "Risk Factors" in the Company's most recent Annual Report on Form 10-K and its subsequently filed Quarterly Reports on Form 10-Q. Forward-looking statements speak only as of the date they are made. The Company assumes no obligation to update forward-looking statements to reflect actual results, subsequent events, or circumstances or other changes affecting such statements except to the extent required by applicable law.

Contact:

Rick Black
Investor Relations
ROAD@DennardLascar.com  
(713) 529-6600

(1) Adjusted net income, Adjusted EBITDA and Adjusted EBITDA margin are financial measures not presented in accordance with generally accepted accounting principles ("GAAP"). Please see "Reconciliation of Non-GAAP Financial Measures" at the end of this press release.

- Financial Statements Follow -

Construction Partners, Inc. Consolidated Statements of Comprehensive Income (unaudited in thousands, except share and per share data)
		For the Three Months Ended June 30,				For the Nine Months Ended June 30,
		2026		2025		2026		2025
Revenues		$  999,418		$  779,277		$            2,578,083		$            1,912,507
Cost of revenues		831,030		647,467		2,189,342		1,632,776
Gross profit		168,388		131,810		388,741		279,731
General and administrative expenses		(63,145)		(51,026)		(188,242)		(141,954)
Acquisition-related expenses		(1,771)		(1,816)		(15,880)		(22,174)
Gain on sale of property, plant and equipment, net		5,912		3,975		12,557		8,437
Operating income		109,384		82,943		197,176		124,040
Interest expense, net		(30,292)		(25,239)		(83,252)		(64,961)
Other income		44		246		67		508
Income before provision for income taxes and earnings from investment in joint venture		79,136		57,950		113,991		59,587
Provision for income taxes		19,581		13,903		28,050		14,364
Loss from investment in joint venture		—		—		(1)		(12)
Net income		59,555		44,047		85,940		45,211
Other comprehensive income (loss), net of tax
Unrealized (loss) on interest rate swap contract, net		(431)		(1,996)		(1,583)		(2,017)
Unrealized gain (loss) on restricted investments, net		(22)		102		(144)		—
Other comprehensive loss		(453)		(1,894)		(1,727)		(2,017)
Comprehensive income		$   59,102		$    42,153		$   84,213		$   43,194
Net income per share attributable to common stockholders:
Basic		$      1.07		$       0.80		$      1.54		$      0.82
Diluted		$      1.06		$       0.79		$      1.53		$      0.82
Weighted average number of common shares outstanding:
Basic		55,906,306		55,164,260		55,876,027		54,853,715
Diluted		56,269,949		55,654,653		56,187,735		55,302,958

 

Construction Partners, Inc. Consolidated Balance Sheets (in thousands, except share and per share data)
	June 30,		September 30,
	2026		2025
ASSETS	(unaudited)
Current assets:
Cash and cash equivalents	$        94,547		$      156,062
Restricted cash	112		2,953
Contracts receivable including retainage, net	593,468		549,884
Costs and estimated earnings in excess of billings on uncompleted contracts	60,849		45,340
Inventories	185,273		155,133
Prepaid expenses and other current assets	27,024		25,459
Total current assets	961,273		934,831
Property, plant and equipment, net	1,295,692		1,153,070
Operating lease right-of-use assets	104,845		76,355
Goodwill	1,139,332		943,309
Intangible assets, net	74,368		79,230
Investment in joint venture	—		72
Restricted investments	10,870		23,176
Other assets	25,628		28,813
Total assets	$    3,612,008		$    3,238,856
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable	$       319,886		$       284,218
Billings in excess of costs and estimated earnings on uncompleted contracts	149,337		129,300
Current portion of operating lease liabilities	30,340		19,867
Current maturities of long-term debt	41,500		38,500
Accrued expenses and other current liabilities	72,950		110,163
Total current liabilities	614,013		582,048
Long-term liabilities:
Long-term debt, net of current maturities and deferred debt issuance costs	1,744,666		1,573,614
Operating lease liabilities, net of current portion	75,078		57,201
Deferred income taxes, net	102,279		80,079
Other long-term liabilities	35,236		33,951
Total long-term liabilities	1,957,259		1,744,845
Total liabilities	2,571,272		2,326,893
Stockholders' equity:
Preferred stock, par value $0.001; 10,000,000 shares authorized and no shares issued and outstanding at June 30, 2026 and September 30, 2025	—		—
Class A common stock, par value $0.001; 400,000,000 shares authorized, 48,732,839 shares issued and 47,924,747 shares outstanding at June 30, 2026 and 47,963,617 shares issued and 47,406,498 shares outstanding at September 30, 2025	48		47
Class B common stock, par value $0.001; 100,000,000 shares authorized, 11,481,568 shares issued and 8,549,118 shares outstanding at June 30, 2026 and 11,463,770 shares issued and 8,538,165 shares outstanding at September 30, 2025	12		12
Additional paid-in capital	615,510		541,179
Treasury stock, Class A common stock, par value $0.001, at cost, 808,092 shares at June 30, 2026 and 557,119 shares at September 30, 2025	(63,574)		(34,589)
Treasury stock, Class B common stock, par value $0.001, at cost, 2,932,450 shares at June 30, 2026 and 2,925,605 shares at September 30, 2025	(16,833)		(16,046)
Accumulated other comprehensive income, net	2,642		4,369
Retained earnings	502,931		416,991
Total stockholders' equity	1,040,736		911,963
Total liabilities and stockholders' equity	$    3,612,008		$    3,238,856

 

Construction Partners, Inc. Consolidated Statements of Cash Flows (unaudited, in thousands)
	For the Nine Months Ended June 30,
	2026		2025
Cash flows from operating activities:
Net income	$       85,940		$      45,211
Adjustments to reconcile net income to net cash, cash equivalents and restricted cash provided by operating activities:
Depreciation, depletion, accretion and amortization	135,278		107,741
Amortization of deferred debt issuance costs	2,004		3,379
Provision for bad debt	556		260
Gain on sale of property, plant and equipment	(12,557)		(8,437)
Realized loss on sales, calls and maturities of restricted investments	18		81
Share-based compensation expense	31,195		27,961
Distribution of earnings from investment in joint venture	71		—
Loss from investment in joint venture	1		12
Deferred income tax expense (benefit)	22,658		(300)
Other non-cash adjustments	(617)		(665)
Changes in operating assets and liabilities, net of business acquisitions:
Contracts receivable including retainage	(13,859)		6,159
Costs and estimated earnings in excess of billings on uncompleted contracts	(11,298)		(22,577)
Inventories	(18,279)		(4,880)
Prepaid expenses and other current assets	(1,905)		5,422
Other assets	1,496		(3,119)
Accounts payable	16,028		15,975
Billings in excess of costs and estimated earnings on uncompleted contracts	8,510		(9,481)
Accrued expenses and other current liabilities	(578)		17,543
Other long-term liabilities	(3,803)		(967)
Net cash provided by operating activities, net of business acquisitions	240,859		179,318
Cash flows from investing activities:
Purchases of property, plant and equipment	(144,239)		(104,886)
Proceeds from sale of property, plant and equipment	24,398		11,250
Proceeds from sales, calls and maturities of restricted investments	16,022		8,351
Business acquisitions, net of cash acquired	(337,429)		(935,663)
Purchase of restricted investments	(3,753)		(12,182)
Net cash used in investing activities	(445,001)		(1,033,130)
Cash flows from financing activities:
Proceeds from revolving credit facility	263,500		218,438
Proceeds from issuance of long-term debt, net of debt issuance costs	294,923		833,524
Settlement of stock awards	(2,490)		—
Repayments of long-term debt	(386,375)		(137,726)
Purchase of treasury stock	(29,772)		(20,803)
Net cash provided by financing activities	139,786		893,433
Net change in cash, cash equivalents and restricted cash	(64,356)		39,621
Cash, cash equivalents and restricted cash:
Cash, cash equivalents and restricted cash, beginning of period	159,015		76,684
Cash, cash equivalents and restricted cash, end of period	$       94,659		$    116,305
Supplemental cash flow information:
Cash paid for interest	$       80,230		$      58,151
Cash paid for income taxes	$         5,204		$        3,576
Cash paid for operating lease liabilities	$       23,315		$      11,699
Non-cash items:
Operating lease right-of-use assets obtained in exchange for operating lease liabilities	$       47,180		$      17,620
Property, plant and equipment financed with accounts payable	$         9,849		$        5,693
Amounts payable to sellers in business combinations, net	$            673		$      64,938

Reconciliation of Non-GAAP Financial Measures

Adjusted EBITDA represents net income before, as applicable from time to time, (i) interest expense, net, (ii) provision (benefit) for income taxes, (iii) depreciation, depletion, accretion and amortization, (iv) share-based compensation expense, (v) loss on the extinguishment of debt, and (vi) nonrecurring expenses related to transformative acquisitions, which management considers to include transactions of a size that would require clearance under federal antitrust laws. Adjusted EBITDA margin represents Adjusted EBITDA as a percentage of revenues for each period. Adjusted net income represents net income before (i) nonrecurring expenses related to transformative acquisitions, which management considers to include transactions of a size that would require clearance under federal antitrust laws, and (ii) nonrecurring fees associated with financing arrangements incurred in connection with transformative acquisitions. These metrics are supplemental measures of our operating performance that are neither required by, nor presented in accordance with, GAAP. These measures have limitations as analytical tools and should not be considered in isolation or as an alternative to net income or any other performance measure derived in accordance with GAAP as an indicator of our operating performance. We present Adjusted EBITDA, Adjusted EBITDA margin and Adjusted net income because management uses these measures as key performance indicators, and we believe that securities analysts, investors and others use these measures to evaluate companies in our industry. Our calculation of Adjusted EBITDA, Adjusted EBITDA margin and Adjusted net income may not be comparable to similarly named measures reported by other companies. Potential differences may include differences in capital structures, tax positions and the age and book depreciation of intangible and tangible assets.

The following tables present a reconciliation of net income, the most directly comparable measure calculated in accordance with GAAP, to (i) Adjusted net income and (ii) Adjusted EBITDA (with the resulting calculation of Adjusted EBITDA margin) for the applicable periods.

Construction Partners, Inc. Net Income to Adjusted EBITDA Reconciliation Three Months Ended June 30, 2026 and 2025 (in thousands, except percentages)
	For the Three Months Ended  June 30,
	2026		2025
Net income	$      59,555		$      44,047
Interest expense, net	30,292		25,239
Provision for income taxes	19,581		13,903
Depreciation, depletion, accretion and amortization	43,979		39,294
Share-based compensation expense	8,242		8,564
Transformative acquisition expenses	1,373		663
Adjusted EBITDA	$    163,022		$    131,710
Revenues	$    999,418		$    779,277
Adjusted EBITDA margin	16.3 %		16.9 %

 

Construction Partners, Inc. Net Income to Adjusted Net Income Reconciliation Three Months Ended June 30, 2026 and 2025 (in thousands)
	For the Three Months Ended June 30,
	2026		2025
Net income	$        59,555		$        44,047
Transformative acquisition expenses	1,373		663
Financing fees related to transformative acquisition	—		920
Tax impact due to above reconciling items	(336)		(382)
Adjusted net income	$        60,592		$        45,248

 

Construction Partners, Inc. Net Income to Adjusted EBITDA Reconciliation Fiscal Year 2026 Updated Outlook (unaudited, in thousands, except percentages)
	For the Fiscal Year Ending  September 30, 2026
	Low		High
Net income	$     165,000		$     168,000
Interest expense, net	112,500		113,500
Provision for income taxes	53,500		54,500
Depreciation, depletion, accretion and amortization	181,000		184,000
Share-based compensation expense	31,500		32,500
Transformative acquisition expenses	15,500		16,500
Adjusted EBITDA	$     559,000		$     569,000
Revenues	$  3,640,000		$  3,680,000
Adjusted EBITDA margin	15.36 %		15.46 %

 

Construction Partners, Inc. Net Income to Adjusted Net Income Reconciliation Fiscal Year 2026 Updated Outlook (unaudited, in thousands)
	For the Fiscal Year Ending  September 30, 2026
	Low		High
Net income	$       165,000		$       168,000
Transformative acquisition expenses	15,500		16,500
Financing fees related to transformative acquisition	1,200		1,200
Tax impact due to above reconciling items	(4,100)		(4,300)
Adjusted net income	$       177,600		$       181,400

 

View original content:https://www.prnewswire.com/news-releases/construction-partners-inc-announces-fiscal-2026-third-quarter-results-302845513.html

SOURCE Construction Partners, Inc.

FAQ

How did Construction Partners (NASDAQ: ROAD) perform in Q3 2026?

Construction Partners reported higher Q3 2026 results, with revenue of $999.4 million and net income of $59.6 million. According to the company, gross profit rose to $168.4 million and Adjusted EBITDA reached $163.0 million, reflecting substantial year-over-year growth across key profitability metrics.

What was Construction Partners’ revenue growth in Q3 2026 compared to Q3 2025?

Construction Partners’ Q3 2026 revenue grew 28.2% year over year to $999.4 million from $779.3 million. According to the company, this increase was achieved despite energy cost inflation and wet weather, supported by healthy demand for public infrastructure and commercial construction projects.

What is Construction Partners’ backlog as of June 30, 2026?

Construction Partners reported a record project backlog of $3.36 billion as of June 30, 2026. According to the company, this compares with $2.94 billion a year earlier and $3.14 billion at March 31, 2026, providing increased visibility into future revenue opportunities.

Did Construction Partners (ROAD) raise its fiscal 2026 guidance on August 7, 2026?

Yes. Construction Partners raised its fiscal 2026 outlook, now expecting revenue of $3.64–$3.68 billion. According to the company, updated guidance also includes net income of $165.0–$168.0 million and Adjusted EBITDA of $559.0–$569.0 million, with a 15.36%–15.46% adjusted EBITDA margin.

What are Construction Partners’ FY26 Adjusted EBITDA and margin targets after the guidance increase?

Construction Partners now targets FY26 Adjusted EBITDA of $559.0–$569.0 million. According to the company, this equates to an adjusted EBITDA margin of 15.36%–15.46%, reflecting the impact of strong Q3 performance and the expected contribution from the Ellsworth Construction acquisition.

How did Construction Partners’ net income and EPS change in Q3 2026?

Net income increased to $59.6 million in Q3 2026 from $44.0 million in Q3 2025. According to the company, adjusted net income was $60.6 million, implying diluted earnings per share of $1.08, up from $0.81 on an adjusted basis a year earlier.

What recent acquisition did Construction Partners announce alongside its Q3 2026 results?

Construction Partners announced acquiring Ellsworth Construction, expanding its footprint in Oklahoma. According to the company, Ellsworth adds experienced employees, strategic facilities, and data center construction capabilities in the Tulsa and Oklahoma City markets, complementing its existing Sunbelt platform.