Primoris Services wrapped up 2025 with exceptional financial achievements, showcasing record revenue, profits, and a substantial project pipeline, while simultaneously outlining an encouraging forecast for 2026. This positive outlook is fueled by sustained demand in critical sectors such as power infrastructure and renewable energy, supported by an expanding workforce and strategic investments. The company's commitment to operational safety and efficiency, alongside a proactive approach to market opportunities, positions it for continued success in the coming year.

Record Performance and Strategic Outlook for Primoris Services

Primoris Services concluded 2025 with unprecedented financial results, including a record backlog exceeding $11.9 billion, robust Q4 revenue nearing $1.9 billion, and a significant increase in its workforce by over 2,800 individuals. The company's growth was primarily driven by strong performance in the renewables and power delivery sectors, underscoring its pivotal role in the evolving energy landscape. Management provided an optimistic adjusted EPS guidance of $5.80-$6.00 and adjusted EBITDA of $560-$580 million for 2026, alongside expectations for solid gross margins in its Utility and Energy segments, reflecting confidence in its strategic direction.

In 2025, Primoris Services achieved remarkable financial milestones, reporting a record backlog of over $11.9 billion and nearly $3 billion in new contracts during the fourth quarter alone. The company's revenue for Q4 reached almost $1.9 billion, marking a significant year-over-year increase. A substantial workforce expansion of more than 2,800 employees further highlights the company's robust growth, particularly within its renewables and power delivery operations. For the upcoming year, Primoris anticipates adjusted earnings per share between $5.80 and $6.00, with adjusted EBITDA projected to be in the range of $560 million to $580 million. The company expects its Utility and Energy segments to maintain gross margins of approximately 10%-12% for the full year, despite an anticipated seasonal dip in Q1. Financially, Primoris entered 2026 in a net cash positive position, boasting $536 million in cash against $470 million in long-term debt, demonstrating a strong balance sheet and readiness for future investments.

Operational Excellence and Market Opportunities Drive Future Growth

Primoris Services, under new leadership, demonstrated a strong focus on company culture, safety, and operational efficiency, significantly reducing recordable incidents below industry averages. The company also highlighted a surge in power demand, driven by data centers and electrification, projecting up to a 50% increase over the next decade. Strategic investments in upgrading aging infrastructure and expanding grid capacity are key priorities for utility clients, creating substantial opportunities for Primoris in both non-MSA project work and new service offerings. Despite some project-specific cost overruns in renewables due to unforeseen geological conditions, the company has implemented corrective measures and expects improved margins in 2026.

President and CEO Koti Vadlamudi underscored Primoris's dedication to fostering a robust company culture, emphasizing safety performance and continuous workforce development. The company worked over 40 million hours in 2025 with an incident rate consistently below the industry average, striving towards a goal of "zero incidents." On the demand side, Vadlamudi pointed to significant projections for power demand growth, potentially reaching 50% over the next decade due to rising needs from data centers, electrification, and on-shoring initiatives. This trend is expected to translate into a roughly 50% increase in capital expenditure by the company’s largest utility clients over the next five years, focusing on infrastructure upgrades and grid expansion. While facing isolated cost overruns on two renewables projects due to unexpected subsurface rock conditions, Primoris has proactively addressed these issues by enhancing project leadership and re-evaluating estimates, anticipating a recovery in renewables margins through 2026. The company is strategically positioned to capitalize on these market dynamics, with a strong emphasis on disciplined internal investment and potential acquisitions that align with its growth strategy, particularly in augmenting power delivery capabilities and expanding offerings for industrial, power generation, and data center projects.