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Investing.com -- MYR Group Inc. (NASDAQ:MYRG), a specialty contractor in the electric utility infrastructure and construction markets, reported first-quarter 2025 results that surpassed analyst expectations, sending its shares up 3% in after-hours trading.
The company posted adjusted earnings per share of $1.45, beating the analyst consensus of $1.17 by $0.28. Revenue for the quarter came in at $833.6 million, exceeding the estimated $787.66 million and representing a 2.2% increase YoY from $815.6 million in the same quarter last year.
MYR Group’s Commercial and Industrial (C&I) segment drove growth with quarterly revenues of $371.9 million, up $46.7 million from Q1 2024. However, the Transmission and Distribution (T&D) segment saw a decrease of $28.6 million to $461.8 million, primarily due to lower revenue from transmission projects related to clean energy initiatives.
Rick Swartz, MYR Group’s President and CEO, commented on the results: "We achieved solid financial results in the first quarter of 2025, with increases in revenue, net income, and consolidated gross profit compared to the same period of 2024."
The company’s backlog stood at $2.64 billion at the end of Q1, up 8.9% from $2.43 billion a year ago, indicating strong future demand for its services. Gross margin improved to 11.6% from 10.6% in the prior-year quarter, driven by higher-margin projects nearing completion and favorable change orders.
Net income for the quarter rose to $23.3 million, or $1.45 per diluted share, compared to $18.9 million, or $1.12 per diluted share, in Q1 2024. EBITDA, a non-GAAP measure, increased to $50.2 million from $39.8 million in the year-ago period.
MYR Group’s solid performance and growing backlog suggest continued momentum in the electric utility infrastructure and construction markets, despite some headwinds in clean energy-related transmission projects.
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